Management_Planning

Halliburton - Management Planning Introduction Halliburton, founded in 1919, is one of the world’s largest providers that serves many domestic and international organizations with a broad range of product and service needs in the energy productions industries. It operates in two business segments: the Completion and Production segment and the Drilling and Evaluation segment that delivers cementing, stimulation, intervention and completion services. The Drilling and Evaluation segment provides field and reservoir modeling, drilling, evaluation, and well construction solutions that enable customers to model, measure, and optimize their well placement, stability and reservoir evaluation activities. This includes fluid services, drilling services, drill bits, wireline and perforating services, software and asset solutions, and project management services (Halliburton, 2009). Planning function of management. Halliburton is managed by a Board of Directors that is primarily responsible for the planning functions at all levels within the corporation. Their planning and translation of that plan are in keeping with the company mission and vision. Strategy and action plans are focused on the customers, clients, stockholders and employees taking into consideration current financial climates governing business development objectives. Contingency plans and risk management are an integral part of the planning process to aid in controlling outcomes and making changes to achieve their global objectives. Product and service lines are in a planned, managed balance to fulfill the needs of the foreign regions Halliburton serves. Risk assessment identifies areas where planning can mitigate any threats to the company, clients, or employees essential to success. Legal and Ethical Issues “Our Corporate HSE Policy is overseen by the Health, Safety and Environmental Committee of the board of directors, which provides direction for the management of HSE and input on current and emerging health, safety and environmental issues” (Halliburton HSEOE, 2010) The HSE Executive committee is responsible for seeking guidance from legal counsel on all matters that exposes Halliburton to litigation. Legal counsel then decides a course of action to mitigate the ramifications of actions brought against them. The committee also reviews recommendations by the operations department concerning corrective measures that may impact the company in a legal or ethical manner. Planning includes follow-up reviews to ensure implementation and success of such measures. In May 2009, the Defense Contract Audit Agency (DCAA) reported to the Commission on Wartime Contracting in Iraq and Afghanistan that since 2004, KBR, which was a subsidiary of Halliburton, is “suspected [of] over-billing, bribery and other possible violations of the law”. Of all Pentagon spending in Iraq, 43% went to KBR contracts (CorpWatch, 2009). Corporate Social Responsibility In 1965, Halliburton established a domestic foundation for charitable givingthrough employee matching gifts, direct grants and scholarships for all levels of education. Since they are in many other areas of the world, charities benefiting the communities where they do business accept donations through their respective offices. College scholarships are also awarded to the children of employees, based on financial need. In 2008, the Halliburton Foundation donated approximately $2.9 million to support these charities (Halliburton Foundation, 2010). Three factors that influence the company's strategic, tactical, operational, and contingency planning. Three factors that influence the company’s strategic, tactical, operational and contingency planning are the global economy, technology and human resources. Well-trained, productive employees are essential to the success of any organization. Halliburton’s focus on recruiting highly qualified individuals is apparent with John Leftwich, senior geological advisor in Halliburton's Drilling and Evaluation Division. Leftwich is “a certified petroleum geologist and a member of eight professional societies”, who was recently awarded the Bromery Award for Minorities by the Geological Society of America (GSA), which recognizes minority professionals who have made significant contributions to research in the geological sciences (Halliburton Press, 2009). Technology is a driving force and influence in every aspect of Halliburton. With a global focus on going green, any product or service that can transition companies into buy, using, and selling more efficient, self sustained energies is bound to gain international attention. Producing new technology is at the backbone of Halliburton’s energy industry. They are pioneers in water treatment and conservation, as well as geothermal energy sources which have the potential to reduce dependence on traditional fuels. Carbon capture and storage is a cutting edge technology Halliburton is developing to reduce emissions of green house gasses into the environment. Since Halliburton’s main stage is the global marketplace, the economy of the world weighs heavily in its planning phase. Reporting to and being accountable to shareholders motivates planning at the higher levels of the organization, which have a direct impact on the bottom line. References Halliburton,2010, Halliburton Foundation http://www.halliburton.com/AboutUs/default.aspx'navid=992&pageid=2347 Halliburton, 2010, Health, Safety, Environment, and Operational Excellence, http://www.halliburton.com/AboutUs/default.aspx'navid=971&pageid=2308 Halliburton, Press Release, October, 2009, http://www.halliburton.com/public/news/pubsdata/press_release/2009/corpnws_102609_b.html