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Management Essay

2362 words - 9 pages

Royal Dutch Shell and the Execution of Ken Saro-Wiwa Executive Summary As a global conglomerate, Royal Dutch Shell (Shell) has to manage the projection of its image to all stakeholders groups. Without an image that is held in high regard, the company?s efforts to expand or maintain its operations and dealings in different global regions could become increasingly difficult. To combat this, Shell must create a comprehensive list of guidelines that will monitor business practices and business ethics.It is my view that the company should implement a ?Global Awareness? Strategy that focuses on establishing infrastructure projects and social programs, improving existing and current products and processes with an environmental focus, establish corporate foreign participation and increasd employment levels, develop guiding principles for ethical and environmental business practices, and create and disseminate marketing programs to reestablish itself as an ethically responsible company who has chosen to be a progressive leader. This will allow Shell to regain its positive corporate image that has been tainted by various media sources and public figures. Regaining its image is an imperative for Shell. As the Ken Saro-Wiwa incident shows, the image of the company is not the only thing that can be harmed. Economic opportunities ? a necessary ingredient for success ? will be lost.Overview Shell grew out of an alliance in 1907 between Royal Dutch Petroleum (RD) and the Shell Transport and Trading Company (SC). The companies agreed to merge their interest while maintaining their separate identities. RD owns 60% of the union while SD owns the balance. Shell, one of the world?s largest oil companies, has been pumping almost half of Nigeria?s oil from the Ogoni lands since the late 1950s. Nigerian oil accounts for 11 to 12% of the company?s global output and generates approximately $200 million in revenues per year (nearly $30B since 1937). The Ogoni region has not received any benefit from this. What they have endured is low employment levels, unseen redirection of oil revenues, and environmental degradation. The Ogoni region remains one of the poorest in Nigeria.In Nigeria, Shell has been dealing solely with the oppressive government, thereby ignoring the necessities of the minority communities, of which the Ogoni is one. As the minority communities become more vocal, Shell has been facing increased pressure to work with both the majority government and the minority communities. The Ogoni have complained that Shell?s operation in their region has had a damaging effect on their environment. They have also complained that Shell had not given anything back to the community. In 1993, the Ogoni organized a protest against Shell and the government. The ensuing intervention by government troops in the Ogoni region led to the death of n Ogoni protester.Raids between the side began, resulting in the killing of Ogoni chiefs who wanted to reach a compromise with the...

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