BHP Billiton: Systems Thinking

Running Head: MANAGEMENT 0
BHP BILLITON
Systems Thinking
Student Details

MANAGEMENT 1
Activity 1
BHP Billiton
BHP Billiton is one of the world’s leading resource companies. This company’s
global headquarter is situated in Melbourne, Australia. The company extracts and process the
gas, oil and minerals. Additionally, BHP sold its product worldwide with the help of the sales
and marketing team let through Houston and US (BHP Billtion , 2019).
Mission Statement
The mission statement of the organization specifies the company’s objective, and the
objective of this company is to create sustainable value for its shareholders, suppliers,
business partners, contractors, employees, communities and customers. In addition, the
mission of this organization is to create the long-term relationship with their stakeholders
with the help of various discoveries, innovative developments, different acquisitions and
natural resources’ marketing (BHP Billiton , 2018).
Strategic Objective
The strategic objective of BHP is to operate the large & long-term life, low-cost,
expansions, and acquisition of an upstream asset, which has been diversified by the market,
commodity and geographical conditions. In addition, BHP wants to acquire the position with
the appropriate advantage value, enhances the capabilities and needs to deliver the
competitive resources to fulfil the needs of the international market and this can be done with
the help effective and efficient corporate planning process (BHP Billiton , 2019).

MANAGEMENT 2
Outline of Operational Performance and Management
This company’s outline of the operational performance and management within 12
months specified that full-year production remains unchanged for Metallurgical Coal, Energy
Coal, and Petroleum. The total production of the Copper was between 1,700 - 1,785 kt. In
addition, the production of Iron Ore had been reduced and remains between 272 and 274 Mt.
Moreover, the Production of group copper is expected to be increased by 6% in the next
financial years (BHP Billtion, 2018).
Sources: “BHP Billiton Growing Asset Portfolio” (Skeeing Alpha , 2018)
The operational performance and management include planning, supervising and
organising, which helps in boosting the profitability in the business. Hence, it is important for
the organization to consider the operational performance and management on a priority basis.
In the above analysis, it has been observed that the BHP has an average increment in
operational performance and management (Digital Initiative , 2016).

MANAGEMENT 3
Activity 2
After the Industrial Revolution: Changes in Operation Management in the Mining
Industry
The development of the Industrial Revolution could not take place without the coal
and iron, hence the mining industry plays an important role in the industrial revolution. The
coal had been used for the steam engines that time and the iron ore is used for coke, which is
purer as compared to coal. As a result, in the early 1800s the mass production of the iron had
been increased, which helps in making the goods like water pipes, rails, and machine frames
by the people at that time. In addition, the mass productions of the various good after the 18th
century had also been used for transportation method (Simpson, 2018).
The industrial revolution had also been considered as the quality revolution that time
as the production of the various ores had been increased over 10 million tonnes, which leads
to the increment in the global share of the various ores of mining industry output from 20% to
80% in the years between 1970 to 2000. In addition, due to the increase in productivity the
scope of services had also been increased for the people (Wilkes, 2019).
It has been observed that after the industrial revolution, there was a drastic change in
the operational management in the mining industry and this industry has grown its
productivity tremendously and enjoying the remarkable success. However, after 2000, this
industry shows the sign of slowdown as shown in the chart given below (IG Group Limited ,
2019).