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Planning for Long-Term Growth in Canada’s Oil and Gas Industry Global Talent Summit

Global talent summit final

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Planning for Long-Term Growth in Canada’s Oil and Gas IndustryGlobal Talent Summit

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Introductions

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PRESENTER

Heather DeBoerProject Manager, Occupational Information and Tools

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Agenda• Introduction• Overview of PetroLMI• State of the Industry• Shifting Priorities and a Shifting Workforce• Diversity in Canada’s Oil and Gas Workforce• Career Planning Resources• Questions

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Petroleum Labour Market Information (PetroLMI) Division of Enform

• PetroLMI merged with Enform in 2013; formerly the Petroleum Human Resources Council.• We are a leading resource for labour market information and insights in the Canadian

petroleum industry.• Our labour market data, knowledge and expertise also assists Enform in further aligning its

training and safety services with industry needs.• Our mandate is to collaborate with industry, government, educators and training agencies

to support and advance the development of a sustainable, skilled and productive workforce in the upstream and midstream sectors.

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PetroLMI Key Stakeholders• Our key stakeholder is industry, however, we have many stakeholders using and/or

financially supporting PetroLMI’s products and services:

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Labour Market Information (LMI) Project Overview• Labour Market Outlooks provide longer-term employment and hiring projections using a

proprietary, industry-validated modelling system for:

– Labour demand and supply projections for overall upstream and midstream industry– Key operating regions – B.C., AB, SK, Rest of Canada (RoC)– Petroleum industry sectors: exploration and production (E&P), oil sands, oil and gas

services, and pipeline transmission

• HR Trends and Insights reports provide intelligence on current and short-term labour market conditions and HR trends within Canada’s oil and gas industry.

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Occupational Information and Tools Project Overview• We produce profiles of current and future occupations within the petroleum industry.• These occupation profiles will feed into the Careers in Oil + Gas online tool, which will

allow stakeholders to explore different occupations and discover how their skills and qualifications can transfer within and outside the oil and gas industry.

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State of the Industry• Between 2014 and 2015, approximately $34 billion of investment was taken out of

Canada’s economy.• The oil and gas industry responded with an unprecedented focus on reducing operating

costs, resulting in layoffs of full-time staff and the termination of contractors and contingent workers.

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2016 and Beyond• Beginning in 2017, the oil and gas industry is projected to start regaining some jobs as the

market begins to realize that US$40/bl oil is not sustainable and prices begin to rise. • Neither industry activity nor employment will recover to 2014 levels during the forecast

period.• However, the industry may be challenged to attract workers back when a recovery does

occur as they may be less attracted to the industry following two years of contraction.

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Shifting Priorities and a Shifting Workforce

“Canada’s petroleum industry is increasingly in need of a more skilled and knowledgeable workforce. The growing complexity of the oil and gas business, along with the pressures to remain profitable and competitive determines skills and knowledge required by its workers.”

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Upstream Technology is Driving Changes in Midstream and Downstream Activities ….

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10 years ago…

SeismicExploration and production (E&P)Wellsite constructionDrilling and completionsWell servicingGathering linesAbandonment and remediation

Natural gas processingUpgradingStorageMainline pipelines

RefineriesPetrochemical plantsNatural gas utilitiesGas stations

Today…

SeismicE&PWellsite constructionDrilling and completionsWell servicingGathering linesAbandonment and remediation

Natural gas processingUpgradingStorageMainline pipelinesNatural gas liquids (NGL) facilitiesRail and truck terminalsWater and waste treatment

RefineriesPetrochemical plantsNatural gas utilitiesGas stationsLNG processing facilitiesLNG fueling stations

Upstream Midstream Downstream

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Oil and Gas Industry Priorities

The following three industry priorities are driving change in workforce requirements:

• Accessing technically complex unconventional reserves• Balancing performance and cost management to achieve profitability• Achieving market diversification to grow the business

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Accessing Complex Unconventional Reserves

• Application of new technologies have made more remote resources commercially viable

• Types of equipment, materials and services required for this work is changing

• Increased demand for workers with more advanced technical skills

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Balancing Performance and Cost Management

• The industry is applying innovative technologies to streamline processes and to ensure the right skills are in the right place at the right time.

• Workers play a key role in balancing performance and cost management to achieve profitability.

• As a result, they must have a firm understanding of cost implications of their actions/decisions and be better attuned to the increasingly complex regulatory and socio-economic environment

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Pursuing Market Diversification

• Market diversification can only be achieved through ongoing investment in large, capital-intensive projects, such as LNG facilities.

• Availability of a skilled construction and operations workforce is an important consideration in corporate investment decisions

• Greater need for workers with the knowledge and skills required for complex, technical commercial and regulatory planning

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Today’s Oil and Gas Worker Needs to…

• Be comfortable with technology• Have business acumen• Be innovative• Be able to negotiate successfully• Strive for continuous improvement• Be highly skilled at reading, numeracy,

communication and problem solving• Plan and execute projects of all sizes• Be aware of the regulatory and compliance

implications of projects

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Diversity in Canada’s Oil and Gas Workforce

“Companies that show leadership in diversity and inclusion practices integrate them into their business practices and ensure they are sustainable through changing economic cycles. Undoubtedly, these companies will gain advantages in accessing these labour pools to address their workforce needs. Perhaps more importantly, they will create work environments that help them to succeed and support learning and innovation for all.”

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Workforce Diversity: Business Drivers

Diversity and inclusion practices usually fall into two broad groups:

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Key Trends

• Companies that are well-recognized as diversity leaders have engaged in diversity programs for many years

• These companies have made use of a range of targeted investments, internal programs and partnerships with external organizations.

• Other trends that have emerged from company interviews include:– Hiring and advancing women into companies and leadership and technical roles.– Developing partnerships to build relationships and improve diversity.– Sponsoring resource groups or diversity and inclusion networks.– Supporting science, technology, engineering and mathematics skills.

 

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Successful Hiring Strategies• Improve access to diverse candidates• Improve workplace culture to support diversity• Enhance learning and innovation by linking diversity to the business

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Career Resources• Updating and developing 90+ occupational profiles that range from upstream to midstream

to LNG• Creating a first-of-its kind interactive career map, skills matrix and self-assessment tool

using the occupational profiles• Developing a career practioners package

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Industry Scan• Focus on transferable skills • Interact with information in multiple ways • Standardized approach • Career mapping

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Raise Your Hand

Do you find yourself faced with any of the following challenges when career or workforce planning?• Non-consolidated data or inconsistent and missing information• Time consuming search• Not knowing where to go to get information• Out-of-date information

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The Job Profile

OPERATIONS ACCOUNTANT AND REGULATORY REPORTING PROFESSIONAL#OperationsAccountant #ProductionAccountants #BusinessAnalyst #TechnicalAccountingSpecialist #FinancialAnalyst

You are a “numbers person.” Your philosophy? If knowledge is power, then the numbers are the power source. You’re the accountant and keeper of the data leaders need to make good decisions about a facility or a project. You skillfully crunch, verify and report on the quantities, costs and revenues from oil and gas activities involved in exploring, drilling and operating wells.

What does it look like?With wells pumping and oil flowing through pipelines, you know whether a well or a facility is performing. In the Production Accountant role, for example, you observe, calculate, verify and report volumes, rates, gas/oil ratios and royalties. You hold the knowledge to answer the question: “What did we make this month?”

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Current Online Tools• The two most frequently used online tools are a basic Google Search and ALIS (Alberta

Learning Information Service).• There is no consistent process or approach for conducting career profile research.• Stakeholder participants do not rely on offline tools, such as manuals, to aid them in their

careers research.

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Careers in Oil + Gas: Career Planning Tool

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QUESTIONS?

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For more informationContact Heather DeBoer at

[email protected] or 403-516-8049Visit careersinoilandgas.comFind us on social media

@PetroLMI@CareersInOandG facebook.com/careersinoilandgas slideshare.net/PetroLMI