LNG giant Shell is to reduce the size of its executive committee from nine to seven members in a move designed to simplify the organization further and improve performance.
Under the changes, Shell will combine its integrated gas and upstream businesses to form a new integrated gas and upstream directorate led by current upstream director, Zoe Yujnovich, according to a Shell statement.
The London-based giant expects these changes to take effect on July 1, 2023.
Besides gas and upstream, Shell will also combine its downstream business with renewables and energy solutions to form a new downstream and renewables directorate led by current downstream director, Huibert Vigeveno, it said.
Separately, the strategy, sustainability and corporate relations (SSCR) directorate will be
discontinued and its director, Ed Daniels, will step down from the executive committee effective July 1, 2023, and leave the company service thereafter.
According to Shell, the strategy directorate will be brought together with new business development and, alongside sustainability, will report direct to its finance chief, Sinead Gorman, enabling more streamlined planning and better capital allocation decisions.
Also, corporate relations will report directly to Shell’s new CEO, Wael Sawan.
Sawan has officially taken over the position of CEO of Shell on January 1, 2023.
“I’m making these changes as part of Shell’s natural, and continuous, evolution,” Sawan said in the statement.
“I believe that fewer interfaces mean greater cooperation, discipline and speed, enabling us to focus on strengthening performance across the businesses and generating strong returns for our investors,” he said.
“Shell is a great company and we’re changing to ensure we become a great investment too. Simplifying how the organization works, in pursuit of higher performance, is critical to
achieving that,” Sawan said.
