[October 11, 2007] BP to streamline global ops Tweet (BNamericas.com Via Thomson Dialog NewsEdge) UK oil major BP (NYSE: BP), which has operations in Latin America and the Caribbean, plans to improve performance by simplifying how the company is structured and run, the company said in a statement. BP's Latin American and Caribbean footprint covers Argentina, Bolivia, Brazil, Colombia, Mexico, Peru, Trinidad & Tobago and Venezuela. The plan aims to shift resources to the front line with operating managers freed from corporate bureaucracy and the burden of unnecessary overheads, the statement said. The major benefit will be the revenue boost expected from improved operational efficiency over the long term, according to chief executive Tony Hayward. The oil major attributed the bulk of its competitive shortfalls to lost revenue from reduced US refining capacity and new production delays in the Gulf of Mexico. The remainder arose from BP's higher cost base relative to its rivals. BP in future will operate only two business segments, E&P and refining and marketing, while the current third segment - gas, power and renewables - will be incorporated into the other two, the statement said. A separate division - alternative energy - will handle BP's low-carbon business and future growth options outside oil and gas. The moves follow a six-month review of the group's operational performance which identified wide-ranging duplication, overlap and excessive organizational complexity, the statement said. BP did not immediately respond to a BNamericas request for comment regarding what impact, if any, these plans would have on the company's operations in Latin America and the Caribbean. Copyright 2006 BNamericas.com [ Back To TMCnet.com's Homepage ]