Pres ent ed By -

DEBDEEP BHANDARI (11/MBA/02)

PRAMI TA SAMANTA (11/MBA/03)
SNEHA AGARWAL (11/MBA/70)
SUMAN SAURABH (11/MBA/71)
POOJ A KEJ RI WAL (11/MBA/72)

HR PRACTICES IN THE INDIAN
OIL & GAS INDUSTRY

INTRODUCTION
HR is a critical function in an organization, not only for its internal
activities but also for its growth and expansion. It plays a defining role in
ensuring that motivation levels stay high at work, which is essential for an
organization to grow. As these aspects are very closely tied to the nature of
work, HR function faces challenges that are very different depending on
the industry. A case in point is the oil and gas industry in India.

Indias Oil and Gas Industry has an interesting mix of Oil & Gas companies
from the public and private sector.

Public Sector: Oil & Natural Gas Corporation (ONGC)
Private Sector: Reliance Petroleum Limited (Reliance Industries Limited)
OIL & NATURAL GAS CORPORATION
(ONGC)

ONGC is a public sector petroleum company in India, contributing more than 79%
of Indias crude oil and natural gas productions, ranking 3rd in Oil & Gas
Exploration & Production (E&P) Industry globally.
ONGC is the flagship company of India and making this possible is a dedicated
team of nearly 40,000 professionals.
Over 18,000 experienced and technically competent executives mostly scientists
and engineers from distinguished Universities / Institutions of India and abroad
form the core of the manpower.
The company has adapted progressive policies in scientific planning, acquisition,
utilization, training and motivation of the team.
HR Vision :"To build and nurture a world class Human capital for leadership in
energy business".
HR Mission:
"To create a value and knowledge based organization by inculcating a culture of
learning, innovation and team working and aligning business priorities with
aspiration of employees leading to a development of an empowered, responsive
and competent human capital.



HR Objectives

To develop and sustain core values.
To develop business leaders for tomorrow.
To build and upgrade competencies through opportunities for growth and
providing challenges in the job.
To foster a climate of creativity, innovation and enthusiasm.
To enhance the quality of life of employees and their family.
To inculcate higher understanding of Service to a greater cause.
RELIANCE INDUSTRIES LIMITED (RIL)

Reliance has the largest private sector oil and gas exploration and
production company in India, with one of the largest petrochemical and oil
refining complexes in the world.
Reliance Petroleum Limited (RPL) merged into Reliance Industries Limited
(RIL) effectively on September 19, 2002.
Exploration and production of oil and gas, petroleum refining and
marketing, petrochemicals form the core of RILs businesses.
RIL's talent base, as on March 31, 2011, stands at 22,661 with an average
employee age of 41 years.
People are central to Reliance's growth strategy. A large in-house pool of
intellectual capital is the driving force behind Reliance's rapid growth, and
is one of its competitive advantages.
Reliance believes in Growth in Commitments: quality, research &
development, health, safety & environment, human resource development,
social responsibility & community development.
HR Objectives
Energizing and engaging the existing work force and creating an exciting
workplace, where every person can reach his or her full potential.
Building human competencies & capacities and continuous personal
development is critical to the continued growth and success.
Incorporating world's best practices and processes and reengineering
existing processes and introducing new processes.
Providing world-class exposure, growth opportunities and competitive
compensation packages.
Achieving excellence in occupational & personal health and safety of its
employees across locations.




SIMILARITIES
HR Policies of both the Companies are directed towards the
betterment of the work-life of their employees.
Both the companies want to sustain their core values.
Both the Companies focus on Health and Security concerns of their
employees.
Both the Companies fulfill their Corporate Social Responsibilities
which one way or other becomes the factor of motivation for their
employees.
Both Companies focus on developing competencies and skills.
Internal promotions are into play in both the organizations.
Interest of workers are given importance in both the organizations.
HR Audits are done in both the organizations.
Team work is promoted in both the organizations.

DIFFERENCES
MAIN FOCUS ONGC Reliance
Industries Ltd.
Objective of the
HR policies
To develop professional
approach in employees
and aligning them with the
Co. objectives.
To develop future
workforce.
Recruitment
Recruitment policy doesnt
considers age as an
important factor.
Reservations.
Prefers young talents to
build an efficient
workforce in future.
No Reservations.
Remuneration
Pay scales , allowances
and incentives are
governed by the Dept. of
Public Enterprise,GOI.
Depends on the
performance,
responsibility and
accountability of the
employee
DIFFERENCES
MAIN FOCUS ONGC Reliance
Industries Ltd.
Training And
Development
Have less focus on training
and development.
Training and executive
coaching is done often
with changing
environment.
Appraisal
System
Have guidelines set to
recognize employees.
Have special committee to
ensure efficient delivery
of HR services to
employees.
Employee
Satisfaction
Organization do not have
any control as the
guidelines are set by the
Dept. of Public Enterprise,
GOI.
HR policies are employee
friendly keeping in view
employee needs.
Industry Specific HR Functions
Training: HR invests heavily in industry specific job training and safety
training.
Motivation: Field engineers stay in the oil rig, which is in isolated,
sometimes hostile locations for extended periods of time. With respect to
Field Engineers, HR policies focus on the following:
Flexible lateral movements are offered for employees to discover their
niche areas in the field.
Interactive sessions with the employees through contextual databases and
company sponsored offsite are facilitated to promote interpersonal
effectiveness and bring down the barriers to communication amongst a
diverse team of FEs.
Motivational work groups, discussion forums and close supervision
ensure that signs of de-motivation are detected early. This helps in beating
career blues and promotes a vibrant work place.

Industry Specific HR Functions
Appraisals & Reward Systems: In addition to money, perks, incentives,
vacations, etc which are predominant motivators in the oil industry, the
motivation at this level is the increased responsibility and the leadership
role associated with it.
Recruitment: Physical stamina, reflexes, reaction time, mental physical
and psychological resilience are looked for in the candidates.
Sharing the experience: University of Petroleum and Energy Studies
annually holds Oil & Gas HR Round Table, where each company shares its
experiences.
Diversity: The HR Department's policy of maintaining diversity at rigs
helps strengthening bonds amongst employees.


Indian Oil & Gas Industry: HR Challenges

The oil and gas industry in India currently faces talent shortage: The
industry is likely to require around 25,000 additional professionals in the
next five years due to business growth and retirement or attrition in the
sector.
Attracting the right talent : Another cause for concern around the loss of
industry talent is that skill sets in this industry are highly specialized and
difficult to develop and acquire.
Maintaining the sex ratio is another challenge that oil and petroleum
sector companies face.
Aging workforce : In line with the global trend, the average age of
workforce in the Indian oil and gas sector is high. Around 50% of
employees have more than 20 years of experience, and the majority is due
to retire in the next 510 years. This is likely to significantly reduce
experienced talent in the oil and gas sector. The sector may also face 34%
of employee retirement at the middle-management level.


s ourc es

ht t p: / / pet rol eum. ni c . i n/ pet s t at . pdf
www. ri l . c om
www. ongc i ndi a. c om/ peopl e. as p
www. as t odehradun. c om/ hrm. pdf

Thank You