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Strategic Management of ExxonMobil Assignment

   

Added on  2022-09-09

21 Pages3448 Words31 Views
Running head: MANAGEMENT
Strategic Management
Name of the Student:
Name of the University:
Author Note:

MANAGEMENT1
Executive Summary:
The objective of the report is to provide an overview of ExxonMobil which is one of the
most renowned oil and gas companies of the United States. The report commences
with a brief company overview. The report also puts forward a discussion on the
organizational strategy and provides an in depth analysis of the upstream, downstream,
chemical and the marketing operations. The report also undertakes a KPI analysis that
helps in determining the strategic position of the company. The strategic direction of firm
is analyzed with the help of the Ansoff Matrix and the BCG model that helps in
evaluating the strategic plan of the company. The report also provides a descriptive
analysis of the organizational strategy of the company through SAF framework based
on suitability, acceptability and feasibility. This is followed by recommendations on how
the ExxonMobil can enhance its sustainability factor.

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Table of Contents
1.0 Introduction..................................................................................................................3
1.1 Company Overview:.................................................................................................3
1.2 Organizational Operations and Strategy..................................................................4
1.3 Financial Overview:..................................................................................................6
1.4 Company’s Growth and Market Share.....................................................................8
2.0 Analysis......................................................................................................................10
2.1 Strategic Position...................................................................................................10
KPI Analysis:................................................................................................................10
2.2 Organization Direction Using Ansoff Matrix...........................................................11
2.3 BCG Matrix.............................................................................................................14
2.4 Organizational Strategy..........................................................................................16
SAF Framework Evaluation..........................................................................................16
3.0 Conclusion.................................................................................................................16
4.0 Recommendation.......................................................................................................17
References:......................................................................................................................18

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1.0 Introduction
1.1 Company Overview:
ExxonMobil refers to one of the largest companies across the world. It is a
multinational oil and gas firm based in America formed in the year 1999 through the
merging of the Exxon and the Mobil (corporate.exxonmobil.com 2019). The company is
considered as the largest refiners of the world with its headquarters in Texas, United
States. ExxonMobil has been also been parent company of Esso in UK. The company
however has a prolonged history of uncertain behavior that includes oil spill incident of
Exxon Valdez in 1989 in Alaska. This incident has also been a watershed moment for
the environmental critics of oil industry. There has been various incidents that led to the
criticism of the company. These incidents ranged from funding the sceptics of the
climate change to massive influence on the foreign policy of America. It also included
drilling in the terrains leased through dictatorship and involvement in the tar sands of
Canada.
Despite everything ExxonMobile remained one of the strongest leader in oil and
the gas market with a stronger hold in terms of the global land positioning along with the
dramatic earnings. The constant development of the breakthrough technologies
including the ones pioneered by the ExxonMobil aided the organization in keeping pace
with the rising demands of the global energy through availability of additional supplies of
energy. With the passage of time, technology became increasingly critical within the
industry as much of the oil and gas reserves remained located within the challenging
environments.

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1.2 Organizational Operations and Strategy
ExxonMobil has been an industry leader in every facet of its business that is
related to chemical and energy manufacturing (corporate.exxonmobil.com 2019). The
firm operates facilities or marketed its products in most of the countries across the world
and carried out exploration on the six continents. Here the study will concentrate on the
upstream operations, downstream operations, chemical manufacturing and marketing of
power and natural gas.
As a part of the upstream operations, ExxonMobil’s global endowment of
hydrocarbon coupled with geoscience capabilities allows the company in identifying and
developing highest level of quality resource (corporate.exxonmobil.com 2019). The
applied technologies allows the company in developing increasing level of oil and gas
reserves both at the new and the mature fields. Besides, advancement in reservoir
simulation, seismic imaging, facility and drilling design allowed the company in not only
exploring but also developing deposits which had previously been unreachable and
unidentifiable. In addition to the company’s extended history towards technological
leadership, investments and the operational excellence positioned the company also
takes up extremely challenging projects that includes heavy oil, natural gas and deeper
water projects.
The downstream operations of the company includes distribution and
manufacture of products derived from feedstock and crude oil
(corporate.exxonmobil.com 2019). The company also provides lubricants, fuels and
higher value products for consumers. The company is the leading supplier of base
stocks for lubricant and is also the biggest marketer of the finished lubricants. Exxon

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Mobile delivers application expertise and a higher level of product quality due to a
stronger network for distribution, immensely trained field force and an abundant supply.
The company is also able to create longer term value through selling of higher quality
products and services on a day to day basis to customers on a global scale. The
company markets the Synergy branded fuels and the other products to customers
across the globe through Esso, retail service platforms and international business
segments. These products includes wholesale fuel, lubricant and aviation lubricant and
fuel and marine lubricant and fuel.
ExxonMobil also has a chemical manufacturing division having unique
portfolio of specialty business and commodity that generated annual sales of close to
25million tones (corporate.exxonmobil.com 2019). The products of the company is
considered to be building blocks for wider variety of the day to day industrial and
consumer products. The company is known to process the feed stocks derived from the
upstream and the downstream operations for manufacturing chemical products for the
higher valued end users. The company also focuses on the product lines that
capitalizes on the advantages in the scale and technology, building strengths of
advantaged feed stocks, performance products and lower cost process.
For the marketing of power and natural gas, ExxonMobil employs a globalized
team of the commercial experts for maximizing value of company’s power interest, gas
and the natural gas liquids in meeting the rising needs of consumers across the world.
Thus, ExxonMobil strives in providing the required energy for meeting the global
demand through maintaining unrelenting focus on the safe operations. Besides, the

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