Factors Affecting Organizational Behavior: Sinclair Oil Corporation (SOC)

Essay by venny_mUniversity, Bachelor'sA-, November 2006

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All companies today have internal and external forces that impact organizational behavior. The purpose of this paper is to explore the impact of internal and external forces on organizational behavior. The four forces we will discuss are, customer demands relating to Sinclair Oil, economic forces outside of Select Portfolio Servicing, restructuring within Nestle, and globalization factors relating to Northrop Grumman.

Customer Demands

Customer demands have a large impact on organizational behavior (OB) of the Sinclair Oil Corporation (SOC). SOC owns and operates three oil refineries, a trucking division, a pipeline division, the retail service stations, and eight hotels and resorts. The diverse nature of the company leads to many different customer demands.

The oil refineries have two types of customers. The first is the retail service stations. The refineries must produce enough finished product each day to supply the service stations in 17 different states. The second type of customer is the federal government.

Over the last eight years SOC has held the contract to provide jet fuel to Hill Air Force base. The average amount of finished product produced at the refineries is 600 hundred thousand barrels a day. This output is usually enough to supply the service stations needs and have some oil to put into reserve. Working conditions within the refinery are inherently dangerous, if production cannot keep up with demands operators often begin to feel additional pressure to keep pace; this distress can lead to additional dangers.

There are three different types of hotels and resorts within the SOC/Little America organization. There are roadside properties, which cater to travelers and tourists, the elegant hotels and the ski resorts. Each type of property gears itself and its organizational behavior towards the customer base. The roadside properties, such as Little America Cheyenne, have a more casual approach to...