Going green in an Oil company seems to be very challenging and it is often seen that the notion of environmental sustainability does not fit well for all. There has been increased usage of the fossil fuel in oil industry and along with this oil industry has also been responsible for various type of environmental catastrophes. The essay consists of two section one is for communicating with the managers of the organization and another one is for communicating with the employees of Petrobras. The CEO of this organization is determined that he would be changing the negative image that the organization is having and for this reason various new policies has been put forward which are to be implemented. The first section of this essay is entirely for the managers and the second section is dedicated for the general staffs. The major including is the reason of transformation, vision of the CEO and how it is important, the new policies of the company and the sustainability efforts required for maintenance of the changes.
The company needs to be transformed so as to avoid the various environmental catastrophes. Due to the previous troubling history of disasters. For example, in the year of 2000 the poorly maintained pipeline was responsible for spilling of the oil into the Guanabara Bay almost for wo hours before the lead got detected. Followed by this incident another one occurred after six months when the Petrobras refinery was responsible for the spewing of millions of gallons of oil into the two rivers located near to it (Ribeiro & Furtado, 2014). Almost after one year another incident occurred where the world’s largest Petrobras drilling platform of that time blew up killing around 11 employees and almost dumping about 300,000 gallons of oil into the water. So for all this troubled history Gabrielli decided to find a solution to all these problems along with a solution which would be addressing the environmental treats as well.
The CEO’s vision of addressing all the problems that are faced by the organization and also the environmental treats needs to be achieved so as to provide the organization with a clear image and make everyone forget about the problematic history of the organization. The solution is to be provided so as to make sure the environmental mismanagement is not affecting the business along with making sure that the growing demand of transparency and sustainability is also effecting the business (Ribeiro & Furtado, 2015). For this reason, he had been associated with taking certain steps so as to increase the budget related to the health, safety and environmental programs of the organization by making use of the enormous clout of the market that Petrobras is having related to the demand of all the suppliers. This was done so as to make sure that the demands comply with the standards of the company that is moving of the Petrobras new refineries towards the biofuels and away from the gasoline.
Two facts were pointed out as an evidence of the sustainability efforts of Petrobras which were associated with leading to the maintenance of the changes. These two facts mainly included the following: The organization had been capable of operating almost around 8 years without any kind of major environmental accidents and from this it is evident that the sustainability efforts need to be maintained. So for maintaining the sustainability the organization made a five-year strategic plan which as responsible for calling of additional investments for the refining capacity (Barros, 2014). Besides this they also took assistance from various private consulting firms as well as in order to provide support to the standards that has been put forward by the organization. Besides this the organization was associated with the deployment of excellent management which helped the organization is managing the various operations of the organization in a proper way.
The new policies included the increase in the budget of the company mainly for the purpose of betterment of the health, safety and environment of the organization. Certain programs are to be organized for doing so. Besides this in order to make sure that the demands of the supplier comply with the best environmental policies the enormous market clout of Petrobras was used (Priest, 2016). Another policy included the checking of the compliances with the standards by taking personal tours of the site is one of the major way by which the company would become capable of detecting and eliminating certain problems. One of the major feature of the policy is the moving of the new refineries towards the biofuels, which would be taking it away from the gasoline and this in turn would be helping in the elimination of any kind of unwanted situations (Paz, 2015). The policies also include the collaboration of the organization with the Dow Jones Sustainability Index in order to make sure of the fact that the external monitoring is being invited so as to monitor and make reports on the efforts made by Petrobras. The endorsement of the UNGCP or the United Nations Global Compact Personally Blogging and Tweeting is expected to make the efforts of the Petrobras is directed towards the public.
Caring for the safety of the operations and the undertaking actions is one of the major concern so certain actions are to be undertaken in order to balance the activities and the welfare of the workforce and he communities. This is the environmental responsibility that the organization should have (Ramírez-Cendrero & Paz, 2017). Improvements in the products and the processes would be helping a lot along with the increased efficiency of the organization would also be effective as well. By providing training and by sponsoring the conversations along with the ecosystem preservation project would always be helpful in seeking growth which in turn is associated with contributing towards the sustainable development.
Investments in the research process would be helping in the development of the products and processes which would be associated with making contribution towards the realization of the natural resource consumption, which thereby leads to the perusing of the diversified usage of the various kind of energy sources including the renewable resources (Filpo et al., 2016). The rational usage of the energy is to be encouraged along with upgrading of the processes of the organization for increasing the energy efficiency would be helping in the reduction of the emission of greenhouse gases.
The risks related to human health along with the environment would be reduced by making use of certain action plans and by undertaking operations like emergency drilling. The workforce of the organization needs to attend frequent training classes as well (Junior et al., 2017). Sponsoring of the numerous environmental projects would be done so as achieve an aim of mitigating the emission of carbon, protecting the environment as well the species which are endangered and would also be helping in conserving the biodiversity.
The security is to be increased so continuous monitoring of the different business environment has been included and this monitoring is associated with enabling the make use of periodic reviews of the efforts made by the organization and by using those efforts the organization is surly to achieve the goals. The complexity and the competitive needs to be handled and for that the organization needs to strengthen all its operations by establishment of partnership with others, cost efficiency, and by undertaking digital transformation. New market requirements need to be adapted along with making investments in the new ways which are more efficient in generating energy (Gielfi et al., 2017). The operations taking under deep water needs to be prioritized so as to look for opportunities which would be helping in the generation of greater returns along with integration with the refining transportation and trade.
The website of Petrobras has been associated with noting down of various initiatives that are needed in order to preserve the environment and these initiatives included the efforts that are needed in order to provide support to the forest as well as the ocean ecosystem. The efforts of the organization have been assisting it in the rebuilding of the various environmental factors (Eichler et al., 2014). The subscription of the organization with the United Nations Global Compact which is and agreement related to the human rights, conditions of the working environment, corruption and environment also helped in sustaining the effects that are occurring due to the changes. The moving of the new refineries away from the gasoline toward the biofuels is one of the decision that helps in reducing the number of casualties occurring due to various type of accidents like explosion (Segal, 2015). Another example of depicting the fact that the sustainability efforts are being maintained so as to manage the changes is the joining of the Dow Jones Sustainability Index with the operations of organization. This helped a lot in inviting the process of external monitoring and reporting of the efforts that the organization is having. This in turn would be helping in the identification of the various areas where the standards are ineffective.
Conclusion:
The identification of the ineffective areas would be helping the organization in taking certain steps that would be helping in fixing these areas. The usage of the enormous market clout is another example by which the organization is making efforts so as to sustain to the changes that are likely to occur. The usage of the market clouts helps the organization in managing the demands that the suppliers of the organization are having. Besides this it would also be helping in complying with the different environmental management policies as well. This would be done so as to avoid any kind of unnecessary events like oil spill or explosions.
References:
Barros, M. (2014). Tools of legitimacy: The case of the Petrobras corporate blog. Organization Studies, 35(8), 1211-1230.
Eichler, P. P., Eichler, B. B., Pimenta, F. M., Pereira, E. D. R. M., & Vital, H. (2014). Evaluation of environmental and ecological effects due to the accident in an oil pipe from Petrobras in Guanabara Bay, RJ, Brazil. Open Journal of Marine Science, 4(4), 298.
Filpo, E., Portugal, R., Zago, N., Cunha, P. M., Vicentini, A., & Carbonesi, J. L. (2016). Image-ray concept as the key to 20 years of success of time-to-depth conversion in Petrobras. The Leading Edge, 35(4), 323-328.
Gielfi, G. G., Furtado, A. T., de Campos, A. S., & Tijssen, R. J. (2017). University-industry research collaboration in the Brazilian oil industry: the case of Petrobras. Rev. Bras. Inov, 16(2), 325-350.
Junior, F. H., Galleli, B., Gallardo-Vázquez, D., & Sánchez-Hernández, M. I. (2017). Strategic aspects in sustainability reporting in oil & gas industry: The comparative case-study of Brazilian Petrobras and Spanish Repsol. Ecological indicators, 72, 203-214.
Paz, M. J. (2015). Institutional change and state-owned enterprises: reflections from the petrobras case study. Public Management Review, 17(6), 791-811.
Priest, T. (2016). Petrobras in the History of Offshore Oil. Ben Ross Schneider, Editor, New Order and Progress: Development and Democracy in Brazil, 53-77.
Ramírez-Cendrero, J. M., & Paz, M. J. (2017). Oil fiscal regimes and national oil companies: A comparison between Pemex and Petrobras. Energy Policy, 101, 473-483.
Ribeiro, C. G., & Furtado, A. T. (2014). Government procurement policy in developing countries: The case of Petrobras. Science, Technology and Society, 19(2), 161-197.
Ribeiro, C. G., & Furtado, A. T. (2015). 10. Public procurement for innovation in developing countries: the case of Petrobras. Public Procurement for Innovation, 263.
Spector, B. (2010). Implementing organizational change: Theory into practice. Upper Saddle River, NJ: Prentice Hall.
Segal, D. (2015). Petrobras oil scandal leaves Brazilians lamenting a lost dream. The New York Times, 7.
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