Strategic Human Resource Management: British Petroleum

Strategic Human Resource Management: British Petroleum William DArcy of Anglo-Persia Oil Company is the founding member of BP, in the year 1901. However, BPs first retail gas station first ever opened in Britain in 1921. Through the years it has grown massively due to its brand reputation worldwide. It has since become a very powerful Oil company and enjoys a fair market share. Upon merging with Amoco- a USA Oil Company, in 1998, BP then rebranded its retail gas stations and convenient stores. BPs is into the extraction and refining of oil and natural gas. Their retail ventures are under subsidiaries of Arco and BP filling stations. Since the turn of the millennium, BP took into investing into research and development, focussing on alternative energy sources like bio fuels and so far it seems to be leading in this regard. In 2009, BP was reported to be worth over $238 billion in assets with equity of $101.6 billion. With the ever increasing oil prices, their profits were reported to be nearly $21 billion in revenues of $291 billion. Today they have since gone beyond the above quoted amounts of 2007. They employ over 96, 000 people worldwide. MISSION, VISION AND VALUE STATEMENT BP has a slogan statement that has not officially been says What we stand for BP wants to be recognised as a great company that is competitively successful and a force for progress. We have a fundamental belief that we can make a difference in the world. We help the world meet its growing need for heat, light and mobility. We strive to do that by producing energy that is affordable, secure and doesnt damage the environment. PRODUCTS BP products include; Bio fuels, Gas and petrol stations, Motor oil and lubricants Route and journey planner, Gas and petrol station locator Target neutral a non profit carbon offsetting initiative Liquefied petroleum Gas Solar energy Business investments include; Air BP, Arco Aluminium, Aromatics Acetyls, Asphalt and bitumen, BP Crudes, Franchising, Shipping Gas and fuel cards, gas and power energy, Natural Gas Liquids, Solar power Industrial lubricants, Invoice tracking systems, Marine fuels and lubricants Organisational Structure This is the line of command in an organisation. It is a hierarchal structure that shows the composition and relation between the different departments within the organisation, showing clearly the channel of command, which may either, be a tall or flat kind of structure. BPs organisational structure Board of Directors Robert Dudley Iain Conn Byron Grote Executive Management Mike Daly Sally T. Bott Rupert Bondy Mark Bly Lamar Mckay Bob Fryar Bernard Looney Andy Hopwood Steve Westwell BPs Executive Management (bp.com) includes; Robert Dudley Group Chief Executive He became Group Chief Executive from 1st October 2010, taking over from Tony Haywood. Dr Byron Grote Chief Financial Officer Is a member of BP board of directors and a member of the executive management team. His responsibilities include, accounting for BPs integrated supply and trading activities. Iain Conn Chief Executive Refining and Marketing He is the chief executive of the BP Groups refining and marketing business and also holds regional responsibilities for Europe, Southern Africa and Asia Pacific. He is a member of the board of directors and a member of the BP executive management team Mark Bly Executive Vice President Safety and Operational Risk His responsibilities includes strengthening safety operations, Risk Management and the systematic management of operations across BP corporate group Rupert Bondy Group General Counsel He is responsible for legal function, trademark, patents and licensing and compliance Sally T. Bott Executive Vice President Human Resource She has held the post since her appointment, in 2005. Bob Fryar Executive Vice President EP Production His responsibilities are for the Safe and Compliant Exploration and Production and Stewardship of resources across all regions Mike Daly Executive Vice President Exploration He is accountable for the leadership of BPs access, exploration and resource appraisal activities and the long term replacement of BPs resource base. Andy Hopwood Executive Vice President, EP- Strategy and Integration Has worked in various positions in which he has been successful. He is also a member of the executive team Bernard Looney Executive vice President -Development Is responsible for Drilling and completions and project activity in the upstream Lamar Mckay President BP America. He is the chief BPs representative in the United States. Based in Houston Texas, where BP business units are involved in oil and natural gas exploration and production, refining chemicals, shipping and alternative energy Steve Westwell Executive Vice President Strategy and Integration He is accountable for BPs alternative energy businesses and manages all of BPs corporate activities in strategy and policy, internal communication media, press, investor relations, economics and long term research and technology. 4.2 ANALYSE THE IMPACT OF BPS CULTURE ON THE MANAGEMENT OF HUMAN RESOURCES. Organisational culture is the collection of relatively uniform and enduring values, beliefs, customs, traditions and practices that are shared by an organisations members, learned by new recruits and transmitted from one generation of employees to the next. (Buchanan Huczynski 2004). It has been very successful in line with its brand name and corporate reputation. Its culture reflected in their statement slogan as below BP is progressive, responsible, innovative and performance driven. They have further defined this statement as: Progressive They are restless in the research and development and improvement in exploration and refinery of oil, gas and fuels. They believe they have the principle of mutual advantage and can build productive relationships between themselves, their clients and partners. Responsible It is committed to the safety and development of its people and the communities in the societies in which they operate. They aim for no accidents, no harm to people and protecting the natural environment. Innovate we push boundaries today and create tomorrows breakthroughs through our people and technology Performance Driven BP is committed to deliver on their promises through continuous improvement and safe, reliable operations, by learning from their mistakes BP has over the years, has maintained a culture that, as exhibited in its code of conducts and their governance procedures in place. One characteristic business strategy that BP has continued to use in its system is that of Mergers. Over the years, BP has merged with other oil companies in most parts of the world and this had lead to the organisations diverse corporate culture. Generally BP has a large market share and has always had the potential to grow- thanks to other strategies, such as Acquisitions, Franchising and licensing .The BP brand is so strong and successful world over and enjoyed a good reputation. Unfortunately, the fatal accidents at the refineries (2005) and the latest oil spill off the Gulf of Mexico in April 2010 are not helping the current situation that the organisation is in. It has presumed that BPs outmost interest is profit marginalising than the welfare of employees and the general environment within which the firm operates. Trends of its culture in the nex t few months to come are expected to have been improved, if not changed completely, in relation to how the organisation operates. BP is primarily made up of two segments: Exploring and Production and the Refining and Marketing, along with other business units including alternative energy. BP prides its human resource capital and refers to them as our people. The organisations Human resource management aims to get the right people in the right jobs, accessing different specialist skills and promoting excellent performance. They carry out a focussed recruitment procedures, they analyse performances and reward accordingly and invest in training and development. The human resources department is made up top level executives and these make up what is known as People Committee, which takes the overall responsibilities for policy and decision relating to the employees. BP being a multinational corporation, and having employees from different countries, altogether, ensures that has one of the most biggest BPs human resources are highly skilled and efficient. The organisations Human Resource professional act as business partners, some delivery strategic guidance, while others support the day-to-day needs of managers and employees. In supporting its employees, BP invests in systems, data and core processes like governance, policy and compliance, so as to enable its human resource to respond quickly and effectively to the fast changing energy industry. 4.3 EXAMINE THE EFFECTIVENESS OF HUMAN RESOURCES MANAGEMENT IS MONITORED IN THE ORGANISATION BPs Human Resource management is one of the tops around the world. Its activities have also been admired and BP used to be one of the top priorities for employment in the energy sectors. Human Resources Systems This is the systems that BP has set in place in terms of its human resource management. It involves; Recruitment BP is committed to a culture of diversity, this helps them attract, develop and retain outstanding talent- regardless of background, age, religion, ethnic origin, nationality, disability, sex orientation, gender or marital status (BP code of conduct document) (BP sustainability review 2009) BP was named as the best energy company to launch a career in, based on factors like pay, rapid advancement and training programmes. (Business Week 2009) The organisation has schemes like the student and graduate employment facility which offers interested students and graduates intern opportunities. BP recruits graduates from a wide range of technical disciplines. In 2009, BP employed about 6500 out of which 470 were graduates. As BP is ever expanding, it requires qualified and skilful workers for its various projects around the world. Reward Systems BP has redesigned its reward strategies and processes, in such a way that, they can identify and reward top-performing businesses and individuals. In addition to pay, employees are rewarded according to how well they perform against specific objectives that must be clearly linked to the goals of the team as a whole. BP ensures to have benefit packages that are fair, attractive and sustainable for the long term for its employees. It states on their website, that as of 2010, they introduced a new flexible benefits plan in the UK, which includes private medical insurance and health screening, as well as a cash allowance for new hires to purchase benefits and defined contribution pension plans for those employees no longer eligible for the defined benefit plan Executive Reward packages Remuneration for executives is in cash and equity. This policy has been established by the remuneration committee of the board, whereas the policy for all other employees is by the group people committee. According to BP, their reward packages, strike the appropriate balance between rewarding individual performance and reflecting group performance. Performance Management BP does recognise that its high organisational growth and market share is due to the employees great performances (both individually and as a team). It strives for a performance -driven culture, with a clear alignment between team performance, individual performance and bonuses that are received. BPs performance approach entails that each BP business plan is designed to accomplish elements of the groups overall strategies. Objectives and milestones for each individual are set in accordance with the team plan. There is a direct link between the goals set by BP board and that or other BP key businesses, and the performance contracts of their executive leadership. Standard approach is that, the executives performance is evaluated against their performance contract. BP carries out an internal and external evaluation processes in developing plans for these group leaders Managers, peers and team members review leaders performance, using a 360ÂÂ ° feedback tool, to identify their top three relative strengths and weaknesses. It runs Career Acceleration programme which supports rapid development of employees who have the highest potential and are expected to achieve For Managers, it runs a series of development programmes called Managing Essentials. This is aimed to assists line managers in attaining leadership skills. They encourage leaders to develop, as they expect the leaders or managers to not only exhibit valuable expertise, but also to influence and motivate employees and be able to act decisively and deliver high quality results. RECOMMENDATION OF THE EFFECTIVENESS OF HUMAN RESOURCE MANAGEMENT IN BP Having researched and discussed the Human Resource Management in BP, I hereby recommend the effectiveness of the Human Resource Management. Their current systems in comparison to most local jobs (companies) are indeed second to none. Some of the highlighting points I base my recommendation on, includes the following working conditions: BP recognises the needs of individuals and has set out innovative working practices that encourage employees to enjoy a happy and productive work and life balance at every stage of their career. Flexible working BPs Information Technology infrastructure helps support flexible working and there are a variety of flexible working arrangements e.g. part time, and depending on employees role, they have home-based working or teleconferencing in some circumstances replaces the need to travel. Time to live As a global business, there are occasions when people have to work very hard an unsociable hours. If this is the case, BP may consider whether to provide extra time off and or additional benefits. Family time BP supports family friendly policies, such as career breaks and adoption leave, aimed at allowing people to contribute to their families without compromising their professional development aspirations Global Diversity and inclusion Council in the lead, is the Group Chief Executive. He ensures that the managers have the support they need to promote diversity and inclusion at every level of BP. It includes other senior managers and together they share their focus on making diversity and inclusion priority. Global Affinity Groups These are local affinity groups, employee-led teams of individuals who share interests or backgrounds. These groups offer support, information and the opportunity to help the business reach its diversity and inclusion goals. BPs Human Resource Management aims to attract and retain the best people, by offering opportunities to employees to learn and develop both informal training and mentoring. Teams set out to support individuals through their progress, by assisting new employees discover their talents and abilities. BP has a focused performance management system is one of the best in the world When employed, BP will align the individual objectives with the goals of the area of specialisation, upon which will be measured to ascertain the effectiveness of the individuals performance against the objectives and contributions to those goals. Norman Rockwell: Artist Biography Norman Rockwell: Artist Biography Norman Rockwell was born in 1894. Rockwell enjoyed drawing at an early age and soon decided he wanted to be an artist. At age 15 he left high school and enrolled in two art schools simultaneously. His mornings were spent at the National Academy of Design, and his afternoons, spent at the Art Students League. He is perhaps best remembered for his countless Saturday Evening Post illustrations and artistic contributions to the advertising industry. His early covers made Rockwell a star, and his paintings appeared in magazines and advertisements for the next half-century. Rockwell never considered himself an artist, but rather a commercial illustrator. After all, Rockwell never painted freehand, and almost all of his paintings were commissioned by magazines and advertising companies. No matter how many contributions Rockwell made to the commercial arts over his career, they all had something in common. He understood the importance the drawing process had in order to achieve effective ill ustrations for his advertisements and magazine covers. In the beginning of his career Rockwell worked from real life. He used models drawing directly onto his canvas. It has never been natural for me to deviate from the facts of anything before me, he says, so I have always dressed the models and posed them precisely as I have wanted them in my picture; then I painted the thing before me. If a model has worn a red sweater, I painted it red I couldnt possibly have made it green. I have tried again and again to take such liberties, but with little success. To keep up with the demand for a quicker turnaround for finished art, Rockwell began to use photos as a reference for his drawings. For twenty-three years I did all of my drawing and painting without any help from the camera. Even today I often work without photographs, yet I have found that if they are properly utilized they can sometimes prove an invaluable aid. I feel very strongly, however, that no one should resort to photographs until he has learned to draw and paint extremely well without them.In Guptills book Norman Rockwell Illustrator a description of Rockwells technique is given in extensive detail. The first step was to get an idea. Without a good idea right at the start, only failure can result, Rockwell said. Once he had an idea, his procedure was to make small scale thumbnails with pencil. When the idea was approved, the models were selected. He commonly used friends and neighbors and his models. He always insisted on getting the perfect model even if it entailed a len gthy search. Rockwell then acquired the necessary props and would hire a photographer to shoot the scenes, while he directed the models. With his okayed preliminary pencil sketch and his selected photographs, Norman then did a small sized study in pencil. This was done to organize his materials and his thoughts about layout and composition. Next, he made a full size detailed charcoal drawing on architects detailpaper. This was made to the exact size which he intended his final painting to be which varied according to the subject matter it was used for.Now the photographer was called again to reshoot the desired layout. Rockwell then painted from the photographs and did several color studies which allowed him to make tweaks to the tone, form or color. Rockwell then made a transfer from his full size charcoal layout on to his prepared canvas. First, he would trace this ona sheet of architects tracing paper, which he would then attach to his blank canvas. Between the tracing paper and the canvas he would place transfer paper and traced it onto the canvas. After all this meticulous prepping he was now ready to paint. Eventually, Rockwell altered his sketching process by using an opaque projector called a balopticon, which allowed him to cast photographic images onto his drawing surface, and lightly trace them. Rockwell said, When using the balopticon in this way, I do not simply copy everything which is projected from the photograph. Instead, I make many, many changes, large and small, in order to make the drawing like the image in my mind of what I want to portray. I cannot emphasize this point too much. The real danger in using the balopticon is that you will develop the lazy tendency to follow the image exactly instead of following the creative idea or image within yourself.Painting from photographs canbe a wholly creative performance if the artist himself is creative. To copy the form, tone and color of a photographic print certainly is not creative. But one can be creative by modifying drawing, values and other aspects of the photo to realize the creative needs of the subject. The camera is no substitute for those creative faculties of mind and hand which have always produced art and always will. The artist who cant draw or paint will never getanywhere trying to work from photographs. Probably the most important stage in Norman Rockwells technique was the drawing stage. In this stage, subjects were drawn in great detail, going so far as to indicate differences in light and shade by filling in areas with varying values of grey. If you look closely at a Norman Rockwell painting, much of his pencil lines can be seen lurking below the paint. I take the making of the charcoal layouts very seriously, Rockwell once remarked. Too many novices. I believe, wait until they are on the canvas before trying to solve many of their problems. It is much better to wrestle with them ahead through studies. Knowing that the success of his covers and advertisements depended on the strength of his ideas, Rockwell struggled to develop engaging picture themes. With the emphasis on preliminary drawings this allowed Rockwell to produce strong illustrations for his commissions. His successes in commercial art and the advertising industry are a result of those drawing phases. With his art on cover of the Saturday Evening Post, Norman Rockwell became an American icon. Although hesitant about approaching the Saturday Evening Post, he had dreamed for years of having his illustrations on the cover. Rockwell put aside his fears and in 1916 took two paintings and three sketches to Phildelphia and Mr. Lorimers office. Mr. Lorimer liked the two paintings and approved the three sketches for future covers for the Saturday Evening Post. The first Norman Rockwell Saturday Evening Post cover was published May 20, 1916. Entitled Boy with Baby Carriage (See fig. 1), it shows 2 boys in baseball uniforms making fun of another boy dressed in his Sunday suit pushing a baby carriage. One of Norman Rockwells favorite models, Billy Paine, posed for all three boys. On June 3, 1916, the second Saturday Evening Post Norman Rockwell cover was published. His second effort featured a kids circus with one kid in long underwear being the strong man. Another kid in a top hat was the ci rcus barker, extolling the other kids in the painting to see the show (See fig 2). This was the second of the two finished paintings Rockwell originally showed to Mr Lorimer. All in all, more than 300 Norman Rockwell Saturday Evening Post covers were published. Norman Rockwells painting of a colonial tavern sign painter in the February 1936 issue of The Saturday Evening Post had caught the eye of Princeton architect Thomas Stapleton, who decided to commission Rockwell to do a mural for the reconstructed 1756 Nassau Tavern located in Princeton. Rockwell enjoyed doing colonial subjects and because Princeton was the site of a major Revolutionary War battle, a painting of Yankee Doodle seemed appropriate. Yankee Doodle was placed behind the bar to be enjoyed by all the male guests (See Fig. 3). Rockwell researched and had new costumes made for his models. He engaged his friend, Fred Hildebrandt, a professional model and illustrator, who had posed as the colonial sign painter, to pose as Yankee Doodle. This painting underwent several phases in preparation for the oil painting. First, a drawing was done from the model, with very little changes being done (see fig 4). Second, a drawing was done from the first drawing. In this version the drawing was pushed further. Here he makes the body thinner, the arms and legs are elongated, and the shape of his nose is changed. The clothing also adds to the character and his action. The vest now creates a more interesting silhouette, while the smaller scarf helps thin the shape of his upper body. The negative space between him and the saddle, as well as the disheveled hat, flowing hair and coat, convey a bouncing ride (see fig. 5). Third, the drawing is transferred and a color-study is done (See fig. 6). Finally, the finish changes are made. Most are subtle, but there is improved contrast to the coats folds, and changes to the negative space in relation to the elbow. (see fig 7). These process images support Rockwells comments that the ability t o draw is the most import. In the cover illustration for The Saturday Evening Post on April 16, 1955, Art Critic, Rockwell was far from beginning his final painting when he completed this drawing. His photographer recalls that Rockwell considered this one of the most difficult paintings he had done. He spent more time on it than on almost any other Post cover. Using his wife Mary as the model, the face of the woman in the portrait changed no fewer than 17 times. (See fig 8). For each alteration, Rockwell painted a separate oil-on-acetate sketch, which he then could place for consideration within the portraits frame. At some point Rockwell replaced the 17th-century landscape on the opposite wall with a group portrait of Dutch cavaliers. The cavaliers critical observation of the students close examination of the ladys pendant added a new dynamic and further compelled the viewers participation in Rockwells painting. You can also see Rockwells process drawings leading up to his finished Post cover paintings in Fix ing a Flat August 3, 1946 (See Fig. 9) and Weighing In June 28, 1958 (See Fig. 10). Record of his work process is rare and really provides insight in to his technique. On the cover of The Saturday Evening Post, Norman Rockwell earned his reputation as an artist. Inside, however, his work was just as moving. His paintings regularly appeared inadvertisements. Rockwells advertising career started in 1914 with a Heinz ad in the Boy Scout Handbook and ended 64 years later in 1976 with Lancaster Turkeys. Rockwell also did advertising illustration for companies like Jell-O, Willys cars, Grape Nuts and Orange Crush. He is also remembered for his numerous advertisements for such companies as Coca-Cola, Ford Motor Company, and Sun-Maid Raisins. Even in Rockwells advertisement illustrations he continued his technical processes and the use of drawing with models and photographs. When people ask why I sometimes resort to photographs, I tell them what a job it is to get models to take and hold poses like in this Interwoven Socks advertisement. Any time you wish to become a model, try either of these poses for a few minutes, says Norman. (See Fig. 11). In the Fisk Tire advertisement he draws from a live model rather than a photograph to create his painting (see fig. 12). In this case my model was old Pop Fredricks, known to all illustrators. He was a great guy, an old actor. He used to pose twenty-five minutes and then rest. Before the pose we would set the alarm clock, a noisy Big Ben. Waiting for the blasted thing to go off was nerve-racking; after about twenty minutes I would be on edge. Once I had Pop in a sleeping pose and he actually fell asleep, I let him sleep until noon. One of Rockwells advertising campaigns resulted i n 81 black-and-white drawings. The Massachusetts Mutual Life Insurance Co. commissioned him to create scenes reflecting family life for a national advertising campaign. Rockwell reportedly used a hard, grease-free type ofcrayon for the sketches (see fig.13). Massachusetts Mutual chose the black-and-white medium because it represented a contrast to the color advertisements used by most companies in the 1950s and 1960s, and the company hoped it would grab peoples attention. The company ran ads with the drawings in The Saturday Evening Post, Time and Newsweek.