Shell Case Study
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Shell Global
Royal Dutch Shell dubbed as Shell established in 1907, in London. The firm is a worldwide dealer of petroleum, natural gas, and petrochemicals. The company’s headquarters are in Netherlands and Shell Center in London. The company has been in the petroleum business for 111 years. According to 2016’s revenues, Shell was the largest company in Europe. Besides, it was the world’s sixth-largest company. Charles O. Holliday, chairman of Shell and Ben Van Beurden, the CEO, have both seen the company through significant milestones. For instance, the company was at the top of the list in the Fortune Global 500, in 2013, as the world’s largest company.
Among the 13 board of directors of Shell, there are two independent members. These members are the Chairman and the deputy chairman who have no direct connection with the CEO whatsoever. The significance of these two members of the board is guiding the company. The chairperson and their deputy improve the company’s corporate credibility and ensure proper governance since they act as a watchdog. In Shell, Holliday and Beurden play a significant role in risk management among other vital roles in the multinational company (Trapp 1).
Shell selects leaders who have impeccable technical as well as managerial knowledge. Since the company is multinational, it has a broader scope from which it can choose good leaders. Therefore, the company’s vast range enhances the firm to select top management from all across the globe.
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For instance, Chad Holliday is not only a technical expert but also belongs to an elite group of managers (Trapp 1). Other than engineering, Holliday is an expert in environmental issues. Since Shell is a petroleum company, a product which is an air pollutant, having a chairman with vital ecological knowledge is essential since they can help the company avoid or reduce on air polluting practices. Therefore, Shell’s independent board of directors and the expertise of the Chairman, Holliday are essential to the multinational company.
Work Cited
Trapp, Roger. “Shell Adopts Tougher Management Style.” The Independent, 1998, http://www.independent.co.uk/news/business/shell-adopts-tougher-management-style-1190651.html.
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