How Canadian Energy Companies Can Manage the Impact of US Tariffs
We've been paying close attention to news coverage of the US tariffs, and there's something no one's talking about.
We're mostly seeing commentators take the long view by recommending against retaliatory tariffs or rallying for long-term investments in railway, pipelines, and technology.
What we think is missing is a near-term, local lens on how this affects businesses in Alberta, especially those in the oil & gas sector, in the coming weeks and months.
This current situation does seem unsustainable, but business owners still need to anticipate impacts and make decisions, so here are our thoughts on what the impacts look like and how we can help.
As uncertainty continues and operating costs rise across the board, we expect Alberta businesses in the oil & gas space will want to quickly look at reducing their costs, but we don't think this has to mean sweeping cuts; it can also mean getting more from your existing assets, and making sure planned investments are as impactful as possible.
Organizations can reduce costs by enhancing operational efficiency, for example:
Leveraging predictive maintenance by implementing or upgrading data-driven maintenance programs to extend equipment life and minimize unplanned downtime.
Streamlining processes by identifying and eliminating bottlenecks in critical workflows, such as regulatory submissions, to reduce lead times and associated costs.
Digitizing operations using advanced analytics and automation to reduce manual intervention, optimize resource allocation, and increase productivity.
These are all outcomes we've helped deliver for our clients.
This economic uncertainty is creating a challenging business environment, but it also presents opportunities for change-ready organizations. We would argue that many business and cultural transformations that would have been categorized as a "nice to have" earlier in the year have actually become critical for businesses to remain competitive.
Where to dig in
Talk to us! The action items listed here would typically be planned and implemented as business projects, programs or transformations, and we have the right team and the right background to help produce tangible, sustainable business results for companies in Canada's energy sector - we know because we've done it before. We bring expertise in change management, process improvement and project execution that ensures we can plan and deliver this work with a multidisciplinary approach that's tailored to your organization and your people.
Are you contemplating a business transformation or culture change to help your organization address this challenging environment? We would love to talk to you! Reach out to WorkWithUs@SolveConsulting.ca or to one of our partners: Brandon Bailey-Cummings, Catherine Naylen, MBA, CCMP™ or Carolyn (McDonald) Nichols - MSc, PMP, PROSCI.