Difference between revisions of "Greg Garland, CEO of Phillips 66"

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On August 27, 2013 Garland spoke to the Bartlesville Chamber of Commerce and said that the reputation and success of Phillips were built from the “giants” who first created the company and recognized E. W. Marland's contribution for the first time. “We are standing on the shoulders of giants,” said Garland. “People like E. W. Marland, who started Marland Oil in 1911, and Frank and L. E. Phillips that started Phillips Petroleum in 1917. I could go on and on and list the giants that have come before us that have so well positioned this company for the success that we enjoy today.”<ref>[http://examiner-enterprise.com/sections/news/local-news/phillips-66-ceo-praises-city.html Bartlesville Examiner-Enterprise. "Phillips 66 CEO praises city" by Kelcey King. August 28, 2008.]</ref>
 
On August 27, 2013 Garland spoke to the Bartlesville Chamber of Commerce and said that the reputation and success of Phillips were built from the “giants” who first created the company and recognized E. W. Marland's contribution for the first time. “We are standing on the shoulders of giants,” said Garland. “People like E. W. Marland, who started Marland Oil in 1911, and Frank and L. E. Phillips that started Phillips Petroleum in 1917. I could go on and on and list the giants that have come before us that have so well positioned this company for the success that we enjoy today.”<ref>[http://examiner-enterprise.com/sections/news/local-news/phillips-66-ceo-praises-city.html Bartlesville Examiner-Enterprise. "Phillips 66 CEO praises city" by Kelcey King. August 28, 2008.]</ref>
  
===Other Board Memberships===
+
==Other Board Memberships==
 
On October 16, 2013 Amgen Inc. announced the appointment of Garland to the Company's Board of Directors. Garland will serve on the Governance and Nominating Committee and the Audit Committee of the Board. "We are pleased to welcome Greg Garland to the Amgen Board," said Robert A. Bradway, Chairman and CEO of Amgen. "In addition to his leadership experiences as a chief executive officer, Greg brings more than 30 years of international experience in a highly regulated industry. At a time when Amgen is expanding its global presence to serve more patients, we look forward to Greg's contributions to the Board."<ref>[http://www.4-traders.com/INSYS-THERAPEUTICS-INC-13125138/news/Insys-Therapeutics-Inc--Stock-Price-Movements-Clinical-Study-Results-and-New-Appointments-Resea-17384283/ 4-traders. "Insys Therapeutics Inc : Stock Price Movements, Clinical Study Results, and New Appointments - Research Report on Pfizer, Gilead Sciences, Amgen, Celgene, and Insys Therapeutics" October 22, 2013.]</ref>
 
On October 16, 2013 Amgen Inc. announced the appointment of Garland to the Company's Board of Directors. Garland will serve on the Governance and Nominating Committee and the Audit Committee of the Board. "We are pleased to welcome Greg Garland to the Amgen Board," said Robert A. Bradway, Chairman and CEO of Amgen. "In addition to his leadership experiences as a chief executive officer, Greg brings more than 30 years of international experience in a highly regulated industry. At a time when Amgen is expanding its global presence to serve more patients, we look forward to Greg's contributions to the Board."<ref>[http://www.4-traders.com/INSYS-THERAPEUTICS-INC-13125138/news/Insys-Therapeutics-Inc--Stock-Price-Movements-Clinical-Study-Results-and-New-Appointments-Resea-17384283/ 4-traders. "Insys Therapeutics Inc : Stock Price Movements, Clinical Study Results, and New Appointments - Research Report on Pfizer, Gilead Sciences, Amgen, Celgene, and Insys Therapeutics" October 22, 2013.]</ref>
  

Revision as of 17:34, 20 October 2014

Greg Garland was designated the Chairman and CEO of Phillips 66, the new Downstream company created with the split-up of ConcoPhillips on May 1, 2012. Garland is expected to take charge on May 1, 2012. Greg Garland was senior vice president, Exploration and Production, Americas for ConocoPhillips at the time of the split. Photo: ConocoPhillips
A sculpture of Phillips 66 in front of the Price Tower (designed by Frank Lloyd Wright) in Bartlesville, a city in NorthEast Oklahoma that was formerly the headquarters of Phillips Petroleum Company. “I picked this company because of Bartlesville,” said Phillips 66 CEO Greg Garland. “Four times over the course of 32 years I’ve lived here. We have good memories of Bartlesville, Oklahoma, and it’s always going to be a very special place to me personally.” Bartlesville has the same pride in Frank Phillips and of its century-long oil heritage as Ponca City has of oil pioneer EW Marland.

Greg Garland, Chairman, President and CEO of Phillips 66

On October 7, 2011, Greg Garland was designated the Chairman and CEO of Phillips 66, the new Downstream company created with the split-up of ConcoPhillips on May 1, 2012. Greg Garland was senior vice president, Exploration and Production, Americas for ConocoPhillips at the time of the split. Garland was previously president and chief executive officer of Chevron Phillips, a joint venture between ConocoPhillips and Chevron, with approximately 5,000 employees that is one of the world’s top producers of olefins and polyolefins and a leading supplier of aromatics, alpha olefins, styrenics, specialty chemicals, piping, and proprietary plastics.[1][2]

According to George Pilko, founder of Pilko & Associates, a Houston- based company that advises chemical and energy companies on risk, Garland understands strategy, is a good leader and has a demeanor that makes him well liked by people who work for him. “He’s got a very effective, relaxed manner,” says Pilko. “Many CEOs are so hyper and wound tight, and Greg is always relaxed and in control.”[3]

Garland's Education and Background

Garland was the first in his family to go to college.[4] Garland received a Bachelor of Science degree in chemical engineering from Texas A&M University in 1980.

Garland has more than 30 years of industry experience in technical and executive leadership positions with ConocoPhillips, its predecessor Phillips Petroleum Company, and Chevron Phillips Chemical Company. Garland has been with Phillips for his entire 32-year career. Garland was previously president and chief executive officer of Chevron Phillips, a joint venture between ConocoPhillips and Chevron. Before his election to that position, Garland served Chevron Phillips as senior vice president, Planning & Specialty Chemicals.[5][6]

Garland served as general manager of Qatar/Middle East for Phillips, a position he assumed in 1997.[7] Garland said that taking the job in Qatar in 1997 to manage one of the first oil operations in the Middle East for Phillips was a turning point in his career. Garland says that although he didn’t want to take the job initially, he learned to view the company with a broad perspective.[8]

From 1995 to 1997, he served as general manager of natural gas liquids after serving as manager of planning and development in planning and technology. From 1992 to 1994, he was manager of the K-Resin® business unit. Garland began his career with Phillips in 1980 as a project engineer for the Plastics Technical Center. He later worked as a sales engineer for Phillips' plastics resins, business service manager for advanced materials, business development director, and olefins manager for chemicals.[9]

How Garland Was Selected for CEO of Phillips

By October 2010, CEO James Mulva was expected to retire within two years and wanted to establish a cabinet of possible successors. On October 7, 2010, ConocoPhillips announced a sweeping overhaul of its executive suite. The executive changes included the departure of the president and chief operating officer, John Carrig, and the chief financial officer, Sigmund Cornelius, as well as two senior level vice presidents. ConocoPhillips spokeswoman Cathy Cram said the changes are part of a plan to provide for a smooth transition in anticipation of Mulva’s retirement. “You can assume the next leader will come from this team,” Cram said. “They’ve been taking a lot of steps to position the company as well as they can for Mulva’s successor,” said Phil Weiss, an energy analyst with Argus Research who said he was pleased the company had lined up management with strong operations experience. “One of the biggest issues that many people believe Conoco faces is a somewhat lackluster production portfolio, as compared to other large integrated companies,” he said. “I was of the opinion that to have someone with an operating background would be better than somebody that doesn’t.”[10]

Tom Fowler reported in FuelFix on October 7, 2010 that the management team reporting to Mulva at the end of the shakeup consisted of:

  • Alan Hirshberg, senior vice president, planning & strategy; formerly vice president, worldwide deep-water and Africa projects, for Exxon Mobil;
  • Greg Garland, senior vice president, exploration and production-Americas; formerly president and CEO of Chevron Phillips Chemical Co;
  • Jeff Sheets, senior vice president, finance and chief financial officer; formerly senior vice president, commercial and planning and strategy;
  • Willie C.W. Chiang, senior vice president, refining, marketing & transportation, adding responsibility for the company’s commercial business activities;
  • Ryan Lance, senior vice president, exploration and production, international, and
  • Larry Archibald, senior vice president, exploration and business development, continuing in those roles.[11]

Tom Fowler reported in FuelFix on October 7, 2010 that since 2006 about a dozen executive-vice-president-level staff members moved on from ConocoPhillips, for a wide range of reasons and that a number of observers note there’s been an oversized churn of talented executives from ConocoPhillips who one might have expected to stick around longer. According to Fowler some observers think the turnover may have more to do with the command-and-control management style of Chairman and CEO Jim Mulva than the day-to-day stress of working at an oil major. “It sounds like the head coach firing all the assistant coaches for a bad season, when it’s really the head coach who’s the problem,” said one analyst. A former ConocoPhillips executive puts it another way: The company is seen by many as a major international corporation with an Oklahoma mentality (he’s referring to the Bartlesville, Okla. roots of Phillips Petroleum, where Mulva worked when the firm merged with Conoco in 2002). "The latest round of departures is to clear the way for a likely successor to Mulva, who is expected to leave in a couple of years," writes Fowler. "It appears outgoing COO John Carrig didn’t have the operations background the company wanted to fill that role."[12]

Brian Youngberg, an analyst with Edward Jones, says Garland's selection as CEO of Phillips was likely due to Garland's experience as chief executive officer of Chevron Phillips because he brings a wider view to Phillips including chemicals, the likely growth engine for the downstream company. Youngberg said Phillips will continue to de-emphasize refining over time, so "having someone with a broader background like Garland makes sense." ConocoPhillips brought in Garland in 2010 to oversee exploration and production in a management shake-up that included the retirement of former Chief Operating Officer John Carrig, who had been seen as Mulva's successor.[13]

Garland, who formerly headed Chevron Phillips Chemical, was selected to head the new company over Willy Chiang, senior vice president of ConocoPhillips' refining division.[14] Oxy reported on May 23, 2012 that Chiang left Phillips 66 and went to work as Executive Vice President, Operations at Occidental Petroleum Corporation with responsibility for oversight of Occidental’s Midstream businesses.[15] Kristen Hays wrote at Reuters on October 7, 2011 that according to Deutsche Bank analyst Paul Sankey "we believe that Chiang sees himself as a future CEO, and he would have to find that role in a different company."[16]

Bartlesville a Special Place for Garland

The Tulsa World reported on September 12, 2012 that Garland spoke on September 11, 2012 at a packed Bartlesville Area Chamber of Commerce Forum at the city's community center downtown carrying on a tradition started several years ago by his predecessor, ConocoPhillips CEO Jim Mulva. Garland was adamant that Bartlesville's value as a global web center, combined with its heritage as home city of the original Phillips Petroleum Co. always make it important to the company's future plans. "We have deep roots here," Garland said adding that he visits the company's local operations several times a year. "It's a cost-efficient place for us to do business. I think we made the right decision." Garland noted that office space is almost maxed out locally, so he does not see more than "modest growth" adding to the 2,000 jobs Phillips 66 already has in Bartlesville. Garland was recruited out of Texas A&M by Phillips and lived many years in Bartlesville with his wife and four children.[17]

The Bartlesville Examiner-Enterprise reported on September 12, 2012 that Garland went to work for Phillips 66 as his first job out of college because of Bartlesville. “I picked this company because of Bartlesville. Four times over the course of 32 years I’ve lived here. We have good memories of Bartlesville, Oklahoma, and it’s always going to be a very special place to me personally," said Garland. “As we were approaching the repositioning and spinning Phillips 66 out of ConocoPhillips, there was never any question that Bartlesville would continue to be a strategic and important part of our company, in the support of our company operations, for a very long time."[18]

Conoco the Only Company That Didn't Offer Garland a Job

In an anecdote that reveals Garland's humorous side and long memory, Garland told members of the Bartlesville Chamber of Commerce during his speech in September 2012 that when Garland was looking for his first job as a chemical engineer after graduating with honors from Texas A&M in 1980, Garland interviewed with 17 companies but only received job offers from 16 of the companies. More than thirty years later, Garland was still able to quote from memory to his Bartlesville audience the contents of the rejection letter he received from the only company that did not offer him a job. According to Jessica Miller writing in the Bartlesville Examiner-Enterprise, when Garland disclosed the name of the one company that did not offer him a job, "his revelation of the company — Conoco — garnered laughter from the audience."[19]

Garland Recognizes Contribution of E. W. Marland

ConocoPhillips announced on November 11, 2011 that the new independent downstream company created through its previously announced strategic repositioning would be named Phillips 66. When Phillips went public on May 1, 2012, Garland recognized the contribution of Frank and L.E. Phillips and the company's "birthplace" in Bartlesville, Oklahoma in 1917. "With a history that goes all the way back to petroleum industry "birthplace," in Bartlesville, Oklahoma in 1917, the company will be a leading independent company with refining, marketing, midstream and chemicals businesses operating across the globe. "Phillips 66 has strong brand recognition and value and it provides a link between our rich history and our exciting future," said Greg Garland, designated chairman and chief executive officer of Phillips 66. "Our name reflects an independent spirit and drive--two attributes of our future company."[20] According to the ConocoPhillips web site "the name Phillips 66 was chosen [for the new downstream company] because it has strong brand recognition and value, which allows us to link our rich history and our exciting future. The name represents the independent spirit and drive that will be part of the culture of Phillips 66."[21] The new company's name capitalizes on the public awareness and gives tribute to history, Garland added.[22]

On August 27, 2013 Garland spoke to the Bartlesville Chamber of Commerce and said that the reputation and success of Phillips were built from the “giants” who first created the company and recognized E. W. Marland's contribution for the first time. “We are standing on the shoulders of giants,” said Garland. “People like E. W. Marland, who started Marland Oil in 1911, and Frank and L. E. Phillips that started Phillips Petroleum in 1917. I could go on and on and list the giants that have come before us that have so well positioned this company for the success that we enjoy today.”[23]

Other Board Memberships

On October 16, 2013 Amgen Inc. announced the appointment of Garland to the Company's Board of Directors. Garland will serve on the Governance and Nominating Committee and the Audit Committee of the Board. "We are pleased to welcome Greg Garland to the Amgen Board," said Robert A. Bradway, Chairman and CEO of Amgen. "In addition to his leadership experiences as a chief executive officer, Greg brings more than 30 years of international experience in a highly regulated industry. At a time when Amgen is expanding its global presence to serve more patients, we look forward to Greg's contributions to the Board."[24]

Garland's Compensation as CEO of Phillips

Businessweek reports that as of the fiscal year 2012 Garland's Total Annual Calculated Compensation is $14,423,038 including his salary and stock options.[25]

Master Index for Phillips 66 Articles

References

  1. ConocoPhillips "Greg C. Garland" retrieved April 23, 2012.
  2. Chevron Phillips. "Company Overview" retrieved November 10, 2013.
  3. Businessweek. "Conoco Names CEOs for New Production, Refining Companies" by Jim Polson and Edward Klump. October 7, 2011.
  4. University of Colorado. "Greg Garland, Phillips 66 CEO, visits CU-Boulder" April 25, 2013.
  5. Barrons. "Wall Street Should Pump Up Phillips 66's P/E" by Andrew Bary. June 9, 2012.
  6. ConocoPhillips "Greg C. Garland" retrieved April 23, 2012.
  7. ConocoPhillips "Greg C. Garland" retrieved April 23, 2012.
  8. University of Colorado. "Greg Garland, Phillips 66 CEO, visits CU-Boulder" April 25, 2013.
  9. ConocoPhillips "Greg C. Garland" retrieved April 23, 2012.
  10. FuelFix. "Line of succession: ConocoPhillips overhauls its executive ranks" by Tom Flowler. October 7, 2011.
  11. FuelFix. "Line of succession: ConocoPhillips overhauls its executive ranks" by Tom Flowler. October 7, 2011.
  12. FuelFix. "ConocoPhillips keeps looking for Dream Team, but what about the coach?" by Tom Fowler. October 7, 2010.
  13. Reuters. "ConocoPhillips names insiders to head new units" October 7, 2013.
  14. Houston Chronicle. "ConocoPhillips split becomes official as company 'shrinks to grow'" by Simone Sebastian and Emily Pickrell. April 30, 2012.
  15. Oxy. "Occidental Petroleum Corporation Names WCW Chiang Executive Vice President, Operations" May 23, 2012.
  16. Reuters. "ConocoPhillips names insiders to head new units" October 7, 2011.
  17. Tulsa World. "Spinoff of Phillips 66 positive, profitable, CEO Greg Garland tells Bartlesville chamber" by Rod Walton. September 12, 2012.
  18. Bartlesville Examiner-Enterprise. "CEO: City strategic to Phillips 66" by Jessica Miller. September 13, 2012.
  19. Bartlesville Examiner-Enterprise. "CEO: City strategic to Phillips 66" by Jessica Miller. September 13, 2012.
  20. CSPNet. "Phillips 66 Rises Again" November 11, 2012.
  21. ConocoPhillips "FAQs:Why was the name Phillips 66 chosen?" retrieved April 26, 2012.
  22. Houston Chronicle. "Spun-off refiner gets Phillips 66 name" by Simone Sebastian. November 10, 2011.
  23. Bartlesville Examiner-Enterprise. "Phillips 66 CEO praises city" by Kelcey King. August 28, 2008.
  24. 4-traders. "Insys Therapeutics Inc : Stock Price Movements, Clinical Study Results, and New Appointments - Research Report on Pfizer, Gilead Sciences, Amgen, Celgene, and Insys Therapeutics" October 22, 2013.
  25. Businessweek. "Executive Profile - Greg C. Garland"

About the Author

Hugh Pickens

Hugh Pickens (Po-Hi '67) is a physicist who has explored for oil in the Amazon jungle, crossed the empty quarter of Saudi Arabia, and built satellite control stations for Goddard Space Flight Center all over the world. Retired in 1999, Pickens and his wife moved from Baltimore back to his hometown of Ponca City, Oklahoma in 2005 where he cultivates his square foot garden, mows nine acres of lawn, writes about local history and photographs events at the Poncan Theatre and Ponca Playhouse.

Since 2001 Pickens has edited and published “Peace Corps Online,” serving over one million monthly pageviews. His other writing includes contributing over 1,500 stories to “Slashdot: News for Nerds,” and articles for Wikipedia, “Ponca City, We Love You”, and Peace Corps Worldwide.

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