COMMUNITY RELATIONS AND ORGANIZATION PRODUCTIVITY

1.0 Introduction

Good will, as we know is a good asset of a company and contribution to its eventual success. And as we can all agree good product sell itself. A Company’s success is dependent in the ability of its management to deal simultaneously with sever elements of the Company’s environment which offers ways by which changes take place in the business world and analysis the decisions that have been made to arrive at strategic options.

Some of these success factors lies within the firm, but as a firm and that the overall economy nature, external factors or elements tends to be more impact on the business operations. The relationship of internal and external factors (elements) of the environment of firm is crucial in nature to its success. It is therefore necessary to know if a decision is one that will enhance welfare for both employees and host communities than it was before or if there is need to take another line of action.

Mutual relationships has been an area of topical interest to most communities and organizations within the country and around the globe. Hence, any form that has achieved a fit with its; environment is far more likely to be successful. This is pertinent as members of the public at times measure the impact of the company on the society in terms of their cordiality with their host communities and responsiveness to the development of the area.

Community relation are more intangible, for a variety of reason an organisation may (or may not) be regarded as (good citizen). Then when a special policies protects a zemag variance or perhaps prompt resolution of complaint is needed, opposition does not automatically arises most time most companies, good community relation leads them to a permissive situation of organisation at productivity, but during crisis times, the right to continue operating may be at stake.

Business take place within the frame work established by society. The type of business that can take place within a particular community is largely determined by the attitudes, beliefs and needs of the particular locality.

This is so, especially because business depends on social and on the other hand the society also depends on business. This show the inter relationship between the business and it’s environment.

Due to constant changes in the environmental factors and having need to boost organizational productivity, there is absolutely need to create or establish mutual relationship with the host communities, since they are of much concern these days to the business men/women as sometimes their activities help to shape and direct the life within the communities this, the essence of community and organisationa relationship cannot be over emphasized or neglected of management entails high productivity.

1.1 Background Of The Study

The community environment can strongly influence business success when a community or neighbourhood detoriates, property value goes down tax revenues decline, local market shrink unemployment falls off and profit sag, while at the same time cost of relief welfare, policy and other municipal services arrounds so for purely economic reasons, there is ample satisfaction for business to help the communities.

In accordance with the above writing in the public relations, quarterly as cited by Kogan (1977), observed that community relations programmer were originally concerned to help a company become now as a good employers, neighour, tax payer and purchase or local products.

A broad approach to community relations does not means changing the old pattern, but simply finding additional way to serve.

The plant City Community – Hand use projects public education transportation, area planning, shin clearance etc.

Business organisation have been extending the scope and purpose of their community relation programs. More and more companies are going beyond the immediate problem of attracting and keeping the best employees as well as explaining themselves to local citizen. They are directing their focus to solving problem that one important to their community future welfare.

In oil times (2002) Cherron’s General Manager, Corporate Affairs, Mr. Sola Omole explained that whatever contribution charm would make to the development of NDDC that it would not affect the oil company’s planned welfare programs for its host communitor.

When these are accomplished, a planted City can be a better place in which one can work, raise ad also operate a business that it’s productivity will be enhanced.

1.2 Background Information Of Mobil

Producing Nigeria Unlimited

Mobil producing Nigeria Unlimited came into existence in 1965. The company is involved in oil exploration and gas in 1970. She recorded her first oil production which was successful Mobil has over the years successfully established various projects of International reputation amongst which are:

1. In 1970, her first on shore Crude Oil terminal (Qua 160c terminal/QIT located at in Akwa Ibom state become functional.
2. In 1985 – Attainment of one billion barrels Cumulative oil production.
3. 1991 – Commissioning of EDDP Field.
4. 1992 – Commissioning of 080 condensate field.
5. 1995 – Signed 080 – NGL EPC Contract
6. 1995 – Commissioning of two Sithien Cumulative oil production and celebration of 25th anniversary
7. 1996 – Raised NGL hans/finzncing
8. 1997 – Attainment of 700 TBD
9. 1998 – First shipment of OSO NGL – August 25th 1998
10. 1998 – Commissioning 080 NGL project

The OSO – NGL recovery project on shore facility at Bonny River Terminal (BRT) come into existence for the following reasons:

1. Project conceptualized in November 1992 when OSO condensate project was commissioned.
2. Scheme designed to extract the rich national gas liquid (NGL)from associated gas before re-injection.
3. Driving farce was to moieties gas and eliminate flexing in line with government new gas policy.

Ownership

The Company is jointly owned by NNPC and MPN IN Jauary 1995 agreed on terms of participation on the project (49 and 51%) respectively.

Operator

The joint venture agreed that Mobil producing Nigeria chidimited should operate the Company.

Cost Implication

The project costed the joint venture partners (NNPC and MPN) about $810 million and will generate about $3.2 billion in revenue over the project life.

Project Financing

The project was financed by Capital market through CS First Boston (CSFB).

Contractors

The Engineering, Procurement and Construction (EPC) contract for the project was signed on February 7, 1995 with three major contractors ABB Lummus CREST, INC. JAPAN GAS COMPANY (JGC) AND NIGERIA SUPPLY SERVICES COMPANY (NISSCO) and a major nominated sub-contractor, Spibat/Fougerolle.

Technical Facilities

Project has two complexes: Off short extraction plat form (RX) at OPSO and Onshore fractionative plant at Bonny River Terminal (BRT).

600 MMSCFO of wet gas from low pressure compressors is processed at RX, therefore, 500 MMSCFD of dry gas is re-injected into OSO reservor.

• 12” Sub sea fuel gas line (42 mitres) rums from OSO RX to BRT.
• Rx plat form send 50 TBP of NGL (C3 +) through a 10” (inch) sub sea line (42 miles) to BRT.
• The fractionation columns at BRT trip the NGL (C3+) into propane (C3), butane (C4) and pentane – plus C5+).
• The operative products are stored in dedicated tank at BRT, 5no (4 X 30 MBBL and 1 x 300 MBBL)

Product Analysis

• Design production fields
• Propane (C3): 24 TBD (24 refrigerated)
• Butane (C4): 15 TBD ( refrigerated)
• Pentane Plus (C5+): 11 TBD 50 TBD

Completion And Shipment

• Project completed and commissioned in July 1998
• First product (propane and Sutane) lifting was accomplish, August 30, 1998

Job Creation/Human Resources Development

Start-up and commissioning attracted key experience Mobil exports from a cross the globe, incheding 6 indonesions.

Long Term Operation

150 new regular jobs were created at Construction phases, provided over 3,000 temporary jobs.

1.3 Statement Of The Problem

This study seeks to examine community relation and organizational productivity with reference to the Oil and Gas companies particularly Mobil OSO NGL project. Situated at Bonny. In any industry, it is a known fact that optimal productivity output is a target, this, business can then be said to be concerned primarily with people. Business depends on people as consumers, employee, investors, suppliers and suppliers and managers, also people depends on business to provide them with goods and services which they needs and business will certainly go after profits as it basic goals for rendering services to the society. The research specifically attempts to find answering to question below:

1. How does Mobil see community relation?
2. Does Mobil have any community relation programmer?
3. To what extent does Mobil carryout such programmes?
4. What is the impact such programmes on the host communities and the organisation productivity?

How Does Mobil See Community Relation?

1. Mobil see Community relations as a vital instrument in achieving high organisation productivity. Ibis prompted her to have a department called the community relations department which have a head called the community relation manager. This department is charged with:

• Knowing what is meant for the community
• Doing those things
• Knowing what the community wants
• Doing them

But this the differences amongst the two people which is the company and the community are married together in order to ensure that there is no communal crisis which will be to the detriment of the company, God this automatically will lead to vanderlization and low productivity, which is not one of the aim of business, since in management we say that main aim of business is profit maximization.

Does Mobil Have Any Community Relation Programme?

The answer to this is yes, beyond reasonable doubts because Mobil in recent times have embarked on many Community project through her community relations department. Mobil has amongst many does the following:

• Scholarships to student in higher institutions
• Building and equipping of Bonny Library
• Gave 250 GCE forms to Bonny students (2002)
• Training of 1000 youths on skill acquisition
• Provision of computers to Bonny women development centre
• Up grading of the Bonny Coal Search roundabout
• Building of the Vocational Training Centre
• Building of the Ibanise Town Hall
• Other board works done.

With This, it will be agreed beyond reasonable and unreasonable doubts that Mobil see and not only seeing they know the importance of community relations and it’s effects as regards to organizational productivity.

To What Extent Does Mobil Carryout Such Programmer?

Sequel to this question which this article should answer. It should not be over emphasized that Mobil to a reasonable extent carries out her community relations effectively. It can be said since Mobil began operation in OSO NGL in Bonny in August 1998, that she has carried out the amongst others the aforementioned project as community relations project. I should say that this is one of the factors that made to meet up her deadline of august 25th1998.

What Is The Impact Of Such Programme?

On The Host Community

The impact of these programmes on the host communities are positive. Development and should not be overemphasized. These programme as our subject matter state help in eliminating communal crisis and leaves to the development of the host community. These development ranges from:

• Educational development
• Skills acquisition
• Environmental development

Education we say is light and illiteracy is a social disease. This programmer help the community in different ways. While on the other hand the organizational productivity of Mobil increase, since there is absolute tranquility in the community. So the project was delivered on time on line due appropriate community relations programme.

1.4 Objectives Of The Study

The main objectives of the study is to examine the extent to which community relations affect the productivity of Mobile OSO NGL project bonny. This was conducted with a considerable amount of systematic empherical findings of productivity which included reports through personal interviews.

1.5 Significance Of The Study

Mutual relationship has always been an area of tropical interest to most organisation and communities within the country and the entire world at large. Social relationship or responsibility simply means the role a body (organisation) has concerning the human society. The quality of life especially in the area of it’s operation.

Mobil carries out it’s operation in and around Bonny and is expected to show some sign of responsibility towards the welfare of the social community.

In recent times, research conducted in this area of study voluminous and adverse, but still it is still argued that it is very difficult to carryout research on community relations and organizational productivity since individual and organisation varies based on productivity and community relations. This study is significant because it broadens the vision of research on community relations sot that the salient elements and their interaction are included. Conclusively, the research creates awareness on community relations decisions making so that weakness (neglects) will be relentified and corrected.

1.6 Delimitation Of The Study

Community relations is very wide area of study. It is important therefore that research in the area should have a reference point.