A Summary of the case “BP (Beyond Petroleum) Focuses on Sustainability” Introduction
British Petroleum or Beyond Petroleum (BP) is the world’s one of the largest and leading petroleum product manufactures. It has headquarters in London. It operates from 29 countries. Though it has faced safety and environmental controversies in the history of its operations it could overcome all negative images through a concrete focus and consistent efforts towards sustainable developments.
BP operates throughout the world in locations, terrains and climates that are tremendously diverse and frequently challenging. However, BP aims to minimize its environmental impact by taking a systematic and disciplined approach to operations, using sophisticated risk assessment techniques that directly inform its business plans. Therefore, BP is incorporating its environmental management systems into the group-wide operating management system that helps BP to set priorities for operations based on assessment of the key risks, including those related to environmental and social performance.
BP (NYSE:BP) is one of the world's largest oil and gas companies in terms of production capacity. BP was founded more than a century ago by William D’Arcy, a wealthy British gentleman who had invested all his savings in the quest for oil in the Middle East. While experts and scientists had encouraged D’Arcy to pursue the venture, after more than six years of drilling, both his patience and finances were running low. Finally, in 1908, the drillers reached almost 1,200 feet and a fountain of oil spewed out. After long years filled with disappointment, pain, and despair, the Anglo-Persian Oil Company, what would become BP, was born. The company quickly opened trade on the stock market, and D’Arcy, who had lost nearly his entire net worth, became rich.
BP the biggest environmental crimes in history
BP aims to be the leading environmentally friendly producer and supplier with eco-friendly petrol and gas. BP has a strong CSR and sustainability policies and has become more ethically and socially aware with the realization of customers and stakeholders needs and expectations from the company.
However, a more in depth analysis indicates that BP advertisements and public relations within its marketing mixes are designed to make it look more environmentally friendly than it
actually is. The term is called “green washing “This phenomenon of making small environmental concessions while otherwise continuing business”. According to the Advertising Standards Agency; the raise of this phenomenon is becoming a very serious problem and have adopted new guideline to curve this new trend. The Advertising Standards Authority has seen a huge rise in the number of complaints about environmental claims in advertisements. Their consumer research has shown that awareness of green issues is high, but there is also confusion and a lack of basic understanding about environmental and ethical claims and what they really mean.
This is because profit and the interests of the shareholders always seen to come first before the environment. In comparison; BP’s sustainability report to its actions. In July 2000, BP launched a massive $200 million public relations and advertising campaign with the new slogan and name change "Beyond Petroleum". It changed its logo to a green and yellow sun and claimed to be a greener business.
In 2005, a fire and explosion occurred at BP Texas City Refinery, killing 15 workers and injuring more than 170 others, its claims to have safety as one of its highest priorities. BP was charged with criminal violations of federal environmental laws and has been subject to lawsuits from the victim's families. BP had a £53 million fine from The Occupational Safety and Health Administration in the US for hundreds of safety violations, and subsequently imposed an even larger fine after claiming that BP had failed to implement safety...