The theory behind DWEP and GOM being separate is so that DWEP can focus on exploration and MCPs in the deep water while GOM focuses on running and maintaining existing assets in both the deep water and the shelf. It makes sense as long as Chevron maintains a sizable presence in the shelf but with the push to sell most of the shelf assets, who knows. To further complicate matters, most of the external contracting companies that have expertise in deep water and who actually do the engineering work on Chevron projects operate in Houston. So, already a lot of the GOM deep water projects are taking place in Houston and not Covington. Will the two BUs merge and move to Houston? Who knows. I would guess it isn't likely because the cost of merging and the lost concessions that Louisiana gives to Chevron would outweigh the benefits. Besides, DWEP has its hands full attempting to salvage the debacle that is Bigfoot and distracting everybody with a BU merger would not be a smart idea when billions in sunk cost capex hang in the balance. But stranger things have happened.
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Once upon a time, the official logic for building the office park in Covington after Katrina was to maintain a presence in Louisiana due to the assets in the area (offshore, St. James, Pascagoula, etal.) Whether that is still valid is another question...
GOM, you mean the only BU that got a "good" rating in their audit while others fell on their asses. That GOM?
I'm not totally sure why DWEP was split from GOM, but I think it boils down to two reasons: 1) to establish a global center of excellence for deepwater MCPs and 2) to federate that CoE as if it were basically an internal service company. That way it could be a global resource, potentially be outsourced or, in theory, maybe even provide billable services outside Chevron.
In reality, 99% of what DWEP does is in support of GOM (some loaned out technical people to NMA and ASBU notwithstanding).
As far as moving GOM to HOU 1500, that rumor has been around forever. Fact remains that the Covington office opened in 2008. It would be stunning for Chevron to vacate the building that soon.
I'm not totally sure on the cut %. The announced target was 20% ( that's available on the GOM site), but that was at a different oil price and I don't know what oil price assumption was used at the time that cut was announced. I know that some of that 20% was accomplished in RAE.
Why did they split in the first place?
Really wished I could 👍 some of these posts!
Aa long as jessie goes, and takes that punk shawn with him. Maybe whoevers left can have a future and we can move forward.
They split in late 2004 but GOM has still not gotten over it..
Combining GOMBU and DWEP? In true Chevron CHAOS fashion, time for a new acronym!
G-O-M-B-U plus D-W-E-P minus B = WE GO DUMP
Weren't DWEP and GOM previously one business unit? Wasn't it around Katrina (2005) that they split and a lot of folks moved to Houston and became DWEP? I may have that completely wrong. They may have been separate but both in The Boot.
BCG made the recommendation of combining DWEP and GOM. They said there would be a 40% reduction in head count before they even start to look at the work. All the team leads and there employees are redundant. Chevron will be forced to consolidate the two......and yes it will be dumb and dumber when they combine. Not knowing at this point who is which.
Anonymous 141618 - DWEP is every bit as bad as GOM. The combining of these BUs will make for an interesting workplace!
Still ranked number 1 energy company in the U.S. to work for!!! I'm sure GOM is a world class outfit like the others!
Don't forget the CNAEP arrogance, that they think are the best OPCO in the world.
Petulant, childish and sniveling employees. You just described the Houston office culture.
Yes. They need to shut that whole bigoted office down, with its petulant, childish attitude and sniveling employees. No other business unit has the reputation that GOM has.