Management Accounting The Oil and Gas Industry

The UK oil and Gas industry is extensively established and provides a large percentage of the primary energy used in the country. Specifically, according to the Energy and Climate Change Committee (2011, p. 35), the oil and Gas industry provides the UK with 75% of its primary energy. As such, that the industry influences almost all sectors of existence within the UK is an acknowledged fact. Different oil and Gas companies in the UK form a part of the broad industry. These companies concentrate on drilling oil and the production of gas and oil/gas related products. Like any other company, the major goal is the maximization of profits, continued development, and the attainment of numerous other organizational objectives.
Among the well-established oil and gas companies in the UK is the YJ Oil and Gas Company. The company deals with drilling work, production of oil and gas related products, and other services. Throughout all the processes, the management of the Company must ensure the prioritization, analysis, and evaluation of issues that face the YJ board. As a management accountant in the organization, a focus on the identification of the different issues that face the company is important (Chartered Institute of Management Accountants, 2014, p. 6). This forms a basis for the determination of the impacts of the processes involved in the exploration and production of different products for distribution and sale by the Company. Most of the processes and actions were taken by the management and the workforce have a direct influence on the development of the YJ Oil and Gas Company. The Department of Management Accounting in the Company can apply the priorities, the analysis, and the evaluation of the aspects of exploration and production in the development of accurate financial, accounting, and management reports. These reports are used making short-term decisions, which in this case will be offered as recommendations throughout the YJ Oil and Gas