Sinopec Corporation: Issues That Will Influence Key Skills Requirements - Essay Example

Sinopec Corporation: Issues that will Influence Key Skills Requirements al Affiliation Sinopec Corporation: Issues that will Influence Key Skills Requirements Sinopec Corporation is one of the well-known companies in China especially in the field of energy and chemical industry. The company’s major operations include the process of producing and transporting pipelines, selling of petroleum and natural gasses not only in China but also in other countries worldwide. The firm further engages into importing and exporting petrochemical products (Annual Report and Accounts, 2013). With the kind of industry that Sinopec Corporation is in, it can be understood that the firm had a lot of things to consider keeping their business going. These specifically include the issues that can affect the operations of the company. In relation to the above statement, the thrust of this paper is to discuss the issues that can affect the company and can further influence the key skill requirements of the firm in the next 5 to 10 years. Key Skills Required (1) Managerial For a huge corporation like Sinopec, it is a basic requirement for the firm to have highly competent managers who are experts and knowledgeable in the field of energy and chemical industry. It is also important to the managerial department of the firm to know how to deal with different types of employees. The role of the managers is very important in keeping the daily operations of the company in order. It is also a great challenge for Sinopec to enhance the understanding and practices of their managers on the importance of responsible leadership. The specifically include the enhancement of the competencies of the managers to integrate social and environmental considerations in creating business decisions (Wilson & Hind, 2006). (2) General Workforce A business organisation can hardly perform its daily operations without the presence of its workforce. Skillful and hardworking workforce is one of the significant factors towards achieving the goals and objectives of business organisations. Their role in the company is very important in achieving the company’s economic triumph. Hence, it is very much important to put into great consideration the satisfaction of the workers, their health, and wellness, and their safety at work considering the kind of industry Sinopec has. The safety of the employees especially those in their plants are of high risks due to the possibility that anytime the plant might explode due to some technical problems or leakage of petroleum same as what happened to Sinopec’s oil terminal in Qingdao China (Moody’s: Sinopec Corp’s , 2013). Basic Working Practices to Consider (1) Safety at Work As above mentioned, the safety of the employees of Sinopec is of high risk due to the kind of industry the firm has. Hence, it is very much important to firstly consider the safety of the employees at work. The firm must be very strict in implementing its policies about work safety. Any accidents that may happen within the working area would not only harm the employees but also the image and reputation of the company. The company might face unethical issues about this. (2) Safe Environmental Practices The main products of the firm are of energy and chemicals that are considered to be very much harmful to the community and the environment. Considering these facts, the firm must have safety practices at work that aim to protect both the environment and community where they operates. The firm must ensure that the alleged disposal of harmful chemical of the Dongxing plant towards the Nan Liu River (China’s Sinopec Shuts, 2012) and the disposal of Gaoqiao plant of hydrogen sulfide chemicals to the natural environment and the community will not be repeated (Misa, 2013). Business Ethics Business ethics is the one that guides a business organisation to call as a highly ethical company and to be labeled as socially responsible corporate citizen. Adhering to business ethics will be of great help for a business firm towards building a good image and establishing a good reputation in the general public. Sinopec is a powerful and well-known business corporation. Through the years, the company had been triumphant in building a good public image and reputation. However, during these years of economic triumph of the firm are the series of negative issues against them that eventually affected the built image and reputation of the firm and these are all because of the unethical practices of the company. These unethical practices had greatly harmed its employees and even caused some them to lose their lives and further created a huge destruction and damage to the environment and the community. Some of these unethical practices include the above-mentioned explosion of Qingdao oil terminal due leakage and technically faulty and the improper disposal of waste of Gaoqiao plant and Dongxing plant. All of these behaviors violated the ethical standards of the firm. Hence, the firm must put these issues into great consideration so as to prevent their recurrence. Globalization Globalization refers to the global economic interdependence of different countries among each other (Shangquan, 2000). The rise of globalization had been of great help not only for various countries from across the globe but also the different multinational companies in the world. Sinopec is one of those multinational corporations who are earning the benefits of globalization. Due to globalization, the company was able to expand its business internationally through importation and exportation and to compete further with other local and international firms who are also into energy and chemical business. Furthermore, through the help of globalization and the advancement of technology, the production and operations of the firm had become easier and faster and safer and friendlier towards the employees, the community where it operates, and the environment. However, globalization also entails a great challenge for Sinopec to maintain its economic triumph regardless of the issues it had encountered and the presence of its huge competitors in the international market. Conclusion Therefore, there are a lot of factors to consider in keeping a business afloat. It is of great challenge for Sinopec to have a management team who are fully equip with all the managerial skills needed in a multinational corporation and a huge who willing to help the company to achieve its economic triumph through their hard work. Furthermore, as an energy and chemical production firm, it is also a challenge for Sinopec to consider ethical work practices that would protect the image of the firm and its stakeholders so as for the firm to continuously meet the increasing demand of globalization. References Annual Report and Accounts . (2013. Sinopec Corporation. Retrieved from http://english.sinopec.com/download_center/reports/2013/20140323/download/2013_Annual_Report.pdf. China’s Sinopec shuts plants over environmental problems. (2012). Retrieved fromhttp://www.reuters.com/article/2012/09/27/sinopec-refineries-shut-idUSL4E8KR0OS20120927#comments. Misa, E.T. (2013). China suspends environmental approval of Sinopec CNPC projects due to non-compliance to pollution targets. International Business Times. Retrieved from http://au.ibtimes.com/china-suspends-environmental-approval-sinopec-cnpc-projects-due-non-compliance-pollution-targets#.UobUbtJmjlN. Moody’s: Sinopec corp’s pipeline accident is credit negative, but no rating impact. (2013). Retrieved from https://www.moodys.com/research/Moodys-Sinopec-Corps-pipeline-accident-is-credit-negative-but-no--PR_287548. Shangquan, G. (2000). Economic globalization: Trends, risks, and risk prevention. Retrieved from http://www.un.org/en/development/desa/policy/cdp/cdp_background_papers/bp2000_1.pdf. Wilson, A. & Lenssen,G. (2006). Leadership qualities and management competencies for corporate responsibility. Retrieved from https://www.ashridge.org.uk/Media-Library/Ashridge/PDFs/Publications/LeadershipQualitiesAndManagementCompetenciesForCorporateResponsibility.pdf Read More