Being cognizant of the culture puts the project manager in a better position to strategize and lobby for effective risk management.When one analyzes the root causes behind the Deepwater Horizon oil rig explosion that occurred on April 20, 2010, killing 11 people and spilling 53,000 barrels of oil per day (19 times the volume spilled by the 1989 Exxon Valdez oil spill (Repanich, 2010)), one sees a disregard and lack of proactivity in assessing and responding to potential threats in the offshore oil drilling line of work. An important difference was confusing test pressure results.The first step of the Cause Mapping approach is to define the problem by asking the four questions: What is the problem? When captures the timing of the issue and also has a line for what was different or unusual in this occurrence.
Strategic risk taking: A framework for risk management. U.S. President Barack Obama ordered a commission to investigate the cause behind the disaster and in January 2011, the final report was sent to the President. The Exhibit 1 causes could have been used as input to, or in conjunction with, a cause and effect diagram.Revenues and cost cutting were unquestionably the driving force behind BP's decisions and risk tolerance. Thousands of wildlife species were exposed to the increased amount of carcinogens and chemicals, including hundreds of protected species of birds, fish and other marine animals. Deepwater Horizon, an oil drilling rig chartered by BP and located roughly 41 miles off the coast of Louisiana, exploded when high-pressure methane gas rose from the well into the drilling rig.
The BOP failed to operate and did not seal off the well. Recall Hillson and Murray-Webster's (2005) characterization of risk seekers tending to downplay threats; this was most certainly the case here. The Deepwater Horizon oil spill, also known as the British Petroleum (BP) oil spill, is considered the largest marine accident in the history of the industry. We've shown that among the factors that led BP to be risk-seekers included a deeply entrenched culture of valuing cost over quality, which was evidenced by a number of other costly accidents in the years prior to the Deepwater Horizon disaster. Less than 48 hours later the entire rig sunk. In this Case Assignment you will learn about the ecosystems that make up the regions impacted by the Deepwater Horizon Spill.
In addition, the Minerals Management Service, which is tasked with overseeing sea drilling operations in the Gulf, was understaffed and under-equipped to perform such activities (National Commission, 2011, pp. Deepwater Horizon, an oil drilling rig chartered by BP and located roughly 41 miles off the coast of Louisiana, exploded when high-pressure methane gas rose from the well into the drilling rig. Where did it happen? US$75 million is an inconsequential number to an oil company the size of BP, costing less than a relief well, and the tax loophole makes it even more so.The National Commission Report (2011, pp. Acceptable risk is influenced by many factors, including the perception of risk reduction costs versus benefits, time-dependence, regulations and industry standards, and training (Manuele, 2010; Pinheiro, Cranor, & Anderson, 2011).The risk register that BP should have used to address the above risks would be similar to the one in Exhibit 2. This behavior continued into 2007 when the CSB reported in their investigation to the Texas City explosion that “senior executives did not adequately address major hazard risk or process safety performance” (as cited in Cohen, Gottlieb, Linn, & Richardson, 2011).As we now know (as reported in the National Commission Report (2011), the cement job did not hold up. The impact of cumulative risks was a fact that BP hadn't considered or anticipated. The Deepwater Horizon rig, located at the Macondo well in the Gulf of Mexico, exploded as a result of a blowout on April 20, 2010.
On April 20, 2010, the oil drilling rig Deepwater Horizon, operating in the Macondo Prospect in the Gulf of Mexico, exploded and sank resulting in the death of 11 workers on the Deepwater Horizon and the largest spill of oil in the history of marine oil drilling operations. The incident …
The amount of detail provided in an analysis must be adequate to determine effective solutions in reducing the impacts to the goals.
In this case, the incident occurred in Macondo Prospect in the Gulf of Mexico on the Deepwater Horizon oil rig. The Deepwater Horizon oil spill, also known as the British Petroleum (BP) oil spill, is considered the largest marine accident in the history of the industry. In the Cause Mapping methodology the facilitator anticipates that the group may disagree so all three responses are written down. BP was convicted of 11 counts of manslaughter and other crimes related to the disaster, including lying to US Congress.
Facing such time and cost constraints, it is not difficult to conclude that decisions had been made in haste.From a regulatory point of view, BP had received an exemption from doing an environmental impact study by the US government, which would have required them to provide details on how they might control a potential spill (McQuaid, 2010).
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