Change

Excellence in people development


Our targets and reporting are consolidated into a Talent Factory Scorecard to track our operational progress and create transparency across all AkzoNobel businesses.

Performance & Development Dialog (P&D Dialog)

The P&D Dialog incorporates both a performance review and development/career planning. Our company values and Success Factors (behavioral competencies) are an integral part of all development discussions and are integrated into the system and annual performance appraisal process. In 2010, we increased the number of employees using the web-based process to 76 percent (2009: 72 percent), with a paper system available for the remainder.

Management development programs

Our standardized best practice global Management Essentials and Advanced Management programs (MEP and AMP) are operational in 44 countries (2009: 32). 2,028 managers from across the globe started the MEP program in 2010 (2009: 2,256), representing, in total, 50 percent (2009: 32 percent) of the total target population of first line managers. During 2010, 724 senior managers (2009: 452) participated in the AMP, which represents, in total, 44 percent (2009: 21 percent) of the target population of senior managers.

Management development programs number of participants

 

 

 

 

 

 

 

 

Management Essentials Program

Advanced Management Program

 

 

 

 

 

 

 

 

2008

2009

2010

2008

2009

2010

Europe

182

732

1,084

0

199

405

Americas

117

796

400

0

80

182

Asia

228

728

544

0

173

137

Total

527

2,256

2,028

0

452

724

Leadership pipeline

A strong leadership pipeline is crucial to supporting the company’s growth ambitions, particularly in our target high growth countries. To develop this pipeline, we are working hard to deepen our understanding of future market needs, identify the talent that we already have and further improve our planning to ensure we can meet new requirements.

For example, Leadership Talent Reviews in our businesses and functions play an important role in identifying potential talent early, managing succession planning and structuring individual development. Our top management has also been actively involved in development dialogs with potential leaders, and facilitating career development moves.

During 2010, we made good progress on delivering on individual development plans and achieved improvement both in the number of cross-business moves made by our employees and in the diversity of our executives. In 2011, our businesses will be able to use a new guide for assessing leadership potential to conduct a fuller review of their potential future leaders. In addition, we will continue to take action to build the sort of engaging, challenging environment that is needed to attract and retain talented people.

Diversity & Inclusion

Input and feedback from our people continues to drive our focus on Diversity & Inclusion (D&I). While not excluding other groups, our current focus is on improving gender and cultural diversity and further strengthening our company’s engaging environment. It’s an environment in which everyone is valued, where everyone counts and where everyone has the opportunity to develop their skills and talents in line with our company values and objectives.

Executive diversity: female in %

Executive diversity: female in % (bar chart)

Executive diversity: high growth markets in %

Executive diversity: high growth markets in % (bar chart)

A dedicated global working team and steering committee oversees and supports all AkzoNobel businesses in improving their D&I performance. Using a standard framework and approach, the management teams of each AkzoNobel business are developing specific action plans to improve their unit’s D&I performance. Nine of our businesses have D&I action plans in place. All other businesses will follow in 2011.

As work continues on business action planning, the data analysis and feedback from structured employee interviews – an integral part of the action planning process – indicates that women and employees from high growth regions (our two initial focus areas) are treated fairly, with no obvious discrimination. We also see that both of these groups are equally ambitious and that there is no significant difference in remuneration between female and male executives. The challenge is, therefore, to overcome the unconscious practices that may inhibit the progress of women and employees from high growth regions, consequently ensuring that these minority groups are adequately represented at senior levels in AkzoNobel.

While it is clear that a one-size-fits-all approach to D&I is not possible, we have identified a number of improvement actions common to all businesses which are being driven centrally. For example, we have developed a dedicated D&I training program for all people managers and an internet-based learning module for all employees. Both of these tools started to roll-out across the company at the end of 2010. We aim to see all managers complete the training program and all employees (including managers) complete the online learning module by the end of 2012. Other common actions include increasing the transparency of our internal job market by developing an improved vacancy bank and job rotation policy, and establishing a global mentoring framework to support mentor/mentee matching across the business.

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