Academic Master


ADNOC Company Analysis

ADNOC is one of the leading oil and gas companies in the United Arab Emirates. ADNOC is the leading energy provider in the UAE and it is considered as a catalyst for the growth of Abu Dhabi’s economy and diversification. According to the facts and figures, ADNOC produces around 3 million barrels of oil per day. Moreover, they refine the crude oil and the raw gas as well. They have a very well established marketing and sale department for the buying and selling of the petrochemical products. ADNOC ensures the future success of this petrochemical business which is why they have planned most of their strategies before time and they are always one step ahead. When all the concern becomes institutionalized at a global level, human beings need definitions in order to understand the beneficial financial and non-financial actions and reactions. The concept of sustainability holds a unique significance in the history. The idea of sustainability is precise and clear which states the development of future in order to secure it for the next generation. Every year a sustainability report is issued by all the highly organized companies which give everyone a clear about certain monetary and non-monetary aspects. The major portion of a sustainability reports includes highlighting all the facts and figures, strengths and weakness, social and economic benefits, environmental aspects and ethical responsibilities of the organizations. ADNOC sustainability reports each year gave a vivid idea of these aspects. Every sustainability report holds a unique significance in its own because every year there are changes and developments which are usually quite different from the previous year. The ethics and the norms which an organization holds are really important as it defines the beliefs and ideas of that organization.

As a petrochemical organization, the protection of environment becomes the most important responsibility of the organization. However as far as ADNOC is concerned, it is passionate about developing environment friendly products. They deliver reliable and safe products to their customers. ADNOC has reached the heights of success by keeping in my mind the needs of their customers as well. As a part of the petrochemical organizations, ADNOC always measures the risk factors before starting any new projects and ruling out the impact of that project on the environment. Once they have figured out everything they make sure they know all the procedures required to manage these environmental risks. When an organization deals at an international level, it becomes their ethical responsibility to rule out all the environmental risk factors. The analysis of environment does not stop. It is a continuous process for a petrochemical organization like ADNOC. In order to work in sensitive areas, an executive approval is required before the project actually begins and it is necessary to initiate the environment analysis procedure so that the company knows how to manage everything. In the past few years, ADNOC has undertaken some marine biodiversity projects around the UAE. These marine coral reefs and mangroves are more common in the UAE and also hold a unique significance as a part of earth’s ecosystem. In order to sustain environment friendly products in the specific coastline, there are certain disciplined environment friendly rules and strategies which are implemented. The UAE has always been on the front end when it comes to unexpected climatic changes however these changes are quite negotiable which means ADNOC plays a very important role in supporting the policies which encourage the encountering of environmental risk factors in order to provide better and safe environment for everyone. With a rapid increase in the demand of energy products, ADNOC is taking every possible step to make sure they serve their customers right as it is an ethical responsibility to make sure the companies prioritize their customers. The changes in climate are not always friendly which require a proper planning in order to plan any further projects. A significant portion is donated by the ADNOC to certain education departments which do a proper research about the risk factors related to the changing environment and also deal with other domestic and foreign issues. In order to study the effect of their products on the environment, a detailed study of the warming effect of methane and nitrous oxide were observed. First of all their individual effect on the environment was studied and then their combined effect on the environment was analyzed. The majority of these emissions are in the form of fuel which is either a part of the factories or the fuel combustion combined. For future reference, the ADNOC is planning and working to increase the efficiency of the energy while reducing flaring and any other harmful emissions. Moreover, the research and development team is working together in order to make sure that they have better monitoring technologies to control the emissions. Each year an analysis is carried out. This analysis includes the effect of the petrochemical products on the land and water. The spill of these products holds the top priority while investigation. The first thing that needs to be done is outlining the procedure and all the primary equipment which are involved in the transportation and also the manufacturing of these products. ADNOC provides a crisis management training to their employees in case of any chaos or trouble caused by any of these product wastages or misuse as well. Water is really important for this industry and in order to make sure that there is enough water for everyone around they use the secondary sources instead of the major sources. The assessment of tradeoff is a really important factor in this particular scenario. Moreover, the company has an even better and organized pattern for the disposal of the waste products. Of course these products hold a very large proportion of harmful material which is why the best thing to do is dispose of the waste products at a particular place where there are no living bodies around in that area. The management of the waste disposal is actually a priority because it becomes an ethical duty of the company to make sure no one’s safety and health or privacy is being compromised because of them.

ADNOC has always been concerned about the social responsibility since the beginning of the company. ADNOC beliefs in empowering their people and the resources that are available for the company. The company deals at a higher level which means that there are not enough trained employees which are professionally suitable for the kind of jobs they offer. ADNOC has always focused on giving the right people the right job because they believe in perfection in everything they do in this company. It is both an ethical and business strategy to train the employees so that they are suitable for the jobs they are supposed to do. They believe in developing a long-term strategy for the training at the workplace. The training programs and viewed regularly and structured features are implemented for the employees. The most important issue is the relationship between the employee and the employers. ADNOC puts greater emphasis on maintaining good relations with the management and the employees. A proper strategy is applied to make sure that the employees get a suitable career development and not only that they also mention all the underlying problems which the employees deal both in their professional and personal life. Each year the performance review of the employees is comparatively better than the previous year’s performance. The nature of this petrochemical industry requires a high level of consistency and commitment at the work site which is why the company hires the professional very carefully and there is a whole procedure they have to follow. Another important element of this company is the management of the company and all the issues they deal with in the day to day dealings.

There have been certain cases where the management at the ADNOC needed the grievance for employee confidentiality purpose. There is a committee which has been specifically formulated to deal with human rights and security of the employees. This committee oversees all the issues related to the labor and the employees. ADNOC uses the UAE laws for Labor as a template to implement these laws in the company. The principles have been formulated to make true and fair decisions. These principles are also used during investment making decisions. The labor association in the company is also another important element which is used to practice all the ethical code and norms in order to avoid problems related to the Human rights department. To make sure that the employees have proper information about these human rights principles and issues they are currently providing training to the staff member as well. As an international organization, it becomes an utmost duty of the part of the organization to make sure everyone follows all the implied rules. Child labor is strictly prohibited in ADNOC. Moreover, if any of these human rights are violated the company makes sure that firmly takes a step to make sure nothing like that happens ever again on the part of the employee and the company. Other than that, ADNOC does not believe in hiring anyone who is underage or not legally allowed to work anywhere. According to the sustainability reports of the past 5 years, there was no evidence of any cases which involved human rights violation, child labor or forced underaged labor. Moreover, there is no racial discrimination allowed and a lot of people who belong to different sects, religion and identities work at ADNOC. The company provides security to their employees at work sites since there are a lot of harmful products which are used and are also produced. It is because of the support from the ADNOC that the armed forces of the UAE are able to receive the cargo on time and also without any damages. There were no claims of negligence from any clients which they have been dealing with for the past few years.

As the company has been hiring and firing too many employees in the past years due to professionalism issue and that there are not too many employees who are efficient enough to fit in the working environment the company is spending a considerable amount of money as an indirect expense on the training of these employees. They need to stick to the employee retention plans in order to avoid the high turnover rate and spending the same amount of money over and over again on the employee training. It is a known fact that if the company hires new employees more often the productivity of the company also slows down which is not what they want. They need to balance and compromise by adjusting the expectation they have from the employee as soon as he starts working since perfection can never be achieved overnight. Moreover, they should adjust the emigrant workers in their company as well. It will not only help in keeping migrant workers satisfied but also create the much-needed balance in the company.

The analysis of the sustainability reports of each year, ADNOC has a really good financial performance, the revenues generation and the profit generation has not really been an issue as ADNOC is considered as the backbone of the economy of the UAE however there are certain issues which can be a threat to the goodwill of the company. The company needs to focus more on the employee retention instead of spending money on the overheads and increasing their indirect expense. It can be referred as a management issue which the management department needs to review and make adjustments accordingly for future reference. Training and skills departments should not overlook migrants as they too require the same amount of effort and as it has been already mentioned, this is a much-needed adjustment in order to create balance in the company. ADNOC needs to make sure that they find a suitable man for the job so that the employees become an asset as they hope and not a liability of the company.


UAE made significant progress towards establishing its own environmental policies, Al Hamili. (2010, March 2). WAM – United Arab Emirates News Agency. Retrieved from

Arcadis Lands Major Adnoc Project Consultancy Contract. (2017, June 12). TradeArabia (Manama, Bahrain). Retrieved, from

Healthy Global Economy Pushing Up Energy Demand: ADNOC CEO. (2018, January 12). WAM – United Arab Emirates News Agency. Retrieved, from

ConocoPhillips and Abu Dhabi National Oil Company sign Shah gas field joint venture and field entry agreements. (2009, July 12). Mena Report. Retrieved, from

Adnoc Honoured for Humane Initiative. (2013, December 25). Khaleej Times (Dubai, United Arab Emirates). Retrieved, from

Abu Dhabi to Host International Conference on Corrosion of Oil and Gas Pipelines on Sunday. (2013, February 23). WAM – United Arab Emirates News Agency. Retrieved, from



Calculate Your Order

Standard price





Pop-up Message