The Management Planning of Halliburton

Essay by Lomuscio2 August 2007

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�PAGE � �PAGE �6� The Management Planning

The Management Planning of Halliburton

Iraida Lomuscio

University of Phoenix

Mgt 330:/ Theory, Practice, and Application

August 18, 2007


The Management Planning of Halliburton

In order for a company to achieve its optimum level of profit, planning needs to be the most integral part of management. Halliburton is one of the largest corporations in the United States and is one of the world's largest providers of products and services to the oil and gas industry. Management's responsibility is to set up and implement procedures through which the company can achieve maximum potential. This will only be possible when management asserts and adheres to a diversified, well planned business strategy.

Halliburton is an oilfield service company and provider of engineering and construction services. Halliburton was founded in 1919 and has proved it is a solid foundation, yet it only has grown tremendously within the last few years when two new divisions were formed: the Energy Services Group (ESG) and Kellogg Brown and Root KBR).

This profitable change is a direct result of the merger with Dresser Industries in 1998. In 2001 Halliburton recorded a record 13 billion in profits.(Halliburton,2007,p3) The Energy Services Group offers a wide range of products and services to upstream oil and gas customers worldwide, ranging from the manufacturing of drill bits and other down hole and completion tools and pressure pumping services. KBR, on the other hand, is the engineering subsidiary for Halliburton and is a global leader in construction and project management. Additionally, KBR is a leading government service contractor, which subsequently has been the focal point of many legal and ethical issues.

After an extensive audit by the Justice Department it was revealed that KBR overcharged the US government by $27.4 million and used that money to...