Top Talent Trends that Will Shape the Global Mining Industry in 2021
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
Top Talent Trends that Will Shape the Global Mining Industry in 2021
Top Talent Trends that Will Shape the
Global Mining Industry in 2021
Our global mining practice reached out to top executives in the mining sector1
to get their perspectives on trends and issues affecting leadership in mining. Not
surprisingly, talent emerged as a key driver for the future success of the industry.
The mining sector continues have simply been amplified reflect the diversity of the
to navigate through volatility by the onset of the COVID-19 communities in which it
and disruption, including pandemic and are making it operates and that has the
external challenges presented more important than ever for expertise required to lead
by uncertain geopolitical mining organizations to adapt in today’s fast-paced, ever-
landscapes, technological and evolve. changing environment.
disruption and increased
An important part of this In this report, we explore how
demands from communities
evolution involves improving organizations are addressing
and investors. According to
the sector’s ability to attract this critical challenge.
the global mining executives
and retain top talent that
we surveyed2, these challenges
TOP TALENT-RELATED LEADERSHIP CHALLENGES
% 0 25 50
Ensuring diversity and inclusion 22%
across the organization
Developing high potential talent 16%
Succession planning and an 12%
aging workforce
Attracting & retaining top talent 10%
Ability to implement
10%
new technology
Lack of board and leadership
10%
engagement for talent issues
Developing a strong
organizational culture 8%
Other* 12%
1
See the list of executives interviewed on page 12
2
60+ mining executives globally provided feedback for this report via online survey and
telephone interviews
*Other represents: changing expectations of employees, lack of trust among teams that must work
together and with management and driving accountability 2
Attracting Talent: Reputation
Issues & a Shrinking Talent Pool
It is no secret that the labour market is rapidly changing, especially in mining. In
Canada, for example, “almost half of the present workforce (within the mining
industry) is over 45 years of age and 60,000 people will retire in the next
decade,” according to the Mining Industry Human Resources Council. These
trends are affecting the industry in all corners of the globe and are forcing
organizations to really compete in attracting the next crop of young talent to
replace an aging workforce.
When it come to attracting nine out of ten of millennials corporate governance (ESG)
these next generation leaders, (those between the ages of 22 issues such as sustainability and
mining faces another unique and 37) would consider taking CO2 emissions — areas that the
challenge. According to the a pay cut to work at a company industry has been struggling
executives we surveyed, whose mission and values to address. This shifting
younger generations have align with their own.” This is perspective is also resulting in
become less interested in especially relevant in mining, declining enrolment in fields
the industry and are instead where potential future leaders such as mining engineering,
searching for purpose-driven are not only concerned about metallurgy and geotechnical
work. For example, in research purpose, but hold strong views engineering, all critical to the
conducted by LinkedIn, “nearly on environmental, social and mining sector.
GREATEST CHALLENGES FOR ATTRACTING LEADERSHIP TALENT
% 0 25 50
Location of operations 29%
Shrinking talent pool 20%
Industry reputation 18%
Growth opportunities 18%
Type of organization 8%
Other* 7%
*Other represents: company reputation, size of organization and competitive pay vs other industries 3
Lack of diversity and an A big part of having a good their internal ESG criteria.
inclusive culture also continue story starts with driving the LKAB, together with Vattenfall
to be a challenge when right culture. Leaders must and SSAB, has created an
recruiting top talent to the establish an underlying “alliance” with their “steel
mining sector. According to platform of values and then without carbon” initiative to
Bloomberg, as of 2019, the develop and reward talent underline their commitment to
proportion of women employed internally to live those values, decreasing CO2 emissions and
by mining companies sits at while bringing in the right help them attract more young
around 15.7% — with numbers external talent to continue people to the industry.
worse at the management shaping culture. For instance,
When it comes to D&I,
level. Our data and interviews Centerra Gold has a process
executives have expressed
support this notion. When in place that ensures that key
the importance of not just
asked what the top three hires at their mine site locations
focusing on the recruitment
talent-related challenges are are being assessed for the right
and development of women,
for mining organizations, leadership attributes.
but also on the many
the majority of our cohort
Not surprisingly, the role of underrepresented groups
selected diversity and inclusion
the CHRO is increasingly often missing in the leadership
(D&I) as the key issue and
more critical in aligning ranks. This requires a more
acknowledged that attracting
culture, people and processes. inclusive environment where
and keeping younger talent
According to Lundin Mining, diverse talent is being
— women in particular
connecting corporate strategy identified and moved into
— is a critical objective for
with performance management leadership roles earlier and also
their organizations.
has been key to shifting supported through leadership
SHIFTING CULTURE & behaviours and driving results. development programs that
BUILDING A BETTER STORY ensure their progress. Bottom
Mining companies are also
line: shifting the culture in many
While there are no immediate under pressure to develop and
organizations is paramount,
‘quick fix’ solutions to address operationalize a coherent ESG
as top performers will look for
these important issues, several strategy in order to attract
tangible D&I outcomes when
executives pointed out the need investment and top talent. For
judging an organization and its
to create a more compelling example, Anglo Pacific, a major
overall brand.
and coherent brand story so natural resources royalties
that the industry can be seen as business based in London, will Attracting new talent to
an exciting career path for the not consider any investment the industry also requires
next generation of leaders. opportunity, regardless of its educating the marketplace
profitability, unless it meets about what an advanced and
4
high-tech business mining is THINKING OUTSIDE THE BOX
today — offering opportunities
Even when you have a good
for individuals to grow their
story to tell, attracting top
careers and innovate. Increased
talent requires creativity in
automation and digitization
today’s highly competitive
of the industry will mean that
environment. An increasing
the leaders of tomorrow will
number of mining companies,
be managing operations from
such as New Gold and Alamos
urban centres and may not
Gold, are actively recruiting
have to relocate or travel as
leaders from outside the
much as in the past. COVID-19
industry to improve their
has demonstrated the industry’s
bench strength — bringing new
ability to pivot, making way
perspectives and skill sets to
for a new generation of tech-
their leadership team.
enabled leaders.
Interim executives are also
Of course, finding ways to
being brought in to help fill
engage potential talent before
critical skills gaps or take
they start their careers is
on large-scale innovation
also key and many of the
projects that are key to helping
executives surveyed stressed
organizations transform.
the importance of working
Assessing incoming leaders
more closely with universities,
must also be part of the talent
locally and around the globe.
strategy. The use of assessment
Many companies have turned
tools is becoming more
to recruiting from specific
prevalent as organizations look
universities and offering
to ensure that the talent they
graduate scholarships to recruit
are recruiting has not only the
top talent. Others, like Ukraine-
technical skills required, but
based Ferrexpo, are reaching
also the soft skills needed to
out to students through
engage, motivate and retain
bursaries, presenting training
their top people.
and development opportunities
and showcasing the innovation
of mining robotics at schools.
5
Retaining and Developing Talent:
Talent Planning & Creating Opportunities
for Growth
Of course, attracting great talent is only half the battle — retaining them is
equally important for the long-term success of any organization. The executives
we spoke with identified slow career progression and a lack of growth
opportunities, coupled with an overall lack of succession planning, as barriers
to the retention and development of high-potential leaders in the industry.
Commodity cycles and being spread out geographically have contributed to
this, as has the resistance to embracing new technologies. Remote locations
have negatively impacted the attractiveness of the industry in general and the
mobility of talented employees.
BIGGEST OBSTACLES FOR TALENT RETENTION
% 0 25 50
Career progression feels slow
for talented people 25%
Putting the right talent in the 18%
right roles at the right time
Mining & commodity cycles 12%
Jurisdiction and location risk 12%
Changing demands and
12%
willingness to relocate/ travel
Lack of residential 10%
opportunities
Other* 11%
*Other represents: FIFO rotation and low job security 6
TECHNOLOGY IS KEY the mobility of talented The shift to more remote
TO WIDENING THE employees for years, can management from ‘boots on
TALENT POOL be limited through the use the ground’ also means that
of technology. Increasing organizations will have more
As one executive told us,
remote management, for opportunities for leaders
technological innovation at site,
instance, allows employees to who are looking to bring a
such as automation, is already
communicate more effectively different mindset and skillset
happening and is challenging
over digital platforms no to the industry — those that
status quo approaches and
matter where they are. Several are comfortable operating in a
hierarchical culture within
executives mentioned that more high-tech environment,
the industry.
this also makes it possible to including being able to
While the current crop of conduct R&D and manage communicate across digital
leaders is beginning to embrace production from a distance platforms. This is why key
technology more readily, the in popular cities. Sherritt to the promotion and hiring
next generation of leaders International is creating “hubs” of general managers at De
expect it to be part of their for R&D and production in Beers is demonstrating an
day-to-day. more popular locations (e.g. interest and track record of
Stockholm, Toronto, London), innovation, as well as the ability
As an example, the remote
thereby reducing the need to adapt and thrive in the
locations of operations, which
for talent to move to remote current environment.
has negatively impacted
mining areas.
TOP TALENT DEVELOPMENT CHALLENGES
% 0 25 50
Improving leadership skills in high
potential talent — especially soft skills. 21%
Improving the organization’s
ability to innovate and implement 17%
new technology
Improving business decision 15%
making skills in key roles
Improving efficiency and 15%
effectiveness of operations
Improving ability to operate
12%
with cultural awareness
Building trust among teams that must
work together and with management 8%
Improving employee engagement 8%
Other* 4%
*Other represents: improving safety & environmental performance and improving global mobility 7
WHY SUCCESSION PLANNING of allowing younger talent to are starting to use talent
IS TABLE STAKES emerge, but it’s also a result of mapping as a way of identifying
the lack of talent planning and untapped potential within the
Addressing the significant gap
development programs in place. organization and skill sets that
between the next generation
aren’t being leveraged. Others,
of leaders and the existing Organizations must invest
like IAMGOLD, are focusing on
executive teams will also be in 360 assessments and
supporting the development of
critical for the industry to grow leadership development
critical soft skills, and not just
and compete. Many felt there programs, provide stretch
promoting people based on
is an organizational bottleneck assignments to build expertise
technical ability. Programs that
in the ability to allow talent to and leadership potential and
provide young talent with more
progress and flow. Part of this even go as far as creating
visibility into the management
is due to the fact that many new roles that will help their
team can also be very helpful
leaders are working to, and future leaders develop and stay
in engaging talent early on in
beyond, retirement, which engaged with the business and
their careers.
impedes the natural process the brand. Some organizations
HOW MINING ORGANIZATIONS ARE BUILDING THEIR LEADERSHIP TALENT
% 0 25 50
External hires to build
bench strength 21%
Stretch assignments 17%
External leadership
15%
development programs
Mentoring programs 10%
Employer branding — developing a
10%
positive image as a great place to work
Key external hires to shape culture 10%
Executive coaching 9%
Other* 8%
*Other represents: developing relationships with universities for internal development 8
The Mining Executive of the Future:
Agile, Visionary & Compassionate
A critical part of talent planning for the future requires a deep understanding of
what kind of leader will be successful in these days of technological innovation
and remote work.
In a recent global survey of and strategic thinking as being Developing leaders who are
nearly 2,000 executives we critical for leaders who must well rounded so that they
conducted in partnership be consistently adapting to have both the technical
with Harvard Business Review change and transforming their understanding — understanding
Analytics, we found that only organizations. These findings geology and production as
15% were confident in their are consistent with what well as technology, HR and
leadership’s ability to manage we heard from the mining commercial issues — and the
through disruption. And while executives we interviewed, who necessary soft skills will be
all organizations reported being identified a need for more soft key to building the kind of
challenged by legacy systems skills at the executive level. culture that attracts and retains
and operations, it was the top talent. Kinross Gold is
In the mining context this
leadership mindset, particularly working to redefine what a high
means that leaders need
their vision and preparedness performer looks like, rewarding
to be able to see the future
for change, that seemed to high emotional intelligence and
and connect the dots from a
separate the confident from the the ability to empower people
‘systems thinking’ perspective.
less so. and teams across the company.
It also means that leaders
More specifically, the Odgers must establish organizational
Berndtson Leadership values that are built into the
Confidence Index revealed culture and fostered across
that the most confident 15% the organization, including
identified such character traits at the board level, given the
as adaptability, resilience, increasing focus on ESG and
emotional intelligence, courage diversity, equity and inclusion.
9
MINING LEADERS OF Agility. Given the pace of challenges to a shrinking talent
THE FUTURE WILL NEED change and disruption, leaders pool, a resistance to embracing
THESE TOP FOUR CORE who can pivot quickly will new technology and a lack of
COMPETENCIES: be in high demand. Leaders diversity, the industry is primed
need to be comfortable with for change and growth coming
Vision and strategic clarity.
not knowing or having all the out of the pandemic. It is the
As one of the executives we
answers. Embracing a different organizations that embrace
spoke with said: “A great CEO
way of working and operating the current challenges and
helps an organization see what
is key to shifting culture, as is invest in attracting, retaining
is possible and rallies the team
embracing new technologies, and developing the right kind
to achieve what others would
and ESG and D&I best practices. of leadership talent that will
think impossible.” Leaders need
be best positioned to innovate,
to be able to communicate Empathy & cultural awareness.
compete and thrive.
and engage their team in their Given the global nature of
vision and strategy. And they mining companies, leaders must
need to be comfortable with be able to create an inclusive,
what they don’t know and bring supportive environment that
on talent who can fill the gaps. encourages all employees to
speak up. What works in one
Business acumen and
country will not necessarily
commercial understanding.
work in another, so the ability
Every role, from geologist
to create trust across the
to finance leader, needs to
organization requires leaders
understand how to create value
who are open, empathetic and
for the organization. A leader’s
human — and really engaged
ability to connect the dots
with their local teams.
between behaviors and results
is a competency being sought It’s clear from our many
more and more by leading conversations with executives
mining organizations. This also around the world that the
means taking ownership and mining industry is in the
accountability for making the midst of a seismic shift.
tough decisions. From reputation and cultural
10Three Steps Your
Board/C-Suite Can
Take Right Now
1 MAP YOUR TALENT PAN
TO YOUR STRATEGIC PLAN
Talent development is among the top priorities
and responsibilities of the board and senior
team. Your talent plan should be driven by
the company’s business strategy and a clear
understanding of the current and future
trends that will impact your business, your
organizational structure and your talent needs.
Reviewing your current leadership against
these needs should be a key part of an ongoing
succession planning process that will ensure you
are attracting, retaining and developing the right
2
leaders to support your organization’s growth
and success.
BUILD A CULTURE THAT
ATTRACTS & RETAINS TOP TALENT
Top candidates are looking for organizations
that are technologically advanced, diverse and
inclusive, and committed to ESG best practices —
organizations that care about the impact they are
having on the world. Organizations are constantly
being evaluated for these best practices, as well
as what opportunities they provide for growth
and development. Organizations must be clear
3
about their vision, purpose and values and then
they must demonstrate these values inside and
outside the organization.
INVEST IN YOUR NEXT GENERATION LEADERS
High-potential leaders typically make up only five
to 10% of an organization’s employee population.
They are often defined as leaders who can step
up one or two levels within 18 to 24 months or
who can quickly switch from one leadership role
to another in a different function and quickly
add value. You will need a process to identify
and assess these next generation leaders and
to develop them through stretch assignments,
newly created roles and leadership development
support, including coaching and mentoring.
11Thank You to the Mining Executives
Who Contributed to This Report:
CANADA Jennifer McRae, RUSSIA
Former Senior Director,
Michelle Edwards, Human Resource Strategy, Dmitry Balandin,
Global Director, Corporate Human Kinross Gold Chief Financial Officer,
Resources, Acron
Agnico Eagle Mines Jean-Claude Lalumiere,
Senior Vice President Egor Maslov,
Christine Barwell, Human Resources, Vice President, Transformation,
Vice President, Lundin Mining Highland Gold Mining
Human Resources,
Sharon Giraudel, Ruslan Ilyasov,
Alamos Gold
Director Human Resources, Deputy Chief Executive Officer,
Claudia D’Orazio, New Gold Metalloinvest
Chief Human
Ian Pearce, Sergey Davydov,
Resources Officer,
Chairman, Vice President,
Centerra Gold
New Gold Human Resources,
Catharine Farrow, Sibanthracite
Director, Jenine Ellefson,
Vice President, Dmitry Konyaev,
Franco-Nevada
Human Resources - Deputy Chairman,
Mary Jo Smith, North America Uralchem
Director Human Resources,
Jacques Perron, Dmitry Osipov,
Denison Mines
President & Chief Chief Executive Officer,
Lisa Zangari, Executive Officer, Uralkali
Former Chief Talent & Pretivm Resources Inc. SOUTH AFRICA
Compliance Officer,
Guyana Goldfields Karen Trenton,
Mpumi Zikalala,
Senior Vice President,
Karen Walsh, Managing Director,
Human Resources,
Vice President People and De Beers Managed
Sherritt International
Organizational Development, Operations (South Africa
Harte Gold Stacy Kimmett, and Canadian operations).
Vice President,
Peter Kukielski, SWEDEN
Human Resources,
President and Chief Wesdome Gold Mines Asa Jackson,
Executive Officer,
LONDON Senior Vice President
Hudbay Minerals
Corporate Responsibility,
Dorena Quinn, Eric Asubonteng, Boliden
Vice President, People (Global Managing Director,
Jesper Hedin,
Human Resources), AngloGold Ashanti (Ghana)
Head of Talent Management,
IAMGOLD
Patrick Meier, Svemin
Don Charter, Chair,
Grete Solvang Stoltz,
Chair of the Board, Anglo Pacific/Firestone
Senior Vice President
IAMGOLD Diamonds
Human Resources,
Nicole Poncelet, Frederick Attakuma, LKAB
Director, Human Resources, Managing Director,
IAMGOLD Asanko Gold Ghana
Tara Wiseman, Greg Nortje,
Vice President, Group Chief Human
Global Human Resources, Resources Officer,
Kinross Gold Ferrexpo PLC
12Odgers Berndtson’s Global
Mining & Metals Practice
A leading global executive search and leadership advisory firm with 61 offices in
30 countries worldwide, Odgers Berndtson understands the unique challenges
and opportunities facing the global mining sector. We provide our clients with
solutions that combine our in-depth industry knowledge and functional expertise
from offices in mining hubs such as Johannesburg, London, Melbourne and
Toronto. We work with major mining houses, mid-tier firms and junior mining
companies to provide them with the talent they need to secure investment,
develop major projects and maintain their top position on the world stage.
Our Global Team
Robert Quinn Mary McKenzie Mark Sloan
Partner, Head, Global Mining & Principal, Mining & Metals Practice Partner, Head, Industrial Practice,
Metals Practice, Toronto, Canada Toronto, Canada Sydney, Australia
Tel: +1 416 366 1990 Tel: +1 416 366 1990 Tel: +61 2 8905 3721
robert.quinn@odgersberndtson.com mary.mckenzie@odgersberndtson.com mark.sloan@odgersberndtson.com
Linda Shore Rustam Bostanov Pierre Hervé-Bazin
Managing Partner, Mexico City, Partner, Global Mining & Metals Partner, Brussels, Belgium,
Mexico Practice, Moscow, Russia Brussels
Tel: +52 81 8218 2000 Tel: +7 495 935 76 54 Tel: +32 2 725 0004
linda.shore@odgersberndtson.com rustam.bostanov@odgersberndtson.ru pierre.herve-bazin@odgersberndtson.com
13Lauren van Halderen Jukka Lehtiluoto Roberto Hall
Executive Director, Global Senior Advisor, Mining & Metals Managing Partner, Head of Mining
Mining & Metals Practice, Practice, Helsinki, Finland & Metals Practices, Colombia
Africa & the Middle East
Tel: +27 11 444 7572 Tel: +358 10 424 1800 Tel: +571 7954 668
lauren.vanhalderen@odgersberndtson.co.za jukka.lehtiluoto@odgersberndtson.fi roberto.hall@odgersberndtson.com
Bengt Starke Yan Vermeulen Duygu Kayaalp
Global Head of Industrial, Partner, Global Head of Chemical Partner, Istanbul,
Stockholm, Sweden & Process Industries, Singapore Turkey
Tel: +46 8 662 55 15 Tel: +65 9850 8270 Tel: +90 212 231 8878
bengt.starke@odgersberndtson.se yan.vermeulen@odgersberndtson.com duygu.kayaalp@odgersberndtson.com.tr
14You can also read
