Scenario planning in the Oil and Gas industry - Planning and Decision Making in a Volatile Industry

In collaboration with AZTech, a leading international provider of training courses, we have developed a Scenario Planning training program specifically for the oil & gas industry. Next date: 24-28 December in Amsterdam.

The Oil and Gas industry has experienced a decade of extreme price volatility, unheard of technological disruptions and changing geopolitical landscapes. Technologies in horizontal drilling, hydraulic fracturing and ultra-deep-water have disrupted the oil and gas industry. This has opened new potential markets and drastically influenced prices. The reverse is also true, price changes have created the context in which new technologies could flourish. Developments in these areas can only be understood in connection with developments in the (geo)political landscape. Forward planning in oil and gas requires a deep understanding of all factors and actors involved in the system. The future cannot be predicted and classical investment analyses tools like extrapolation and discounted cash flow methods simply do not suffice. To plan in an industry that is this complex, volatile and uncertain, scenario planning and real option theory are the de facto standard to navigate the future with success.

Scenario planning has been around in the oil and gas industry for almost 50 years. It has helped many companies and governments to plan for the long term and to deal with uncertainty at the same time. Investors and banks are now also starting to incorporate scenario based financial analyses to their way of working. Frontrunners in the industry are adding and integrating real option valuation, big data analysis and artificial intelligence technologies to their toolkits.

Scenarios are most useful for oil and gas companies when they are an integral part of the strategic planning process. Linking your scenarios to activities like road mapping and business intelligence (to get ‘early warning’ signals) is essential to decrease risks and maximize potential opportunities the scenarios prepare you for.
During our course Scenario Planning in the Oil and Gas Industry you will learn about the state of the art regarding the theory and practise in this field. You will not only develop your professional skills with these tools, but also learn about most recent scenario studies and their implications. Through this course you will be armed with new analytical and planning tools and get up to date foresight. This will help your organisation to deal with complexity, volatility and uncertainty with more success.
Find more information on the AZ Tech website or contact Jolanda van Heijningen