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The CASE Journal : Stakeholders and Corporate Environmental Decision-making: The BP Whiting Refinery Controversy

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Case Study Analysis Two : Stakeholders and corporate environmental decision making: The BP Whiting Refinery controversy. Attached is the case study work to use and write on : 1. Problem Identification or Introduction. 2. Cause & Effect Analysis. 3. Root Cause Analysis. 4. Solution or Recommendations. During the late summer of 2007, Bob Malone, British Petroleum (BP) America Chairman and President, was faced with one of the most important decisions of his career – to expand the Whiting Refinery in northwest Indiana on the banks of Lake Michigan, or to yield to pre...

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Question Preview:

Case Study Analysis Two : Stakeholders and corporate environmental decision making: The BP Whiting Refinery controversy. Attached is the case study work to use and write on : 1. Problem Identification or Introduction. 2. Cause & Effect Analysis. 3. Root Cause Analysis. 4. Solution or Recommendations. During the late summer of 2007, Bob Malone, British Petroleum (BP) America Chairman and President, was faced with one of the most important decisions of his career – to expand the Whiting Refinery in northwest Indiana on the banks of Lake Michigan, or to yield to pressure from the public and not expand operations. Regional and global consumer demand for gasoline was rising, which helped push prices toward record highs, and the refinery had an opportunity to expand capacity to help meet that demand.

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Due to rising consumer demand regionally and globally for gasoline was rising, resulting in extended rates. In recent years, petroleum products demand had been recorded high. The BPWhiting Refinery viewed it as an opportunity to increase the size of refineries process to support encounter the demand. In the year 2007, British Petroleum America Bob MalonePresident, as well as Chairman, decided to expand Whiting refinery on the verge of LakeMichigan in Indiana northwest. Although British Petroleum (BP) had taken the approval of all legal requirements to process crude oil safely up to permissible order of discharge of waste crude oil into Lake Michigan.

BP should practice more scientific research and development for safe discharge of waste petroleum products of Canadian Extra Heavy Crude Oil(CXHO) and not only focus on high financial performance. British Petroleum has taken the approval of safe discharge of waste disposal od petroleum from environment regulatory authorities yet have to gain public support at large and fully ensures that disposal procedures would not be compromised and company policy for environmental decision making would also not be conceded (Spitzeck and Hansen, 2010).

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