The Talent Gap in the E&P Industry: Causes and Recommended Solutions

Abstract

The talent gap in the E&P industry is an ongoing issue that is expected to persist due to attrition in the current workforce and the increasing percentage of junior employees. As result of this, there is not enough overlap between the two generations to pass knowledge and experience; therefore, knowledge and experience may be lost. Under the new oil and gas business realities of highly volatile prices and increased operating costs, the national oil companies (NOCs) require a workforce that has a new way of thinking to overcome current challenges and unpredictable market conditions. Effectively and efficiently resolving the talent gap should lead to greater productivity by increasing production and decreasing operating costs. This paper traces the origins of the talent gap and the events that led to current shortages. The proposed strategy for NOCs to resolve the talent gap has four main pillars: accelerating junior employees' development, leveraging the experience of senior staff, a structured knowledge sharing system, and new methods for filling current talent vacancies. Each of these pillars is discussed in detail and corrective action items are proposed. The successful adaptation and implementation of this strategy should ensure E&P companies' business continuity and will ultimately help in knowledge preservation within large NOCs.