TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS O&M JOINT VENTURE MASA (MARAFIQ/SAUR)

) July 19th, 2011

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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

TABLE OF CONTENT 1 GENERAL....................................................................................................3 1.1 INTRODUCTION.........................................................................................................3 1.2 PURPOSE..................................................................................................................3 1.3 DEFINITIONS.............................................................................................................3 2 PROGRAM PRESENTATION...........................................................................4 2.1 GENERAL..................................................................................................................4 2.2 GENERAL OBJECTIVES...............................................................................................5 3 TECHNICAL EXECUTION PLAN.......................................................................5 3.1 STAGE 1: PREPARATION
OF THE

ASSESSMENT

OF POTENTIAL AND SKILLS............................................5

4 VALUE OF THE PROPOSAL.........................................................................................12 4.2 ASSUMPTIONS........................................................................................................12 4.3 A TEAM OF HR EXPERT..........................................................................................13 TWO SENIOR HR CONSULTANTS WHO ARE SEASONED HR PROFESSIONALS: THEY HAVE THE KNOWLEDGE AND EXPERIENCE OF RECRUITMENT, PERFORMANCE & TALENT MANAGEMENT, TRAINING AND GENERALIST HR MANAGEMENT. THEY HAVE BOTH RUN ASSESSMENT CENTERS FOR INTERNATIONAL COMPANIES........................................................................13 TWO SENIOR HR CONSULTANTS WHO ARE SEASONED HR PROFESSIONALS: THEY HAVE THE KNOWLEDGE AND EXPERIENCE OF RECRUITMENT, PERFORMANCE & TALENT MANAGEMENT, TRAINING AND GENERALIST HR MANAGEMENT. THEY HAVE BOTH RUN ASSESSMENT CENTERS FOR INTERNATIONAL COMPANIES........................................................................15 5 CONCEPTUAL APS DELIVERY SCHEDULE...................................................................16 6 COMMERCIAL PROPOSAL (BUDGET)\..........................................................16 6.1 COMMERCIAL CONDITIONS....................................................................................16 6.2 MAIN EXCLUSIONS.................................................................................................17 6.3 VARIATIONS...........................................................................................................17 6.4 INVOICING AND PAYMENT......................................................................................17 6.7 APPLICABLE LAW...................................................................................................17 8 APPENDIX................................................................................................17 8.1 PROJECT
TEAM

BIOS.......................................................................................................17

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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

1 GENERAL

1.1

INTRODUCTION

Iota has received an enquiry from O&M Joint Venture - MASA related to assessing potential and skills of current Operations and Maintenance team. The request is for carrying out an assessment of approximately 900 to 1000 national and non Saudi personnel: Contractors: 441 in operations and 451 in maintenance. Marafiq: 57 employees split between technical support and supervision team.

The APS, Assessment of Potential and Skills, should scan aptitude, potential and behavior but should also contribute to calibrate the future talent of the new joint venture. The APS methodology should provide a common framework to help identify and recruit those who are right fit and expected performance level for O&M Joint Venture. The assessment tools should enable assessors to consistently adopt best techniques in recruiting inline with MASA JV core values. In response to O&M JVs invitation, this proposal contains:

IOTAs initial analysis of the current situation Our initial thoughts on an appropriate Assessment of Potential and Skills Program An outline of our recommended approach A description of our teams relevant experience Our proposed remuneration structure

It should be noted that this document does not seek to provide all the answers to O&M JV current assessment needs. We would require further candid conversation with future O&M JV Execution Committee and Senior Resident Project Leader before we could do that. However, it seeks to demonstrate the professional credentials of IOTAs proposed team, and outline our suggested approach in broad terms.

1.2

PURPOSE

This document outlines the conceptual solution for the delivery of such APS services to the client project team. It also presents the way we work and set the best conditions for optimal delivery.

1.3

DEFINITIONS
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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

Client means O&M JV. IOTA means IOTA K.S.A. Al Khobar Personnel means existing staff of the O&M contractors, Technical Support and O&M Supervision staff of Marafiq Technical Services Team. APS means Assessment of Potential and Skills

2 PROGRAM PRESENTATION

2.1

GENERAL

This proposal will cover the 4 stages described in the call for Tender document.

The program described below aim at providing to the client a complete picture of the performance and the potential of the current staff of the O&M organization:

Our approach combines collection of facts at two levels: Evidences of performance: Facts that predict success:

We recommend to insert in our behavioral assessment tools the O&M JV MASAs core values and competencies framework to fit with the new target organization requirements.

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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

2.2

GENERAL OBJECTIVES

The APS main purpose will be to build the fundamental framework necessary to:

Provide a clear picture of the current O&M personnel skills, aptitude and motivation Avoid all the perception bias that can pollute the evaluation Rank the talent who are the best fit to the future JV Confidential Confidently recruit the right person for the vacant positions in the new JV Recruit with an organizational long term perspective Propose action plan for personnel who require consolidation skills to join O&M Joint Venture Suggest potential transfers and recruitments needs Identify potential trainers Make recommendations for the training Plan and the set up of the JV Organization Structure Filling Plan.

3 TECHNICAL EXECUTION PLAN

3.1

STAGE 1: Preparation of the Assessment of potential and skills Estimated duration: 35 working days

This step is critical as it aims at defining WHAT we want to measure and HOW we will do it. The decision making process will be mainly influenced by The level of information available on employee past performance The review of the organization needs in terms of jobs and talent profiles

: A dd ss Rep oc e lac Key activities that would be part of this ent pr of work would include: e : phase Asse m ssm ess sign Ass & to ent me de th ols s elec ods tion

3.1.1 APSs review and analysis

objectives

Iota Senior Resident Project Leaders and one senior consultant will meet with the O&M JV Executive Committee and Senior Resident Project Leader to discuss: Future O&M JV organizational needs Key positions Clarify O&M JV standards and procedures Future competency framework
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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

Future JV organization charts Scope of what needs to be assessed Expected level of technical competencies Targeted soft skills Potential gap between the current team proficiency level and the future one Potential opportunities in Marafiq structure Assessment tools benefits and validity

3.1.2 Individuals files collect and analysis Our senior consultants will collect the following information to prepare the assessment and select the most relevant techniques: Job descriptions: current and future Organization charts Competency framework for each level of employee and each Job Resume and career history Pay scales Job classification Performance assessments files Career Paths and succession plans Training history Absences and disciplinary reports

The analysis of all the documents will give a good overview of the professional skills available and the missing ones.

3.1.3 Selection of the most appropriate assessment tools A profiling will be done for each job family to prepare the assessment and competency matrix. The assessment matrix aims at selecting the most appropriate exercises or tools to check for each competency. An example is displayed below:

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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

The competency matrix consists in identifying for each job, competencies that need to be assessed in these 3 categories :
Managerial competencies Tech. competencies Soft competencies (samples, TBA later) Creativ e thinkin g Analytic al & learning capabili ty Interpersonal understa nd. Comm. and influenc e Motivation level (sense of belonging)

Positions

Lead ershi p abilit y

Entrep reneur ship

Risk take r

etc

TB A

TB A

TB A

Achievem ent orientation

GENERAL MANAGER MANAGER MANAGER -PW MANAGER -S.S ELE. ENGINEER INST. ENGINEER CIVIL ENGINEER REALIBILIT Y ENGINEER ENGINEER - SCADA PLANNER DRAUGHTS MAN FOREMAN C.P FOREMAN -LIGHT EQUIP. SCAFFOLD ER WELDER SUPERVIS OR

The profiling analysis will support the decision to select for each level of personnel which are the most relevant tools. Aptitude written tests may be sufficient for categories V and IV: 620 employees.

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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

Organizing assessment centers by categories I, II, III may facilitate the roll up for such a high number or employees. The benefits of using competencies in an assessment center are that they: Provide a clear focus for each assessor as to what they are seeking to measure in each exercise Provide a common language for all assessors to use Are easier to observe and measure

3.1.4 Validation of the assessment tools with O&M JV Executive Committee. Iotas Senior Resident Project Leader and Senior Consultants will introduce the assessment strategy for all categories to the Executive committee. We may propose and discuss the option of including 1 or 2 assessors from Marafiq to ensure that values and talent calibration are aligned with their perceptions. When the approach will be validated, the scheduling of the assessment will start. Tracking documents will be designed or reviewed.

3.1.5 Communication strategy validation Iotas Senior HR consultants will propose a communication to the JV Executive Committee to launch the APS in the best conditions The communication will be reviewed and validated The pool of assessors will be trained to guarantee a consistent approach and be informed about the communication.

DELIVERABLES STAGE 1: Competency matrix by jobs Assessment matrix by jobs Assessment program and tools Communication for O&M JV Executive Committee and assessors

3.2 STAGE 2: Execution of the assessment Estimated duration: 37 working days

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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

3.2.1 APS Kick-off Approximately 2O sessions will be run to communicate the APS objectives and individual schedules. Representatives of the O&M JV Execution Committee and Iotas representatives

3.2.2 Assessment of categories IV and V Written tests will be conducted to assess verbal and numerical reasoning tests. As of today, we need more information to propose a specific test. We will use a platform (TBA later) to record all the results and run analysis. The review of the personnel files and APS objectives will support our decision to recommend some of the following tests: Verbal ability tests in English: spelling speed test, grammar test, and comprehension speed tests Numerical ability tests in English: Numerical ability and numerical reasoning tests. Abstract ability test in English: creativity speed, odd one out, relationships ans strategic thinking test. Technical ability tests in English: Mechanical ability, spatial ability and accuracy tests. Personality tests in English: Measuring the main traits such as people oriented, task focused, group oriented, disciplined

Each test duration is between 20 and 25 minutes.

3.2.3 Talent Calibration Review categories IV and V The HR consultants will facilitate discussions and define criteria and scales. All the results will be reviewed by categories to check if results cover the assessment needs. Adjustments can be decided if the results bring other questions.

3.2.4 Assessment of categories III, II and I We recommend organizing assessment centers for these categories. This approach to selection allows the use of multiple methods and assessors. Instead of attending a single interview, candidates undergo a range of different exercises or assessments designed to provide evidence of their performance in a range of relevant competencies. The assessment centre will aim at assessing existing jobholders for their suitability for existing roles or for re-designed roles. Many exercises will be used depending on the need identified in Stage 1: Role-play In-tray Team exercise Behavioral interview Competency based interview Personality test or profile
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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

Assessors will use the ORCE methodology: ORCE: Observe, Record, Classify and Evaluate behavior.

3.2.5 Talent Calibration Review categories III, II and I HR Consultant will have to ensure that all potential perception bias and discrimination dont pollute the assessment. They will review cases where assessors have different perspectives to align outcomes to the APS objectives.

DELIVERABLES STAGE 2: Individual Tests Results Collective tests results for all categories Assessors feedback and comments for categories III, II & I.

3.3 STAGE 3: Preparation of the final report Estimated duration: 15 working days The report will reflect the analysis of the assessment results and provide recommendations for the new O&M JV workforce development.

3.3.1

Current

performance analysis

HR Consultant will first analyze how employees perform today in their current positions in all categories. They will use both the employees files data and the tests results. The focus will be put on technical and soft skills. Each competency will be assessed globally and by categories. This step will facilitate the identification of potential training needs. 3.3.2 Aptitude and potential analysis The aptitude tests results will be consolidated to establish the number of employees that match with Saur standards and future needs. The results will be compared to the number of opened positions in the new JV. The assessment outcomes will be reviewed and conduct to the identification of the training and development needs. 3.3.3 Ranking of the personnel Three categories will be used to rank the assessed personnel: Personnel whose skills match with O&M JV expectations Personnel whose skills need further development and consolidation to join O&M JV Personnel who cannot be considered for staffing the new organization.
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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

3.3.4 Recommendations for Saudi and non Saudi employees A separate part will be dedicated in the report to the Saudi personnel management. Those who do not meet the requirements will be considered for potential transfers in or out Marafiq. Iota can provide out staffing services for some of them based on their profiles analysis. Recommendations will be made for all of them. The best incumbents for the new JV jobs potential trainers will be proposed. The report will also include developmental action plans for Saudi personnel no selected for the JV.

3.3.5 Draft report sent to O&M JV for comments All the collected data and analysis will be submitted for review to the O&M JV to ensure that the report covers all expectations.

DELIVERABLES STAGE 3: Ranking of the personnel according to their profiles Collective tests results for all categories Individual results sheet including metric results of the assessment Personnel split in 3 categories: Best match / Skills consolidation needed / Employees to be terminated or transferred List of skills that need to be consolidated or more used List of positions that would require recruitments List of Saudi who can be considered for out staffing services Recommendation for further assessments for management or technical skills: Myers Briggs Type Indicator, 360 leadership feedback, SEI Emotional Intelligence leadership profile Recommendations for Train the Trainer sessions to develop potential trainers

3.4 STAGE 4: Presentation of the final report Estimated duration: 5 working days

3.4.1 Overview of all categories of personnel Quantitative and qualitative data will be presented through visuals, statistics and trends descriptions. The objective is to provide a fair and balanced feedback on the current personnel and also to propose the list of the future talent for the O&M JV.
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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

3.4.2 Feedback on observed competencies Hard and soft skills will be reviewed to discuss further training and developmental decisions, where Iota can provide a full design, coordination and implementation of Learning & Development needs for the retained JV employees, for the months following the exercise. 3.4.3 Actions Plan for Saudi employees Iota can support the new O&M JV by providing Out-staffing solutions for the Saudi who do not meet with Masa standards and requirements. 3.4.4 Next step Key orientations for training plans and developmental initiatives such as coaching services will be submitted for review. There will be a cultural shift to operate, as some employees will come from another organization. Iota will also follow up on potential out staffing. Our HR consultants and assessors can also provide feedback on assessment to all employees when decisions are taken by O&M JV Committee. Iota can also offer support in designing Succession Plans for the companies involved, based on the assessments results.

4 VALUE OF THE PROPOSAL 4.1 ASSESSMENT METHODOLOGY Our approach is respectful of the assessed personnel. Starting from gathering the relevant information to work with, we use various tests and techniques to avoid perceptions bias such as HALO effect and apply a consistent model among assessors called ORCE: Observe Record Classify Evaluate behavior

We will assess skills but our focus will be on behavior: How does the employee use the skills? What is the outcome? The Assessors observations forms will be scanned by our HR consultants to ensure consistency and all the efforts will be demonstrated to guarantee data protection.

4.2 ASSUMPTIONS Considering that our HR consultants havent had the opportunity yet to discuss the business need, we make the assumption that : All assessment tests and interviews can be conducted in English Performance management reviews, career paths and succession plans are available for analysis
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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

New jobs in the JV are identified and supported by job description A competency framework is defined for the new JV or will be inherited form Mafrafiq Computers are available for tests Some key technical management personnel (from SAUR as advised) will be made available to conduct some Technical interview / trade tests, to assess technical capabilities.

Organizational charts are available for current and future organization

We also assume that future candidates for interviews are seasoned professionals with technical background.

4.3 A TEAM OF HR EXPERT 4.3.1. FIRT OPTION - IOTA total solution a) IOTA proposal presents key valuable benefits to your need as the team will include: One Senior Resident Project Leader with an extended experience in Assessments and Strategic Human Resources Management in the Middle East Region and globally. and experience of recruitment, performance & talent management, training and generalist HR management. They have both run assessment centers for international companies. A pool of Senior Assessors and Assessors trained, objective and reliable. Availability of Iota specialists for Saudi out staffing.

Two Senior HR consultants who are seasoned HR professionals: they have the knowledge

The project will be staffed as follow: One Senior Resident Project Leader Two Senior HR consultants One administrative assistant A pool of Three Senior Assessors, and eleven Assessors depending on the tests selected.

b) Proposed IOTA total solution project team organization:

FRANCK : Check with J.M. to see if Karine needs to be shown or not in offer ???

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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

First Option:

Senior Resident Project Leader

Snr. HR Consultant 1

Snr. HR Consultant 2

Admin Assistant

Snr. Assessor 1 Categories I, II

Snr. Assessor 2 Categories III

IOTA Assessor

Snr. Assessor 3 Categories IV, V

IOTA Assessor

IOTA Assessor

IOTA Assessor

IOTA Assessor

IOTA Assessor

IOTA Assessor

IOTA Assessor

IOTA Assessor

IOTA Assessor

IOTA Assessor

4.3.2. SECOND OPTION - IOTA core team a) IOTA will delegate a key leadership project team, to identify, train and supervise a Local team of Assessors from the clients headcount. Our Senior Resident Project Leader together with the Senior HR Consultant will Train-the-Trainers, to ensure that the pool of selected Assessors will be given the necessary tools and know-how to perform the assessments. Assessors could be assigned as follow : i.e.: Assessor 1 (from co. A) Assessor 2 (from co. B) Etc will assess Employees in co. B Employees in co. C

Assumptions: Assessors will only assess employees from a parent company, and not from the same company Only assessors from a category will be able to assess colleagues in that same category

Advantages:
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- more cost efficient solution

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- ease sourcing of assessors

TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

Drawbacks:

- product / competencies knowledge - risk of biases while assessing

- integrity of reporting - quality of assessments

b) Proposed IOTA core project team organization:

Second Option:

Senior Resident Project Leader

Snr. HR Consultant 1

Snr. HR Consultant 2

Admin Assistant

Snr. Assessor 1 Categories I, II

Snr. Assessor 2 Categories III

Snr. Assessor 3 Categories IV, V

One Senior Resident Project Leader with an extended experience in Assessments and Strategic Human Resources Management in the Middle East Region and globally. and experience of recruitment, performance & talent management, training and generalist HR management. They have both run assessment centers for international companies.

Two Senior HR consultants who are seasoned HR professionals: they have the knowledge

A support team of Senior Assessors trained, objective and reliable, to coach and supervise the assessments made by Local team. Availability of Iota specialists for Saudi out staffing.

The project will be staffed as follow: One Senior Resident Project Leader Two Senior HR consultants Three Senior Assessors One administrative assistant

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TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

5 CONCEPTUAL APS DELIVERY SCHEDULE

TASKS Mid-August Stage 1 APS Objective Review Individuals files collect Assessment validation tools selection&

OWNER

FRANCK : To be filled

Communication design Mid September Stage 2* APS kick-off (room 50 PAX) Assessment categories IV & V

Talent calibration Review IV & V Assessment categories III,II,I Talent calibration Review III,II,I November Stage 3 Current performance analysis Aptitude and potential analysis Ranking Recommendation Draft sent for review End November Stage 4 Modifications following reviews Feedback competencies on observed

Action plan : Next step

6 COMMERCIAL PROPOSAL (BUDGET)\

6.1 COMMERCIAL CONDITIONS The budget presents the fees per day by professional. The fees Time sheet will be completed by consultant. Travel and accommodations will be invoiced. FRANCK : To be filled

Description
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Unit price
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Nb of days or

Total investment

TECHNICAL AND BUDGET COMMERCIAL PROPOSAL For ASSESSMENT OF POTENTIAL AND SKILLS MASA

USD Senior Resident Project Leader HR Senior Consultant Administrative assistant Assessor Flight Ticket Dubai-Jubail-Dubai Outstaffing fees $ Tests fees $ $ $ $ $

units

USD $ $ $

6.2 MAIN EXCLUSIONS Any service tax, withholding tax or VAT that may apply according to Client nominated contracting entity Costs of training facilities in Location Costs for delivery in other area than Location

6.3 VARIATIONS Mutually agreed variations such as additional work shall be charged on a lump sum or unit rate basis as agreed with Client. Change of location for the delivery of courses will be subject to revision of the proposal Additional supplies, equipment or third party services required by Client to be provided by IOTA will be charged at cost +10% 6.4 INVOICING AND PAYMENT

6.7 APPLICABLE LAW UAE law is applicable

8 APPENDIX
8.1 Project team Bios

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