STRATEGIC WORKFORCE PLANNING IN MAERSK OIL Mihael Sutalo, Head of SWP Brussels May 28th 2015

A.P. Moller-Maersk: Group overview page 2

Companies of particular strategic importance:

TRANSPORT Maersk Line APM Terminals APM Shipping Services

• Operate mainly in the transport and energy industries

• Approx. 89,000 employees

• 2014 revenue: USD 47 billion

ENERGY Maersk Oil Maersk Drilling

Strategic investments:

Maersk Container Industry Höegh Autoliners

OPERATED PRODUCTION

550,000 boepd

MAERSK OIL GROSS ACREAGE

54,000 km2

OPERATED FIELDS

26

PROFIT IN 2014, EXCL. ONE-OFFS

1.0 billion USD

WORKFORCE IN 12 COUNTRIES

4,500 employees

page 3

Brazil

Maersk Oil – from local to global player Expansion of geographical focus 2002 - 2014

EOR Exploration Appraisal Development Primary production Mature field Abandonment

The value chain

Denmark

Qatar

UK

USA

Norway

Algeria

Kazakhstan

Angola

Kurdistan

Greenland

Abu-Dhabi

Business Development

page 4

page 5

Three major trends in Upstream related professions

Veterans (or Silents)

Generation X

Generation Y Baby boomers

1940 1960 1980 2000

Generation Z Wyers, Connectors # of students

graduationg in O&G industry related studies

Maersk Oil has to respond the shortage of workforce to safeguard its strategic growth targets

Straight from Baby Boomers to Whyers – Shortage of talent

Unfavorable demographic trends: Aging population Skilled O&G workforce is short in supply Unfavorable labor market and educational

trends

By 2016, shortage of experienced PTPs will reach 20% of total talent pool globally (estimated gap between demand and supply of ~15.300 PTPs)

O&G companies will have to attract significantly different generation of employees and new talent attraction techniques will be required

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Three major trends in Upstream related professions

8%

Project engineers

12%

2%

8%

Process engineers

13%

1%

10%

Facilities engineers

11%

1%

8%

Production engineers

6% 5% 8%

D&C engineers

5% 5%

9%

Reservoir engineers

10%

6% 8%

Geophysicists

14%

1%

7%

Geologists

8%

1%

9%

NOCs

Majors

Independents

2012 2011 2010 2009

7x difference

1.2%

3.3%

8.6%

1.9%

4.7%

7.5%

2.6%

2.8%

4.0%

1.0%

3.0%

5.0%

NOCs

Majors

Independents

*PTPs: Petrotechnical Professionals: geoscientists (geologists, geophysicists and petrophysicists), and petroleum engineers (reservoir, drilling, completion and production engineers) SOURCE: Schlumberger Business Consulting O&G HR Benchmark

Estimated average % of vacancies per peer group will be high

Attrition rate will continue to increase for Independents

page 7

SWP is securing the executional capacity for capital deployment in Maersk Oil

SOURCING TO FILL MANPOWER GAPS ACROSS DISCIPLINES

• Resource allocation

• Development

• Recruitment

MANPOWER DEMAND AND PROCESSING

CAPITAL AND MANPOWER ALLOCATION

ANALYZE MANPOWER SUPPLY AND IDENTIFY GAPS

• Functional Career Committee

• Organizational Health

• Discipline Health

PREPARE BUSINESS CASES AND MODEL RESOURCE SCENARIONS • Low, base, high case

• Workforce strategy

page 8

SWP is executed together with the business as an integrated part of the annual business planning cycle

Steps 3 and 4 run in parallel

SEP-JAN AUG

SWP data consolidation &

analysis

3 Collect BUs/ExUs

Manpower Demand

2 Discuss data with Global Functions

4 Prepare SWP

1 Refine data and

Present to MOET

5 Final MOET

Decision

6

FEB APR JUN - JUL

SWP provides Manpower input for Business Outlook

MAY MAR

High level timeline

Capital and Manpower are jointly presented to MOET

Is a Group wide platform

Enhances transparency and alignment across APMM businesses

Provides a shared Career Philosophy,

principles and tools

MyCareer is a new approach

to how Maersk works to manage career and

structure SWP

page 9

Focuses on career development opportunities

Promotes diversity of

careers

Maersk Jobs divides jobs in a functional structure Enterprise level definition

of a functional area Part of a global function that shares attributes

Same nature of work but may require different

levels of skill

Similar purpose, accountabilities, scope, skills

and capabilities

Global Function Functional Area Job Family Job

Oil Exploration and Production

Operations and Production Electrical Engineering Electrical Engineer

Example

page 10

We have 9 Job Levels All positions have been individually evaluated and calibrated to be matched with the appropriate Job and Level

Maersk Jobs is an online tool where everyone can browse through generic jobs and get an overview

MyCareer | page 11

Job Levels 9

8

7

6

5

4

3

2

1

Admin, Support & Production Professional Technical Managerial Executive

Career Streams

The overall direction of Career Development

• All streams are important to the organisation

• Each stream has its distinct difference in characteristics and career patterns

• They each offer specific learning opportunities and guidance on how to develop your career within the field

page 12

Q & A

page 13