Premium Essay

Rio Tinto

In: Business and Management

Submitted By Alvan
Words 1795
Pages 8
Executive Summary
Rio Tinto, which bases its headquarters in the United Kingdom, has 71,000 workforces working across more than 40 countries including Japan. Being a leading global mining and metals corporation, it is rich in resources, human recourses and capabilities in responding to the demand for metals and minerals necessary to produce in diverse products, ranging from mobile phones to cars. It is focusing on searching, mining and processing the Earth's mineral resources as an effort to maximize shareholders’ value (Rio Tinto 2012).
Rio Tinto, Japan faced a great deal of issues due to the earthquake (Vibert 2011). For instance, employees are losing of direction when business is to recommence. Most of the infrastructures such as power systems, public transports and communication channels in disaster-affected areas are destroyed. Furthermore, there are a great deals of uncertainties arose due to the earthquake and its aftermath especially the effect of radioactive contamination on water supply. Lacking of medical infrastructures to help the injuries as their numbers exceeds the affordability of the hospitals is also a concern. Rio Tinto has to act as a corporate residence and deal with these to assure shareholders’ return.
This report aims to suggest a solution to deal with the issues identified. The report contains decision criteria acting as targets and measures for the recommendations. TOWS analysis is then put the Rio Tinto’s strength, weaknesses, opportunities and threats together with the recommended alternatives to implement. It is recommended that Business Resilience and Recovery Programme should implement in Rio Tinto Japan immediately after the earthquake on 11 March 2011 to effectively mitigate the impact of, control and recover from this catastrophe.

Decision Criteria
With the aforementioned issues arose following the earthquake, Rio Tinto…...

Similar Documents

Premium Essay

Rio Bravo

...Bibliography Executive summary Introduction In the Rio Bravo company it is important that, the leadership of the company if very motivated to work at the company. The operations management plan must be implemented according to the seven points listed in the main body. This will enable them to cover all requirements. The company culture should also be to the best standards. A balance scorecard will enable Rio Bravo to take measurement on current progress. Main Body An operations management plan should have been implemented, the following steps will be required to implement an operations management plan. The formulation required by Rio bravo would have to be as follow. 1. Customers 2. Company 3. Competitors 4. Design and organization 5. Capacity 6. Processing 7. Problem solving and control Customers Team up with customers and know your customers. Rio bravo did not team up with their customers right from the start the would have prevented the low quality products manufactured. The customers would have indicated there concerns right for the get go. Rapid improvement and an quality and cost. Company Rio brsvo as a company worked well as a team, the team was involved in planning and implementing change however this was to-late. The workforce however did stay committed and involved. Competitors Know the competitions and the world-class leaders. Rio Bravo company did team up with one of the world’s......

Words: 1034 - Pages: 5

Premium Essay

Sustainability Report Overview for Rio Tinto 2012

...stakeholders put more attention on the quality of sustainability report. This report will not only describe the motivation of company publish the sustainability report and its key features but also will evaluate the sustainability report in the industry mining and metals. 2 Motivations The main motivating factors companies to publish sustainability reports are the benefits which publishing sustainability report bring such as improving the long-term performance, gaining the trust of investors and higher reputation. First, the timely and comparable data published in the sustainability can help manager to make a permanently plan which can lead their company better. Our activities aim to bring long-term benefits to the places where we work (RIO TINTO 2012). Next, the universality of the sustainability reports result in more attention from investors because the data in sustainability report can help them to make a better decision. Dellios (2012) states that investors have put more attention on environmental, social and governance (ESG) factors to the companies' long-term performance. Therefore, publishing the sustainability report also a chance for company to improve their reputation because the content of report helps investors understand the characteristic or advantage of company effectively. At last, the sustainability report also will have a great impact on financial. Some information such as the positive financial date may attract investor to invest in this company. High......

Words: 1170 - Pages: 5

Premium Essay

Bhp and Rio Merger

..................................................................................4 3.2 Financial Standing .....................................................................................................................4 4. Rio Tinto ..............................................................................................................................................5 4.1 Background ................................................................................................................................5 4.2 2012 Performance and Uncertain Future ...................................................................................5 5. Merger ..................................................................................................................................................6 5.1 Merger Structure ........................................................................................................................6 5.2 Synergies....................................................................................................................................6 5.3 Obstacles ....................................................................................................................................7 6. Valuation of Rio Tinto .........................................................................................................................7 6.1 Book Value ...........................................................................................

Words: 5085 - Pages: 21

Premium Essay

Juveniles of El Rio

...the emergence in distressed neighborhoods. Now lets talk about El Rio in relation to these 5 domains El Rio – is an unincorporated city of 7,000. 86% are Hispanic and 35% were born out of the country. The poverty rate is 16 %, which is about the same as California’s, but higher than the national. The median income is approx. 20,000 which is lower than the national and state median of 30,000. How does being an unincorporated affect this community? Representation – there is one county supervisor, John Zaragoza who represents El Rio and all of Oxnard in district 5. Oxnard is a city with 200,000 people compared to El Rio’s 7,000 people. There are no city council members or mayor, there is no city police department. Needless to say which community might be over looked. The Taxes are paid to the county and then filtered back to El Rio. There is a lack of transparency for tracking the funds and the existing businesses have no ownership in their community. Parks and Recreation – there is no park and recreation department to provide education, services and programs to the community. Parks and Recreation departments are a great asset for kids and parents during summers and after school hours Infra structure – The original housing in El Rio was constructed for farm laborers, without a waste water system. In 2007 District 5 Supervisor John Flynn had allocated money for installation of sewer system in El Rio. The officials reneged on a four year promise to install......

Words: 1071 - Pages: 5

Premium Essay

Rio Grande

...Case Study: Rio Grande Medical Center Domonique Chapman HCM 733 F1WW Professor Edward Schaffer July 13, 2014 Justification of Additional Space Based on my interpretation of the allocation costs for the Outpatient Clinic Advantages & Disadvantages Facility Allocation Recommendation for Final Allocation References Case Study: Rio Grande, Week 2 Learning Outcome: Justify an indirect cost allocation scheme for outpatient services for a healthcare organization. | Score | | Below Expectations0 – 15 | Approaches Expectations16 - 17 | Meets Expectations18 - 20 | | 1. Justification of additional space for Outpatient Clinic | Justification of additional space for Outpatient Clinic is insufficient. | Justification of additional space for Outpatient Clinic is sufficient. | Justification of additional space for Outpatient Clinic is comprehensive. | | | Below Expectations0 – 11 | Approaches Expectations12 - 13 | Meets Expectations14 - 15 | | 2. Discussion of advantages and disadvantages of new methodology and justification | Discussion of advantages and disadvantages of new methodology and justification is insufficient. | Discussion of advantages and disadvantages of new methodology and justification is sufficient. | Discussion of advantages and disadvantages of new methodology and justification is comprehensive. | | | Below Expectations0 – 11 | Approaches Expectations12 - 13 | Meets Expectations14 - 15 | | 3. Facility......

Words: 408 - Pages: 2

Premium Essay

Rio Tinto

...Executive Summary  Rio Tinto, which bases its headquarters in the United Kingdom, has 71,000 workforces working across more than 40 countries including Japan. Being a leading global mining and metals corporation, it is rich in resources, human recourses and capabilities in responding to the demand for metals and minerals necessary to produce in diverse products, ranging from mobile phones to cars. It is focusing on searching, mining and processing the Earth's mineral resources as an effort to maximize shareholders’ value (Rio Tinto 2012).  Rio Tinto, Japan faced a great deal of issues due to the earthquake (Vibert 2011). For instance, employees are losing of direction when business is to recommence. Most of the infrastructures such as power systems, public transports and communication channels in disaster-affected areas are destroyed. Furthermore, there are a great deals of uncertainties arose due to the earthquake and its aftermath especially the effect of radioactive contamination on water supply. Lacking of medical infrastructures to help the injuries as their numbers exceeds the affordability of the hospitals is also a concern. Rio Tinto has to act as a corporate residence and deal with these to assure shareholders’ return. This report aims to suggest a solution to deal with the issues identified. The report contains decision criteria acting as targets and measures for the recommendations. TOWS analysis is then put the Rio Tinto’s strength, weaknesses, opportunities......

Words: 275 - Pages: 2

Premium Essay

Rio Grande

...Rio Grande Supply Co. Objective: To determine the appropriate action of Jasper Hennings as the president of the company to the two employee, Henry Darger the chief of operations and the female employee that Henry Darger fired. Statement of the Problem: How does Jasper Hennings the president of the Rio Grande Supply Co. handle the issue of Henry Darger by firing the female employee by following the company’s values it adopted: integrity, honesty, and a respect for each individual employee? Analysis of the Problem: Jasper Henning can fire Henry Darger but it is costly and it is hard to find another employee that could fit the position of Henry Darger. But I suggest not to fire Henry Darger but send him in a counseling procedures in order to give him the correct punishment. Also I suggest to hire the female employee and send him also to counseling. Questions: 1) What environmental factors have helped to create the situation Jasper Hennings faces? What factors does Jasper need to consider when deciding on his course of action? 2) Analyze Rio Grande’s Culture. In addition to the expressed cultural values and beliefs, what other subconscious values and beliefs do you detect? Are conflicting values present? When values are in conflict, how would you decide which ones take precedence? 3) Assume you are Jasper. What are the first two action steps you would take to handle the Henry Darger situation? How would your role as a cultural leader......

Words: 474 - Pages: 2

Premium Essay

Bhp Billiton - Rio Tinto

...EXECUTIVE SUMMARY The report aim’s to examine the annual reports of Australia’s two largest mining companies BHP Billiton and Rio Tinto and analyse their cash flow statements. The analysis requires evaluating the cash flow performance of these companies during the global financial crisis 2007- 2009.The global financial crises were originated in US because of the bloom/bubble in the housing prices. During global financial crisis many financial institutions failed to recoup their money from lenders and finally ended up declaring bankruptcy. The purpose of the cash flow statements is to provide information about the changes to an entity’s cash and cash equivalents over certain period of time. The cash flow from operating activities of the both companies shows both positive and negative signs as the companies were going through recession. Whereas both companies used external and equity source financing and thus made an efficient cost effective decisions from which BHP Billiton benefited the most. Finally it’s concluded that the both companies were successful in overcoming global financial crisis and alternative strategies affecting the profitability of the companies were presented. Introduction Last three years has faced the worst global financial crisis after the great depression of 1929-1933. The origin of global financial crisis was mainly in US starting from mid 2000’s and taking the whole world into account by the end of 2007. The main reason of the crisis...

Words: 2721 - Pages: 11

Free Essay

Sarei V.Rio Tinto, Plc

...SAREI V.RIO TINTO, PLC 487 F. 3d 1193 (2007) United States Court of Appeals (9th Cir.) Facts: This case took place in Bougainville, Papua New Guinea, which is a country close to Australia, between 1972 and 1989. Rio Tinto is an international mining group with headquarter in London, Europe. Plaintiffs are former and current residents of Bougainville that alleged damages as a result of mine’s operations. They claim that after mine started operating, they started getting sick because of the mine’s pollution. Rio Tinto operations affected Bougainville resident’s health, causing physical and mental illnesses, particularly children to suffer respiratory disease. Another point is that they claim that this corporation treated them as a slave practicing a racially discriminatory wages. In 1998, residents sabotaged the mine, forcing it to close. Rio Tinto got assistance of the national army to quell the uprising, and many civilians were killed. This incident caused a huge revolution, and a civil war took place for ten years. They claim also that during the war many war crimes and human abuses were committed by the army, of the behest of Rio Tinto. Residents of Bougainville sued Rio Tinto for its racial discrimination, war crimes and human abuses, under Alien Tort Statute (ATS). Issue: This case can be tried by a United States Court, are the US courts the appropriate forum for resolving this claim? Decision: The Ninth Circuit found that it had subject matter jurisdiction,......

Words: 328 - Pages: 2

Free Essay

Rio Tinto Essay

...be beneficial. As a result, the business relationship between Australia and China has been consolidated during these trading years. China is the second largest export market after Japan and third largest trading partner for Australia. Alternatively Australia is the ninth largest trading partner for China, thus the bilateral trade volume is increased annually in the growth rate of 30 percent (Moens.G,2007,p.56). Rio Tinto is the one, powerful multinational mining and metal company which is operated business to greatly import its porducts to China as the 19 percentage of company’s revenue is acquired from China market in 2008 (Chen, S. 2010). After Rio was declined an offer of $US20 billion from the state owned Chinalco, the arrest and sentence of Stern Hu and his colleagues in 2009 was occured for allegations of bribery about $US14 million and stealing business secrets from state-run steel company. Consequently the China Iron and Steel Association reflected by the action of stop buying iron ore for the next two months from Brazil’s Vale, BHP Billiton and Rio Tinto (Mascitelli&Chung, 2011). As a result the trade relationship between Australian and China is collapsed in some way that Foreign Minister Stephen Smith said transparency and openness could have facilitated Australia and the international business community in understanding and dealing with the matter (Sainsbury,M.2010). The case has raised the cold war tension between the essential economic relationship between......

Words: 1012 - Pages: 5

Premium Essay

Rio Tinto Indigenous Booklet

...case study is about Rio Tinto, a mining firm that is carrying out a program concerning the employment of aboriginal people in Australia. The firm actually works with local indigenous communities, and was one of the first organisations to take into contract with the state. That is, the business will have to sign the contract of employing indigenous workers and supporting them in their placement, training and maintaining their posts (Rio Tinto, 2013) STAKEHOLDERS A stakeholder is a group, or a person like workers that has a direct interest in an organisation’s performance, operations and the organisation is affected by them as well as the stakeholders also are affected by the business (Raymond 2010, 14) The stakeholders involved are the indigenous people itself, the present staff, the state, special interest groups and shareholders. Furthermore, the indigenous people are classified as stakeholder as they are affected when there is the selection process while recruiting staff and the company is influenced by them because it has to look for better candidates among these aboriginal people and they will finally be part of the labour force. Moreover in the program that is being carried out, the new recruits would be provided with training as they are not that educated. There is also good environment condition that is being given to them with their jobs being secured. And also concerning the learners, that is those from the tertiary and secondary school Rio is allowing......

Words: 1788 - Pages: 8

Premium Essay

Rio Grande

...CASE ANALYSIS: RIO GRANDE SUPPLY COMPANY PROBLEM STATEMENT 1. Facts of the case  Rio Grande Supply Company is a Texas-based wholesale plumbing supply company - Promotes integrity, honesty and a respect for each individual employee as the company’s values  Has very strict policy on computer use; only for business-related activities Jasper Hennings, President, believes that a company’s top executives were largely responsible for determining a firm’s corporate culture  Henry Darger, hard-working chief of staff and a member of Jasper Hennings’ church - fired a female employee for accessing another worker’s email. - his young nephew had committed suicide and a business he’d helped his wife start had failed.  used company computer to access pornographic sites. Female employee, fired by Henry Darger for having accessed another worker’s email surreptitiously. 2. Statement of the problem How will Jasper Hennings handle the situation involving his chief of staff, Henry Darger and the female employee KEY OBJECTIVES  To define a specific course of action for Jasper Hennings involving Henry Darger and a female employee, whom Henry Darger fired DIAGNOSIS AND ANALYSIS OF CAUSES An organization’s values serve as the guiding principle that are most important in performing work and achieving goals. These values are shared amongst all employees to help them determine what is right and wrong. Values shape the culture of the......

Words: 913 - Pages: 4

Free Essay

Rios

...Rio Curso de água natural, superficial e regular, que pode desaguar num outro rio, num lago ou no mar. É delimitado pelas margens, faixas de terreno contíguo ao leito. O leito de um rio é o espaço de terreno que pode ser coberto pelas águas. Engloba os mochões - ilhas cultiváveis formadas nos rios -, as lodeiras - locais de acumulação de lodo - e os areais - zonas de acumulação de areia. Podem distinguir-se três tipos de leito: - leito aparente, sulco por onde normalmente correm as águas e as matérias que transportam; - leito de inundação ou de cheia, espaço do vale do rio que pode ser inundado quando ocorrem cheias; - leito menor ou de estiagem, zona do leito aparente que fica a descoberto quando a quantidade de água do rio diminui, em consequência de uma seca prolongada. Para o estudo de um rio e dos seus leitos recorre-se à elaboração de cortes transversais em determinadas zonas do seu percurso - perfis transversais. No percurso de um rio podem distinguir-se três zonas, o curso superior, o curso médio e o curso inferior. Os rios possuem um certo dinamismo, apresentando actividade geológica que engloba a erosão, o transporte e a deposição de materiais. A erosão de um rio passa pela extracção progressiva de materiais do seu leito e margens. Estes materiais resultam da meteorização física e química das rochas, devida à pressão exercida pelas águas do rio em movimento sobre as saliências do leito e margens. A acção erosiva dos rios é mais acentuada em épocas...

Words: 5168 - Pages: 21

Premium Essay

Rio Tinto Case

...RIO Questions (1) I should look at whether the current KS of RIO suggests any bus. Or finc risks (2) Does increase or decrease leverage (if I recommend) affect return or risk RIO is raising (3) Is RIO a high or low Beta company? HOW DOES GFC AFFECT ON RIO? (4) What is the average level of leverage within proxy firms and mining industry? EBIT ($ millions, no taxes) EPS ($) 0 0.2 0.4 0.6 0.8 1 3 2.5 2 1.5 1 0.5 0 – 0.5 – 1 D/E = 1 D/E = 0 This can be used in ass by showing the change in D/E ratio and how does it affect EPS This graph show at which EBIT the two different D/E produce the same EPS * Let’s evaluate the following ratios chapter 28 716 * Total book value of liabilities / total book value of equity (1) * Total debt / book value of equity (2) * Net debt / book value of equity (3) * Net debt = Total debt - cash * Net debt / net tangible assets (4) * Net tangible assets = total assets – intangible assets – total liabilities – preference shares * Net debt / market value of equity (5) * Notes: * It would be better to use market value of debt, but not all firms issue bonds * The above ratios can also be converted to have total assets (book value or market value) as the scaling factor * I need to evaluate these ratios for ass * RIO does not issue bonds => book value only AUS has imputation tax......

Words: 586 - Pages: 3

Premium Essay

Rio Tinto: Resource-Based View

...Rio Tinto: Resource-Based View Introduction                 Rio Tinto was established in 1873 and 1905. Currently, it is considered as the leading mining and exploration companies in the globe. The companies find, mine and process the mineral resources of the earth – such as metal and minerals that are vital in making thousands of everyday products which meet the needs of the society and contribute to the improve standard of living. The activities of the companies span the world with production from every continent. The companies are offering products such as aluminum, copper, diamonds, energy products, gold, industrial minerals and iron ore (Rio Tinto, n.d.).                 Rio Tinto is a contemporary business which is committed in serving all of its stakeholders. Thus, in all of its activities, the company follows the very best practice in terms of safety, ethical business, social and environmental responsibility, together with sustainable development (Rio Tinto, n.d.).                 The main objective of the company is to maximize profit towards its investors by operating in responsible manner and in sustainable manner in the process of finding, mining and processing minerals – areas of expertise in which the Group has a competitive edge. The strategy of Rio Tinto focuses investing in large, long life and cost competitive advantage driven by the quality of opportunity, not choice of commodity (Rio Tinto, n.d.). The Resource-Based             The resource-based...

Words: 765 - Pages: 4