Read this article about Weatherford, one of our finalists, in the category Best Achievement in Operational Excellence to deliver Business Transformation, selected by the independent judging panel, for the 2019 Business Transformation & Operational Excellence Industry Awards program. Click here to read articles on other finalists.
As one of the largest global oilfield service companies, Weatherford operates in more than 90 countries; employs approximately 26,500 people*; and leads the oil and gas industry in disciplines such as managed pressure drilling, tubular running, and artificial lift. Over the course of approximately 35 years, the company grew by acquiring more than 250 companies.
Each of these companies presented their own employees, processes, and cultures; however, they were never fully integrated into the parent organization. Varied philosophies and systemic inefficiencies negatively impacted the company’s ability to realize its full potential. Thus, at the time of the former CEO’s departure, the company carried a significant burden of debt and a fractured culture.
With the new President and CEO Mark A. McCollum at the helm, the company embarked on a cultural transformation in April of 2017. The company set out to rebuild its culture with these objectives: 1) transform the business into one defined company, 2) create a collaborative, inclusive, and effective workplace, and 3) empower employees to drive improvements.
At the same time that Weatherford embarked on a cultural transformation, it began a financial one to uncover $1 billion in improved recurring earnings by year-end 2019. In short, it began an aggressive endeavor – two simultaneous transformations across one multinational organization. The cultural transformation, which is the focus here, purports to realize sustainable improvements to business performance in parallel.
In one year and a half period, Weatherford began reshaping its culture. The company defined its mission statement and six core values. It realigned its business organization to clarify responsibilities. It conducted culture-shaping sessions with the top 700 employees and continues with the next 4,000 employees. And, it established four diversity and inclusion (D&I) networks to foster internal collaboration and drive company results.
These changes resulted in substantial improvements to the bottom line. In point of fact, the company implemented transformation initiatives worth an estimated $800 million, or 80%* of the $1 billion goal. To add to that, every quarter the company is executing transformation initiatives worth approximately $200 million. This execution rate gives a clear line of sight to reach the target on schedule with original plans.
Furthermore, EBITDA results so far clearly indicate the positive impacts of the transformation program, of which the cultural program is a large part. By the end of 2018, the company increased EBITDA by 80% compared to year-end 2017 levels. This increase well outpaces the company’s largest peers. Looking ahead to 2019, the company expects to increase EBITDA by approximately 27%, or $330 million, compared to 2018.*
This financial evidence supports the effectiveness of the cultural transformation. Boosted by the progress already made, employees forge ahead with increased productivity, inspired motivation, and a firm commitment to deliver on the ultimate financial goal.
* Numbers have been updated from the initial award entry.
The Business Transformation & Operational Excellence Awards have been established to showcase globally the most outstanding organizational achievements through the application of Operational Excellence programs. Click here to view the Press Release.
The winners for all categories and for The Platinum Awards will be announced at The Business Transformation & Operational Excellence Summit & Industry Awards on Wednesday March 20th, 2019, from 6.30pm, in the Venetian Ballroom at the Loews Portofino Bay Hotel at Universal Orlando Resort®.
The Business Transformation & Operational Excellence Awards are open to all organizations, both private and public sector, across the globe, which have implemented Operational Excellence programs to deliver outstanding business results.
The 2019 Awards will be held in conjunction with the Business Transformation & Operational Excellence World Summit on March 20, 2019 in the Venetian Ballroom at the Loews Portofino Bay Hotel at Universal Orlando™
BTOES is the industry’s biggest and best, senior-level, cross-industry gathering of Business Transformation & Operational Excellence industry leaders and senior executives.
It also hosts the Business Transformation & Operational Excellence Awards, which showcase globally the most outstanding organizational achievements through the application of Operational Excellence programs.
The summits hosts a number of private forums for C-Level & Global corporate-level leaders as well as business unit heads.
With over 150 speakers, over 100 sessions, 12 Keynotes, 9 Track Themes, 5 parallel tracks, 60+ track sessions, 50 roundtable discussions, 20 Interactive Workshops, 6 Thought Leader Panels, 5 Leaders Boardrooms, 5 co-located events, the Industry Awards Program, Site Visits, 20+ hours of social networking including 2 gala cocktail parties, dinners, numerous group activities, this is the ultimate event to benchmark, network and drive Operational Excellence to the next level.
There is a strong focus on Cultural Transformation, Customer Delight, Sustaining an Operational Excellence program, Need for end-to-end Business Transformation, Keeping up with new technologies/impact of digitalization and Leadership Buy-in & Understanding. We dedicated two tracks to advanced technologies, such as AI, Machine Learning, RPA, Predictive Analytics, Blockchain, Cloud infrastructure etc.
The agenda is designed to encourage active meaningful conversations though all day enhanced networking and interaction opportunities, including
All-day Refreshment & Themed Breaks
1¼ Hour Hot Breakfast Networking Sessions
1½ Hour Hot Plated Networking Lunches with Topic & Industry Sector focussed tables
1½ Hour Roundtable Sessions by Topic & Industry Sector.
Keynote & Themes Panel Sessions
Hosted Welcome Receptions from 5.30pm
Expanded more lavish Awards Program
Newly launched Night Summit for attendees to meet after dinner
For more information or to discuss the summit in more detail please schedule a call below,
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