{"id":7089,"date":"2025-10-14T11:30:57","date_gmt":"2025-10-14T11:30:57","guid":{"rendered":"https:\/\/assignmenttask.com\/answers\/?p=7089"},"modified":"2025-10-14T11:30:57","modified_gmt":"2025-10-14T11:30:57","slug":"hr7002-organizational-behaviour-and-global-strategy-assessment-report","status":"publish","type":"post","link":"https:\/\/assignmenttask.com\/answers\/hr7002-organizational-behaviour-and-global-strategy-assessment-report\/","title":{"rendered":"HR7002 Organizational Behaviour and Global Strategy Assessment Report"},"content":{"rendered":"

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1. INTRODUCTION<\/strong><\/h3>\n

1.1 Background<\/strong><\/h4>\n

Strategy as defined by Bennet (2008) is the steps managers take to achieve the aims of their organization. It is a major determinant factor in any organization and the manner in which it is designed determines the effectiveness and success of the organization. Strategic management therefore, provides the direction of the organization through formulating policies and plans that are designed to achieve goals and objectives followed by facilitation and finally the execution of the\u00a0\u00a0 plans.\u00a0\u00a0 Other than\u00a0\u00a0 effectiveness,\u00a0\u00a0 strategic\u00a0\u00a0 management\u00a0\u00a0 helps\u00a0\u00a0 an\u00a0\u00a0 organization\u00a0\u00a0 to\u00a0\u00a0 have\u00a0\u00a0 a competitive advantage in the market. Competitive advantage of any organization is anchored to its strategy that\u00a0\u00a0 identifies\u00a0\u00a0 opportunities\u00a0\u00a0 and\u00a0\u00a0 capabilities\u00a0\u00a0 needed\u00a0\u00a0 to\u00a0\u00a0 outperform\u00a0\u00a0 the\u00a0\u00a0 market\u2019s current and potential rivals. Jeyarathmm (2008) describes strategic management process as<\/p>\n

    \n
  1. Strategy formulation that entails among other things, developing mission and vision<\/li>\n
  2. Strategy implementation that entails among other things, developing objectives and policies, and<\/li>\n
  3. Strategy evaluation that entails examining the efficacy of the strategy.<\/li>\n<\/ol>\n

    Understanding the business environments is another major facet in the growth of an organization. There is the internal and the external environment and their interrelationship is fundamental for organization\u2019s\u00a0\u00a0 overall\u00a0\u00a0 sustainability.\u00a0\u00a0 The\u00a0\u00a0 internal\u00a0\u00a0 environment\u00a0\u00a0 consists\u00a0\u00a0 of\u00a0\u00a0 stakeholders\u2019 influence i.e.\u00a0 owners, employees, partners,\u00a0 and\u00a0 shareholders etc. while external environment consists of legal, political, social, technological, environment, and economic forces.<\/p>\n

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    To determine an organization\u2019s environment, it is imperative that:<\/p>\n

      \n
    1. An analysis of internal environment is done through SWOT analysis<\/li>\n
    2. An analysis of external environment is done through PESTEL analysis, and<\/li>\n
    3. Competition analysis is done through among other models the Porter\u2019s Five Forces Analysis tool.<\/li>\n<\/ol>\n

      Porter\u2019s\u00a0\u00a0 Five\u00a0\u00a0 Forces\u00a0\u00a0 as\u00a0\u00a0 explained\u00a0\u00a0 by\u00a0\u00a0 Jeyarathmm\u00a0\u00a0 (2008)\u00a0\u00a0 helps\u00a0\u00a0 organizations\u00a0\u00a0 in\u00a0\u00a0 analyzing competitive forces with the aim of identifying attractiveness of the industry; the areas analyzed are<\/p>\n

        \n
      1. Threat of new entrants<\/li>\n
      2. Bargaining power of buyers<\/li>\n
      3. Bargaining power of suppliers<\/li>\n
      4. Threat of substitute products and\/or services, and<\/li>\n
      5. Power of customers<\/li>\n<\/ol>\n

        Under external environment is task environment that is composed of organizations and definite groups affecting the company; task environment in a firm is affected by competitors seeking same resources, customers, suppliers, regulators, as well\u00a0 as strategic partners (Campbell and Craig,\u00a0\u00a0 2005).\u00a0\u00a0 It\u00a0\u00a0 is\u00a0\u00a0 through\u00a0\u00a0 understanding\u00a0\u00a0 internal\u00a0\u00a0 and\u00a0\u00a0 external\u00a0\u00a0 environments\u00a0\u00a0 including\u00a0\u00a0 the competitors, and if possible their strategies, in order to create a unique market niche that will help the organization to stand a notch higher in the market or industry.<\/p>\n

        INEOS Group is a British MNC (multinational company) with headquarters in London. INEOS is globally known for manufacturing petrochemicals; the organization has operations in29\u00a0\u00a0 different\u00a0\u00a0 countries\u00a0\u00a0 with\u00a0\u00a0 194\u00a0\u00a0 sites\u00a0\u00a0 making\u00a0\u00a0 $61\u00a0\u00a0 billion\u00a0\u00a0 in\u00a0\u00a0 revenues\u00a0\u00a0 on\u00a0\u00a0 annual\u00a0\u00a0 basis,\u00a0\u00a0 the organization\u00a0\u00a0 employs\u00a0\u00a0 26,000\u00a0\u00a0 people\u00a0\u00a0 and\u00a0\u00a0 it\u00a0\u00a0 also\u00a0\u00a0 complements\u00a0\u00a0 its\u00a0\u00a0 business\u00a0\u00a0 through\u00a0\u00a0 INEOS Hygienics, oil products, and making an impact across a range of elite sports as a way of creating awareness of the brand in the global space (INEOS, 2022).<\/p>\n

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        1.2 Scope<\/strong><\/h4>\n

        The scope of this assessment is INEOS Group.<\/p>\n

        1.3 Objectives<\/strong><\/h4>\n

        The aim of this assessment is to write a report which provides a comprehensive description and analysis of the strategy of a Multinational Corporation, in this case INEOS Group. The specific objectives are as follows:<\/p>\n

          \n
        1. Describe comprehensively the mission, vision, offerings and area of operations of INEOS Group.<\/li>\n
        2. Analyze the general environment of INEOS Group, and conduct a competitor\u2019s analysis using PESTEL and SWOT, and Porter\u2019s Five Forces analytic tools respectively.<\/li>\n
        3. Critically assess\u00a0\u00a0 the\u00a0\u00a0 competitive\u00a0\u00a0 advantage\u00a0\u00a0 of\u00a0\u00a0 INEOS\u00a0\u00a0 Group\u00a0\u00a0 to\u00a0\u00a0 expand\u00a0\u00a0 in\u00a0\u00a0 non\u00a0\u00a0 \u2013traditional markets and develop a strategy direction for this case.<\/li>\n<\/ol>\n

          2. DISCUSSION<\/strong><\/h3>\n

          2.1 The Environment of INEOS Group: About INEOS<\/h4>\n

          Vision:<\/strong> The vision for INEOS Group is to become the world\u2019s leader in sustainable petrochemicals (INEOS, 2022).<\/p>\n

          Mission:<\/strong> The mission is utilizing entrepreneurial culture that delivers long-term value to stakeholders and customers; it does so through embracing CSR (Corporate Social Responsibility)(INEOS, 2022).<\/p>\n

          Key Values:<\/strong> INEOS\u00a0\u00a0 believes\u00a0\u00a0 in\u00a0\u00a0 excelling\u00a0 \u00a0in\u00a0\u00a0 health,\u00a0\u00a0 safety, and environmental performance, focusing on\u00a0\u00a0 satisfaction of customers, reliability, \u00a0\u00a0and total quality;\u00a0\u00a0 continuous improvement\u00a0\u00a0 to\u00a0\u00a0 become cost-effective,\u00a0\u00a0 embracing\u00a0\u00a0 innovation,\u00a0\u00a0 reward\u00a0\u00a0 achievement,\u00a0\u00a0 and entrepreneurship, as well as empowering employees to develop real value for company and customers (INEOS, 2022)<\/p>\n

          Offerings:<\/strong> The Company has a huge product portfolio that ranges from chemicals, oil and gas, polymers, sanitizers, automotive, clothing, and elite sports i.e. cycling, sailing, Formula1, and Rugby (INEOS, 2022).<\/p>\n

          Areas of operation:<\/strong> INEOS has 1934 sites of operations spanning in 29 countries; the company has managed to employ 26,000 people.<\/p>\n

          2.2 Identification and Analysis of the General Environment<\/strong><\/h4>\n

          General direction as stated by Campbell and Craig (2005) is a set of broad aspects and influences in a firm\u2019s setting and it governs the general context; general environment has two facets i.e. economic\u00a0\u00a0 dimension\u00a0\u00a0 and\u00a0\u00a0 technological\u00a0\u00a0 dimension.\u00a0\u00a0 The\u00a0\u00a0 economic\u00a0\u00a0 aspect\u00a0\u00a0 entails general\u00a0\u00a0 vivacity\u00a0\u00a0 and\u00a0\u00a0 health\u00a0\u00a0 of\u00a0\u00a0 the\u00a0\u00a0 economy\u00a0\u00a0 system\u00a0\u00a0 under\u00a0\u00a0 which\u00a0\u00a0 INEOS\u00a0\u00a0 operates.\u00a0\u00a0 The technological dimension entails methods that INEOS uses to convert resources into products.<\/p>\n

          Other factors needed to understand the general environmental are social legal, political, environmental factors.<\/p>\n

          2.2.1 PESTEL Analysis<\/strong><\/h4>\n

          Political factors:<\/strong> Some of the issues under political factors are corporate taxes, free trade disputes, sanctions, and political stability. INEOS has operations in 27 countries and these countries are selected because of\u00a0 some factors;\u00a0 friendly\u00a0 FDA policies, friendly tax regimes, bilateral relations with mother company, and political stability. Majority of INEOS locations are in Europe and North America and the rest are in China, India, Japan, and Indonesia (INEOS, 2022).<\/p>\n

          Economic factors:<\/strong> The elements to consider under economic influences are interest rates, inflation, employment rates, and exchange rates. In 2020, the world was hit by COVID-19that caused phenomenal economic meltdown; inflation in many countries has also be on theirs and this led to INEOS opening a new product line the INEOS Hygienic that manufactures hand sanitizers and related products; The company was able to open a number of new sites in the country and overseas thanks to its financial muscle (INEOS, 2022).<\/p>\n

          Social factors:<\/strong> The change in social trends also positively impacted INEOS when health directives like sanitizing of hands and surfaces was issued; the company ceased this opportunity by introducing Hygienics product line. Additionally, INEOS has been involved in community service among other social interventions. INEOS is engaged in a number of charitable projects in education, community, conservation, and health like the INEOS Oxford Institute, the Daily Mile, and the Forgotten Forty (INEOS, 2022).<\/p>\n

          Technological factors:<\/strong> The fundamental elements for consideration are among others, research and development (R&D), automation, internet connectivity, and cyber security. INEOS is a highly innovative company and it embraced latest technologies. Therefore, the company has to consider those locations with advanced technologies and R&D. The company\u2019s innovativeness is seen through the 4×4 INEOS Grenadier, INOVYN, Styrolution, and Belstaff etc. (INEOS, 2022).<\/p>\n

          Environmental factors:<\/strong> Environmental sustainability has become a major global concern considering the worrying climate warming. Companies have been pushed to address their carbon footprint through engaging in practices that are environmental friendly. According to INEOS (2022) safety is a priority for all and it ensures this through maintaining and protecting environment in order to ensure health and safety through SHE (safety, health, and environment) performance.<\/p>\n

          Legal factors:<\/strong> Legal influences have been deterring\u00a0\u00a0 operations at INEOS especially considering that the company is engaged one oil and gas operations that are considered as high carbon sources. Policies and regulations to cap injection of carbon fumes into the atmosphere have slowed production of oil and gas. This mean that companies like INEOS in this industry have to consider cleaner energy.<\/p>\n

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          2.2.2 Task Environment<\/strong><\/h4>\n

          Task environment consists of the factors that affect an organization and these factors include the competitors seeking similar resources, customers buying organization\u2019s products, the suppliers, regulators controlling the industry, and the strategic partners (Campbell and Craig, 2005). INEOS attracts many competitors considering its wide range of product lines. Some of the major\u00a0\u00a0 competitors\u00a0\u00a0 are\u00a0\u00a0 British\u00a0\u00a0 Petroleum\u00a0\u00a0 (BP),\u00a0\u00a0 De\u00a0\u00a0 Nora,\u00a0\u00a0 KAUSTIC,\u00a0\u00a0 and\u00a0\u00a0 Huntsman.<\/p>\n

          Additionally,\u00a0\u00a0 depending\u00a0\u00a0 on\u00a0\u00a0 the\u00a0\u00a0 wide\u00a0\u00a0 range\u00a0\u00a0 of\u00a0\u00a0 products,\u00a0\u00a0 there\u00a0\u00a0 are\u00a0\u00a0 a\u00a0\u00a0 number\u00a0\u00a0 of\u00a0\u00a0 regulators controlling INEOS operations like the EU REACH and Good Manufacturing Practice (GMP) (INEOS, 2022). INEOS operates a number of consumer brands ranging from petrochemicals, fashion, automotive,\u00a0\u00a0 and hygienics (INEOS,\u00a0\u00a0 2022).\u00a0 Until recently, INEOS has been\u00a0\u00a0 a\u00a0\u00a0 B2Bcompany but with more diversification especially in automotive and hygienics, the company also sells directly to consumers. After introducing INEOS Hygienics, the company confessed that it was the first time it was the first time in history to sell directly to public; the hygienics for example are sold to\u00a0 supermarkets, through Amazon, shops, and pharmacies (INEOS, 2022).<\/p>\n

          INEOS has a good number of strategic partners from different fields that it has operations. These strategic partners are among others, Viridor that deals with plastic recycling and Saica Natur (INEOS, 2022). Other than partnerships, INEOS has acquisitions and mergers as well as business units i.e. INEOS Trading and Shipping, INEOS Group, INOVYN, INEOS Styrolution,\u00a0\u00a0 and Forties Pipeline System etc. With the range of consumer brands, INEOS acquires its materials from many suppliers and contractors. INEOS (2022) lists its suppliers\/contractors as INEOS NV, INEOS Manufacturing NV, INEOS Feluy SPRL, INEOS Phenol Belgium NV, INEOS, and INEOS Technology Polyolefins.<\/p>\n

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          2.3 Competitor Analysis<\/strong><\/h4>\n

          Through competitor analysis, a firm is able to gauge its performance as well as understanding its strengths and weaknesses, and where improvements are needed. Therefore, the Porter\u2019s Five Forces and SWOT analysis are two tools that can be used in understanding a company\u2019s position in terms of performance and the competitive market forces.<\/p>\n

          2.3.1 SWOT Analysis<\/strong><\/h4>\n

          According to Wit and Meyer (2010) SWOT analysis is a tool that helps an organization to assess its competitive position with an aim to develop appropriate strategy; this too assesses both internal and external factors and well as the current and future organization\u2019s position.<\/p>\n

          INEOS SWOT Analysis<\/strong><\/h4>\n

          Strengths <\/strong><\/p>\n