Justin Burkholder

Tom Frantzen

Jeff Nocella

Robert Shoyer

ExxonA broad perspective•Who?

•World’s largest publicly traded international oil and gas company

•What?•Uses innovation and technology to deliver energy to a growing world: Exploration, Development, Production, Natural Gas & Power marketing etc…

•How?•Operate ethically, safely and with the future in mind: i.e. Operations Integrity Management Systems (OIMS)

•Where?•Operate, explore for oil and natural gas, or market products on 6 continents.

Company Financials

• Ranked as #1 Fortune 500 company

(May, 2009)

• Exxon mobil increased its NI by >80% in just 4 years (2004-2008).

• Price per share: 2007- $93 vs. 2008- $79

• Economic Crisis has decreased cash available for investment

• Exxon's intangible worth

Emerging Technologies

Seismic mapping – best to date 3D technology that can make detailed drawings of the world’s oil and gas reservoirs.

remote reservoir resistivity mapping(R3M) using low-frequency electromagnetic waves, it can remotely map undersea oil and gas reservoirs.

directional drilling - wells can be horizontally drilled starting miles away from the product they are drilling for.

Continued…

unconventional resources – energyresources such as tight gas, heavy oil andoil sands.

enhanced oil recovery – improvedtechnologies such as injecting liquids ornatural gas into a reservoir or even reversethe natural decline of a producing field.

What sets Exxon apart and gives them a competitive advantage

• Deepwater Drilling– Exxon can drill for offshore oil and gas deposits in

water depths that were not possible a generation ago.

– Over the last 5 years, this technology has added an average of 3.1 billion oil-equivalent barrels to the resource base per year.

• Better planning and decision making for company as a whole

• More information to make decisions on

• Effective communications

• Ultimately maximizing profitability

Technologies and Potential Impact on Exxon Mobil

Technologies and Potential Impact on Exxon Mobil (cont.)

• High quality value of information through new technology

• Strong global relationships/communication to insure management of all systems correctly

Technologies and Potential Impact on Exxon Mobil (cont.)

• Keeping up to date technologies helps for EM to focus on Customer Resource Management– Reporting Tech.– Analysis Tech.– Predicting Tech.

• Supply Chain Management

Porter’s Five ForcesSupplier Power

- Countries do have the power to deny ExxonMobil their oil resource

- ExxonMobil reduces this threat by:- Creating value for that supplier

- Ability to process and manufacture the oil into products for the supplier.

- Creating strong customer relations

Porter’s Five Forces Buyer Power

- Low Buyer Power due to high demand of gasoline

- Good Buyer Relations

Porter’s Five Forces Barriers of Entry

- Low threat of new rivals- Globally located for oil resource- Very good global business processes

- Cost of Entry is Large- Costs would be enormous to start a

successful new oil company

Porter’s Five Forces Threat of Substitute Products

- Low Threat- No viable alternatives- Research funding is low

- ExxonMobil is on the forefront of substitute product research- Ethanol

Porter’s Five Forces Rivalry

- Global Leader- Value In-House Research- Global Centralized Business Processes