Investing.com -- Chevron Corp. (NYSE: CVX ) is streamlining its operations by reducing local and regional business units in favor of a more centralized model, aiming to improve performance and cut costs by up to $3 billion by 2026.
The oil giant plans to consolidate its offshore assets in the US Gulf, Nigeria, Angola and Eastern Mediterranean under a single division, while also bringing shale assets in Texas, Colorado and Argentina under unified management, Vice Chairman Mark Nelson told Bloomberg on Tuesday.
The company will establish service centers in Manila and Buenos Aires to handle finance, human resources and information technology work previously performed across multiple countries. Additionally, Chevron plans to create centralized engineering hubs in Houston and Bengaluru, India.
"We’re working so hard to simplify our structure, take some layers out so that we can execute faster," Nelson said. "Best practices are decided upon and applied across the system regardless of what continent they happen to sit on."
"If we’re going to continue to win and be an investment choice in the market, we have to just always be more effective and look for new ways and better ways to work," Nelson added.
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