WEEKLY LEARNING OUTCOMES

Weekly Learning Outcomes



Weekly Learning Outcomes

Introduction

Shell is an international group which operates under the name of RDSG in different parts of the world. It is regarded as one of the largest groups in the sector. Its central office is located in Hague, Netherlands. Shell is considered by many experts as one of the main players which help the world meet its energy needs. They achieve it by indulging in practices which are ecologically and economically friendly. The significance of the company can be assessed from the fact, that in 2007, Forbes placed Shell in the top ten list of the world's leading companies. On the other hand, the Fortune magazine placed it as the third biggest company on the map of the world (Karel et. al, 2010, p.165). Shell stands at a significant position primarily due to its mass oil reserves in different parts of the world. Currently, Shell's oil reserves are estimated to be around 11.9 billion barrels. However, despite various operations of the company, the product of 'crude oil' is identified by many as the primary driving force of the company. The major sources of crude oil are in Oman, Nigeria, UK and USA. Moreover, Shell has also stretched its operations in the manufacturing sector of refined chemicals along with other products.

Other than the operations identified above, Shell also runs around 46,000 gas stations in different parts of the world. The main reason for Shell's success is the fact that; it tends to depend more on planning and development. It also acts on a structured modus operandi (mode of operation). This allows the company to remain ahead of its competitors and develop solutions for the challenges of the future. Another factor which has contributed to the success of Shell is the fact that the plans that have been incorporated and implemented are structured keeping the worst case scenarios the company could face (Doh, 2006, p. 23). However, in this paper we would analyze a Shell oil spill which occurred in Nigeria. The analysis would be done by inculcating different perspectives into the fold in order to develop an effective and thorough understanding of the subject.

Discussion

Key Issues

The oil spill occurred in 2008; near the town of Bodo, Nigeria. Being the biggest company in the sector; unfortunately Shell was a part of it. The oil spill resulted in a grim loss of about 1,640 barrels of oil. According to the company, the actual number was between 103,000 and 311,000 barrels in the spill Delta. However, many experts are in agreement that the actual oil spill was about 60 times more as quoted by Shell. Oil Spill does not necessarily lead to major financial losses to the company, but the ecological destruction is far more than the financial loss. Plus, it was also understood that the oil spill would remain as a part of the company's history and would affect the future endeavors of the company. Such an event is not digested by the ...