L’Oreal Case :
     Managing the diversity

DESCRIBING THE OB TOOLS OF A SUCCESSFUL COMPANY




                Presented ...
Summary


I / PRESENTATION OF L’OREAL


II / MANAGING THE INDIVIDUAL


III / MANAGING THE GROUP


IV / FOCUS ON DIVERSITY
...
Presentation of L’Oreal


 World leader of the cosmetic industry

 Founded in 1909 by Eugène Schueller

 Fist success o...
Professionnal products   Consumer products




  Luxury products         Active cosmetics
Key figures
Managing the Individual


 PROFESSIONNAL AND PERSONNAL DEVELOPMENT


 Career development and rewards

 Employees stimula...
Career development and rewards


       « Focus on talents, and on the way they can be improved »




 Employees helped i...
Employees stimulation



 Notion of Embracing Management and Integrative Management .


 Geographical mobility is an opp...
Employee training and education


« 70 % on an employee global formation is going on everiday at work»


                 ...
Employee training and education



 Training sessions in rooms .


 Bi-Annual development interview .


 Management Dev...
Employee appraisal


 Annual appraisal through interviews .



Personal interview focused on evaluation, needs and profe...
Manage
                                  with
                               generosity

         Interact                ...
Managing the Group


 Internal communication

 External communication & Brand image

 Managing customers with care

 R...
Internal communication


 IC is well organized and used in an hierarchically way .


 Daily information emails (News, Be...
External communication & Brand image


 External communication is taking place through promotions, Public relation,
Press...
Managing customers with care


 A strong customer-responsive culture .




 Creation of special clubs (VIP Club, Privile...
Resolving internal conflicts



           Employee                        Employee
              X                       ...
Managing diversity


  FOCUSING ON ETHIC AND CULTURE AT L’OREAL


 A strong culture

 Ethical principles

Reflecting di...
Diversity is a priority (extract from L’Oreal website)
A strong culture


 Embracing Culture and Short Hierarchy procedures .




Presence of a voluntary confusing structure t...
Ethical principles

                                         Law respect


                                      Individua...
Reflecting diversity


 Reflect in its team and at every level, the diversity of its clients .


 Promote the access of ...
Reflecting diversity


        « Diversify profiles will bring new perspectives »


« Focus on a managerial culture which ...
Reflecting diversity


 2004 : The Diversity Best Practices Leadership Award .

 2005 : The Anti-Defamation League’s Int...
Some critics


 Contrast with the value of autonomy argued by l’Oreal


 Work in emergency : a real strategy or a lack o...
Recommandations


  Releasing stress BUT with care


  Simplifying validation process


  Listening employees
Thank you for your attention
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L’Oreal (case study) : Managing the Diversity - Describing the OB tools of a successful company

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L’Oreal (case study) : Managing the Diversity - Describing the OB tools of a successful company

  1. 1. L’Oreal Case : Managing the diversity DESCRIBING THE OB TOOLS OF A SUCCESSFUL COMPANY Presented by Romain Corraze
  2. 2. Summary I / PRESENTATION OF L’OREAL II / MANAGING THE INDIVIDUAL III / MANAGING THE GROUP IV / FOCUS ON DIVERSITY V / SOME CRITICS VI / RECOMMANDATIONS
  3. 3. Presentation of L’Oreal  World leader of the cosmetic industry  Founded in 1909 by Eugène Schueller  Fist success on the Hair pigmentation market  3 researchers in 1920, More than 2900 in 2006  More than 51 000 employees all around the world  Turnover : 15,79 Billions euros in 2006, with a growth of 8,7% compared to 2005
  4. 4. Professionnal products Consumer products Luxury products Active cosmetics
  5. 5. Key figures
  6. 6. Managing the Individual PROFESSIONNAL AND PERSONNAL DEVELOPMENT  Career development and rewards  Employees stimulation  Employee training and education  Employee appraisal
  7. 7. Career development and rewards « Focus on talents, and on the way they can be improved »  Employees helped in their career developments .  Encouraging mobility through transfer position promotions .  Rewards through pay rises, internal promotions or transfer positions .
  8. 8. Employees stimulation  Notion of Embracing Management and Integrative Management .  Geographical mobility is an opportunity for everyone .  High working cadency.  Fringes benefits .
  9. 9. Employee training and education « 70 % on an employee global formation is going on everiday at work» Corporate Culture understanding Supporting the People and implementation talents of jobs and development organizations change Training
  10. 10. Employee training and education  Training sessions in rooms .  Bi-Annual development interview .  Management Development Centers
  11. 11. Employee appraisal  Annual appraisal through interviews . Personal interview focused on evaluation, needs and professionnal aspirations . «Defining expansion plan of individuals within the company»
  12. 12. Manage with generosity Interact Ability to with develop job efficiency sensibility To deal Ability to with undertake complexity Ability to Ability to get results innovate Management competencies (L’Oreal competency scale)
  13. 13. Managing the Group  Internal communication  External communication & Brand image  Managing customers with care  Resolving internal conflicts  Managing the diversity
  14. 14. Internal communication  IC is well organized and used in an hierarchically way .  Daily information emails (News, Benchmark, Market analysis,…) .  Email used as a critical way of communication between teams, top management and direction .
  15. 15. External communication & Brand image  External communication is taking place through promotions, Public relation, Press and Interactive communication . Activities : Events, Sponsoring, Proposals for international marketing campaigns, Buzz,…(ex : Biotherm’s Self tanning lotion)  Importance of a luxury brand image . Activities : Sponsoring, Events
  16. 16. Managing customers with care  A strong customer-responsive culture .  Creation of special clubs (VIP Club, Privilege Club) .
  17. 17. Resolving internal conflicts Employee Employee X X Employee Employee Y Y Human Human Ressources Ressources Director Director Conflict Resolving Conflict
  18. 18. Managing diversity FOCUSING ON ETHIC AND CULTURE AT L’OREAL  A strong culture  Ethical principles Reflecting diversity
  19. 19. Diversity is a priority (extract from L’Oreal website)
  20. 20. A strong culture  Embracing Culture and Short Hierarchy procedures . Presence of a voluntary confusing structure to promote autonomy and collaboration . A supple company : a oral communication rather than « written procedures » . Diversity is a core value of l’Oreal .
  21. 21. Ethical principles Law respect Individual respect Consumer respect Environement respect Partnerships with customers & suppliers Loyalty & integrity «Show to employees partners that l’Oreal is honoured and honourable»
  22. 22. Reflecting diversity  Reflect in its team and at every level, the diversity of its clients .  Promote the access of women to high responsability position and a better equity  Promote work for disabled people . « Diversity and Performance » Chair at ESSEC Business School .
  23. 23. Reflecting diversity « Diversify profiles will bring new perspectives » « Focus on a managerial culture which fosters the inclusion of all employees and capitalise team diversity » « We are dedicated to understanding and serving that diversify effectively with products attuned to each culture, each need »
  24. 24. Reflecting diversity  2004 : The Diversity Best Practices Leadership Award .  2005 : The Anti-Defamation League’s International Leadership Award .  2004 : The World Diversity Leadership Council’s Diversity Innovation Award .  2007 : Ethnisphere Magazine ranked l’Oreal as one of the « World’s most ethical companies » . But finally…Diversity ? A recent integration in l’Oreal’s strategic management ?
  25. 25. Some critics  Contrast with the value of autonomy argued by l’Oreal  Work in emergency : a real strategy or a lack of performance ?  Pressure on employees
  26. 26. Recommandations  Releasing stress BUT with care  Simplifying validation process  Listening employees
  27. 27. Thank you for your attention

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