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An Effective Communication Plan - Babcock Marine - Coursework Example

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 This coursework "An Effective Communication Plan - Babcock Marine" discusses the determination of promotional objectives and marketing communication strategies along with promotional mix and utilizing the accessible resources. The coursework analyses effective communication tools…
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An Effective Communication Plan - Babcock Marine
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?Babcock Marine Table of Contents Introduction 3 2. Context Analysis 4 2 Market Context 4 2.2. Consumer Context 5 2.3. SWOT Analysis 5 2.4 Implications 7 3.Promotional Objectives 8 4.Marketing Communication Strategy 10 5.Promotional Mix 12 6.Resources 12 7.Schedule and Implementation 14 8.Evaluation and Control 14 9.Conclusion 15 References 17 Bibliography 21 1. Introduction Babcock Marine, a division of Babcock International Group PLC is regarded as one of the UK’s premier naval support contractors (Flowmaster Group, n.d.). The work responsibility of Babcock is classified under three major categories such as integrating engineering expertise, completing of projects along with conducting programmes and managing assets as well as infrastructures (Babcock International Group PLC, 2013). In the year 2012, the loss of power especially in Devenport Dockyard eventually called for the attention of the senior management team belonging to Babcock Marine in adopting certain effective measures to address and mitigate this issue. This is owing to the reason that the issue had potential nuclear implications in accordance with the report published by Ministry of Defence (MoD). According to certain nuclear analysts, the power loss which happened in the dockyard that continued for 90 minutes could become “catastrophic” and might prove to be disastrous for Babcock Marine. It can be apparently observed that the power loss was mainly caused due to the fault in central nuclear switchboard and thus, it was regarded as one of the potentially dangerous events that have been recorded in the year 2012 (BBC, 2013). In this respect, an effective communication plan will be depicted in the form of developing effective communication tools that require be strategically employing as well as managing in an effective manner. The key areas of the communication would generally comprise determination of promotional objectives and marketing communication strategies along with promotional mix and utilising the accessible resources. The expected outcomes of the above depicted communication plan can be eradicating the potential problems that would arise due to the power loss and assisting the senior management team of Babcock Marine to handle this issue or problem quite efficiently. 2. Context Analysis 2.1. Market Context Technology has been playing a significant role in remoulding of customer awareness and also to the companies in improving their competitive advantage. A global distribution network is quite essential for marine products or services in order to create a physical identity of those products in front of the consumers. The marine industries have highly been benefited from the competitive strengths prevailing in the UK business market. The UK market is famous for its popularity in maintaining quality and adoption of technical knowledge and skills. Thus, in relation to this scenario, Babcock Marine is having a huge significance in the field of acquiring huge volume of valuable customers. It is operating in the UK business market, wherein there pertains number of growth opportunities for Babcock. Since the past few years, there have been no change in the economic environment of the UK business market and the only left choices for the company can be viewed as elimination of services, reduction of outputs and seeking for applying different delivery models of the marine services. From a theoretical perspective, it can be apparently observed that the business of Babcock Marine expanded extensively throughout the region of the UK. This can be justified with reference to the fact that it employs nearly about 6,500 competent along with experienced workforce for performing its wide assortment of operational functions to the business markets where it operates (Stratton, n.d.). From the aforesaid study, it can be affirmed that the UK market was much favourable for Babcock Marine (Babcock International Group PLC, 2013). 2.2. Consumer Context The major consumers of Babcock Marine division generally include the Royal Navy of the UK and also the overseas customers belonging to Australia and New Zealand. Apart from these, the company possesses healthy relationship with the Royal Saudi Naval Force (Babcock International Group PLC, 2013). It has long been assisting the government of these countries with engineering and support services in the maintenance of assets and infrastructures. In the newer market scenario, Babcock Marine has been targeting the customers who pay utmost attention towards financial savings without the reduction of the outputs or the elimination of services. It has been successful in capturing those consumers who desires to avail proper value of support services along with developing the availability of assets and infrastructures. Looking into these needs of the customers, Babcock Marine has been able to move its operation from support services to special engineering support, so that they can extract greater level of financial profits and also raise the efficiency in the operational activities (Babcock International Group PLC, 2013). Theoretically, it can be apparently observed in the consumer context that the marine division of Babcock mainly rely upon a seamless third party association named Bureau Veritas in order to offer quality services to the customers belonging to China, UK and other regions of the world (Bureau Veritas, No Date). 2.3. SWOT Analysis 2.3.1 Strengths The major strength possessed by Babcock Marine is the naval support services that it provides to the customers and due to this, it has been able to occupy a significant position in the UK business market. It has also been successful to gain valuable customers such as the Royal Navy of the UK and also range of overseas customers across the globe (Babcock International Group PLC, 2012). 2.3.2 Weaknesses Babcock Marine has been successful in all of its businesses and services that it is providing to the customers throughout the globe. However, it experienced a rapid fall in one of its business of railways. This business suffered a huge loss due to high expenses of travelling and additional costs that are incurred for manufacturing (Muspratt, 2007). The incident concerning loss of power might affect the business reputation of the marine division of Babcock by a considerable extent, which can be duly considered as one of its prime weaknesses (BBC, 2013). 2.3.3 Opportunities Babcock Marine has got an opportunity of further growth and development in its business in the UK market. Due to its brand image and the services that it provides, Babcock Marine has been able to expand its business and developed a dominant position in the global market. The new outsourcing opportunities would certainly help it to attain further growth. It also believes that the wide range of services provide noteworthy opportunities for creation of middle and long-term relations with other countries of the world (Babcock International Group PLC, 2011). 2.3.4 Threats The major threat that Babcock Marine is facing in the present scenario is the risk of new entrants, who possesses the capacity of acquiring the UK along with other nation’s business market. There are several companies relating to Babcock Marine that are taking initiatives in setting up advanced infrastructures for providing quality support services and also preserving the marine products or services effectively (UK Marine Industries, 2011). Moreover, the increased level of inspecting the quality related concerns as well as aspects after the occurrence of the problem i.e. loss of power at Devenport dockyard ultimately raised potential threats to the marine division of Babcock at large (BBC, 2013). 2.4 Implications From the above analysis, which demonstrates the services that render by Babcock Marine and the potentiality of the UK business market, it can be apparently observed that it has been able attain considerable growth in the respective industry. It can also be viewed that the Babcock Marine has become quite successful in serving its customers with immense benefits and quality services. For the deliverance of its services in the UK business market, the company has been able to gain a wider customer base such as the Royal Navy of the UK. Devonport Dockyard is the other newly gained project of Babcock Marine, wherein the incident of power failure occurred and made the company to employ effective marketing communication strategies. It can be viewed that the power loss, which occurred in Devenport dockyard had “potential nuclear implications” and most vitally could prove to be quite ‘catastrophic’ (BCC, 2013). Two of the prime implications of this particular problem can be stated as affecting the business reputation of the marine division of Babcock and also raising questions about the quality services that it used to provide to the customers worldwide. In the similar year of the incident, the marine division of Babcock was issued a notice regarding the enhancement in its quality aspect, which eventually raised the incident of power failure. This eventually urged the top management of the marine division of Babcock to adopt certain significant policies in order to handle this situation quite effectively and gain the satisfaction level of the customers towards accessing its broad array of diverse services (BCC, 2013). 3. Promotional Objectives The promotional objectives of Babcock Marine, in lieu of the problems it is facing in its recent operations in the Devonport Royal Dockyard, principally concentrates on the social responsibilities that the company owes to its stakeholders, including its customers, employees, common publics and governmental bodies among others. The accusations that company’s own functioning rules and safety regulations were reportedly being neglected are quite likely to impose severe impacts on Babcock Marine’s sustainability, not only in the short-run but also in the long-run (BBC, 2013). Taking into account the seriousness of the issue, it is suggestible that the company considers implementing immediate promotional strategies in response to the stakeholders’ concern for dockyard power loss and its nuclear implications. Accordingly, the below mentioned SMART objectives can be regarded as suitable for the company to overcome the crisis situation. Specific - The communication strategies to be adopted by Babcock Marine in response to the power loss in its Devonport Royal Dockyard, thereafter raising serious nuclear implications, will aim at: Carefully recording the concerns and viewpoints of the stakeholders Comprehensively informing the stakeholders about the causes of the power loss with integrity, based on the company’s immediate investigation Informing the stakeholders in a precise, but at the same time, in a detailed and rationalised manner regarding the coping strategies to be taken by the company, both immediately as well as in the long-run Applicable legal codes and provisions must also be duly referred with reference to the coping strategies to be implemented by the company, along with its budgetary planning to recover from the crisis situation Developing and circulating special interim stakeholders’ reports (as a part of its Corporate Social Responsibility report) and through social media in order to convey the above mentioned information to its stakeholders with efficiency Measurable – The accomplishment and effectiveness the set objectives can be measured by Babcock Marine on the basis of increasing stakeholders support. To be noted, the objectives are not quantifiable in nature, as these are mainly concerned with enhancing the sustainability of the company by obtaining a greater degree of stakeholder support after facing hindrances from the recent power loss event; rather than scoring profits or economic benefits. Thus, noteworthy indications of the accomplishment of the aforesaid objectives can be measured on the grounds of the company’s functional compliance with its operational rules and safety regulations, its adherence to the governmental regimes and its development of public relations in the local community. Attainable – The objectives will be divided in two scales, i.e. a short-term scale for 6 months to 1 year and a mid-term scale for 3 years. In the short-term scale, the main goal will be concentrated on boosting stakeholders’ confidence on the company functions by keeping them informed about the legal compliance and the recovery strategies adopted by Babcock Marine through the publication of two interim stakeholders’ reports. In the mid-term, the company management will strive towards complying with its operational rules as well as enriching its safety regulations, with proper uses of its resources. Relevance – With the accomplishment of these objectives, it is expected that the company will not only be able to boost its stakeholders’ confidence but also enrich its sustainability practices with due significance toward public relations. Time bound – The effectiveness of the strategies applied is expected to be measurable from the completion of its 1st year of application. However, as the objectives are not quantifiable, continuous assessment of the resources in use and its worthiness to deliver the desired results will be mandatory to accomplish the goals within the expected time frame of maximum 3 years. 4. Marketing Communication Strategy Taking lessons from the 2010 oil spill massacre, which left British Petroleum in a crisis situation, it can be argued that implementation of both Integrated Market Communication (IMC) and Corporate Social Responsibility (CSR) strategies shall be beneficial for Babcock Marine in coping with its currently witnessed sustainability issue. As studied in Rogers (2012), taking the help of social media and company report publication sources already in use, British Petroleum was able to obtain an insight of its stakeholders’ reaction to the sustainability issue and likewise, inform them regarding the response strategies being practiced by the company to compensate the losses along with ensure safety in the long-run. Various studies conducted with focus on integrating the marketing communications system with the CSR strategies of modern companies have also revealed that both these initiatives if merged together can deliver credible benefits in assuring better public relations for the business (Illia & Balmer, 2012; Nielsen & Thomsen, 2012; Mark-Herbert & Schantz, 2007). Emphasising the similar notion, Ross (2008) revealed that renowned multinationals, such as Nike, Procter & Gamble, Unilever, Wal-Mart, Carrefour and few others have been benefitted with the application of both these managerial notions in alliance to help themselves recover from crisis situations. According to Rangan & et. al. (2012) and Bronn & Vrioni (2001), every company can obtain benefits by using these two strategic notions in alliance to rejuvenate its public relations competencies. Keeping into account these theoretical underpinnings, the below mentioned marketing communication strategies shall be followed by the company in recovering from its sustainability crisis situation. Developing a continuous interaction channel with publics through social media such as FaceBook, Twitter, Blogging and Forum discussion Encouraging employee-customer interaction through social media Connoting the reframed values and organisational mission statement in lieu of the power loss event in its interim sustainability reports Informing the stakeholders regarding the binding legal implications and the company rules in accordance with Babcock Marine’s responsibility of maintaining safety within its dockyard 5. Promotional Mix Advertising Advertising is widely considered to be a beneficial approach to promotional mix in obtaining trust and support from the customers, making them aware of the company functions in the most comprehensive and persuasive manner (Erdogan & Kitchen, 2008). As noted in Mangold & Faulds (2009), social media can be a strong advertisement channel to ensure greater effectiveness of the delivered information. In the case of Babcock Marine, as the information to be channelized relates to its CSR activities and responses to the power loss event and its possible nuclear implications, the social media can be deemed as a better option owing to the fact that it keeps a two-way interaction process. This is likely to assist the company to obtain feedbacks from the customers and gain their trust by assuring them for utmost safety in its functioning process (Mangold & Faulds, 2009). Public Relations (PR) Frankental (2001) affirmed that intervention of PR strategies in the CSR functions of a company can deliver it with desired outcomes in boosting stakeholders’ confidence. Likewise, Babcock Marine will also need to adopt specific PR strategies by way of publishing comprehensive sustainability reports, as interim stakeholder publications, entirely focused on the response strategies adopted by the company. 6. Resources Babcock Marine is regarded as the engineering support company, which comprises ?1.5 million annual capital since the year 2013. The allocation of the budget must be relevant to the resources required for the achievement of adopting along with implementing effective marketing communication related strategies. Thus, the allocation of the budget in accordance with the promotional objectives can be represented as depicted below. The above table represents the allocated budget for the different modes of promotion that Babcock can follow for creating customer awareness, which was quite hampered due to the incident of power loss in Davenport Dockyard. Although The Ministry of Defence (MOD) has given a clear statement that it was not their part of fault rather they had adopted all the safety measures required, its clients had lost their confidence and were back-stepping from availing its services (BBC, 2013). Therefore, in this situation, it can be affirmed that if the company allocates its budget in accordance with the above table, it can somehow overcome its problem and rebuild its image in front of its customers and stakeholders by a certain degree. 7. Schedule and Implementation The schedule along with the implementation of the above depicted budget has been provided in the following tabular representation. The above scheduling and implementation plan will certainly assist the company in determining the budget, which requires to be spending in respective modes of promoting its services. 8. Evaluation and Control The frequent monitoring of national along with international market can be duly considered as one of the better ways of building greater brand image of Babcock Marine. After the entire evaluation of the incident of power loss in Davenport Dockyard, it has been evaluated that Babcock has been facing the risk of losing its existing clients and the stakeholders as a negative effect of the loss caused by the power failure in the dockyard. As mentioned in the earlier section that the company can adopt digital and print media among others for promoting its services to the clients, it can also be recommended that the company must not spend its entire allocated budget in these two modes of promotion only (Buckingham, 2008). Instead of completely relying upon these two modes, the company can also allocate certain portion of its funds for spending in other modes of promotion such as newspapers and certain other sorts of visual communication tools. Specially mentioning, constant monitoring about the performance of marketing communication tools would be made in order to support Babcock to attain its predetermined business targets. Certain external agencies can be hired for the purpose of scrutinising along with assessing the marketing communication policies that must adopt by the company in order to attract its customers towards accessing its various services considerably. It can be affirmed that the above mentioned allocated budget is expected to yield a better result for Babcock and might also prove to be a decisive tool for the measurement of consumer interest and awareness regarding the development of its brand image. 9. Conclusion After the entire study of the marketing strategy and communication tools that Babcock can adopt, it can be affirmed that the company is striving harder for gaining back its significant position in national and international market and also to attain its desired organisational objectives. The market context of Babcock depicts that it has long been acquiring a vital position in the UK market and possess certain valuable customers such as the Royal Navy of the UK and few of the overseas clients belonging to Australia and New Zealand. Its major objective of conducting attractive promotional activity would be to regain the confidence of its stakeholders, which has been hampered due to the incident of power failure in Davenport Dockyard. As per the complexities caused due to the incident, the company can opt for implementing various promotional tools for the purpose of developing effective t relation with its employees and existing stakeholders. If Babcock desire to avail the opportunity of forming direct communication with its clients, it require to identify the core problems and make a move towards rebuilding confidence among them. After the implementation of all these strategies of promotion and advertising, the company can also opt for collecting valuable feedbacks from its clients regarding their activities carried for rebuilding the company’s brand image. Furthermore, it can be concluded that the feedbacks will certainly help the company to set the foundation for improvement of future advertising campaigns. In this regard, Babcock can attain success from the strategies that it has developed for generating greater customer awareness and developing its brand image. References Babcock International Group PLC, 2013. About Us. Working Diligently Behind the Scenes. [Online] Available at: http://www.babcockinternational.com/about-us/ [Accessed December 10, 2013]. Babcock International Group PLC, 2013. Babcock International Group PLC. Annual Report and Accounts 2013. [Online] Available at: http://www.babcockinternational.com/media/462758/babcock_ar_2013_final.pdf [Accessed December 10, 2013]. Babcock International Group PLC, 2012. Annual Report and Accounts 2012. Trusted to Deliver. [Online] Available at: http://www.babcockinternational.com/media/414637/babcockra_2012_for_website.pdf [Accessed December 10, 2013]. Babcock International Group PLC, 2011. Babcock International Group PLC Half Year Report. Overview. [Online] Available at: http://www.babcockinternational.com/media/133518/babcock_half_year_report_8_11_11_final.pdf [Accessed December 10, 2013]. BBC, 2013. Devonport Dockyard Loss Of Power 'Had Nuclear Implications'. 'Fukushima' Comparison. [Online] Available at: http://www.bbc.co.uk/news/uk-england-devon-24421402 [Accessed December 10, 2013]. Bureau Veritas, No Date. Babcock Marine Relies on Bureau Veritas for Seamless Quality Assurance Services in the UK and China for its 1000-Ton Goliath Crane. Home. [Online] Available at: http://www.bureauveritas.co.in/wps/wcm/connect/bv_com/group/home/clients/case-studies/marine/cs+-+babcock+marine?presentationtemplate=bv_master_v2/caseStudyItem_v2 [Accessed January 25, 2014]. Buckingham, D., 2008. Youth, Identity, and Digital Media. Massachusetts Institute of Technology. Bronn, P. S. & Vrioni, A. B., 2001. Corporate Social Responsibility and Cause-Related Marketing: An Overview. International Journal of Advertising, Vol. 20, pp. 207-222. Erdogan, B. Z. & Kitchen, P. J., No Date. Managerial Mindsets and the Symbiotic Relationship between Sponsorship and Advertising. MCB University Press. Flowmaster Group, No Date. Babcock Marine. Case Study. [Online] Available at: http://www.flowmaster.com/pdf/Flowmaster_Babcock_Marine.pdf [Accessed December 10, 2013]. Frankental, P., 2001. Corporate Social Responsibility – A PR Invention? Corporate Communications: An International Journal, Vol. 6, No. 1, pp. 18-23. Herbert, C. M. & Schantz, C. V., 2007. Communicating Corporate Social Responsibility – Brand Management. Electronic Journal of Business Ethics and Organization Studies, Vol. 12, No. 2, pp. 4-11. Illia, L. & Balmer, M. T., 2012. Corporate Communication and Corporate Marketing. International Journal, Vol. 17, N0. 4, pp. 415-433. Muspratt, C., 2007. Babcock Warns of Weakness in Rail Business. The Telegraph. [Online] Available at: http://www.telegraph.co.uk/finance/markets/2812026/Babcock-warns-of-weakness-in-rail-business.html [Accessed December 10, 2013]. Mangold, W. G. & Faulds, D. J., 2009. Social Media: The New Hybrid Element of the Promotion Mix. Business Horizons, Vol. 52, pp. 357-365. Nielsen, A. E. & Thomsen, C., 2012. Corporate Social Responsibility (CSR) Management and Marketing Communication: Research Streams and Themes. Journal of Language and Communication in Business, pp. 49-65. Ross, S. M., 2008. Corporate Social Responsibility Marketing Communications Of American And Western European Multinational Enterprises: A Longitudinal Study Of Stakeholder Engagement. Introduction. [Online] Available at: http://www.srossmktg.com/SMRTHESIS.pdf [Accessed January 25, 2014]. Rangan, K. & et. al., 2012. Why Every Company Needs a CSR Strategy and How to Build It. Harvard Business School, pp. 1-31. Rogers, K., 2012. British Petroleum’s Use of Image Restoration Strategy on Social Media and Response After the 2010 Gulf Oil Spill. Open Access Thesis, pp. 1-61. Stratton, J., No Date. Babcock International Group: Context. Presentations. [Online] Available at: http://www.nato.int/structur/ac/135/codif_forum_2011/Presentations/JohnStratton-9NOV2011-IndustryandDefenceWorkingTogether.pdf [Accessed January 25, 2014]. UK Marine Industries, 2011. A Strategy for Growth for the UK Marine Industries. Global Excellence and Innovation. [Online] Available at: http://www.ukmarinealliance.com/sites/default/files/cms/SEN24125%20Marine%20Strategy%2040pp.pdf [Accessed December 10, 2013]. Bibliography Babcock International Group PLC, 2012. Socio Economic Impact Study. Overview. [Online] Available at: http://www.publications.parliament.uk/pa/cm201213/cmselect/cmscotaf/writev/ref-old/m13supp2.pdf [Accessed December 10, 2013]. The Scottish Government, 2008. Babcock Marine. National Planning Framework 2: Discussion Draft Rosyth International Container Terminal Response Reference 00014. [Online] Available at: http://www.scotland.gov.uk/Resource/Doc/212607/0087869.pdf [Accessed December 10, 2013]. Read More
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