Amrop Energy & Infrastructure Practice

Transcription

1 Amrop Energy & Infrastructure Practice The Quest for Mining Talent 2015: Shifts, stakes and strategies

2 The Quest for Talent: Shifts, stakes and strategies In this report, Amrop identifies the trends with the greatest impact on talent management in the mining industry. Focusing on the well-established mining countries of South Africa, the US and Australia, with an eye on dynamic South America and fast-moving Canada and China, we identify talent management strategies to equip the sector for the future, and provide 6 Keys in the Quest for Talent. Contents Mining, Energy & Infrastructure: 2

3 Introduction: the Quest for Minerals - and Talent Mining, Energy & Infrastructure: 3

4 >145,000 new workers are needed by % of current employees can be replaced by educational system Where Will Tomorrow s Mining Talent Come From? 78,000 additional replacement workers are needed by 2019 due to retirement 2.7% of employees have graduate education 16% of mining engineering graduates go into mining 61.9% of mining rights holders missed skills development investment target 40% of resource extraction workforce are >= 50 years old 1,700 Shortage of mining engineers by ,000 new miners needed by years are needed between graduation in engineering, and becoming a substantive manager. Mining, Energy & Infrastructure: 4

5 1 Talent Trends an Overview Countries with a long track record in mining, such as South Africa and Australia, are likely to have well-developed expertise and to continue to be a poaching ground for talent. Mining, Energy & Infrastructure: 5

6 Mining, Energy & Infrastructure: 6 Technology is critical to the industry and a major driver of skills shortages globally a direct result of the rapid skills obsolescence caused by the speed of technological advancements.

7 Mining, Energy & Infrastructure: 7 The very issues that have led to the skilled talent shortages in the Colombian mining sector also haunt its ability to upgrade.

8 We need specialists in environmental management, community relations, communications, experts in obtaining permits and people able to exercise robust human resources management. Mining, Energy & Infrastructure: 8

9 Mining, Energy & Infrastructure: 9 Mining Education Australia (MEA) is a collaboration of Australia s four most known mining engineering universities and mining companies, with the aim of increasing mining engineering graduates across the country.

10 The current skills shortage is likely to intensify within the next ten to fifteen years. And the problem is particularly acute when it comes to skilled engineers. Mining, Energy & Infrastructure: 10

11 Mining is a global business: labor shortages in Australia can affect the US mine workforce, should wages and other benefits in Australia and elsewhere exceed those in the U.S.. Mining, Energy & Infrastructure: 11

12 In South Africa, the country s Institute of Mining and Metallurgy signaled in 2012 that 40% of the resource extraction industry's workforce was at least 50 years old, with one third expected to retire by This, combined with insufficient engineers and geologists with around ten years experience, will make it impossible to meet the mining skills requirements for new mining projects at various stages of development across the globe. Mills attributes this shortfall to the mining industry s failure to recruit and train during the 1990 s, when the plummeting price of metals led to shortages of mid-career professionals. Mining, Energy & Infrastructure: 12

13 Given the global picture, we should not only be training for current needs and anticipated industry growth, but also to replace an ageing workforce, a factor likely to further exacerbate future skills demand. Mining, Energy & Infrastructure: 13

14 Mining, Energy & Infrastructure: 14 Despite remedial measures, the mining industry is facing two major issues regarding its young skilled talent. Insufficient numbers are studying vital disciplines, and significant proportions choose to take their learning elsewhere.

15 The lack of experienced personnel has led many companies to promote, too quickly, some of their most talented young people who, lacking the proper experience or a good mentor, end up getting burned out. Mining, Energy & Infrastructure: 15

16 2 Talent Pipelines Strategies and Solutions A multi-pronged strategy and an innovative approach are called for. The only real solution to spiraling remuneration packages (as one consequence of skills shortages) is to increase the supply. Mining, Energy & Infrastructure: 16

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19 Context-Driven Retention Mining, Energy & Infrastructure: 19

20 While today s rhetoric focuses on telling business to create new jobs, this is inextricably linked to providing the right skills for those jobs through education, training and re-training. Mining must invest in the future, by taking a long-term view, training new talent and retraining existing talent. Mining, Energy & Infrastructure: 20

21 Conclusion - 6 Keys in the Quest for Talent 1 2 Mining, Energy & Infrastructure: 21

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23 About Amrop Mining, Energy & Infrastructure: 23

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