May 2006

Total is a partner in the Growing Sustainable Business for Poverty Reduction (GSB) initiative that stems from the UN Global Compact Policy Dialogue 2002: Business and Sustainable Development. It is designed to reduce poverty by developing businesses that respect international standards and the ten principles of the Global Compact.

Enhancing Local Skills

In late 2003, we launched our first GSB project in Madagascar, in cooperation with the government, for whom improving road safety is a priority. Funded at $1 million, the three-year Program to Improve Petroleum Product Transportation in Madagascar (PATH) is designed to enhance the skills, safety, productivity and revenue of small and medium-sized carriers.

Its objectives are to:

The key to PATH’s success is the partnership between local
entrepreneurs, local NGO Voarisoa, France’s Petroleum
Product Transportation Association (APTH) and Total. The
program is supported by the UNDP and local authorities.

	Number of participants	Training days
Business leaders	115	2 289
Drivers	711	3 430
Drivers’ assistants and mechanics	294	1 152
Police	571	1 142
Other: Members of NGOs, engineers, HR managers, etc.	129	214
Total	1 820	8 227

An Ambitious Local Training Program

After a survey of Madagascar’s petroleum product transportation industry, a six-member PATH team was set up by APTH in France in July and August 2004. Training of business leaders and frontline workers began in October 2004 across Madagascar.
Business leaders attended 18 three-day modules over five months, with a curriculum focused on the sustainability, profitability and quality of their companies. The 72 courses addressed such important issues as strategic and operational management and familiarity with regulations. A total of 115 managers from 58 small and medium-sized businesses were trained, for an aggregate 2,289 training days. Attendance was close to 75%. Certain local companies have now joined forces, the first direct outcome of the management training for business leaders.
Training for drivers, drivers’ assistants and mechanics consisted of seven classroom and demonstration modules spread over five days, covering petroleum products, tank truck equipment, accidents, fire, static electricity, defensive driving and driving exercises. Despite the initial reluctance of companies to release their employees for five days, the program’s main objective was widely reached and, at the request of local authorities, PATH was extended to the police to ensure better compliance with regulations. Tracking of students and their reassessment every three years will help to further enhance their skills.

Toward Independent Project Management

In total, the PATH program delivered more than 8,200 days of training in petroleum product transportation, while over 1,800 people were trained and evaluated. Subsequently, the training team shifted its focus to providing advice and consulting services to local companies. In the spirit of the initiative, Total intends to transfer the project to local companies and authorities, with the creation in 2006 of a dedicated organization.
PATH is now concentrating on its third objective, increasing spending on vehicle fleet maintenance and replacement.
Financing packages being developed with banks in Madagascar should give small companies access to loans— something that was previously not a possibility.