Talent Management in Unilever

NVP

Talent Management
Different aspects make up Talent Management within Unilever: 1. Some aspects are focused on the individual:
a. b. c. Recruitment & Selection Learning & Development Performance Management Wheel These are discussed in FRCs or Functional Resource Committees

2.

Some aspects are focused at managing talent accross an organization :

Most of all talent management processes are web-enabled, and are linked to PeopleSoft
Talent management process Recruitment (incl. applying to a job internally or externally) Learning Goal setting, Performance evaluations, Performance Ratings, Succession planning, high potential listing, . Reward E-tool VURV Learning Management System PDP online system
e-Reward system

A special case trainees

Throughout this presentation, we will sometimes highlight how we manage the young graduate talents specifically. Why? Because at Unilever we believe we need to invest highly invest in management trainees in order to build a robust talent pipeline. Therefore the Unilever Future Leaders Programme (UFLP) has been set up. Key areas: Attraction Selection Development Performance & Reward We attract about 30-40 new trainees each year, in the Benelux

1a. Recruitment & Selection

Recruitment administration:
has been outsourced to Accenture internally its Unilever Peoplelink.

Rationale of outsourcing:
Hiring Manager to focus on those elements where he can really add value, and Unilever Peoplelink does the rest

Role of hiring manager:

Set up the vacancy text, hold interviews with shortlisted candidates, decide who gets the job

Role of Unilever Peoplelink

Act as link between candidate, hiring manager, sourcing partners (eg. recruitment agencies) and follow-up the whole process Screen candidates, hold first telephone interview, extend job offer & contract

1a. Recruitment & Selection for UFLP

Recruitment:
How? Via Campus Manager Approach : 1 current trainee acts as Campus Manager (i.e. is responsible for attracting young graduates of 1 specific campus)

Where? In Target Cities / Specific Groups (diversity) / Events

When? 2 starting moments: 1 March & 1 September

Great results Employer branding in 2011 !

N 1 preferred employer for Economic & Engineering students N 4 preferred employer for students overall

Selection process:
CV & Motivation letter screening Numerical & Logical reasoning test online Telephone interview on SOL competencies & motivation Assessment center with WL3 leaders as assessors

1b. Learning & Development

- skills We aim to develop our people on 3 different sets of skills:
1. General Skills
> a catalogue exists of all general skills trainings we offer, and which are delivered in the most appropriate way (e-learning, virtual classroom learning, classroom learning, etc.) > each function has an Academy - eg. Unilever Marketing Academy develops programmes specifically for marketeers, at each level of their career > High Potential Leadership programmes exist for High Potentials at each worklevel within Unilever

2. Professional Skills

3. Leadership Skills

The development needs of an indivual are discussed using the Individual Development Planning (IDP)

1b. Learning & Development

- Individual Development Plan (IDP)
A Development Plan should be considered as a long term vision on how your career within Unilever could develop. Once it has been set up, it should be reviewed annually by you and your Line Manager, to make sure you are still on track. This long term vision will translate in to short term Development Goals, these goals should be fed into PDP Online and progress should be monitored regularly We advise you to highlight the "must deliver" / "must develop" development activities in yellow. For: <Name> To Increase Readiness for Destination Role of: <Position> Date: <date> Development Activities Context These goals are 70% related to (based Job or Project Attend Role in on Step 1 Development Assignments Meetings/Event Professional/ identified Goals (tasks, s (company or Industry strenghts and temporary external Groups development assignments, events/meetings/ (industry areas): task forces, job conferences) committees, rotations, professional secondments) societies) Contacts Concepts 20% 10% Coaching/Ment Observing Developing or Readings/Too Participating oring (pairing Experts Delivering ls (books, in Formal with expert, (shadowing or Training web-sites, Training peer, leader, observing (helping design workbooks, (classroom advisor(s); being experts; or provide tools, podcasts training, observed/receivi interviewing/de training to - Books 24*7) workshops, eng feedback) -briefing others) learning, experts) webinars)

Developmen Other (any t other ideas for Deliverables developing/lear (KPI, ning this timeframe) competency)

Employee Sign Off: Linemanager Sign Off: Linemanager's Linemanager Sign Off:

1b. Learning & Development

My Passport
The IDP informs which development activities are to be taken > those that are a formal training are captured & viawable their online Learning Passport This Passport separates learning needs into 3 categories: Mandatory trainings, Recommended trainings, and Elective trainings

1b. Learning & Development

For UFLP
1. Local On-boarding UFLP Take-Off: 5 days divided in 2 modules Purpose is threefold: network with other trainees, introduction to the different disciplines and getting to know some Unilever leaders, introducing the 2-year programme and their role in making it a success 2-year Development roadmap including: 1. Professional skills (eg. Marketing Foundation programme) 2. General skills (eg. Time & priority mgmt, project mgmt, ...) 3. Leadership Skills Mentoring

2.

3.

1c. Performance Management Wheel

1c. Performance Management Wheel

- Standards of Leadership: the Unilever competencies

The Standards of Leadership define the way we need to do things around here in order to double the size of the business by 2020

1c. Performance Management Wheel

- Standards of Leadership: the Unilever competencies
Growth Mindset This is competitive leadership. Taking the lead in the marketplace versus following. It's a positive attitude about the company's futureglass half-fullbut it's realistic. It's passion for winning. Winning defined as gaining market share. It's placing a fresh emphasis on innovationchallenging the status quo. Consumer and Customer Focus This is purpose-driven leadership. It's externally focusedon consumers, on customers. First take care of consumers and customers; financial performance will follow. It's a heightened passion for the consumer: I firmly believe in improving the lives of consumers. It's bringing the voice of the consumer and the customer into everything we do. It's seeing our brands through their eyes. Bias for action This is action-driven leadership: "This is what I will do." It's speed and sense of urgency in making decisions. But it needs to be thoughtful action, intelligent risk-taking. Also it's not wasting time on bureaucracyits output that counts. And its simplifying my agenda, carefully choosing prioritiesand not taking on too much. Accountability and Responsibility This is performance-driven leadership. "I will deliver against KPIs, holding myself to the highest standards. I will also hold other people accountablefirst by setting clear expectations and then by telling them if they are on the right path. It's staring reality in the eyedoing it with numbers. It's taking responsibility for Unilever's overall performance, not just by delivering my results but by helping other people deliver their results. Finally, its managerially driving change and using operational discipline to deliver on the promise. Building Talent and Teams This is people-driven leadership. It's passion for people. It's having the best people in the right positions, whatever the manager's gender or background. It's giving people plenty of room to do their part, and recognizing them for their contributions. It's investing in people's developmentgiving them feedback and challenging work. Its also constantly challenging myself to grow and improve. And it's building aligned, cohesive teams that pull together to win.

1c. Performance Management Wheel

- Goal Setting
Goal setting, or Setting your 3+1 (3 key workplan goals + 1 key development plan goal)

Goal setting is first step in the annual Performance & Development Planning (PDP)

Goal Setting

1c. Performance Management Wheel

- Learning & Development Plans
Discuss your long term Individual Developmant Plan (IDP) with your linemanager; use this as input for your short term development plan goal

Learning & Development Plans

1c. Performance Management Wheel

- Performance Rating

Have a good mid-year review with your Line manager (review 3+1, SOLs, core job responsibilities) and record outcome of review in the PDP system Have a good End-of-Year discussion with your line manager (final review of 3+1, SOLs, core job responsibilities) and record outcome of review in the PDP system Based on your performance regarding your 3+1, SOLs, and core job responsibilities, your line manager will decide on the appropriate Performance Rating for you (between 1 & 5) The line manager of your line manager will review all recommended ratings in his/her remit, and make ensure calibration for the whole team

Line Mgr rating recommendation December latest

Performance Rating

1c. Performance Management Wheel

- 360 feedback
You can ask your peers, line manager, people you work with, to give you feedback on the way you demonstrate the SOL behaviours, by initiating a MultiSource Feedback (MSF) (also known as 360 review) The MSF exercice can either be a light version (rated on high-level competencies) or full version (rated on subquestions per competency), and you can ask either up to 15 people to give feedback, or just do the exercise between yourself & your linemanager

360 Feedback

1c. Performance Management Wheel

- Global People Survey
Regularly you will be asked to fill in the Global People Survey questionnaire, which aims to get a view on opinions of Unilever employees regarding working at Unilever.

GPS Feedback

1c. Performance Management Wheel

- Forced LDT differentiation
The LDT (or Leadership Differentiation Tool) is used in the Functional Resource Committees (FRC) to differentiate between peer managers in a certain function and at a certain Work level

All managers are plotted on 2 axes, the WHAT-axe (whether you reach your workplan goals) and the HOW-axe (whether you reach your goals by demonstrating SOL behaviour)
Once confirmed, your line manager informs you of your position in the LDT matrix
Consistently demonstrates outstanding leadership

ax M

Forced Distribution
HOW

um im % 25

Consistently demonstrates leadership at the expected level

pp A ro x 60 %

i in M m um

Does not demonstrate leadership at the expected level.

15 %
Fails to meet stretching performance targets. Consistently meets stretching performance targets. Consistently exceeds stretching performance targets.

WHAT

1c. Performance Management Wheel

- Differentiated Pay for Performance
Differentiated Pay for Performance

In order to achieve differentiation in pay performance rates have been introduced (from 1 to 5) Performance rating is based on individual performance against the 3+1 goals and job fundamentals Performance ratings are directly linked to bonuses, each performance rate has its own bonus range without overlap between the rates; the higher the individual performance the higher the bonus one will receive

2. Functional Resource Committees

FRCs are held every quarter This is a Sample Agenda for end of Q2:
1. Succession planning: who is ready now or in years for our key roles
2. Review Key Talent: Who are they key talents? What about their development & next steps? 3. Key talent on key roles: What % of our key roles are held by our key talents? 4. List Cover: What % of the number of roles we have at a certain worklevel (eg. WL4), have a WL3 High Potential Lister that is ready to succeed? 5. Expected & Current vacancies 6. Mid year review: * Review Poor performers progress (red boxes)

* Review people in white & green boxes of last years LDT

How we work on improving talent management day by day

In October 2010 the HR Benelux team did an assessment of where we stand today in terms of Talent, Skills, Culture & Organization

Question we asked ourselves: Do we have a gap in these 4 areas, in order to achieve the growth we want to achieve by 2020?
Answer: Yes we do! These are a couple of items we are improving as a result of that assessment:
Better onboarding of Mid Career Recruits Learning Passport: Making sure employees know what trainings are relevant to them, so that they enroll for more trainings Improving the People Management skills of our managers (now managers tend to focus solely on reaching their business targets, forgetting that the employees in their team are a critical resource to reach those!) Etc

Any questions or comments?