Oil and Gas Management ExxonMobil

Question: Describe about oil and gas management, management structure of ExxonMobil, roles and responsibilities of two divisions in ExxonMobil, how the Company is contributing to the local community. Answer: Oil and Gas Management Effective management of maintenance processes is vital for the long-term survival of a corporation in the oil and gas industry. Energy issues have always been an agenda in global economic as well as a geopolitics agenda. For a corporation to sail through dynamic business environment, it requires efficient management structures and division labor and specialization in its different business units as well as divisions. Businesses have a social responsibility to the communities in which they exist. The oil and gas industry is also subject changing business environment because of market fluctuations. Moreover, the industry is also subject to competition. The size of a corporation also requires a robust management structure. The aspect is essential for effective management of all business units. Oil and gas are used for household consumption such as cooking and heating. The focus of this paper is to describe ExxonMobils management structure, define any two responsibilities within the comp anys divisions, and discuss how the company contributes to the local community. Management Structure of ExxonMobil The corporation employs an organizational structure built on eleven separate global businesses. The corporation has a 19-member board team that includes six from Mobil and thirteen members from its Exxon board. ExxonMobil has five major upstream companies that deal with exploration, production, development, upstream research and gas marketing that is headquartered in Houston. It also has four downstream companies tasked with fuel marketing, petroleum and lubricant specialists, research and engineering, refining, and supply that have its headquarters in Virginia. The companys senior management is comprised of a chairperson and vice chairperson and four senior vice presidents. Further, the management mix comprises of persons picked from Exxon and Mobil before the merger (Learn about ExxonMobil's management, 2016). The ExxonMobil board of management is composed of thirteen non-employee directors and six who are employees on the senior management team. The thirteen non-employee directors have nine members from Exxon while four of its members are from the Mobil Board. The chemical and coal mineral companies and the upstream companies report to the vice presidents. Several Corporate staff departments and service groups report to the vice presidents too (Learn about ExxonMobil's management, 2016). Additionally, the Chief Executive Officer is the head of the Legal, Marketing, Finance, Human Resources and Brand and Communications departments. Internal Communications report to the Brand and Communication department. Under the Finance department, there is the Exploration Finance, Investor Relations, Foundation, Control, Tax, Treasury, and Strategic Planning dockets. The Human Resource Department is in charge of Recruitment, Compensation, Training, and Human Resource production. ExxonMobil Legal Department is served by three dockets responsible for administering legal services (Learn about ExxonMobil's management, 2016). ExxonMobil management structure is also comprised of 10 core companies that oversee individual businesses globally. For example, the ExxonMobil Global services provide consolidated maintenance through facilities, data services, and procurement. Moreover, the organization is comprised of multiple companies that permit the corporation to institute urgencies on an international basis. The corporation has refinery operations situated in 26 countries and 42,000 retail service stations in more than 100 countries. It also markets its petrochemicals to an estimate of about 150 countries (Learn about ExxonMobil's management, 2016). Roles and Responsibilities of two divisions in ExxonMobil ExxonMobil is made of four divisions tasked with major operations of the company. The four divisions include Upstream, Chemical, Downstream, Natural, and Power Marketing. The company makes use of its global institute asset to explore and utilize all types of resource. Exploration of all its resources is done regardless of the technicality of geological and geographical environments with advanced technological advancement and capabilities. The company undertakes projects that are capital intensive and have great operation complexity. All its operations are made regarding the corporations unique geoscience capabilities as well as their comprehension of global hydrocarbon endowment for the identification and prioritization of all resources (Learn about ExxonMobil's Business divisions, 2016). The role of the upstream division is to focus on the aggressive exploration of possible resources and identify all resource types. The Division is required to conduct its operations in an efficient manner and to ensure that the environment is conserved from harm. The undertaking is made possible by using industry-leading technology. Another role of the division is to supply industry prominent project implementation in a portfolio of different prospects that encompass conventional shale and tight gas, heavy oil and liquefied natural gas. In addition, the division is responsible for focusing on safe operations continuous improvement reservoir management and the application of efficient production practices. It is responsible for capturing desirable quantities of oil and gas at both new and mature oil fields with the use of experienced and applied technology. It is also responsible for advancing seismic imaging, reservoir stimulation, facility design and drilling in exploring previously unidentified or unreachable deposits (Learn about ExxonMobil's Business divisions, 2016). Another division of the company is Downstream. The company acknowledges the need to satisfy the market with fuel and oil products that are instrumental in facilitating global development activities. It acknowledges that petroleum products are essential in various aspects of economic activities. Being the largest refiner in the world most of its refinery capacity is integrated with its lubricants or chemical businesses. The primary role of this division is to refine and distribute products that are obtained from crude oil and other feedstocks (Learn about ExxonMobil's Business divisions, 2016). The Corporation has a global network of manufacturing plants, distribution, and transport systems that focus on providing fuels lubricant and other high-value products to its consumers. This division is responsible for ensuring a strong distribution network with a robust supply of the companys products. It is also responsible for creating a long-term value of the company by the provision of high-quality products and services to its customers. Additionally, this division also markets fuel to its consumers through its retail service stations as well as three established business-to-business segments. These sections are Industrial and Wholesale Fuels, Aviation fuels and lubricants as well as Marine fuels and lubes. The division is organized to operate the manufacture and sale of petroleum products as well as petrochemicals (Learn about ExxonMobil's Business divisions, 2016). Moreover, the division is also tasked with coming up with positioning strategies for the company to deliver long-term growth in shareholder value. In addition, it is tasked with selectively investing ventures that are resilient, advantageous in returns, and leading in industry efficiency in providing quality products for consumers. (Learn about ExxonMobil's Business divisions, 2016). How the Company is contributing to the Local Community. ExxonMobil contributes to the local community through ExxonMobil Foundation that is its primary philanthropic arm. The strategic focus of the Foundation is to support education with stress and prominence on science and math within the United States. It also promotes women as facilitators of economic progress and fight to end deaths that are caused by malaria. In the year 2014, the Company, its divisions, partners, employees, retirees and the ExxonMobil Foundation made contributions that totalled to $272 million globally. It should be noted that the philanthropic arm of the corporation was founded in 1955 and was known as the Esso Education Foundation. It was then changed to ExxonMobil Foundation in the year 2000 after the merger that was made Mobil Corporation and Exxon Corporation (Learn about the ExxonMobil Foundation, 2016). The company has witnessed the devastating effects of Malaria in Africa by virtue of being an employer and an investor in the continent. Malaria kills thousands of persons annually with the majority of the victims being children under the age of five years. This occurrence results in the loss of productivity for the continent. The company is part of an international effort to prevent, treat, and cure the ailment. One of the ways in which the organization uses to support the cause is through Education and Capacity building vital information about prevention and treatment is used to build capacity among health workers that inform policies aimed at protecting vulnerable communities. The company also supports the next generation of global health leaders to deal with malaria as well as other diseases by using scholarships and training opportunities. ExxonMobil financially supports the work of researchers who are focused on developing antimalarial resistance, vaccines, and drugs. It also pr ovides families with tools to prevent diagnose and treat malaria (Learn about the ExxonMobil Foundation, 2016). The company places a strong importance on education to empower societies. It thus constructs the basis for human literacy development. The main reason as to why ExxonMobil focuses on math and science is that these subjects are universal tools for the worldwide workplace. They are also vital tools for success in todays techno-savvy world. An example of a way in the company supports education using National Math and Science Initiative (NMSI) where the company is a founding sponsor. In 2007, the company committed its self to the cause by injecting $125 million into the program. The program is essential to the company for student proficiency, particularly in math and science, is essential to building a nations innovation capacity. A subset of the program dubbed the Initiative for Military Families launched in 2010 is meant to ensure that children from military families are able to get a high-quality education in math and science wherever they are based (Learn about the ExxonMobil Foundat ion, 2016). More than $90 million has been devoted towards helping women through economic openings. The company trusts that financing in womens economic participation provides long-term remunerations for them as well as their dependents. The cause for womens economic opportunity is championed through an initiative dubbed as ExxonMobil Women Economic Opportunity that provides access to technology, networking opportunities, and training programs. In early 2016, ExxonMobil collaborated with Cherie Blair Foundation. The partnership was aimed at building financial literacy and business management skills among women. The partnership will train 500 women who are small business owners. In addition, 100 participants will receive business support that ranges from mentoring and linkages to financial services, access to markets and workshops. The initiative will be undertaken by the use of a custom build curriculum that incorporates both in-class learning and online classes (Learn about the ExxonMobil Found ation, 2016). Conclusion The paper discusses the management structure of ExxonMobil. It is important to note that the management is comprised of an integration of the two companies Exxon and Mobile before the merger. The Upstream division is mainly tasked with the exploitation of available resources and the identification of possible beneficial resources. It should be noted that though the division is tasked with the exploitation of natural resource for profit, it should do so in a manner that is wary of the environment on matters relating to land use and gas emission. The corporations contribution to the community is valuable largely for it wide reaching and encompasses a great contribution of resources to beneficial activities. The choice of specialization in science and math is sensible for they are directly relevant to technological innovation. It is also practical to channel efforts towards dealing with malaria for not only does it lead to the loss of life but to loss of skilled labor as a resource. Foc using on women as tools for economic development is judicious for it contributes to closing gender gaps and disparities. It is considered that when a woman is empowered, a whole generation is also empowered. Thus, a woman is the backbone of society. References Learn about ExxonMobil's Business divisions. (2016). Retrieved July 23, 2016, from https://corporate.exxonmobil.com/en/company/worldwide-operations/business-divisions Learn about ExxonMobil's management. (2016). Retrieved July 23, 2016, from https://corporate.exxonmobil.com/en/company/about-us/management Learn about the ExxonMobil Foundation. (2016). Retrieved July 22, 2016, from https://corporate.exxonmobil.com/en/community/worldwide-giving/exxonmobil-foundation/overview