Relevance to strategy:
Tullow’s strategy is focused on creating long-term shareholder value, supported by efficiency, cost management and a strong culture. The objective of the MSP, which was completed in 2015, was to streamline our business and processes, cut costs and re-focus the Group on key priorities and activities.
Deliver business restructuring and efficient processes focused on value.
The MSP project has successfully adjusted the operating model of the business, clarified key accountabilities, improved culture around value creation and performance management, and simplified the organisational structure – with further work ongoing to simplify internal processes and better manage our cost base. Headcount has been reduced across the business to better reflect Tullow’s activities and scope of operations. The new operating model and implementation of an integrated management system has better defined key accountabilities and responsibilities. Ongoing performance management reviews have evolved to improve discussions around value creation on a more regular basis, with the Group’s ongoing delivery against its key objectives regularly communicated to staff. A shift to a more cost-conscious culture has occurred as a result of regular expenditure reviews and improved cross business challenge. Engagement with the Executive, in-country management and peers has been stepped up to help motivate, engage and focus staff on the Group’s targets during this period of change and challenging market conditions.