BECHTEL GLADSTONE QUEENSLAND TRAINING AWARDS SUBMISSION

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2 P a g e 2 BECHTEL GLADSTONE QUEENSLAND TRAINING AWARDS SUBMISSION Our Vision: To be the world s premier engineering, construction, and project management company. From the Bechtel Charter s Vision + Values Bechtel is the primary Engineering, Procurement and Contract Management (EPCM) contractor for the Curtis Island Liquefied Natural Gas (LNG) Projects in Gladstone, Central Queensland. Employing more than 8000 people Bechtel is currently building three mega projects side-by-side on Curtis Island in the Gladstone Harbour - Queensland Curtis LNG facility for BG Group and its partners; Gladstone LNG project for Santos, Petronas, Total, and Kogas; and the Australia-Pacific LNG project for ConocoPhillips and Origin Energy. The company s commitment to uncompromising ethics, quality, safety and the communities where it works is evidenced by the enduring legacy of its projects, a safety record that exceeds industry standards, and the thousands of workers now equipped with skills learned through Bechtel training programs. Bechtel Australia s projects have often been Australian or industry firsts, with many in remote locations, and under challenging conditions. With a portfolio spanning mines, minerals processing facilities, liquefied natural gas installations, refineries, chemical plants, power stations, and telecommunications infrastructure, Bechtel is helping build Australia s future. The Curtis Island LNG Projects are currently moving from the civil construction stage into the structural construction phase. Currently the largest employer in the Gladstone region, Bechtel delivers extensive training programs across each of the three projects in conjunction with Project schedules and needs. 1. OVERVIEW OF TRAINING PROGRAMS Bechtel s training philosophy seeks to tailor Project needs, compliance requirements and staff development to meet the objectives of the region it is operating in. Customer needs, construction schedules, career roadmaps, functional matrix and

3 P a g e 3 compliance requirements all play a part in determining training needs on the Curtis Island LNG Projects. 1.1 Objectives of Curtis Island Training Strategies: Meet Bechtel quality, safety and production requirements; Supply a trained and competent workforce to meet Project needs; Conduct training in occupations/areas of known or anticipated shortages; Maximise local community and indigenous opportunities; Contribute to and reinforce positive Project culture; Establishing a pool of trained, experienced, work ready employees that have the ability to transfer from one Bechtel Project to the next; Identifying potential skills and experience gaps and assisting applicants with closing those gaps with targeted training, trainee or apprenticeship schemes; Working with Contractors (where applicable)to identify employment roles and skill sets in order to assist with identifying the best personnel against positions; Identifying existing employees on site capable of being trained to take on higher duties; Meet legislative and regulatory requirements for the recruitment of foreign workers; Utilising external agencies and Registered Training Organisations (RTOs) to assist with the preparing, supporting and case management of applicants requiring additional assistance or support, for example employees changing career, indigenous employees, new employees entering the workforce and employees re-entering the workforce after a significant absence; Utilising external agencies and RTOs to assist with the coordination of traineeships, apprenticeships and specific training; Identify and utilise funding opportunities that support the Project Training Plan (where applicable). In order to meet the training objectives listed above Bechtel has implemented a series of major training and learning and development programs across the Curtis Island LNG Projects. 1.2 Major Training Programs on Curtis Island: National Apprenticeship Program (NAP): In partnership with NAP, Bechtel has committed to employing 400 adult apprentices during construction - the largest intake of adult apprentices in Australian history. The apprentices are individuals who are either experienced trades assistants from construction and engineering trades; have trade related qualifications; have partly completed an apprenticeship or are

4 P a g e 4 permanent Australian residents with overseas qualifications not yet recognised in Australia. Five trades are offered through the NAP program: Electrical, Instrumentation, Metal Fabrication (Boiler Maker /Welder), Mechanical Fitter and Carpentry / Formworker 92 adult apprentices currently employed on the Curtis Island LNG Projects Two stages to trade qualification: formal recognition of prior learning (RPL) process and gap training. The RPL process allows for advanced entry into the trade where skills and knowledge previously gained are assessed and awarded against the qualification. Gap training includes on the job training combined with off the job training. Off the job training includes attending blocks of college at a Registered Training Organisation (RTO), in this case TAFE. Accredited Upskilling Programs: Skill development training is offered as projected staffing forecasts indicate areas of anticipated shortages. Upskilling provides employees with opportunities to obtain ticketed and non-ticketed qualifications. Training to date has targeted upskilling employees in the following areas: Dogging (68 employees up skilled to date) Rigging from basic, to intermediate, to advanced (105 employees up skilled to date) Scaffolding from basic, to intermediate, to advanced (20 employees up skilled to date) Crane operations from Non Slew (CN) to Slewing mobile crane over 100 tonnes (CO) (27 employees up skilled to date) Certificate IV Training and Assessment (VOC program) Cert IV Occupational Health and Safety Non ticketed trade courses where craft are already employed on the Project in existing lower level roles and have the skills, experience and identified potential to be trained into a higher role: o Certificate II in Steel Fixing (31 steel fixers trained to date) o Certificate II in Concreting o Insulating o Cryogenic Insulation Compliance Training: Training to meet State and Federal legislative requirements on the Curtis Island LNG Projects. Verification of Competencies (VOC) Program:

5 P a g e 5 A challenge test based program to ensure that all craft personnel are trained and competent on specified plant, equipment and machinery that operate on the Projects. Learning and Development- Build a Better Bechtel: The aim of this initiative is to improve the overall experience and satisfaction of our people, service our customer needs, and strive for continued excellence in the key areas of safety, quality and service delivery. The expected outcomes of the Build a Better Bechtel initiative will be a more focused and satisfied workforce and increased customer loyalty and satisfaction. This will be driven by continued efforts in the areas of people, customers, safety and quality. 1.3 Other training commitments on Curtis Island LNG Projects: All newly hired or transferred staff takes part in a three day on boarding course when they arrive in Gladstone. This program was specifically designed for the Curtis Island Projects. Project employees are offered functional training throughout the year to provide a higher level of skills in their particular discipline. Soft skill training is also offered on an as required basis. Career development courses are offered once per month (2 x 1 day workshops) and focus on the Bechtel Leadership Model and PBL (performance based leadership) tools. Annual compliance training in the area of Ethics, Safety and Anti- Discrimination for all employees. 1.4 Challenges of implementing training programs on Curtis Island: Ensuring apprentice intakes (hiring) are in line with project demand schedules, off site training coordination and rotating the apprentices to different areas of the projects to further their skills & knowledge Sourcing, contacting and auditing of RTO s to ensure quality training is being delivered Forecasting anticipated shortages in specific classifications/roles and arranging up-skilling opportunities to fill these gaps Releasing project employees from the Projects to upskill due to demanding construction schedules Coordination of training programs to allow for three separate ferry/bussing schedules.do NOT COPY

6 P a g e 6 People will be proud to work at Bechtel. We will create opportunities to achieve the extraordinary, and we will reward success. 2. QUALITY OF TRAINING 2.1 Development and Design - From the Bechtel Charter s Vision + Values National Apprentice Program (NAP) The National Apprenticeship Program (NAP) is supporting Bechtel with the coordination of apprentice intakes. NAP was created after a Federal Government employment taskforce predicted a shortage of tradespeople by at least by NAP s innovative solution was an advanced entry adult apprenticeship scheme for talented Australians with extensive trade skills and experience, but not necessarily a formal qualification. The program s design allows apprentices to complete trade training, potentially within 18 months, rather than the traditional four year timeframe. Due to the length of the Curtis Island LNG Projects a benchmark of 40% Recognition of Prior Learning (RPL) is required for candidates to enter into the program. NAP conducts a robust 100 day selection process in order to deliver high quality apprentices to Bechtel. Bechtel is extensively involved in the 100 day process. For example:

7 P a g e 7 Day 25: Bechtel attends the NAP Information night to inform potential candidates about working for Bechtel, conditions of employment and remuneration Day 73: Bechtel Project Superintendents and Apprentice Coordinators attend the NAP assessment day to select the apprentices. Ongoing support is provided through an apprentice mentoring program. mentoring program is designed to: The Provide guidance and support; Motivate and challenge; Identify and initiate on the on job training requirements; Provide feedback Apprentice mentors are provided training through an adult learning theories and communications skills course. Accredited Upskilling Programs Current Steelfixing and Concreting upskilling programs were designed by Bechtel to proactively address identified skills gaps. The goal of these upskilling programs is to address skills shortages from within the current workforce. These are accredited programs mapped against specific competencies. 2.2 Training Spend Between July 2011 and February 2013: $2, The amount of on-the-job and off-the-job training To date, 6088 project employees have participated in some form of accredited training, which is approximately 358 people per month. 2.4 Integrating training into the workplace See below for examples of integrated learning on the Curtis Island LNG Projects. Bechtel Internship Program: Curtis Island Internship Program launched in university students working across the projects for 8-12 weeks in areas such as engineering, field supervision, project controls, contracts, ES&H, accounting, procurement and community relations Interns are assigned projects which add real world value to their team and the Projects. National Apprenticeship Program: Two stages to trade qualification: 1) Formal recognition of prior learning (benchmark is 40%) 2) Gap training which includes up to 12 weeks of college at Registered Training Organisation

8 P a g e 8 Accredited Upskilling Training Programs: Upskilling programs are site based skill development courses which are delivered on an as needs basis completing work which adds value to the projects. This training is aimed at: Up-skilling existing levels of skill (ticket) from basic, to intermediate, to advanced Specific equipment operator licenses such as elevated work platform, forklift, dozer etc Non ticketed trade courses Give our people a challenge and they ll make history. 3. BENEFITS AND ACHIEVEMENTS - From Riley Bechtel, Chairman and Chief Executive Officer 3.1 Benefits and Outcomes of Training Training programs on the Curtis Island LNG Projects focus on upskilling and creating opportunities for the project workforce, many of which are employed locally. NAP and Accredited Upskilling courses fill an identified skills shortage for the Projects while also presenting individual employees with opportunities to build on their skills and qualifications and increase their future employability.

9 P a g e 9 Between July 2011 and February 2013, 6088 project employees underwent accredited training, which amounts to more than half of the current project workforce. 3.2 Improving for the future Curtis Island training programs successfully improve our business by: o Meeting Bechtel quality, safety and production requirements; o Supplying a trained and competent workforce to meet Project needs; o Filling gaps in occupations/areas of know or anticipated shortages; o Contributing to or reinforcing positive Project culture; o Establishing a pool of trained, experienced, work ready employees that have the ability to transfer from one Bechtel project to the next. Bechtel is a matrix based organisation and as such, its training needs are driven by the nature of the workforce servicing the projects at hand. For the Curtis Island projects, one of the main training challenges faced is the fact that the workforce is predominantly new to Bechtel. Therefore, a significant amount of resources must be dedicated to aligning new staff with Bechtel standards, policies and procedures. In 2013, the company is focusing on Bechtel Certification (BCert) which is a process by which staff will be aligned with company policy and procedure and thereby certified to do their job in Bechtel. In turn this will enhance career capabilities of our staff, improve quality and customer satisfaction. 3.3 Profiling Success The Curtis Island LNG training programs have seen many stories of success, particularly within the NAP, upskilling and internship programs. Please refer to appendices one, two and three for media examples of these success stories.

10 P a g e 10 Uncompromising integrity, honesty, and fairness are at the heart of our company. Bechtel s reputation as an ethical company is one of our most valuable assets. We stand by everything we do. From the Bechtel Charter s Vision + Values 4. INTEGRATION OF TRAINING INTO BUSINESS OPERATIONS 4.1 Identified training aims: 1. Meet Bechtel quality, safety and production requirements; 2. Supply a trained and competent workforce to meet Project needs; 3. Conduct training in occupations/areas of known or anticipated shortages; 4. Maximise local community and indigenous opportunities; 5. Contribute to and reinforce positive Project culture; 6. Establishing a pool of trained, experienced, work ready employees that have the ability to transfer from one Bechtel Project to the next; 7. Identifying potential skills and experience gaps and assisting applicants with closing those gaps with targeted training, trainee or apprenticeship schemes; Training programs are dependent on staffing forecasts and predicted skills shortages on the Projects. Likely areas for future training programs include rigging, scaffolding, dogging, crane operations, insulating and cryogenic insulators. Training is tailored to suit the needs of both the employees and customers. A training needs analysis is conducted as part of the planning process for any project to determine the type and amount of training needed to suit employee and customer needs.

11 P a g e 11 Our commitment to ongoing training on the Curtis Island LNG Projects is evident in planning for NAP apprentice intakes. 4.2 An Ongoing Commitment to Training New-Employee Orientations Offices and project locations conduct orientations with new employees as well as those transferring to a new location. These sessions typically include an overview of Bechtel, Bechtel s Vision + Values, Leadership Covenants, and safety expectations, as well as an overview of medical and other benefits. As stated in Bechtel s Vision + Values, safety is a core value and our unwavering goal, and this is reflected in the orientations. Since its inception we have almost 900 field non manual employees complete this orientation. After the general Bechtel orientation, the employee s assigned functional group will then conduct an orientation specific to the employee s work group, roles, and responsibilities. Training and Professional Certifications Bechtel develops employees of all levels in technical and leadership areas. The company provides and sponsors learning, development and education programs designed to broaden employees knowledge and to increase their skills. It also encourages employees to attain professional certification and reimburses some costs when those certifications are required by Bechtel. Programs fall into three categories: Bechtel-sponsored training and development programs Approved educational courses at recognised schools and universities Third-party training and development programs conducted outside Bechtel and paid for by Bechtel. Bechtel will reimburse AU$6500 with appropriate approvals per employee per calendar year for academic courses administered by an accredited college or university. Bechtel will also reimburse employees for original registration and renewal fees for professional licenses and certificates. Training Reviews To maintain a high level of quality, all training programs delivered on the Curtis Island LNG Projects are subject to regular reviews. To maintain a high level of quality, all training programs delivered on the Curtis Island LNG Projects are subject to regular reviews. Facilitators from the Registered Training Organisations are all subject to evaluations on their facilitation and presentation skills.

12 P a g e 12 We set high standards. We apply advanced technology, and we continually innovate and improve. We thrive on challenge and accomplishment. From the Bechtel Charter s Vision + Values 5. EXCELLENCE AND INNOVATION IN DESIGN AND DEVELOPMENT OF TRAINING: 5.1 Creativity and Excellence Build A Better Bechtel: As a result of feedback from our employees and our customers, Bechtel is undertaking a series of improvements to make Bechtel a great place. Focusing on the three areas of people, performance, and customers, these efforts combine under one umbrella we call Build a Better Bechtel. Bechtel people pride themselves on being builders, so the concept of building better health and building a better company ring true for employees. National Apprenticeship Program: An advanced start to the NAP program and a benchmark of 40% allows apprentices to complete their training in potentially 18 months, rather than the traditional four years.

13 P a g e Creating Positive Relationships: Mentoring Programs Mentoring programs are an important process in career road mapping for Bechtel employees. Three examples of specialised mentoring and development are provided below. 1. Upward Feedback Process Bechtel s Upward Feedback Process provides a facilitated approach for both leaders and employees to learn on-the-job techniques for improving their teamwork and performance as a group. Employees provide constructive feedback directly to their managers about their leadership, and leaders learn how to use that feedback to improve their leadership skills. Program components include: 1. Workshops to help leaders of all levels learn to receive and use upward feedback from their direct reports 2. Coaching to help leaders prepare on a personal level for receiving the feedback in a non-defensive way 3. Facilitation of upward feedback sessions in which direct reports discuss their leader s effectiveness and identify areas of strength and opportunity 4. Direct communication of the feedback to the leader by direct reports in a group session with a trained Bechtel facilitator 5. Follow-up by the leader to implement some of the suggested changes coming out of the upward feedback session. 2. NAP Mentoring Program: Bechtel s adult apprentices are supported by their own project mentor who assists with delivering on the job technical training while establishing a close working relationship with the apprentice Assessments At the senior level, leaders complete a 360 assessment and coaching debriefs every 24 months and can participate in executive coaching delivered by expert consultants from outside Bechtel. Internal executive development courses are offered annually to selected highpotential leaders and includes intensive learning experiences (simulation,

14 P a g e 14 case studies and group and team exercises) that cut across critical topics (leadership, finance, strategy, winning deals and executing the deals). 5.3 Innovative Communication FNM (supervisors, office based staff): Learning and development opportunities are communicated through an online portal and weekly update. Craft: Training opportunities are communicated to craft employees via the Training Coordinators on the projects. 5.4 Information communication technology Online learning is a major component in delivering learning and development opportunities to field non manual project employees (eg. Supervisors, office based staff) and developing company knowledge amongst staff new to Bechtel. See examples below illustrating how Bechtel has embraced Information Communication Technology. Bechtel University: Changes in our workforce demographics have created challenges in delivering training through traditional mentoring and on-the-job learning methods. More than half of the Bechtel non-manual workforce has less than five years of Bechtel experience, and we face increasing retirements of our experienced leaders and experts. Bechtel University provides learning opportunities via on-the-job, online and classroom experiences, with curricula directly related to Bechtel s business strategies and skill requirements. Learning experiences are available in areas such as engineering; construction; environmental, safety, and health; project management; project controls; leadership; information technology; Six Sigma; and ethics. Bechtel University s online learning centre provides a vehicle for delivering learning experiences and tools for employees who want to assess their learning needs for a given career path, complete learning experiences and track their progress through their personal transcript. Bechtel University is one of the few corporate universities in the world that is accredited by the International Association for Continuing Education and Training as an Authorised Provider of Continuing Education Units. When employees complete CEU qualified courses through Bechtel University, they earn credits that they can use to maintain their professional registrations, licenses or memberships. Bechtel University User Statistics: Served more than 91,500 users since its inception in 2001 Recorded more than 216, 000 course completions in 2010

15 P a g e 15 Currently lists approximately 19,600 users 1,300 courses currently offered 950 documents (covering policy, process and procedure) 1,350 instructor-led courses. Online Goal Setting In 2013, an online goal setting program named Talentworks was launched by the Bechtel Learning and Development team. Talentworks is an online program which allows employees to set professional development and business related goals which are tracked throughout the year. We will be recognized as the best in the EPC industry at providing continuous learning and development for all Bechtel people at all levels. - Bechtel University Vision Statement 6. EQUITY Bechtel works around the world and so our people come from around the world. The diversity of our people spans a wide range of national origins, cultural and ethnic backgrounds, technical expertise, professional and volunteer experience, and global and local perspectives. As stated in our Vision + Values, we work by our Bechtel Covenants, the very first of which reminds us to Treat Bechtel colleagues with mutual respect, trust, and dignity and believe they are acting in the best interest of the company.

16 P a g e 16 Developing and maintaining a sense of mutual respect is essential not only for building teamwork but also for building the projects themselves. Bechtel project teams develop innovative cross-cultural training specific to their situations to facilitate mutual respect, cultural understanding and trust. In Gladstone, employees receive a comprehensive suite of training as part of their onboarding process that considers the topic broadly with sessions ranging from legislative requirements, Bechtel policy, Cultural Awareness and the role that traditional landholders play in the Gladstone region. At Bechtel, women work in all sorts of jobs in the construction industry. They are crane operators, carpenters, scaffolders, painters, traffic controllers and construction cleaners. They operate heavy plant on civil jobs and are increasingly involved in Australia s resource sector both as tradespersons and labourers. Currently, 11% of our total project workforce is female. This equates to 965 women working on the Curtis Island LNG Projects- many of which are filling non-traditional roles. We set high standards. We apply advanced technology, and we continually innovate and improve. We thrive on challenge and accomplishment. From the Bechtel Charter s Vision + Values

17 P a g e 17 VIDEO LINKS: About us: Overview: Adult Apprenticeship Program: Interview with Adult Apprentice Terry Taylor mid completion of apprenticeship: Innovation and Technology: QCLNG Construction Milestone- Tank Roof Raise 1: s1q&index=3 Communicate early, honestly, and completely with all who have a direct interest in the subject. Listen to others points of view. From the Bechtel Charter s Vision + Values

18 P a g e 18 APPENDIX ONE: MEDIA COVERAGE OF BECHTEL S UP SKILLING TRAINING PROGRAM

19 P a g e 19 APPENDIX TWO: MEDIA COVERAGE OF BECHTEL S NATIONAL APPRENTICESHIP PROGRAM This clip appeared in the Gladstone Observer on June

20 P a g e 20 APPENDIX THREE: CURTIS ISLAND INTERNSHIP PROGRAM Example media clip covering the success of the internship program. This story appeared in the Gladstone Observer on January 23.