SLS Oil & Gas Services

Hard
Energy
Operational Improvement
Public View

Practice with AI

Hone your skills by practicing this case with our AI-powered consultant.

SLS is one of the world's largest oil and gas services companies, and it is haemorrhaging Field Engineers from its Mumbai office at an alarming rate. Attrition among this group has climbed to 28% in 2016, nearly seven times what it was four years prior. The CEO wants to understand what is driving engineers out the door in Mumbai and fix it, with the intention of rolling out a similar solution across other affected offices globally. This case tests a candidate's ability to understand an unfamiliar operating context, read data carefully, and produce specific, actionable recommendations.

SLS operates in 85 countries and employs around 100,000 people drawn from over 140 nationalities. The company helps oil and gas clients find, scope, and drill for hydrocarbons, working across the full upstream value chain from exploration through extraction. Clients range from major international oil companies to petrostates such as Saudi Arabia and Russia. In Mumbai, SLS supports offshore oil and gas extraction for its clients. Field Engineers are dispatched to oil rigs at sea, where they operate specialised SLS equipment to record and analyse subsurface data. All rigs serviced by the Mumbai office are offshore, meaning FEs spend meaningful stretches of time on the water, away from the city, in conditions that are typically poor in terms of food, internet access, and accommodation. How the FE staffing model works: FEs are recruited directly from top engineering universities and hired as Juniors. After roughly two years, they are promoted to Senior. At any given time, one FE (Junior or Senior) is on standby at each rig, and a second FE is sent out when active operations are underway. Both FEs earn a bonus when they are offshore. The optimal stretch an FE likes to spend offshore before being rotated back is around three weeks. Outside of rig time, FEs are either at the Mumbai base office or on leave. What the data shows: The total headcount has remained at roughly 50 FEs for five years, and the number of active rigs has also been stable at 25. What has changed is the composition of movement in and out of the team. Engineers quitting voluntarily has risen sharply year on year, transfers out of Mumbai have dropped to zero since 2015, transfers in have increased, and the attrition rate has gone from under 4% in 2012 to 28% in 2016.

The Mumbai office is losing Field Engineers at a rate that has become a serious operational and commercial risk. At 28% attrition in 2016, SLS is churning through nearly a third of its FE population annually. The engineers who leave are mostly departing for postgraduate study or switching industries entirely, suggesting the job itself is failing to hold them rather than competitors pulling them away. The CEO has asked the consulting team to identify the root causes of high attrition specifically in Mumbai and to develop recommendations that can be replicated in other affected offices around the world.

Key observations to draw from this exhibit: voluntary exits are climbing sharply every year; transfer-outs dropped to zero from 2015, which removes a key career progression route for FEs; the influx of transferred-in engineers has increased without any apparent effort to integrate them with the existing team. Exhibit 3: Utilisation vs Effective Utilisation (2012 to 2016) This chart tracks two metrics over time. Utilisation measures the percentage of FEs who are not on leave on any given day. Effective utilisation measures the percentage of FEs who are actually offshore on a rig. Key observation: the gap between the two lines is widening. More engineers are showing up to the base office rather than being on leave, but fewer of them are being sent offshore. This means more FEs are sitting idle in the office earning no bonus, which directly reduces take-home pay and job satisfaction. Exhibit 4: Level Loading (aggregate) This bar chart shows the distribution of offshore stint lengths across the FE population. The majority of FEs are spending three weeks or more offshore at a single stretch, with the largest buckets falling in the three to four week and over four week categories. Given that engineers prefer a maximum of three weeks offshore before rotation, a large share of the population is exceeding that comfort threshold. Exhibit 5: Level Loading by Seniority This chart breaks the level loading data down by Junior and Senior FEs. It reveals a clear pattern: Senior FEs are disproportionately doing the longer stints of three to four weeks and over four weeks offshore, while Junior FEs are clustered in the shorter buckets but are still spending significant time in the office rather than offshore. The root cause is that risk-averse management, following a leadership change in 2014, does not fully trust Junior FEs to handle operations independently, so Seniors are being overloaded while Juniors are underutilised and under-earning. Math question (embedded in the case): Part a: With 50 FEs, utilisation at 80%, and effective utilisation at 60%, how many FEs are in the office on any given day? 50 x 80% = 40 FEs at work. 50 x 60% = 30 FEs offshore. That leaves 10 FEs in the office and 10 on leave. Part b: Given that only 2 FEs are needed in the base office at any time, 1 standby FE is required per rig across 25 rigs, and 36% of rigs have active operations requiring a second FE, what is the maximum achievable effective utilisation and how many FEs can be sent on leave? 25 standby FEs + (25 x 36% =) 9 operational FEs = 34 FEs needed offshore. Effective utilisation = 34/50 = 68%. With 34 offshore and 2 in the office, that leaves 14 FEs who could be on leave, compared to the current 10.
Exhibit 1Exhibit 2Exhibit 3Exhibit 4Exhibit 5
Opening / framework:
How would you structure your approach to understanding and resolving the high attrition among Field Engineers in Mumbai?
Understanding the context:
- What does a day in the life of a Field Engineer in Mumbai actually look like, and why does that matter for diagnosing attrition?
- What questions would you want to ask, and who would you speak to first before forming any hypotheses?
Data interpretation:
- What do you notice about the trends in Exhibit 2, and what hypotheses do they generate for you?
- Looking at Exhibit 3, what does the widening gap between utilisation and effective utilisation tell you about what is happening on the ground?
- What does Exhibit 4 tell you about the offshore experience of the average FE, and what follow-up questions does it raise?
- After seeing Exhibit 5, why might Senior FEs be spending so much more time offshore than Junior FEs? What is the management behaviour driving this, and what are the consequences for both groups?
Math:
Based on Exhibits 2 and 3, how many FEs would you expect to find in the base office on any given day? Given the actual staffing requirements, how many FEs could realistically be sent on leave, and what does the current situation cost them?
Recommendations:
If you had to fix one thing immediately this week, what would it be and why?
What longer-term structural changes would you recommend to prevent this from recurring?
How would you know whether your recommendations are working? What would you measure?

This case is heavy on qualitative reasoning and contextual understanding. The math exists but it is not the centrepiece. A strong candidate needs to first genuinely understand the FE's world before jumping to conclusions, then reason carefully through the data, and finally produce specific recommendations rather than generic retention platitudes. Part 1: Understand the business and the FE's life Before diagnosing anything, establish what the job actually involves. The FE works on offshore oil rigs with poor conditions, earns a bonus only when offshore, was attracted to SLS by the promise of global travel and a fast-moving career, and is now being stuck in an office in Mumbai with no bonus, no rotation out of the city, and no clear career progression. That context is essential to everything that follows. Part 2: Diagnose the root causes Start with FEs themselves before speaking to managers or HR. In-person conversations are more useful than questionnaires because the issues are sensitive and nuanced. Key themes to probe include morale, perceptions of management, what peers who left have said, and whether the role is meeting original expectations. Internal causes rooted in the data: management changed in 2014 and became risk-averse, which had cascading effects. Fewer engineers are being sent on leave, more are sitting idle in the office without bonus income, Senior FEs are being overworked offshore whilst Junior FEs are being kept back due to management distrust of their competence, transfer-outs have gone to zero cutting off a valued career mobility route, and an influx of transferred-in engineers has not been managed to build team cohesion. External causes worth noting: FEs departing for Masters programmes or different industries suggests a mismatch between who is being hired and what the job actually demands. The compensation premium SLS once held over comparable employers has been eroding. The booming start-up ecosystem in India has created viable alternatives for technically skilled engineers in their mid-twenties. Part 3: Recommendations Short-term actions (within weeks to a few months): Train the management team and make offshore rotation a process-driven system rather than one dependent on individual manager judgment. Swap FEs off rigs after roughly three weeks on a predictable schedule, not whenever managers feel comfortable. Push effective utilisation up to around 68% so that more FEs are offshore earning bonus and fewer are sitting idle in the office. Invest in making offshore life more bearable by sending better food, equipment for leisure, and improving connectivity where possible. Begin tracking Junior FE competency formally and run structured training to close the skill gaps that management is using to justify keeping them onshore. Introduce team-building activities to help integrated and transferred-in engineers build rapport. Longer-term actions (six months and beyond): Resume a healthy level of transfer-outs or create rotational assignments to other SLS offices, so that Mumbai does not feel like a dead end. Revisit the compensation structure and benchmark it against comparable employers in India. Rethink recruitment by setting clearer expectations about the offshore lifestyle during campus hiring, so that people who join are genuinely suited to it. Use internal and campus marketing to actively promote what is distinctive about an SLS career rather than letting the narrative be defined by those leaving. Hiring additional engineers is an option but comes at direct cost and should only follow structural fixes, not replace them.

Practice Sessions

No practice sessions have been proposed yet. Be the first to propose one!

Note: Accepted practice sessions will be available in your profile under "My Practice Sessions".

Case Materials

Submissions (0)

Sort by:

Be the first to comment on this case.

Published October 18, 2025 • 29 views
Firm/University: Wharton
No ratings yet
0