Strategies to Develop Human Reources at Indian Oil Corporation Limited Essay

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Manpower projections for the oil and gas industry predict a substantial demand for oil and gas professionals over the next five years. The sector needs to tide over the challenges of attraction and retention efficiently to support current operations and execute planned growth. One of the common challenges all sectors within the oil and gas value chain currently face is planning for the sustained availability of a competent workforce. Although technological development has garnered benefits that have allowed oil and gas companies to reduce manpower requirements, future technological advancement is not expected to manage offsetting impending manpower requirements. Existing academic institutes are not sufficient to ensure industry stability in terms of manpower supply. The gap between the demand for trained manpower and its supply is widening annually. Some of the key issues include an aging workforce, retirement, attrition, and talent acquisition and supply. 3.1 Aging workforce Largely in line with the global trend, the average age of workforce employed in the Indian oil and gas sector is high. This is a major challenge, particularly for upstream companies, which are expected to find it particularly difficult to replenish talent loss due to heavy retirement in the next five years. Intermittent hiring by oil and gas companies has led to the majority of the workforce being skewed at the top of the organizational pyramid. Around 50% of employees have more than 20 years of experience, and the majority is due to retire in the next 5–10 years. 3.2 Retirement As a natural consequence of the aging workforce, impending employee retirement in the sector is expected to peak over the next five years. Around 11% of the current workforce is estimated to retire in the next five years. This is likely to significantly reduce experienced talent in the oil and gas sector.

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