Research Articles Base: Shell Petroleum Case Studies

Motivation of employee for increase in productivity in a multinational company : Case of Shell petroleum and developement company

Shell Oil Company is the United States-based subsidiary of Royal Dutch Shell, which is amongst the largest oil companies in the world.. The head office in the U.S. is in Houston, Texas. Shell Oil Company, including its consolidated companies and its share in equity companies, is one of America’s largest oil and natural gas producers, natural gas marketers, gasoline marketers and petrochemical manufacturers.  Shell is the market leader through approximately 25,000 Shell-branded gas stations in the US which also serve as Shell’s most visible public presence. Shell Oil Company is a 50/50 partner with the Saudi Arabian government-owned oil company Saudi Aramco in Motiva Enterprises, a refining and marketing joint venture which owns and operates three oil refineries on the Gulf Coast of the United States. It also holds 80% of an exploration firm called Pecten that explores and drills in various offshore locations including the oil basin near Douala, Cameroon in cooperation with the French government-owned Elf Aquitaine (now Total).(Wikipedia.  Shell Oil Company.  http://en.wikipedia.org/wiki/Shell_Oil_Company Retrieved 22 June, 2011.) Employee motivation is the biggest driver of organizational performance.  Business employees are essential to the prosperity, productivity and performance of the firm.  Motivation is the key to creating an environment where optimal performance is possible. Each person has their own set of motivations and personal incentives to work hard- or not- as the case may be.  Whatever the motivation of the employee may be it is imperative that the employer is both understanding and incentive.  A company’s systems, processes and infrastructures can be replicated from one company to another BUT their human assets cannot.  “Perhaps the most significant impact of increased employee motivation is that of increased productivity. This is a central aim when adopting an incentive program. If you can increase employee motivation, productivity will follow and with that the inevitable increased bottom line.   Employee incentive programs promote work place harmony, employee performance and most of all employee motivation. This is the key to long term benefits for your company. Motivated employees means staff retention and company loyalty, these are two things that will have a significant impact on the growth and development of your business. (Employee Motivation in the Workplace.  http://www.incentivequotes.com/employee-motivation.html , 22 June, 2011.)” To understand employee motivation, one must understand human nature.  Human nature is simple but very complex.  Understanding and appreciation of this human facet is necessary for effective employee motivation in the workplace and consequently effective management and leadership.  “Research and observations show that well motivated employees are more productive and creative.  The inverse also holds true.  There is an old saying you can take a horse to the water but you cannot force it to drink; it will drink only if it’s thirsty- so with people.  They will do what they want to do or otherwise motivated to do.  Whether it is to excel on the workshop floor on in the ‘ivory tower’ they must be motivated or driven to it, either by themselves or through external stimulus. (Employee motivation. Motivation in the workplace- theory and practice.  http://www.accel-team.com/motivation/index.html , retrieved 22 June, 2011.)”  Another important internal stakeholder group is employees. Shell employs over 100,000 people worldwide. These include senior international managers specialising in finance, marketing, sales, oil and gas exploration and other aspects of the business. Other employees include geologists, market researchers, site engineers, oil platform workers, office administrators, business analysts and many more. As stakeholders, employees are influenced by Shell but also affect how Shell operates. The employees” standard of work and commitment to health and safety and excellence is vital in order to keep Shell as a leader in the energy field. Mistakes can be costly in terms of reputation and the livelihood of other employees. A priority at Shell is to respect people. It seeks to provide its staff with good and safe working conditions and competitive terms of employment. This has a positive influence on employees as it keeps them safe and motivated. (Internal Stakeholders.  The Times.  http://www.thetimes100.co.uk/case-study–internal-stakeholders–76-403-2.php#ixzz1Q5JFlIs0  Retrieved 22 June, 2011.)   Employee incentive programs should be discussed with the employees.  The company must find out what the employees would like out of an incentive program.  Find out what motivates them and how they would like to be rewarded for productive performance.  A tailor-made program for your employees will increase their motivation and in turn the company’s profits.  “One of the studies on employee motivation at the Minneapolis Gas Company sought to determine what their potential employees’ desire from a job.  The study was carried out during a 20 year period from 1945 to 1965.  Job security was the highest rated factor, followed by advancement, type of work, and pride in working for the company.  Surprisingly factors such as pay, benefits and working conditions were given low ratings.  So contrary to common belief, money is not the prime motivator.  (Employee motivation.  Motivation in the workplace- theory and practice.  http://www.accel-team.com/motivation/index.html , retrieved 22 June, 2011.)” Motivation of your employees is vital to the success of any company.  Motivated employees are productive, happy and committed people.  This assures a lower employee turnover, results driven employees, company loyalty and a work environment which is harmonious.     Credit:ivythesis.typepad.com

Motivation of employee for increase in productivity in a multinational company : Case of Shell petroleum and developement company

Shell Oil Company is the United States-based subsidiary of Royal Dutch Shell , which is amongst the largest oil companies in t...