
%0 Journal Article
%A Evans, R.M. 
%A Thompson, D.M. 
%T STRATEGIC APPLICATIONS OF LIFE CYCLE COSTING: OPERATIONS BUSINESS PLANNING
%J The APPEA Journal
%D 1998/06/30
%V 38
%N 1
%P 500-507
%K 
%R https://doi.org/10.1071/AJ97025
%U https://www.publish.csiro.au/paper/AJ97025 
%X This paper briefly examines the business environment and challenges facing the Upstream (E&P) Sector. It suggests that operational phase risks, which undermine a venture&apos;s economic success, have traditionally been understated and inadequately defined. This, in turn, has tended to shape a (reactive) problem solving culture vis-vis a (proactive) management of risk culture in the Industry. Failures of ventures to deliver the expected return on the capital investment have been an unwelcome result.Operations Business Planning (OBP) is a technique which encourages the venture to move into proactive modus operandi. It achieves this through systematically integrating a venture&apos;s assets, activities, resources, costs and employee knowledge into a practical dynamic model. This model can be used to constantly challenge the acceptability of the venture&apos;s performance and to proactively re-shape its strategies and tactics to successfully exploit the varying business climates it faces in its life.Examples are cited to demonstrate the success of OBP&apos;s application and the benefits achieved. 
