Engage in Social Corporate Responsibility
BP has recently taken on much more corporate social responsibility, especially when it comes to the restoration of the Gulf Coast region.
BP took responsibility for its role in the disaster and shortly after the spill it began working with State and Federal trustees through the Natural Resource Damage Assessment to find the long term effects on the environment as a result of the spill. This information has now been used to find early and long term restoration projects. Continue reading
Create a New Company Culture
Perhaps the most effective way BP has recovered is establishing a new culture revolving around the central tenet of safety. BP has implemented new, central values (safety, respect, courage, excellence, and one team) that are crucial to explaining the companys new ideology.
It has instilled these values by embedding them within the company´s processes via training, promotion, hiring etc. Continue reading
Develop a Safety and Operations Risk Function
BP created a Safety and Operations Risk function (S&OR) that could quantify that amount of risk that the company was taking throughout its operations. The function sets clear requirements, maintains and independent view of operating risk, provides deep technical support for the operating business, and intervenes when necessary to cause corrective action. Continue reading
Continue to Improve Operating Systems
BP`s Operating Management System(OMS) was implemented in 2008, and helps integrate BP requirements on health, safety, security, the environment, social responsibility and operational reliability. Continue reading
On May 20, 2010 the Macondo Prospect exploded in the Gulf of Mexico, taking 11 lives as well as opening a sea floor oil gusher that would spew toxic oil into the ocean for the next 87 days. In total, it is estimated that 4.9 million barrels of oil flowed into the Gulf of Mexico, causing devastating consequences for the ecosystem. Who was responsible for this disaster?
After various investigations it was found that faulty operations within British Petroleum were the primary cause of the explosion and the subsequent oil spill. This unprecedented disaster did not slip by the public-eye unnoticed, and the spill made headlines throughout its 87 day lifespan.
As a result, BPs public image was destroyed and there share price dropped from 528.80 to 298 from May 20 to June 29. Although there was this extreme drop in company share price, today the company remains as one of the largest, strongest and powerful in the world. So how did BP recover from this catastrophe?
In my 4 subsequent posts I hope to answer this question.
– BP Oil: How to Recover From Disaster- Answer 1
– BP Oil: How to Recover From Disaster- Answer 2
– BP Oil: How to Recover from Disaster- Answer 3
– BP Oil: How to Recover from Disaster- Answer 4