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INVESTING IN OUR PEOPLE - sasol.com

INVESTING IN OUR PEOPLEHUMAN CAPITAL MANAGEMENTS asol is an international integrated chemicals and energy company. Through our talented PEOPLE , we use selected technologies to safely and sustainably source, produce and market chemical and energy products competitively to create superior value for our customers, shareholders and other stakeholders. About INVESTING IN OUR PEOPLE : HUMAN CAPITAL MANAGEMENT Sasol s business reporting and stakeholder communication aims to provide a balanced, accurate and accessible account of our business. This booklet, a supplement to our Sustainability Reporting, provides a brief overview of investments in our PEOPLE activities for the fi nancial year 1 July 2016 to 30 June 2017. At Sasol, our most valued asset is our PEOPLE . At Sasol, our most valued asset is our PEOPLE . Enhancing our relationships with employees is Enhancing our relationships with employees is always top of mind.

Our approach to investing in our people Our Human Resources (HR) strategy seeks to enable the effective delivery of Sasol’s business strategy.

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Transcription of INVESTING IN OUR PEOPLE - sasol.com

1 INVESTING IN OUR PEOPLEHUMAN CAPITAL MANAGEMENTS asol is an international integrated chemicals and energy company. Through our talented PEOPLE , we use selected technologies to safely and sustainably source, produce and market chemical and energy products competitively to create superior value for our customers, shareholders and other stakeholders. About INVESTING IN OUR PEOPLE : HUMAN CAPITAL MANAGEMENT Sasol s business reporting and stakeholder communication aims to provide a balanced, accurate and accessible account of our business. This booklet, a supplement to our Sustainability Reporting, provides a brief overview of investments in our PEOPLE activities for the fi nancial year 1 July 2016 to 30 June 2017. At Sasol, our most valued asset is our PEOPLE . At Sasol, our most valued asset is our PEOPLE . Enhancing our relationships with employees is Enhancing our relationships with employees is always top of mind.

2 Always top of mind. During the past year, we introduced Sasol s During the past year, we introduced Sasol s new vision, purpose and refreshed values as new vision, purpose and refreshed values as the next phase in the evolution of our culture the next phase in the evolution of our culture journey, which comes at a time when our journey, which comes at a time when our value chain-based operating model is largely value chain-based operating model is largely embedded, our simplifi ed structure is showing embedded, our simplifi ed structure is showing positive results and our cost containment positive results and our cost containment programme has ensured we remain competitive programme has ensured we remain competitive and sustainable. and sustainable. To enable the execution of our strategy, we To enable the execution of our strategy, we offer an employee value proposition that will offer an employee value proposition that will not only attract, but also retain and motivate not only attract, but also retain and motivate our employees to perform at their best levels.

3 Our employees to perform at their best levels. Charlotte MokoenaExecutive Vice President:Human Resources and Corporate Affairs 12 Our approach to INVESTING in our PEOPLE Our Human Resources (HR) strategy seeks to enable the effective delivery of Sasol s business strategy. We strive to provide a work environment that promotes a values-driven, high performance culture, offers sustainable and versatile careers across our operating locations, encourages diversity and transformation, and fosters rigorous employee relations. Sasol s business strategyGrow shareholder value sustainablyHuman Resources (HR) philosophy and objectivesRight talent in the right place at the right time to enable Sasol s transformation and growth the Sasol employee value proposition to enable employee engagement and a high-performance a technology enablement platform and build HR capability to drive effective and integrated service build a sustainably profi table organisation of talented, diverse, competent and inspired PEOPLE who face the future with confi fi t-for-purpose PEOPLE solutions to enable sustainable business objectives3 Building a resilient organisation To further instil our values-driven, high-performance culture and support our operating model, we continued to implement priorities based on employee feedback received from our internal Heartbeat survey, underpinned by our three critical behaviours.

4 Our current business environment and the continued low crude oil price compelled us to continue delivering on committed Business Performance Enhancement Programme (BPEP) savings as well as the Response Plan (RP) labour cost levers. Accordingly, we prioritised focused spending on the development of critical skills and leadership capability across our operations. Work to a common game plan1 Adopt a 'One Sasol, one bottom-line' approach2 Embrace empowered accountability34 Build critical skills and leadership capability to drive sustainable business and execute a PEOPLE plan to drive sourcing and development of a robust succession talent a diverse and inclusive workforce as a source of competitive the enabling technology and build Human Resources capability through our Human Resources Academy to drive effective and integrated service delivery. Implement priority actions from the Heartbeat survey to engage, enable and energise a resilient Sasol focus areas:We renewed our vision, purpose and refreshed our values to address feedback received from the Heartbeat survey.

5 This will form the foundation of the next phase of our culture transformation journey, where the focus will be on building a resilient, diverse organisation of the future. S ne Mkhize Senior Vice President: Group Human Resources Human Capital Isaac Matji Senior Vice President: Group Human Resources Operations 5 Salient featuresPrioritising safety We pursue and prioritise zero harm a goal we believe is possible to obtain. Indicative of our pledge is Ensuring that Safety, Health and Environment (SHE) remains a top priority, as it is one of our values. Our risk-based One Sasol SHE Excellence Approach provides the framework for our efforts to reach zero harm. All employees regularly undergo SHE training. Vital step in our culture transformation journey Our culture, underpinned by our values, is essential to support us in achieving our goals. During the year, we set the foundation for the next step in our culture transformation journey by introducing a new vision and purpose, and refreshed our engagementWe reviewed our employee relations landscape and adopted a more integrated approach aimed at achieving positive employee engagement.

6 Our Joint Chief Executive Offi cers (CEOs) continued to engage directly with employees and promote FEATURES continuedLabour stabilityThe changing employee relations landscape and the unprecedented mining strike during the past year necessitated a holistic approach to all aspects of employee relations management in order to mitigate unfavourable future risks. The approach consists of the development and implementation of detailed action plans in six focus areas, including: Voluntary employee turnover Organised labour strategy Employee engagement strategy Leader capabilityImprove relationships Security and law enforcementOur labour law approach 20122,29%0,62%20172,61%0,95%8 Our investment in peopleWe invested R1 024,5 million in bursaries, learnerships and scarce critical skills development. ProgrammeInvestment in skills development per region (R million)South AfricaEurasiaNorth AmericaTotalEarly career development270,2 270,2 Learnerships/apprenticeships174,1 174,1 Graduate development96,1 96,1 Scholarships/bursaries54,1 54,1 Employee study aid20,7 20,7 Employee learning and development532,160,0 87,4 679,5 Total877,160,087,41 024,5J South Africa (R877,12 million)J North America (R87,38 million)J Eurasia (R59,98 million)86%6%9%Geographic distributionJ Employee learning and development (R700,2 million)J Early career development (R270,19 million)J Scholarships/bursaries (R54,09 million)5%26%68%Category distribution925 967 employees participated in our internal learning and development programmes.

7 In South Africa, R500 million was invested in developing skills among our black employees of which R114 million was spent specifi cally on black future talent We continued to invest in sponsored study and technical learning programmes, as well as leadership, career and succession development plans. To secure a pipeline of future talent, we invested signifi cantly in skills development, ranging from basic literacy and school level programmes to technical training for professionals through some of the largest bursary, graduate development and internship programmes in Southern Africa and other parts of the FEATURES continued10In addition to continuous technical and functional training, our Eurasia operations rolled out a focused leadership and strategic skills training initiative internationally to advance leaders coaching and employee development skills and offered intercultural awareness training in an effort to improve teamwork and collaboration across countries.

8 Almost R70 million was made available from Response Plan (RP) savings to invest in targeted development programmes, notably building capability in core skills, leadership and FEATURES continuedBuilding a One Sasol, One bottom-line mindset The relocation of most of our Operating Model Entities (OMEs) from multiple premises around Johannesburg to a central global headquarters Sasol Place has improved effi ciency and made a signifi cant impact in enhancing our employee value proposition, teamwork and collaboration as well as our high-performance culture. Sasol Place is a disability-friendly offi ce environment and offers numerous value-add conveniences for and professional jobseekers ranked us third in the Top 100 of Universum s Most Attractive Employers in South industry-leading LinkedIn page is the eighth most followed South African brand on the social media of choice Top place in two categories Sasol secured fi rst place in two different sectors of the South African Graduate Employers Association s employer award.

9 We gained the most votes in both the chemical and pharmaceutical, and engineering sectors. The assessment is based on graduates indicating which organisations they consider as having the best graduate programmes. 13 Since inception in 2008, Sasol Inzalo Foundation has focused its efforts to grow South Africa s pool of young professionals, entering the workplace with a sound foundation in science, technology, engineering and mathematics (STEM).66%R490 million invested over nine years19%15%STEM in schools portfolioTertiaryportfolio Technical high schools portfolioInvesting in our future SOUTH AFRICAWe have invested in a range of initiatives to ensure that Sasol remains a dynamic, technology-driven company that attracts talented, values-driven, high-performing PEOPLE . We continue to invest in full-time and part-time sponsored study programmes, which include functional/technical, safety and compliance learning and development programmes, as well as leadership development and career and succession development programmes.

10 Key outcomesSasol has 30 900 employees globally, comprising 30 600 permanent and 300 non-permanent employees. We operate in 33 countries. 14 Sasol corporate bursary programme For the past 30 years we have been awarding comprehensive bursaries to top performing mathematics and science learners. The bursaries cover tuition fees as well as a broad range of day-to-day student expenses. Bursars have an opportunity to do vacation work at our facilities and also be part of our graduate development programme once they complete their bursaries are offered for Bachelor of Engineering, Bachelor of Science and Bachelor of Commerce (with a Chartered Accountant focus) and University of Technology bursaries are offered for Electrical/Mechanical Engineering, Process Instrumentation and Mine Surveying. Key outcomesDuring the 2017 academic year, 394 bursars were enrolled in the Sasol bursary programme.


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