--> Managing People and Protecting Corporate Accountability in the Nigerian E & P Scene, by K. Mosto Onuoha; #90037 (2005)

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Managing People and Protecting Corporate Accountability in the Nigerian E & P Scene

K. Mosto Onuoha
University of Nigeria, Nsukka, Nigeria

In the offshore and onshore areas of the Niger Delta, which remain the main focus of all major E & P activities in Nigeria, increased environmental and political awareness, social unrest, and organised crime are some of the major problems that operating companies face. Protecting such central tenets of business as corporate accountability and best practice is becoming more daunting. This paper discusses the challenges posed by the need for companies to minimise physical risk to personnel and assets and provide protection against legal liabilities and reputation risks and stay focused on the core competency of finding and managing hydrocarbon assets.

Emphasis is on the proper management of people and of security and threats. Each company must accept that the workers constitute its most important asset, and because the oil industry in Nigeria has recently acquired a unique risk profile, it is imperative that security plans be implemented to reduce physical risk to personnel and assets. With respect to employees, root management problems that have been identified include favouritism ("who you know" or "where you come from"), poor communication (especially between upper level executives and those down the line), and lack of respect. The adverse effects of these problems on a company are discussed together with the severity and types of security risk common in Nigeria. It is suggested that each company must develop a plan that corresponds to the threats in a given part of the Niger Delta. They must start by conducting a threat analysis to identify who or what the main threats are and how they are likely to manifest themselves. They must then proactively design plans to neutralise threats at their source.