Wednesday, March 21, 2007
Gas Utilities Adopt BPO More Aggressively Than Electric Cos - EquaTerra and UtiliPoint Study
Gas Utilities Adopt Business Process Outsourcing More Aggressively Than Their Electric Counterparts, According to Study by EquaTerra and UtiliPoint
Press Release, EquaTerra
March 12, 2007
HOUSTON - According to the results of a study conducted by EquaTerra and UtiliPoint, gas utilities in North America have strategic objectives beyond cost savings in mind when implementing business process outsourcing (BPO).
Findings from the telephone-based study include:
Gas utilities look to BPO as a means to improve business process improvement more readily than electric utilities
Gas utilities reported a higher percentage of fully outsourced processes than their electric counterparts, and appear to be more accepting of BPO in general
While reducing costs is a common goal, gas utilities are more interested in gaining access to business process skills and knowledge than electric utilities (42 percent versus 22 percent)
Said Matt Smith, Managing Director of EquaTerra’s Energy and Utility practice, “We believe the higher level of interest and adoption of BPO is a reflection of the significant impact increasing commodity costs are having on bottom-line results for many gas utilities. In addition, the relative size of gas utilities leaves fewer executive levers, such as acquisitions, available as alternatives. The relative size also drives the desire to gain access to business process knowledge that BPO providers can offer.”
Other results from the study – disclosed in UtiliPoint’s February 19, 2007 “IssueAlert” – included: 44 percent of total respondents said BPO was important as a means to improve business process improvement, and an additional 15 percent said it was very important; 33 percent have already fully outsourced some processes while 53 percent have partially outsourced some processes; and 65 percent of all respondents are either satisfied or very satisfied with BPO, 31 percent are somewhat satisfied, and the remaining 4 percent are not satisfied.
Said Smith, “Gas and electric utilities are both facing across the board cost increases and significant capital investment to address reliability and environmental concerns. Utility executives are exploring business process outsourcing to obtain cost reduction and enhanced service delivery benefits that have been realized in other industries in which BPO adoption is more common.”
Complete study results were delivered by EquaTerra and UtiliPoint during a webcast on Wednesday, March 7. To access a recording of the webcast, please go to: https://equaterra.webex.com/ec0507l/eventcenter/recording/recordAction .do?theAction=poprecord&confViewID=287275990&siteurl=equaterra (Due to the length of this URL, it may be necessary to copy and paste it into your Internet browser's URL address field. You may also need to remove an extra space in the URL if one exists), and enter the word utility as the password. A report detailing and analyzing the study findings is also available. For more information on the report please send an e-mail to: research@equaterra.com.
Executives from utilities companies who are interested in delving even deeper into the outsourcing topic are invited to attend a complimentary roundtable entitled, “Delivering on the Power of Business Transformation.” The March 21 roundtable features presentations from EquaTerra; Mayer, Brown, Rowe & Maw LLP; AGL Resources; and Hydro One. For more information on the roundtable, please contact: allison.norman@equaterra.com.
About EquaTerra
EquaTerra sourcing advisors help clients achieve sustainable value in their business processes. With an average of more than 20 years of industry experience in over 600 global transformation and outsourcing projects, our advisors offer unmatched industry expertise. EquaTerra has deep functional knowledge in Finance and Accounting, HR, IT, Procurement and other critical business processes with advisors throughout North America, Europe and Asia Pacific. We help clients achieve significant cost savings and process improvement with outsourcing, internal transformation and shared services solutions. For more information on EquaTerra, please contact Lee Ann Moore at +1 713.669.9292; leeann.moore@equaterra.com; www.equaterra.com.
About UtiliPoint International
UtiliPoint is a leader in providing research and consulting services to the utility and energy industries. Our 74-year history and over 500 clients worldwide have led us to currently operate as a utility and energy consulting and issues analysis firm. Our staff is comprised of leading experts with diverse backgrounds in utility generation, transmission & distribution, retail markets, mergers and acquisitions, new technologies, venture capital, information technology, outsourcing, customer service, advanced metering, meter data management, renewable energy, regulatory affairs, and international issues.
Contacts
EquaTerra
Jolie Newman, 407-677-8404
BlogOut provides global outsourcing updates across industries & business functions. See BlogOut Directory for the complete list of categories
Press Release, EquaTerra
March 12, 2007
HOUSTON - According to the results of a study conducted by EquaTerra and UtiliPoint, gas utilities in North America have strategic objectives beyond cost savings in mind when implementing business process outsourcing (BPO).
Findings from the telephone-based study include:
Gas utilities look to BPO as a means to improve business process improvement more readily than electric utilities
Gas utilities reported a higher percentage of fully outsourced processes than their electric counterparts, and appear to be more accepting of BPO in general
While reducing costs is a common goal, gas utilities are more interested in gaining access to business process skills and knowledge than electric utilities (42 percent versus 22 percent)
Said Matt Smith, Managing Director of EquaTerra’s Energy and Utility practice, “We believe the higher level of interest and adoption of BPO is a reflection of the significant impact increasing commodity costs are having on bottom-line results for many gas utilities. In addition, the relative size of gas utilities leaves fewer executive levers, such as acquisitions, available as alternatives. The relative size also drives the desire to gain access to business process knowledge that BPO providers can offer.”
Other results from the study – disclosed in UtiliPoint’s February 19, 2007 “IssueAlert” – included: 44 percent of total respondents said BPO was important as a means to improve business process improvement, and an additional 15 percent said it was very important; 33 percent have already fully outsourced some processes while 53 percent have partially outsourced some processes; and 65 percent of all respondents are either satisfied or very satisfied with BPO, 31 percent are somewhat satisfied, and the remaining 4 percent are not satisfied.
Said Smith, “Gas and electric utilities are both facing across the board cost increases and significant capital investment to address reliability and environmental concerns. Utility executives are exploring business process outsourcing to obtain cost reduction and enhanced service delivery benefits that have been realized in other industries in which BPO adoption is more common.”
Complete study results were delivered by EquaTerra and UtiliPoint during a webcast on Wednesday, March 7. To access a recording of the webcast, please go to: https://equaterra.webex.com/ec0507l/eventcenter/recording/recordAction .do?theAction=poprecord&confViewID=287275990&siteurl=equaterra (Due to the length of this URL, it may be necessary to copy and paste it into your Internet browser's URL address field. You may also need to remove an extra space in the URL if one exists), and enter the word utility as the password. A report detailing and analyzing the study findings is also available. For more information on the report please send an e-mail to: research@equaterra.com.
Executives from utilities companies who are interested in delving even deeper into the outsourcing topic are invited to attend a complimentary roundtable entitled, “Delivering on the Power of Business Transformation.” The March 21 roundtable features presentations from EquaTerra; Mayer, Brown, Rowe & Maw LLP; AGL Resources; and Hydro One. For more information on the roundtable, please contact: allison.norman@equaterra.com.
About EquaTerra
EquaTerra sourcing advisors help clients achieve sustainable value in their business processes. With an average of more than 20 years of industry experience in over 600 global transformation and outsourcing projects, our advisors offer unmatched industry expertise. EquaTerra has deep functional knowledge in Finance and Accounting, HR, IT, Procurement and other critical business processes with advisors throughout North America, Europe and Asia Pacific. We help clients achieve significant cost savings and process improvement with outsourcing, internal transformation and shared services solutions. For more information on EquaTerra, please contact Lee Ann Moore at +1 713.669.9292; leeann.moore@equaterra.com; www.equaterra.com.
About UtiliPoint International
UtiliPoint is a leader in providing research and consulting services to the utility and energy industries. Our 74-year history and over 500 clients worldwide have led us to currently operate as a utility and energy consulting and issues analysis firm. Our staff is comprised of leading experts with diverse backgrounds in utility generation, transmission & distribution, retail markets, mergers and acquisitions, new technologies, venture capital, information technology, outsourcing, customer service, advanced metering, meter data management, renewable energy, regulatory affairs, and international issues.
Contacts
EquaTerra
Jolie Newman, 407-677-8404
BlogOut provides global outsourcing updates across industries & business functions. See BlogOut Directory for the complete list of categories
Labels: surveys, utilities, utilities-north-america, utilities-usa
PermaLink - Gas Utilities Adopt BPO More Aggressively Than Electric Cos - EquaTerra and UtiliPoint Study posted by Ecacofonix : 10:07 PM
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Thursday, March 8, 2007
Public Works is following GPA's example of successful outsourcing
Public Works is following GPA's example of successful outsourcing
By Cynthia U. Jackson, Guam PDN, 04 Mar 2007
"The issue of privatizing solid waste operations has been tossed around for years by many in our (Guam) island community. After all, it's no secret that government solid waste operations have much to be desired in their delivery, much less efficiency of its residential waste collections services...
...the current leadership of the Department of Public Works and management of the Solid Waste Division are committed to effectuating privatization by outsourcing services through performance-based management contracts. The Guam Power Authority has been the model of success in achieving growth and efficiency utilizing this tool. DPW's Solid Waste Division management intends to follow this lead...A more comprehensive approach is being taken by DPW to outsource more of its solid waste operations," says the author
Read more from her report here from the Pacific Daily News on Guam
By Cynthia U. Jackson, Guam PDN, 04 Mar 2007
"The issue of privatizing solid waste operations has been tossed around for years by many in our (Guam) island community. After all, it's no secret that government solid waste operations have much to be desired in their delivery, much less efficiency of its residential waste collections services...
...the current leadership of the Department of Public Works and management of the Solid Waste Division are committed to effectuating privatization by outsourcing services through performance-based management contracts. The Guam Power Authority has been the model of success in achieving growth and efficiency utilizing this tool. DPW's Solid Waste Division management intends to follow this lead...A more comprehensive approach is being taken by DPW to outsource more of its solid waste operations," says the author
Read more from her report here from the Pacific Daily News on Guam
Labels: sanitation, sanitation-usa, utilities, utilities-europe, utilities-usa, waste-management, waste-management-usa
PermaLink - Public Works is following GPA's example of successful outsourcing posted by Ecacofonix : 9:27 AM
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