Strategies adopted by bidco oil refineries limited in their operations within East Africa

Abstract

The strategy implementation in manufacturing firms is assumed as a multi dynamic activity within strategic management process, which is possible to be responsible for any changes within the general culture, structure, resource mobilization and management system of the whole organization. Strategies should be decisions that shape the long term capabilities of the company’s operations and their contributions to overall strategy through ongoing reconciliation of market requirements and operations resources. An effective strategy gives a firm three benefits: It’s a source of economic gain, it provides framework for resource allocation and guides the firms‟ decision regarding management and organization. To ensure survival and success firms need to be able to manage threats and exploit opportunities. This requires the formulation of strategies that constantly match capabilities to environmental requirements. The study reviewed the strategies adopted by Bidco oil refineries limited in their operations within East Africa. The study employed a case study research design. Qualitative data collected was analyzed using content analysis technique. Primary data was collected using an interview guide which was administered to operations Managers (middle and lower managers) and business development managers at the company. The study established that a business strategy is adopted when the organization wants to create high levels of business in one or more of its areas of operations or business units. Bidco oil refineries limited has several tactics that influence their performance. The aim is to help the company succeed with the goal of long term survival and the ability to produce useful output throughout the manufacturing works. It indicated that Bidco Oil Refineries Limited face a large number of problems of about equal importance, but only a few solutions during the period of strategy implementation. In order to identify and to solve many of the problems, the company challenges the problem solving capabilities of those in charge. In many cases, the managers restructure and redevelop the creative process which is used to approach in order to produce new ideas and perspectives. Strategic plan has shed light on the company’s unique strengths and relevant weaknesses, which has enabled it to pinpoint new opportunities and the causes of current or projected problems. Since they (managers) have been committed to the strategic plan implementation, it has provided an invaluable blueprint for growth and revitalization that things are done in a more businesslike, more profitable or more satisfying way. The rapid growth of competition in the company is often quoted as a reason for wanting to understand more about the creative process which has enabled the company to thrive through the whole of East Africa. The research concludes that Bidco oil refineries limited must now analyze their future growth strategies to cope with today’s market conditions which are at a high rise. The study recommends that Bidco Oil Refinery Limited should ensure that their strategic policies are well developed and appropriate implementation steps are taken to help steer and guide its operations. The company should adopt and comply with existing sustainability best practices used by world class manufacturing firms which are not limited to the reduction, reuse and recycling strategy.