Business Model

Flexible business model

Relying on our key strengths, we look to deliver high-quality products safely and at the best value, consistently time
after time.

Creating long-term value

The underlying business model for Lamprell is to provide high quality and reliable products and services that fully satisfy our clients’ requirements and that are delivered to industry-leading safety standards, at a competitive cost and acceptable margins. Maintaining historic margins during this industry downturn continues to be challenging as most competitors are focused heavily on delivering the lowest price. However, Lamprell has won new profitable work by using its competitive advantages to target the markets and clients which recognise the importance and value of our key strengths. Building on this, Lamprell is targeting greater participation in larger and more complex EPC projects, in some cases in combination with project partners whose expertise complement Lamprell’s experience as the industry emerges from the current downturn.

Our competitive advantages

First and foremost, our modernised facilities are strategically located in the Middle East which is arguably the most important region for oil & gas production in the world, with more than 40% of the global proven hydrocarbon reserves.
As a result we are culturally aligned with client expectations for regional projects; there is also a financial benefit because transportation costs and risks for major construction projects in this region are reduced significantly as compared to delivery from yards in Asia.

We also have an established culture of improvement, which has been developed over our 40 years of existence and has been honed in particular by the management over the last three to four years through projects such as Compass (new ERP system) and Evolution. Overseen by a strong and experienced leadership team, these measures have been successful in ensuring the survival of Lamprell through the downturn and setting a robust foundation for growth when the market recovers.

Most importantly, we work closely with clients to identify their requirements and execute a plan to deliver on our promises. Where there are issues that threaten the execution plan, we are transparent and work collaboratively with our clients to find a solution and overcome any challenges. In this way, we aim to create a long-term relationship of trust with our clients.

Our business model