The poaching of personnel is becoming a significant
source of aggravation, especially since oil companies have in the past
been quick to downsize their geoscientific resources whenever the going
gets tough.
And it's likely go get worse before it gets better.
An recent article entitled "The Trouble with People" appearing in Oil Online describes the antics that have been looked upon as a "standard practice" in the past, but which take on new significance in light of what the industry is characterizing as the ‘Great Crew Change’ the gap between the generation that is retiring and the generation that is to replace it.
Unfortunately, the Oil Industry, like many other industries have failed to attract the quantity of graduates and technically based talent that is now needed to capitalize on the growth potential that is prevalent.
In many cases there is a significant shortfall of candidates in the 15-25 year experience range which in essence can be described as a generation gap.
Many are concerned that while people are being promoted and given responsibility that is within their potential, it is being given too soon and beyond the true experience levels that would be needed in industries where there is no substitute for experience.
Booz Allen Hamilton (BAH) in a recent industry report cites the popular
finding that 55% of E&P (Oil Exploration And Production);staff are in the 40-50 age bracket
(probably on the higher side if the truth be known) and that half the
current workforce is likely to retire in the next 10 years (the
exercise of early retirement/lifestyle change options may make this
prediction conservative).
The BAH report indicates that barely 15% of the
E&P workforce are
recruits in their early 20s to mid 30s. At the same time
graduate recruitment into the industry from established western
universities and business schools has been in steep decline.
The issue at hand is that, lacking qualified people at all levels, a fall-off in the E&P;industry’s enviable record for research and innovation could result in an impact on the ability of the industry to respond to the country;s growing energy requirements.
Despite growing employer demand and increased overall numbers in the
university population, falling enrollments for geophysics have meant
courses being discontinued by universities constantly under performance
and economic pressures. The number of MSc courses in geophysics has
been reduced from five to one, attributable to the fall in geophysics
Masters graduates wanting to embark on exploration and environmental
careers.
To reverse this kind of trend presents a huge challenge. as the study points out
that the root of the problem stems from what goes on in schools.
Geophysics is unlikely to appear on the student’s radar at all and this
is part of a more deep-seated resistance to engage in maths and
physics, which are regarded as difficult subjects. The result is that
geophysics has effectively been structured out of the curriculum, and
MSc courses no longer offer a safety net for those students who come
across geophysics at university and change direction.
Like other industries suffering with a workforce crisis, it is imperative that the industries that have been considered "unattractive" in the past, must change their image to students. The trend of students avoiding these fields of study, because they do not have an appreciation of its potential, at the same time industry needs an increasingly technical workforce, is a recipe for disaster.
The E&P industry is working hard to change their image, but other industries like the design and construction industries have also worked toward this end for years, and still are not close to turning around the problem.
In my opinion, the problem needs to be addressed at a much earlier stage, educating the youth in K-12, and introducing the teaching faculty and guidance counselors to the many dimensions of the industry, such that these youth will have a re-framed view of these essential industries.