Shell’s strategy is underpinned by a strong commitment to health, safety, security and the environment (HSSE), as well as the continued development and recognition of its people. Maturing next generation project options – building a portfolio of options for the next wave of growth.Medium-term growth delivery – construction of new oil and gas resources as well as growing selective downstream opportunities and.Nearer-term performance focus – continuous improvement in operating performance through streamlining operating costs and focusing on the most profitable positions withdrawing from those businesses which are no longer operationally effective.The 2009 report outlines the following three layers to Shell’s strategy development: Shell acknowledges that technology and innovation are at the core of its strategy and reinforces its commitment to minimise the environmental and social impacts of the growing worldwide demand for energy. Shell plans to achieve this through a focus on exploration for new oil and gas reserves in its ‘Upstream’ businesses and sustained cash generation in ‘Downstream’ businesses. The stated objective, or mission, is “to reinforce our position as a leader in the oil and gas industry in order to provide a competitive shareholder return while helping to meet global energy demand in a responsible way.” Shell’s strategy is outlined in its 2009 Annual Report. Grant simple, consistent, long-term goals a profound understanding of the competitive environment an objective appraisal of resources and effective implementation. To answer the final question, the report will analyse the Shell’s strategy using a framework of ‘the four common elements of successful strategy’, as detailed by Robert M. The answers to the first two questions will be brief and descriptive in nature.
Is Shell’s strategy appropriate for success?.How is Shell’s business strategy developed and articulated?.The report will address three main questions: The purpose of this report is to analyse the business strategy of Royal Dutch Shell. The ‘Downstream’ business manufactures petroleum products for retail throughout Australia. The ‘Upstream’ business finds, develops and supplies overseas and domestic customers with raw fuel. In Australia, Shell employs around 2500 people and is broadly divided into its ‘Upstream’ and ‘Downstream’ businesses. Shell is currently listed as the world’s eighth largest corporation. Royal Dutch Shell is a global group of energy and petrochemical companies, employing around 101,000 people in more than 90 countries and territories worldwide.
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