Case Of Petrobras Research Articles

Managing a story of hope through the President’s Letter: The case of Petrobras from 1964 to 1985

This research investigates the historical role of the president's letter, and in particular how impression management was used by the Brazilian company Petrobras, during the military dictatorship (1964–1985), to build up and legitimise the company and the regime. Following an interpretative approach, and through a framework that includes both impression management tactics and presentational methods, the study analyses both narrative and visual images of the letters. The adoption of assertive impression management tactics helped to propagate Petrobras in the ascendancy and with it the Brazilian nation. Reinforcement, rhetorical manipulation and visual emphasis were adopted to convey a message of ascendancy and optimism, even in periods of crisis and shocks to legitimacy. Simultaneously, the omission tactic allowed it to keep invisible damaging events. As a recurrent, voluntary accounting narrative, the president's letters provided valuable storytelling and impression management opportunities which were used to promote Petrobras and as a legitimate façade for the government.

Socialization Process in the Brazilian Public Sector: The Case of Petrobras

Socialization Process in the Brazilian Public Sector: The Case of Petrobras

Responding to a corruption crisis through disclosure and remedial action: The case of Petrobras

This case study adopts a positivist perspective to examine how Petroleo Brasileiro S.A (“Petrobras”), a high-profile company in its native Brazil with multiple listings including in Brazil and the US, responded to a major corruption scandal arising in 2014. We consider Petrobras's response both in terms of its visible activities – i.e. in relation to anti-corruption and compliance (“ACC”) disclosures in its annual report (AR) and sustainability report (SR), as well as actioned remedial policies that constitute the crisis plan – and how the company went about interacting with stakeholders during and after the immediate crisis period. We conducted a content analysis of ACC disclosures and assessed Petrobras's remedial activities in the eight-year period 2010–2017 as disclosed in its ARs, SRs and press releases. We find firstly that, consistent with legitimacy theory, Petrobras responded by voluntarily and substantially increasing its relevant disclosures so as to regain legitimacy, a finding which mirrors those found elsewhere following corruption and environmental crises. Secondly, the unique corporate governance situation at Petrobras combined with the fact that leadership was allegedly implicated in the scandal, led the post-crisis management team to undertake a series of remedial actions that prioritised the need to take and maintain executive control and independence from the government, whilst at the same time carefully managing the relationship with this influential stakeholder: - actions which argue strongly in favour of stakeholder-agency theory and multiple agency theory interpretations of the nature of stakeholder interactions that transpired during the crisis period of disequilibrium, and which precluded the type of stakeholder dialogue seen in some previous environmental crisis situations. Finally, we show that Petrobras's crisis management response actions align well with models of trust repair and legitimacy management, and suggest the company considered it had successfully regained legitimacy by 2017.

Sensemaking and Identity Recovery After Organizational Misconduct: The Case of Petrobras’ Leaders

We analyze the case of the Brazilian oil and gas state-owned enterprise Petrobras after the corruption scandal that became public in 2014, with several repercussions over the following years. Based on documental data and interviews conducted in 2020, we investigate how the company’s leaders faced these events and the sensemaking processes triggered in response to the crisis. We specifically analyze the executive leaders’ sensegiving strategies, unveiling narratives and framing used to mitigate the event’s consequences and recover the organizational identity damaged by the ethical crisis. We also examine the mid-level leaders’ sensemaking process, describing the (re)construction of meaning and recovery of the organizational identity from the employees’ point of view. We observe that the latter process seems to have been facilitated by the top management sensegiving strategy, which effectively supported identity recovery, as framing effectively tapped on mid-level leaders’ self-concept needs. The analysis unfolds in distinctive theoretical contributions that help understand the interconnections between identity and sensemaking in the context of crises that undermine corporate reputation.

Edutainment applied to compliance and integrity training: Petrobras case study

Edutainment applied to compliance and integrity training: Petrobras case study

Abuse of Dominant Position and Cease-and-Desist Agreements: Risks to Brazilian Competition Policy Arising from the Atypical Case of Petrobras’ Refineries

Abstract This paper aims to analyze how the Brazilian competition authority, Cade, deals with cease-and-desist agreements involving abuse of dominant position. The focus is a recent abuse-of-dominant-position case. Cade and the Brazilian state-owned oil and gas company, Petrobras, negotiated a cease-and-desist agreement establishing as remedy the divestment of eight out of 13 Petrobras’ refineries. The hypothesis is that the case was atypical in the light of Cade’s own case law. The paper assesses the Petrobras’ case and compares it to Cade’s case law (2012-2019) concerning cease-and-desist agreements relating to the abuse of a dominant position. The results of the study confirm the atypicality of the case. It demonstrates that the case causes risks to Brazilian competition policy. The paper is divided as follows: after an introduction, the first section discusses abuse of dominant position in Brazil, especially the cases that concluded with cease-and-desist agreements; the second section describes the case related to Petrobras’ oil refinery assets; the third section verifies whether the case may be considered atypical; the fourth section debates the legal and policy risks arising from the case; the final section contains some concluding remarks.

Gradual institutional change and media influence: The case of Petrobras in Brazil

The media as a social actor emits discourses that reflect in the institutional context, influencing the process of institutionalization of existing practices. One view about the media in organizational studies is that it is a mechanism of organizational complexity reduction, and in this way, it is the focus of the managers' attention to certain aspects of the environment, which has implications for the way that everyday tasks are accomplished in organizations. In this sense, an interest has emerged to understand how the dissemination of information about the acquisition of a refinery in Pasadena, Texas, by Petrobras was the embryo of an international corruption scandal that compromised the organization's image but was also responsible for the emergence of new organizational practices. The data and information used are from secondary sources: the newspapers and magazines with the largest national circulations. The findings reveal that the media sought to influence individuals by elaborating its understanding of the context without being consistently coherent over time. We propose an analytical model of how the media can act in the gradual change of organizational and actors' practices.

Already innocent: radioactive bribes, white-collar corruption and nuclear expertise in Brazil

ABSTRACTThe ‘father’ of Brazil’s nuclear energy programme since the 1970s, Vice-Admiral Othon, was released from prison in October of 2017 to await appeal of a 43-year sentence issued in 2016. Admiral Othon had been found guilty of organising fraudulent financial activities, engaging in political bribes and rigging and inflating construction contracts related to the construction of Brazil’s third nuclear reactor, Angra 3. Othon’s corruption sentencing coincided with impeachment proceedings against President Dilma Rousseff of the Workers Party (PT), also accused of financial manipulation and of having knowledge of political corruption in the Petrobras case known as Car Wash. Some on the political left have read Dilma’s impeachment as a successful strategy employed by the right wing to diminish centre-left political power. While political corruption in the fields of energy production is similarly the centrepiece of both cases, they are perceived differently. Comparing the two, the concept of nuclearity as developed by Gabrielle Hecht helps explain why Othon received considerable support from across the political spectrum. His supporters framed his case as one being managed by external foreign interests supposedly keen on preventing Brazil from harnessing its nuclear energy potential and, implicitly, of disregarding its national security risks and needs. Political corruption cases can either animate or neutralise public and moral sentiment. Perceptions of the Othon case challenge the notion that the anti-corruption campaign is merely a right-wing attempt to undermine the left. The case reveals how corruption thrives under the cover of nuclearity and in large-scale construction projects relevant to national security.

Corruption and corporate social responsibility codes of conduct: The case of Petrobras and the oil and gas sector in Brazil

Corruption and combating corruption is one of the most important challenges for both developing and developed countries. Corruption is a serious threat to principles and values of any government. It undermines the enforcement of the rule of law and compromises democracy. In the early 1990s, corporate social responsibility (CSR) codes of conduct emerged as an effective mechanism for integrating responsible economic practices against corruption. However, the question that arises is whether this self-regulatory instrument has any impact on the practice and policy of companies with respect to corruption. This study addresses this question through an analysis of the provisions related to corruption issues embodied in international conventions and guidelines, the norms or standards of oil and gas associations, NGOs, international and multilateral organizations. In particular, this paper examines how Petrobras, the giant Brazilian oil and gas company, responds to corruption in its CSR code of conduct. Using a comparative analysis of Petrobras’ policy and practice as expressed in its CSR statements and the related provisions embodied in the international framework, this study examines the extent to which provisions included in Petrobras’ CSR code of conduct are consistent with the belief of the current international framework system. Finally, this paper investigates the responses to questionnaires related to CSR codes of conduct of oil and gas companies operating in Brazil.

University-industry research collaboration in the Brazilian oil industry: the case of Petrobras

Este artigo analisa a colaboração em pesquisa entre a empresa estatal petrolífera brasileira, Petrobras, e universidades no período de 1980 a 2014. Apesar da importância da interação universidade-empresa na indústria de petróleo brasileira, há poucos estudos temporalmente abrangentes sobre o tema. Este trabalho ajuda a preencher uma lacuna na literatura, provendo dados comparativos de longo prazo sobre a colaboração em pesquisa entre a Petrobras e universidades. Baseando-se nas publicações da Petrobras em coautoria com universidades, são analisadas as mudanças na intensidade e orientação geográfica da colaboração, no nível de relação interorganizacional e na base de conhecimentos da empresa. Além disso, o trabalho também aborda os efeitos da recente política de financiamento à pesquisa e desenvolvimento na interação. Os resultados mostram uma crescente interação entre a Petrobras e as universidades brasileiras, levando a um alargamento da rede de colaborações científicas da empresa e reforçando sua base de conhecimentos.

A sustainability paradox? Sustainable operations in the offshore oil and gas industry: The case of Petrobras

Improved sustainability performance in increasingly complex business environments is a challenging task for organizations operating in many different industries. In the offshore oil and gas industry, the use of potentially hazardous materials and operation under progressively hostile environments increases the risk of major accidents. Regulators have been trying to catch up on the design of regulatory frameworks that prevent these types of events, aiming to protect people, assets, and the environment. Although there are some recommended practices that companies have been using as the basis for their process safety management systems (PSMS), lack of uniformity and inefficient enforcement remain as two fundamental problems. This paper explores these two problems and takes some first steps toward a broader discussion about these important issues. We draw from the literature on sustainable operations to develop a descriptive case study of the offshore oil and gas industry by employing document analysis and an analysis of the Health, Safety and Environment Management System (HSEMS) of Petrobras, a world leader energy company. By employing multiple primary and secondary data collection strategies, including a number of formal expert interviews, we map, explore and compare major recommended practices for PSMS, identify a series of gaps in policy and practice, and offer a number of recommendations and implications for practice, policy, and research.

Government Procurement Policy in Developing Countries: The Case of Petrobras

The aim of this article is to discuss whether public procurement policy can promote innovation by firms located in developing countries. The literature on technological learning is used to create a typology for assessing the impact of public procurement in developing countries from the standpoint of innovation. Petrobras, a Brazilian state-owned enterprise, was chosen as a case study. Petrobras is a global leader in the field of deepwater oil production technology and so offers an interesting opportunity to investigate whether government procurement in developing countries is used to promote the capability of domestic firms to develop innovations. The article presents the findings of a field survey on P-51, a platform that was ordered by the Brazilian state-owned enterprise and began producing in 2009. The case study is based on information collected from interviews with managers of Petrobras, EPC contractors and some of the firms subcontracted to work on P-51.

Management of People and Strategies of Attraction, Development and Retention: The Petrobras Case

This case study examined the management of people in remote units (i.e., far from urban centers) and in urban units of PETROBRAS - Petróleo Brasileiro S/A. Specifically, this research was performed in three offshore platforms, three bases, and in the Amazon jungle’s unit, interviewing 31 employees that included directors, managers, HR professionals, supervisors, and coordinators. The following two questions were addressed: How to manage people working in units far away from the main headquarters of the organization? How to manage them in order to assure the organizational strategic objectives of attracting, developing and retaining valuable human capital in these units? The primary data collection was done by means of interviews and observations, and the data were analyzed via content analysis. The results indicated that the specific policies and practices for managing people, based on the strategies for attracting, developing, and retaining the professionals working in the studied units, are advantageous, illustrating effective policies and practices to the field of strategic people management.

Institutional Change and State-Owned Enterprises: Reflections from the Petrobras case study

The Brazilian oil and gas (O&G) sector has experienced institutional changes that put an end to the state monopoly. The purpose of this article is to explain why Petrobras has remained dominant after the sector had been opened to competition. We consider that it is possible to explain this paradox via two ideas that emanate from North’s analysis on institutional change: first, by explaining institutional change as a continuous interrelation between formal and informal institutions and the political and economic organizations involved; second, by considering institutional change as a path-dependent process marked by a dialectic between elements of change and continuity.

Environmental Management of Oil and Gas Activities in the Exclusive Economic Zone and Continental Shelf of New Zealand

This article considers the past and pending legal position in New Zealand regarding regulation of deep-sea exploration and mining. The obligations under international law contained in the United Nations Convention on the Law of the Sea (UNCLOS) 1982 are first outlined. The recognition of these obligations under New Zealand law is considered, with reference to the Petrobras case challenging the grant of an exploration permit in waters of the exclusive economic zone. The deficiencies in the law are being addressed under the Exclusive Economic Zone and Continental Shelf (Environmental Effects) Act 2012 (NZ). The Environmental Protection Authority will become the primary decision-maker in granting marine consents, in place of the Minister of Energy. The scope of the regulatory powers is outlined. Comparative reference is made to procedures of the International Seabed Authority.

Technology Focus: Knowledge Management and Training (October 2012)

Technology Focus The petroleum industry is being pushed to meet global environmental challenges as well as to develop cost-efficient energy resources for the centuries to come; however, the process to develop new technologies appears not to meet expectations. SPE has invested valuable resources in establishing the technological tools to adapt to new times. Although online communities, global connectivity, knowledge management, and computing power attempt to provide a platform for innovation, we may still fail to generate fast-enough answers. As shown in the cases presented in this review, our industry has consistently demonstrated ways to assimilate vast amounts of data, improve multidisciplinary decision-making processes, and automate procedures to preserve knowledge. Typical challenges we face are the generation gap, lack of leadership, and misuse of staff resources. Beyond the boundaries of the petroleum industry, criticism—nonconstructive problem solving—is the dominant form of dialogue. We need to realize how collaboration and cooperation may drive innovation to create a sustainable future for our society. Collaboration involves all stakeholders flowing together and fundamentally changing their individual approaches to sharing of resources and responsibilities as well as changing ways of working and knowledge dissemination. To collaborate is to work jointly with others, especially in an intellectual endeavor. Truly collaborative processes enable differing and possibly conflicting views to merge and create something new and previously unimagined. Collaboration needs a purposeful starting point. It requires a problem or a potential and a desire to deal with it. In other words, collaboration requires a desire to change. It also requires clear organizational support that is rarely present, which explains why most successful collaborations are not set in an organizational context at all. Cooperation, on the other hand, is where participants maintain their separate mandates and responsibilities and engage in most work in the way they see as appropriate but may agree to do some work together or present work for review by other stakeholders or departments in order to meet a common goal. Innovation is about divergent thinking and the creation of something new, and collaboration is an essential tool for achieving it. Like all creative forces, it is messy and unpredictable. Unlike cooperation and collaborations, it may not be a planned exercise or a cooking recipe. If our online communities cannot foster collaboration, then they will fall short of the hype and ambitions they have set for themselves. Conversely, communities that figure out how to enable their members to collaborate (as opposed to merely cooperate) may end up having a decisive advantage. Recommended additional reading at OnePetro: www.onepetro.org. SPE 150233 Challenges in Managing People To Implement an Integrated Operations System: A Petrobras Case Study in an Operational Unit of Exploration and Production by Cézar Augusto Monteiro Siqueira, Petrobras, et al. SPE 150314 State of the Art of Artificial Intelligence and Predictive Analytics in the E&P Industry: A Technology Survey by César Bravo, Halliburton, et al. SPE 147118 Toward Rapid Expert-Driven Learning Content Development, Embedded Learning, and Reduced Time to Market by Meta Rousseau, Baker Hughes OTC 23276 The Modelbase: An Architecture for Organizational Adaptive Decision Making by Mike Whiteside, Indeva OTC 23620 The New Edge in Knowledge: How Knowledge Management Is Changing the Way We Do Business by Cindy Hubert, APQC

The Co-Evolution of Firm-Centered Knowledge Networks and Capabilities in Late Industrializing Countries: The Case of Petrobras in the Offshore Oil Innovation System in Brazil

Summary This paper addresses neglected questions about the long-term co-evolution of capabilities and networks at the heart of latecomer innovation systems, examining the case of Petrobras, the Brazilian oil company between the late-1960s and the early-2000s. The paper demonstrates the existence of accumulative, non-recursive, and self-reinforcing relationship between capabilities and networks. The firm’s capabilities at a particular time enabled and constrained the forms of networks that were possible, while increases in capabilities functioned as “entry tickets” to participate in new network forms. In turn, knowledge networks at any time helped to consolidate emerging levels of capabilities, and also reach higher capability margins.

Petrobras’s blog and journalism: what ethical issues are we talking about?

This article discusses the case of Petrobras’s blog, called Facts and Data (Fatos e Dados), created to be a channel for direct communication with the society and a place for presenting the official version of information concerning this state-owned company. Taken as a parameter for questions relating to the ethical issues involved in this communication experience, it suggests some reflections beyond possible redefinitions of making communication as opposed to doing journalism. In presenting its version of events directly to the society, the company opted for a model of unmediated communication, which requires the redefinition of the speech platforms and visibility. It also proposes a reflection on discourse ethics, especially regarding the ideal of individual participation in the processes of debate concerning matters of public interest.

Latecomer firms and the emergence and development of knowledge networks: The case of Petrobras in Brazil

This paper addresses the emergence and development of firm-centred knowledge networks within learning and innovation systems in late-industrialising countries. A key contribution of the paper is conceptual and methodological: the development of an original typology of knowledge network properties to trace out changes in the form of networks as they evolve over time. A second contribution consists in providing an example of the application of the typology by examining the emergence and development of a firm-centred knowledge network in the case of Petrobras, the Brazilian oil company over more than 30 years between the late 1960s and the early 2000s. This demonstrates that the properties of Petrobras’ knowledge networks continuously evolved through a succession of stages towards (i) increasing intentionality in the management decision-making underlying network development, (ii) growing complexity and diversity in selected cognitive characteristics, and (iii) greater complementarity in the division of innovative labour between Petrobras and its network partners. These original results from applying the typology, in conjunction with retrospective historical methods, illustrate only one aspect of its potential value in the analysis of knowledge networks in late-industrialising economies: tracking out organisational evolution over long periods of time. Others include the comparative examination of network differences across different circumstances and the analysis of relationships between changes/differences in network properties and other characteristics of learning/innovation systems and their contexts.

A experiência da rede PETRO-RS: uma estratégia para o desenvolvimento das capacidades dinâmicas

Com base na experiência pioneira no Brasil de uma rede de empresas fornecedoras da cadeia de suprimento da indústria do petróleo e gás localizada no Rio Grande do Sul - a Rede PETRO-RS, o artigo sustenta que a organização em torno de uma rede voltada para o mercado e o desenvolvimento tecnológico contribui para os recursos das organizações, subsidiando o desenvolvimento das capacidades dinâmicas. Desta forma, o artigo argumenta que a formação de uma rede que estimule a cooperação entre os atores envolvidos no processo de inovação tecnológica e que potencie os recursos internos e externos das empresas constitui uma estratégia para o desenvolvimento das capacidades dinâmicas. Resultado de uma iniciativa do Governo do Estado, a Rede PETRO-RS reúne mais de 100 empresas, além de extensa gama de outros atores comouniversidades, centros de pesquisa, fornecedores, clientes (com destaque para a PETROBRÁS) e órgãos governamentais. Dada a diversidade de atores envolvidos e sua forte vinculação com a inovação tecnológica na cadeia de suprimento da indústria de petróleo e gás, a experiência da Rede PETRO-RS constitui um exemplo da construção de capacidades associada à formação de uma estratégia coletiva ou interorganizacional.