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Midstream: Process & Technology: Adapting to Change & Improving Longstanding Operating Models

A preeminent natural gas and NGL gatherer, processor and marketer (the Company) in the United States had grown significantly as the onshore shale drilling industry flourished.  The Company’s business processes, systems and organization were challenged by the unprecedented growth in volume, complexity and risk.  Operating silos emerged, communication broke down, and operational support costs (IT, accounting, scheduling and risk) grew significantly.  The Company enlisted Opportune to define their next generation foundational systems, processes and organization that would support their current and future business strategy and operations.

The Company preferred as few systems as possible versus a “best of breed” approach.  Opportune led the software evaluation, selection and implementation of two major systems.  The Company selected Allegro for their natural gas, condensate and NGL marketing needs and Emerson’s Synthesis for their NGL terminal and pipeline operations needs.  For both implementations, Opportune provided project management, data conversion, system configuration, testing, training, and change management services.

The biggest challenge for both implementations was managing the differences between the standard software capabilities and the unique requirements of non-standard business processes and contracts that had been layered on over 20 years.  The business users were accustomed to solutions customized to each asset and contract no matter how unique they were.  Opportune’s significant industry experience promoted confidence by the Company that our recommendations and views were sound and helped them overcome their resistance to standardization.

Opportune helps clients improve, modernize, and standardize their business processes, organization, and systems by applying deep energy industry expertise, change management, and project management.  Companies benefit from providing strong executive support for change and building a culture supportive of distributed decision making, information sharing, and willingness to adapt to new ways of doing things. For more information click here.

Kurt King

PartnerOpportune LLP