Essays on HR Planning and Recruitment - Abu Dhabi National Oil Company Case Study

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The paper 'HR Planning and Recruitment - Abu Dhabi National Oil Company " is a good example of a management case study. Abu Dhabi National Oil Company (ADNOC) is one of the oldest oil companies in the world. It was established in 1971 with the main aim of operating and managing oil and gas resources in the country (About ADNOC, 2010). Since its inception, the company has broadened in its activities establishing many firms and business subsidiaries while creating other integrated gas and oil companies dealing with production, exploration, oil refining and other support services.

The company has also established chemical and gas processing plants, petrochemical, refined product and marine time transport distribution plants (About ADNOC, 2010. The company is headed by the Supreme Petroleum Council (SPC) who is chaired by H. H. Khalifa Bin Zayed Al- Nahyan who doubles up as the chairman and the president of the council and UAE and at the same time is the Ruler of the ADNOC is the one responsible for formulating policies and overseeing how those policies are implemented within the company.

ADNOC has a total of fourteen subsidiaries which are in different fields which include; gas, oil, and petrochemical field. Also, they deal in crude oil and transportation of gas and other services. The rules for human resource mobilization in most companies are the same throughout, and this is not exceptional for the ADNOC. Human resource is the most crucial resource which the company can manage to have among all resources. In the Oil Company, they know very well that in case employees are dissatisfied then the company production will be in jeopardy. The company Mission and Vision 1.1“ Vision: The vision of the company is to become a value-added supplier of environment-friendly, integrated and high-quality products and also the services in the gulf” (About ADNOC, 2010) 1.2“ Mission: ADNOC is a quality-focused association managing a considered logistics support base providing inclusive products and services to the industry of oil and gas, while remaining committed to its customers, owners, employees and the community” (About ADNOC, 2010) The department of human resources in ADNOC is majorly concerned with the continuous recruitment and maintenance of human labour within the company.

The ADNOC Company always keeps a continuous check on the availability of its human resource currently at the work and database and keeps on forecasting for any future need for human resource (ADNOC, 2010)Currently, the company is hiring employees mostly from the UAE nationality as cited in the company strategic plan called the National Recruitment program which is supervised and managed by the national recruitment group department.

The aim of the company under this program is to increase the number of UAE nationalist in the company the year 2014 to 75% (ADNOC, 2010)The company also relies on cheap labour and a workforce from India apart from the GNRP program.

This is very important in cost reduction in the company's groundwork operations and different company sections. Another company objective is to improve the skills of its employees, listen to their problems and make them feel more comfortable within their work environment at ADNOC. The human resource department has well structure procedures through which the company can estimate the number of labour and the relevant skills which they should possess. There is constant communication between the GNR and the entire department concerning their plans and requirements presently and in the future (ADNOC, 2010).

Following this information from different departments, the human resource department is able to forecast the company requirements of the needed manpower. The human resource department also identifies the various vacancies within different organization departments and do take appropriate steps in filling them in time. They contact the respective departments to issue them with the present skills needed altitude of the work and the number of people required to perform such task. The Company presently does hire its employees in two spheres: first, it gives local candidates partiality based on their Nationalities as per the GNR data.

Secondly, the posts which are remaining are internally advertised by the human resource department through the newspaper, recruitments sessions in the country learning institutions and through online recruitment methods. There is a company open recruitment porthole through which the human resource depart accepts resumes and through that, they are able to select the most suitable candidate for the job. 3.0 Employees turn over problems. From the interview, the company is experiencing low employee turnover for the past four years.

They do calculate the turnover rate by getting the average number of employees. That is, employees at the beginning of the year add the number of employees at the end of the year then divide by two. After that, divide the number of employees who left with the average number of employees then multiply the result by 100. In ADNOC the employee turnover in the year 2012 was 1.34% and the absenteeism case was 3 employees for the whole year. 4.0 ways to tackle Human resource problems currently Some of the key human resource policy used at the Dhabi national oil Company to tackle turnover and absenteeism challenges includes employee’ s improvement programs and employees training.

They are described below in details; 1. Performance enhancement program: The Dhabi National oil Company launched an elaborative performance improvement program in the year 1986. It involves opportunities, major projects and challenges which support the objectives of different departments. Different teams were formed for major activities within the company and each and every team was headed by the team manager.

The main characteristics of this program include; i. Monitoring at the departmental levelii. Employee’ s recognitioniii. Multilevel project workiv. Teamwork encouragement and motivation work to cut across departmentsv. Head of department management level2. TrainingAfter an employee has been recruited into the company, the employees will undergo various training programs. The training program offered by the Oil company has been rated as the best in the world. in the year 2004 alone, the company did offer over 1,267 training out of which 522 training were related to operations, 135 of training were related to environmental health and safety to boost the company environment, 64 of the training were development and management training while the rest of training was related to the improvement of quality and information and technology (ADNOC, 2010).

The training is specifically important as it enables the employees to understand the company operations and also it gives the employees chance to discover their potential. 3. Salaries and incentives: The company does offer different incentives to its employees since it is the employee’ s intensive company. The human resource department measures the employee's performance and offers them rewards and payees according to the pay-performance plan.

Other incentives include subsidized breakfast and lunch at the company’ s cafeteria, holiday picnics, team building and many other incentives. 5.0 Other human resource problems apart from absenteeism and turnover faced by the companyApart from the employee’ s turnover and absenteeism, the Human resource department also faces the following challenges; i. Time management: this is another big problem which the company is facing; some employees do come late to work and leave earlier than stipulated. ii. Employee’ s conflict- there has been rampant conflict within and across departments of the company and most of the time, it has slow down the company productivity. iii.

Promotional issues- where there has been discontent among many employees concerning promotional issues and this has had a negative impact on the company. iv. Interpersonal conflict- where there has been conflicting among employees due to personal differences among themv. Increasing wage bill- continuous demand for a pay rise which has resulted in an unsustainable wage bill within the company5.1 Possible ways of tackling these human resource issuesi. Team building- the company should employ a team-building spirit as this will help in resolving interpersonal conflict and departmental conflict within the organization.

ii. Promotion of employees should be done on merit to avoid power wrangles and problems which can create unnecessary tension within the organization. iii. Proper reporting and communication channels to void communication breakdowns and departmental conflictiv. The company should also come up with a salary reviewing policy to curb the unnecessary increase in the wage bill.


About ADNOC.(2010) (n.d.). Retrieved on March 18th 2010, from

ADNOC - Abu Dhabi National Oil Company. (n.d.)(2010) Retrieved on March 18th 2010, from

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