On The Strategic Management Of Shengli Oil Field

Petroleum, known as "black gold", "blood of industry", is the necessary strategic material which plays an important role in economic development and national defence. The petroleum industry is the important guarantee of the construction of the well-off society and modernization of our nation .ShengLi Oil Field, attached to the SINOPEC, is a state-owned ,large-sized oil and gas producing enterprise including business of exploration, development, construction , logistics , diversified operation and social services. In the history of development, the overall output of Shengli Oil Field has accumulated to 800 millions tons which contributes a lot in the process of modernization of our country. But for a long time, its inside management has been influenced by the managerial code of the planning economy. A large number of pitfalls of state-owned-enterprise has hampered Shengli Oil Field's progress. With global economic integration and China's entry into WTO, China's petroleum companies are involved in the circulation of international economy extensively and deeply. The diversification of the competitive entities and resources in the market is squeezing the profits of petroleum companies which results in severe test of competition , survival and development of them. It is very difficult for Shengli Oil Field to win the competition if it continues to use the already existing management code sticking to the outmoded practice. Abided by the principle of combining theory with practice, beginning with the practical conditions of Shengli Oil Field, the thesis deeply analyses the Oil Field's opportunities, threats, strengths and weaknesses, and then crafts its development strategy. By considering the Oil Field's commons and differences between different industries, according to the guideline of adapting to the environment, the thesis adopts the plan which involves diversified development strategies. Growth strategy is adopted for the industries which have development room and perspectives; stabilizing strategy for the industries which depend on the Oil Field heavily; contracting strategy for the industries with gloomy market perspectives. The strategic goal is to increase the profits of the core businesses and decrease the deficit of the part of social service.Key points and innovation:The innovation of the thesis lies on the application of the analytical tools of PEST and SWOT to a state-owned-, big-sized energy enterprise which has important strategic position. It offers a proposal of implementing diversified development strategies under the conditions of complexity of the enterprise and diversity of the environment.