External Business Environment Analysis - Urenco Group & Northern



Two companies has been selected and evaluated for accessing and understanding their business environment. Company from Public sector is Urenco Group which is nuclear fuel company working under government and Northern has been selected from private sector which is operating privately in different countries for exploration of Oil and gas. Brief introduction to the companies is as follow.

Urenco Group (Public Company)

Urenco Groupis a nuclear fuel company which is operating manyuranium enrichment. It is working in United Kingdom, Germany, Netherlands and United States. It has supplied nuclear power station to about 15 countries in the world. According to them they had 29% share in global market during 2011. Urenco is using technology of centrifuge enrichment.

Northern Petroleum (Private Company)

Northern Petroleum Plc is Oil and gas exploration company based in United Kingdom. It works for exploration, development and production of oil and gas reservoirs. Sites of its main activity are located in UK, Italy, Netherlands and Guyane. Company has more than 50 licenses. Northern ahs two oil producing and six gas producing fields and its numerous projects are running for new exploration.

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Learning Outcome 1

Task 1: Purpose of Organization

Mission: As Northern is transforming its main focus is to maximise the shareholder values. Their mission is to focus on both sides of the exploration and oil production.

Vision: Vision of Northern is to pay full regard for safety and health and to respect their neighbours.

Objectives: Main aim of Northren is to keep the environment unchanged and accountability and integrity in all of their operations.

Market Share: Market share of Northren have fall during last year.

Ethical Issues: Northren is operting in transparent and responsible manner and this responsibility is main factor in achievements of their business.They are not only working according to the Govern,ent laws and company policied but also pay high value to neighbour communities and environment.

Mission: Mission of Urenco is to enrich the future by development of their nuclear products globally and technology and services to support nuclear energy sustainability.

Vision: To meet the future demand of sustainable nuclear energy.

Objectives: Unerco is aimed to dedicate its stakeholders with measureable mean where possible. They are also focused on safety of their employees, community and environment.

Market Share: Market share of Unerco has increased from 15% (200 million euro) to 25% (200 million euro) from 2002 to 2006.

Ethical Issues: Its the commitment of UNERCO to enrich the future with providing it energy. They have taken many initiatives for support and development of their peoples and communities in which they operate.

Task 2: Stakeholders

Employees: URENCO has provided their employees with upgraded intranet for easier communication and collaborative work. They have plans to run updated campaigns for value of their employees. URENCO is also communicating with families of their workers by Family science Days. They also run group wide survey for their employees.

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·Investors: ·URENCO is updating its investors about the work of organization through emails. They are also working more on social media channels to be in contact with their investors.

Customers: ·URENCO is providing brochure for their customers to have a detailed look in their work. They have also provided mobile version of their website and they are also communicating to customers through Twitter and Facebook. They have Plans to update their corporate brochure and to do further improvements to their website for more easier and efficient communication with customers.

Government: ·Key points showing the engagement of URENCO with government are:

  • Continuous dialogues withUK, EU and US consultations to encourage support and investment in nuclear
  • Detain in conversion with URENCO’s stated policies, goals and public positions
  • Further information and education on the nuclear industry through external communications
  • Key exhibitions and trade visits to new markets
  • Royal visit toAlmelo and the opening of a new cascade hall

Community: They are providing donations and sponsorships for improvements and development of community. They also have stakeholder dialogue sessions to update and inform on key initiatives at facilities. URENCO is also engaged with its community through two way dialogues. In future they have plans to increase their charity funds.

Task 3: Responsibilities of Organization

Health and Safety Legislation:

URENCO is committed to the safety and well being of its employees, neighbours, customers and the environment within which they operate. By safeguarding these key elements they hope to also ensure their future business development. Health and safety is important to the operation of their business. Company health and safety policies are delivered to every employee, with ongoing safety initiatives and training provided. Operationally, the focus is on continuous improvement of health and safety, which covers production, procedures for waste management, plant emissions and energy usage. The Group monitors the number of incidents (lost time incidents) that occur and which lead to employees being unable to work for one day or more.

Environmental Legislation:

URENCO aims to be at the forefront of environmental performance in the industry. Through continual improvement, they are attempting by employing efforts to reduce the impact of their activities on the health and safety of employees, contractors, members of the public and on the environment. As a minimum, URENCO complies with all relevant legislation on the environment, with conditions imposed by licences, authorisations and consents and with other pertinent standards and guidelines. Where reasonably practicable, URENCO applies ‘best practice’ standards with respect to environmental matters.

Legal Responsibilities URENCOunderstands that it cannot act in isolation of itslocal community. URENCO must take responsibility for the outcome of its operations by understanding how it impacts on neighbouring communities and how it can make a positive contribution. URENCO works hard at building strong relations with thecommunitiesin which it operates. Recognising that each locality has a diverse cultural mix, support varies fromcharitable donationsto providingeducational supportto localschools and colleges.

Employee Legislation

At all stages of Urenco’s relationship with employees, from pre-employment, during employment and post-employment, Urenco strives to ensure that their people are dealt with openly and fairly. Urenco respects the rules and regulations at all of its international sites in terms of works councils and trade union recognition.

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Learning Outcome 2:

Task 1: Economic Systems

Command Systems:

Free Enterprise System:

Mixed System:

Transitional System:

Task 2: Impact of Fiscal and Monetary Policies

Task 3: Impact of Competition Policy

Competition Act 1998:

Enterprise Act 2002:

Learning Outcome 3:

Task 1: Role of Market Structure

Perfect Competition:




Task 2: Impact of Market Forces

Supply and Demand:

Research and Development:

Economies of Sale:

Labor Market Trends:

Task 3:Impact of Business and Cultural Environments

Supporting arts and culture is an important part of social responsibility. Urenco supports cultural projects at both a local and

national level. Urenco sponsors classical concerts and performances in the Almelo community. Gronau’s famous Jazz Festival has

gone from strength to strength, helped by Urenco’s continued support over the past 17 years. The long running association between

Urenco’s site at Capenhurst and the Liverpool Philharmonic Orchestra continued in 2006. Another example of the site’s link with the

arts is its involvement in a number of Shakespeare events for school children at a local theatre. Urenco is committed to supporting

a broad educational and cultural experience for local school children.

At a Group level Urenco’s commitment to national culture and the arts is demonstrated through the Company’s sponsorship of,

for example, The National Portrait Gallery and the Royal Opera House. Through such financial support Urenco ensures that it allows

access for stakeholders to cultural events and preserves the national heritage for future generations to enjoy. In the future, Urenco

will consider other sponsorship and corporate partnerships with national heritage and cultural bodies. Learning Outcome 4:

Task 1: Effect of International Trade

Task 2: Impact of Global Factors

Market Opportunities:

Global Growth:


World Trade Organization (WTO):

Task 3: Impact of European Union Policies

Competition Policy:

Environmental Policy:

Employment Policy:

Trade Policy: