...Management Planning MGT/230 4/29/2013 Steve Mersereau Management Planning BP Management ensures that the material risks are identified and that the company runs effectively. Furthermore, BP management ensures that internal control and risk management is under control. In particular, some vital components of BP management include their recognition for the company’s yearly plan, reviews of material risks, ensuring that the chief executive adopts their approach about risks, and that the decisions made are taken in accordance through the system of delegation. Board Monitoring Group Risks The board annually reviews the group risks and the groups’ risks are managed as part of an annual group proposal. The board delegates which risks will be allocated to the committee while reporting to the board. The work program for the board is set on an agenda that identifies the board’s tasks and group risks. The committee receives reports about how each specific task is allocated. In particular, the audit committee manages financial risks and the SEEAC monitors all other risks that are not financial. On the other hand, the board reviews geopolitical risks. Reports are given from committees to the specific task that was allocated. In addition, the Gulf of Mexico committee specifically oversees the Gulf Coast Restoration Organization. Under BP’s authority outline, the executive management delegates to the chief executive of the group. Executive management also has many responsibilities...
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...Task 1 1.1 You are required to select any two companies from UK energy industry to compare and contrast the different organisational structures and culture with another company from the same industry. 1.2 Explain how the relationship between structure and culture can impact on business performance of the first organisation you have selected 1.3 Also discuss the factors which influence individual behaviour at your first organisation that you have chosen. Task 2 2.1 Compare the effectiveness of different leadership styles with another business organisation in the same industry. 2.2 Also explain how the management functions, managerial roles and management authorities will underpin their practice of this company management. 2.3 You need to evaluate the different approaches to management used by the both organisations concerned in this task. Task 3 3.1 You have to discuss the impacts on different leadership styles on organisational motivation throughout the change of periods in the first organisation you select in the task 1. 3.2 You need to compare application of two different theories within your work place in the same organisation. 3.3 Evaluate the usefulness of these motivation theories for the managers in your organisation concerned in this task. Task 4 4.1 Explain the nature of groups and group behaviour within the...
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...April 15, 2013 Management Planning As today’s leading energy company, British Petroleum, PLC (BP) has been thriving to satisfy the investors with legal, ethical, and social responsibility issues as a corporation while protecting employees and environment. The global economy has been fluctuating rapidly since the last tragic incident that happened in 2010; therefore, now is the time to evaluate the organization’s management planning function, analyze the influence that have had on management planning at BP, and analyze the factors that influence the company’s strategic, tactical, operational and contingency planning. Planning Function of Management The board of directors have played valuable role in both planning and decision making process at BP since the incident in 2010. Although BP had fully engaged to solve the issues from the incident by using top level skills and taking appropriate measures, the lesson BP learned was, in such a painful manner, that there are substantial financial risk accompany poor decisions and planning which was losing $30 billion, according to Marianne M. Jennings (Jennings, 2010). Therefore, BP plc is adopting a new basic planning process that was introduced by Bateman and Snell: situational analysis, alternative goals and plans, goal and plan evaluation, goal and plan selection, implementation, and monitor and control that moves not just in one direction, but in a cycle (Bateman & Snell, 2011). As top management of BP, board of directors...
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...Internal and External Factors in Management Lorenita Borrero, Darlene See, Irene Malta, James Ortega MGT/230 June 14, 2012 Devin Daugherty Internal and External Factors in Management British Petroleum is a major world-wide company with a focus on finding energy sources to meet the needs of people everywhere. BP, like its many competitors, operates within the bounds of the four functions of management; planning, organizing, leading, and controlling. Management within the BP also has to deal with different business landscapes to make sure their company stays competitive. These landscapes would be globalization, technology, innovation, diversity, and ethics. BP has internal factors that can be corrected within these categories that can lead to its success; however they also come with external factors that the company has little control over. However not a rule, an organization is can have a factor that affects both the internal and external factors that affect the four functions of management. Globalization is described as “allowing a company to maximize its profits by trying to become the best in the world (Bateman, 2011).” British Petroleum saw the advantage in globalizing because of the world demand for natural resources. This was an internal factor that leads to the globalization of the company. One of the internal factors that helped BP in its globalization efforts was the company becoming public in 1995. This allowed it to become 12th largest producer of crude...
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...British Petroleum (BP) is a worldwide oil as well as gas establishment whose roots can be traced in British. The company’s headquarters are based in London, United Kingdom. The company has been ranked as the third biggest energy establishment as well as fourth biggest establishment in the world measured by 2011 profits. The company functions in all sectors of the oil as well as gas business ranging from examination in addition to manufacture, purifying, supply in addition to advertising, petrochemicals, power generation as well as exchange. The corporation has as well diversified its core operations to integrate renewable energy actions that bio fuels in addition to wind power. Operating over 80 nation states it’s biggest union remains BP US in where it remains the 2nd biggest manufacturer oil as well as gas in the US. The company be situated both registered with London’s Stock Trade primarily with minor list with New York Stock Exchange. In British Petroleum planning is critical and it helps the company to forecast the future as well as chalk out actions to be taken. Planning can be viewed as a preparatory step that determines when, how as well as who is going to perform a specific job Internal and external factors in management of British Petroleum Company The British Company has several internal factors that can be corrected within these categories that can drive the company to its success; on the other hand they also come with external factors that are further than the company’s...
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...BP Control Functions Incontestably control mechanisms have existed within most businesses and organizations for guiding job responsibilities of employees toward accomplishing the company goals. There are many control mechanisms in a company. A strong human resources department controls managers and prevents employee abuse. Employee performance reviews and incentives assist in the control of employees. Compliance departments control legal risk and monitor operations to ensure the company follows state and federal rules. Financial budgets and accounting audits control financial risk. Product pricing controls marketing efforts. All the different departments must work together to create a strong and profitable company. The team will identify various control mechanisms in connection with British Protroleum (BP), compare, and contrast, determine the effectiveness, examine positive and negative reactions concerning their use, and provide an explanation about how the four functions of management are affected by them. BP used several control functions in its deep sea exploration process; all implemented to prevent the type of disaster they experienced in April 2010. There were systematic failures at every turn, creating a perfect storm and a devastating deep sea oil spill. The spill itself has been recorded as the largest oil spill to date in American history by the National Oceanic and Atmospheric Administration (Zeller, 2010). According to the same article, the BP spill was...
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...William J. McLeod Dr. Etido Akpan BUS 508: Contemporary Business 10 February 2012 British Petroleum (BP) is one of the world's leading international oil and gas companies, providing its customers with fuel for transportation, energy for heat and light, retail services and petrochemicals products for everyday items. In its global business, the company has several family brands: BP, ARAL, ARCO, Castrol, am/pm and Wild Bean Café. BP's global business is divided into three distinctive organizations to deliver energy products (Upstream, Refinance and Marketing, and BP Alternative Energy). Global Business: Created in September 2010, Upstream consists of three distinct Divisions – Exploration, Developments and Production. Within the Developments Division there are two Technical Functions the Global Wells Organization and the Global Projects Organization. Within the Production Division there are also two Technical Functions Operations and Subsurface. A Strategy and Integration organization led by a fourth Executive Vice President, (including HR, Finance, IT and Technology) and ensures integration across the Divisions and Functions. The downstream business segment converts crude oil into useful products such as fuels, lubricants and petrochemicals. It also stores and distributes these products to where they are needed, and markets them to customers in more than 70 countries. BP’s Refining and Marketing operations are carried out...
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...ISSN: 2278-3369 International Journal of Advances in Management and Economics Available online at www.managementjournal.info CASE STUDY Crisis communication failures: The BP Case Study Daniel De Wolf1, Mohamed Mejri2* 1University 2Ecole of Littoral Côte d’Opale (ULCO)/Management & Economics, Dunkerque, France. Superieure de Commerce/Management Department, University of Manuba, Tunis, Tunisia. *Corresponding author: Email: mohamed.mejri@univ-littoral.fr Abstract On the 20th of April 2010, an outstanding explosion of the BP Deepwater Horizon oil rig situated in the Golf of Mexico caused the largest maritime disaster oil spill in the USA history and particularly caused considerable reputation and financial losses to BP.To deal with the spill oil as well as reputation and financial losses, the company particularly use many tactics and tools to communicate with stakeholders during and after the crisis. However, crisis management and communication experts’ opinions differed on whether BP crisis communication was effective or ineffective.This paper aims to assess BP crisis communication and mainly to point out possible failures through a content analysis of secondary data collected from various sources (newspapers, magazines, annual reports and blogs). Keywords: British Petroleum, Crisis communication, Crisis Management, Deepwater horizon. Introduction On the 20th of April 2010, the petroleum industry has been marked by the largest maritime disaster oil spill...
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...advantage over its rivals. The importance of internal controls and risk management is highly recognized at Wellfleet. Wellfleet aligns their risk management to Basel II Accord and guidelines. The bank has a unique risk profile and warranted risk-taking discipline. The bank aggressively pursues growth in the large-scale transformational deals. The bank wants to grow aggressively but with balance. As the bank grows, they need to make sure that their risk infrastructure keeps apace with the business opportunities. A consequence for their growth strategy, the bank is facing several risks, such as legal/regulatory risk, credit risk, business risk and operational risk. The legal/regulatory risk is presented by changing international regulatory rules, the bank is required to set aside and manage capital reserves in response to these new regulatory rules. The global economy is becoming more competitive and Wellfleet bank is growing against a risky environment. Companies may default and that present credit risk to the bank. Wellfleet has more strict risk control than its competitors, and pay more attention to the risk modeling rather than the holistic view of the company requesting the facility or industries it operates in. The business risk followed by key lending decisions that the bank makes may result in an opportunity loss for revenue from current/potential customers. The power of the risk management function caused lots of tension in the corporate banking unit. The bank has a growing...
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...BP (British Petroleum) is 1 of the biggest energy companies in the world, there are almost 100000 employees in this company. BP offers to its consumers petrochemical products for daily use items, energy for light and heat, fuel for transports with retail services. From 1966 Lord Browne was the CEO of the company for many years. He focused on two areas : one is green energy and second is knowledge management. In my research I focused on BP when Lord Bowne was CEO. BP was first adopter of Knowledge Management, a scheme that collects all data gathered across an organization. Using this structure engineers and managers at every level have admission to, and may learn from, experiences of each other. Knowledge Management (KM) is the method in which a corporate like BP can take the knowledge of its experts and employees across the world and carry it all together to form a competitive advantage and best practice. BP began using of KM principles in the mid-1990s when Lord Browne was CEO (under his leadership) and has sustained until now with the implementation and development of KM Guidelines for Production and Exploration. "The simple minimum for Knowledge Management is to make KM strategy a actuality: to confirm that people are out there relating the best knowledge which BP has, in a constant manner all over the world," says Houston- BP consultant Wendy C Valot. "Knowledge Management holds all disciplines connected to E&P, from engineering to drilling to task management...
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...SAP’s ERP Solutions Introduction Today’s highly competitive global business arena has become an environment where companies face numerous obstacles and challenges. In an attempt to adapt to rapidly evolving business needs, Enterprise Resource Planning systems, more commonly referred to as ERP, were developed. Simply put, an ERP system is a set of software modules that handle the core functions of a business. Various functions that include a wide range of business applications are integrated into one system that allows them to communicate seamlessly in order to provide reliable, real-time information to base business decisions upon. No matter what marketplace a company operates in, there is a need to have precise and accurate information which provides keen insight that allow for swift, flexible, and efficient actions. SAP, one of the pioneers of ERP software, is one of the industry leaders that specialize in providing solutions to meet the ever evolving ERP demands of modern business. Their goal is to provide products that consistently deliver high quality solutions in the form of software applications that help businesses operate more efficiently in their daily activities (Quality Vision, n.d.). SAP’s sole focus is on the development of superior enterprise applications which has allowed them to maintain its customer base for over 40 years. Like many other ERP solutions, SAP offers a variety of products that can be scaled and tailored to meet the needs of the firm...
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...Assignment 3: Using Teams in Production and Operations Management Brandon Jones Contemporary Business February 12, 2011 The British Petroleum Company, better known as BP, is an oil and petroleum conglomerate that has serviced consumers’ needs since approximately 1909. When it was first founded by William Knox D’Arcy the company was known as the Anglo-Persian Oil Company (BP Global, 1996-2012). The first few years of business was shaky Winston Churchill believed in its success and supported the oil movement. His speech captured the attention of the United Kingdom government so remarkably that they endorsed and became investors of the Anglo-Persian Oil Company (APOC) (BP Global, 1996-2012). With the growth of heating and automobiles powered by gasoline came the rising success of the APOC. In 1935 Persia renamed its country Iran, thus sparking the company name change to Anglo-Iranian Oil Company (AIOC) (BP Global, 1996-2012). After many ups and downs during and following World War II, the year was 1964 when the AOIC took on its third and present name change to British Petroleum Company, better known as BP(BP Global, 1996-2012). British Petroleum Company is currently a one of the world’s top ranked oil suppliers. With recent economic changes, BP has formed new subdivisions in order to maintain revenue and appeal to consumers. The British Petroleum Company’s presence exists in all 7 global continents. Many of these worldwide operations have partnered up with local...
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...British Petrolum 2012 BP Oil Spill Management Dr…………………………………….. Nahla…………………………… , Nuf………………………. QATAR UNIVERSITY Executive Summary This paper examines the oil spill that took place due to an explosion at one of the drilling rig of British Petroleum on 2010 in the Gulf of Mexico and the managerial response to that crisis. Introduction: History of British Petroleum (BP) According to the British Petroleum's website, the company has started in 1908 with oil found in a rugged part of Persia after a long and hard search. Since then, discoveries large and small have participated in our progress. This is the first phase of BP between 1901 and 1908, the period during which the oil discovery was uncertain. The company has started as the Anglo-Persian Oil Company, which would be called one day BP. The next phase of BP's history was from 1909 to 1924, when the Field of Naphtha was 210 rugged kilometers from the mouth of the Persian Gulf. The Anglo-Persian was building a refinery to turn the thick crude oil into a usable product. Despite its name, the British Petroleum brand was originally created by a German firm as a way of marketing its products in Britain. During the I World war, the British government seized the company’s assets, and the Public Trustee sold them to Anglo-Persian in 1917. The Third phase of BP's history was from 1925 to 1945, when cars flooded onto the streets of Europe and the United States in the 1920s and 30s. BP-labeled gasoline pumps...
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...and British Petroleum Plc are chosen to explain and discuss on good corporate governance; meanwhile Enron is chosen to explain and discuss on bad corporate governance. Since Starbucks and Enron are incorporated in the United States of America (USA), therefore these two companies will be used to compare how they governance their company under principle of corporate governance of America. Corporate Governance in United States (US) In United States, after have various corporate scandals, corporate governance has rising to the forefront of public attention such as Enron, WorldCom and Tyco shook the U.S. securities markets then set off a serious global financial crisis. It highlighted corporate governance failures, lack of adequate risk management procedures responsibility from the board. Sarbanes-Oxley Act of 2002 (SOX) strengthened rules of board independence and the role of committees in company. This act...
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...both ethically and environmentally. This company markets its products in over 100 countries and, as of December 2011, employs over 83,000 employees. British Petroleum has worked hard to honour their commitments to the people and communities of the Gulf Coast. This company produces the natural resources that the world depends on daily, and produces them in some of the most operative, proficient, and resourceful ways which are possible today. (BP, n.d.). This company proves to be constantly evolving in the world. They are always innovating and coming up with new ways to operate their business as to cause the most minimal effect or damage on the environment. BP has become one of the most environmentally aware companies of the modern age, especially from what they have gone through in the Gulf of Mexico, and the revolutionary technologies they have integrated in their business operations. The vertically integrated company uses three main types of leadership, as well as an operational controlling method to ensure that the organization functions accordingly and remains socially responsible, ethical, and practices corporate social responsibility. By focussing on developing the company’s organizational structure on upstream and downstream tasks, British Petroleum can aim towards innovating and distributing their goods and...
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