Oilfield Services Strategy & Portfolio Transformation

Situation

A private-equity owned, controls technology company headquartered in the UK retained Carnrite to improve performance across its two divisions operating on four continents.   In particular, the company required help with streamlining its portfolio, reducing overhead costs, supply chain optimization, sales growth activation across its core product lines, and building a lean and high-performing organization structure.

Approach

• Assessed the profitability of the integrated product and services portfolio
• Evaluated facilities globally and consolidated sites, as needed
• Conducted a deep-dive assessment of the supply chain
• Identified opportunities to reduce non-headcount overhead
• Identified opportunities to activate sales growth in key international markets
• Developed organization structure options to reduce cost
• Provided financial reporting support to the executive team

Key Results & Outcomes

• Established two, independent divisions under a corporate umbrella
• Consolidated manufacturing facilities in Europe, Middle East, and Asia
  • Exited non-core, underperforming markets and products
  • Shifted manufacturing to lower-cost facilities with surplus capacity
• Implemented a lean organization structure
  • Reduced headcount-related G&A by ~$12MM
  • Reduced non-headcount G&A by ~35%
• Identified supply chain savings of ~$2MM and onboarded new supply chain leadership
• Developed strategic growth plan for the Middle East business
• Developed and implemented strategic, action plans to achieve savings and activate sales growth for core products and services

Carnrite’s Unique Value Contribution

Carnrite established a Program Management Office (PMO), comprised of multiple, small teams of specialists, to manage numerous workstreams around the globe and deliver significant savings in a timely manner.