Annual report 2014

RU Go to Lenenergo

HR policy

The HR policy of Lenenergo is focused on maintaining and developing human resources of the Company taking into account the goals and objectives for development of the distribution grid complex, regional peculiarities and the dynamics of socio-economic development of the country.

Key objectives of the HR

Key objectives of the HR and social policy urged to ensure target achievement of the development Strategy of the power grid complex are as follows:

  • Planning of requirement for employees: ensuring existence of reliable information about current and forecasted number of employees, and qualitative workforce necessary and sufficient to accomplish the Company objectives
  • Timely ensuring requirements in the appropriately qualified employees
  • Ensuring effectiveness of employees, and the growth of labor productivity

These key objectives of the HR and social policy are achieved through the implementation of a set of measures on various activities in the following areas:

  • Organizational planning
  • Control of the number of employees
  • Staffing and development
  • Management of individual performance (motivation)
  • Social benefits and guarantees
  • Safety of employees and work culture

Number, structure and characteristics of employees

The average number of employees in 2014 amounted to 6,185 that almost corresponds to the level of 2013. Despite all measures held in 2014 to optimize the administrative staff, the total number of Lenenergo employees has not changed, which was primarily due to the recruitment of production staff.

Dynamics of the average number of employees, people

Dynamics of the average number of employees

Average number of employees by branches in 2014, %

Average number of employees by branches in 2014, %

Staffing level, %

Staffing level

The staffing level of Lenenergo in 2014 accounted for 93%, and its decline relative to the previous periods was due to the introduction of additional positions in the second half of 2014 to ensure the construction of new facilities.

Breakdown of employees by age in dynamics, %

Breakdown of employees by age in dynamics

In the past three years we have seen a systematic increase in the share of employees aged 25 to 50 (up by 4% compared to 2012) with a gradual decrease in the share of employees over 50 (from 40% in 2012 to 38% in 2014). The share of young specialists (under 25) decreased by 2% compared to 2012 due to the reduced need for young professionals in a headcount optimization.

The average age of employees in 2014 remained at the level of 2013 and amounted to 44.

Breakdown of employees by categories in dynamics, %

Breakdown of employees by categories in dynamics

The breakdown of employees by categories was typical for the company operating in the segment of electricity transmission: the main share is workers (52.1%), specialists and office workers account for 29.5%, and executives — 18.4%.

Breakdown of employees by educational level in dynamics, %

Breakdown of employees by educational level in dynamics

The employees of Lenenergo are characterized by a high level of professional skills. So, about 80% of employees have vocational education.

With a view of increase in the qualification and professional level of employees when filling vacancies priority is given to candidates with higher and secondary specialized vocational education.

Training and development

The system of training and development is focused on unlocking potential and professional development of the employees qualifying current or target positions from the perspective of the Company’s needs, changes in the external environment and the level of employee competence.

The main directions of training are as follows:

  • implementation of mandatory training programs for activities under the jurisdiction of Rostechnadzor and other regulatory organizations;
  • training of employees on labor protection issues;
  • training of succession pool.

Nearly 2,940 people, or 47.53% of the Company’s employees, underwent training in 2014 (3,126 in 2013).

Overall, the percentage of employees who underwent training is at least 37% of total employees in branches, and the average ratio of expenses for training to payroll is about 1%.

Due to the specific activities on electricity transmission and distribution and to ensure reliable power supply of consumers in the conditions of observance of industrial security requirements the focus is made on training of the employees engaged in production, including technical personnel.

The priority is to organize the training of working personnel on the second (related) profession and by areas under supervision of Rostechnadzor. The increase in the share of managers among the employees who participated in training programs was driven by the growth in the number of managers of production services sent to undergo the training programs implemented at the basic chair of the Company “Energy saving and increase of energy efficiency of enterprises” in St. Petersburg State Agrarian University.

Categories of employees who underwent training in dynamics, %

Categories of employees who underwent training in dynamics

Currently, the main providers of educational services for the Company are Training Center for the Power Industry, Institute of Industrial Safety, Occupational Safety and Social Partnership and Training Unit, thus it is planned to expand the amount of training using the possibilities of corporate training bases.

The profile chair of Lenenergo organized on the basis of a separate structural unit of additional professional education of St. Petersburg State Agrarian University — Academy of Management and Agribusiness, was established in 2012 and provides training in 25 programs of additional professional education, developed with the participation of the experts — employees of the Company. The training is conducted by the employees of Lenenergo, teachers of SPBSAU and Institute of Electro Physics and Energy of RAS. In 2014, 645 employees underwent advanced training at the profile chair.

In 2014, the educational complex in the village Tervolovo of the Gatchina District was opened. The ceremony of opening was held on 18 December 2014. The educational complex consists of eight professional training classes and three training polygons (distribution networks, substation and overhead lines).

Training complex in the Tervolovo village

The Training complex scheme

The Training complex scheme

In 2014, the Training complex in the Tervolovo village of the Gatchina district launched its activity. The opening ceremony was held on 18 December 2014.

The training complex consists of:

  • 8 professional training classes,
  • 3 educational and training sites (distribution networks, substation and overhead lines).

Interaction with educational organizations

One of the main sources of recruitment the Company’s staff are institutions of higher and secondary vocational education. Lenenergo continues to cooperate with leading educational institutions in Russia that provide training, retraining and advanced training of specialists in the areas related to the power industry.

In order to improve the quality of vocational education and to narrow the gap between competencies of graduates and qualification requirements for employees of power grid companies Lenenergo has concluded a number of cooperation agreements with leading specialized higher educational institutions of Russia.

Among the partner universities are St. Petersburg State Polytechnic University, St. Petersburg State Agrarian University, Ivanovo State Power University and National Mineral Resources University “GORNY”.

The priority areas of cooperation with partner universities are allocated to promote the development of energy sector and its task of quality staffing. Within the agreements updating curricula is carried out to meet the needs of electric grid companies, as well as organizing a target enrollment and identifying the most promising students, involving Lenenergo employees to teaching, and organization of student practices.

Within cooperation with relevant institutions of higher and secondary vocational education students pass pre-diploma and work practices, including those in student construction brigades. In 2014, 222 students from 25 high schools and colleges passed pre-diploma and practical training in the Company’s divisions, and 29 graduates of 2014 from partner institutions were employed in the branches of Lenenergo. Besides, in 2014, the second season of student construction brigades started in Lenenergo.

From 1 July to 15 August 2014, the student construction brigades were functioning in eight branches of Lenenergo involving 157 students of 3rd and 4th courses of power specialties from 11 universities and colleges of St. Petersburg, the Leningrad Region and other regions of the Russian Federation, including Tomsk Polytechnic University, Vyatka State University and others.

At the end of 2014, 23 students were included in the program of target training of specialists with higher education and received scholarships.

The Company is active in career guidance activities for young people. In 2014, during summer vacation, 89 students (57 of them are children of the Company’s employees) aged 14-17 from different educational institutions of St. Petersburg and the Leningrad Region were employed to the positions of ancillary workers in the branches and executive office of Lenenergo.

Training of succession pool

Identification, development and promotion of high-potential employees are among key objectives of the Company in the field of HR management. Lenenergo carries out formation and training of executives’ succession pool and succession pool of young professionals.

Succession pools are formed at the level of branches and the Executive office with a view of:

  • timely replacement of redundant and newly introduced positions by the employees prepared to perform the duties of the target position;
  • ensuring the transfer of professional experience between generations of employees;
  • creating conditions for professional and career development of the best employees.

Executives’ succession pool allows quickly and accurately meeting the Company’s needs in the employees prepared to work in leadership positions.

Special attention is paid to creation of succession pools for the positions of managers and chief engineers of distribution zones which are the key positions within the Company to ensure operational activities. The pool for these positions is supervised by top management of Lenenergo.

Provision of executive positions by the succession pool at the end of 2014, %

Provision of executive positions by the succession pool at the end of 2014, %

For the end of the reporting period, the executives’ succession pool was 608 people.

From 2011, to engage young professionals in the solution of actual problems of the power grid complex enhancing their professional competence and assisting them in career growth, the Company has implemented the program of work with youth succession pool.

The Company enrolls in the youth succession pool young professionals with high potential to develop professional and managerial skills. Preference is given to the employees who actively participate in public life of the Company and have any achievements in rationalization, invention and innovation activities.

At the end of 2014, 110 young professionals — employees of branches and the Executive office of Lenenergo were included in the youth succession pool.

In 2014, the members of succession pool took part in:

  • Conference “Reliability and Security of Power Systems” organized by the Youth innovation center of Lenenergo and devoted to the issues of energy saving and increase of energy efficiency of enterprises;
  • International scientific-practical conference “Scientific Support of Innovative Development of the Agro-Industrial Complex” held by St. Petersburg State Agrarian University;
  • Youth roundtable within St. Petersburg International Economic Forum 2014;
  • International electric power forum RuGrids-Electro;
  • Youth conference “Qualified Employees to Power Complex of Russia” within the Russian International Energy Forum.
Appointment to senior positions from among the participants of succession pools

Quantity of participants of succession pools

appointed to senior positions, people

To target positions Other
Executives’ succession pool 18 14
Youth succession pool 4 7
Total 22 21
In 2014, 43 employees of the Company were appointed to senior positions from the executives’ and youth succession pools