We know that we need to move faster. We know that this needs massive investment in huge infrastructure projects, we need wind, solar, nuclear, and more. We know that governments need to provide clarity. We know that markets need to be reformed.
But, to what extent is the culture inside our energy companies preventing the change? Is there a culture of inaction that is preventing new ideas from flourishing, are existing ways of working preferred to new, and are people just not convinced of the need for change?
New entrants start with massive disadvantages to incumbent players. Incumbent have established processes, huge lakes of data, experienced people, engineering expertise, a large customer base, ecosystems & supply chains, brand recognition (ok not always positive), and they understand regulation. A lot.
Yet new entrants seem to be winning the race across the globe. Part of the reason for this is that they can start from a clean slate of systems and processes, they are not held back by the weight of everything from their history.
Leaders try to shape the culture, they set objectives and performance indicators, but as Drucker said, “Culture eats strategy for breakfast”. Culture is the way that people behave, their ways of working, their habits, the way that decisions get made, what stops things from happening.
If we want to accelerate the pace of change then culture is a major lever that needs to be pulled.
