Shell Chemicals

European Strategy

How CI has helped

PEX conference Oct. 23rd, 2018

Gerard Poolman
CI Lead Shell Chemicals

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Shell's strategy

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Shell's strategy

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Chemicals is an attractive business for Shell to grow

Why chemicals? Chemicals1 Growth Potential

Domestic demand in million tonnes per annum
 Fastest growing oil end use 400

 Diverse applications and markets

200
 Demand growth outpaces GDP

 Low CO2 intensity energy solutions

0
 Developing economies and
urbanization drive growth North America South America Europe
Middle East Asia Others
1 Ethylene + propylene + benzene Source: ICIS Cracker Margin Report

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 CI vision as worded by our Executive Vice President
CI ways of working and capability building is recognized as a key enabler for future value
delivery and the business culture we wish to establish in Chemicals. It is seen as a necessity to
create and maintain a solid foundation for future growth of the business. We will be targeted
with CI in the beginning and envision to transform the organization organically.

We want to create an efficient customer centric culture where;

 Employees are empowered to resolve problems at every level
 Decisions made without undue delay and offer simple solutions
 Teams understand where the value sits, and hunt for the value everyday
 Communication is open and free-flowing at every level
 Performance is visible, using leading indicators for everyday optimization
 Leaders model the CI behavior; they Go & See, Ask Why, and Show Respect
 Disciplined execution of agreed ways of working is the standard
 Rewards and recognition is aligned with CI ways of working

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 We set a long term vision and cascaded our goals
 The 5 outcomes:

 Margin
 Cost
 HSSE
 People
 Customer

VALUE GROWTH VIA CONTINUOUS

IMPROVEMENT, IN A COMPETITIVE &
STABLE REGIONAL MARKET, GREAT PLACE
TO WORK

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Example: Our Leader Standard Work integrated with Manufacturing

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