Financial Analysis/Management Consulting

The client.

An energy conglomerate.

The business issue.

Due to acquisitions of companies with large legacy liabilities, this company maintained a large portfolio of remediation projects. Its key challenges included:

• An ad-hoc approach to cost and project management.
• Inconsistent processes for managing change orders, budgets and progress.
• Multiple processes for tracking of costs, requiring costly reconciliation and double-entry.
• No ability to determine leverage points for strategic sourcing with vendors.
• Management and other reporting processes are created from the ground-up many times during year, causing an administrative rather than a value-added focus.

The solution.

Utilizing a program-management approach, Claro Group professionals worked with the company to develop an integrated approach for managing program processes and data. Key elements of the solution included:

• Developing integrated processes for tracking scope, budget and progress against time.
• Supporting the revised processes through web-enabled technology that is integrated with firm-wide accounting systems.
• Training project managers and others in the new processes and systems.

The results.

This approach enabled the company to:

• Reduce administrative costs by eliminating double entry and reconciliation processes.
• Establish greater accountability for budgets and progress.
• Manage strategic sourcing more effectively by revising contracts with key consultants and contractors.