The last decade has been a period of unparalleled change for UK utility companies. All parts of the value-chain have seen major changes, reflecting government decisions to deregulate the industry structure, and then a combination of competitive and regulatory pressures unleashed by these structural changes.
Thought Leadership
Achieving compliance with emissions standards while gaining business benefit.
Read moreFeatured Success Story
Issue This client was utilising an existing SAP procurement system, but considered that it was not realising the full benefits of the system. Capgemini was engaged to undertake a review of the client’s use of the SAP system, together with a wider eSourcing assessment.
Capgemini’s utility sector team have played a key role in many of the most important changes in the industry throughout this period:
- Changes to wholesale markets – Capgemini led the project management on both the New Electricity Trading Arrangements programme for electricity and the programme to develop the Network Code and IT systems for gas trading;
- Introduction of retail competition – Capgemini led the project to design and implement retail competition for the gas industry and operates the processes and systems to process consumption data provided by suppliers and allocate correct volumes of electricity taken from the transmission system Read the Elexon success story
UK Energy Utilities – Our work with leading industry players
Capgemini is currently working for 5 of the 7 largest companies in the industry, undertaking a broad range of consulting, technology and outsourcing work. Recent highlights of our work include:
- End-to-end review of a client’s retail processes and identification of short and medium term improvements to deliver a 20% reduction in unit costs
- Helping one of the largest UK utilities achieve significant cost reductions by implementing a standard SAP system for key business processes
- Multi-year contract to maintain and develop systems for EDF Energy Customer Branch, combining our Accelerated Development Environment and offshore development capability to deliver rapid low-cost solutions
- Improving the productivity of a contact centre by 30% and achieving significant improvements in sales conversion and reduced absenteeism
- Helping a company reduce the costs of its retail competition application portfolio by providing a single-source application support package with an innovative approach to managing IT costs
- Supporting one of the largest independent generators through a strategic renegotiation of its power sales contracts;
- Implementation of a new asset management system to allow a nuclear generator to replace its plant maintenance and safety compliance systems
- A review of eSourcing for a generator which identified over £200m of potential savings over a four year period
- Business risk modelling for a network company, helping to identify the risk/cost trade-offs around individual network components and hence deliver savings on both maintenance and capital expenditure
- Supporting a large network company through its five-year regulatory review, with a team of utility and finance specialists working at all levels of the client executive and project team in a highly collaborative approach
Sample of our utility client credentials
Even after over a decade of change, there are no signs of the challenges for UK utility companies abating. Our clients in the utility sector face a uniquely challenging combination of business pressures:
- Constant focus on cost reduction and improved quality of service to meet the growing competition in the generation and retail sectors and increasingly stiff regulatory targets for networks
- Demands for increased levels of security and reliability in supplies of electricity and gas
- Balancing business risk and reward across investments in long-lived assets and competitive positions in short-term retail and trading markets
- The need to meet ambitious environmental targets for reduced emissions and the growing need to import gas and other generation fuels
Capgemini can provide a full range of consulting, technology and outsourcing services to help companies meet these challenges. To discuss the specifics of how we can help you please contact us.
