I know some of these are old, but here goes.
(1) Dividend Cut after promising no dividend cut a month earlier
(2) Zero focus on all costs immediately after split. Yes, ancient history, but highlights how naive leadership was when they should have known better. This lack of common sense continues to this day.
(3) Exploration-all things. Would be fascinated to see the true value lost. Look up “train wreck” in the dictionary and there’s ConocoPhillips Exploration. The exact same team that wasted billions on worldwide Deepwater and said unconventionals are worthless are now pushing worldwide unconventionals.
(4) COS metric. Get ten economists in a room and you will get ten different answers on how to calculate this metric. Critical because inconsistency in the calculation results in bad decisions across-the-board.
(5) Layoffs. Should have been one-and-done after zero-basing. Instead, it’s become chronic, all credibility has been lost, and we are still vastly over-staffed. The value lost to employee morale is ginormous. Suggest leadership learns about something called “metric benchmarking” and then apply what’s clear to everyone.
(6) Executive Compensation. When stockholders vote “no”, you know you’re out of control. And the perks still roll on and on.
(7) Focus on things not “value-adding hydrocarbon production”. You know what I mean.
(8) Rewards and Recognition. It’s amazing to even cynical me that 7 years after the split, we still reward results rather than value creation. We still don’t fire (or even lay-off) folks for incompetence if they have a connected friend.
(9) Asset Portfolio Optimization. There’s no grand plan. Our acquisitions and dispositions are more along the lines of which king we want to recognize or penalize rather than anything like a true strategic plan analysis. Alaska is the new APLNG and Worldwide Unconventionals are The Shiny Next Thing. Yes, I’m aware of the pretty spreadsheets and resultant HotFire PowerPoint slides in Headquarters.
(10) CDQ. A crutch by management to justify decisions desired or already made in their hive minds, rather than look at true strategic alternatives. Uncertainty ranges are distribution-biased to give answers to favorite projects. Hey, have y’all read any of the books, there has to be a Lessons Learned feedback loop review process to highlight errors in ranges and learn from mistakes.
(11) Bureaucracy. Who could have imagined we would remain so bureaucratic, with points still awarded to the best speakers and presenters? Glib slides > common sense, logic, and accurate data
(12) HSE. Connected to #11. Still more passionate about metrics, paperwork, and rear-covering, rather than true improvement.
In summary, radical transformative change is needed, but we’ve gone month to month and little has changed since the split except we’ve all lost confident in our managing leaders.