MidDel Consulting was approached by a large East Coast natural gas utility and marketing company to assist in integrating a newly acquired retail business into their existing systems. MidDel conducted a bottom-up analysis of their existing two-system solution, with interfaces moving data between their trade capture/scheduling system to their risk management/accounting system. MidDel was also asked to implement a number of improvements to pricing formulas, risk and accounting reports, and key trade controls in order to facilitate the new business.
On an accelerated five-week timeline, MidDel accomplished all of the goals laid out at project inception. MidDel was able to make key improvements by reducing complexity and increasing efficiency in the following areas:
· Price formulas
· Stress Testing
· Gas Scheduling
· Transaction Data Integrity
· Accounting Reporting
The improvements were made by collaborating between the risk and IT groups, reducing this client’s previously experienced time from solution design to delivery greatly. MidDel’s ability to quickly respond to this client’s short deadline with a team made up of business and technical experts allowed for a significant improvement in the time required to implement effective solutions.
The client was able to immediately benefit from the improvements, enabling the decommissioning of acquired entity systems. Based on the success of this project and identified improvements outside of the scope of the acquisition integration, MidDel was retained on a six-month engagement to make a series of 15 process, data setup, underlying database, and reporting enhancements for the client.
The installed improvements saved the client in terms of ongoing system licenses, vendor support, and employee support costs. The client achieved an estimated $250,000 in cost avoidance based on these factors.