British Petroleum oil spill in the Gulf of Mexico is the largest and worst ever oil spill accident in the history of petroleum industry (Telegraph, 2010). The oil spill started on April 20, 2010 as a result of Deepwater Horizon drilling rig explosion that killed 11 workers and injured 17 others (Robertson, C., 2010). So far approximately five million barrels of oil has gushed into the water severely affecting the marine life in the Gulf of Mexico (KAUFMAN, L. and DEWAN, S., 2010). As per the current status the oil well is completely sealed but the task of drilling a relief well in order to eliminate the risk of oil spilling completely is still pending (WEBER,H. R., 2010). The purpose of this paper is to identify BP’s various stakeholders and effects of this disaster on them, the ethical duties owned by BP before and after the tragedy, and analyze BP’s decisions and actions to control the situation.
Stakeholders and effect of the Oil Spill disaster on them: A stakeholder is an individual or a group that has one or more stakes in the organization. A stakeholder may be affected by the decisions and actions of the organization and may also affect the organizations policies, decisions and actions (Carroll and Buchholtz, 2009:84). BP’s primary social stakeholders having direct stake in the organization and its success are its managers, employees, partners, shareholders, customers suppliers and local communities (Carroll and Buchholtz, 2009:86). BP’s secondary social stakeholders having indirect stake in the organization and its success are government, regulators, civic institutions, social pressure groups, Media, Sea food industry, Tourism industry and competitors (Carroll and Buchholtz, 2009:86).
The oil spill had severe effect on both the primary as well as the secondary stakeholders. The primary stakeholders including the employees, investors and shareholders lost their money in the company stocks as the share price of BP fell to 13 years low...