future of energy industry - how to solve talent crisis - hr trends keynote speaker

SustainAgilityDeveloping agile teams in the energy industry to drive profitable growth in

a rapidly changing world

Dr Patrick Dixon Chairman Global Change Ltd

Talent  shortages  are  nothing  new  but  now  impact  82%  of  energy  companies  globally  

 Companies  and  governments  need  to  work  together  for  

sustainable  and  secure  future

US  energy  age

50%  of  skilled  workers  will  reAre  in  5-­‐8  years40%  of  nuclear  workersSimilar  in  EU  /  other  regions  

Asia-­‐Pacifictalent  shortages  inmost  industries

• BUILD  -­‐  “grow  own  )mber”  -­‐  can  be  too  slow  and  once  trained,  best  people  likely  to  be  poached  or  become  very  expensive  to  retain

• BUY  -­‐  compe)ng  globally  for  a  few  people!

Build  or  Buy  or  ............

Future of HR is aboutEMOTION

do things you really believe inLife  is  Short    

Big strategies often overtaken by eventsWorld can change faster than you can hold a board meeting

Wild  Cards:  Risk  Management

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AGILITYmeans  

more  than  one  strategy  

Shale gas 33% US supplies

3.3m US jobs$468bn pa + more oil

produced than Saudi by 2020

200 years global supplyUp from 60 years in 5 years

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Boom

Bust

5  coal  plants  replace  with  gas  =  9000  megawa>s  wind  Coal  prices  fall  =  more  coal  burnt  in  Vietnam  and  China

57  coal  plants  closed  in  US  in  2012  

$40 Trillion Green Tech Boom driven by oil price, cost cuts, green activism

120,000 terawatts of sunlight /day7,000 times total power useQUEBEC  from  ARIZONAMOSCOW  from  SAHARA

Solar  cell  generaAon  cost  parity  

Falling  solar  cell  prices  

120,000 terawatts of sunlight /day7,000 times total global power usePower Moscow from Libyan Desert

“40%  EU  power  =  wind  by  2050”Surplus  wind  to  hydrogen  -­‐  to  methane  ?  

�Challenge  to  achieve  carbon  reducAon  AND  cut  nuclear�Wild  card  =  dirty  terror  bomb  or  another  meltdown�Most  nuclear  industry  workers  will  reAre  in  5-­‐10  years

Growth  +  Cuts  in  Nuclear  

Smart  Power  RegulaAon  UAlity  Co  controls  consumpAon  in  homes  /  factories10%  Australian  power  generaAon  only  used  for  72  hours  a  yearEnergy  prices  can  soar  from  $50/Mw  hour  to  $10,000/  Mw  hour

Germany  Power  Surplus

• In  June  2013• Electricity  prices  became  negaAve  • -­‐  minus  EU150  /  MWhr  !!

Enough salt caverns planned to power Germany for a week

Power  Storage  

•Rapid growth HVDC Super Grids

• 500,000 S Korea jobs - $200bn Smart Grid Project

•China planning to power Moscow

PEOPLEHR  development  needs  to  be  as  agile  as  energy  trends  and  generaAon  M  -­‐  protecAng  and  redeploying  talent  through  

booms  /  busts

Text

How  many  seconds  do  youwait  for  web  page  to  load  ?

AGILE  CAREERSRotaAng  high  fliers  through  variety  of  stretching  jobs  in  

different  sectors  and  regions  to  create  agile  leaders  for  

tomorrow  

AGILE  TRAINING

fast-­‐track  for  flexible,  agile  roles

IMAGE

Graduates  want  to  feel  that  they  are  making  a

posiAve  difference  to  world

How  do  they  feel  about  energy  industry  ?

1  trillion  pages                  a  month

HIGH  SCHOOL  

PromoAng  engineering  and  energy  industry  as  exciAng,  agile  ways  to  create  a  beier  world

UNIVERSITYPARTNERSHIPSRadical  approaches,  Sponsoring  courses,  individual  students,work  placements,  more  

PhDs  and  research  departments

Demographics

populaAon  growthand  decline  -­‐  impact  on    energy  and  workers

4 couples needed to produce just

one great-grandchild

Europe  is  Dying    

300 million move to cities in China and475 million to cities in Africa by 2030

>40%  WDP  by  2015� IMF - adjusted for Purchasing Power Parity

STEMScience,  technologyengineering,  maths

>70%  rise  energy  demand  will  be  in  Asia

• Even  if  only  20%  “employable”  in  global  market,  China’s  output  is  now  larger  than  US•More  Brazilian  engineering  PhDs  than  US  by  2016• Challenge  to  LOCATE  and  ACCESS  talent  in  unfamiliar  emerging  markets• Barriers  of  language,  culture,  willingness  to  move,  immigraAon  controls  etc• (Accenture  Inst  for  High  Performance  2011)

3.6m  engineering  graduates  a  year  in  China  by  2015

Most  STEM  graduates  in  emerging  markets  

China  and  India  dominate

STEM  degrees  including  post-­‐graduate  /  PhDs

STEM  degree  holders  in  US

AGENCIESGlobal  market  -­‐  opportuniAes  

for  pro-­‐acAve,  dynamic,  visionary  and  rapidly  adapAng  Specialist  Talent  Agencies

KAGGLE and YourOncore

MENTORINGCONSULTING

by  older  workers

Encouraging  oldest  experts  to  teach  vital  skills  and  give

experience  to  younger  teams

Diversity  in  workplace  means  larger  talent  pool  yet  87%  of  

companies  with  talent  shortage  are  not  acAvely  looking  for  new  

sources  of  talent  

Manpower  Research

Diversity  linked  to  higher  sales,  market  share  and  profits,  as  well  as  recruitment

85%  of  leaders  of  largest  US  corporaAons  say  diversity  

is  key  to  innovaAon

Forbes  study

• 60%  US  /  EU  graduates• 40%  primary  earners•Most  women  leave  corporaLons  early• Solve  talent  shortage

UrbanTribal

Women  are  outperforming  men    

Toxic  Testosterone  Culture    

•Young  children•Dependent  parents•Double  careers•Double  shiB  paCerns•Divorce  /  separa)on

Fit  around  Complex  Homes

Balance  usually  about  people  

Reproduce  own  imageTend  to  recruit  people  with  familiar  name,  

voice,  accent,  personality,  culture,  appearance

• Treat  as  board  strategic  issue  requiring  rapid  acLon• Invest  heavily  in  in-­‐house  training  and  fast  track  development• Promote  cross-­‐business  training  /  broader  experience• Ensure  be>er  career  paths  /  conLnuity  between  projects• Allow  diverse  career  pa>erns  eg  part-­‐Lme  /  home  working• Re-­‐posiLon  older  /  reLring  team  members  incl  mentoring• CreaLve  partnerhips  with  UniversiLes  +  placements• Industry-­‐sponsored  PR  campaigns,  partnered  with  government• Teams  of  non-­‐specialist  leaders  supported  by  specialists• Recruit  people  who  thrive  on  rapid  change  and  ambiguity

Agile  answers  to  talent  crisis

Built  on  a  four  word  phrase.....  

�For  individuals�For  family�For  community�For  whole  earth

Building a Better WorldEnergy industry is vital to our future

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globalchange.com

Dr Patrick Dixon Chairman Global Change Ltd