Strategic Managment at Petrom Company
STRATEGIC MANAGEMENT PROJECT
CASE STUDY
PETROM S.A.
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Introduction
The purpose of this paper is to present an overall view of the strategic and operational management of the Romanian company, Petrom S.A. Our purpose is to analyze the mission and vision of the company, how the strategy is implemented, if are there any barriers and in the same time the external environment or what competitive advantage has the company. The research for this paper was conducted through a detailed information gathering concerning the company’s activity. We were also provided with various documents and presentation brochures of the company, in order to get familiarized with it.
Petrom is the largest oil and gas producer in South Eastern Europe. With activities in the business segments of Exploration and Production, Refining, Marketing as well as Gas, Petrom has proved oil and gas reserves of 823 mn boe, a maximum refining capacity of 8 million tons per year, approximately 550 filling stations in Romania and over 260 filling stations in Moldova, Bulgaria and Serbia.
1. General description of the company
Short history After in 1991 Petroleum Petrom SA Autonomous was established, the Romanian Oil Company was established as a joint stock company, formed by the reorganization RAFIROM, PECO and PETROTRANS, which were merged and have stopped working. Romanian Oil Company owned all the ten refineries in Romania, with extraction fields, warehouses and petrol stations(1996). In 1997 the Romanian Oil Company, which owned all ten refineries in Romania, with extraction fields, warehouses and petrol stations, was divided between the eight refineries functioning on their own, the rest falling assets owned National Company Petroleum (SNP) Board. In 1999 it achieved the first stage of organizational restructuring by releasing a number of 13,000 people in up-stream sector. At the same time it launched the first phase of
CASE STUDY
PETROM S.A.
[pic]
Introduction
The purpose of this paper is to present an overall view of the strategic and operational management of the Romanian company, Petrom S.A. Our purpose is to analyze the mission and vision of the company, how the strategy is implemented, if are there any barriers and in the same time the external environment or what competitive advantage has the company. The research for this paper was conducted through a detailed information gathering concerning the company’s activity. We were also provided with various documents and presentation brochures of the company, in order to get familiarized with it.
Petrom is the largest oil and gas producer in South Eastern Europe. With activities in the business segments of Exploration and Production, Refining, Marketing as well as Gas, Petrom has proved oil and gas reserves of 823 mn boe, a maximum refining capacity of 8 million tons per year, approximately 550 filling stations in Romania and over 260 filling stations in Moldova, Bulgaria and Serbia.
1. General description of the company
Short history After in 1991 Petroleum Petrom SA Autonomous was established, the Romanian Oil Company was established as a joint stock company, formed by the reorganization RAFIROM, PECO and PETROTRANS, which were merged and have stopped working. Romanian Oil Company owned all the ten refineries in Romania, with extraction fields, warehouses and petrol stations(1996). In 1997 the Romanian Oil Company, which owned all ten refineries in Romania, with extraction fields, warehouses and petrol stations, was divided between the eight refineries functioning on their own, the rest falling assets owned National Company Petroleum (SNP) Board. In 1999 it achieved the first stage of organizational restructuring by releasing a number of 13,000 people in up-stream sector. At the same time it launched the first phase of