Recruiting & Workforce Strategies in the Oilfield
 

Recruiting & Workforce Strategies in the Oilfield

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UpstartLIVE hosted an ​innovative ​Oil ​& ​Gas ​Breakfast ​Forum ​focused ​exclusively ​on ​workforce ​management, ​HR, ​and ​recruiting ​strategies ​& ​solutions ...

UpstartLIVE hosted an ​innovative ​Oil ​& ​Gas ​Breakfast ​Forum ​focused ​exclusively ​on ​workforce ​management, ​HR, ​and ​recruiting ​strategies ​& ​solutions ​from ​Oil ​& ​Gas ​industry ​experts. From ​Recruiting ​to ​Retention, ​Training ​& ​Development, ​to ​Knowledge ​Transfer ​and ​Workforce ​Management, ​the ​challenges ​and ​solutions ​are ​numerous ​and ​growing ​each ​day. The forum provided real ​insight ​on ​how ​these ​issues ​are ​being ​conquered ​in ​a ​real-world ​setting ​with ​sharing ​of ​actual ​results, ​savings, ​and ​efficiencies.

Speakers & Topics:

"Recruiting Challenges, Trends and Outlook from the Front Lines of the Global War for Oil & Gas Talent" - David Lee, Rigzone

"Creating HR & Workforce Management Harmony" - Tina Kutach, Wood Group Mustang

"The Path to Workforce 2020" - Georgia Karabatsos, Buckeye Partners

This ​Forum ​was ​presented ​by ​UPSTART ​360 ​– ​the ​leading ​media ​resource ​exclusively ​for ​the ​Oil ​& ​Gas ​Recruiting, ​HR ​& ​Workforce ​community. ​ ​Unbiased, ​highly ​focused, ​and ​vital ​news ​& ​information ​are ​provided ​to ​you ​by ​our ​team ​of ​editors ​each ​day ​in ​our ​newsletters, ​websites ​and ​live ​events.

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  • If pace continues, it will be 27,700 jobs added this year – that’s slightly down from last year’s 30K+ jobs
  • In August – it’s now more than 500,000 visitors per month to Rigzone – and that’s before the mobile apps launched.
  • These values drive all our decisions. People is at the center because we are People Oriented Project Driven First 72 hours (young employees)Red Carpet enables us to immerse new hires into our culture BEFORE day 1 and beyond
  • Quick story of Mustang. Maybe tell the fun size snicker bar story, early proposal for Metro included the slogan Mustang will satisify you and brought full size and fun size for the pregnant member of the client team and to show their needs and be on the same side of the negotiating table. The rest is history is our company candy.Today our business units with Oil Sands being our 6th and newest.
  • How many times each guy had to “write his name”Internal running joke about paper paperpaper and copies of copies of copiesNew Hire Orientation took half a day (45 minutes just for paper– waste of BILLABLE TIME)
  • Tell the story about field services and pipeline new hires/rehires 30 - 50 people in a walmart parking lot – we have to accommodate what the business dictates and needs
  • We are a company of “Exceptions to the rule” Project Driven = Support Groups like HR need to stay flexible, requested on site visit with RC project team to connect and form partnership.Team in conference for 3 days, mapped out all onboarding processes and a result of this was 23 forms totally 86 pieces of paper went to 7 electronic smart forms.
  • As part of our decisions to implement any new systems we started looking at the day to day transactions that were going thru my team.In excess of 86k transactions
  • My team consists of 13 that crosses the prior slide of 86k transacations as well as supports the HRIS systems and initiatives.
  • RC’s culture & values “fit” with Mustang’s culture & values, especially around the partner. A lot of systems out there offering the same projects, you need to find the right one for you and your teams.Enhance our on boarding experioendDirect connection to HRIS and Electronic file roomPrepared for Glboalization and Integrations & mergers ! Stop and take a second to talk through how RC helps you with merger/acquistions to mass onboarding.
  • Took 1st year to settle into new system and allow team to transition into their new role of paper pusher to watching dashboards and interfaces.Then partnered with a dedicated adminstrator to help support the remainder intiatives of Global roll out workflows etcetc
  • Data feed to HR database is a powerful toolInvest up front in identifying fields that will feedBuild forms based on the HR database fields up front

Recruiting & Workforce Strategies in the Oilfield Recruiting & Workforce Strategies in the Oilfield Presentation Transcript

  • Welcome… An UPSTARTLIVE breakfast forum Sponsored by
  • Congratulations on your important and dynamic role. The market you serve may not always appreciate all that you do, but we are aware of the great effort that you make for the benefit of your company and your employees in the oil and gas industry. We hope you are pleased to have your own brand and resource. We look forward to serving you!
  • News & Upcoming Events: A 2-Day Conference right here in Houston, Texas. FEBRUARY 25-26, 2014 Hot of the digital press: UPSTARTNOW Issue No.10 | Thursday, Nov. 7, 2013
  • Thank you to our sponsors…
  • An UPSTARTLIVE breakfast forum Speakers David Lee Vice President Americas Rigzone Tina Kutach Global HRIS Manager Wood Group Mustang Georgia Karabatsos Manager HRIS Buckeye Partners
  • Recruiting Challenges, Trends & Outlook from the Front Lines of the Global War for Oil & Gas Talent
  • Who is this guy? David Lee VP, Americas Rigzone • ~1 mm professionals visit Rigzone monthly, up 30% year/year • ~1.1 mm resumes globally • ~12 mm page views monthly • News & Content, Recruiting, Data and Advertising solutions
  • Today’s Agenda  Oil and Gas Employment Situation  Changing Workforce  Retention and Recruitment
  • Strong Hiring in Oil & Gas Change in U.S. Oil and Gas Employment 70,000 50,000 30,000 10,000 -10,000 -30,000 2013 YTD 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 -50,000 Source: Bureau of Labor Statistics: combined categories of oil and gas extraction and support activities for oil and gas operations (seasonally adjusted).
  • Significant Industry Employment Growth U.S. Workforce Support Activities for Oil and Gas Operations 300,500 December 2004 Oil and Gas Extraction 196,300 December 2004 20,000 professionals Source: Bureau of Labor Statistics; seasonally adjusted July 2013 data and December 2004 data
  • Management Growth Outstrips Production U.S. Workforce Production & Non Supervisory Employees 94% July 2013 December 2004 July 2013 December 2004 89% Management 25,000 professionals Source: Bureau of Labor Statistics; seasonally adjusted July 2013 data and December 2004 data combined categories of support activities for oil and gas operations and oil and gas extraction.
  • Growth in Female Colleagues, but at a Slower Pace Women in the Workforce December 2004 48,500 July 2013 83,600 19% 17% 15,000 professionals Source: Bureau of Labor Statistics; combined categories support services for oil and gas operations and oil and gas extraction.
  • Unprecedented Recovery Change in Oil and Gas Workforce Employment Economic Recoveries Index 1991 Recovery 2001 Recovery 2009 Recovery 150 125 100 75 Source: Bureau of Labor Statistics: combined categories of oil and gas extraction and support activities for oil and gas operations (seasonally adjusted) as indexed at 100 from NBER recession end March 1991, November 2001 and June 2009 respectively. 49 MO 47 MO 45 MO 43 MO 41 MO 39 MO 37 MO 35 MO 33 MO 31 MO 29 MO 27 MO 25 MO 23 MO 21 MO 19 MO 17 MO 15 MO 13 MO 11 MO 9 MO 7 MO 5 MO 3 MO 1 MO 50
  • Competition for Industry Talent % of U.S.-based Oil and Gas Professionals Receiving at least One Call from a Recruiter (in 2H 2012) Production 49% Maritime 50% Trades 51% Health, safety and environment (HSE) 51% Specialty services 52% Drilling 53% Engineering - general 57% Fabrication 63% Engineering - maintenance 63% Geosciences 67% Management/support 69% Engineering - petroleum 71% Well Completion 72% Engineering - design and construction 86% Source: Rigzone 2013 Retention Survey
  • Today’s Agenda  Oil and Gas Employment Situation  Changing Workforce  Recruitment and Retention
  • Engineering Talent Gap Degreed U.S. Engineers By Age 30% 25% 20% 15% 10% 5% 0% 20-24 25-29 30-34 35-39 Source: Society of Petroleum Engineers, January 2010 40-44 45-49 50-54 55-59 60-64 65+
  • Changing Workforce Largest deficit concentrated in mid-career population Many companies cannot find experienced professionals in their home countries (60% unfilled positions) 70% of national oil companies (NOCs), 60% of major international oil companies (IOCs), and 45% of independent companies acknowledged project delays due to staffing difficulties Recruiting of graduates recovering, but still deficit in North America and Middle East/Africa for new grads Source: Schlumberger Business Consulting Releases 2011 Oil & Gas HR Benchmark Survey.
  • Changing Workforce = Wisdom Gap? 1,200 Bachelors Degrees Awarded Petroleum Engineering (U.S. Universities) • "The operational side needs attention, rather than just always focusing on these engineering /college graduate positions," said Eric Roth, a drilling consultant. 800 • "The oilfield keeps building rigs without the right personnel to put on them, which causes performance to go down," said Keith Strickland, a rig worker from Merryfield, Louisiana. 400 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 0 SOURCE: U.S. Department of Education, National Center for Education Statistics, Higher Education General Information Survey (HEGIS); comments from Rigzone.com Great Crew Change Series http://tinyurl.com/7538wdu
  • Retaining Gen X & Navigating Gen Y Gen X oil workers are in danger of “burning out” Gen X employees are seeking better work/life balance and roles mentoring younger workers Gen Y is work oriented, constantly searching for development opportunities and ar 3 times more likely to change jobs in a year than those aged 45-54 Gen Y’s decline in tenure is not a lack of loyalty or work ethic, but rather a response to the changing tinmes Source: Schlumberger Business Consulting Releases 2011 Oil & Gas HR Benchmark Survey.
  • Today’s Agenda  Oil and Gas Employment Situation  Changing Workforce  Retention and Recruitment
  • Retention Strategies What would most persuade you to stay? Increased salary 46% More interesting or challenging assignments 13% Opportunity to work overseas 10% Promotion or new title 10% Higher or guaranteed retention bonus 5% Flexible work hours 3% High-level recognition 3% Employee stock options, restricted stock, etc. 2% Reimbursable education or training programs 2% Increased staff to help reduce workload 1% Source: Rigzone 2013 Retention Survey; US-based respondents only 7% selected other which is excluded from the chart.
  • Industry Trends Companies Promoting Faster Companies are Flexible (Parental leaves, flex plans, childcare options, parttime alternatives) Increasing Trend towards Supply Chain Management Principles in Recruitment HR Organizations Focusing on Speed and Agility in Recruitment Source: Schlumberger Business Consulting Releases 2011 Oil & Gas HR Benchmark Survey.
  • Aug-13 Jul-13 Jun-13 May-13 Apr-13 Mar-13 Feb-13 Jan-13 Dec-12 Nov-12 Oct-12 Sep-12 Recruiting Everywhere Mobile Visitors to Rigzone 25% 20% 15% 10% 5% 0%
  • Recruiting Everywhere Efficiently – Open Web Coming Note: Name and picture have been changed for public presentation purposes.
  • Q&A David Lee VP, Americas
  • vv 26
  • 27
  • Our Business: People Oriented…Project Driven Offshore Process Plants 1987: 3 Founders 2013: 4700 US + 3200 International Mustangers Industrial 28 Oil Sands Pipeline Automation & Control
  • Where We Started: A Transactional System 23 Forms for Every New Hire Poor New Hire Experience x Faxing to & from Offsite Locations 29 Staff “Pushing Papers”
  • Where we Needed Help Meeting Unique Business Needs Growth and Acquisitions Pipeline & Field Services Model 30
  • Our Need: An Innovative Solutions Consultant Mustang needed a hands-on and face-to-face approach to software implementation 31
  • Our Tasks Strategic and Transactional Activities RC Training: 3,996 Phone Change: 6,821 Terminations: Dept. Change: 1,900 Goodie Bags 2,399 2,044 Merit Increase: 3,595 Citadon Scans: 57,361 Conversions: 617 499 Birth Announcement: 67 32 Rehires: Anniversary Gifts: 4,738 Address Change: 3,071 New Hires: Employment Verification: Condolences: 1,900 499 126 Contact Change: 3,969 Domestic Assignments 97 Assignment Changes: 192
  • Our Team: HRIS Staff Providing Global Engagement Learning Mgmt Red Carpet Onboarding 33 Support Electronic File Room HRIS Talent Mgmt Expat Mgmt
  • Strategic Onboarding: Why Red Carpet? Integrations & Mergers Onboarding Experience Globalization Culture & Values Direct Feed to HRIS Electronic File Room 34 Faster Billability
  • Dedicated Administrator: A Truly Unique Partnership • The great partnership between Mustang and our reps with Red Carpet enables us to make additions/changes in our systems in the most efficient way possible • On site sessions • Very quick response time 35
  • Where we are Today: A Strategic System Stage is set for Great New Hire Experiences 7 Forms for Every New Hire x Staff Monitors Workflows & Provides Personal Support No more fax machine! 36 Global Onboarding
  • Current and Future Improvements NOW: E-Mail Blast Initiative 37 Extend & Standardize the Onboarding Experience FUTURE: Unique onboarding workflows in global offices
  • An Important Strategic Lesson Learned: Building Forms • Integrations/Interfaces 1. Data feed to HR database is a powerful tool 2. Invest up front in identifying fields that will feed 3. Build forms based on the HR database fields up front 38
  • Q&A vv 39
  • Workforce 2020 – HR’s Y2K October 17, 2013 © 2013 Appirio, Inc. - Confidential
  • Our Approach CUSTOMERS 41 TEAM © 2013 Appirio, Inc. - Confidential FUN
  • Buckeye Partners, L.P. 42 © 2013 Appirio, Inc. - Confidential
  • What do you mean Workforce 2020? 43 © 2013 Appirio, Inc. - Confidential
  • Thank you… To find out more about UPSTART news and upcoming events, please visit our website www.upstart360.com General Inquiries: info@upstart360.com Partnership Opportunities: Joe Warring, joew@stonefortgroup.com