Key Competencies for the EHS & Sustainability Profession

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1 Key Competencies for the EHS & Sustainability Profession Benchmark Report Presentation of Results February 12, 2015 All rights reserved

2 About this webinar All lines muted until Q&A. To ask a question, press *1 on your phone, or chat it into Mike/Host. Slides and recording available for download after the webinar. Acceptable Use of Materials NAEM owns the copyright to all the webinar materials. You agree to not distribute slides or audio to anyone outside your company You agree to not modify contents of webinar materials or remove copyright notices

3 Welcome Welcome by: Carol Singer Neuvelt NAEM Executive Director Copyright NAEM

4 Today s Presentation Background Research Timeline Methodology Objectives Analytical Approach Demographics Company Demographics Respondent Function Years of Experience Career Trajectory Presentation of Results All rights reserved

5 Background The EHS and sustainability profession is at a critical juncture. In 2012, NAEM launched a multi-stage approach to comprehensively document the function This report is intended to help hiring managers identify the skill sets and knowledge areas that are critical for the next generation of EHS and sustainability leaders. 5

6 Research Overview NAEM s research covers organizational design, individual skill sets, key knowledge areas and attributes for success. December 2012 January 2015 Summer 2015 EHS & Sustainability Staffing and Structure Key Competencies for the EHS & Sustainability Profession Career Profiles and Skills for Success

7 Acknowledgements Advisory Committee: Mark Burriss, Director of EHS; Pentair Thermal Management Mark Hause, Environmental Competency Leader; DuPont Bruce Klafter, Sr. Director of EHS; Flextronics International Alan Leibowitz, Corporate Director, Environment, Safety, Health; Exelis Inc. Ray Merrell, Environmental Compliance Manager; GAF Michael Miller, Vice President of Environmental Health and Safety; Dean Foods Kris Morico, Global Leader of Environmental Programs; General Electric Co. Alex Pollock, President; Equipping You Kelvin Roth, Director, Corporate Environmental Health & Safety; CF Industries Distribution Partners: The Conference Board Chief EH&S Officer's Council The World Environment Center All rights reserved

8 Presenters Taylor Gelsinger Research Analyst Elizabeth Ryan Director of Communications Copyright NAEM

9 About this Report Objective: To identify the skills, knowledge areas and attributes for those in the EHS and Sustainability profession today Methodology: Online survey Timing: Developed Spring of 2014 Survey fielded August September 2014 Published January 2015

10 Demographics 345 Survey Respondents 197 different companies EHS professionals with an emphasis on those at the leadership level Primary Industries: Manufacturing Pharmaceutical/Medical Products Chemical 25% Company EHS Risk 17% Operations 78% Global 18% US-Only 4% Other 58% Low degree of EHS risk Medium degree of EHS risk High degree of EHS risk N=196

11 Respondents are Mature Professionals This benchmark primarily reflects the perspective of EHS leadership and those at the senior level within companies. Work Experience 21+ years 45% 59% years 16% 15% years 11% 14% 6-10 years 9% 11% 3-5 years 1-2 years 3% 2% 4% 9% Professional Experience EHS Experience Less than 1 year 0% 1% N=340 All rights reserved

12 Most Respondents Work in a Combined EHS or EHS&S Function Respondent Function Combined Environment, Health & Safety function 32% Combined EHS & Sustainability function 23% Stand-alone Environment function 20% Combined Environment & Sustainability function 12% Stand-alone Sustainability function 4% Stand-alone Health & Safety function 3% Combined Health & Safety function 1% Other 4% N=343 All rights reserved

13 Where Respondent Sits Where Respondent Sits Corporate 64% Site/Facility 18% Business Unit 10% Shared Services 4% Regional 3% Other 1% N=343 All rights reserved

14 Respondents Tended to be at the Leadership Level Respondent Level within the Organization Specialist 9% Technical Expert/ Engineer 16% Manager 18% Senior Technical Expert 12% Senior Manager 13% Director/Senior Director 22% Executive Leader/VP 7% Other 3% N=339 All rights reserved

15 Sector Experience Sector Experience Industry 100% Consulting 46% Government 24% Other 12% N=334 All rights reserved

16 Presentation of Results

17 Compliance is a Core Focus for EHS Leaders at All Levels Professionals at smaller companies may have fewer resources to assist with the spectrum of EHS-related responsibilities, but no matter the company size, compliance and pollution prevention are at the heart of the function. Top Responsibilities Combined, Overall Percentage Reporting to meet internal and external requirements 91% Environmental compliance 88% EHS management information systems 86% Regulatory tracking 86% Auditing 84% Setting EHS goals 84% Waste disposal 81% Chemical management 81% Hazardous materials 80% Waste recycling 79% Information management 79% N = 345 All rights reserved

18 EHS Leaders Collaborate and Influence More Often as They Lead While EHS leaders are accountable for a set of core compliance and pollution prevention programs, they are involved with, collaborate on, or influence the management of a broad range of activities with their organizations. Leadership Responsibilities, All Respondents Lead & Directly Responsible + Lead & Share Responsibility Reporting to meet internal and external requirements EHS management information systems Percentage 56% 54% Environmental compliance 52% Regulatory tracking 52% Setting EHS goals 50% Auditing 49% Identifying KPIs 45% Information management 42% Permitting 39% Due diligence 39% Lead & Share Responsibility + Involved Without Responsibility Percentage Employee engagement 60% Emergency management preparedness 54% Corporate annual reports 50% Setting EHS goals 50% Chemical management 50% Information management 50% Risk management 50% Identifying KPIs for EHS 49% Identifying KPIs 48% Supply chain engagement 47% Building energy efficiency 47% All rights reserved N = 345 Collaborative Responsibilities, All Respondents N = 345

19 As Professionals Advance, their Role Becomes More Strategic Level Specialist Technical Expert Manager Sr. Technical Expert Sr. Manager Director Executive Leader Top Responsibilities Environmental compliance, Reporting, EHS management information systems, Information management, Regulatory tracking Reporting, Environmental compliance, Regulatory tracking, EHS management information systems, Auditing Reporting, Environmental compliance, EHS management information systems, Auditing, Setting goals, Identifying KPIs, Regulatory tracking Reporting, Regulatory tracking, Auditing, Environmental Compliance, EHS management information systems, Permitting Setting goals, EHS management information systems, Reporting, Regulatory tracking, Identifying KPIs, EHS audit training, Auditing Setting goals, Identifying KPIs, EHS management information systems, Regulatory tracking, Auditing Reporting Identifying KPIs, EHS management information systems, Setting goals, Due Diligence All rights reserved

20 EHS Professionals are Skilled at Managing People and Processes In addition to being knowledgeable about business operations, respondents said team-building, motivating others and managing without authority are among their key knowledge skill areas. Top Skills Overall Top Knowledge Areas Overall Expert + Advanced Skills Percentage Written communications 75% Interpreting regulatory requirements 71% Oral communications 65% Managing without authority 63% Interpreting technical concepts into accessible language 61% Decision-making 60% Program management 58% Project management 57% Team-building 56% Training 56% Expert + Proficient Knowledge Environment, health and safety risks Percentage 83% Regulatory compliance systems 80% Waste management 71% Training 70% Environmental science 67% Communications 67% Management systems 66% Budgeting 62% Wastewater 61% Business operations 61% Release reporting 60% N=344 N=345 All rights reserved

21 EHS Professionals Have Strong Technical Knowledge While compliance systems and risk identification rise to the top of the list of top technical knowledge areas for EHS professionals. Top Technical Knowledge Expert + Proficient Knowledge Percentage Environment, health and safety risks 83% Regulatory compliance systems 80% Waste management 71% Environmental science 67% Management systems 66% Wastewater 61% Release reporting 60% Air 59% Environmental remediation 58% Engineering concepts 50% N=345 All rights reserved

22 Business Acumen is Also Important to Professional Success EHS professionals seem to have knowledge of a number of business areas, namely: training, communications, budgeting and business operations. These align with core EHS responsibilities associated with creating a strong EHS culture, communicating its value across silos and collaborating across functions to embed EHS principles into business operations. Top Business Skills Top Business Knowledge Expert + Advanced Skills Percentage Expert + Proficient Knowledge Percentage Decision-making 60% Program management 58% Project management 57% Strategic planning 48% Policy development 47% Timeline management 46% Training 70% Communications 67% Budgeting 62% Business operations 61% Stakeholder relations 35% Finance 29% Marketing 23% N=345 N=345 All rights reserved

23 Top Interpersonal Skills for All Respondents Consistent with their role as integrators and influencers across silos, respondents said their top interpersonal skills were: managing without authority, team-building and motivating others. Top Interpersonal Skills Expert + Advanced Skills Percentage Managing without authority 63% Team-building 56% Motivating others 54% Influencing across silos 50% Managing others 48% N=345 All rights reserved

24 This is a Highly Educated Group of Professionals EHS Leaders are a highly educated group of professionals, with strong foundation in engineering and the sciences. Bachelors Degree Percentage Master s Degree Percentage Engineering 40% Environmental Science 19% Biology 17% Chemistry 9% Business 8% Geology 4% Industrial Hygiene 2% Information Technology 1% Public Policy/Political Science 1% Other 12% Engineering 27% Environmental Science 27% Business Administration 25% Public Health 8% Environmental Management 6% Industrial Safety 5% Sustainability 4% Industrial Hygiene 3% Management Technology 3% Other 14% N = 345 N = 345 All rights reserved

25 Those in a Managerial Position are More Likely to Hold an MBA Level Top Master s Degrees Held Specialist (N=20) Technical Expert (N=44) Manager (N=47) Sr. Technical Expert (N=34) Sr. Manager (N=33) Director (N=51) Executive Leader (N=18) Environmental Science (15%) Sustainability (15%) Industrial Safety (10%) Engineering (23%) Environmental Science (20%) Industrial Safety (11%) Environmental Science (28%) Engineering (15%) Business Administration (13%) Environmental Science (29%) Engineering (12%) Business Administration (12%) Business Administration (30%) Engineering (21%) Public Health (15%) Environmental Science (15%) Engineering (25%) Environmental Science (20%) Business Administration (20%) Business Administration (56%) Environmental Science (17%) Engineering (17%) All rights reserved

26 Career EHS Professionals Have Strong Salary Potential Salary Percentiles by Level N= 25th 50th 75th 100th Average Specialist 23 $59,448 $75,450 $95,250 $124,000 $78,265 Manager 39 $75,000 $99,250 $119,000 $135,000 $97,718 Executive Leader 9 $192,500 $227,500 $252,250 $290,000 $224,750 All rights reserved

27 Questions and Discussion

28 Questions? Feedback? If you have a questions, please press *1 to add your name to the queue OR Send a chat message to moderator (Mike Mahanna) All rights reserved

29 Purchase the Full Report Today Includes in-depth analysis on: Responsibilities, Skills and Knowledge Areas by: Level within the company Risk Number of Employees Educational Background Salaries Report Pricing: Survey Participants: $690 (40% off regular price) Bundle with the Staffing and Structure Report: $1510 Members: $920 (20% off regular price) Bundle with the Staffing and Structure Report: $1640 Non-Members: $1150

30 Upcoming NAEM Research Benchmark Reports: March 2015: EHS and Sustainability Software Buyers Guide Career Profiles September: Software User Ratings Guide January: 2016 Planning for a Sustainable Future Trends Report Conference Surveys: May 20: EHS Compliance Excellence Conference Benchmark Presentation Aug. 4: Corporate Sustainability Management Conference Benchmark Research Webinars: Feb.12: Highlights from the Skills and Competencies Report Mid-August: Highlights from NAEM s report on Career Profiles Mid-September: Highlights from NAEM s report on Software User Ratings

31 2015 Calendar of Events Date Topic Location February April EHS & Sustainability Software Conference Women s Leadership Roundtable Tampa, Fla. San Antonio, Texas May EHS Compliance Excellence Conference Atlanta, Ga. Aug. 4-5 Sustainability Conference Minneapolis, Minn. October EHS Management Forum Charlotte, NC

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