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TNK BP’ h f i TNK-BP’s approach for attracting top graduate talent and creating a pipeline for tomorrow’s employeespipeline for tomorrow s employees

Olga Zuykova

Director, Corporate Learning and Development, p g p

TNK-BP Management

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University Relations Program –University Relations Program Goals, Objectives and Principles

Program Goals

• Attract top graduate talent and create a pipeline for tomorrow’s employees

• Develop Universities’ potential and capabilities, motivate them to provide TNK-BP with the graduates we need.

Program Objectives

• Recruitment of b t d t

Key Projects 2007 - 2008

1.TNK-BP tender “University Grants Competition”2 TNK BP Master classes for students of Oil and Gas best graduates

• Improvement of tuition quality

2.TNK-BP Master-classes for students of Oil and Gas Universities.

3.Target agreement program. Summer internship program. 4.Joint Master's degree programs for Russian Universities in

ti ith l di f i U i iti i k tuition quality

• TNK-BP Employment Brand

co-operation with leading foreign Universities in key technical disciplines:

• IFP+Gubkin University, TyumenSOGU+RHUL

• Heriot-Watt+TPU

•Effective investments • To ensure measurable return on investment for the

p y

Program Principle5.TNK-BP Training Centre in IrSTU

•Led and controlled by TNK-BP

right Universities

• Strong Governance

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Round table with Universities–cooperation format

First round table with Universities (08.06.2006)

Second round table with U i iti (14 12 2007)Universities (14.12.2007)

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University Program Development: y g p2004-2007

TNK-BP Program for T t St d t

Recruitment Program for Regions

Target Students

MSc TGNGU – Royal Holloway University

Training Center at Irk tsk Technical Uni ersit

Master classes in Partner Universities

TNK-BP Grants

Tagret Program

Training Center at Irkutsk Technical University

Recruitment of Target Group Young Specialists

MSc Gubkin University IFP

MSc TPU - Heriot-Watt

Cambridge scholarship

Corporate offer

2005 2006 2007

MSc Gubkin University – IFP

2004 2008

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TNK-BP Grants to RF oil and gas gUniversities

Brief description:

On a competitive basis we sponsor complex projects with the purpose to improve the quality of education in the key disciplines:

Public tender for oil and gas Universities under support of Ministry of

p

Public tender for oil and gas Universities under support of Ministry of Education and Science Company Expert Group and Expert Committee makes decisions on the “right” investments

Participate in the higher education system reform

Goals:

Improve the quality of education in the area of oil production and refining

Build partnership between the Company and high school

Budget:

• 2007 – USD 2.5 M (transferred for 18 projects at 10 partner universities)

• 2008 – USD 3.5 M (21 project at 11 universities)

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ТNК-ВР Grants to Universities –first results

Key changes at Universities :Key changes at Universities :

• Universities accepted and approved principles of partnership with TNK-BP

• They adopted a project approach to investments, transparency of project expenses

• Now they are motivated to customise the training programs to meet TNK-BP needs and requirements

Examples of first results of 13 TNK-BP sponsored projects :p s o s su s o 3 spo so d p oj s

• Exploration and field development – qualitative training changes will take place at 5 partner universities – 4 new modelling laboratories, upgrade of 2 exploration training fields;g ;

• Refining – Russian Oil and Gas University – the main supplier of process and mechanical engineers for TNK-BP is adopting training practices using refinery virtual environment

• Drilling – 4 partner universities are adopting training practices using multipurpose simulators

HSE 3 i iti i l ti i ti lti di t i i l i • HSE – 3 universities are implementing innovative multimedia training complexes in HSE.

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TNK-BP Master Classes at Universities

Description:

Goals:

• Open interactive training event for senior students

• Being conducted by the group of TNK-BP experts – 23 per. in 6 partner Universities

For students:• TNK-BP as a company; employment and development opportunities.• Modern international technologies and practices used at the CompanyF TNK BPFor TNK-BP:• Attractive employment brand among graduates• New, interesting ideas from students• Identify students’ knowledge gaps and determine the future focus of TNK BP’s technical • Identify students knowledge gaps and determine the future focus of TNK-BP s technical

program for students

Results:• 2007 – 27 master classes in 7 key disciplines

• 2008 – 15 master classes (20 master classes to be held till the YE)

TNK BP is the most attractive employer among Russian oil and gas TNK-BP is the most attractive employer among Russian oil and gas companies - independent survey conducted in 7 Partner Universities in December, 2007

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Irkutsk Training Centre

Goals:

Irkutsk Training Centre

Set up a modern training center to provide high quality training in key disciplines to VCNG employees and students of the Irkutsk State Technical University and to cover technical organizational capability gaps in the region

• Facility capable of running TNK-BP corporate training in Irkutsk

L b t t h i l d th d l i l f iliti f t h i l t i i

Done:

• Laboratory, technical and methodological facilities for technical training

• Train-the-trainer programs

• Organizational Capacity Development for the longer term

• Modern technical training for East Siberia Subsidiaries

D illi f t d f i t

Results

• Drilling safety and performance improvement

• Additional classes – leadership skills and English language

Budget, $:2006 – 400K 2007 – 750K 2008 – 1400K From 2009 - 1000K

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Herriot-Watt / Tomsk PU Graduates

Goals:Att t th b t RM d PE t l t i t TNK BP

Program

Attract the best RM and PE talents into TNK-BP

Build and maintain the attractive employer brand of TNK-BP

B f l t i TNK BP

•Selection of future employees starts right after TPU-HW selection •On-going monitoring of students’ learning achievements

Before employment in TNK-BP

•Internships in TNK-BP during the program•Involvement of Technology Line Managers who participate in Team and Individual Projects’ appraisal sessions as well as Communication sessions, Master Classes with students/graduatesstudents/graduates

After employment in TNK-BP

• Development program: 15 days of technical training + participation in “Three • Development program: 15 days of technical training + participation in Three horizons”

• Essential work on three various projects during three years• Coaches and KPI • Development options and further assignments are based on competency • Development options and further assignments are based on competency assessments, performance and development appraisals

Budget: $850k per year

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TSOGU / RHUL Geoscience Dual Di l P

Aim of Programme

Diploma Program

Establish a world-class Geoscience Master’s Degree Program at Tyumen State Oil and Gas University

• Distinct department in a separate building to deliver a unique World class curriculum customised to the needs of TNK-BP

Done

• High quality teachers with international experience

• Best graduates from RF universities

• Geoscience competencies: integrated approach to complex objectives solution at the p g pp p jGeoscience and Field development competences

Expected Result

Serious improvement of the Geoscience and Field development competence level

Budget, $:2007 - 1164 k 2008 - 2800 k 2009 - 900 k

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Graduate Recruitment Graduate Recruitment

Development and operation of oil & gas 500 Development and operation of oil & gas fields

Oil & gas geology

Oil & gas well drilling

10610041

32 3017

810

10

10 10

52

110 5250

400

Fuel and hydrocarbon chemical technology

Power industry

HSE35 403449

60

21

4833

30

68

72106

41231252

200

300

Economic management of oil & gas industry at plants. Accounting.

Information and computer technology90 93

149 16023

721021

0

100

Year 2005 2006 2007

Other2005 2006 2007 2008

Intake across key specializations1. Tyumen State Oil & Gas University [TSOGU]2 S St t T h i l U i it

Total young specialists 305 487 474

Inc. key specializations

179 ( 59%)

274 (56%)

284 (60%)

2. Samara State Technical University3. Gubkin Russian State University of Oil & Gas [RSU]4. Ufa State Oil Technical University5. Tomsk Polytechnical University [TPU]6. Irkutsk State Technical University [ISTU]7. Moscow State University (Geology Faculty)p ) ( ) ( )

Inc. partner university students

55% 75% 99%

y ( gy y)8. Arkhangelsk Institute of Oil and Gas (from 2008 year)

Intake across other specializations1. MGIMO2. Higher School of Economics

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Target Training ProgramTarget Training Program

Tasks of TNK-BP program for target studentsTarget Program Tasks of TNK BP program for target students

1.Ability to attract the best students• We select among the 3th years students

• We pay 100% of target training and 70% of commercial

- Pipeline for tomorrow employees

- Talents ready to work and familiar with We pay 100% of target training and 70% of commercial

training2. Smooth but targeted on-boarding:

• Additional technical and leadership program3 Commitment and loyalty to the Company:

work and familiar with the Company standards and requirements

3. Commitment and loyalty to the Company:• Operational and pre-diploma internships

2008 2009 2010

0%

20%

20%

20%

20%

10%

Trends in selection

40%

60%

80%

%45

% 75%

70% 35

Target intake of the school leavers

Intake of 3rd year students onto the Program

Intake from 5th course 80%

100%

% 35%

5%

Intake from 5th course

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Selection ProcessSelection Process

List of target Universities

Selection based on criteria: business-related degree/discipline,g / p ,

academic track record, fluent English

Presentation to students; CV’s and application forms

On-line tests (numerical and verbal reasoning)Piloted in

Drilling

Case-study

Drilling

Downstream

StrategyCompetency-based

interviewin 2006

Selection

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TNK-BP Corporate Development Programs

“Odysseya”INSEAD, 3D

Top managers

Middl

«ASCENT»

NOVYA VYSOTA”

Top managers

Middle managers«NOVYA VYSOTA”, AKTIV

Front-line managers«Perspective»

Young specialists«Three Horizons»

Graduates

University program