Saudi Aramco oil company - Essay Example

Saudi Aramco Saudi Aramco, or fully known as Saudi Arabian Oil Company, is reportedly owned by the of the Kingdom of Saudi Arabia (Saudi Arabian Oil Company, 2012). The organization has made a mark in the global energy market as a leader in sourcing, refining, and marketing of petroleum and chemical products used by diverse industries around the world. From among the accolades received by Saudi Aramco, gaining the top position among the 50 largest oil companies as ranked by the Petroleum Intelligence Weekly (PWI) for twenty three consecutive years is a difficult feat to surpass.

The current discourse hereby aims to provide a general overview of the organizational profile of Saudi Aramco, to include a brief historical background, its leadership, employees’ profile, as well as the motivational and incentives program provided by management to retain and development their current and future human resources.Brief Historical Background The origin of Saudi Aramco could be traced in the 1930s when an oil concession was reportedly signed between Standard Oil Company of California (Socal) and Saudi Arabia specifically on May 29, 1933 and which eventually was construed to be managed by the California Arabian Standard Oil Company (Casoc) on November 8 of the same year (Saudi Arabian Oil Company, 2012).

Other relevant milestones in Saudi Aramco’s history apparently included the acquisition of 30% of the concession by Texas Company in 1936; and in 1948 when their historical preview disclosed that additional owners were instrumental in the organization’s further growth and expansion. It was in 1988 that the organization allegedly became state-owned through a Royal Decree that was issued by King Fahd (Saudi Arabian Oil Company, 2012).Leadership As a state-owned organization, Saudi Aramco was indicated to officially disclose relevant organization information “to the Supreme Council for Petroleum and Minerals Affairs, chaired by the Custodian of the Two Holy Mosques, King Abd Allah ibn Abd al-Aziz Al Saud” (Saudi Arabian Oil Company: Our leadership, 2012, par. 1). The organization acknowledges the need for leadership development programs to ensure that those who manage diverse facets and operations are professionally competent and qualified to lead.

There were specifically identified ways to develop the full potentials of human resources to include access to company-wide training and development programs; being sponsors to apprenticeship and specifically identified college development programs; and endowment of academic chairs for qualified personnel to assume energy related roles allegedly earmarked for Saudi universities (Saudi Arabian Oil Company: Developing human potential, 2012).Employees and Motivational Programs The current profile of Saudi Aramco’s employees actually comprise approximately 87% Saudi nationals and only 13% from other countries.

The benefits that are provided for the employees include annual vacation, paid holidays, and retirement plans. Thus, to ensure that employees are motivated to perform productively, management has earmarked various motivational and incentive programs that include good and competitive compensation, a conducive working environment, responsibilies that balance work and family, accomodates personal and professional life style, and being identified with one of the most productive and prestigious organizations to work for.

Reference ListSaudi Arabian Oil Company. 2012. "Developing human potential." [Online]. Available at: http://www.saudiaramco.com/en/home/our-company/leadership.html#our-vision%257C%252Fen%252Fhome%252Four-vision%252Fdeveloping-human-potential.baseajax.html (Accessed November 27, 2012).—. 2012. "Our Company." [Online]. Available at: http://www.saudiaramco.com/en/home/join-us/jobs-and-programs-for-saudis/apply-for-a-job/benefits.html#our-company%257C%252Fen%252Fhome%252Four-company.baseajax.html (Accessed November 27, 2012).—. 2012.

"Our history." [Online]. Available at: http://www.saudiaramco.com/en/home/join-us/jobs-and-programs-for-saudis/apply-for-a-job/benefits.html#our-company%257C%252Fen%252Fhome%252Four-company%252Four-history0.baseajax.html (Accessed November 27, 2012).—. 2012. "Our leadership." [Online]. Available at: http://www.saudiaramco.com/en/home/join-us/jobs-and-programs-for-saudis/apply-for-a-job/benefits.html#our-company%257C%252Fen%252Fhome%252Four-company%252Fleadership.baseajax.html (Accessed November 27, 2012).