The oil and gas industry, an industry with great complexity. Changing environments, the high cost and difficulty of extracting energy are steadily increasing and price and demand volatility squeeze margins.  Amrita (GCL) was asked to optimize the strategic innovation, vision and mission regarding HR.  Kuwait Petroleum North West Europe wanted to know how and what could be improved in HR to minimize costs and maximize results.

Strategic change management project: Amrita created a gap analysis and quantitative research resulting in a project plan with a focus on reducing HR costs and creating more inclusiveness within the company:

  1. What are the financials and ROI on HR related compensation and benefits and facility?
    Financial compensation and benefits review showed most investments without real ROI where given to middle and executive management. Results were also interesting given most of the staff in middle and executive management was no longer needed due to innovation and business units developments.
  2. Organizational design and company culture and engagement. To create an innovative culture in which employees were encouraged to experiment and grow, more unity was needed. Due to double unnecessary costs, Amrita advised Kuwait Petroleum to close the Rotterdam office and move remaining employees to The Hague office. This was the right opportunity to start a culture program in which employees were asked to show initiative, participate actively with feedback.
  3. Transparent communication, project management and legal compliance.
    Amrita was the linking pin as project leader and business partner. During every step in the project, Amrita made sure every stakeholder involved was well informed about steps to take, made sure all documents were drafted as expected in legal standards and project management was done. Stakeholders can be found in the works council, the City of Rotterdam, Kuwait Petroleum leadership team head office in Kuwait, Board in Europe and employees in The Netherlands and Belgium.

Results:

  1. Financial benefits: Reductions in Force (RIF) initiative (cutting anywhere from 20-40% of their workforce including middle and executive management). Partnering with the business to ensure the RIF decisions are made smartly and without devastating impacts on the skills and competencies of employees.
  2. Creating new opportunities and involvement employees: Also ensuring that the organization is prepared to run effectively at all times. New opportunities were created for employees by using Hays and adjusted Compensation and benefits policies.
  3. Smarter Investments in talent management and talent development: Kuwait Petroleum decided to develop their employees, managers, and leaders more efficiently by use of external and internal development opportunities such as their own training programs and partnering with the Erasmus University in Rotterdam. The craft of new positions and recruitment.
  4. Inclusive and diverse environment: Blending of Western European and Arab employees. This is quite remarkable because this is the opposite of the Middle Eastern way of working. However, blending and Western Europeans ways of working with good communication skills towards Kuwaiti has shown to be highly effective.