The Great Crew Change: What’s - PowerPoint Presentation

Slide1

The Great Crew Change:

What’s

Next for the Oil and Gas Industry’s Workers?

Todd BurdetteRich Milligan

P2 Confidential

October 17, 2013Slide2

P2 Confidential2

The upstream oil and gas industry is undergoing what’s widely referred to as “The Great Crew

Change.” Thousands of seasoned petro technical professionals (PTPs) are set to retire in the coming years; a development that will leave this evolving industry and its many complex projects in the hands of the less experienced. Ready or not, upstream companies are already facing this experience and knowledge gap that is taking shape and sure to widen.How did this crew change come about?What are its implications?What approach should oil and gas companies take?AbstractSlide3

Changing of the GuardP2 Confidential

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Retiring Baby BoomersPotential ImplicationsThe Millennials

The Important of LearningCase Study- P2SupportHow to create the Millennial Organization Q&AContentsSlide5

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Retirements are in progress and roughly half the industry will retire in 10 years 1

“The big crew change is happening now and will be mostly over in five years," 2By 2014, the flow of younger to experienced petro-technical professionals only about 17,000, compared with roughly 22,000 2Net shortfall of 5,0001 – Rigzone.com2 – 2011 Schlumberger Business ConsultingRetiring Baby BoomersSlide6

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Potential Implications – DrillersSlide7

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A 20% reduction in performance today would mean approximately $35 Billion in economic costs20% of E&P professionals is roughly equivalent to 80,000 employees (with <5 years experience)

Information courtesy of J. Ford Brett – President, PetroSkillsPotential ImplicationsSlide8

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The Millenials – The Industry’s FutureSlide9

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Generation born between1980 and 2000 Also known as Generation Y or the Net (Internet) Generation

Entering employment in vast numbersHave a lifelong affinity for technology and internetAccustomed to ubiquitous digital connectivity instant access to informationCollaborative by nature and trust online social relationshipsDesire a fluid balance of work and social lifeStrongly believe in training and one-on-one mentoringMillennials Defined – PWC StudySlide10

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By 2020 the number of millennials in the workplace will double to approximately 50% of the workforce. Can you

turn this trend into a competitive advantage? Millennials already form 25% of the workforce in the US and account for over half of the population in India.Changing Workforce

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Loyalty-liteDevelopment and work/life balance are more important than financial reward

A techno generation avoiding face timeMoving up the ladder fasterThe power of employer brands and the waning importance of corporate responsibilityWanderlustGeneration tensionsLearning and Development is one of the most significant factors in employee selectionBehaviors of MillennialsSlide13

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A struggle to support how employees interact and engage today. U

nspoken knowledge is not captured, stored or sharedCannot be distributed or learned with the right contextual relevanceThis complex landscape needs to be actively managed and supported at the Enterprise levelMust ensure that firms develop and attract talent for sustainable competitive advantage Key to attracting and maintaining the MillennialsAdditional ComplicationsSlide14

The Importance of LearningSlide15

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Enterprise Learning EcosystemSlide17

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Understanding where to focus your Learning spend will help the design of a more balanced Learning strategy to meet organizational-wide needs.

Realigning Support and FocusSlide18

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Most learning happens outside of the classroomOrganizations are moving away from traditional forms of Learning and embracing innovative solutions

Paradigm Shift in Learning  Old school

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edge Sharing,Collaboration, on-demand/just in time access to knowledge “in the flow of doing work”Slide19

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“Information is not knowledge” - Albert Einstein

Technical Advancements in Data CaptureLarge DatabasesIncreased ConnectivityPervasive Data – High VolumeUseful DataLacking ContextWithout Contextual relevance, overflow of information creates chaosContext KnowledgeSlide20

How to create a Millennial OrgSlide21

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StructureFlexible, team oriented, dynamic

and adaptableTools and TechnologiesHigh Tech, allowing for collaboration and multi-tasking Forums, communities, wikis, blogs, chat roomsKnowledge managementFocused learning environmentCapture and share knowledge with the right contextual relevanceData ManagementOrganized knowledge share for easy search and disseminationDefinition – The Millennial OrgSlide22

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Organizational transformation is needed to adapt to the significant shifts in technology and culture

Recruiting and employee engagementWorkplace environment training Development TechnologyPervasiveness and skillsContextualize information Getting Millennial ‘ready’Slide23

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To attract and retain Millennials, pro-actively managing your talent essential

AlignmentBusiness PlanTalent StrategyFace the futurePay attention to pivotal rolesFinancial ConsiderationsSalary – Boomers and MillenialsTraining – Balanced ApproachWhat must employers do? Slide24

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Questions