Transformation requires people to embrace change

To effect that change, you need the right leadership, the right technologies, and the right mindset. For the past four years, we at Phillips 66 have been hard at work transforming the company digitally to achieve improved business outcomes and further position us to thrive in a sustainable energy future.

The strategic implementation of emerging digital technologies and advanced analytics is empowering our employees to embrace new ways of working, all the while establishing the company as a digital leader in the industry

Just as importantly, the first phase of this digital transformation we call AdvantEdge66 has laid a robust leadership behaviors foundation for Phillips 66 to pursue change — and innovation — beyond digital.

At Phillips 66, we make the many products that make the world go. Our employees around the world are committed to safely delivering affordable and reliable energy. Our vision is to provide energy and improve lives.

You might label us a young company Phillips 66 is celebrating its 10-year anniversary this year but our heritage spans nearly 150 years thanks to our predecessor-in-interest companies. You  say we operate like a 150-year-old start-up.

Change may be a constant, but that does not mean it is easy. Our company leadership understood early on that the success of our digital transformation would hinge on getting buy-in from our employees and empowering them with the tools they needed to embrace different ways of working and excel at them.

 It wasn’t a matter of buying a solution off the shelf; we needed to win hearts and minds.

The company set out to accomplish this by working a parallel track to reset the culture and mindset of the organization. The goal was simple: Demonstrate how innovation and thinking outside the box could deliver desired business outcomes and deliver digital transformation at scale across the company.

Yes, AdvantEdge66 has enabled Phillips 66 digital transformation by leveraging a cloud-first mindset, expanding analytics capabilities, deploying machine learning at the operating units, and embracing artificial intelligence for industry-first optimization.

In addition to digital initiatives, AdvantEdge66 also introduced initiatives aimed at fostering the right culture for transformation to thrive, including the introduction of a set of leadership behaviors.

The result? An enterprise that today is more agile, efficient and better equipped to make smarter, more informed decisions in an environment of market volatility.

Thanks to our digital transformation, we have unlocked our collective mindset to what is possible, and that has allowed us to identify new opportunities to transform further.

As Phillips 66 enters the second phase of AdvantEdge66, it is also embarking on a comprehensive business transformation that is focused on positioning the company for long-term success.

We aim to achieve this by optimizing our cost structure and reimagining our operating model. We want to not only participate in the energy transition but lead it.

It only makes sense, then, for these two transformational efforts to go hand in hand. Our digital efforts, which are now focused on efficiencies, will drive the business transformation.

We see these transformational efforts as critical enablers and differentiators as Phillips 66 and the energy industry tackle one of the greatest challenges of our time: how to produce and deliver the affordable and reliable energy that drives global progress while addressing climate change.

At Phillips 66, we are working hard to be part of the solution. Last year, we announced impactful, attainable and measurable targets to reduce greenhouse gas emissions intensity from our operations and products.

We have also introduced a new organization within Phillips 66 called Emerging Energy to identify, pursue and commercialize opportunities in the lowercarbon space. We are focusing on renewable fuels, batteries, hydrogen and carbon capture.

This is an exciting time to be in energy and at Phillips 66.

Our digital efforts, together with our business transformation and what is possible with Emerging Energy, make for a winning formula as we drive for a lowercarbon future.