Human Capital Management Processes and Procedures.pdf

NNPC Limited HCM Processes and Procedures HUMAN CAPITAL MANAGEMENT PROCESSES AND PROCEDURES MANUAL NNPC Limited January 2023 1 NNPC Limited HCM Processes and Procedures Document Review, Check, Endorsement & Approval Issue 1 Signature Name Position Date Issue, Modification PIA Implementation T...

NNPC Limited HCM Processes and Procedures HUMAN CAPITAL MANAGEMENT PROCESSES AND PROCEDURES MANUAL NNPC Limited January 2023 1 NNPC Limited HCM Processes and Procedures Document Review, Check, Endorsement & Approval Issue 1 Signature Name Position Date Issue, Modification PIA Implementation Team CHRO SLT SMT 19/01/2023 19/01/2023 19/01/2023 19/01/2023 Prepared Checked Endorsed Approved 2 NNPC Limited HCM Processes and Procedures Table of Contents Glossary ....................................................................................................................................................................................................................... 4 Document Review and Approval................................................................................................................................................................ 9 1.0 Introduction ............................................................................................................................................................................................. 10 1.1 Structure of the Manual ........................................................................................................................................................................ 11 1.2 Compliance ............................................................................................................................................................................................... 11 1.3 Applicability ............................................................................................................................................................................................... 11 1.4 Updates to the Manual ..................................................................................................................................................................... 12 2.0 Recruitment ............................................................................................................................................................................................. 17 3.0 Career Management ......................................................................................................................................................................... 46 4.0 Manage Employee Deployments (Job Rotation/Transfers/Secondments/Redeployment) ...............53 5.0 Learning and Development ......................................................................................................................................................... 68 6.0 Disciplinary and Consequence Management ................................................................................................................. 103 7.0 Business and Logistics Support ................................................................................................................................................. 132 8.0 Exit Management ............................................................................................................................................................................... 139 3 NNPC Limited HCM Processes and Procedures Glossary Ad-hoc Investigative Committee This is a special purpose committee of limited duration to consider a specific matter. It is a committee set up to handle an investigation or survey that is performed without any plan or whenever there are no prior investigation procedures. Business Unit This is a profit center within NNPC Limited which focuses on delivering specific products or services to specific market segment Consolidated Monthly Salary The amount a person gets for the work done, on monthly basis. It consists of all the entitlements joined together, without specifically stating any breakups. Delegation of Authority This spells out the right to approve, perform or delegate certain functions or responsibilities within the Group. Employee Life Cycle It is a model that identifies the different stages an employee advances through in an organization in, as well as the role HCM plays in optimizing that progress. It simply refers to an employee's journey with the company. Enterprise Resource Planning This refers to the technologies and systems NNPC Limited uses to manage and integrate its core business processes in real time. Exit Interview An interview held with an employee about to leave an organization, typically in order to discuss the employee's reasons for leaving and their experience of working for the organization. Force Majeure A clause that is included in contracts to remove liability for unforeseeable and 4 NNPC Limited HCM Processes and Procedures unavoidable catastrophes that interrupt the expected course of events and prevent participants from fulfilling obligations. Gross Insubordination This means the intentional refusal to obey a direct order, reasonable in nature, and given by and with proper authority. Induction Plan A process of welcoming the new employees from the first day of work to six months. The induction plan integrates new hires, and they find it easy to adapt to the company environment. Learning Curriculum Maintenance It is a process that ensures the currency, effectiveness and integrity of the learning/educational process. Learning Needs Assessment Report A report detailing the method of determining if a learning need exists and if it does, what intervention is required to fill employee skills gap. The expectation of knowledge, skills and abilities of employees at different levels is different so there learning needs are also different. Workforce Plan A plan that estimates the optimum number of people required for completing a project, task or a goal within time. Pension Fund Administrator A company licensed by the National Pension Commission to manage and invest the pension funds in the employee's Retirement Savings Account (RSA). Performance Appraisal Interview The first stage of the performance appraisal process and involves the employee and his or her manager sitting face to face to discuss threadbare all aspects of the employee's performance and thrash out any differences in perception or evaluation. 5 NNPC Limited HCM Processes and Procedures Performance Incentive Bonus This is an additional compensation paid to an employee or department as a reward for achieving specific goals or hitting predetermined targets. Procurement Policy and Procedure It is used to structure the firm’s purchasing processes and sourcing strategies to ensure that the services and goods acquired are the result of transparent, objective, time and cost-effective decision making and risk management. Promotion or Annual Increment This refers to an increase in the rate of pay of an employee, within the employee's pay range, which may be granted in recognition of satisfactory service. Recruitment Database A searchable repository of jobs, contacts, applications, candidates, notes, and communications for easy access and reuse. Recruitment Plan A document that outlines the recruiting strategies and steps a company will take when filling a position. Recruiting plans help business owners and managers focus their efforts and resources on effective hiring strategies. Query This is a request for data that matches specified conditions. Standing Disciplinary Committee This refers to a committee charged with examining alleged breaches of discipline within an organization, profession, etc. and adjudicating on them. Termination Letter A formal notice from an employer to inform an employee that they are being dismissed from their job. Voluntary Severance Scheme An agreement between an employer and employee in which the employee agrees to leave their job in return for a severance payment. It offers an 6 NNPC Limited HCM Processes and Procedures opportunity for qualifying employees working in specific areas to apply to leave their employer on a voluntary basis. Whistle Blowing This is the act of drawing the attention of an authority figure, to perceived wrongdoing, misconduct, unethical activity within an organization. Workforce Requisition A formal document that department managers use to request the hiring of the new employees. 7 NNPC Limited HCM Processes and Procedures Acronyms Full Meaning APPA African Petroleum Producers' Association (now Organisation) CAMA Companies and Allied Matters Act CERPAC Combined Expatriates Residence Permit and Aliens Card DFA Delegation of Financial Authority DOA Delegation of Authority EQ Expatriate Quota F&A Finance & Accounts FTE Full Time Equivalent GRC Governance, Risk and Compliance HMO Health Management Organisation HSE Health, Safety and Environment HMO Health Management Organisation IT Industrial Training JVC Joint Venture Company NIS Nigeria Immigration Service OPEC SAP Organization of the Petroleum Exporting Countries Systems, Applications & Products in Data Processing (SAP) Software & Solutions S/4HANA SAP S/4HANA Cloud ERP Software Solution SIWES Student Industrial Work Experience Scheme SME Subject Matter Expert 8 NNPC Limited HCM Processes and Procedures Document Review and Approval Revision history Version Author Date Revision This document has been reviewed by: S/N Reviewer Signature Date Reviewed 1 2 3 4 5 9 NNPC Limited HCM Processes and Procedures 1.0 Introduction The purpose of the Human Capital Management Policy Manual is to serve as a guide of conduct, activities, and expectations. Policies facilitate the creation of an equitable and transparent work environment. The Human Capital Management Policy Manual has been designed to facilitate the implementation of fair and consistent employment practices within the Company and must be made available to all employees. It is important to note that as the Company grows and evolves; the policies which guide the management and employees of the Company would evolve accordingly. Emerging policy changes will be communicated to all employees on a continuous basis. The objectives of the Human Capital Management Policy Manual are to achieve the following: • • • To continuously develop and review HCM policies that are aligned to Management & Employee needs and are benchmarked with global best practices. To have available at the right time, the required number of employees, with the necessary skills and experience for effective execution of the Company’s strategies and the attainment of Company goals. To develop a culture that integrates and harnesses the Company’s diverse workforce The arrangement of the policies in this document follows a typical ‘Employee Life Cycle’ and covers all categories of employees in the Company thus providing a common approach for easy understanding, interpretation and implementation of the policies. The contents of this document shall form part of the Contract of Employment and the Company reserves the right to change or revise the contents of this Policy Manual as it deems fit. The guiding principles for the development of the policy were based on the provisions of the Constitution of the Federal Republic of Nigeria, Nigerian labour law, Pension Reform Act 2004, Employees Compensation Act 2010, and all extant laws relating to employees and how they are managed. 10 NNPC Limited HCM Processes and Procedures 1.1 Structure of the Manual The manual contains a high-level Mandate, the SIPOC (Supplier-InputProcesses-Output- Customers) Model, and Relationship Map for the HCM Function. This is followed by core chapters (processes), each of which is organised in line with the following structure: • Introduction: Gives an overview and scope of the process and sets out the key sub- processes covered. • Objectives: States the main purposes that the process intends to accomplish. • Policies: Outlines the main operating policies guiding the execution of various activities and tasks. • Procedures: Provides a detailed breakdown of the main activities in the process, including tasks, responsibilities and job aids/tools. • Input and Output Documents: Outlines the documents that serve as inputs into the process, the outputs and key reports generated. • Key Performances Indicators: Sets the performance measures used to determine the efficiency and effectiveness of the processes. • Process Flow Map: Provides a pictorial summary of the outlined procedures. 1.2 Compliance Compliance with this manual is mandatory for all users. Any significant act of noncompliance may be considered an act of misconduct. However, there may be exceptional circumstances, where it is impracticable to comply with a particular policy or procedure. In such instances, a prior written waiver will be required from the Head of the Function. Where the need arises, the GCEO is authorized to grant exceptions to the application of this policy, and thereafter seek ratification from the NNPC Limited Board. 1.3 Applicability This manual applies to all sub-functional areas in the Human Capital Managements Function. It also applies to other functions (e.g., Finance, Legal, Company Planning & Strategy, Facilities/Administration, etc.) as reflected in the Relationship Map. The Head Human Capital Managements is the sole custodian of the HCM Policy Manual and is therefore responsible for ensuring the implementation and enforcement of these policies. The Company shall make every effort to notify employees when an official change in policy or procedure has been made but employees are responsible for their own up-to-date knowledge about the Company and its subsidiaries’ policies, procedures, benefits, and working 11 NNPC Limited HCM Processes and Procedures conditions 1.4 Updates to the Manual It is intended that this manual will be updated every two years unless there is a specific requirement for an immediate revision in line with changes in NNPC Limited’s business. Such updates will be duly communicated to all relevant departments and units. It is instructive to note that the scope of processes addressed in this manual covers the important areas selected by NNPC management. Accordingly, it is anticipated that additional policies and procedures may be identified and incorporated in the future. In addition, the manual has been developed largely around the existing level of adoption of the company’s Enterprise Resource Planning System and will need to be further refined as its usage is optimized and deepened in the future. 12 NNPC Limited HCM Processes and Procedures NNPC Limited HCM Processes and Procedures NNPC Limited HCM Processes and Procedures ` NNPC Limited HCM Processes and Procedures NNPC Limited HCM Processes and Procedures 2.0 Recruitment This covers all activities involved in developing and executing strategies to attract, identify, select, and hire competent employees to achieve the goals and objectives of NNPC Limited. Recruitment activities in NNPC Limited are in conformity with all relevant national laws and regulations that govern recruitment in Companies and Allied Matters Act (CAMA) companies while ensuring equal opportunity and national spread. It is envisaged that all NNPC Limited Employee (direct Employee) shall be hired in the centre, while subsidiaries will handle their own recruitment following guidelines from the centre. Objectives The objectives of this process are to ensure: 1. That NNPC Limited possesses an adequate supply of Workforce, in terms of skills and competency, to achieve its strategic goals and recruitment needs. 2. That the most suitable candidates are selected and recruited at NNPC Limited based on a set of predefined criteria. 3. The proper verification of employee credentials and references prior to confirmation 4. That recruitment activities are in line with the approved recruitment and Workforce plans of the company. Recruitment Policies S/N Description 1. Recruitment and Selection A. Recruitment and Selection will support the strategic goals and objectives of NNPC Limited. B. Recruitment shall be based on the established Workforce needs of NNPC Limited which is articulated in the Workforce Plan and operationalised in the Recruitment Plan. C. All recruitment activities for both permanent and non-permanent Employee (local and expatriate) shall be handled by the Human Capital Management department. D. Recruitment and selection processes will be conducted based on fair and equitable treatment of all applicants. The processes will be consistent, transparent, and professional. The recruitment process shall be fair and consistent without any discrimination with NNPC Limited HCM Processes and Procedures Recruitment Policies respect to race, colour, religion, political belief, gender, ethnic background, disability etc. Suitability for the job position or advancement in NNPC Limited shall be based on qualification and merit, job knowledge, relevant experience, good conduct, and character. Quality and merit, which cannot be compromised, will be the primary considerations when recruiting to a vacant job position for all categories of employment as an equal opportunity employer. E. Recruitment shall only be conducted for established vacant positions. A vacant position shall be established where there is a continuous need for the type of work and long-term career development opportunities that exist for the position. F. Recruitment process shall be initiated when the Workforce Requisition and Job Specifications are submitted by the requesting department and/or operating location to the HCM department of the operating location, after obtaining approval of the N. The grade level and job classification should be determined in conjunction with the Group Human Capital Managements Management. G. All proposed changes to the Workforce plan must be justified in writing by the N-2. Such changes shall be approved by the N before updates are made to the Workforce plan. H. Every prospective employee must apply in writing and submit all relevant evidence of qualifications along with the application to merit any consideration. I. Preference will be given to its existing direct Employees capable of occupying a vacant position before recruiting a new direct Employee to such positions, otherwise, the Company may request from Subsidiary Companies for seconded Employee subject to existing competence. J. All candidates are required to disclose any relationships with serving Company Employees as a condition precedent to Company’s offer of employment. K. All persons recruited into the Company will be required to sign a confidentiality agreement with the Company prior to assumption of duty. L. Offer of employment will only be made upon receipt of satisfactory medical and background/security check report and must be signed by only duly authorized officers of the Company. M. Company Board will approve all recruitment into Management NNPC Limited HCM Processes and Procedures Recruitment Policies positions. Company Management will approve all recruitment into non-Management positions. N. Without prejudice to the established preference for internal resourcing practices, the Company will adopt a head-hunting practice to fill strategic and critical roles, as may be occasionally defined, given the shortage of specific experience within our local market and the need to guarantee regular availability of critical talent pool to sustain Company operations. 2. Workforce Planning A. A workforce plan will always exist for the Company, which will be derived mainly from and synchronized with the Company’s strategic and annual business plan. B. The workforce plan will be developed based on the competencies required (i.e., skills/quality of Employees) to achieve defined business objectives and summarised by job groups and division. C. The workforce plan will detail all the existing and approved proposed job positions and the manning levels required (i.e., number of Employees) to undertake the activities for each job position. D. The workforce forecast will cover all categories of Employees, including temporary Employees (e.g., direct, and indirect contract, SIWES, etc.) and will form the basis for accepting candidates for temporary employment. E. Workforce plans for the organisation and any alterations to the plan will require the approval of the Company Board or its designated representatives (Executive Management - MD/EDs) and/or SMT. 3. Job Profiling (Description, Specification and Evaluation) A. All job positions will be regularly assessed to ensure they are value-adding and there is a continuous need to perform the activities within the job position. B. All job positions will have readily available documented job descriptions and specifications, which will contain all requirements, clear roles and reporting relationships; responsibilities; and required qualifications based on the Company JD format. C. All job positions will be evaluated to determine the relative worth of jobs and to reflect changes in the organisation and its external environment. NNPC Limited HCM Processes and Procedures Recruitment Policies D. Job groups will be classified and used to represent the levels of authority and seniority of job positions within the organisation and these will be equivalent to salary group classifications. E. Company Board will approve the optimal number of job groups, the categories of job groups, and the range of job groups to be assigned to all job positions recommended by Management. F. All job positions will be assigned job groups indicating the level of authority and seniority of incumbent Employees in the job position. 4. Employment Classification A. NNPC Limited shall hire permanent and temporary employees in its I. service. Permanent Employment a. Direct Employment 1. The Company will seek to establish a Company identity and therefore endeavour to employ permanent Employees directly from the labour market and provide them a longterm career. (See Career Management Policy) 2. It will only recruit permanent Employees directly into job positions that have a continuous need for the type of work and where career development opportunities exist. 3. The Company will stipulate minimum entry-level qualifications and jobs for families for direct employment. 4. In a bid to enhance diversity within its workforce, NNPC Limited hire based on competence and ability to do the job but also take into cognisance the National spread of its employees: i. Senior Employee: In view of the significant position of the oil industry in the national economy, it is necessary to spread, as much as possible, senior Employee positions among citizens from the various States of the Federation, considering proven ability, knowledge, and competence. ii. Junior Employee: Recruitment of Junior Employee particularly the unskilled, shall be based on the catchment area principle i.e., the predominance of the indigenes of the State and other surrounding States. However, where the local indigenes are not available, indigenes of other areas may be considered for recruitment. II. Temporary Employment NNPC Limited HCM Processes and Procedures Recruitment Policies A. Direct and Indirect Contract 1. The Company may engage contractors or employ contract Employees, directly or indirectly using authorised and approved manpower agencies, to carry out work where there is no continuous need for those type of activities. 2. Contract Employees will be recruited based on approved manpower plan and will be recruited for an agreed, fixed and short time period. 3. Contract tenure may be renewed only when the need for such work and job position still exists, otherwise, such contract Employee will be released after the agreed period of employment. 4. There will be no automatic conversion of an existing contract Employee to permanent Employee status neither will preference be given when recruiting directly into Company’s permanent positions. 5. The Company reserves the right to terminate the service of an Employee designated as ‘Temporary Employee’ if the terms and conditions of agreement of employing such persons are breached by the Employee and/or manpower provider. B. Compulsory Trainee or Service Schemes 1. The Company will proactively engage temporary Employees through authorized and approved schemes (e.g. Student Industrial Work Experience Scheme (SIWES), Internship and Industrial Training (IT). 2. Temporary Employees will be recruited based on approved manpower forecast and released after their period of service or completion of the specified time period by the scheme. 3. There will be no automatic conversion of an existing temporary Employee to permanent Employee status neither will preference be given when recruiting directly into Company’s permanent positions. 4. The Company reserves the right to terminate the service of Employee designated as ‘Temporary Employee’ if the terms and conditions of agreement of employing such persons are breached. 5. The Human Capital Managements Division will review the remuneration of such categories of Employees triennially for NNPC Limited HCM Processes and Procedures Recruitment Policies relevance 5. Relatives of Employee A. To minimise malpractices in the employment and administration of Human Capital Managements policies and procedures, and generally to safeguard Company interest that might thereby be jeopardised, the recruitment of more than two (2) members of a nuclear family in any one Company/Division is disallowed. A nuclear family means a man, his wife, and children. B. The Company reserves the right to approve the employment of relatives of any serving Employees into job positions that will not have the potential to generate a conflict of interest. C. Where an Employee is part of a decision-making body or a panel whose recommendation and or decision would affect such an individual relative, it is necessary for the Employee to disclose such and be exempted from the panel. 6. Recruitment of Expatriates or Foreign Nationals in Nigeria A. The recruitment of foreign nationals will largely follow the same process as the recruitment of Nigerian nationals, especially in terms of selection and identifying talent. B. Foreign Nationals will only be engaged when it has been established that the competence and skill to perform a particular task not possessed by Nigerian nationals. C. Engagement of foreign nationals shall be in line with the expatriate quota guidelines issued by the Ministry of Interior from time to time. Expatriate workers shall be required to transfer skills to locals within the time period. D. Additional requirements in the recruitment of Foreign Nationals are described below: 1. 2. 3. Secure consent of Controller General of Immigration after completing and submitting Expatriate Quota (EQ) form for the prospective employee. Acquire the combined Expatriate Residence Permit and Aliens Card (CERPAC) or renew as appropriate from the Nigerian Immigration Service (NIS) and the Ministry of Interior. The procedures for engaging foreign nationals in a nonNigerian country will be subject to the stipulated and extant laws in the stated host country. NNPC Limited HCM Processes and Procedures Recruitment Policies 4. Confirm the most updated and specific requirements for the EQ and CERPAC from the relevant authorities from time to time. 7. Sabbatical Employment A. The Company may offer a sabbatical appointment for a period not exceeding one year to serving lecturers or Research Officers in Nigerian Universities. The employee is entitled only to a consolidated salary commensurate with the cognate experience, status, and grade in the University; however, not exceeding the Company’s salary grade level of N5. In addition, a rent subsidy commensurate with the grade shall be paid. B. All sabbatical appointments in the Company shall be approved by the N on the recommendation of the Human Capital Managements Division and the number shall not exceed five at any point in time. Other conditions for sabbatical appointment shall be as approved from time to time by the Management. 8. Method of Candidate Assessment A. Candidates on the final shortlist will be subjected to a selection process involving either a written examination or a practical test or a panel interview or a combination of the three. Assessment invitations will be sent via email and text message. 9. Selection Interview A. It is recognised that the selection interview of candidates before employment is an important requirement that must be performed on behalf of the Company by an appropriate panel of officials on each occasion. Under no circumstances will one official alone conduct a selection interview. The Panel must always consist of an odd number of panellists. B. The Panel Composition will be based on the grade to be recruited into. However, the composition of the panel must be cross functional and include: 1. HCM Representative(s) 2. Manager of requesting department NNPC Limited HCM Processes and Procedures Recruitment Policies 3. Neutral party/parties from the Business. C. For each interview, a chairperson will be nominated D. The Human Capital Managements Department will prepare and make available to each member of the Panel before the appointed date the following information: I. Vacant position II. Technical and behavioural competencies for the job III. Full specification of the job(s) in question IV. C.V. of each candidate invited for the interview V. Performance rating sheets for each candidate E. The Human Capital Managements Department will define and intimate the panel on the objective and standard rating system to be used before the candidates appear before it. F. At the end of a selection interview session, the panel will score candidates based on the stated scoring system developed by HCM, jointly discuss the outcome of the interview, and make a recommendation on each vacancy. G. A formal report will be produced by the Human Capital Managements Officer in attendance on every selection interview, whether or not it yielded any candidate(s) suitable for appointment. The report should be certified correct by the Chairperson of the Interview Panel and will include details of the interview session. H. Within 5 working days of a selection interview, the Human Capital Managements Department will submit to the appropriate approving authority its recommendation of appointment(s) and salaries to be offered with the relevant interview Report attached as a separate supporting document. I. Selection interviews can be held on-site or virtually. J. For the physical interview of external candidates, The Human Capital Managements Department will ensure payment of transport allowance to candidates on the day of the interview. The rates payable will be As approved by management from time to time. NNPC Limited HCM Processes and Procedures Recruitment Policies 10. Dual Employment A. All categories of Employees are expected to direct their whole- hearted interests and attention to their jobs during the defined work hours of the organisation and out-of- hours operational calls demanded by the Company. B. All Employees should not engage in activities similar in nature to, in competition with and that may interfere with the Company’s business, commercial and technological activities. C. All Employees should not engage in any secondary activity which may adversely affect their current work performance or future career progression within the Company. D. All Employees should not engage in any secondary activity which could give rise to a potential conflict of interest between the Employee and the Company. E. The Company encourages Employees to participate, outside its working hours, in community, recreational and sporting activities that are voluntary and for which compensation may not be received. F. Where an Employee is involved in any venture, outside working hours, and is not sure of the potential of conflict as stated above, it is necessary for the Employee to check with the Human Capital Managements Division to avoid a breach. 11. Re-Employment A. Re-hiring of former Employees, if they resign in good standing, is at the sole discretion of Company Management. B. No former Employee that left Company’s employment as a consequence of disciplinary proceeding shall be re-engaged. C. Any former Employee seeking re-employment shall be subject to prevailing processes and standards of resourcing. D. Employees who leave the Company may only be reconsidered for re-employment after a minimum period of 12 months from the effective date of resignation. Where an Employee is re-engaged, the previous period of employment will not count with respect to the length of service. E. Where it is in the interest of the Company to re-engage a Employee, the 12-month period may be waived. F. Where an Employee was released as a consequence of attaining NNPC Limited HCM Processes and Procedures Recruitment Policies the retirement age, or via the Voluntary Severance Scheme, such an Employee may only be considered for re-employment under a fixed-term contract. 12. Onboarding A. The objective of this policy is to ensure the integration of new Employees or new Line Heads and above to the Company Business, Policies, Procedures, Operations, Culture and/or their new roles so they can reach their minimum expected productivity level in the shortest possible time. B. All new Employees will be required to undergo an onboarding programme on assumption of duty. C. A Company onboarding Programme will be organised to introduce the Company's culture and expected behaviour of the Employees. D. All new Employees will be provided current information on Company policies and business ethics, their job responsibilities, work rules, and reporting relationship within the Company as a part of their onboarding. E. All new Line Heads and above to new roles will undergo an onboarding process to clarify the business expectation of their roles and provide support in managing teams. Recruitment Procedures - Develop Workforce and Recruitment Plans Responsible S/N Party Description Job Aid 1. In November Email/MS Office N-3 Review documentation of NNPC Limited’s Strategic Plan for the next calendar year and assess the external environment to identify factors that may impact Workforce. 2. N-3 Develop Workforce planning guidelines and obtain the approval of the N-2 MS Office 3. N-3 Issue Workforce Planning guidelines and templates to Unit Heads to enable them to prepare Applicable HCM Software (SAP, S4HANA) NNPC Limited HCM Processes and Procedures Recruitment Procedures - Develop Workforce and Recruitment Plans Responsible S/N Party Description Job Aid or update their Workforce requirements for the next calendar year. 4. Unit Heads Prepare Workforce requirements for respective departments in consultation with the N-2, or the N of the relevant NNPC Limited location. Email/MS Office 5. Unit Heads Forward Workforce requirements to MS Word/Email the N-5 6. N-5 Obtain and collate agreed Workforce requirements sent from departments. Applicable HCM Software Module (SAP, S4HANA) 7. N-5 Develop Workforce Plan/ Budget, making provision for Employee attrition and forward to N- 4. Note: Applicable HCM Software Module (SAP, S4HANA) The Workforce Plan will contain the Workforce requirements of NNPC Limited in terms of current and estimated Workforce needs, manning levels (for both permanent and non-permanent Employee), skills and competency requirements as well as financial implications. 8. N-3 Review Workforce Plan/ Budget, provide input, and forward to the N-2 for review and approval. Applicable HCM Software Module (SAP, S4HANA) NNPC Limited HCM Processes and Procedures Recruitment Procedures - Develop Workforce and Recruitment Plans Responsible S/N Party Description Job Aid 9. N-2 Present Workforce Plan & Budget as an integral part the of Company budgeting process and obtain necessary approval from the N Email 10. N-3 Obtain approved Workforce Plan/Budget circulate to all heads of department. Email Recruitment Input & Output Documents Document S/N Description 1. Workforce Planning Guidelines Templates Type Frequency Source Input Based on business needs, else it will be Annually Unit Heads N-3 Output Based on business needs, else it will be Annually N-3 and These documents guide and enable departments within NNPC Limited’s operating locations to prepare their Workforce requirements 2. Workforce Plan This document details the annual Workforce Requirements for NNPC Limited To Source and Process Applications Process Recipient N-2 N Board Directors of NNPC Limited HCM Processes and Procedures Requirement Key Performance Indicators S/N 1. Performance Measure Basis of Measurement Timeframe Target Adherence to Workforce Plan The variance between actual Workforce recruited and Workforce requirements in the Workforce Plan. Annual TBD 29 NNPC Limited HCM Processes and Procedures Unit Heads N-3 Develop Workforce and Recruitment Plans Process Flow Start Review documentation of NNPC Limited s Strategic Plan For the next calendar year Develop Workforce planning guidelines and obtain the approval of the N-2 Provide Workforce Planning guidelines and templates to Unit Heads Review Workforce Plan/ Budget, provide input, and forward to the N-2 for review and approval. Obtain approved Workforce Plan/Budget circulate to all heads of department. End Prepare Workforce requirements for respective departments N-2 N-5 Forward Workforce requirement s to the N-5 Obtain and collate agreed Workforce requirements sent from departments. Develop Workforce Plan/ Budget, making provision for staff attrition and forward to N-4. Present Workforce Plan & Budget and obtain necessary approval from the N 20 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Source and Process Applications Process Responsible S/N Party Description Job Aid 1. On a need basis, fill Workforce Requisition Form/ memo. Email/MS Office Unit Heads Where position does not currently exist, propose a position system under respective organisation unit and send to N-2 for approval. Note: A Workforce Requisition Form details job title, job description, qualifications, skills required and business case for recruitment. 2. N-2 3. Review and endorse Workforce Requisition Form Email/MS Office For Ad-hoc Recruitment, Go to Step 4 For Planned Recruitment, Go to Step 8 4. N-2 Forward Workforce Email Requisition Form to the N for approval. 5. N Review Workforce Requisition Form and discuss/ agree recommendations with N-2 and/ or relevant Unit Head. Email 6. N Minute as appropriate on Workforce Email Requisition Form and forward to N2. Where Workforce Requisition Form is approved, Go to Step 8 Where it is not approved, Go to Step 7 31 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Source and Process Applications Process Forward Workforce Requisition Form to requesting Unit Head, End 7. N-2 Forward Workforce Requisition Form to N-4 for processing. Approve creation of position on system. Email 8. N-2 Forward Workforce Requisition Form to N-4 for processing. Approve creation of position on system. Applicable HCM Software Module (SAP, S4HANA) 9. N-3 Identify positions to be filled based on recruitment plan or ad-hoc recruitment need validated by an approved Employee Requisition Form. Applicable HCM Software Module For New Job Positions Applicable HCM Software Module (SAP, S4HANA) 10. N-3 Detail draft job specification & requirements and discuss/agree with relevant Unit Head. Go to Step 12 (SAP, S4HANA) Note: Occasionally Unit Head may prepare the first draft of job specification and requirement for N-4 to review and provide input. 32 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Source and Process Applications Process 11. N-3 For Existing Job Positions Obtain job descriptions to Applicable HCM Software Module (SAP, S4HANA) 12. N-3 Forward job specification and requirements to the N-2 for approval. Applicable HCM Software Module (SAP, S4HANA) 13. N-2 Review job specification and requirements, provide input where necessary and approve. Applicable HCM Software Module (SAP, S4HANA) 14. N-3 Obtain approved job specifications & requirements and agree sourcing channel to be adopted. Email If sourcing is internal, Go to Step 25 If sourcing is external, Go to Step 29 15. N-5 Internal Sourcing MS Word Develop draft internal advert detailing job requirements and specifications and obtain approval of the N-4. 16. N-5 Place internal advert. Email 17. N-5 Receive CVs in response to internal advert and collate shortlist of eligible candidates based on predetermined criteria Email 33 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Source and Process Applications Process 18. N-5 Present eligible shortlist of candidates, including dropped candidates to N-4 and N-2 for approval Go to ‘Screen and Select Candidates’ Email Where recruitment is outsourced, Go to step 28. Where recruitment is not outsourced, Go to step 20. 19. N-5 Where recruitment is outsourced Email Review recruitment database to identify eligible candidates, collate relevant CVs and compile a shortlist based on predetermined criteria. If CVs in the recruitment database are adequate, Go to Screen and Select Candidates If CVs in the recruitment database are inadequate, Go to Step 21 20. N-5 Develop draft copy of external advert detailing job requirements and specifications and forward specifications to N-3 for review. Email 21. N-3 Liaise with the N-4 to determine the cost implication of external advert. Forward draft external advert and financial implications to the N-2. Email 22. N-2 Review draft external advert and obtain necessary approval. Email 34 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Source and Process Applications Process 23. N-5 Obtain approved external advert and liaise with Company Communications for advert placement. Email 24. Company Place job vacancy advert in at least -six (6) newspapers that are circulated nationally for a period of six weeks Email Receive CVs of eligible candidates, review and shortlist candidates based on specified criteria. Email Communications 25. N-5 Go to Screen and Select Candidates 26. N-3 Where recruitment is outsourced Email Liaise with Procurement to identify and select suitable executive selection/recruitment firm. Go to ‘Procurement: Identify Select and Contract Vendor’ 27. Recruitment Agency/ Consultant Conduct recruitment exercise in line with Terms of Reference. Email 28. N-3 Submit Recruitment Report to N-2 Email 29. N-2 Receive and review Recruitment Report and recommend update as required Email 30. N-2 Obtain necessary internal approvals Email Go to Screen and Select Candidate 35 NNPC Limited HCM Processes and Procedures Recruitment Input & Output Documents S/N Document Description Type Frequency Source Recipie nt 1. Candidate’s CV/ Input Application Contains details of qualification, competency and experience As required Recruitment Agencies External Consultants Interested Candidate HCM Depart ment 2. Job Specification and Requirement Input As required User department HCM Depart ment 3. Recruitment Advert/ Publication Output As required HCM Company Communications All Employ ee Membe rs of the Public Output As required HCM Department External Consultant HCM Depart ment Vacancy notice used to request for CV’s/ applications from interested individuals 4. Short-list of Candidates List of eligible candidates for screening 36 NNPC Limited HCM Processes and Procedures Recruitment Key Performance Indicators Performance Measure Basis of Measurement 1. Cycle time to generate Candidates Short-list Elapsed time between when vacant positions are identified to when shortlist of candidates is generated 2. Average sourcing cost per hire Cost of Sourcing S/N Timefram e Target As required TBD As required TBD (Advertising, Referrals, Agency cost, etc.) divided by Number of hires 37 NNPC Limited HCM Processes and Procedures Source and Process Application Process Flow Unit Heads Phase Start On a need basis, fill Workforce Requisition Form/ memo and forward to N and N-2 for approval Is this Ad-hoc or Planned Recruitment Ad-hoc Minute as appropriate on Workforce Requisition Form and forward to N-2 Is Workforce Requisition Form approved? Yes No N-2 Forward Workforce Requisition Form to N-4 for processing. And forward to N-3 to identify positions to the filled based on the type of Recruitment Review Recruitment Report and obtain necessary internal approvals Forward Workforce Requisition Form to requesting Unit Head. N-3 End For Existing Positions Obtain job description and job specification, and forward to N2 to review. Then agree on sourcing channel to be adopted. Where Recruitment is Outsourced Is It Internal or External Sourcing ? N-5 Internal External Liaise with Procurement to identify and select suitable executive selection/ recruitment firm Go to Procurement: Identify Select and Contract Vendor The Recruitment Agency/ Consultant should conduct the Recruitment Exercise and submit report to N-2 Develop Job requirements, obtain approval from N-4 and the place internal advert. Receive CV and collate eligible candidates and present to N-4 and N2 for approval Develop Draft copy of External Advert, forward to N3 to review and liaise with N-4 Obtain External advert and forward to Corporate Communications to place vacancy advert Go to Screen and Select Candidates End 27 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Screening and Selection of Candidates S/ N 1. 2. Responsible Party N-5 N-5 Description Job Aid From Source and Process Applications Where vacancy does not require testing MS Word Develop interview invites detailing date, venue & time and obtain sign-off from N-2 Invite shortlisted applicants for interview and modify applicant status in database to indicate applicant has been invited for interview. MS Excel Go to Step 12 Where vacant positions require testing 3. N-5 MS Word Prepare Assessment Invitation detailing test date, venue and time of test and obtain sign-off from N-3. Note: In cases of large numbers of candidate and different job requirements, the test may be conducted in batches with adequate provision for objectivity and fairness. 4. N-5 Invite shortlisted candidates for test and modify status in Recruitment Database accordingly. MS Word/ MS Excel 5. N-5 6. N-5 7. N-2 Determine logistic requirements for the test including financial implications and obtain necessary approvals Email Develop/update recruitment test questions in consultation with the N-3 and relevant N-4 Email Review questions and validate the integrity and adequacy of the assessment preparation process; and approve Email 28 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Screening and Selection of Candidates accordingly. On test date, screen invited applicants to validate their identities. Email N-5 Conduct recruitment test, and facilitate scoring of candidates’ result Email 10. N-5 Obtain sign-off of N-2. Email 11. N-5 Communicate test result to successful candidates and update database accordingly. Email Issue Profile Forms to successful applicants and obtain completed Profile Forms from applicants. Email 8. N-5 9. 12. N-5 Note: The applicant will complete a Profile Form which provides a summary of his/her biodata, qualifications, experience, achievements and aspirations. Prepare detailed Interview Plan taking into consideration the level of the applicant and obtain approval of N-2. 13. N-5 Email Note: The Interview Proposal shall include the following: composition of Interview Committee in line with defined policies, interview schedule, interview invites (for candidates and committee members), interview session guidelines, logistic requirements for interview session including cost Implications 29 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Screening and Selection of Candidates 14. 15. N-5 N-5 16. Interview Committee 17. Interview Committee 18. N-3 19. N-3 Send Interview invitations to successful applicants, with at least one (1) week prior notice. MS Word, Email Organise interview logistics requirements and send interview packs to the selected interview panel members. Note: Interview packs will include interview guidelines, job specifications/requirements, copies of profile forms of applicants, interview assessment forms, etc. Conduct interview sessions and document individual performance assessment based on the criteria defined in the Assessment Form. Email Discuss each candidate’s assessment and suitability for the job positions, agree consensus on overall assessment, and rank candidates according to their performance during the interview and forward recommendations to N-3. Email Select the required number of candidates in Email line with their ranking and keep other successful candidates in view. Prepare Interview Report and forward to N-2 along with relevant supporting documentation. MS Word Note: Supporting documentation includes, approved Workforce Requisition Form, Selected CVs, Credentials, Interview Results. 20. N-2 Review report, provide input and obtain necessary approvals as required. 30 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Screening and Selection of Candidates 21. 22. 23. 24. 25. 26. 27. Obtain approved Interview Report, communicate results of interview to all candidates and update the database accordingly. Email Schedule successful candidates for medical examination at the Medical Clinic or recommended healthcare providers and notify them accordingly Email Request for background and security check on successful candidates. Check to contain criminal record check, certificate verification and reference verification Email Obtain results of medical examination, background and security check; identify candidates suitable for employment; compile list of successful candidates and update database accordingly. MS Excel N-5 / Records Managem ent Prepare Letter of Appointment/Offer of Appointment Letter for each successful candidate and obtain sign-off of the designated authority. MS Word N-5 Dispatch Offer of Appointment Letter to successful candidate along with Acceptance Form. Email N-5 N-5 N-5 N-5 N-5 Obtain acknowledgement and agree on assumption of duty dates where necessary and update detail on HCM system accordingly Applica ble HCM Software (SAP, S4HAN A) 31 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Screening and Selection of Candidates Where offer is accepted without negotiation by applicant Go to Step 31 28. N-2 / N-3 Where offer is negotiated by applicant Review applicant's counter offer and determine best possible offer in consultation with other relevant internal stakeholders. Note: Offer Letter Negotiations should be restricted to headhunting or when sourcing for specialized skills only 29. 30. N-2 N-5 Invite candidate and negotiate offer to reach acceptable consensus. Email Where an agreement is not reached with the applicant MS Word Close negotiations and advice applicant accordingly. Update HCM system accordingly. End Where an agreement is reached with the applicant 31. 32. N-5 N-5 Email Draft revised Letter of Appointment indicating termination of previous offer, obtain sign off from Designated Authority, dispatch to candidate and obtain acknowledgement. Obtain completed Acceptance Form from candidate and update HCM system accordingly by uploading soft copy of offer letter Note: System automatically assigns a Applica ble HCM Softwa re Modul e (SAP, 32 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Screening and Selection of Candidates personnel number after entering the S4HAN required information A) 33. N-5 34. N-3 35. N-5 On a monthly basis, generate list of candidates that have accepted or rejected offers and forward to the N through the N-2 (for information purposes). MS Liaise with relevant units/ divisions to ensure adequate preparation for resumption of new hire Email Monitor to determine date of assumption of duty and update HCM system accordingly. Applica ble HCM Softwa re Modul e Note: E-mail triggers/ reminders can be used to notify of new hire’s resumption date On assumption of duty, issue all relevant forms to new hire and review to ensure proper completion. Forward details to relevant units for processing and update database accordingly. Go to: 36. N-5 ‘Manage Employee Records: Appointment Documentation’ ‘Develop & Train Employees: Conduct Induction/ Company Orientation Programme’ ‘Plan and Recruit Employees: Verify Credentials and References wor d, Email (SAP, S4HAN A) Applica ble HCM Softwa re Modul e (SAP, S4HAN A) To Verify and Confirm Employee Credentials and References 33 NNPC Limited HCM Processes and Procedures Input & Output Documents S/N 1. Document Description Type Frequency Source Recipient Profile Form Input As required HCM Department Candidate Interview Plan Input Details interview committee members, interview schedule, interview invites Interview session guidelines, logistic requirements and cost implications As required N-5 N-3 Interview Assessment Form As required HCM Department Provides a summary of the applicant’s biodata, qualifications, experience, achievements and aspirations. 2. 3. Input N-2 Interview committee members Details assessment criteria, for conducting candidate interview 4. Interview Report Presents a summary of the assessment of each candidate as documented by the Interview Committee and recommendations. Output As required N-3 N-2 N 34 NNPC Limited HCM Processes and Procedures Input & Output Documents 5. Letter Appointment of Output As required N-5 Successful candidate Letter sent to successful applicants including the terms and conditions of service Key Performance Indicators Performance Measure Basis of Measurement 1. Average time to recruit Average time from having a job vacancy to filling the open position As required TBD 2. Job offer acceptance rate Number of accepted job offers versus the total number of job offers As required TBD S/N Timeframe Target 35 NNPC Limited HCM Processes and Procedures Screening and Selection of Candidates Process Flow Phase Start Does Vacancy require testing ? No Develop Interview dates and invite shortlisted applicants for interview End Close negotiation and advice applicant according. N-2 / N-3 N-3 Interview Committee N-5 Yes Prepare assessment invitation date, obtain sign off from N-3. Invite shortlisted candidates for test and Determine logistics requirements for the test and gain necessary approval. Develop/ Update Recruitment test questions and forward to N-2 for approval. Conduct test and facilitate scoring. Obtain sign off from N-2. Communicate test result to successful candidates and issue profile forms Organise interview logistics requirements and send interview packs to the selected interview panel members Communicated result of interview to successful candidates and schedule candidates for medical examination Record Management / N-5 should dispatch appointment letter to successful candidates and obtain acknowledgement from N-5 End No Is the Agreement reached with the applicant? Yes Draft letter of Appointment, obtain Acceptance form. Liaise with relevant Unit to ensure adequate preparation of New Hire. Go to: On assumption of duty, issue all relevant forms to new hire and review to ensure proper completion. Manage Employee Records: Appointment Documentation End Develop & Train Employees: Conduct Induction/ Corporate Orientation Programme Plan and Recruit Employees: Verify Credentials and References Conduct interview session and discuss candidate assessment. Forward recommendations to N-3 Select required number of candidates and prepare interview report. Forward report to N-2 to review and obtain approvals where necessary Is Offer accepted without Negotiation? Review applicant counter offer, forward to N-2 to No invite candidate and negotiate offer to reach acceptable consensus 34 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Verify and Confirm Employee Credentials and References S/N Responsible Party Description Job Aid From ‘Plan Recruitment of Employee: Screen and Select Candidate’ 1. N-5 2. N-5 3. N-4 4. N-5 5. 6. N-5 N-5 Obtain details of referees listed and institutions attended from employee records. Email Prepare letters to referees and institutions, requesting letters of reference and validation of new hire’s certificates respectively. Forward to N-3 MS Word Review reference request letters and sign Email off. Facilitate dispatch of Reference Request Letters. Email Follow up with referees and institutions to ensure a prompt reply, sending reminders where necessary. Email Receive and review endorsed references and validated credentials, to ascertain their adequacy. Document in Credential Assessment Report. Email Where reference/credential validation is satisfactory Email Go to ‘Manage Employee Confirmation’ 7. N-5 Where reference/credential validation is not satisfactory Determine the action steps required to resolve issues from the documentation of the referees or institutions. Note: Unsatisfactory response may 35 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Verify and Confirm Employee Credentials and References range from unfavourable response from referees or inconsistent responses. Action steps may include requesting clarification from the referee/ institution, extension of probation period, termination etc. 8. 9. N-5 N-4 Document action steps and discuss with N-3 to agree action steps. Email Provide input on action steps and consult with N-2 where required. Email Note: The action steps may be presented to the N as required 10. N-5 Obtain approved action steps and implement accordingly. Email To Manage Employee Confirmation Process 36 NNPC Limited HCM Processes and Procedures N-5 Verify and confirm Employee Credential and References Process Flow Start Obtain details of referees listed and institutions attended from employee records. Prepare letters and forward to N-3 Facilitate dispatch of Reference Request Letters. Follow up with referees and institutions Receive and review endorsed references and validated credentials. Is Reference/ Credential satisfactory ? No Determine the action steps required to resolve issues. Document action steps and discuss with N-3 to agree action steps. Obtain approved action steps and implement accordingly . End Yes N-4 Go to Manage Employee Confirmation Review reference request letters and signoff. Provide input on action steps and consult with N-2 where required. 37 NNPC Limited HCM Processes and Procedures Recruitment Procedures - Manage Employee Confirmation Responsible Description S/N Party Job Aid On a Monthly Basis 1. N-6 Access the system to collate list of newly recruited employees on probation and due for confirmation of appointment within the next one (1) month. Note: The probationary period is 6 months subject to a maximum extension period of three (3) months. 2. N-3 Based on collated s