By Chineme Okafor
The newly-appointed Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC), Mr. Andrew Yakubu, has disclosed that the corporation is on the verge of introducing new business models that will yield profit to it from across its Strategic Business Units (SBUs).
GMD of the Nigerian National Petroleum Corporation, Mr. Andrew Yakubu
Yakubu to this end, stated that the corporation’s management team under his watch will introduce new ways of doing business in its SBUs and Corporate Service Units (CSUs) as it moves to ensure that it is commercially viable to remain competitive in the global oil and gas industry.
According to a statement from the acting Group General Manager, Public Affairs of NNPC Mr. Fidel Pepple, Wednesday in Abuja, Yakubu made this disclosure during his inaugural town hall meeting with management and staff of the Corporation at the NNPC Towers.
He told the staff that the management team will reposition the NNPC to become a commercially focused and profit-driven organisation that is governed by best management practices and deploying modern technology in its effort to transform the Corporation.
Yakubu said: “To ensure early realisation of this objective, all SBUs and CSUs must be positioned to pursue and maintain competitive operational and business efficiency, cost effectiveness, input and output optimisation, revenue maximisation and profitability.”
Listing the initiatives to be considered by the new management for immediate approval and implementation, Yakubu explained that there will be new business models and organisational structures for all the SBUs and CSUs such as NNPC Retail Ltd, Nigerian Petroleum Development Company (NPDC) and others subsidiaries adding that they will capitalise and create profit-oriented SBUs, implement Project Sanction and Approval Procedure (PSAP), and performance management based on commercial orientation.
The GMD also noted that his agenda for the new NNPC will include firm focus on entrenching accountability and transparency, rebuilding of the financial position of NNPC, and implementation of the growth strategy of NPDC.
He equally added that the Corporation will focus on monetising gas resources for national economic growth and development, revamping critical facilities and infrastructure as well as promoting capacity building, empowerment and staff welfare.
Yakubu further said that the NNPC under his watch will review all audit reports on its activities within the past five years with a view to building a comprehensive information data base to improve the Corporation’s performance and quickly address relevant recommendations.
“NNPC will have a zero tolerance for corruption and all cases of corrupt practices will be severely dealt with in accordance with extant laws.
The Corporation will ensure the security and rehabilitation of its key pipeline infrastructure across the nation to ensure efficient supply and distribution of petroleum products to every nook and cranny of the country, and management will work towards providing adequate welfare package for staff as well as strengthening its human resource base,” Yakubu said.