Program And Portfolio Management Information System

Program And Portfolio Management Information System

Contents
INTRODUCTION........................................................................................................... 3
GENERAL SYSTEM MANAGEMENT................................................................................3
ORGANISATIONAL STRUCTURE AND CULTURE.............................................................4
RISK MANAGEMENT.................................................................................................... 4
PORTFOLIO ALIGNMENT.............................................................................................. 5
BUSINESS VALUE......................................................................................................... 6
PORTFOLIO MANAGEMENT PROCESS CYCLE.................................................................7
ORGANISATIONAL MATURITY...................................................................................... 8
CONCLUSION............................................................................................................... 9

INTRODUCTION
Program management refers to a way of enhancing company performance by managing
various tasks according to their capabilities and productivity ((Archibald and Archibald, 2016). ).
Success of the project is directly associated with the activities conducted by the company to
attain their preset goals and mission. In this report, BP Deep-water Horizon Oil Spill and
Offshore Drilling incident is taken for consideration which happens in Gulf of Mexico. In the
final stage of drilling, the rig exploded due to which more than 10 people have lost their lives
and leakage of oil has killed various wildlife species and animals (Kerzner, 2017) . Different
types of general system management and organizational structure will be discussed in the report
which could assist them to avoid destruction if properly implemented. Besides this, risk
management techniques will be explained by mentioning the benefits of it. At last, portfolio
management process cycle and organizational maturity would be discussed and how companies
can use it to avoid any kind of fatalities in their premises.
GENERAL SYSTEM MANAGEMENT
The deep water drilling is one of the points in BP strategy statement which has become
their weakness and affected many lives and company’s future in a negative way. System
management approach considers whole company as an open system and all their sub or working
unites as subsystem. This approach is used by company to organize their operations according to
company’s strengths and capabilities so that any kind of risk would be avoided in the future
(Danesh, Ryan and Abbasi, 2018) . This approach starts with taking different types of inputs in
to their system and produced desired output after processing it. For instance, commissions have
already suggested BP workers to take advice from any knowledgeable On- shore engineer for the
pressure test of oil. But on the other hand, BP management has ignored this input from the
commission and stick to their plan resulting in massive explosion and death of 10 workers on the
rig (workers could have prevented rig accident, 2019). Besides this, company name Halliburton
was also included in this preventable incident as formula which is used while using cement at the
time was not stable and vulnerable due to which it happens. It can be said in the last that whole

incident could be avoided by BP if they have properly walked on the rules and guidelines made
by the government and their own management.
ORGANISATIONAL STRUCTURE AND CULTURE
Organization structure and its culture is essential for any company if they want to sustain
their market position as it assist them to innovate with their products and services resulting in
high customer satisfaction. From the starting, BP has hierarchical structure in which every single
entity has different sub entities and completely depends on each other. One of the main
drawbacks of this approach is that if any single unit is not working according to company’s
mission and goal then communications between the departments affected resulting in negative
outcomes for the company ((Fisher and et. al., 2014)). To avoid these types of situations in the
future, BP must use combination of divisional and flat hierarchy in their organization so that
more authority would be provided to the employees resulting in higher overall productivity of
company (Martinsuo and Hoverfält, 2018) .
BP has been using adhocracy culture which mainly depends on risk taking actions and
innovation with the aim of doing things first. Companies in this sector should try to avoid these
types of culture as chances of getting right results are very less and the price to pay after the
wrong decisions is very high. For instance, to get better result, BP employees have replaced their
heavy drilling mud with lighter seawater prior the well which was not even prepared at that time
(BP COULD HAVE AVOIDED DISASTER, 2019). To avoid this in future, company should
focus on promoting right talent for higher post and make proper incentives plans so that
employee’s motivation would remain high resulting in better outputs. So it can be said that BP
should use Clan culture in their organization which mainly focuses on nurturing of employees
and their knowledge (Types of Organizational Culture, 2019) so that no incident would occur in
the future.
RISK MANAGEMENT
Risk management refers to a process of identifying and analyzing all the factors which
could transform into threat in future (risk management, 2019). Main motto of using this approach
is to eliminate and tackle all the factors which could affect company’s performance and earnings