L&D’s Role in Addressing New Challenges to Oil & Gas
Let’s address the elephant in the room since this guide began – the fossil fuel industry, of which oil, gas, and petroleum are included, – is under pressure to adapt to new fuel-sourcing methods or potentially go extinct altogether. Oil is a commodity needed by consumers worldwide and given the current atmosphere has been a subject of much interest in regards to its longevity. At least for the near future, the oil and gas industry is here to stay. The industry will certainly play a pivotal role in the next few decades however as policymakers shift their focus to alternative fuel sources, industry makers alike will need to adapt their services, products, and most importantly their human resources to pave the way.
Once operational managers provide the green light to the learning director or chief learning officer, it will be the goal of L&D to reformat the aim of training and development for current and new employees.
Alternative Fuel Resources and the Rise of Green Energy
It’s no surprise that the rise of alternative fuel sources has become a hot topic in and around the energy industry. For oil and gas executives, the topic has become a controversial one as continued research and application of these fuel serves as harbinger to the end of oil and gas.
However, big executives in O&G aren’t expected to panic just yet. Amidst growing concerns of global warming, environmental damage, and the increased sales of EVs, the industry is still expected to grow exponentially for the next decade per Deloitte’s 2023 Oil and Gas Industry Insight. However, according to the Department of Energy and Climate Transparency, the global supply of crude oil will only be sufficient until the year 2050. To add to that, alternative fuel sources, such as those from vegetables, alcohol, and water, are expected to increase in usage over the next 20 years.
L&D has the opportunity to lead the shift in new professional skills development amongst employees working in the energy sector. Training programs for those in oil and gas as well as alternative fuel source providers are expected to provide a wealth of new training resources.
From Uncertainty to Opportunity: Transitioning Jobs in Fossil Fuels to Renewable Energy
L&D managers in oil & gas and other energy sectors shouldn’t be worried. Despite a decline in oil and gas workers between 2000 to 2022 and an increase in oil production, job satisfaction amongst oil workers remains low due to stagnant wages and concern over alternative fuels according to a recent report by True Transition
However, the classic economics case study of swaths of unemployed workers due to their now obsolete industry can be avoided. Instead of firing and hiring new, young talent for renewable energy products, companies can make an effort to slowly transition workers’ skills gained in oil and gas towards the new tech used in green technology. The International Labour Organisation projects that the full transition to green technology and other sustainable measures will lead to the creation of over 103 million new jobs worldwide by 2030.
Now more than ever before, L&D teams will carry a more significant role in transitioning an entire industry and its workers. After receiving new and green energy protocols, L&D teams will be responsible for leading multiple enterprise-level training programs for new employee onboarding, reskilling, and upskilling procedures, and help refine current QA processes for talent and development in the years ahead.
Developing New Subject Matter Experts in Energy Policies and New Fuel Technology
To no one’s surprise, the implementation of alternative fuel sources will shift the energy sector’s operational processes. The process of providing fossil fuels – from procurement, infrastructure maintenance, logistics & transportation, and refining – will change faster than expected.
To be prepared for such a radical shift, L&D has an opportunity to invest more time in developing new training procedures that are designed to help their employees succeed in a rapidly changing energy landscape.
What new fuel technologies will the energy sector need to invest in? According to the US Department of Energy, there are several renewable and alternative fuel sources available for vehicle use including:
- Biodiesel
- Electricity
- Ethanol, derived from corn
- Hydrogen
- Renewable diesel
- Solar power
- Wind power
- Hydroelectric
Addressing the Green Skills Gap
With the projected shift from fossil fuels to more sustainable and environmentally friendly fuel sources, the energy sector will have its own unique skills gap. So much so that some have dubbed it the “Green Skills Gap” about the general skills gap faced by other industries.
What are Green Skills? Green skills include the understanding of environmental policies but also the expertise in communicating technical knowledge on services, processes, and equipment.
According to an Environmental Impact Report by The Economist, 55% of companies are planning on developing green skills programs. Despite the potential shift in fuel sources, amongst the energy companies surveyed, 81% agreed that investing in green skills training would lead to creating higher quality jobs and 73% agreed that it would create more jobs than eliminate.
Green skill training programs will require learners to have a comprehension of the policies and procedures on the transition to renewable and sustainable fuel sources. Topics likely to be covered are:
- Pollution and greenhouse gas reduction policies
- Carbon footprint reduction
- Renewable energy production and processes
- Micro and macro measures to reduce negative emissions
- New green technology development
While carbon recapturing and other quasi-clean energy production measures by oil and gas will last long enough, the future of cleaner technology is eminent for the globe’s future. With no change coming in sight, L&D in all sectors of the industry must prepare to develop fast and efficient training protocols to prevent a deficiency in green technology talent and to keep their industry staffed with well-skilled professionals.
Technology and Tools to Improve Learning Delivery
The direction of the energy industry and the need for new skills by its professionals will require L&D teams to provide new training and development programs. From a high-level overview, planning training courses and each training session may seem straightforward, but as L&D professionals know, it’s anything but.
The logistics of learning on the administrative side are complicated. With 65 million people and counting employed in the industry, training managers and L&D directors will be responsible for ensuring there’s a smooth transition of skills for both new and familiar talent to the industry. To help address the volume of training needed, L&D circles have implemented eLearning portals to help speed up training for employees. However, most L&D specialists soon learn that with an increase in efficiency comes a decrease in skill comprehension.
Technical and hands-on training for the energy sector can only be partially handled by online training. The debate between eLearning and ILT doesn’t even apply here given how so many of the professionals in renewables as well as oil & gas need expert-led guidance in person.
Training Management System: The Answer to Coordinate Learning Programs for Energy, Oil & Gas
The planning, developing, and coordination of learning events are usually run through a myriad of loosely connected platforms. For training coordinators, the training system is usually a “combination” of calendars and spreadsheets.
Sometimes the training management plan can look something like this:
- Calendar one – course schedule dates
- Calendar two – session dates
- Spreadsheet one – training budget allocation
- Spreadsheet two – resource allocation by cost
- Spreadsheet three – available resources for training (i.e. rooms, equipment, trainers)
- CRM – holding all the information altogether
And that’s potentially just for one course.
The issue with training management for enterprise-level learning is that there is too much work on the administration side of L&D to organize learning events. This is on top of the dysfunctional “system” in place where training managers and learning specialists have to toggle back and forth between different sources of information.
For L&D teams tasked to train hundreds of professionals in the energy sector, teams should opt to focus on a dedicated training management system (TMS) as opposed to a learning management system
TMS software like Training Orchestra is equipped to manage all aspects of the administrative side of learning. Instead of multiple spreadsheets and disjointed third-party software, training management systems allow L&D teams working on energy sector-based training programs to modify the most critical aspects of their training programs:
- Coordinating course schedules and calendars
- Instructor, trainer, and SME management
- Managing the cost of training
- Measurement of learning analytics and reporting on training results
