BP Business Ethics Case Study

1090 Words 4 Pages
In the month of April 2010, Deepwater Horizon exploded, killing 11 workers and releasing oil from the oil well into the Gulf of Mexico. BP along with a few of its partners Transocean and Halliburton was involved in the gulf oil spill. The explosion of the drilling oil rig Deepwater Horizon was the root cause of the oil spill. This paper will focus on BP organization behavioral issues such as ethics, culture, and social behavior that caused the economic, environmental, and human losses. The research further focuses on what BP leadership could have done as a precautionary measure using highest ethics, safety culture, and the best management behavior.
BP Organization Culture
A unique set of principles, vision, and discipline drives corporate
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Effective use of social media and the web communications of BP have been openly praised which is one of the positive aspects. Organization culture is about rewarding and appreciates employee based on peers evaluation, performance, behavior, and the results. Rewarding for identifying safety improvement increases the organization savings all the times. The more investment made on people pays off and encouraging them in coming forward is another way of rewarding. According to Deepwater Horizon Study Group (March 2011) (p.89) risk-taking and cost cutting culture prevailed within the BP corporate management. In addition, BP did not have a safety culture built in within its operational teams or as a whole organization and no intent to develop a safety culture by adopting quick learning or willingness to develop a pattern of safety signals. The BP leaders played a critical role in not encouraging or complying some of the needed technical decisions. BP leadership did not meet its obligation by exercising necessary management oversight and establishing safety policy at all levels. There is investigative evidence to support the claim based on the United States (2011), Deep water, the “shift met resistance within BP” …show more content…
However, the sequence of events shows some of the critical data shared among partners for supporting the decision made by the respective supervisors. It does not appear that these decisions were collective and enough to make a safe operation. The operational data is critical and BP as legal owner of the oil well had responsibility to directing and sharing the data among its partners. Any safety or operation issues or feedback did not escalate to the chain of command and no clear directions given to low-level supervisors. Above evidence supports poor communication and collaboration between cementing crew and their test and BP along with Transocean. One of the operators saying “convinced that something was not right and could not believe the explanation heard” according to the United States (2011), Deep water, (p.6). A management team structure created from board of directors to the low-level line managers for effectively running any

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