Business Analysis: BHP Billiton

978 Words2 Pages
bulb-icon

Recommended: Effect of environmental change

Environment Factors
As a natural resources company, BHP Billiton is vulnerable to changes in the environment and policies regarding the environment. With each environmental downfall, profit is jeopardized, which can push growth and innovation back. BHP Billiton has been heavily affected with blackouts in South Australia that has been interrupting production in Olympic Dam since September 28 during a two-week blackout. Without power supply security, BHP Billiton is having difficulty keeping power prices affordable in South Australia. The total estimated profit loss of the power outages was $450 million. These obstacles have disturbed BHP Billiton’s ability to compete globally with electricity price rises.
Legal Factors
BHP Billiton has always …show more content…

The company is known as the largest iron ore, coal and manganese producer in Australia, Brazil, and South Africa. They own one of the major suppliers or copper, silver, lead, and uranium in Australia and continuously looking for ways to expand globally. As of 2016 BHP Billiton has been announced to be the third largest nickel producer and the sixth largest producer of aluminum …show more content…

BHP Billiton commits to customer awareness and outreach through many of its existing programs in hopes to promote sustainable and long-term by decreasing their environmental footprint while building collective stakeholder relationships. The company has committed to its target of being more environmental responsibility and working towards reducing their greenhouse gas emissions by 5% by way of sustainable development. This means pushing forward with extensive innovation through their partnerships with companies like Hatch and any other future

Show More
Related

  • Global Financial Crisis and The BlueScope Steel Australia and New Zealand

    2434 Words  | 5 Pages

    BlueScope Steel Australia and New Zealand (BANZ) is a manufacturing company that produces a range of flat steel products for the Australian and New Zealand domestic market. BANZ was formed in July of 2011 which saw the amalgamation of company sections; Australia and New Zealand Steel Making Business (ANZSMB), LYSAGHT and Distribution Business. This amalgamation was followed by a major organisational restructure which ultimately led to the closing down of Number 6 Blast Furnace and resulted in around 800 job losses at the Port Kembla works and 200 job losses at the Western Port works in Victoria. The aim of this project is to outline the rationale for the restructure and to provide a strategic analysis of the impact of the restructure on BANZ’s current market position. This will be achieved by first analysing the economic climate pre-restructure and evaluating the managerial decisions that led to the restructure. It will then explore the current economic climate in relation to BANZ to determine whether these strategic managerial decisions were sound. Finally the report will outline BANZ future developments and determine if the company will continue to be competitive in the future.

    Read More

  • Brewing Change at Breckenridge Brewery

    1661 Words  | 4 Pages

    It will be advantageous for the company if they can project themselves as responsible corporate citizen and an environment friendly company. Social enrichment schemes, recycling schemes and educational funds can be initiated to cater to this cause and long term goal.

    Read More

  • Analysis: The Greening Of Walmart

    702 Words  | 2 Pages

    Supplying eco-friendly products has been on the Walmart agenda since the early 1990s. After a failed first attempt and much criticism, the company decided to try again. In a speech made in October of 2005, CEO of Walmart, H. Lee Scott Jr., declared Walmart would devise a “business sustainable strategy” to reduce the environmental impact the company had. Walmart could not pull this off alone. If they only focused on the confines of themselves, rather than all that they were involved with, it was estimated that they’d only reduce their impact by about 10%. To reach that goal of 100%, Walmart had to involve stakeholders to make networks which achieve sustainability. These networks proved to be vital in not only Walmart’s goal in minimizing its environmental impact, but recovering their reputation, avoiding criticism, saving money, raising awareness, improving customer satisfaction, and creating incentive for other businesses to work towards sustainability.

    Read More

  • Westpac Case Study

    1006 Words  | 3 Pages

    In order to become a sustainable company, Westpac has to focus on three priority areas, including the response to demographic and cultural change, the consideration of environmental problems and the better financial futures for their customers. According to the Annual Report in 2015 , Westpac admitted that all of these objectives to address three problems are computed in the minimized costs, which can maximize benefits for not only shareholders but also employees and customers.

    Read More

  • Fundamental Analysis of a Firm: The Case of BHP Billiton Limited

    1755 Words  | 4 Pages

    BHP Billiton Limited (BHP) is the world’s leading diversified resources companies that major commodity businesses contain minerals probe, manufacture (primarily iron ore, coal, copper, etc), and considerable interests in gas and oil. It was officially listed on ASX on 13 August, 1885(ASX, 2014). BHP investors and shareholders probably include taxable or tax-exempt companies, small and large institutions, domestic and foreign companies, individual and pension fund. The leadership acts on behalf of the investors and make decisions so as to maximize the shareholder’s wealth. It is common for conflicts of interests arising between the two parties. BHP applies both debt and equity financing to raise funds for company growing business. Debt helps lower whole financing cost, but has to repay the loan and interest. Equity financing doesn't need to be repaid, but can confront relinquish business control or any ownership. BHP risk profiles are water supply, mining, energy, transport, also health risk of all employees. The stock price will continue rising above $38 in the future. BHP future projects will be the same as Petroleum Business. BHP focuses sustainability on governance, people, environment and sociery. BHP Billiton has a progressive dividend policy. BHP can continue to have higher EPS ratio.

    Read More

  • BHP Billiton Case Analysis

    2993 Words  | 6 Pages

    BHP Billiton is the most successful company throughout the world by using unchanged strategies in their business. They have a strategy to operate large, low cost, expandable, and upstream commodities by using raw materials, geography, different assets and market, which give them a superior marginal costs throughout economic and commodity cycles for several years. They put the security of their workers first and supporting them by providing various facilities (see appendix 1). Their diversification makes the easy cash flow system by reducing the exposure to any one commodity and give for more identifiable and great financial performances. To become more successful BHP have heaps of human resources or workforce which reflect their values and communities. They have aim to recruit and attract other people who make their organization successful and thrive on working in teams and going to their extra miles to give their best. Moreover, they are committed to meet the changing needs of their customers. They have world class portfolio of growth option that will make them able to plan for a short term and long term goals and continuing them to create value for their shareholders which BHP more powerful (BHP Billiton, 2014). By using these all measures BHP Billiton kept its solid position in the nine month period till the end of March 2014 with the record of production attained for four items and at 10 operations. In aggregate, processing expanded by 10% for throughout the period what's more is required to develop by 16% over the two years to the end of the 2015 fiscal year. For further development BHP having a plan to start new projects where they pursuing a higher rate of returns on incremental investment and increasing inter...

    Read More

  • Philosophy Of ABC Studios Essay

    2492 Words  | 5 Pages

    The ABC aims to scale back energy and water consumption and waste. This involves supporting a spread of initiatives to implement additional sustainable systems and processes as well as to alter workplace behaviour. Energy and emissions

    Read More

  • Caterpillar's Chief Sustainability Officer (CSO)

    800 Words  | 2 Pages

    In this Unit 3 Assignment, Caterpillar’s Chief Sustainability Officer (CSO) whom hired me has informed me that Caterpillar’s CEO is resistant to the idea of investing more resources into Caterpillar’s sustainability programs. It is my understanding that the CEO believes that environmental initiatives that have been presented and in place do not help the company’s bottom line and therefore should not be continued. Within this paper I will briefly discuss the information that is covered within Caterpillar’s 2013 Sustainability Report as well as identifying any areas that would benefit from more company resources. I will also be making an argument for its economic and social benefits while focusing on how implementing such an initiative would

    Read More

  • Business Strategy Analysis

    1612 Words  | 4 Pages

    However, RLK’s competitors are downsizing and outsourcing R&D and exploiting on the cost advantages. If RLK decides to invest more money into R&D and should the new product stall on launch, they face the danger of becoming bankrupt.

    Read More

  • History Of BHP Billiton

    1479 Words  | 3 Pages

    History: Basically the history of BHP Billiton starts with the history of two firms and their merging together. In 1851, a tin mine was discovered on Billiton Island in Indonesia and after that Billiton become the largest producer in mining sector. On the other side, In Australia mining of silver, lead and zinc was discovered in Broken Hill (BHP) in 1885. In June 2001, BHP and Billiton merged together and a new large global resources company was formed. This company has celebrated their 150th anniversary in 2010 (Grant, Butler, Hung & Orr, 2012).

    Read More

  • The Mining Industry in South Australia

    984 Words  | 2 Pages

    Another benefit attributable to mining industry in South Australia is the population growth in the outback area. The land on which the Olympic Dam mine is, was previously pasto...

    Read More

  • Analysis Of Exxonmobil

    1285 Words  | 3 Pages

    In every industry, there are a lot risks that cause many uncertainties regarding the financial security of different corporations; risks in the short run and in the long run. For that reason, large corporations often allocate a large amount of capital into competent risk managers who are tasked to identify the different risks faced by the company, and to develop efficient risk managing or hedging techniques to handle them.

    Read More

  • Analysis: Super Regional Strategy And Remuneration Strategy

    722 Words  | 2 Pages

    It expounds in three main aspects: Keeping the strengthen position in Australia and New Zealand; Trying to grow in Asia, focused on corporate

    Read More

  • Walmart Internal Analysis

    888 Words  | 2 Pages

    Environmental awareness has also become a distinctive competence for Walmart. The company has a genuine concern to reduce their environmental footprint, which will appeal to customers who support this initiative. They are leading the way for other big-box retailers who can make a big difference with small changes. All of their goals and objectives are published in the annual statement for shareholders and the general public.

    Read More

  • The Underground Water System in Western Australia

    547 Words  | 2 Pages

    Groundwater is the one of the fundamental source of water in Western Australian environment which fresh water collected at various depth below the ground surface. In Australia about 21% of the water used is derived from groundwater sources. There is considerable variation in groundwater usage between states and territories. For many areas it is either the main or the only reliable water source supporting communities and economic activity (Australian Bureau of Rural Science, 2007). Major developments and water resource demands across Australia, mainly on new resource discoveries and mining operations of iron ore mining in Western Australia is one of the main contributor (National Water Commission, 2012)....

    Read More

More about Business Analysis: BHP Billiton

Open Document