The Painful Lessons From Bps Decisions!-oboni

Strategic-Planning We know now that poor decisions lead up to BPs Deepwater Horizon disaster. Why am I not surprised? BP admitted to a fundamental mistake by continuing when there was a warning sign of a very large abnormality. Despite the warning from that test, they decided to remove the heavy mud that provides pressure to prevent gas from seeping into the well and rising to the surface. Reportedly, .pany executives and top drill hands on the drilling rig argued for hours about how to proceed before a BP official made the decision to remove the heavy drilling fluid from the well and replace it with lighter weight seawater that was unable to prevent gas from surging to the surface and exploding. BP and its contractors also made poor design and construction decisions. The well was designed with tight tolerances, using a 7-inch casing around an 8-1/2 inch hole. Some of the centralizers, designed to prevent voids in cement, were missing because somebody delivered the wrong ones, so BP decided to use only six instead of 20. BP chose the lower cost, but riskier, of two alternatives for the casing, so if the cement around the casing pipe did not seal properly, gases could leak all the way to the wellhead, where only a single seal would serve as a barrier. Using a different type of casing would have provided two barriers. I dont intend to suggest that every decision must be ultra conservative, but you must consider the cumulative impact of related decisions that influence the same risk. If you cut costs in one place, you should be more cautious deciding on the safeguards or at least be more cautious deciding to proceed when there are large abnormalities indicated around that risk. Unfortunately weve seen this problem of drastic consequences of bad business decisions before, recently with Toyota and the financial industry prior to the great economic collapse. And this phenomena isnt just recent. The litany of bad business decisions continues back in history with disasters such as the Challenger and enormous financial losses such as the AOL and Time Warner merger. I study decision making, and inevitably all major problems stem from bad decisions. Period. No exceptions. The reaction here will be the same: more regulation, procedures, approvals, and policies. Why? Because people and .panies simply cant make good decisions? Sure there are some .panies that make great decisions such as Apple but the frequency and consequences of bad decisions is be.ing extraordinary. We cant eliminate the need to perform that puts all .panies and executives under pressure to make critical decisions. We cant create more mountains of legislation to prevent .panies and individuals from making poor decisions. If you look at the mountains of regulations to prevent .panies and people from making bad decisions, they already are enormous. The cause is actually so clear that its overlooked. People, including managers and executives, and .panies are never trained on how to make decisions. Its not taught in high school or college. Its not taught in management training sessions. There are not qualifying tests on decision making skills before someone be.es an executive or a key decision maker on a deep water drilling rig. I guess that everyone is expected to be born with decision making skills or learn from their mistakes but some of these mistakes are very costly! About the Author: 相关的主题文章: