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

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Presentation of Results

February 12, 2015

© All rights reserved 2015 1

Key Competencies for the

EHS & Sustainability Profession

Benchmark Report

About this webinar

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● To ask a question, press *1 on your phone, or chat it into Mike/Host.

● Slides and recording available for download after the webinar.

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Welcome

Welcome by:

Carol Singer Neuvelt NAEM Executive Director

3 Copyright NAEM 2015

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 2015 4

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

Research Overview

NAEM’s research covers organizational design, individual skill sets,

key knowledge areas and attributes for success.

Summer 2015

Career

Profiles and

Skills for

Success

Key

Competencies

for the EHS &

Sustainability

Profession

EHS &

Sustainability

Staffing and

Structure

January 2015 December 2012

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 2015 7

Presenters

Taylor Gelsinger Research Analyst

Elizabeth Ryan Director of Communications

8 Copyright NAEM 2015

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

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

● Operations

78% Global

18% US-Only

4% Other

17%

58%

25%

Company EHS Risk

Low degree of EHS risk

Medium degree of EHS risk

High degree of EHS risk

N=196

Respondents are Mature

Professionals

This benchmark primarily reflects the perspective of EHS leadership

and those at the senior level within companies.

© All rights reserved 2015 11

N=340

1%

4%

9%

11%

14%

15%

45%

0%

2%

3%

9%

11%

16%

59%

Less than 1 year

1-2 years

3-5 years

6-10 years

11-15 years

16-20 years

21+ years

Work Experience

Professional Experience

EHS Experience

© All rights reserved 2015 12

N=343

Most Respondents Work in a

Combined EHS or EHS&S Function

4%

1%

3%

4%

12%

20%

23%

32%

Other

Combined Health & Safety function

Stand-alone Health & Safety function

Stand-alone Sustainability function

Combined Environment & Sustainability function

Stand-alone Environment function

Combined EHS & Sustainability function

Combined Environment, Health & Safety function

Respondent Function

© All rights reserved 2015 13

N=343

Where Respondent Sits

1%

3%

4%

10%

18%

64%

Other

Regional

Shared Services

Business Unit

Site/Facility

Corporate

Where Respondent Sits

© All rights reserved 2015 14

N=339

Respondents Tended to be at the

Leadership Level

3%

7%

22%

13%

12%

18%

16%

9%

Other

Executive Leader/VP

Director/Senior Director

Senior Manager

Senior Technical Expert

Manager

Technical Expert/ Engineer

Specialist

Respondent Level within the Organization

© All rights reserved 2015 15

N=334

Sector Experience

12%

24%

46%

100%

Other

Government

Consulting

Industry

Sector Experience

Presentation of Results

Compliance is a Core Focus for

EHS Leaders at All Levels

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%

© All rights reserved 2014 17

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.

N = 345

EHS Leaders Collaborate and

Influence More Often as They Lead

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 2014 18

Lead & Directly Responsible +

Lead & Share Responsibility Percentage

Reporting to meet internal and

external requirements 56%

EHS management information

systems 54%

Environmental compliance 52%

Regulatory tracking 52%

Setting EHS goals 50%

Auditing 49%

Identifying KPIs 45%

Information management 42%

Permitting 39%

Due diligence 39%

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.

N = 345 N = 345

Collaborative Responsibilities, All

Respondents Leadership Responsibilities, All

Respondents

As Professionals Advance, their Role

Becomes More Strategic

© All rights reserved 2015 19

Level Top Responsibilities

Specialist Environmental compliance, Reporting, EHS management information systems,

Information management, Regulatory tracking

Technical

Expert

Reporting, Environmental compliance, Regulatory tracking, EHS management

information systems, Auditing

Manager Reporting, Environmental compliance, EHS management information systems,

Auditing, Setting goals, Identifying KPIs, Regulatory tracking

Sr. Technical

Expert

Reporting, Regulatory tracking, Auditing, Environmental Compliance, EHS

management information systems, Permitting

Sr. Manager Setting goals, EHS management information systems, Reporting, Regulatory

tracking, Identifying KPIs, EHS audit training, Auditing

Director Setting goals, Identifying KPIs, EHS management information systems,

Regulatory tracking, Auditing Reporting

Executive

Leader

Identifying KPIs, EHS management information systems, Setting goals, Due

Diligence

EHS Professionals are Skilled at

Managing People and Processes

© All rights reserved 2015 20

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%

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.

N=344 N=345

Expert + Proficient Knowledge Percentage

Environment, health and safety

risks 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%

Top Skills Overall Top Knowledge Areas Overall

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.

© All rights reserved 2015 21

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

Business Acumen is Also

Important to Professional Success

© All rights reserved 2015 22

Expert + Proficient Knowledge Percentage

Training 70%

Communications 67%

Budgeting 62%

Business operations 61%

Stakeholder relations 35%

Finance 29%

Marketing 23%

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.

N=345

Expert + Advanced Skills Percentage

Decision-making 60%

Program management 58%

Project management 57%

Strategic planning 48%

Policy development 47%

Timeline management 46%

Top Business Skills

N=345

Top Business Knowledge

Top Interpersonal Skills for All

Respondents

© All rights reserved 2015 23

Expert + Advanced Skills Percentage

Managing without authority 63%

Team-building 56%

Motivating others 54%

Influencing across silos 50%

Managing others 48%

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.

N=345

Top Interpersonal Skills

© All rights reserved 2015 24

Bachelors 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%

Master’s Degree Percentage

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

EHS Leaders are a highly educated group of professionals, with strong foundation in

engineering and the sciences.

This is a Highly Educated Group of

Professionals

Those in a Managerial Position are

More Likely to Hold an MBA

© All rights reserved 2015 25

Level Top Master’s Degrees Held

Specialist (N=20)

Environmental Science (15%) Sustainability (15%)

Industrial Safety (10%)

Technical Expert (N=44)

Engineering (23%) Environmental Science (20%)

Industrial Safety (11%)

Manager (N=47)

Environmental Science (28%) Engineering (15%)

Business Administration (13%)

Sr. Technical Expert (N=34)

Environmental Science (29%) Engineering (12%)

Business Administration (12%)

Sr. Manager (N=33)

Business Administration (30%) Engineering (21%)

Public Health (15%) Environmental Science (15%)

Director (N=51)

Engineering (25%) Environmental Science (20%)

Business Administration (20%)

Executive Leader (N=18)

Business Administration (56%) Environmental Science (17%)

Engineering (17%)

Career EHS Professionals Have

Strong Salary Potential

© All rights reserved 2015 26

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

Salary Percentiles by Level

Questions and Discussion

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 2014 28

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

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

2015 Calendar of Events

Date Topic Location

February 24-25 EHS & Sustainability Software

Conference Tampa, Fla.

April 14-16 Women’s Leadership Roundtable San Antonio,

Texas

May 20-21 EHS Compliance Excellence Conference Atlanta, Ga.

Aug. 4-5 Sustainability Conference Minneapolis,

Minn.

October 14-16 2015 EHS Management Forum Charlotte, NC

Thank you!

● Connect with us!

Online: www.naem.org

Blog: www.thegreentie.org

Twitter: @thegreentie

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