Saudi Arabian Oil Company Essay
Saudi Arabian oil company Introduction Saudi Arabian oil company is multinational company today is called Saudi Aramco. It is the largest oil corporation in the world with the largest proven crude oil reserves. The company is located in Eastern reign of Saudi Arabia. Exploration, production, refining, distribution, shipping and marketing are operates by the company. Saudi Aramco published in 1933 when the government of Saudi Arabia allowed for American company called Casco to drill about oil in Eastern reign of Saudi Arabia.
In 1980 the Saudi Arabian government acquired full control of Saudi Aramco. The company has reported that oil reserves of about 260 billion barrels it has acquired. Also, it owns 263 trillion cu. ft. of natural gas reserves.
It produces 8. 5 million barrels a day. Saudi Aramco known as the leader of oil in the world. Location Location is known as the key of any business to be worked successfully.
Consequence, location is very important for the Saudi Aramco. Hence, Saudi Aramco do having control on each parts which that contains oil and gas in Saudi Arabia.For instance, around five parts contain oil in Eastern reign of Saudi Arabia and it is underneath hands of Saudi Aramco. Explore oil in any part of Saudi Arabia is the first step to be located for the company and it does not cost the company to have the land especially when the land belong to the government.
Also, the main site of Saudi Aramco located in the middle of Saudi Arabia and that leads the company to make control of its business easily. However, some parts are totally blank of facilities but it has oil in it.Hence that the company start to establish its facilities to let their worker to take part in a new location and since that the worker are likely to spend their time doing their job as long as possible. In other words, facilities are strongly relevance to productivity.
Customers International and local customers are considered by the company of Saudi Aramco. Respect for the Conventions, respect the relations with the others and being punctual are requested to build up success business. Wherefore, the company it has owned special employees and building to be cared for its customers.Debated the customers requirement are enhance performances of the company and that is made on the calendar of Saudi Aramco monthly. For example, there is department is made by the company to identify problems or challenges might be seen in the businesses of the company.
As result, the government of the kingdom of Saudi Arabia authorise the company to train their employees in relationship locally such as public relations staffs. In addition, businessmen are seen taken training courses of relations and services provides by Saudi Aramco.In conclusion, Appreciations of the clients are seen in the company’s annual celebrations. Education Saudi Aramco it has owned their special system of education.
The company itself does not follow the system of Saudi Arabia. In another words, it does have particular system to teach their employee as well as upgrading their skills to send them overseas to have good certificate too. The company provides schools for its employee’s families. Also it has owned particular staffs to educate students naturally.Since the child born can be educated by the company such as kindergarten can be entered to the school while in the kingdom it is not. Lots of students belong to the company sent to study in United Kingdom, Canada, America and Australia even thought to Eastern of Asia such as Japan, Singapore, Malaysia and South Korea. This contributes greatly to raise the level of the company. Also, Saudi Aramco adopts many programmes that can be encouraged who would be worker for the company and they have not the company requirement.
Also, there is Summer Student Programs provides every summer to train the young students to improve their skills in some practical models such as English, math, technical skills, computer training and special safety programs. SWOT Strength Businesses must be strong to performance well in its way. There are a lot of aspects can be affected to the company’s business and make its business strong. Firstly, when we look to the requirement of the current era like equipments of transportation such as cars, buses, trains, ships and planes those needs fuel to work so the fuel supplied by Saudi Aramco.A lot of goods can be produced using hydrocarbons as rubber, plastic, medicines and creams. Hydrocarbons are the function of the company. Also petroleum productions as well as gas uses are supplied by the company. Hence, those aspects support the company to look forward within its businesses.
In other word, we can say the world is relying on such as these businesses or companies. Even though, another aspect is the largest reserve of oil in the world is acquired to Saudi Aramco. In addition of pillars, the company is owned for the government of Saudi Arabia.Also, the employee’s of the company have top level of motivation. Also, the employee’s are dedication and they are working by their heart to appreciate their company. Weakness Weaknesses might be seen in any kind of businesses and sometimes weaknesses are likely to become strengths when overcome them.
Saudi Aramco has some weaknesses in its businesses such as sour (high-sulphur). The company produces many different type of crude oil and then categorize them to different category depends with how much dose the crude oil have of sour sulphur.If it is become high level of sulphur it will make discount of the price of the crude oil.
In other word, the high level of sour crude oil is sold with low price comparing with the low level of sour crude oil. Also, the company has another aspect to be categorised as weakness. According to (Kobayashi: 2007) the company exports focused in crude oil.
The changeable in its revenue sources has resulted in very unsteady revenue flows in the past, and the company is in need of revenue source diversification in order to stay its annual income. |opportunity |threats |High crude oil price and sufficient investment capital |Rising domestic gas demand growth, and potential gas supply crunch. | |Strange oil demand growth, especially in Asia |Potential slow down of world oil demand growth caused by the recent | | |high oil price. | The reverences http://www. saudiaramco.
com/irj/portal/anonymous? favlnk=/SaudiAramcoPublic/docsnav/Jobs and Careers/Saudis&ln=en www. rice. edu/…