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اسلاید 1 :

A transform project: Project 1990
New culture
Behavioral change
Flatter organization
Getting rid of bureaucracy
Failure reasons:
Other’s perception: Horton was imposing Change rather than fostering it
Bad financial situations in 1992
Horton reaction:
cost cutting
Severe morale problems in BP
Diversification, rather than transformation, to maintain profitability
Horton abrasive management style ( too much insisting in his own way!)  his American attitude!
He never fully gained the trust and respect of his colleagues and subordinates

اسلاید 2 :

Having a good image and attitude in BP
The “1-2-5” plan:
Narrowing the business
Downsizing the personnel (50%)
Financial turnaround
Simon: setting simple goals is an important part of developing a culture of continual improvement
Simon : “Targeting is fundamental to achieving. If you do not target, you do not measure and you do not achieve”
Simon : “[Bad managers are] managers who don’t listen. Telling is not enough”

اسلاید 3 :

He took the reins of an organization that was in excellent financial shape
First new goal: being the best in each of BP’s eleven criteria for business success by creating a “distinctive” organization
Decentralizing the organization
Encourage personal initiatives and creativity
Strengthening the share of experience and synergy between parts
Emphasizing on the “process” of the company by which it motivates its people and fosters creativity, learning , and the sharing of know-how
Changing the image: “beyond Petroleum”: clean energy supporter
Controversy: Is it going to become “Bigger Profits”?!! ($650M more revenue vs. $20M more cost!   GOOD DEAL!!)
Drilling oil in Arctic National Wildlife, …..
Reputation Building Strategy:  Reputation is not just about connections with customers; it mainly determines whether governments award the company huge contracts or whether other businesses take on partnerships.
 
 

اسلاید 4 :

Mega-Mergers:
BP acquired Amoco, Arco, and Burmah Castrol
BP sold some of its mature fields, “We are selling things that don’t fit our strategy”
BP rather focused on properties with lower costs and higher profit margins, including those in Angola, Azerbaijan, and Gulf of Mexico.
In 2003, BP purchased half of Russia’s TNK for $7B: “To ignore Russia if you are in the oil and gas business is to ignore the largest player”

اسلاید 5 :

 
Infusing a post acquisition corporate culture within the group:
Training program for First-Level Leaders (FLL) (about 10,000 people)
Establishing common values
Distributed Leadership model
 
Importance of Human Resources

 

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