Management styles in the oiland gas

Management styles in the oil

and gas industry

OPITO – The Oil & Gas Academy is the focal point for skills, learning and workforce

development for the oil and gas industry. Its role is to help employers to develop a safe and

competent workforce. The production of oil and gas is a key industry in the primary sector

and in the UK supports nearly half a million jobs. Of these, 380,000 work in oil and gas

extraction from the area of the North Sea known as the UK Continental Shelf (UKCS). A

further 100,000 jobs are involved in the export of oilfield goods and services. The industry

makes an annual direct tax contribution to the United Kingdom in excess of £10 billion.

The skillsand competenciesof this workforce are vital to ensure safe and reliable oil and

gas extraction. Only by having a safe and skilled workforce can the UK oil and gas energy

supply be sustained and security of supply be maintained. Over the years the industry has

built up considerable expertise. This has been exported across the global exploration and

production networks through the movement of people. However the need for continuing staff

training and skills development is essential as the UK industry will exist for several decades to

come. The needs of the industry, technology and work practices are ever-changing. Therefore

it is vital that all learning reflects the changes in the business.

The role of OPITO - The Oil & Gas Academy is to work collectively with industry employers

and trade unions to establish common industry standards of safety and competence. It also

works with schools, colleges and universities to promote STEM subjects (science, technology,

engineering and mathematics) to students and show why the oil and gas industry is an

exciting and rewarding career choice. The Academy works with employers to identify training

needs both for essential knowledge, like health and safety and for developmental needs such

as technical and leadership skills. Once these are agreed, the Academy provides the link to a

quality-assured learning network, for example, colleges and training providers who deliver the

relevant courses. The Academy also works in partnership with many different organisations,

including government, trade and enterprise bodies to support the industry’s development.

The oil and gas industry provides a wide range of career opportunities. Some are offshore,

working directly out on the rigs drilling for oil and gas and on fixed installation oil and gas

production platforms as part of the extraction process. For example, Drilling Engineer Angus

McCay works with high-tech drilling machinery exploring potential reservoirs of oil under the

sea floor. Paul Mallinson is a Control Room Operator responsible for the day to day running

of a floating production storage vessel. Other roles are in commercial activities working

onshore, such as in buying and selling oil and gas or as part of the legal teams setting up

contracts.

This case study examines how different management styles may be necessary to support the

variety of job roles within the oil and gas industry.

Management and leadership

Management is about getting things done. Managers work in different ways to achieve

many diverse and often specific objectives. Theorists have tried to identify the functions and

processes that all managers carry out. The oil and gas industry contains many layers of

management within many types of organisation. Hierarchies are organisations that are

structured in layers. The managers in the higher levels have more seniority than those

further down.

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