This document discusses how HR is evolving at TETRA Technologies to manage competing priorities during challenging times in the energy industry. Key accomplishments in 2015 included retaining high-value employees, consolidating leadership roles, launching rewards and recognition programs, and implementing a learning management system. Priority initiatives for 2016 consist of opportunistic hiring, leadership development, global talent mobility, and optimizing resources through outsourcing certain HR functions. While employee turnover has increased slightly, retention of high-value employees remains strong. Recent leadership changes and acquisitions have introduced uncertainty, and the talent bench is shallow in some areas of the business.
Paired Comparison Analysis: A Practical Tool for Evaluating Options and Prior...
You Say you Want a Revolution - How is HR Evolving in Today's Energy Marketplace to Manage Competing Priorities?
1. YOU SAY YOU WANT A REVOLUTION
How is HR Evolving in Today’s Energy
Marketplace to Manage Competing Priorities?
Moderator: Cliff Caldwell COO, Ascende
Thomas Smouse VP of Administration/HR, Newfield Exploration
Elisabeth K. Evans Vice President, Human Resources, Tetra Technologies
James Tastard Vice President, Human Resources, Freeport LNG
ENERGY HR EVOLUTION
Managing Competing Priorities & Planning for the Future
3. CONFIDENTIAL – TETRA Technologies, Inc.
TETRA Technologies at a glance
Perspectives on Talent
HR aligned with the business
2015 Key Accomplishments
Priority Initiatives
Summary Points
For Discussion
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4. CONFIDENTIAL – TETRA Technologies, Inc.
TETRA / CSI Compressco
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Headquartered in The
Woodlands, Texas
Founded in 1981
NASDAQ: TTRA 1990
NYSE: TTI 1997
NASDAQ: CCLP
3,600 employees
worldwide
Global company with
employees and
operations on six (6)
continents
PRODUCTION
TESTING
The largest North
America production
testing company
FLUIDS SERVICES
Only vertically
integrated completion
fluids based company
for the oil & gas
market
CSI COMPRESSCO
Full service compression:
well head, gathering,
midstream, processing
and transportation
OFFSHORE
SERVICES
A leading provider of
decommissioning and
well abandonment
services in Gulf of
Mexico
5. CONFIDENTIAL – TETRA Technologies, Inc.
Perspective on Talent – Internal & External Challenges
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Challenge Priority Response
Retain key talent during challenged
industry conditions, downsizing
High value employees identified globally – PDPs,
compensation considerations, broader role
scope;98% retention
Lower overall compensation costs and
create organizational efficiencies
Collapse leadership level & consolidate roles,
shared services for corporate staff functions
Newer leadership teams in most segments
and re-aligned staff functions create
uncertainty
High level of HR involvement as necessary,
enhanced corporate communications, quarterly
Town Hall business updates
Functions strained as fewer employees do
the work – burnout driving high turnover
in some areas
Process & systems improvements;
standardization and centralized support; high
grade talent when possible
Need to upgrade key functional
capabilities
Invest in targeted hires to ensure core
capabilities; some activities outsourced;
cultivate internal talent through leadership
development and broader/stretch roles
Historically, a disconnect between pay and
performance impacted our ability to
effectively incent desired behaviors
Performance goals in place for all employees.
Incentive programs overhauled with realistic
performance measures and performance culture
focus. Special achievement bonuses granted
6. CONFIDENTIAL – TETRA Technologies, Inc.
High Value Employee Program
Professional Development Plans completed, HR coaches assigned,
manager involvement
Favorable compensation consideration & broader roles
Leadership role consolidations
91% of departing Sr. Leader roles either consolidated or eliminated
CORE Employee of the Year Awards
Rewards & Recognition Program
Online Employee Recognition Program launched with ‘points’ rewards
Learning Management System (LMS)
Online library with >600 courses & custom online content
Tracks course completions w/real time reporting
customer certifications
regulatory compliance
Global Quarterly Town Hall meetings
Update employees on business matters and serve as platform to launch
of new programs
Talent Management System launched
Online performance reviews and goal setting
Recruiting and onboarding modules
2015 Accomplishments
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7. CONFIDENTIAL – TETRA Technologies, Inc.
2016 Priority Initiatives
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HR Initiatives
• Opportunistic hiring to build talent bench
• Business unit/functional capabilities
• Optimize value of recent & future acquisitions
• Focus on C-Suite & Sr. Leader coaching & development
• Online Succession Planning & Compensation Management tools launch
• Enable global talent mobility at all levels of organization
• Support planning, optimize budget and maintain compliance
• Leave administration outsourced to one vendor
• Free-up limited HR resources for business critical tasks & cost savings
• All pre-employment screening and testing consolidated under one vendor
• Compliance with customer requirements, consistency & lower expenses
8. CONFIDENTIAL – TETRA Technologies, Inc.
Compared to prior period, current 12-month trailing average
turn-over has increased slightly driven largely by lay-offs
Retention of employees designated as ‘high value’ is strong
Role consolidations reduce headcount & create stretch
opportunities
Sr. Leadership teams across business are relatively new
introducing employee uncertainty & rapid change
Recent acquisition integration & efficiencies not fully achieved
Staff function centralization appears to be producing benefits
Functional collaboration, efficiencies, broader career paths
Talent bench perilously shallow in parts of the business
Selective key outside hires may be needed
Continue improvement of internal talent development capabilities
Summary Points
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