“The BP Amoco Finland Case” Team 1: Objectives and Policies Maria Kalho Milja Lemmetyinen Paul Peltokangas Petteri Reponen

Overview Mission Statement Objectives Principles and values Cultural Differences Policies Politoeconomical Environment The Baltics and Russia Conclusion

Mission Statement We will involve our whole value chain to provide high quality products to our customers 24 hours a day. We are in the business of serving the members of the motoring public.

Objectives BPAMOCO Finland will become the regional center of excellence in four years Implant the BPAMOCO corporate culture Establish a model for the Baltic and Russian markets, and train their personnel in Finland

Objectives BP Amoco “best practices” utilized; "Think Globally, Act Locally” –build long-term relationships with employees and franchisees –promoting cost-effective labor structure –provide standardized high quality products –managerial assistance available 24 hours a day –outlets close to population centers along main transportation routes

Objectives Capture market share locally by creating Image Equity i.o. Brand –environmental and ethical responsibility –permanent and wide availability –always friendly and superior service –“convenient BPAMOCO centers” image

Principles and values Environmental and ethical responsibility Customer and employee satisfaction Respect the Law and Human Rights Totally meeting customer needs

Cultural Differences Commitment to local corporate culture Policies may have to be redefined to match the local culture Use experts to prevent cultural clashes Language(s)

Policies Measure results regularly against set goals and re-evaluate goals if necessary Always get the best person for the job, from within if possible Make sure individual goals match corporate goals

Policies Build long-term commitment Identify potential talents with understanding of international corporate practices Promote and execute environmental and ethical issues Promote local personnel Communication

Policies Constantly improving technology –reduce labor and production costs –also used in HRIS –better communication through IT –up-to-date information Motivation by employee empowerment Flat structure, lean and flexible organization Outsourcing when feasible

Politoeconomical Environment Conform to industry standards Follow the rules and legislation of the National, Regional and EU Government Adjust to Labor Union Regulations Prepare for changes in legislation

The Baltics and Russia Key team members trained at and operations coordinated from regional HQ in Finland Start building brand recognition immediately Gain substantial market share in long term

Conclusion Utilize Global Best Practices i.o. corporate culture –TQM –HRM HRIS –Technology –Communication