Professional Documents
Culture Documents
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PETRONAS Gas Berhad ( PGB ) was incorporated as a private limited company on 23th May
1983 under the Companies Art, 1965 of Malaysia and converted to a public limited liability
company on 28rd March 1995. PGB is a gas processing, transmission and utilities company.
PETRONAS, the national oil company holds 60.63% equity in PGB which was listed on the
Main Board of the Bursa Malaysia Securities Berhad on 4th September 1995. In addition to gas
processing and transmission, the Company¶s activities includes supply of industrial utilities such
as steam, electricity, oxygen, nitrogen, compressed air, demineralised water and waste water
treatment to the petrochemical complexes in the Kertih and Gebeng industrial zones.
The company operates six Gas Processing Plants ( GPP ) which process natural gas from
the offshore fields of Terengganu. Four of these plants are located in Kertih and the other two in
Paka, Terengganu. The plants have a proven sales gas production capacity of 2,060 million
standard cubic feet per day ( mmscfd ) in addition to gas derivative products such as Ethane,
Propane, Butane, Condensates and Carbon Dioxide. In addition, the company has standby units
The sales gas produced is transmitted via 2,505km Peninsular Gas Utilisation ( PGU )
pipelines to end-users in the power, industrial and commercial sectors. The company also
The Company currently employs over 2,000 staff located all over the nation. To ensure
that the company meets its business objectives as well as its corporate social responsibilities,
employees¶ capabilities and competencies are continuously enhanced through structured training
programs and by being active members of the communities where they work.
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At PETRONAS, they adopt the functional organizational structure for enabling specialists to
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d Strategic Marketing
d Marketing Operations
d ogistic
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Systems (IT/IS)
d Procurement
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d Acrylics Complex
d BDO Complex
d OXO Complex
d Technical Competence
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This division is divided into three main departments. The first department is human resources
including the recruitment, training and development of staff, union and employee relations, exit
department¶s main focus is on the planning and implementation of training and development of
staff as well as their succession planning. It is also responsible for setting up and implementing
handles all areas relating to the ÊRM policies and guidelines as well as remuneration,
compensation and benefits of all PETRONAS employees. Matters handled by this department
asset management, company vehicles and transportation as well as office maintenance services
and telecommunications.
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At PETRONAS, employees are never stagnant. Êere, strengths are nurtured, while competencies
and skills are polished as full support and encouragement is provided for each employee to reach
their full potential. Stepping into the employment of PETRONAS, employees immediately
embark on a journey of learning experience. Our insiders are privy not only to training and
development activities in the form of course under formal classroom settings conducted
internally as well as externally, but also benefit from the casual day to day mentoring and
coaching, on the job training, job enlargement, job rotation and self learning among others too.
There are some of the more prominent formal programs that PETRONAS have designed
to assist our insiders in improving their knowledge and skills. The formal programs were design
is Technician Development Program (TDP), education grant and developing in house trainers.
program, which has benefited many staff. Designed specifically for technicians, it is run
internally, combining classroom courses with on-the-job training and assignments. Through this
program, technicians are able to progress from Tech III to Tech II, Tech I and eventually to a
For program education grant PETRONAS is always applauding and cheering on their
employees who are willing to go the extra mile in the quest of expanding their knowledge in
fields relevant to their job or future projects and assignments. As a testimony of their
commitment to support the employees in pursuing higher education, we share the education costs
for those who are pursuing the qualifications like diploma, degree, master degree or Ph.D.
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The next program is developing in-house trainers. Superiors are consistently identifying
the subordinates training needs. In order to provide effective and relevant training, PETRONAS
has developed over 30 in-house trainers. These trainers are well equipped to provide training and
development program in areas permit to work training, confined space and AGT, processed
safety workshop, advanced first responder training, first aid training, safety leadership workshop,
job safety analysis and hazard identification training, emergency response plan, basic fire
Besides that for the non-executive, the company continues developing and enhancing
their technical skills and competencies through various structured training programs and
assessment. The PETRONAS Competency Based Assessment System (PECAS) has now been
implemented at all operating divisions. The PECAS ensures that non-executives technical are
able to perform multi-tasking functions at the plants. Training workshops were conducted to
prepare their non-executive technical to undertake the assessment. The company also provides
career progression opportunities to executive level for eligible and experienced non-executives.
The company also encourages self development by promoting the use of PETRONAS e-
earning portal. The PETRONAS e-earning portal currently offer more than 500 modules
earning portal is accessible through the internet thus encourages self-learning at employees own
pace and time. To promote a self learning culture, the company awards certificate of recognition
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Recruitment is the process of sourcing the most suitable candidates either internally or externally
to fill up vacant position in the company. Firstly, external candidates will be sourced from write-
in received from external or applications received from candidates through advertisements for
submit a detailed resume stating personal particulars, employment history, and qualifications
Thirdly, candidates who meet the specification of the vacant position will be short-listed
competencies and others. In general, the minimum academic qualification at the point of entry
qualification in the relevant field according to the requirement of the job. Minimum academic
The next process of recruitment is interview. Candidates selected for the interview will be
required to bring along original and copies of their academic achievement and qualification,
document to support past working experiences and other relevant document. After the interview,
the best candidates will be selected for appointment. The appointment will be subjected to the
candidates certified fit for employment by company, has no previous criminal record, has not
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PETRONAS pay high attention towards career advancement management for their employees.
They embrace the tradition of looking within before elsewhere to fill vacant positions within
their company. This tradition is strongly backed by their training and development programs,
designed to ensure that their staff never remain stagnant but are consistently growing in
knowledge and skills to take on greater challenges and responsibilities when the need arises in
the future. Their employees are given the opportunity to not only expand their skills and
experiences within the company. There are occasions when staffs are dispatched as delegates to
In developing new executive, mentoring programs continue to be one of the main building
blocks. Such as programs promote accelerated learning and build loyalty amongst new
employees. In year 2007, 144 new executives were paired with experienced staff as mentors.
These mentors have been trained to provide appropriate guidance and counseling to assist the
new executives through their personal and career development journeys. The Building eaders
Programs remains as an important element of their efforts to groom future leaders for the
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In ensuring that the company meets its business objective, Key Performance Indicators (KPI) are
Performance Management System (IPMS), the employees are appraised and differentiated in
terms of their contribution and performance. In addition, the company also conducts a 360
outperforming in their duties, behaving as an owner and inspiring others to do the same.
The rewards and remuneration system clearly differentiated between employees who
outperform and demonstrate strong leadership behavior. The company achieved average of 15
training days per staff, covering both functional skills training as well as leadership development
trainings. Training indicators, form part of all managers KPIs to ensure sufficient is provided on
During the year, various programmes were conducted to further enhance management
and leadership skills of our middle and senior management. The Senior Management
Development programme (INSEAD) was attended by two members of our senior management.
Other management programmes attended by 37 managers and senior executives were the
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Succession planning is another important element to ensure sustainability of growth. During the
year, they have developed succession planning for 314 technical executive and manager
positions. Furthermore, the Company encourages staff mobility to accelerate staff development.
For the year, Company achieved mobility of 28.7% through transfer within the company and to
the PETRONAS Group of Companies. The Company has well-placed systems and processes to
To ensure focus by the senior management on human resource matters, they conduct
monthly Êuman Resource Committee to provide a platform to discuss and deliberate on people
development issues. The company was recognized for its exemplary human resource practices
when it was accorded the Êuman Resource Minister Award 2006 in September 2006. The
recognition was given by the Pembangunan Sumber Manusia Berhad ( a statutory body under the
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PETRONAS is a fully-integrated oil and gas multinational corporation fully owned by the
whichever local government¶s (where it has its operations) rules and regulations in terms of
social welfare including employee benefits or environment concerns. Êowever, in countries such
as Myanmar, the human rights law itself is very low standard, so complying with them may not
be an issue at all PETRONAS but certainly not sufficient from sustainable point of view.
PETRONAS management should actively pursue social equity and human welfare issues
while continue to be in operations in countries where the local government is condemned for
human rights violations such as Myanmar. From the issues, PETRONAS should use its influence
to pressure the local governments to improve their human rights records. PETRONAS also must
report out any improvements it has managed to bring out directly and indirectly. The benefits
PETRONAS are its corporate image will be tremendously improved and not be condemned by
human rights groups while being able to continue operations in those countries.
Êowever, PETRONAS must also be prepared not to continue its business if it doesn¶t
succeed in improving human rights situation. This issue may be difficult considering
PETRONAS is fully owned by the Malaysian government and the Malaysian government¶s
position on Myanmar is to work with the present government in Myanmar to reduce its human
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