Hr@nestle npc

GGrowing rowing RResourcing esourcing EEngaging ngaging AAligning ligning TTransforming ransforming

HR @ NestleHR @ NestlePartnering with the BusinessPartnering with the Business

Ahmad Fauzi YahyaNestle Malaysia

Ahmad Fauzi YahyaNestle Malaysia


v What would you like to learn?

v What is your objective for today’s session?

v What you would like to achieve?

QUESTIONS


Nestle has a great story to tell…

• Henri Nestle became interested in baby food due to the high infant mortality rate in Switzerland

• He developed “Farine Lactee Nestle” in 1867 and saved an infant’s life after his neighbour was unable to breastfeed

• “Farine Lactee Nestle” has helped save the lives of many children the world over


Worldwide, Over 6'000 Brands and 10'000 Products

In Malaysia..

Brands & Products


World's Largest…Food, Nutrition, Health & Wellness Company

employeesoperating companiesfactories

countries

Global presenceSales by Regions37.5% - Europe, 43.7% - Americas18.8% - Asia, Oceania, and Africa

Global presenceSales by Regions37.5% - Europe, 43.7% - Americas18.8% - Asia, Oceania, and Africa

2008 Financial Performance(Key Figures)Sales - CHF109.9 bioOrganic Growth - 8.3% EBIT - 14.3%

2008 Financial Performance(Key Figures)Sales - CHF109.9 bioOrganic Growth - 8.3% EBIT - 14.3%

research, technology & development Centres


Nestlé Malaysia since 1912• No.1 FMCG Company• 11% of the total Malaysian

processed food basket• A top 20 KLSE company

• No.1 FMCG Company• 11% of the total Malaysian

processed food basket• A top 20 KLSE company

halal products

billion turnoverFactoriesSales Offices

employees


Our Vision…

““To be a respected, trustworthy To be a respected, trustworthy food, nutrition, health, & wellness food, nutrition, health, & wellness

companycompany””


Our Mission…

““To Nourish Malaysia/SingaporeTo Nourish Malaysia/Singapore””


The Transformational Challenge…

With vision, we anticipate the future,With vision, we anticipate the future,through our actions, we will shape it..through our actions, we will shape it..

-- Peter BrabeckPeter Brabeck--LetmatheLetmatheChairman & CEO, Nestle Chairman & CEO, Nestle

....NestleNestle’’s Blueprint for the Futures Blueprint for the Future


Why HR Exists?

I just want a pair of handsI just want a pair of hands……unfortunately a person comes with it..unfortunately a person comes with it..

-- Henry FordHenry Ford


HR Strategic Direction

•Rewarding Career •Enriching Development

• Balanced Quality of Work Life

VISIONVISION

EMPLOYEE VALUE EMPLOYEE VALUE PROPOSITIONPROPOSITION

Nurturing Talents, Unleashing PotentialsNurturing Talents, Unleashing Potentials

““ The best Brand for your career The best Brand for your career ““


Moving Forward….Aligning People Strategy Towards 2020

Employer BrandingNestle As Nestle As

Employer Of ChoiceEmployer Of Choice

Enabling HR Programs

& PracticesG.R.E.A.T. Strategic Initiatives

Employee Value Proposition•Rewarding Career

•Enriching Development•Balanced

Quality Work Life The Way We Work

T.R.I.PDevelop People

Performance Management

TRAI

NING

TRAI

NING

RETRAINING

RETRAINING

CONTINUOUS LEARNINGCONTINUOUS LEARNING

HR as Key Enabler

Succession Management

Development & Talent Retention

HR as Key Enabler

Succession Management

Development & Talent Retention

Balanced of Quality Work Life

Wellness

Nestle On The Move ~ Change Mgt

Balanced of Quality Work Life

Wellness

Nestle On The Move ~ Change Mgt


Feel: Sense of belonging, pride, attachment to the organisation

Act: Willingness to go the extra mile; Intention to stay with the organisation

Think: Belief in & support for the goals/values of the organisation

AFFECTIVE

FeelCOGNITIVE

Think

BEHAVIOURAL

Act

These three perspectives impact client satisfaction and business performance.

Engagement ModelTowers Perrin-ISR


Organisations achieve superior business performance when theirstrategy, culture and people are effectively aligned

For an organisation to maximise business results there must be:1. A culture that is aligned to, or supports execution of, the strategy2. Effective leadership capability across organisation levels3. Engaged employees whose contribution is maximised

Business Strategy

Organisational Culture

Business Results

People‘Engagement’

Leadership

This framework underpins Nestlé’s Employee Survey Source: Towers Perrin-ISR's

High Performance Framework


Nestle’s Character Foundation

CORPORATE BUSINESS

PRINCIPLES

MANAGEMENT &

LEADERSHIP PRINCIPLES

NESTLECODE OF BUSINESS

CONDUCT

CORPORATE VALUEST.R.I.P

CHARACTER

Inspiring People

Adding Value

Opening Up Dealing with others

• Lead people• Develop people• Practise what you preach

• Know yourself• Insight

• Service Orientation

• Curiosity• Courage

• Proactive co-operation

• Impact/Convincing others

• Resultsfocus

• Initiative

• Innovation &Renovation

Nestle Leadership Framework


Organizational perspective

“Strengthening of Leadership and Performance Culture”

• Continuous & Strong Leadership Pipeline• Stronger Engagement level• Inculcate Value-Driven performance• Promote Quality Work life / Wellness• Strengthen Nestle On The Move (Business Agility)

Customers Need


Customers Need

Business perspective

1. High Calibre Talent2. Excellent Employees Development program3. Establish Clear Career Development Program4. Convert Line Managers to People Developer5. Improve working environment6. Strengthen Rewards & Recognition Program7. Aligning Performance Management


Our Role…

qq Acquiring TalentsAcquiring Talentsqq Developing TalentsDeveloping Talentsqq Retaining TalentsRetaining Talentsqq Change ChampionChange Champion


HR Services & GLOBE

Payroll Management

Finance & Control / Supply Chain

BUSINESS UNITSPRODUCTION / SALES MARKETING SERVICES

Human Capital & OrganizationDevelopment

HR

Man

ager

Ope

ratio

ns

HR

Man

ager

GM

B

HR

Man

ager

Mar

ketin

g

HR

Man

ager

Sal

es/E

RBusinessSupport

Shared Shared ServicesServices

Competence Competence CenterCenter

CustomersCustomers

Recruitment & Talent

ManagementRemuneration

BusinessBusinessSupportSupport

HR Support Structure

HR

Man

ager

G M

gt/L

GO


Learning & Development Compass


Functional & Leadership Training


In house Training


Learning & Development Programs 2008

•Learning & Development Compass•Learning & Development Cycle •E-Learning•Training Caclendar 2008•How to apply•Role of Line Managers•Course Descriptions

ExternalContents


L&D initiatives in Production


• Organizational Behavior

• Introduction To Marketing

• Introduction To Economics

• Business Communication(Presentation & computer skill)

• Profitability at Nestle

• Commercials at Nestle

2 Modules from Nestle

4 Modules from OUM

6 MONTHS72 contact hrs

• Classroom based lecture• Role Play• Presentation• Assignment

• 50% Exam• 50% Assignment

Professional Certificate in Sales

ExternalMethodology

ExternalAssessment


Executive Diploma in Manufacturing Management (EDMM)

Collaboration with Open University Malaysia (OUM)

– raise the competency level of our Production Executives-elevating to FirstLine Manager

Ability testmeasure current ability and future potential for different types of work skills•Critical Reasoning based on English•Interpreting Data

Competency based Interviewstructured series of questions aimed at eliciting behavioral information against specific job-related competencies

Internal 14External 42Total = 56

•FOOD TECHNOLOGY•PRODUCTION MANAGEMENT•GENERAL MANAGEMENT

ExternalAssessment ExternalProgram ExternalFLM


E-Learning Facilities


Task Orientation

Results Orientation


Blue Print for the Future

Below the Surface

« Natural » Tendencies and Traits

Task-Related Knowledgeand Skills

For Example: Knowledge of Electronics, Companies' Products, Labor Relations, Law, Skill in active listening, Negotiating

For Example: Results FocusCuriosityProactive CooperationCourage

Job Complexity

Rel

ativ

e Im

port

ance

HighLow

Behaviors become more important as Job Complexity increases

High



Nestle’s Core Competencies

Inspiring People

Adding Value

Opening Up Dealing with others

• Lead people

• Develop people

• Practise what you preach

• Know yourself• Insight

• Service Orientation

• Curiosity

• Courage

• Proactive cooperation

• Impact / Convince others

• Resultsfocus

• Initiative

• Innovation &Renovation

NESTLE LEADERSHIPFRAMEWORK



C.A.R.E for Performance

On-going communication;•A shared understanding of what & how•Conducive climate


Total Rewards Approach

GGrowing rowing RResourcing esourcing EEngaging ngaging AAligning ligning TTransforming ransforming Corporate Communications

Total Rewards Approach

Compensation Philosophy

To establish the company’s salary and remuneration practices based on competitive positioning i.e. 50th% to top 25% or the 3rd Quartile (Q3) of Community salary practices with the comparable companies in order to attract, retain and motivate talents.

Gross Salary

Contractual bonus

Contractual bonus

Total Cash Total Compensation Total Reward

Contractual bonus

Contractual bonus

Contractual bonus

Contractual bonus

Contractual bonus

Contractual bonus

Basic Salary Basic Salary Basic Salary Basic Salary Basic Salary Basic Salary Basic Salary Basic Salary

Fixed AllowancesFixed Allowances Fixed AllowancesFixed Allowances Fixed AllowancesFixed Allowances

Target Variable BonusTarget Variable Bonus Target Variable BonusTarget Variable Bonus Target Variable BonusTarget Variable Bonus

BenefitsBenefits BenefitsBenefits

Career & WorkEnvironment

Career & WorkEnvironment

COMPONENTS OF TOTAL REWARDS


GGrowing rowing RResourcing esourcing EEngaging ngaging AAligning ligning TTransforming ransforming Corporate Communications

Competitive Positioning


Variable Pay


Enriching Development Focus

Engaging a Winning TeamFor a heart of Excellence


Developing Talent


Meeting 1Meeting 1

ONGOING-Actioning

DevelopmentPlan

1. Successors 2. Retirees Placement3. Expatriates Placement4. Hi Potentials5. New Talents/MT Status

1. Approval for Development Budget

2. Hi Pots Annual Development Program

3. Competencies Gaps Identification

1. Validation of “Talent Pool”2. Validate Career Management

Plan for the year3. Tracking Development Plans4. Update on

Organizational/structural changes

5. New Initiatives on Talent Development

Meeting 3Meeting 3

Meeting 2Meeting 2

On going Collaborationwith the line



Talent Management Process


Talent Meeting Structure & Guidelines

Dept Reviews

Global Talent Review

by

Zone / SBU / Corporate Function

Management

Step 5

Head CDS

Step 1

All Department

FiCo Employee PDGs

CDS/A&C Direct Reports

Division TMM Forum Centre

Calibration & Validation

Step 3

Market Talent Review

by ManCom

Bottom Up

Review of MH Direct Reports

by Mkt Head

Step 4

FEEDBACK PROCESS

Step 2

Respective Departments


SalesSG

PRODUCTIONSupply Chain

Business Units

Finance & Control

Integrated Talent & Career Management Process


Communication through Intranet


Employment At Nestlé

1. Supports and respects the protection of international human rights within its sphere of influence

2. Ensures that its own companies are not complicit in human rights’ abuses

3. Freedom of association and the effective recognition of the right to collective bargaining

4. The elimination of all forms of forced and compulsory labour

5. The effective abolition of child labour6. The elimination of discrimination in respect of

employment occupation

Nestlé fully supports and publicly advocates the United Nations Global Compact’s guiding principles :-


Malaysian Labour Legislations

• Employment Act 1955• Industrial Relations Act 1967• Trade Unions Act• Employment Provident Fund Act• Employees’ Social Security Act• Children and Young Persons (Employment) Act 1966• Employment Information Act• Employment (restriction) Act• Private Employment Agencies Act• Workmen’s Compensation Act• Wages Councils Act


Industrial Relations

Management + Union Collaboration = Productive Workforce

NESTLE Malaysia & Singapore have a total of three National Unions representing the non-management staff :

Nestle Products Sdn. Bhd.

Ø National Union of Commercial Workers (NUCW)

ØCollective Agreement 2001 - 2003

Ø Union membershipØ97% of non-management

staff – union members

Worksite Union Committee at

various locations

Nestle Foods (M) Sdn. Bhd.

Ø Food Industry Employees Union (FIEU)

ØCollective Agreement 2002 - 2004

Ø Union membershipØ99% of non-management

Staff – union members

Nestle Singapore (Pte) Ltd

Ø National Trade Union Congress

Ø Collective Agreement 2001 – 2003

Ø Union membership - 33% in (Southpoint)- 67% in (Jurong)

No. of TradeUnions in

Malaysia = 595


HR Vision, Road Map, Key Challenges & EVP

Nurturing People; Unleashing Talent

NestlNestléé A Great Place To WorkA Great Place To Work

Speed & Quality Resourcing and Acquisition of Talent Development of Talents for Successor ReadinessCareer Progression ~ Flat structure & specialist rolePerformance Management ~ Addressing performance vs. people developmentBalancing the Quality Work life ~ Wellness@work

Speed & Quality Resourcing and Acquisition of Talent Development of Talents for Successor ReadinessCareer Progression ~ Flat structure & specialist rolePerformance Management ~ Addressing performance vs. people developmentBalancing the Quality Work life ~ Wellness@work

Key ChallengesKey Challenges

VISIONVISION

q Business Alignment

q High Calibre of Talent

q Employee Engagement

q Organizational & Personal Effectiveness

q Value & Performance Driven Culture

q Employee Wellness

Rewarding Career Enriching Development

Balanced Quality Work

Life

EMPLOYEE VALUE EMPLOYEE VALUE PROPOSITION [EVP]PROPOSITION [EVP]

HR Road MapHR Road Map


Terima Kasih

Date post:	08-May-2015
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