Premium Essay

Bp Csr

In: Business and Management

Submitted By cbo1989
Words 539
Pages 3
IFAC COMPLIANCE: DEVELOPING AN INTERNATIONAL PROFESSION
Perspective on contemporary audit
Agency theory- requires annual audit by independent experts
Experts- standards; methodologies; professional knowledge and skills
Selection and remuneration of auditors
Auditors operating as guardians and commercial agents
Liability arrangements
Traditional methodologies for traditional transactions
Critique of Modern Auditing
“seeks to encourage debate by focusing on three issues which are deeply embedded within the current auditing practices”: * Appropriateness of the basic auditing model to deliver an independent audit * Audit quality focuses on standards and methodologies and neglects the organisational and social context of auditing * Audit ability of new forms of financial transaction using traditional methodologies
Audit Modelling * “is fundamentally flawed as it makes auditors financially dependent upon companies and persuades them to prioritise their own economic interests at the expense of others” * Dependency on client for fees and profits * Ineffective shareholder participation in appointment and remuneration of auditors * Acqulescence to client; not disclosing relevant information to the shareholders * Using audit relationships to develop and sell consultancy
Audit Quality * Audit quality associated with appropriate techniques, working papersm compliance with standards and use of expert auditors but... * Little attention to social organisational context of auditing: * Profit motive ... potentially compromising quality or profit * Audit approach * Customer service motive * Career structure and rewards * Liability concession * “Big firms no longer carry out audits. They audit in helicopters and circle clients from a few thousand feet and take pictures. No one…...

Similar Documents

Premium Essay

Solar Energy Company Report Csr

...Responsibility in the Solar Photovoltaic Industry Corporate Social Responsibility in the Solar Photovoltaic Industry CSR Across Industries CSR Across Industries Table of Contents Executive Summary 3 The Solar Photovoltaic Industry and CSR related issues 3 Introduction 3 CSR Issues 4 Companies 4 The Companies 5 1. British Petroleum – (Philip Leith) 5 2. ENEL – (Santiago Liotta) 7 3. MEMC Electronic Materials, Inc. / SunEdison – (Eleonora Ricciardi) 9 4. Sharp Solar – (Aaron Teo) 11 5. Suntech – (Tutram Nguyen) 13 Companies Comparison and Evaluation 16 Conclusions 17 Bibliography 18 Executive Summary In the last decade, the solar industry has seen exponential growth. Government subsidies, climate change debate and need to identify alternative eco-friendly energy sources have fueled this sector. The idea of harnessing renewable energy from the sun is naturally attractive but is it a perfect solution? Do the companies profiting in this business abide to the same United Nations Global Compact principles urged by environmentalist, conservationists, human rights activists, governments and other stakeholders around the world? This paper will provide our findings on our evaluation of five global players against a handful of corporate social responsibility issues in the solar industry. The Solar Photovoltaic Industry and CSR related issues Introduction As traditional hydrocarbon supplies are increasingly difficult and expensive to extract,......

Words: 5606 - Pages: 23

Premium Essay

Bp Case

...| 1. Based on the history of the company, why did BP get involved in so much questionable conduct? BP's history extends back to 1901 when William D'Arcy's Anglo-Persian Oil Company first drilled for oil in Persia and after seven years of drilling and darcy's nearly spent his net worth finally oil spewed out and became rich. Unfortunately later at 1914 BP was on the verge of bankruptcy due to the very low demand of oil in global market. Accordingly ,BP's Board strategy focused for decades on selling and making profits by expanding and increasing their market shares and they have neglected BP responsibilities with respect to human and environmental resources in their Mission statements and Corporate goals . Below is part of their new mission statement and underlined parts emphasize how BP have changed their way of thinking and realized how social responsibility and environment are important to their business especially after several disasters that occurred to them last decade. Mission statement: "BP wants to be recognized as a great company – competitively successful and a force for progress. We have a fundamental belief that we can make a difference in the world. We help the world meet its growing need for heat, light and mobility. We strive to do that by producing energy that is affordable, secure and doesn’t damage the environment. BP is progressive, responsible, innovative and performance driven." "Progressive - We believe in the......

Words: 1056 - Pages: 5

Premium Essay

Bp Oil

...blowout, BP’s corporate culture remained one that was embedded in risk-taking and cost-cutting – it was like that in 2005 (Texas City), in 2006 (Alaska North Slope Spill), and in 2010 (“The Spill”). Perhaps there is no clear-cut “evidence” that someone in BP or in the other organizations in the Macondo well project made a conscious decision to put costs before safety; nevertheless, that misses 5 Deepwater Horizon Study Group Investigation of the Macondo Well Blowout Disaster the point. It is the underlying “unconscious mind” that governs the actions of an organization and its personnel. Cultural influences that permeate an organization and an industry and manifest in actions that can either promote and nurture a high reliability organization with high reliability systems, or actions reflective of complacency, excessive risk-taking, and a loss of situational awareness.” Looking Back – Technical Factors  At approximately 9:47 p.m. (Central Standard Time) on the evening of April 20, 2010, an uncontrolled flow of water, oil mud, oil, gas, and other materials came out of the drilling riser and possibly the drill pipe on the dynamically positioned drilling vessel Deepwater Horizon owned by Transocean and contracted by BP to drill the Mississippi Canyon 252 #1 Macondo well in approximately 5,000 ft of water in the northern Gulf of Mexico offshore the coast of Louisiana. A series of two or more explosions and a huge fire followed shortly after the uncontrolled flow......

Words: 49923 - Pages: 200

Free Essay

Bp Essay

..."Discuss with reference to this BP case study the problems of corporate risk and liability entailed by the factors of uncertainty and lack of reliability of equipment. (in this case the blow-out preventer) State other examples and analyse them. How can companies plan for such contingencies and manage a major disaster when it arises in a damage limitation exercise?" The Deepwater Horizon oil spill of 22 April 2010 is perhaps the most striking example of a corporate disaster due to a company’s lack of certainty regarding some of its operations. First, it is the largest accidental marine oil spill in the history of oil industry, then it took the authorities and the companies almost three months to stop the leak and finally the spill caused extensive damage to wildlife and marine habitats and to the Gulf’s tourism and fishing industry, leading to one of the most complex trial of the US. And even more important, this accident was not caused by a natural disaster like Fukushima’s nuclear disaster was. What is more is that the responsible for this disaster are said to be BP and Transocean, hence companies with the means and power to prevent and stop such a disaster from happening. One might expect from a firm like BP to have efficient and safe equipment, especially when one knows how dreadful an oil spill can be. It seemed however that building oil gusher at such depths made it almost impossible for them to be absolutely sure of their equipment safety, a problem combined to a......

Words: 812 - Pages: 4

Premium Essay

Bp - Global Business Environment

...policy............................................................. 3.2 Global Market........................................................................ 3.2.1 NAFTA & MERCOSAR................................................. 3.2.2 APEC........................................................................... 3.2.3 EU Vs Global Markets................................................. 4. Corporate Social Responsibility....................................................... 4.1 CSR and BP- Olympics in London; 2012..................................... 4.2 BP vs. the Consumer.................................................................. 4.3 Russian takeover with sex parties............................................. 5. Environmental policies.................................................................... 5.1 Kyoto protocol and the EU........................................................ 5.2 The EU and the environment.................................................... 5.3 BP and the environment............................................................ 5.3.1 Breath of fresh air......................................................... 5.3.2 Ten tips to save more fuel............................................ 5.3.3 Alaskan pipeline........................................................... 6. Conclusion....................................................................................... Executive summary With the growing demand for......

Words: 3936 - Pages: 16

Premium Essay

Sustainability / Csr

...topic of sustainability/CSR amounts to a revolution? To answer this question let us first define what revolution is. One of the definitions of this term is « a dramatic and wide-reaching change in conditions, attitudes, or operation». Given this definition I believe that Corporate Social Responsibility does amount to a revolution when it comes to the topic of sustainability for several reasons. Firstly, we observe following change in attitude – increasing transparency of corporations. Secondly, the conditions in which companies operate are changing taking into consideration phenomenon of prosumerism, when consumers are taking an active part in co-creating value of the product sand services they acquire. Thirdly, CSR introduces changes in operation not only of one company but the whole value chain. Let us take a closer look on these reasons. 1. Increasing transparency of corporations. As Senge and Carstedt have noticed, companies are experiencing increasing pressure of public and community attention to the way business operates in terms of its influence on the environment and society. We can observe it via different channels – PR, advertising, reporting. Through their PR activities companies underline their CSR policies. Even when they do not do it consciously, they have to address these issues when facing public critics in case of irresponsible behaviour is revealed. One of the examples here would be disastrous oil spill in the Gulf of Mexico by BP, when company had to......

Words: 686 - Pages: 3

Free Essay

Bp-Crisis

...ISSN: 2278-3369 International Journal of Advances in Management and Economics Available online at www.managementjournal.info CASE STUDY Crisis communication failures: The BP Case Study Daniel De Wolf1, Mohamed Mejri2* 1University 2Ecole of Littoral Côte d’Opale (ULCO)/Management & Economics, Dunkerque, France. Superieure de Commerce/Management Department, University of Manuba, Tunis, Tunisia. *Corresponding author: Email: mohamed.mejri@univ-littoral.fr Abstract On the 20th of April 2010, an outstanding explosion of the BP Deepwater Horizon oil rig situated in the Golf of Mexico caused the largest maritime disaster oil spill in the USA history and particularly caused considerable reputation and financial losses to BP.To deal with the spill oil as well as reputation and financial losses, the company particularly use many tactics and tools to communicate with stakeholders during and after the crisis. However, crisis management and communication experts’ opinions differed on whether BP crisis communication was effective or ineffective.This paper aims to assess BP crisis communication and mainly to point out possible failures through a content analysis of secondary data collected from various sources (newspapers, magazines, annual reports and blogs). Keywords: British Petroleum, Crisis communication, Crisis Management, Deepwater horizon. Introduction On the 20th of April 2010, the petroleum industry has been marked by the largest maritime disaster oil......

Words: 6804 - Pages: 28

Premium Essay

Expansion of Bp

...Expansion of BP It is evident that we are living in a world that is rapidly changing due to the effect of globalization. The world economy is becoming a more interdependent system, thus creating a global economy that is causing the economies of the world to interact with one another as one market instead of many national markets. International business is paramount and it is becoming increasingly important in this technology-driven era. The big question is: why do companies such as BP and other firms expand internationally? Why are businesses becoming international? And why must we create global economic interdependency? More than likely, businesses expand internationally in order to have a competitive advantage over its rivals. Businesses are changing and becoming more and more global due to international competition and competitive strategy. Domestic industries are shifting to global or multinational corporations in order to overcome country parochialism. Competition should be at a global platform, rather than on a country-by-country basis because competition fosters development and efficiency. Creating a global brand, such as BP did in a short period of time, poses several problems to a corporation. Although the foreign environment offers so many capabilities such as availability of supplies, new emerging markets that can be explored, lower labor and manufacturing costs, more access to finance capital, and even avoidance of tariffs and import quotas, other things need......

Words: 740 - Pages: 3

Premium Essay

Csr Report

...Executive Summary This report focuses on the effects on corporate social responsibility (CSR) on MNC from a theoretical point of view by explaining the principles of the CSR in the MNC in a business strategy, identifying the challenges faced by the company in introducing the CSR practice and recommendation by ensuring its effective growth introduction to the company. Corporate social responsibility (CSR) helps MNCs to work in a way which accept ethical way and also contribute to the economic growth and improvethe employees living environments, the smaller society and the bigger society. Multi-national companies can help for CSR in developing countries.The principle of CSR is as a result of globalisation. For centuries, globalisation has been a trend that has knitted people together; this can be traced back to the ‘trade by barter’ system. As civilisation evolved, globalisation began to have more effect and thus implementing CSR. Globalisation has its impacts, both positive and negative on businesses, families, individuals, communities and nations. It is believed that CSR is a means of highlighting the positive impacts of globalisation. Introduction Corporate social responsibility is defined as operating a business in a way that helps for the social and social and environmental effect created by the business organisation. Corporate social responsibility (CSR) helps MNCs to work in a way which accept ethical way and also contribute to the......

Words: 2704 - Pages: 11

Premium Essay

Bp and Its Accountability

...6 2.1 Organizational sustainability 6 2.2 Stakeholder theory 8 2.3 Accountability 14 2.4 Foreign direct investment 16 2.4 Justice and Fairness 19 3. Theoretical Framework 24 4. Case analysis 32 4.1 BP’ sustainable culture and leadership failures 36 4.1.1 BP’s Green wash- a history of failed sustainability 36 4.1.2 BP’s leadership failure, failed sustainable culture and structure 38 4.2 BP’ failures to sustain stakeholders integration 47 4.2.1 BP’s financial link to oil accidents and spill 47 4.3 BP’s disingenuous sustainability 55 5. Discussion 59 6. Implication 63 Reference 65 1. Introduction Concern about the environment has become an integral part of the business literature and practice. Many major multinational companies, especially those who are operating in energy industry, have integrated environmental issues into their mission statements and their sustainability reports, as well as spend significant sums on preservation and remediation efforts (Mirvis et al., 2010; Snider et al., 2003; Rondinelli, 2004). Besides, the great number of monumental disasters over the past 30 years have been caused by oil companies have provide widespread concern for the environment and society. The United Kingdom based British Petroleum (BP), seen as one of the world largest oil and gas companies, has been questioned as its continued involvement in a number of offshore oil accidents have raised concerns about the company’s accountability and......

Words: 19408 - Pages: 78

Premium Essay

Bp Oil

...London, England. The initial name of BP is the Anglo-Persian Oil Company in 1909; in 1954 it changed to its present name British Petroleum. It is combined and reconstructed by the former British Petroleum, Amoco and ARCO (Atlantic Richfield Company). BP’s business has spread to many fields including oil and natural gas, alternative fuels, the production of petroleum based product, aviation fuels and its business about the solar electric power generation is also growing very fast. Since 1981, BP has set up 12 branch companies successively in many fields such as mineral, food, ship, international finance, international detergent with its business spread to more than a hundred countries all over the world. BP has nearly 110,000 employees work all over the world. In 2003, BP is ranked on the FORTUNE as the first five global top 500 companies. Deepwater horizon oil spill and deepwater horizon explosion On 20th April, 2010, the Gulf of Mexico suffered a lot from a great catastrophe of oil spill. The drilling platform of the British Petroleum Corporation exploded in the deepwater horizon in the Gulf of Mexico which led to 11 workers death and very severe environment pollution. This event is regarded as the most severe oil spill incident in the history of America.。 Many people are curious about this catastrophe and people did not know what cause it and what actions would BP take. According to the inspection report BP made on 8th September, BP thought this catastrophe is not......

Words: 2694 - Pages: 11

Free Essay

Tnk-Bp

...TNK-BP (RUSSIA) 2008 – (A07-09-0006) 1. Why did BP create TNK-BP? Are the partners equally committed and motivated to create a successful venture? 2. How has the JV performed? Has it met expectations? 3. Why has the JV experienced so many problems? 4. Does the Russian government have a specific agenda for the JV? 5. What options does BP have? What would you recommend? 1. In comparison with its competitors, the production growth of BP was constrained by its mature oil fields. As a result of the constrained production growth, BP’s financial performance was lagging behind compared to the financial performances of their competitors (e.g. ExxonMobil, Shell). Therefore, BP was aggressively looking for new oil reserves (p. 2). Russia was the world’s largest natural gas producer; the proven reserves were ranked 7th worldwide and there were huge opportunities for further exploitation. It seems like the Russian part of the joint venture is less motivated. They have done this deal to improve profits and to increase their benefits and potential growth. 2. For BP, the joint venture worked out quite well. As stated in the text: “TNK-BP accounted for nearly one-quarter of BP’s oil production.” If the joint venture comes to an end, this would have serious (financial) implications for BP. Also, in the period 2002-2006 the net profit grew from 1.5 million dollars to 6.4 million dollars. 3. One of the issues was that the partners were not in agreement as to the level......

Words: 688 - Pages: 3

Free Essay

Bp and Ethics

...http://blogs.reuters.com/chrystia-freeland/2010/07/19/whats-bps-social-responsibility/ http://www.ecoinstitution.com/green-news/bp-from-social-responsibility-to-environmental-catastrophe/ http://www.bbc.co.uk/news/10194335 http://www.bp.com/genericarticle.do?categoryId=98&contentId=7067682 http://www.uow.edu.au/~sharonb/bp.html http://www.bp.com/sectionbodycopy.do?categoryId=41&contentId=7067505 http://thetruthaboutbusiness.blogspot.com/2010/05/fall-of-british-petroleums-ethics.html http://www.ethicalcorp.com/communications-reporting/beyond-petroleum-why-csr-community-collaborated-creating-bp-oil-disaster Unethical BP operation in Colombia – BP paid state forces to protect its operation against local gorillas who have declared war against oil companies. However, Human Rights Watch (HRW) accuse the Colombian Military of human rights abuses. BP Gulf of Mexico spill- was described as the worst environmental disaster in US history. The spill caused the death of 11 people, affected wildlife, and tourism industry. In 2006, BP was charged with misconduct after 201,000 gallons of oil leaked into Alaskan Tundra, it cost the company $200million in criminal penalty Between the years 1997 and 1998 it was recorded that the company was responsible for 104 oil spills in the Arctic alone Ethical Bp completely rebranded itself 2000 to try to position itself as being a greener fossil fuel producer, to seem more environmentally friendly they initiated a new campaign......

Words: 303 - Pages: 2

Premium Essay

Ethical Problems in Bp

...1. Introduction The company, BP is the third-largest energy company where produces approximately 3.8 million barrels of oil and gas per day and possesses 22,400 service stations over the world. However, the oil disaster called as BP oil spill or the deep water horizon oil spill was occurred on April 20th, 2010 in the Gulf of Mexico recording the greatest oil spill compared to other oil spill accidents in our history. The Deepwater Horizon oil rig explosion caused deaths of 11 workers, 17 workers injured as well as a tremendous oil spill in the Gulf of Mexico. In fact, this case has been described as a complex accident including a variety of issues ranging from environmental to economic, politics and even ethical issues. The goal of our research is to find any ethical issues since this disaster happened is closely related to ethics which is concerned with moral obligation, social responsibility and justice (Carolyn Wiley, 1997) either individual (‘bad apples’) or organizational (‘bad barrels), which should be evaluated to verify this case. Firstly, the ethical issues can largely be divided into three categories, namely (1) technical design which has had some testing flaws before the actual usage and insufficient guidelines against the negative pressure test, (2) human factors including misjudgment, errors and a failure in duty, (3) organizational system such as taking risk procedures to save time and money and refusing the advice of staff and contractors as well as slowness......

Words: 3144 - Pages: 13

Premium Essay

Global Ethical Position of Bp

...The global ethical position of BP and their exploration of the Gulf oilfields. BP (formerly British Petroleum) is one of the world’s largest oil and energy companies, which provides fuel, energy and petrochemical products. They have been in existence since the early 1900’s and have gone through a number of changes. In July, 2003 after merging with Amoco they rebranded as a ‘beyond petroleum’ company. Their logo, a sunburst of green, yellow and white, symbolizes dynamic energy in all its forms. (BP, 2010). Their ‘beyond petroleum’ tagline featured BP as a company that was concerned with the environment and its corporate social responsibility (CSR). BP’s Director of Business ethics outlined their commitment to ‘being ethical’, which included respect for human rights, avoiding harm to people and the environment , avoiding conflicts of loyalty and interest. (Broome 2003). However, as a result of the oil spill in the Gulf of Mexico in 2010, BP’s ethics policy have been placed under extreme scrutiny, exposing them as a company whose marketing strategies is misaligned to their actions. This article looks at BP’s global ethical position with regards to their exploration in the gulf oilfields. It takes a further look at the implication that it caused to their branding and marketing strategies and suggests what marketing strategies they should adopt in order to move forward and regain sustainable competitive advantage. One of BP’s strategies is to create value for shareholders...

Words: 2377 - Pages: 10