Energy Transition as a multicultural undertaking

Being one of the most important today’s human endeavors, from an organizational point of view, energy transition looks like any other transformational project of a company, which requires sufficient investments is technology, assets and people. While technology and asset management is a matter of thoughtful approach given the innovative nature of energy transition, the right organizational structure and people management are key to make the project happen. 

An analysis of organizational structures of leading companies in different countries and industrial domains reveals some of typical challenges hindering companies’ transformation to meet the needs of energy transition.

The most common ones are lack of dedicated market intelligence division capable to provide tailor-made analytics; low alignment between organizational divisions responsible of different segments/ technologies; lack of internal educational and training programs; low business development and marketing activities, and finally, lack of qualified experts and proven strategies for attracting and retaining professionals. As the result, paid market intelligence can be costly and reflect someone’s vision rather than specific needs of the company. Unsynchronized, internal divisions can move the company in different directions. The best people who can lead the move lack motivation. A great endeavor progresses slowly or is at risk of default. 

To address the issue, companies create specialized divisions assigning them to develop and deliver market analytics, educational and incentive programs, sales and marketing, as well as overall coordination of internal service/ product lines and corporate alignment. Although this may be not enough. Internal resistance and tensions between different departments, as well as personal agenda of department leaders, does not allow to make the transition happen. Common reasons for internal resistance include arguments that the project is too expensive, the company does not need changes because it already works well, fear of changes, as well as the managers’ personal and professional limitations in understanding the situation caused by outdated business approaches. 

Those, who succeed in building an effective organizational restructuring team, benefit from a proactive market position, elimination of internal restrictions that impede the company development, and collaborative and coordinated actions across regional divisions and within each business unit. As the result of faster decision-making and accurate strategic planning as well as a timely response to market turbulences, the company increases sales and revenues as well as strengthens its market position leaving competitors behind.

There are a limited number of professionals who can succeed in this work. They are hunted and, if found, carefully retained as the company's most valuable asset and key to success.

Аuthor: Oksana Roman

Read this blog on LinkedIn

Print