84 Woodside Petroleum Ltd|Annual Report 2018

Culture and reputation

Objective 2018 outcomes

Assesses performance culture and

emphasis on values; engagement

and enablement; improved employee

climate; Woodside’s brand as a

partner of choice.

Introduced a new integrated cultural framework incorporating values, safety, risk and

compliance and piloted pulse checks to measure cultural health on a regular basis.

Workplace climate and collaboration enhanced through new Mia Yellagonga headquarters.

Positive contribution to host communities through A$17.7 million social investment, and

meeting or exceeding most annual Reconciliation Action Plan targets. Progressed Human

Rights Policy implementation plan, including supply chain management framework.

Shareholder focus

Objective 2018 outcomes

Assesses whether decisions are

made with a long-term shareholder

return focus; ecient and timely

communication to shareholders,

market analysts and fund managers;

the focus on shareholder return

throughout the organisation.

The CEO drove a disciplined approach to managing capital eciency allowing the

optimisation of growth projects while maintaining base business operating cash ﬂows

and balancing corporate gearing.

CEO actual remuneration

FIXED REWARD

28%72%

VARIABLE REWARD

2018 Vesting

P Coleman Shares

2014 deferred short-term award vested on 20 February 2018 45,334

2013 long-term award had a partial vesting of 65% on 5 March 2018 including an adjustment due to the Retail Entitlement Oer 103,051

2012 long-term award had a partial vesting of 14% on 5 March 2018 including an adjustment due to the Retail Entitlement Oer 14,097

Executive KMP KPIs and outcomes

FAR

In January 2018, Woodside conducted a review of executive KMP remuneration based on benchmarking data against a deﬁned

peer group alongside consideration of executive performance and role accountabilities. This review conﬁrmed that executive KMP

remuneration was below market median. This supported the Board's decision to award an on average increase of 2.8% in April 2018.

VAR

For 2018, KPIs were tailored to reﬂect the individual responsibilities of executives who participate in the EIS. They are chosen to

align individual performance with the achievement of Woodside’s corporate strategy whilst fostering collaboration and excellence

amongst executives.

The Board approved EIS awards to executive KMP based on the scorecard result and their individual performance assessment. As a

result, EIS awards for executive KMP ranged from 59% to 88% of maximum and the average EIS award for executive KMP was 75% of

maximum. The EIS award for executive KMP is detailed in Table 6a on page 86.

The individual KPIs for each of the executive KMP are shown in Table 5 on page 85.

Table 4 – CEO performance measures (cont.)