Premium Essay

British Petroleum (Bp)

In: Business and Management

Submitted By mcleodwj
Words 1489
Pages 6
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 through four divisions known as Value Chains Fuels, which refines and markets fuels; Petrochemicals, which manufactures chemicals with many uses in daily life; Lubricants, which manufactures automotive and industrial lubricants, and Global Oil Trading, which handles the supply and trading of crudes and feeder stock. Each is divided into a number of Strategic Performance Units and…...

Similar Documents

Premium Essay

Risk Management Failures of British Petroleum

...BP is a British global energy company which is the third largest energy company and the fourth largest company in the world. As a multinational oil company, BP is the UK's largest corporation, with its headquarters in St James's, City of Westminster, London. BP America's headquarters is in the One Westlake Park in the Energy Corridor area of Houston, Texas; the company is among the largest private sector energy corporations in the world, and one of the six leaders. In order to project social responsibility and improve its image British Petroleum changed its name into BP in year 2000 with a logo of green and yellow sunflower patterns. Paradoxically the same company symbol is now under derision and the object of controversial attacks from environmentalists and damaging court cases. The company’s predicament further worsened when it was listed as one of the “ten worst corporations” during the year 2001 and 2006. In fact, BP and its competitors Royal Dutch-Shell were considered by activists to be responsible with the threatening phenomenon of climate change. BP was warned before the oil pipeline leak happened in Alaska, but no action was made by the higher officials to mitigate its possible occurrence and reduce damages. In March 2005, BP's Texas City, Texas refinery, one of its largest refineries, exploded causing 15 deaths, injuring 180 people and forcing thousands of nearby residents to remain sheltered in their homes. A large column filled with hydrocarbon overflowed to......

Words: 2031 - Pages: 9

Premium Essay

British Petroleum Deepwater Horizon

...British Petroleum Deepwater Horizon Felicia Kuse Abstract The following paper will describe recent events that occurred with a British Petroleum owned offshore oilrig known as “Deepwater Horizon”. In addition the paper will also discuss various safety issues, concerns, and repeated violations that have occurred resulting in an environmental disaster that impacts the Gulf of Mexico of which the long term effects will not be known for generations to come. British Petroleum Deepwater Horizon On April 10, 2010 the offshore drilling rig, operated by the world’s sixth largest oil producer British Petroleum, erupted in flames. The result of this disaster caused “170 million gallons of crude oil to spill into the waters of the Gulf of Mexico” ("NRDC.org", 2011, p. 4), killing 11 people, and creating what could be the largest ecological disaster of the 21st century. This disaster is considered by many to be the largest oil spill ever to occur. Clean up efforts are still ongoing after almost two years. British Petroleum (BP) has spent billions of dollars in cleanup cost, restitution and community development; however the greater effects on the environment will not be determined for many years to come. The direct cause of this disaster has been identified as mechanical failure of a blowout preventer located at the base of the well directly above the site entry on the bottom of the sea floor. When this mechanical valve failed, it cause as large plum of highly flammable......

Words: 2701 - Pages: 11

Premium Essay

British Petroleum

...1. We recognized a pre-tax charge of $40.9 billion in 2010 and a pre-tax credit of $3.7 billion in 2011 as a result of the Incident. The total amounts that will ultimately be paid by BP in relation to all obligations relating to the Incident are subject to significant uncertainty and the ultimate exposure and cost to BP will be dependent on many factors. Furthermore, the amount of claims that become payable by BP, the amount of fines ultimately levied on BP (including any potential determination of BP’s negligence or gross negligence), the outcome of litigation, the amount and timing of payments under any settlements, and any costs arising from any longer term environmental consequences of the oil spill, will also impact upon the ultimate cost for BP. Although the provision recognized is the current best estimate of expenditures required to settle certain present obligations at the end of the reporting period, there are future expenditures for which it is not possible to measure the obligation reliably. On page 71 there is the table for the environmental costs. 2. In addition to operating and capital expenditures, we also create provisions for future environmental remediation. Expenditure against such provisions normally occurs in subsequent periods and is not included in environmental operating expenditure reported for such periods. Provisions for environmental remediation are made when a cleanup is probable and the amount of the obligation can be reliably estimated.......

Words: 318 - Pages: 2

Premium Essay

British Petroleum Runs the Social Media Gauntle

...British Petroleum Runs the Social Media Gauntle SUBMITTED TO: ALAIN LONDES SUBMITTED BY: RUMANA PARMAR SHIVANGI SHARMA GURMEET KAUR VARINDER DHIMAN Case Study British Petroleum Runs the Social Media Gauntlet Company Background British Petroleum is Public Limited Company established in 1954. BP is one of the TOP global oil and gas corporations in the world. It provides many products like carrying fuel; buy and sell services, power for heat and luminosity and petrochemicals products for day to day use items. It is on 3rd ranking, 1st and 2nd are held by Exxon Mobil and Royal Dutch Shell. The headquarter of British petroleum is in London, United Kingdom. It works in all sections of the oil, gas and energu business, they also do manufacturing and examination, up streaming, refining, promotion and distribution and power generation alternative energy and commercial functions. BP is in a perilous business, and is devoted to supremacy via ordered and organized management of activities. The company maintain improvement for the long-lasting future and beyond has been a part of designed focus for the British petroleum directors. BP has the idea to get enhanced and proceed the distinction and prospective of its industrial portfolio. The company focus on constructing long-term or weighty relationships with its customers and deliberate partnerships in business sector. The company has ability in petrochemicals. British petroleum has more......

Words: 1573 - Pages: 7

Premium Essay

British

...British Petroleum What we know today as British Petroleum is the result of several companies being bought and sold over many years. One of the companies, Standard Oil Company was created in 1870 by John D. Rockefeller in Cleveland Ohio. By 1892, while still not selling gas products, Standard Oil companies was providing lubricating products to keeps parts on horse drawn wagons moving friction-free. One of the other companies, the Angelo-Persian Oil Company was formed in 1905. By 1908 they were producing gas products and in 1912 they discovered a way to double the output of gasoline produced from a barrel of oil. At the same time they were able to find a way to increase the octane level of the gasoline produced. Industry Analysis Today, British Petroleum is one of the largest energy companies in the world. They provide their customers with fuel for transportation, energy for heat and light, retail services and petrochemical products for everyday household use. British Petroleum is involved in exploring for oil and other natural resources that can be converted into power. British Petroleum is committed to finding fuel sources that reduce green house gases and reduces the carbon footprint. They hope to accomplish as they research and refine alternative fuel sources such as fossil fuels, solar power, wind power, hydrogen, and natural gas. Competition in the oil and energy industry is furious. British Petroleum competes with companies like Exxon-Mobil and Chevron in three...

Words: 1820 - Pages: 8

Premium Essay

British Petroleum Oil Spill Disaster

...British Petroleum (BP) Case Study Executive Summary This case study report examined a public relation management problem that British Petroleum (BP) faced since the oil spill accident happened in April, 2010. In addition, this thesis recommended possible solutions and implementation plans for BP to deal with the public crisis. On April 20, the explosion on the Deepwater Horizon drilling rig in the Gulf of Mexico led to the largest accidental release of oil into marine waters in history. As a result, a huge loss of money and life was caused and affected serious environmental damage to wild animals and water pollution. BP was accused of their irresponsibility that it took 87 days before the well was closed and sealed. BP’s shares plummeted to the lowest point since 1996. The communities around the Gulf of Mexico blamed BP for their carelessness and appealed for more actions to recover their low income life. BP has already established $20 billion fund to respond the situation in the Gulf of Mexico. However, according to recent research, the amount of the money is not enough to straighten out the crisis.  In order to examine the case, we performed PEST and SWOT analysis methods. We focused on evaluating economic and socio-cultural factors that were the major elements had affects on BP’s public image. At the same time, we analyzed and key strengths and opportunities that essential for BP to revitalize its brand image. Our analysis revealed two crucial factors. First, BP’s......

Words: 7682 - Pages: 31

Premium Essay

British Petroleum

...nurse, in an impromptu ceremony in Sydney, Australia. Rowe was approximately six months pregnant with the couple's first child at the time. Originally, Rowe and Jackson had no plans to marry, but Jackson's mother Katherine persuaded them to do so.[168] Michael Joseph Jackson Jr (commonly known as Prince) was born on February 13, 1997; his sister Paris-Michael Katherine Jackson was born a year later on April 3, 1998.[158][169] The couple divorced in 1999, and Jackson got full custody of the children. The divorce was relatively amicable, but a subsequent custody suit was not settled until 2006.[170][171] 2003–05: Second child sexual abuse allegations and acquittal Beginning in May 2002, Jackson allowed a documentary film crew, led by British TV personality Martin Bashir, to follow him around just about everywhere he went. Bashir's film crew was with Jackson during the "baby-dangling incident" in Berlin. The program was broadcast in March 2003 as Living with Michael Jackson, and painted an extraordinarily unflattering portrait of the singer. In a particularly controversial scene, Jackson was seen holding hands and discussing sleeping arrangements with a young boy.[188] As soon as the documentary aired, the Santa Barbara county attorney's office began a criminal investigation. Jackson was arrested in November 2003, and was charged with seven counts of child molestation and two counts of administering an intoxicating agent in relation to the 13-year old boy shown in the......

Words: 17422 - Pages: 70

Premium Essay

British Petroleum

...British Petroleum is without a doubt one of the world’s most profitable companies of all time. British Petroleum or (BP) is the leading oil extraction company worldwide, therefore substantially affecting millions of people and companies. Bp gains its profits by transforming the oil it retains from around the world into the biggest commodity around; petrol, known as gasoline. In addition, Bp is also a major supplier of low carbon energy generated naturally by windmills and other means across America. Thus, satisfying the request that many American consumers have brought up in a publicized meeting regarding alternate means of energy. Bp, being one of the leading companies in the world affects an extremely wide base of, investors, retailers, dealers, and stock holders, not to mention the ninety six thousand employees currently working around the clock at their various locations. Many consumers assume that Bp with all its power and wealth couldn’t possible care what it is doing to the environment or economy; however, this couldn’t be any further from the truth. According to www.bp.com, Bp is currently partnered with over 13 major companies researching and utilizing Biofuel technologies; Advanced Biofuels Association, American Petroleum Institute, and Biotechnology Industry Organization, are just a few. With a net value of about seventy billion, Bp has many shares/stockholders and cares nothing more than making these valued customers happy with their decision to invest in...

Words: 610 - Pages: 3

Premium Essay

British Petroleum

...Company which is now known as British Petroleum (BP) was founded in 1909 and is one of the world’s leading international gas and oil companies. The multinational British company’s headquarters is located in London, United Kingdom and is one of the five largest oil companies in the world. The pioneer of the Middle Eastern oil industry, BP discovered oil in Iran before World War I and eventually became involved in all aspects of the oil industry, from exploration to marketing. Offering an array of services that expand from providing fuel for transportation to providing energy for heat and light, BP has become one of the leaders in energy sourcing across the globe. (Company History Index, n.d.) BP is also known for petrochemical products for everyday items and retail services. BP is one of the leaders of the energy industry. The company has high standards and uses the most modern technology in order to deliver long-term value and to meet energy needs. As a global company all activities and interest are held or operated through subsidiaries, associates or joint ventures which are governed by the laws of many jurisdictions. Around the world there are 16,400 BP service stations. (Company History Index, n.d.) Specify the nature, structure and type of products or services of Apple, and Identify two (2) key factors in the organization’s external environment that can affect its success. Provide explanation to support the rationale. British Petroleum (BP) is one of the......

Words: 1639 - Pages: 7

Premium Essay

Bp-Newzealand

...History of BP NZ The British Petroleum Company of New Zealand was established in 1946. It was 51% owned by the New Zealand Government and 49% by Anglo-Iranian Oil. By 1949, BP began selling petrol in most parts of New Zealand. In 1955 the New Zealand Government sold their shares in British Petroleum to the company and in 1957 the name was changed to BP New Zealand Ltd. New Zealand’s only refinery, in which BP has shares, opened in 1964 at Marsden Point. The 1970s were a time of great change. BP invested in a range of ventures in New Zealand, including becoming involved in salmon farming on the shores of Stewart Island and an extensive forest farm on the North Island’s east coast. BP New Zealand took a 60% interest in Europa in 1972. The combined group became New Zealand’s largest marketer of petroleum products. The two companies continued to operate independently with two separate brands until 1989. On the world stage oil prices were extremely volatile, sky rocketing from US$2.90 in early 1973 to US$35 by 1979. At this point New Zealand introduced car less days, restricted service station hours and an 80kph speed limited. There were more changes in store for BP and the industry in the 1980s, with unleaded petrol, CNG and LPG becoming available to New Zealand drivers. 1981 saw the introduction of ‘Service with a Smurf’, as people throughout New Zealand got caught up in ‘Smurfmania’ collecting the little blue figures from BP stations. The New Zealand oil industry was......

Words: 349 - Pages: 2

Premium Essay

British Petroleum

...Student ID British Petroleum case study 1. Company background 2.1. Amoco Oil Amoco Oil, previously known as ''Standard Oil of Indiana'', started of small in 1889; consisting of only one faciliy near Whiting, Indiana, but with a huge name backing it up – John D. Rockefeller. By Decemeber 1997, when the talks of a merger/joint venture started Amocco had $32.4 billion in assets and operated in 30 countries with 43,400 employees. The company's business consisted of three main segments: A) Exploration and production sector B) Refining and marketing sector C) Chemicals sector Exploration and production sector had the task of exploring, developing and producing crude oil and natural gas around the globe. Focusing on Amoco's proven developed reserves which were at the time 1,766 milion barrels of oifl and 13,904 milion cubic feet of natural gas. Refining and marketing sector of the company was among the largest sellers of gasoline in the United States through its 9,300 retail outlets. From their five refineries through 15,000 miles of owned or simply operated pipelines Amoco transported crude oil, refined products, carbon dioxide and natural gas. Their chemicals sector produces industrial and commercial chemicals. These three sectors combined generated $36.2 billion in sale in 1997, 78 percent of it was generated in the United States. In it's petroleum business; which generated approximately two thirds of its revenue and less than one fifth of...

Words: 871 - Pages: 4

Premium Essay

Bp Hire

...BP plc,[5][6] also referred to by its former name, British Petroleum, is one of the world's seven "supermajor" oil and gas companies.[7] It is a British multinational company, headquartered in London, England, whose performance in 2012 made it the world's sixth-largest oil and gas company, the sixth-largest energy company by market capitalization[8] and the company with the world's fifth-largest revenue (turnover).[9][10] It is a vertically integrated company operating in all areas of the oil and gas industry, including exploration and production, refining, distribution and marketing, petrochemicals, power generation and trading. It also has renewable energy interests in biofuels and wind power. [dated info] As of December 2013, BP has operations in approximately 80 countries,[4] produces around 3.2 million barrels per day (510,000 m3/d) of oil equivalent,[1] has total proved reserves of 17.9 billion barrels (2.85×109 m3) of oil equivalent,[11] and has around 17,800 service stations.[12][13] Its largest division is BP America in the United States. In Russia BP owns a 19.75% stake in Rosneft, the world's largest publicly traded oil and gas company by hydrocarbon reserves and production. BP has a primary listing on the London Stock Exchange and is a constituent of the FTSE 100 Index; it had a market capitalisation of £85.2 billion as of April 2013, the fourth-largest of any company listed on the exchange.[14] It has secondary listings on the Frankfurt Stock Exchange and the......

Words: 691 - Pages: 3

Free Essay

British Petroleum

...Kyle Moran Dr. Proctor BP Case In the case regarding our refinery plant in Lima, Ohio, I do believe it is in the best interest of not only British Petroleum, but the people of Lima to have the plant remain open. This area remains one of the foundation grounds in which one of our mergers, Standard Oil Co., struck oil years ago. In 1992, Vice President James Schaefer spent 3 years in an attempt to improve productivity and cut cost to save $7 million. According to his reports, the Lima plant actually attained $30 million in savings and added productivity over that period. After spending the effort and investment money to turn this plant around (an improvement of 30% in productivity), it wouldn’t make sense to shut down a revenue generating plant. This refinery is responsible for 500 jobs in the Lima area, generating a payroll of $31.5 million. The plant generates $26 million in annual fees to local utilities, and $11 million to local vendors. The 160,000 barrel-per-day oil refinery supplies Ohio with roughly 25% of their daily oil consumption. The demand for oil has only continued to rise and shows no signs of slowing down. If BP decides to part ways with this plant, it only seems right that we at least auction it off. This will give us money, but also keep the town of Lima with jobs and revenue. With all of these positive scenarios, shutting down the plant completely, I believe would give BP negative attention in the media throughout the United States....

Words: 264 - Pages: 2

Premium Essay

British Petroleum (Plc) and John Browne: a Culture of Risk Beyond Petroleum

...British Petroleum (PLC) and John Browne: A Culture of Risk Beyond Petroleum October 30, 2011 Abstract The image as well as the operational business reputation of a corporation is critical to the survivability of the corporation in today’s business world. This reputation is even more critical when a business has is known globally with holdings and operations around the world. Such is the case with British Petroleum (BP) as it actively explores for oil in 26 countries around the world. BP is renowned as an industry leader in oil production and the refinement of oil related products such as gasoline, kerosene and motor oil products. In 1999, BP acquired American Oil Company, also known as AMOCO. Part of the acquisition included the Texas City Oil Refinery which was over 70 years old and had been noted as having a history of safety issues. Due to BP’s lack of focus on the safety issues presented in the 2004 Telos Group report coupled with the lack appropriate oversight and control, the Texas plant experienced a disastrous fire and explosion killing 15 workers and injuring 170 other personnel as stated by Halbert and Ingulli (2010) (p. 185). From this event BP faced legal issues with U.S. federal environmental laws (EPA), Occupational Safety and Health Administration (OSHA) and lawsuits from the families of victims, just to mention a few. An investigation by the Chemical Safety and Hazard Investigation Board......

Words: 2164 - Pages: 9

Premium Essay

British Petroleum

...BACKGROUND The British Petroleum (BP) which was originally called the Anglo-Persian Oil Company is a multinational British company headquartered in London, United Kingdom. It was founded in 1909 to explore the oilfields of Persia (now Iran). British Petroleum is one of the world’s leading international oil and gas companies. Its services are mainly to provide their customers fuel for transportation, energy for heat and light, retail services and petrochemical products for everyday items. BP operates at the frontiers of the energy industry. The company uses world-class assets, technology, capability and know-how to meet energy needs and deliver long-term value. BP’s business model is to create value across the entire hydrocarbon value chain which starts with exploration and ends with the supply of energy and other products that are fundamental to everyday life. The company is focused on finding, developing and producing essential sources of energy, and turning these sources into products that people need. As a global group, the company’s interests and activities are held or operated through subsidiaries, branches, joint ventures or associates established in – and subject to the laws and regulations of – many different jurisdictions. By operating across the full hydrocarbon value chain, the company believes they can create more value for shareholders, as benefits and costs can often be shared by their two segments. They can develop shared functional excellence more......

Words: 374 - Pages: 2