Inpex and Cross Cultural Management: Strategy, Functions and Analysis

This essay provides a comprehensive analysis of Inpex and its approach to cross-cultural management. It begins by outlining the organizational structure of Inpex, highlighting its operational framework and departmental divisions. The essay then delves into the internal and external environmental forces that impact Inpex, including human resources, political and technological factors, and social influences. A key focus is on identifying the risks confronting the business, such as oil and gas price fluctuations and global warming concerns. Furthermore, the essay examines business practice decisions aimed at enhancing organizational performance, with an emphasis on the cross-cultural awareness program and employee engagement strategies. It also explores the most important functions within the organization, such as human resources, marketing, finance, and operations, and how they contribute to achieving Inpex's strategic goals. The essay concludes by summarizing the key findings and emphasizing the significance of effective management in fostering employee productivity and organizational success.

Running head: Inpex and Cross Cultural Management 1
Management and Business Context
Inpex and Cross Cultural Management

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Contents
Introduction......................................................................................................................................3
Organizational structure of the business..........................................................................................4
External and internal environment forces........................................................................................4
Analyse the risks that currently confront the business organisation................................................5
The business practices decisions that the business should make to enhance organisational
performance.....................................................................................................................................5
Most important functions within the business organisation that will assist it to achieve its strategy
.........................................................................................................................................................6
Conclusion.......................................................................................................................................7
References........................................................................................................................................8

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Introduction
The business has to face numerous challenges to maintain the sustainability of the business by
competing with others companies. The essay is about the Inpex and Cross Cultural Management
and the organizational structure of Inpex will be represented to make the better understanding
about the organization. The business of Inpex can be influenced by internal and external forces
and these forces will be described in the context of Inpex Company. Inpex Australia is active in
the Timor Sea and the Carnarvon. The portfolio on Inpex Australia includes flagship Ichthys
LNG Project. It is ranked in the top 100 global energy companies. Cross cultural management is
the contextual factor that refers managing work teams in different ways that evaluates the kinds
in cultures, preferences and practices of customers in an international business context (Thomas
& Peterson, 2017). The business practice decision will be defined in order to increase the
performance of the organization. The most vital functions within the business organization will
be described that will help it to attain its strategy.

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Organizational structure of the business
The vision of Inpex is to become a high level of international Oil and Gas Exploration Company
by sustainable growth in the business of oil and gas development. It has been found that
approximately 30,000 employees are working on one project of Ichthys LNG Project worldwide
and 2000 employees in Australia. The organizational structure of Inpex is well structured where
general meeting of shareholders are head of the company and for managing the work in effective
manner, the department are distinguished appropriately. Each department has different
capabilities to handle the each project in which the task is delegated as per the performance and
skills of the employee. There are many projects such as Van Gogh, Coniston, Prelude, Kitan,
Coniston, Ravensworth and Ichthys LNG Project which is huge project and numbers of
employees are working on them.
Figure 1: Organizational structure

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Source: (Inpex Corporation, 2018).
External and internal environment forces
External and internal forces can impact the entire activities of the organization. Internal forces
are considered human resource, physical resource, corporation management and financial
resources. Inpex provide facilities of training program to its employee to amplify the overall
skills levels of employees so that they can contribute in the growth of the business. The human
resource play an integral role in providing the training session to new employees and make them
aware about the values of Inpex Australia which is safety, integrity, diversity, ingenuity and
collaboration (Drucker, 2012). The internal environment of Inpex is full of diverse people where
employees come from different cultures. Inpex hires employee without discriminating on the
basis of color, race, gender and sex. It has been evaluated that in January 2015, Inpex instituted
the Global Human Resource/ Diversity & Inclusion group for the purpose of promote diversity
from a global perspective (Inpex Corporation, 2015). Inpex give preference to the work life
balance where it conducts a campaign to motivate individual employees to handle their work so
that they can understand the way of managing the work and leave the office at right time at least
four days every month.
External forces are political, technological, social and environmental which may influence the
entire organization and its efficiency. Low trade restrictions are major cause of political term that
has influenced Inpex. The government provided huge support to Inpex which is the positive
aspect of political term for Inpex. The income level of the employee at organization is increased
as per the performance of the employee annually. Various programs are being introduced to
promote the cultural diversity within the organization which increases the workforce from

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different cultures. The social structure of this organization is stable as it makes as per the project
of the company which run for a long time. In the context of social force, Inpex has appointed
employee from all over the world that create the cultural diversity at workplace. Technology has
huge impact on the business and Inpex has adopted latest technology to accomplish the projects
such as Air products wins technology is being used by Inpex in Ichthys LNG Project in Australia
(Air Products, 2012). There are various engineers are appointed by company to resolve the issues
regarding technology which assist to reduce the adverse impact on company due to technical
problem. Air products are the major leader which provides liquefied natural gas (LNG)
technology to the world which has increased its presence in Australia’s increasingly developing
LNG production.
Analyse the risks that currently confront the business organisation
The major risk that currently confronts the business organization is rapidly and drastically
fluctuations the prices in oil and gas. The rate of oil and gas is different in every country due to
currency changes of different country. Global warming issues are the biggest risk for the
business as it has been found that in the recent development in the policies of international
towards a low carbon society has transferred into upper gear. These kinds of situations are
encouraged of movements to improve the efficiency of energy (Inpex, 2009).
The business practices decisions that the business should make to enhance organisational
performance
The improvement in the organizational performance is vital for the company to enhance the
productivity of the employees. It has been found that INPEX developed the cross-cultural
awareness program which aim is on creating personalized and practical cultural competency

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across the business. There are number of individual initiatives that provide explicit support to
INPEX personnel for managing the array of complex cultural situations (Ahri, 2016). On the
other hand many individual initiatives focus on developing the intercultural relationship skills
and reducing the gap in the cross cultural communication within the organization (Turban,
Sharda & Delen, 2011). The effective business practice decisions are being taken by Inpex which
develop the integrity in among employees. It has been analyzed that noteworthy improvements to
cultural understandings in the business, involving team safety and ownership of personal by
employee has been attained (Lau & Tsui, 2009). Their personnel have become effective and
appreciate the advantages of cross cultural collaboration. Inpex uses course assessment, peer-
review discussions and surveys to measure the impact of cross cultural program.
Along with that it is vital for the organization to keep focus on the high performance work
practice because it can increase the productivity of the employee and make them ensure that they
are the valuable assets of the company that will be facilitated them to connect with employee
engagement. The employee engagement is essential component to get success as it assist
employee to know each other and about organization which increase the productivity of the
employee. It is comprised major three aspects in it such as behavioural, cognitive and emotional
aspects. The cognitive aspects define the belief of the employee on the company. The attitude of
the employee towards the company keeps the huge importance and it covers under emotional
aspect. The value added part for the company is behavioural aspect as it defines the behaviour of
the employee with other employees and towards organization.

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Most important functions within the business organisation that will assist it to achieve its
strategy
There are various functions of management that assist to attain the target of the company within
time frame. These functions are Human resource, marketing, finance and operation that aids in
the growth of the company. Inpex Australia should focus on the operation department to enhance
the productivity of the employees in accomplishing the project. As it has been discussed, Inpex
has huge project of oil and gas which requires huge investment to invest. The role of finance
function in such projects plays a major role because it ensures the company that invested amount
is utilized for the benefits of the company (Cummings, 2009). There are various segments in this
company that is why it is required for it to provide latest technology to the employees of
financial department. The human resource department of this company is more active as it
provides the training to the new employees for making them understand about the rules and
policy of the organization. Inpex is endeavoured to make an employee evaluation system that
evaluates the performance of the employee and reward them fairly. These functions are keeping
huge importance in the organization and help to attain the target. Inpex aids to maintain the work
life balance that is why it conducts the campaigns in which individual employee get better
understanding about how to manage the work in working hours so that they can leave the
organization on time and can give time to their family. It helps to reduce the employee attrition
and increase the employee’s faith towards the organization (Wooldridge, Schmid & Floyd,
2008).
Conclusion
In the limelight of above discussion, it has been concluded that the role of management in every
organization is huge as it assist to increase the productivity of the employees. The organizational

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structure of Inpex Company has been described which shows that it runs its business in effective
manner and allocates the responsibility as per the project of the company. The discussion has
been made on internal and external forces of Inpex. Inpex has initiated to develop the cross-
cultural awareness program which aim is on creating personalized and practical cultural
competency across the business.

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References
Ahri. (2016). Fons Trompenaars Award For Cross Cultural Management. Retrieved from:
https://www.ahri.com.au/awards/ahri-awards/hall-of-fame/2016-winners/2016-
organisational-winners/fons-trompenaars-award-for-cross-cultural-management.
Air Products. (2012). Air Products Wins Technology Selection for Ichthys LNG Project in
Australia. Retrieved from:
http://www.airproducts.com/Company/news-center/2012/04/0423-air-products-wins-
technology-selection-for-ichthys-lng-project-in-australia.aspx.
Cummings, T. (2009). Organization development and change(pp. 25-42). John Wiley & Sons
Ltd.
Drucker, P. (2012). Managing for results. Routledge.
Inpex Corporation. (2015). Human Resource Development and Deployment. Retrieved from:
http://www.inpex.co.jp/english/csr/pdf/sustainability2015-e14.pdf.
Inpex Corporation. (2018). Organizational Chart. Retrieved from:
http://www.inpex.co.jp/english/company/organization.html.
Inpex. (2009). Mid-to-Long Term Business Challenges. Retrieved from:
http://www.inpex.co.jp/english/ir/library/pdf/presentation/e-Presentation20090703-b.pdf.
Lau, A., & Tsui, E. (2009). Knowledge management perspective on e-learning
effectiveness. Knowledge-Based Systems, 22(4), 324-325.

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Thomas, D. C., & Peterson, M. F. (2017). Cross-cultural management: Essential concepts. Sage
Publications.
Turban, E., Sharda, R., & Delen, D. (2011). Decision support and business intelligence systems.
Pearson Education India.
Wooldridge, B., Schmid, T., & Floyd, S. W. (2008). The middle management perspective on
strategy process: Contributions, synthesis, and future research. Journal of
management, 34(6), 1190-1221.