CNOOC: Building a World-Class Energy Company
Posted: 18 Feb 2012
Date Written: January 3, 2012
Fu Chengyu is the fifth CEO to lead China National Offshore Oil Company - an SOE founded in 1982 to exploit Chinese offshore deposits. In 2010 he is trying to decide how to drive further growth in a company that has grown 556 times in less than 30 years, with profits grown 2600 times. He believes that the way CNOOC has been managed, a blend of market orientation and concern for employees and the nation has contributed importantly to the success. His challenge is to allocate resources among new areas to explore for petroleum and new sources of energy, and to develop managers with the capability of leading those businesses in the face of world class competitors. Both technical talent and the ability to integrate the efforts of non-Chinese leaders are involved.
Learning Objective: Help students to understand the governance of a state owned company. Explore the relationship between strategic challenges and the availability of talent. Understand the challenges of building a global company with multiple national cultures. Examine a company built in a Chinese culture using modern management techniques.
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