• Marc Hamer

  • Christian Busdiecker

Growth

Business Strategy

The renewables sector is an energetic mix of massive political growth drivers and obstacles to growth, supply chain instability and risk, price volatility, and high paced innovation. We support you in building your strategy for market entry, growth, turn around or divestment. We assist you on:

  • Orchestrating the strategy process
  • Conducting a thorough analysis of market,
    competition and value drivers
  • Developing and assessing strategic options
  • Developing the strategic plan
  • Formulating the strategy clearly
  • Implementing the plan

A strong strategy is clear, comes with a commitment on numbers and timeline, has buy in from the team that will implement the strategy, gets implemented.

Service and O&M Strategy

Globally, 3TW of renewable energy producing assets have been in operation by YE 2021. Under IRENAs 1.5° scenario, this installed base will 4-fold by 2030 and 8-fold by 2050. These assets and the additional electrolysers, transmission lines and charging stations need to be operated and maintained; a massive challenge and opportunity. We support asset owners, operators, service providers, component and system OEMs in defining their O&M or Service strategy. Project examples are transition from cost center to service business, growth of after sales business, risk mitigation and warranty management, market entry, O&M insourcing.

Supply Chain Strategy

In the last decade, the European renewables sector experienced a massive, partly disruptive supply chain transition from Europe to mainly Asia. In the face of wind sector´s price and volume war, we have built up factories in many countries to comply with local content requirements or to reduce cost. There were many risks to be evaluated like political, labour, quality, working capital, inflation, HSE or country risks. All OEM´s followed the same trend to remain competitive. Recently, the overconcentration of manufacturing capacity in a single country revealed the sector´s vulnerability to supply chain disruptions from unpredictable economic, political or accidental events. Therefore, we need to re-think the renewables supply chain to secure a sustainable transition to net zero emissions. Whether you want to undertake an end-to-end strategic transformation, or targeted fixes for specific hubs in your supply chain, we can help you to make your supply chain competitive and resilient.

Technology Assessment

A lot of innovation is happening in the renewables sector. One example are self-hoisting crane solutions for wind turbine installation. AI, augmented reality, drone, robots are technologies that are deployed in new solutions for wind turbine O&M. We support you to navigate the jungle of new solutions by assessing the costs, benefits and risks of new technologies for a specific purpose. Our assessment is independent, covers operational and commercial aspects and will be concise and to the point.

Transactions

Commercial Due Diligence

We understand the differing needs of corporate buyers and PE investors in this sector:

  • For Corporate buyers, Due Diligence emphasizes the target’s operations and supply chain, risks and mitigation options, red flags, synergies, joint value creation, and preparing for integration
  • For PE firms, we deliver much-needed industry depth to inform and help guide your choices. Due diligence focuses on market and competition, business model attractiveness, technology, supply chain and operations, risks, red flags and value creation opportunities
Post-Merger Integration

Between 70-90% of mergers fail in the post-merger integration because key people leave, teams don’t get along or demotivation sets into the company. Having managed a lengthy PMI from leading positions, we know how to bridge people and cultures, and how to merge operating models and systems. We´re happy to share this experience with you and advise you during a PMI process.

Renewable Assets Due Diligence

You have the owner’s perspective on your due diligence, we bring supply side expertise. We have seen vast amounts of O&M contracts, warranty terms, commercial conditions. We know what works well – or can go wrong – in operations. We have been deeply involved in finding solutions for issues on blades, bearings, gearboxes and electrical components. We have witnessed the commercials of projects derail and excel. If you look for transactions support for renewable assets with a specific strengths in understanding the supply chain side, we are your choice.

EPC and MSA Contract Review

Over many years, we have reviewed a lot of EPC, TSA and MSA contracts. We understand the bandwidth of terms and conditions that are typical and possible in the industry. In practice, we have experienced and managed in several (and sometimes exotic) countries of different nature: BOP, technical issues, logistics, HSE and local site installation, bankrupt suppliers, strikes, unions as well as country specific risks like inflation or capital market restrictions. If you look for an EPC or MSA contract review, with a specific strengths in understanding the supply chain side, we are your choice.

Performance

Performance Improvement

The renewables sector is highly competitive and excellent business performance is key for survival and long-term success. Impactful performance improvement requires a profound understanding of the underlying business and its value drivers, a structured approach and management attention. Over many years, we have been involved in multiple performance improvement initiatives, as team members, leaders and sponsors. We have honed our skills to establish the right setup, momentum and support of the organisation. We support you in running impactful improvement initiatives for your business, business unit or country organisation.

Business Process Redesign

Renewables are still a young industry and companies in this sector face significant challenges and high market volatility. Every time a company switches direction, it also must adopt the organisation and processes. Good business process redesign is critical and, in our view, often underestimated. Failing to do it when it is required will lead to inefficiencies, wrong allocation of resources and employee frustration. Not doing well has even more severe consequences including wasted management time, loss of key people and stranded investment in IT. There are 4 success factors to good business process redesign. Target setting and top management support. Process design with a solid understanding of the company, the business model, the operating model and the interfaces. Disciplined program management with execution focus. The right level of involvement of the right stakeholders from all levels of the company. With our industry expertise and the learnings from “process redesign executed as managers” we can help you with concepts that work in practice.

Service/O&M Excellence

Excellent operation & maintenance (O&M) for renewable assets requires skilled and highly engaged service technicians. They need to be supported by a responsive back office providing parts, technical support, work instructions and training in time and quality. Leadership on all levels must understand what matters in the field operations and leaders must be aligned not only through a meaningful KPI system but also on a personnel level. Suppliers for parts and services are a key part of the system. Planning is key to increase field service efficiency and satisfaction, optimise spare parts stock levels and parts availability and ensure control over often global operations. Remote control centers, data analytics and predictive maintenance algorithms are increasingly sophisticated and key contributors to excellent O&M. Service operations or O&M is a big interconnected system. We help you to bring your O&M to the next level. Depending on your needs we optimise parts of your system like technical support, warranty management or remote monitoring, run end-to-end improvement programs (e.g. to minimise production loss or maximise profitability) or support you transforming your entire service setup.

Renewable Asset Turnaround

When well maintained, wind farms and solar parks produce electricity according to the plan or better. In-house or external asset managers take care of the operation together with the service teams or service providers. The resolution of asset underperformance arising from component problems, operational deficiencies or people issues is part of the normal business. It can happen however, that the resolution process gets stuck. Money is spent on experts and lawyers in a process where the end is anything but visible. Significant management resources go into such resolution activities over a long period of time. These are the cases where we can add value by managing the turn around of your asset or issues. We have the industry expertise to understand the underlying problem, we have a holistic view on technical, operational, legal, technical and people aspects. We bring the seniority required for such role and resolved many seemingly unsolvable issues in the past.

Operational Excellence

There is a massive demand for clean electricity from solar and wind. At the same time, almost the entire wind supply chain is fighting with slim margins and many players are loss making. LCOE of onshore wind has dropped by 50% over the last decade, OEMs had to stem a yearly cost reduction of 10-20% and were fighting a cash burning tech race. Operational excellence goes beyond simple cost-cutting, fast product development and supply chain excellence. It´s about understanding the ecosystem, the value drivers and risks. It´s also about understanding quality of key components, which KPIs to focus on and how to deal with major series defects. We bring the experience and tools to support on building robust and high performing operations.

Transformation & Turnaround

We help distressed companies in their turn around. For us, turn around is more than cost cutting, which will help short term to meet earnings targets, but hurts a company’s performance in the long run. We look at both, ensuring short-term benefits on cash, cost or revenue but also set up a plan for long-term sustainable growth and value creation with you. We do this by really investigating and understanding how a company will make money today and in the future. What are the strength of the organization? How will markets develop? What will the customers need? After setting up the team, we take care of the short-term needs like cash and run in parallel a due diligence to really understand the value drivers of the company. We develop a transformation plan with the management, break it into targets for each area and support you in executing the plan. Ensuring ownership on the front line of the business is key for us, because only a plan that is supported and unfolds in practice will make the impact expected.