Annual Financial Statements 2011 of Bank Austria

Management Report
Management Report (CONTINUED)
The Executive development Programme (EdP) and our Talent
management focus on strategic and individual personnel planning
for executives and talents. Attention is given to ongoing
development of management potential from within the bank
while successively raising the percentage of female managers.
Realigned in 2011, the national mentoring programme, through
networking and an exchange of knowledge, is a further measure
for supporting young employees in developing their potential in
terms of career and personal development.
� With the roll-out of Bank Austria’s new Performance
management we set new standards for a modern performance
evaluation system and for planning employees’ future development.
A group-wide, uniform and more efficient performance
management process, where information will be electronically
captured in an online tool, was created by building on experience
from the proven components of the previous process for setting
goals and evaluating performance (“scorecards” and “annual
performance review”). Priority was given to providing greater
transparency for both managers and employees while giving
both the possibility to play a more active role in defining further
potential for development and career opportunities. Performance
Management thus makes a substantial contribution to the bank’s
corporate culture based on respect. The goals agreed in a discussion
between the employee and the manager are captured in
a Performance Management tool. The employee’s performance is
evaluated after a period of 12 months. The information thereby
obtained on an employee’s personal performance serves as a
basis for further career opportunities and personal development
potential and for individual remuneration measures.
� A special information package makes our remuneration system
transparent while providing information on remuneration
made by Bank Austria to its employees: every employee receives
a personal letter (“Salary Transparency Letter”) listing all remuneration
received by him/her in 2011 from Bank Austria. The
letter will also include a brochure (“Benefits Folder”) with information
on voluntary benefits in our company. The purpose of
these measures is to provide employees with an overview of all
financial and non-financial compensation while linking this to the
related compensation processes such as the compensation
review and bonus payments.
remuneration of top management is determined within
UniCredit by way of a clearly-defined Group Compensation System,
which has been implemented at Bank Austria. The variable
components of the remuneration mix are linked to sustainable,
long-term and multi-year performance criteria; they also include
non-financial criteria and do not encourage persons to take
unreasonable risks. Deferred payment is possible for parts of variable
remuneration. The amendment to the Austrian Banking Act
which implements the provisions concerning remuneration policy
contained in the Capital Requirements Directive (CRD III) came
into effect as at 1 January 2011. It defines a new framework for
remuneration policies and practices for banks. Bank Austria will
adjust its remuneration policy to the new legal rules.
In April 2011, the international CRF Institute presented UniCredit
with the European Top Employer 2011 award for outstanding
HR services in five countries in which UniCredit operates: Austria,
Germany, Italy, Poland and the United Kingdom.
Sustainability management
In a challenging environment for sustainability, Corporate Sustainability
Management is working to help maintain a balance
between economic and socio-ecological targets, and to provide
support through specific measures. This is of particular significance
for the bank’s relations with its stakeholders. To this end,
Bank Austria has initiated a complex sustainability process with
the participation of a number of internal and external stakeholders.
The outcome of this process, involving the definition of specific
sustainability objectives, is summarised in the brochure
“Jetzt.”: with this publication, Bank Austria has set an innovative
standard in communicating sustainability information.
Sustainability must be firmly embedded within a company’s core
business, and must be an active component of corporate philosophy,
permeating all of the company’s operations. The renowned
rating agency oekom-research awarded Bank Austria a “Prime”
rating for its activities in the areas of ecology and social responsibility.
� The sustainability of products is a key consideration. This is
primarily linked to a product’s specific use: Bank Austria offers its
customers products which they need, at a fair price. And these
products should cover all segments of the bank’s business activities.
In this context, with due consideration to Bank Austria’s
social responsibility, the bank has, since 2011, offered a special
account for financially excluded people with either past or current
financial problems. We want to make a contribution to financial
inclusion with this “Erfolgskonto light” account.
� An important component of sustainability is to act responsibly
within society. Bank Austria is pursuing a clear strategy in the
area of social support. We primarily support aid projects which
Bank Austria · Annual Financial Statements 2011
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