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Change management at Mobil Oil Australia

Change management at Mobil Oil Australia To remain competitive many businesses in the 1990s have undertaken business process reengineering projects reorganising one or more parts of their operations. This paper results from a case study of the enterprise‐wide review of Mobil Oil Australia Limited to increase profitability and change the culture of the organisation. A radical (to the oil industry) business unit organisation structure was designed, populated and implemented. The project was an immediate financial success and reenergized the company. Income after tax was six times higher after the reorganisation than in the previous year, notwithstanding a continuing recession and the uncertainty caused by the restructuring. Return on capital employed increased from 2 percent to 7 percent. Lessons can be learnt from the way the project was initiated and developed, the deployment of the project management structure and improvement methodology, the approach to the implementation of the new structure and the findings of the post implementation review. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Business Process Management Journal Emerald Publishing

Change management at Mobil Oil Australia

Business Process Management Journal , Volume 8 (5): 15 – Dec 1, 2002

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Publisher
Emerald Publishing
Copyright
Copyright © 2002 MCB UP Ltd. All rights reserved.
ISSN
1463-7154
DOI
10.1108/14637150210449120
Publisher site
See Article on Publisher Site

Abstract

To remain competitive many businesses in the 1990s have undertaken business process reengineering projects reorganising one or more parts of their operations. This paper results from a case study of the enterprise‐wide review of Mobil Oil Australia Limited to increase profitability and change the culture of the organisation. A radical (to the oil industry) business unit organisation structure was designed, populated and implemented. The project was an immediate financial success and reenergized the company. Income after tax was six times higher after the reorganisation than in the previous year, notwithstanding a continuing recession and the uncertainty caused by the restructuring. Return on capital employed increased from 2 percent to 7 percent. Lessons can be learnt from the way the project was initiated and developed, the deployment of the project management structure and improvement methodology, the approach to the implementation of the new structure and the findings of the post implementation review.

Journal

Business Process Management JournalEmerald Publishing

Published: Dec 1, 2002

Keywords: Business process re‐engineering; Organizational change; Teamwork

References