The trend towards full market liberalization we have seen in the last decade, in every sector from energy to water, as well as in associated services (such as waste treatment), has changed the existing market structure.
Where previously large monopolistic and state owned enterprises existed, posing huge barriers to entrance in the market, we now find highly competitive markets, where private players, often owned by large scale international corporations (often as a result of privatization processes) and regulated through new supervision models (competition authorities, general or industry-focused), operate.
Increased competitiveness limits prices, opening the access to the market. In conjunction with the pressure to obtain a profit that satisfies shareholders, this is tantamount to a significant cultural clash in organizations historically held by the State, where profitability took a back seat, when faced with public services (serve as many as possible, for as little as possible, regardless of the cost).
Leadership Business Consulting can support utilities in meeting their effectiveness (reaching goals set) and efficiency (optimizing resources) challenges, through tools that enable organizational transformation – cost reduction programs, organizational restructuring and process optimization, leadership development and value based management – and that support managers fine-tune their companies, to the new reality of the industry.