3M Human Resources Measurement

3M Innovate

3M 2010. All Rights Reserved.

3M Human Resources Measurement

More Than 35 business Units Organized Into Six Market-Leading Businesses

Consumer and Office Display and Graphics Electro and Communications Health Care Industrial and Transportation Safety, Security and Protection Services

3M 2010. All Rights Reserved.

3M Human Resources Measurement

3M Facts
Year-End 2011
Sales Worldwide................................. $23.1 billion International (63% of total)........ $14.6 billion Earnings Net income................................ $3.19 billion R&D Expenditures For 2009................................... $1.29 billion Total last 5 years................... $6.86 billion Employees Worldwide......................................... 74,835 United States................................. 31,513 Where? Sell products in over 200 countries

Operations in more than 65 countries

35 international companies with manufacturing operations, 35 with laboratories In the United States, operations in 28 states 6700 researchers worldwide; 3,400 in the United States

Contributions: In 2011, donations of cash and products totaled more than $50 million in the U.S. alone

567 U.S. Patents Awarded

3 3M 2010. All Rights Reserved.

3M Human Resources Measurement

RECOGNITION
3M received the Freedom Award, the highest recognition given by the U.S. Department of Defense to companies that provide exceptional support to their employees serving in the National Guard and Reserve. 3M's law department was named winner of the 2011 Employer of Choice Award for the Midwest region by the Minority Corporate Counsel Association. Of 3M's 92 lawyers, 46 are women or minorities.

3M was awarded the 2011 Member of the Year Award from the Institute of Corporate Productivity (i4cp). The award is presented to member companies that demonstrate unique and successful programs to increase workforce productivity within their organization.

4 3M 2010. All Rights Reserved.

3M Human Resources Measurement

RANKINGS
3M was named among the top 50 of The Worlds Most Attractive Employers in a survey conducted by research firm Universum. More than 160,000 undergraduate business and engineering students worldwide participated in the survey. . 3M ranked third in corporate reputation among 60 of the most visible companies in the U.S. according to the 12th annual Harris Interactive U.S. Reputation Quotient Survey. The survey asked 30,000 members of the American general public to rate companies based on their reputation on 20 different attributes.

5 3M 2010. All Rights Reserved.

3M Human Resources Measurement

RANKINGS Continued
3M made Inc. Magazines list of Top Nine Company Names. Other companies on the list include Google and Kodak. 3M ranked No. 4 on the list of "Most Reputable Companies" based on a survey conducted by the Reputation Institute in conjunction with Forbes. The survey asked people about their perceptions of the 150 largest U.S. companies based on revenue.

3M was named among the Top 100 Companies to Work For in 2011 by Savoy Magazine. The survey ranked companies based on their management philosophy, communication efforts, career opportunities and diversity outreach efforts, among other factors.

6 3M 2010. All Rights Reserved.

3M Human Resources Measurement 3M Human Resources

HR partners with the business to drive growth through people

GOVERNANCE

HR principles Strategic HR oversight Policy development and adherence Compliance

3M Source
24/7 Information and transactions

HR Contact Center
Resolution and referral services

INFORMATION SERVICES BUSINESS HR MANAGERS CENTERS OF EXPERTISE

Benefits Compensation Employee relations Employee services Measurement and assessment Mergers, acquisitions and transitions Talent acquisition Talent development Workforce planning and management

Leadership team counsel HR strategy supporting business strategy Human Capital plans emphasizing identification and development of talent Brokerage of resources required to meet business HR plans

7 3M 2010. All Rights Reserved.

3M Human Resources Measurement

HR STRATEGY
3M Strategies
Grow the current core business HR Vision HR partners with the business to drive growth through people.

HR Business Critical Ys
Engaged, Productive and Diverse 3M Employees 3M Strategy Acceleration Through HR Leadership and Expertise 3M Workforce and Organizational Readiness Operational Excellence and Productivity of Global HR Services Protect the Corporation

HR Strategies
1. Engage employees and strengthen employment brand 2. Enhance ability to acquire and retain the right workforce 3. Enable effective human capital planning and increased workforce productivity 4. Optimize HR administration including global web and call centers

Complimentary acquisitions

International growth

Build new businesses

HR Mission Provide workforce and organizational solutions to accelerate strategy execution and drive operational excellence.

5. Accelerate the development of talent

6. Design compensation and benefits plans to meet evolving business needs

8 3M 2010. All Rights Reserved.

3M Human Resources Measurement

HR SUB-STRATEGY
HR Strategy HR Sub-strategies HR Tactics In Support of Sub-strategies
Career paths project Mentoring Coaching Job rotation 360 Connection to work / life benefits Connecting engagement to employment brand

How to make my work challenging and meaningful

Engage Employees

Align to the big 3M

NEO Linking with sustainability Integrate innovation into the story Built into leadership competencies Emails from CEO Imbedded in leadership programs (GM/MD; ALDP, etc) Messaging of engagement as a leadership responsibility

Leadership responsibility to build the environment

9 3M 2010. All Rights Reserved.

3M Human Resources Measurement

Alignment of HR Practices
Human Capital Planning Succession Planning Performance Appraisal

Development

Leadership Attributes
Assessment Tier Reviews

Consensus Review

10 3M 2010. All Rights Reserved.

3M Human Resources Measurement

DIVERSITY

11 3M 2010. All Rights Reserved.

3M Human Resources Measurement

LEARNING AND DEVELOPMENT

3M strongly supports a culture where all employees can thrive and where differences are valued and leveraged. Promotes a culture to increase personal and team productivity through diversity awareness, 3M has developed course offerings based on the Iceberg Model - a concept founded on the belief that diversity includes respect for all the ways individuals differ.

15 % rule, to allow employees to devote 15 % of their official time on projects of their interests
3M strongly encourages mentoring partnerships and provides training, tools and networks to support mentoring across the company.

12 3M 2010. All Rights Reserved.

3M Human Resources Measurement

Employee Engagement:
Key Strategy to Growth, Innovation and Retention
Engagement: Aligning Individuals Purpose and Energy with Organizational Goals
Brand ambassador Community partner Social responsibility and sustainability Family appreciation events Media coverage External recognition and awards Performance oriented company Challenge and growth Career advancement and broadening Personal career development Effective supervisor and peer relationships Safe working conditions Equitable compensation and benefits Ethical business practices HR principles 3M values

Pride in 3M

Career Fulfillment

Basic Employee Needs

Regular and Open Communication

Active visible leadership is needed to promote stronger levels of engagement.

13 3M 2010. All Rights Reserved.

3M Human Resources Measurement

How can we do better?

William L. McKnight

14 3M 2010. All Rights Reserved.