Nestlé in society Creating Shared Value and meeting our commitments 2015
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<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong>:<br />
Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong><br />
Nutrition, health<br />
<strong>and</strong> wellness<br />
Rural development<br />
Water<br />
Environmental<br />
susta<strong>in</strong>ability<br />
Human rights<br />
<strong>and</strong> compliance<br />
Our<br />
people<br />
Market presence G4-DMA, G4-EC6, Tra<strong>in</strong><strong>in</strong>g <strong>and</strong> education G4-DMA, G4-LA11<br />
Develop<strong>in</strong>g people<br />
We seek to provide each of <strong>our</strong> employees with opportunities to grow, evolve <strong>and</strong> contribute. We champion the<br />
idea of life-long learn<strong>in</strong>g, believ<strong>in</strong>g that fulfilled employees create satisfied consumers. The <strong>in</strong>ternational nature of<br />
<strong>our</strong> bus<strong>in</strong>ess is a major attraction for employees <strong>and</strong> we offer opportunities to work <strong>in</strong> different locations,<br />
<strong>in</strong>clud<strong>in</strong>g short-term projects, long-term expatriation <strong>and</strong> local transfers. Our learn<strong>in</strong>g solutions are delivered to<br />
meet the specific needs of employee groups, from e-learn<strong>in</strong>g tools to face-to-face tutorials, workshop sessions,<br />
local posters, <strong>and</strong> activities <strong>and</strong> <strong>in</strong>formation employees can take home to their families. Dur<strong>in</strong>g the past year,<br />
<strong>Nestlé</strong> has <strong>in</strong>creased tra<strong>in</strong><strong>in</strong>g per employee from 28.8 h<strong>our</strong>s to 31.6 h<strong>our</strong>s per year.<br />
Develop<strong>in</strong>g <strong>our</strong> capabilities<br />
Learn<strong>in</strong>g is part of <strong>our</strong> company culture. We believe <strong>in</strong><br />
shar<strong>in</strong>g knowledge <strong>and</strong> ideas freely with others to seek<br />
cont<strong>in</strong>uous improvement. Employees at all levels are<br />
systematically enc<strong>our</strong>aged to assess how they enhance their<br />
skills <strong>and</strong> knowledge.<br />
Experience <strong>and</strong> on-the-job tra<strong>in</strong><strong>in</strong>g are the primary s<strong>our</strong>ces<br />
of learn<strong>in</strong>g. We foster development plans that embed the<br />
70/20/10 approach to build robust capabilities for <strong>our</strong> people<br />
<strong>and</strong> <strong>our</strong> bus<strong>in</strong>ess.<br />
• 70% practical experience (e.g. job rotations, special<br />
assignments, live projects);<br />
• 20% relationship-based (e.g. mentor<strong>in</strong>g, network<strong>in</strong>g); <strong>and</strong><br />
• 10% formal education (e.g. tra<strong>in</strong><strong>in</strong>g, e-learn<strong>in</strong>g,<br />
conferences).<br />
The plans are reviewed aga<strong>in</strong>st chang<strong>in</strong>g career paths <strong>and</strong><br />
new opportunities, with at least one formal discussion per<br />
year. Around 76% of <strong>our</strong> employees received regular<br />
performance <strong>and</strong> career development reviews <strong>in</strong> <strong>2015</strong>.<br />
Our Progress <strong>and</strong> Development Guide gives structure to the<br />
discussions between employees <strong>and</strong> l<strong>in</strong>e managers about<br />
future career aspirations. Managers are responsible for<br />
guid<strong>in</strong>g <strong>and</strong> coach<strong>in</strong>g employees to succeed <strong>in</strong> their current<br />
positions. Practices such as lateral professional development,<br />
extension of responsibilities, <strong>and</strong> cross-functional teams are<br />
enc<strong>our</strong>aged to acquire additional skills, enrich job content <strong>and</strong><br />
widen accountability.<br />
Recruit<strong>in</strong>g <strong>and</strong> develop<strong>in</strong>g local talent with local knowledge<br />
rema<strong>in</strong>s crucial to ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g <strong>our</strong> success, especially <strong>in</strong><br />
develop<strong>in</strong>g countries where the proportion of native<br />
employees at management levels lags beh<strong>in</strong>d that of more<br />
developed countries. In <strong>2015</strong>, 63.3% of Local Management<br />
Committee members <strong>in</strong> develop<strong>in</strong>g countries were native to<br />
that country.<br />
Employees by gender who received regular performance<br />
<strong>and</strong> career development reviews <strong>in</strong> <strong>2015</strong> (%)<br />
Employees by function who received regular performance<br />
<strong>and</strong> career development reviews <strong>in</strong> <strong>2015</strong> (%)<br />
Corporate Affairs 77<br />
& Communications<br />
F<strong>in</strong>ance & Control 79<br />
Market<strong>in</strong>g & Sales 59<br />
ISIT 87<br />
Human Res<strong>our</strong>ces 73<br />
Procurement 80<br />
Research & Development 81<br />
Technical & Production 62<br />
Local Management Committee members native to country<br />
<strong>in</strong> develop<strong>in</strong>g countries <strong>in</strong> <strong>2015</strong> (%)<br />
<strong>2015</strong> 63.3<br />
2014 56<br />
Expatriates at <strong>Nestlé</strong>’s headquarters <strong>and</strong> central functions<br />
from emerg<strong>in</strong>g markets (%)<br />
<strong>2015</strong> 53<br />
2014 43<br />
Employee Job Success Profiles<br />
Our Job Success Profiles help employees underst<strong>and</strong> what<br />
they must do to succeed <strong>in</strong> a particular role. They are<br />
published at a corporate level, local levels <strong>and</strong> on the <strong>in</strong>tranet,<br />
along with <strong>in</strong>formation about possible career paths with<strong>in</strong><br />
certa<strong>in</strong> functions. The profiles also identify opportunities for<br />
development <strong>in</strong> functional <strong>and</strong> leadership capabilities. For<br />
factory operators, we use a tailored skills matrix to track<br />
<strong>in</strong>dividual learn<strong>in</strong>g <strong>and</strong> development needs.<br />
Women 67<br />
Men 65<br />
This data is based on 2014 performance cycle where we had a coverage of 66%. <strong>2015</strong><br />
performance cycle is not yet completed, this metric will be available end April 2016.<br />
<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong> – Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong> <strong>and</strong> meet<strong>in</strong>g <strong>our</strong> <strong>commitments</strong> <strong>2015</strong> 285