(Solution Download) 1 Identify the potential strategic advantages and disadvantages

1. Identify the potential strategic advantages and disadvantages for BOP in outsourcing the boat logistics service to Logistics-Offshore. Explain the strategic implications of each.
2. Identify the type of information Jeff Kessinger needs to gather and evaluate in order to make his decision.

Boseman Oil and Petroleum (BOP) is one of many oil companies operating offshore petroleum platforms in the Gulf of Mexico. The company identifies offshore sites for exploration drilling and constructs drilling platforms. Once exploration activities are successful, the platforms are converted to a production platform to extract crude oil and natural gas. BOP operates multiple platforms and an onshore facility that serves as the primary interface between the platforms. Boats with specialized crews provide logistics services between the platforms and the onshore facility. The boats deliver fuel, water, equipment, and other needed supplies multiple times a day to the platforms. Accurate and timely delivery of materials is absolutely necessary for successful platform operations.


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