Page 15 - Annual Report 2020

1.4.4 Our Operating Model 1

Our Operating Model

Assets Strategic Report

Minerals Australia Minerals Americas Petroleum Governance at BHP
Iron ore, copper, nickel, coal Copper, potash, iron ore, coal Petroleum
Operated assets Operated assets Non-operated assets Operated assets Non-operated assets
Western Australia Iron Ore Escondida Samarco Shenzi Atlantis
Olympic Dam Pampa Norte Antamina Angostura Mad Dog
Nickel West Jansen Cerrejón Pyrenees Bass Strait
Queensland Coal (BMA and BMC) Macedon North West Shelf
New South Wales Energy Coal Remuneration Report

Commercial
Functions
Centres of Excellence
Leadership

Our Operating Model allows us to leverage integrated systems and technology, replicate expertise and apply high standards Directors’ Report
of governance and transparency. It includes:

Assets Assets are a set of one or more geographically proximate operations (including open-cut and underground
mines, and onshore and offshore oil and gas production and processing facilities). We produce commodities
through these assets. Our operated assets are wholly owned and operated by BHP or owned as a joint
venture and operated by BHP. We also hold interests in assets that are owned as a joint venture but are not
operated by BHP.
Asset groups We group most of our assets into geographic regions (Minerals Australia and Minerals Americas), while our oil
and gas assets are considered one global asset group (Petroleum).
Commercial Our Commercial function optimises value creation and minimises supply chain costs. It is organised around Financial Statements
our core value chain activities – Sales and Marketing; Maritime and Supply Chain Excellence; Procurement;
Warehousing Inventory and Logistics and Property; and Market Analysis and Economics.

Centres of We have Centres of Excellence in the disciplines of maintenance and engineering, resource engineering,
Excellence projects and geoscience to develop organisational capability and best practice.
Functions Functions support all areas of BHP and have accountabilities and expertise in finance, legal, governance,
technology, human resources, corporate affairs, health, safety, environment and community.

Leadership Our Executive Leadership Team (ELT) is responsible for the day-to-day management of the Group and leads
the delivery of our strategic objectives. Additional information

Shareholder information

BHP Annual Report 2020 13