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Local development and supply chain management

Managing our economic impact

ExxonMobil’s local content and supply chain management strategies are designed to deliver lasting and shared value to host countries and local communities — as well as our business — by employing systematic processes and global best practices that support local economic growth and development.

Local economic growth and development

We work to contribute to the economic and social development of the countries in which we operate. We believe local content — the added economic and social value brought to a host nation through the activities of the oil and gas industry — provides shared value to ExxonMobil and to local communities. Our local content approach focuses on three key areas: employing and training a local workforce, supporting local suppliers and improving livelihoods of community members through local community investments. The goal of this multi-tiered approach is to provide sustainable economic benefits and ensure local participation is embedded into our daily processes.

Local hiring and training

Hiring and training a local workforce in our areas of operation is a long-standing priority for ExxonMobil. We provide locally hired individuals with opportunities to develop technical and leadership skills that will benefit them throughout their careers, both with ExxonMobil and with future employers. By doing so, we aim to enhance the long-term capability of local workforces in areas where we operate. Our training programs include the provision of information on ethical business conduct, health and safety, management skills and fundamentals of the oil and gas industry, as well as relevant technical and vocational skills.

Local community investments

Our local community investments are designed to support social and economic development in the host countries where we operate. As we invest in communities, we pursue programs that are aligned with community and business priorities.

Supply chain management

The success of our business is influenced by the many valued suppliers who support our operations. In 2016, ExxonMobil made payments to more than 90,000 suppliers of goods and services worldwide.  We strive to promote a healthy supply chain that respects human rights and the environment while creating opportunities for historically underrepresented groups. ExxonMobil works with a range of stakeholders, including host country governments, nongovernmental organizations and local communities to support the development of local vendors. In 2016, we included a sustainability discussion in our supplier relationship management meetings with strategic suppliers representing more than $850 million in annual spending across nine commodity groups. These discussions covered human rights, environmental performance, local content and supplier diversity topics. Promoting supplier diversity ExxonMobil seeks to build long-lasting and mutually beneficial relationships with diverse suppliers to contribute to the economic development of historically underrepresented groups. In 2016, we exceeded our target with a total of $1.4 billion in spending with diverse suppliers in the United States. Our supplier diversity program continues to expand into the international arena. In 2016, we spent a total of $203 million with women-owned and indigenous-owned businesses outside the United States.

  • Sara Ortwein

    President of XTO Energy
    "Developing a stronger, more diverse supply base not only helps the community, but also ExxonMobil's business."

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