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BP Oil Spill Jordan Biggar, John Cranney, Thomas Sledzik, Zachary Metea, and Anthony Pisello.

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Presentation on theme: "BP Oil Spill Jordan Biggar, John Cranney, Thomas Sledzik, Zachary Metea, and Anthony Pisello."— Presentation transcript:

1 BP Oil Spill Jordan Biggar, John Cranney, Thomas Sledzik, Zachary Metea, and Anthony Pisello

2 BP’s Safety History  Following the Deepwater Horizon spill it was clear safety is not a priority of BP  Over the years they have had several incidents in the United States  Several issues were found in Alaska by lawyers.  These included using equipment long after it should have been replaced, and intimidating workers  In 2000, a BP pipeline in Alaska ruptured due to corroding equipment  Corroding tanks were found in California  A Texas refinery exploded in 2005

3 BP’s Safety History  BP’s neglectful safety habits caught up again on April 22, 2010  Concurrent with their past, cost cutting measures were also taken on the Deepwater Horizon oil rig  BP pressured the crew to drill faster  Several safety sensors and valves had been broken previous to the push  With the increased pace safety systems failed  It was fully known that the new pace would stress the system and that damages had already occurred

4 Gulf of Mexico Oil Spill 11 men were killed in the Deepwater Horizon explosion backup system failed well spilling oil into the Gulf of Mexico Made multiple attempts to close the well Drilling relief wells Covering with caps “Top kill” Closed the well with a cap July 2010 Federal Government declared dead September 2010

5 Affects of Oil Spill Estimated 185 million gallons of oil in Gulf of Mexico In August 2010 estimated 7,000 birds, sea turtles and dolphins found dead in the gulf since oil spill Crippled Louisiana shrimping industry Mississippi, Alabama, Texas, and Florida

6 BP’s Public Relation Strategy Public image vs. Legal recourses Take responsibility without claiming to be responsible Clean up the spill Pay for damages Enough to make them look good without spending too much Full Disclosure/Transparency: Good for PR Bad for legal hearings

7 BP CEO Tony Hayward’s Apology

8 BP Public Relations Tony Hayward’s TV spot: “A tragedy that never should have happened” No connection to BP “honor all legitimate claims” Legitimate never defined Allows BP to deny any claims they want Hayward’s comments and actions “I’d like my life back” Undermines the suffering of the people really affected by the spill

9 What steps should BP also take towards fixing public relations? 1.Identify this as an unusual case. For BP… -How deep the rig was -There was no backup remote system 2.Establish these cases as the cause of so much damage. For BP… -There was too much pressure at those depths. -It wouldn’t have spilled so much with a backup system 3. Start steps to make public think these cases are dealt with. For BP… -Could make no more rigs that deep (cost effective) -Make sure every rig has a remote backup system

10 What steps has BP taken towards fixing public relations? BP has worked more on repairing damages and less on making sure this does not happen again. 1.Seal the well 2.Clean the environment 3.Restore the wildlife

11 How BP could have prevented this PR disaster Use safer Oil rigs: BP had been using Transocean semi- submersible rigs which had been cited for failing quality and performance in the past few years. BP should have known and took into more consideration the failing quality of the company that had been manufacturing their drilling rigs. The company also should have had a better plan in place in case there was a spill or explosion aboard the rig They expected that since the rig was only 44 miles from shore that no significant impacts would be expected.

12 Public Criticism Here you can see just how much the public has reacted to the oil spill in the Gulf of Mexico The criticisms have not only come from the government and activists but are now coming from popular culture as well Tony Hayward CEO, BP

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