The New role of HR leaders in Energy Industry
Human Resources Thought Leadership Series
Zinnov
November 2009
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The automotive industry today has incurred steep losses and this has been
preceded by several years of loss of goodwill
Big auto companies face critical challenges due to .. ... loss of goodwill among their external stakeholders
6 2005 2008 2005 2008
External Stakeholders
5
4
Goodwill
3
Suppliers Customers
Have a higher
2
impact
1
Government Community
0
0
Owners Shareholders
Operating Profit
-5
Managers Employees
-10
-15
-20 Internal Stakeholders
-25
in $ millions
This report is solely for the use of Zinnov client and Zinnov personnel.
No part of it may be circulated, quoted, or reproduced for distribution
outside the client organization without prior written approval from Zinnov
Source: Annual reports, Google Finance, Zinnov Analysis
Energy industry should think leap years ahead to connect, build and
preserve goodwill among multiple community circles using Social
Networking Technologies
Economic downturn coupled with
increasing misconception Local Communities
II
Students
Unemployed
Community
I Disabled People
Energy Companies Members
Retired people
Social Networking Working Mothers
Technologies Leveraging
Social
Networking
Local
Community
Centers
Benefits
III
Changed Brand Perception
Knowledge Sharing
I II III
Energy Creating social Leading to Enables Community Development
companies can networking groups community
engage multiple in local development
local communities and This report is solely for the use of Zinnov client and Zinnov personnel.
creating Drives Profits
communities jobs No part of it may be circulated, quoted, or reproduced for distribution
outside the client organization without prior written approval from Zinnov
Source: Zinnov
Companies have a unique opportunity here to connect to communities in a
radically different manner through innovative ideas – example gas stations
as knowledge sharing hubs…
Transforming Communities Through Knowledge Sharing Hubs
Initiative
Energy companies such as Shell can use their local presence to engage surrounding communities at ground
level
Advantages
Enhancing scalability of the model, providing insights about the energy industry, increasing public confidence
Educating local
Using network of 3 communities
local gas stations as Engagement through
knowledge hubs workshops such
Using local gas stations
as – “The Benefits
to engage communities 2
of Renewable
a
Energy”
1 Providing
b
consulting
Retail Shops optimization
view of energy
Energy sector
Companies HR professionals to Adding
lead initiatives Value to
Shell and
community
Changing 4
Perception Driving Sales
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No part of it may be circulated, quoted, or reproduced for distribution
Benefits
outside the client organization without prior written approval from Zinnov
Source: Zinnov
HR leaders in energy companies should play a pivotal role in redefining
benefits in this new economy
Impact on Society
• Will actively bring younger
people together 4
New Role of HR Leaders Multiple Layers of Benefits • Faster and wider reach at
Building lower cost
Increase Social Block 4
Networking • Balances gender/ethnic
diversity in workforce 3
Capabilities • Ability to hire disabled
people
Building • Increases transparency and
Block 3 brings corporate 2
Enhanced Diversity accountability
• Cleaner and safer
environment 1
Building • Enhances rural community
Block 2 development
Direct and Clear
Communication
Building
Drive Corporate Social Block 1
Responsibility
Initiatives
This report is solely for the use of Zinnov client and Zinnov personnel.
No part of it may be circulated, quoted, or reproduced for distribution
outside the client organization without prior written approval from Zinnov
Source: Zinnov
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