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Staff

The Company’s principal asset is highly professional staff, motivated to work efficiently in today’s complex realities.

In 2016, the Company confirmed, yet again, its status of a largest employer in the Russian Federation. As of December 31, 2016, the Company Group's total headcount, within the IFRS perimeter, was 295.8 thousand people, an increase of 13% as compared to the end of 2015. The main reason for the Company's staff increase is the acquisition of the PJSC JSOC Bashneft group, the growing scale of business, the employment of personnel from the acquired contracting service organizations into the Company's staff.

The average age of the Company's employees remains practically the same, around 39.9 years (at the end of 2015 - 39.7). The management positions were occupied by 37.1 thousand employees (at the end of 2015 - 32.7 thousand people).

At the same time, the share of employees classified as "Managers", as of December 31, 2016, did not change as compared to December 31, 2015, and also amounted to 12.5% of the total payroll number (it remains the same for three consecutive years, also due the unification and optimization of organizational structures of the Group Companies).

Staff Efficiency and the KPI System

One of the Company’s key priorities is improving the work efficiency. To achieve this goal, in 2016, work was completed on the development and approval of aggregate labor productivity indicators for enterprises of the key business units and for the Company as a whole.

The target value of the labor productivity indicator for the Company as a whole was approved as a Company’s technical and economic indicator by the Company Board of Directors when it approved the Business Plans for 2016 and 2017.

Rosneft has implemented an efficient system of key performance indicators (KPIs), which is an integral part of the motivation and remuneration system for the Company personnel. Pursuant to the Russian Government Decree, starting from 2016, the KPI list of the Company's and the Group's managers labor productivity is to include the KPIs in the relevant areas. The lists of performance indicators of Top Managers should also include KPIs of sustainable development: saving fuel and energy resources, employees injury rates, procurement efficiency index for small and medium-sized businesses.

Forming and developing the Company's personnel reserve

Rosneft pays close attention to the development of the corporate and managerial competencies of employees remaining in the Company's personnel reserve.

Forming the personnel reserve allows to identify and develop talented employees so as to maximize their potential when achieving the Company’s business objectives. It also helps to retain the best employees by providing them with opportunities for career growth and development. Annual work includes updating the lists of the personnel reserve for the target positions of the 1st, 2nd and 3rd management levels of Rosneft and the Group Companies.

The following initiatives were implemented in 2016 within the system work with the Company's personnel reserve:

  • a multi-level competence assessing system for selecting, prioritizing the development of reservists, compiling individual development plans for reservists;
  • training of reservists in three corporate MBA programs; training in developing managerial competencies;
  • corporate information systems were upgraded with an automated process of maintaining data on the participants of the Company's Personnel Reserve System.

Development and Training

A unified corporate training system covers all areas of business and personnel categories. Training courses include and introduce state regulations, corporate policies and procedures, best Russian and foreign practices, also forming efficient work skills. Professors of Russian and foreign universities, leading domestic and foreign training and consulting companies are involved in the corporate training programs. Training programs are adapted to the requirements of the Company's business.

Based on the Group Companies structures and educational institutions in the regions where the Company operates, 60 Training Centers with training grounds, practical training centers, have been established and are successfully functioning, providing retraining, professional and mandatory training of workers and specialists.

An internal training system is developing, ensuring the preservation and sharing of knowledge within the Company, involving in-company trainers, experts and mentors.

The Company participates in WorldSkills, the global movement for the popularization of the working professions.

Training is conducted within the Company-approved program for the enhancement of the safety culture and conscious HSE leadership.

The unified requirements to the knowledge and skills (competencies) of employees of all areas of the Company's business are established by the integrated assessment system for the Company's personnel. The personnel is assessed by 3 categories: for the purpose of training planning (for the development of competencies); when forming the Personnel Reserve and Expert Communities; before employment and transfer to another position. The assessment criteria include: management, corporate and professional skills. The assessment covers all personnel categories: managers, professionals and workers.

The assessment of competencies allows to identify knowledge gaps and to determine the priorities for employee development, to optimize the training costs, improve their qualifications and, therefore, the staff efficiency.

Rosneft participates in the state project for the development of a national qualification system. Company representatives are members of the Council for Professional Qualifications in the Oil and Gas Sector. The Council has been established with the support of the National Council for Professional Qualifications under the auspices of the Russian President. Within this project, the Company has organized work on the development and updating of professional industry standards, the compilation of a directory of oil and gas professions, and a list of professional qualifications for the further creation of an independent qualification assessment; the Company has prepared drafts of regulatory documents for the Council. Company Experts take part in the public accreditation of educational programs of higher and secondary educational institutions, and perform other tasks within the Council’s authority.

By implementing international projects, Rosneft offers foreign partners to consider personnel training for further work in joint projects along with the business projects in the fuel and energy sector. Within this cooperation, foreign students - employees of Rosneft’s foreign business partners are trained at Russian universities, with the financial and organizational support of the Company.

Rosneft's youth policy is aimed at ensuring a steady influx of professionally trained young specialists into the Company from among the best graduates of educational establishments and their fast and most efficient adaptation at the enterprises.

To this end, Rosneft is actively working to form an external personnel reserve in the regions where the Company operates

The support system for young people covers three target audiences: students of Rosneft classes (grades 10-11 with in-depth study of engineering subjects); students of special universities, young specialists of the Company.

An efficient tool for implementing the Company youth policy is the corporate system of continuous education "School-University-Enterprise."