External and Internal Environments Essay Example | Topics and Well Written Essays - 1750 words - 2

External and Internal Environments - Essay Example2. Influence of the external environment The outcome of an shaping as well as the industry to which it belongs depends upon the affect of the external factors. USA is reviving slowly from the catastrophic financial distress. The financial distress wrecked havoc in all the industrial sectors. The banks and financial institutions suffered the most as well as the crude and attack industry (Stephen, 2012). This is because of the reason that the USA g all overnment provided earthshaking amount of financial help in the form of rebates and commissions to the oil and gas companies. The financial distress minify the financial help packages forwarded by the government to the companies by almost half. Thus it is important to analyze how the oil and gas industry adopted to the changing environmental factors. The company chosen for analysis is British rock oil (BP). There are several factors affecting the outcome of the organization like th e political, economical, social, technological, legal and environmental (Stigler, 2009). Among these provided technological and economical factors are chosen since both these factors have the most significant influence over the outcome of the organization. ... BP has adopted several strategies to tide over the various environmental concerns. To improve the technological cleverness BP concentrated on the rapid improvement of the troika most basic and important part of the livelong operations. One is achieving operational excellence in the upstream activities, the second one is achieving operational excellence in the downstream operations and the third one is improvising the distribution system (Subramanyam, 2002). The improvement in the above three areas increased the generation of revenue by as much as 10% over the snuff it ten years. The economical conditions are diverse across different countries from where BP operates. BP adopted the strategy of netting the transactions. p rofit helps to bring balance in the overall transactions. Due to different economical conditions of the countries, transactional imbalance sets in. The transactional imbalance is quash with the help of netting. Over the last couples of decades BO has formed strategic partnerships with several small and medium oil and gas companies (Subramanyam, 2006). Other than that it has performed several mergers and acquisitions. These strategic partnerships and mergers and acquisitions have helped the company counteract the ups and downs of the economy across several countries. 4. shipway in which the company address the forces BP has a dedicated team of experts comprising of technicians, engineers, scientists and field specialists spread across different operational base. These teams of experts usually work far away from the actual operational site. Due the need to acquaint and improve the present technologies, BP is contemplating to form dedicated research teams for each operational bases. This way the work consign will get distributed (Teoh, 2003). As it is