SUSTAINABILITY REPORT 2023

Personnel Development

KMG provides personnel training and development, implements new approaches and programmes for development of employees of KMG Group on an annual basis.

KMG Group has implemented a unified personnel training and development process in accordance with the approved HR Policy. The need to train managerial, administrative and engineering personnel is based on Individual Development Plans following the results of regular comprehensive personnel performance assessments and needs stated by employees’ direct supervisors based on the objectives of the business unit.

Production personnel training is based on assessment of professional knowledge, skills and business needs. Therefore, planning of employee training is strictly regulated, and depends on the specific business goals and objectives.

Employees are trained on an ongoing basis on compulsory programmes: industrial safety, occupational health and safety, fire-technical minimum.

Currently, these programmes for KMG employees are conducted on the platform of the distance learning system of KMG Engineering LLP, a KMG’s subsidiary. The Competence Development Centre of KMG Engineering LLP has a licence permit to provide this training and issue certificates of a standard form. In-house training for our Company’s employees allows adapting programmes according to the Company’s internal requests and providing trouble-free access to training courses.

The average academic hours of training per year per employee is 18 hours (22 hours in 2022, 16.7 hours in 2021), including 16 hours per man (20 hours in 2022, 16.4 hours in 2021) and 31 hours per woman (31 hours in 2022, 18.6 hours in 2021).

At the same time, we would like to notice that employees are trained and developed irrespective of their gender and position.

ANNUAL AVERAGE NUMBER OF HOURS PER EMPLOYEE BY CATEGORY(hours)
AVERAGE ANNUAL NUMBER OF HOURS BY CATEGORY COMPARED BY YEAR(hours)
Main topics of the implemented Employee Training and Professional Development Programmes

In addition, in order to prevent road accidents at the production facilities, KMG Group drivers were trained in Defensive Driving in accordance with ROSPA International Standards (UK). In 2023, training was provided to more than 691 drivers (350 in 2022), who are engaged in the transportation of employees and hazardous cargoes: Oil Transport Corporation LLP – 420 people, KMG-Security LLP – 271 people. The Defensive Driving training of drivers of all categories of KMG Group will continue in the following years.

In 2023, based on the global Vision Zero concept to which KMG adheres, training on the Occupational Safety Culture course aimed at creating and maintaining an occupational safety culture was launched, which was attended by more than 16,000 KMG employees.

For example, Internal Auditor of the Integrated Management System in accordance with ISO 9001, ISO 14001 and ISO 145001 and OHSAS training was provided for KMG Group employees, which was attended by 12 people from the CC and 219 people from SDEs.

Company

 Q-ty

Topic

OMG

2

 Internal audit of the management system according to ST RoK ISO 19011-2019. Assessment of uncertainty of measurement results during verification (calibration) of measuring instruments and product testing

EMG

16

Internal auditor of the integrated management system according to ISO 9001:2015, ISO 14001:2015 and ISO 45001:2018

KMTF

31

Integrated management systems, ISO and OHSAS standards

KazGPP

10

ST RoK ISO 9001-2016; ST RoK ISO 14001-2016; ST RoK ISO 50001-2019; ST RoK ISO 45001:2019. Training and professional development of specialists in internal audit of the integrated management system

KMGE

73

Auditor/lead auditor of the quality management system according to ISO 9001:2015 GOST ISO/IEC 17043-2013 Compliance Assessment. Basic Requirements for Proficiency Testing, including the new requirements of ISO/IEC 17043-2022

ITC

23

Training in management systems ST RoK ISO 9001-2016 (ISO 9001:2015), ST RoK ISO 14001-2016 (ISO 14001:2015), ST RoK ISO 45001-2019 (ISO 45001:2018)

MEM

22

API Q2 specification requirements

KMG D&S

7

Internal auditor in accordance with API Q2 requirements

Pavlodar Oil Chemistry Refinery

31

General requirements for the competence of testing and calibration laboratories according to GOST (ISO/IEC 17025-2019)

KMG Security

4

Manager/ internal auditor of OHS management system according to ISO 45001:2018, internal audit of quality management system according to ISO 90001:2015

 

219

 

Risk assessment skills training was also conducted, which was attended by 51 from the CC and 1,108 people from SDEs (2 from OMG, 1 from KTM, 1 from UO, 4 from KMTF, 1 from KMGAero, 3 from KMGE, 3 from KMG D&S, 1 from KMG PetroChem, 49 from KMG International, 1 from KMG S&S, 1,040 from Pavlodar Oil Chemistry Refinery, 2 from Atyrau Refinery).

KMG promotes professional development of employees in accordance with International Standards. In 2023, 61 employees of KMG CC and 171 employees of SDEs were trained to obtain international qualifications and certifications under DipIFR, ACCA, IPMA, CIMA, PMP, CFA, CIA, etc. certification programmes.

Also in 2023, with the support of Samruk-Kazyna JSC, modular training in PR School, HR School and IR was implemented, which was attended by employees of KMG Group:

Company

HR School

IR

PR School

KMG CC 

0

0

4

OMG

0

0

1

EMG

42

10

1

KTM

5

0

0

KMTF

1

0

0

ITC

1

0

0

MEM

19

0

0

Pavlodar Oil Chemistry Refinery

0

0

1

Total:

68

10

7

KMG and SDEs’ key employees involved in the implementation of strategically important projects are annually certified according to the IPMA International Project Management Standard. In 2023, 106 employees of CC and 163 employees of SDEs were certified and examined.

Today, one of the main strategic goals of KMG is to reduce emissions and energy saving, and in order to successfully realise this goal, our employees are actively trained in this topic.

CASE STUDY

KAZMUNAYGAS FORMS A POOL OF PROJECT MANAGERS

In September 2023, the First two-day conference on project management in KMG Group organised by KMG’s Strategy and Portfolio Management Department was held.

KazMunayGas has been systematically introducing a corporate project management system since 2020. The goal is to increase the maturity level of project management in KMG Group. To achieve this goal, a methodology has been developed, project management tools have been introduced, centralised training of project personnel and support of key projects are underway.

The conference provided an open exchange of views on topical issues in the planning and implementation of major capital projects. The forum agenda included consideration of key aspects of project design, construction and approval, analysing lessons learnt, and presenting best practices of project management. The speakers were project managers from KMG and its subsidiaries, as well as recognised project management experts.

In general, the conference, which is planned to be an annual event, started a whole set of activities to promote project management and form a pool of project managers among the employees of KMG Group.

In 2023, 75 employees of CC, 5 employees of SDEs were trained in Methane Emissions in the Oil and Gas Sector and Energy Saving, RES and Low-Carbon Development.

Sustainability issues, including energy transition, greenhouse gas emissions, decarbonisation and other aspects, are also important and relevant for the Company as a whole and for the implementation of its strategic goals. Employees annually improve their knowledge and skills in this area in accordance with global standards and trends.

In 2023, employees were trained under the Green Project Management programme, where the best practices of applying the concept of sustainable development in projects were studied, and under the Energy Transition programme, involving specialists and management of the Corporate Centre and SDEs. 15 employees of the Corporate Centre and 5 employees of SDEs (3 from EMG and 2 from Pavlodar Oil Chemistry Refinery) were trained under the Green Project Management programme.

In addition, KMG project management specialists and external providers conducted project planning courses for KMG and SDEs project personnel using MS Project Project Management, which were attended by 2 employees of the CC, 34 employees of the SDEs (2 from Barlau, 1 from PetroChem, 2 from EMG, 2 from KMTF, and 27 from KMGI).

Two-day training events and workshops were held for managers and trade union leaders of such entities as Mangistaumunaigas, Karazhanbasmunay, Ozenmunaigas, Ozenmunaiservice, Oil Transport Corporation, Caspi Bitum, Kazakh Gas Processing Plant and others.

In 2023, 49 employees of KMG Group were trained under the Master of Business Administration (MBA) programme, including: 8 from JSC NC “KazMunayGas”, 15 from Ozenmunaigas JSC, 16 from Embamunaigas JSC, 3 from Kazturkmunai LLP, 3 from KMG Engineering LLP, 1 from Oil Service Company LLP, 1 from Oil Transport Corporation LLP, and 2 from KMG International.

In 2023, 660 employees from 24 KMG Group companies took part in conferences and forums.

As part of the development of the transparency policy, special attention is paid to the issues of procurement activities, thus, in order to improve the level of competence of specialists in the field of procurement activities, a programme was launched for procurement specialists of the Corporate Centre and SDEs of KMG Group – New Procedure for Procurement and Management of Procurement Activities of Samruk-Kazyna JSC and Electronic Procurement Information System (EPIS 2.0). In 2023, 362 people took part in the programme, including 65 people from CC and 232 people from SDEs.

Talent Pool

Work continues on the project of formation and development of the Succession Plan for Key Positions of KMG Group – MANSAP.

Succession Development Programmes for Pools A, B and C have been implemented in the period 2021–2023.

A Mentoring Programme has also been launched (2023–2024), under which the successors of Pools A and B act as mentors for Pool C. The Development Programme for Pool C (2023–2024) is under implementation.

In 2023, KMG and Abu Dhabi Ports Company signed a Strategic Partnership Agreement, under which it was agreed to cooperate in the development of the maritime fleet and coastal infrastructure in the Caspian and Black Seas.

At the same time, ADP agreed with KMG’s initiative to consider hiring Kazakhstani specialists from the Mangistau and Turkestan regions.

Samruk Business Academy was engaged to implement this project. The SBA project team implemented technical works on the Qsamruk recruiting platform, organised communication campaigns, and attracted business partners (employment centres, visa centres, language centres, etc.).

Work with Students and Young Specialists

KMG Group also pays attention to work with students and young specialists. Taking into account the trend of industry development and modern technological requirements, work is actively carried out with educational institutions in the regions where production facilities are located.

Zhas Maman – a programme to attract and develop young specialists at Atyrau Refinery and Pavlodar Oil Chemistry Refinery. From 2022 to 2023, 31 people are studying and working at Atyrau Refinery, 7 of them are employed, and 1 person is employed at Pavlodar Oil Chemistry Refinery.

Dual Training – a programme including training, probation and further employment in KMG Group.

Thus, a company-based dual training programme is being implemented on an ongoing basis, and in 2023, it was completed at:

  • Karazhanbasmunay JSC by 48 persons,
  • Embamunaigas JSC by 64 persons,
  • KMG International by 1 person;
  • KPI Inc. LLP by 2 persons;
  • Pavlodar Oil Chemistry Refinery LLP by 85 persons, and 21 persons were employed;
  • Atyrau Refinery LLP by 52 persons, and 12 persons were employed;
  • PetroKazakhstan Oil Products LLP by 19 persons.

Probationary Employee, a programme of Atyrau Refinery, was started in 3 professions: process plant operator, process pump and compressor operator, instrumentation and control technician. Probationary employees are trained and undergo on-the-job training at Atyrau Refinery. In the period from 2022 to 2023, 60 people are trained under this programme, 29 of them are employed.

In 2023, the following companies financed students’ higher education:

  • Karazhanbasmunai JSC – 435 students,
  • Mangistaumunaigas JSC – 532 students,
  • Ozenmunaigas JSC – 2 students,
  • Embamunaigas JSC – 501 students,
  • Kazakhoil Aktobe LLP – 36 students,
  • Kurmangazy Petroleum LLP – 92 students,
  • PetroKazakhstan Oil Products LLP – 50 students,
  • UralOilGas LLP – 37 students,
  • Urikhtau Operating LLP – 4 students,
  • Atyrau Refinery LLP – 14 students,
  • Kazgermunai JV LLP – 84 students.

In addition, in 2023 KMG, together with Mangistaumunaigas JSC, implemented a unique project to train young specialists from among 194 unemployed citizens of Mangistau region at the premises of the State Engineering and Technological University named after Sh. Yessenov in connection with the need to take actions to ensure stability of social, labour and economic relations, as well as to achieve strategic goals and objectives in the field of sustainable development, namely in reducing unemployment in Mangistau region.

To prepare unemployed citizens for further employment, an Educational Intensive programme was prepared at the premises of Mangistaumunaigas JSC, which helped them to master the necessary knowledge and skills for further employment and adaptation at the workplace. As a result of the programme, the trained local residents were employed by Mangistaumunaigas JSC, most of them for the first time.

In addition, on a regular basis, KMG Group works with Kazakhstan Universities and Institutions of technical and professional education to organise and conduct industrial and pre-graduation internships for students.

In 2023, 2,378 students completed industrial and pre-graduation internships at KMG SDEs.