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MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
MGT301 term paper - Good People, Good Business
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MGT301 term paper - Good People, Good Business

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MGT301-- Human Resource Management …

MGT301-- Human Resource Management
It is a term paper on different aspects of the human resource department of Nestlé Bangladesh Limited.

For Mr. Tanvi Newaz's MGT301 class at BRAC university

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  • 1. Good People, Good Business
  • 2. Tam Blue July 28, 2013 MGT301 Good People, Good Business Submitted to: Mr. Tanvi Newaz Section 03 7/28/2013 SUBMITTED BY Team organizer: Samiya Yesmin Sl. Name 1. Shoieb Ahmed Abdullah 2. Abdullah Ibne Hossain 3. Saqif Rahman Sabit 4. Protiti Khan 5. Golam Asfia 6. Samiya Yesmin Page 2 I.D. 1130400 1 1020401 5 1120401 7 1130401 8 1130405 7 1130404 3
  • 3. Tam Blue July 28, 2013 I. LETTER OF TRANSMITTAL Date: July 28, 2013 Mr. Tanvi Newaz Senior Lecturer BRAC Business School Subject: Submission of Term Paper Dear Sir: We are pleased to submit our term paper “Good People, Good Business” for your review. It is a term paper on different aspects of the human resource department of Nestlé Bangladesh Limited. It has been an enlightening experience for us to work on this project. We would like to thank you for giving us such an opportunity. Page 3
  • 4. Tam Blue July 28, 2013 Sincerely Yours: Samiya Yesmin……………………… Protiti Khan…...…………………….. Shoieb Ahmed………………………. Saqif Rahman.………………………. Golam Asfia..……………………….. Abdullah Ibne Hossain……………… II. ACKNOWLEDGEMENT We would like to thank Mr. Tanvi Newaz for helping us understanding one ofthe vital part of business that deals with a very important resource, humans. We would also like to thank Mr. Faiyaz Chowdhury, HR offier- operations, and Mr Ahmed Shafquat Noor, Financial Planning Analyst, Nestlé Bangladesh Limited, for taking time out of their busy schedule for us, for relentlessly answering our scores of questions and for helping us relate the theoretical part of HR with its practical applications. Team Blue would sincerely like to thank you all. Page 4
  • 5. Tam Blue July 28, 2013 III. CONTENTS I.Letter of Transmittal....................................................................................................................3 II.Acknowledgement......................................................................................................................4 IV.Abstract.....................................................................................................................................6 Introduction..............................................................................................................................6 Objectives......................................................................................................................6 Methodology..................................................................................................................6 Limitations.....................................................................................................................6 Contact Person...............................................................................................................7 Nestle Bangladesh Limited ....................................................................................................7 a.Nestlé Multi-National Corporation Overview............................................................7 Company Profile: Nestlé Bangladesh Limited (NBL)...................................................8 Job Analysis.............................................................................................................................9 Selection and Testing:............................................................................................................14 Stage 01—Sending in applications or resumes............................................................15 Stage 02—Written Test................................................................................................16 Stage 03—Competency Based Interview:...................................................................16 Page 5
  • 6. Tam Blue July 28, 2013 Stage 04—Final Interview:..........................................................................................16 Training & Development.......................................................................................................19 Works Cited..................................................................................................................................28 Appendix......................................................................................................................................28 IV. ABSTRACT This is the term paper of MGT301- Human Resource Management course. Here we will be analyzing a few of the practical aspects of Human Resource department, namely Job Analysis, Selection and Training & Development. We will be showing you how all three are being done at Nestlé Bangladesh Limited (NBL) and analyzing it to what all we have studied throughout this course. I NTRODUCTION OBJECTIVES  To learn the practical usage of all the theoretical procedure we learnt while studying the course human resource management METHODOLOGY For this term paper we have used both primary and secondary sources. We have interviewed NBL officers, while reading, analyzing any and everything we could find about NBL’s HR operations relating to our term paper. LIMITATIONS Page 6
  • 7. Tam Blue  July 28, 2013 Nestlé Human Resource department has room for extensive and advance study. The report does not cover any in-depth material.  In some cases, conclusions have been drawn based on logical assumptions to protect the confidentiality of the company.  The study has been done solely in the context of Bangladesh, hence the strategies, steps and the action plans suggested might not be applicable for other countries. CONTACT PERSON Mr. Faiyaz Khan Chowdhury who is an HR officer at Nestlé Bangladesh Limited was kind enough to give us time out of his busy schedule and answer our queries related human resource functions at Nestlé Bangladesh Limited. N ESTLE B ANGLADESH L IMITED A. NESTLÉ MULTI-NATIONAL CORPORATION OVERVIEW Nestlé S.A. is a Swiss multinational nutritional and health-related consumer goods company headquartered in Vevey, Switzerland. It is the largest food company in the world measured by revenues. It ranks No. 1 in Consumer Food Product category of Fortune's "World's Most Admired Companies". Nestlé's products include baby food, bottled water, breakfast cereals, coffee, confectionery, dairy products, ice cream, pet foods and snacks. 29 of Nestlé's brands have annual sales of over 1 billion Swiss francs (about $ 1.1 billion), including Nespresso, Nescafé, KitKat, Smarties, Nesquik, Stouffer's, Vittel, and Maggi. Nestlé has around 450 factories, operates in 86 countries, and employs around 328,000 people. It is truly a Multinational Corporation with home country sales accounting for only 2% of the worldwide total. With the motto “Good Food, Good Life”, Nestlé has always been dedicated to providing the best food to people throughout their lives, with their unique experience of anticipating consumers’ needs and creating solution. The company's strategy is guided by several fundamental principles, which only reflects its concern for people. The business objective is to manufacture and market the company's products in such a way as to create value that can be Page 7
  • 8. Tam Blue July 28, 2013 sustained over the long term for shareholders, employees, consumers, and business partners. All these sound human values and principles on which the company is built on have resulted in Nestlé doing business for about a period of one and a half century with evidently remarkable success. COMPANY PROFILE: NESTLÉ BANGLADESH LIMITED (NBL) Nestlé Bangladesh Limited (NBL) stared its commercial operation in Bangladesh at 1994. Its total authorized capital is 1.5 billion taka and total paid up capital is 1.1 billion. The only factory of the company in Bangladesh is situated at Sreepur, 55 km north of Dhaka. The factory produces instant noodles and cereals and repacks milks, soups, beverages and infant nutrition products. Popular Nestlé brands started entering this part of the sub-continent during the British rule and the trend continued during the pre-independence days of Bangladesh. After independence in 1971, Nestlé World Trade Corporation, the trading wing of Nestlé S.A., sent regular dispatches of Nestlé brands to Bangladesh through an array of indentures and agents, and some of the brands such as NESPRAY, CERELAC, LACTOGEN, BLUE CROSS etc. became household names. In the early eighties Transcom Ltd. was appointed as the sole agent of Nestlé products in Bangladesh. In 1992 Nestlé S.A. and Transcom Ltd. together acquired the entire share capital of the company Vita Rich Foods Ltd. Nestlé S. A. took 60 percent while Transcom Ltd. acquired 40 percent. With this acquisition, the name of the company was also changed to Nestlé Bangladesh Limited. In 1998 Nestlé S.A. took over the remaining 40 percent share from Transcom Limited when Nestlé Bangladesh became a fully owned subsidiary of Nestlé S.A. It has invested more than USD 28.3 million in Bangladesh and achieved above 600 crores in sales in 16 years. Today, NBL is a strongly positioned organization. It is continuing to grow through its policy of constant innovation and renovation, concentrating on its core competencies and its commitment to high quality, with the aim of providing the best quality food to the people of Bangladesh. It currently employs around 462 people directly and has more than 1000 people employed by suppliers and distributors in connection with Nestlé. Page 8
  • 9. Tam Blue July 28, 2013 J OB A NALYSIS Job analysis is the process of collecting and analyzing information of a job. The two major part of the job analysis process are Job description and Job specification, which clarify the duties, responsibilities of a job and the skills and knowledge required for the job. Job analysis information are very important to collect because these include the information about the work activities, human behaviors, about the machine, tools, equipments and the work aids, the performance standards, concerning the physical working conditions, work schedule, organizational and social context also comprises the human requirements of a job. It also includes the required skills, education , personality and other requirements needed to perform the task. Like every organization, Nestle Bangladesh Ltd. also conduct their job analysis. They follow a standard set by the mother company for job analysis. Every year this standard of job analysis is been reviewed, in order to keep the standards up to date. The function of their job analysis is to find out the main purpose of job or, why the job exists. By this analysis they Page 9
  • 10. Tam Blue July 28, 2013 figures out what types of jobs are creating and what type of people are needed to fulfill those position. They use KPIs or the Key Performance Indicators and dimensions of a job to do so. The KPIs are used by Nestle Bangladesh Ltd. to measure the level of performance and success in a job they are evaluating and these assessments often leads to the identification of potential improvements. The dimension simply indicates the width of role while doing the job. Although they are provided with a job description, they are not doing any recruitment, anywhere in the world due to the continued crisis. Thus they are doing job analysis in a “jobless” world and following three different approaches. First of all, they are doing job enlargement- assigning employees additional same level activities, thus increasing the number of tasks performed by an individual. They are mostly cutting cost by increasing the number of activities performed by an employee. Then, they also follow job rotation where moving employees from one to another department to increase the team performance. Lastly, another approach is followed where assigning some higher level task among lower level employees to eliminate a high level (Chowdhury, 2013). Nestle Bangladesh Ltd. has a standard evaluation form which they use globally in the organization to find out the leadership competencies required for a job by rating the qualities from Standard, Developed and Highly Developed category. They also locate the skills and knowledge requirements. The functional managers usually do this evaluation of a job and refer it to the line managers to acquire a candidate who meets the criteria. Mainly, line manager decides about the task but the required skills are set my both the existing employee and line manager. A sample of Nestle Bangladesh Limited's job description and job specification is given below: Position Details: Job Title: Levels: Report to: Organization Unit/ Location Leadership Competency: Sl. no. 1. 2. 3. 4. Leadership Competency Standard Insight* Result focus* Proactive/Cooperative* Impact and convince others* Page 10 Developed Highly Developed
  • 11. Tam Blue July 28, 2013 5. 6. 7. 8. 9. 10. 11. 12. 13. Know yourself Service orientation Curiosity Courage Initiative Innovation/Renovation Lead people Develop people Proactive what you preach Skills & Knowledge requirements: Technical / Functional Knowledge Qualifications Experience Training requirements Nestle Bangladesh Ltd. has a competency evaluation form, which is used worldwide. The managers try to unearth the combination of qualities demanded for a particular job by sorting out the level of the thirteen attributes listed in the form by giving tick marks. (Chowdhury, 2013) All the aforementioned 13 points in the job description sample are defined into 3 different categories. Those are standard, developed and highly developed where these are marked in terms of the requirements. This is the standard form used for any position by editing for each specific condition. However, there are other four criterions which are very important for being a nestle employee. First of all, Insight is very important which consist of four components- understanding level, perspective, analysis and thought level. Any employee is evaluated on these and is marked from 1 to 5. Secondly, how proactive the candidate is and under this broader head four components are evaluated- challenge others, team spirit, respect to team and contribution. Then, they see how the candidate impact and convince others where his/her simplicity, logic, enthusiasm, communication skill etc are measured. Lastly, how focused the employee is towards result or outcome. These factors are very important and are considered as major part within job analysis. (Chowdhury, 2013) Job analysis information has a lot of importance to different HR activities. It gives an perceptible image of a job also there are other uses of these information in HR activities. To Page 11
  • 12. Tam Blue July 28, 2013 begin with, it is almost impossible to conduct recruitment and selection without job analysis. Whenever Nestle go for recruitment they use the sample provided above and customize it for different positions. It helps the manager decide what position to fill and what sort of people to hire. Moreover, compensation is another major part which cannot be done properly without the help of job analysis. In a job analysis it includes the nature of the job which mainly determines the pay rate and it also talks about educational qualification and experience. So, it gives an overview about the entire job and helps designing the compensation. In addition to that, it also specifies training need where it shows relationship between the task and the skill. So, a line manager can figure out whether guidance for an employee in this position would be necessitated or not. From the job analysis information HR managers got aware of what skills need to be developed and for this Nestlé frequently offers a broad range of training actions at local, regional and global level , including OJT training as well as instruction. Employees from different settings and backgrounds attend the training programmers on managing and leadership maturity, as well as other thorough courses and seminars on practical parts of proficiency. Lastly, job analysis help finding any unassigned duties and doing performance appraisals. In case of performance appraisal employees’ actual performance is compared with the set standard in the job description. Although there may be other ways of using job analysis, we only figured out Nestle makes above mentioned use of job analysis. To build up the right understanding , skills and behaviors to perform a job effectively and to gain success in the future business, job analysis is very essential. (Chowdhury, 2013) In order to job analysis Nestle collects information from their employees. There are four methods for collecting information. However, Nestle only uses two of those- interview and questionnaire. They told us that it depends on the situation. Sometimes they use the interview method when the number of employees is less in a particular position or they want quick, vivid response from a group of employees. Then the do group interview where those employees are asked open-ended questions to dig out job related information. They also fear that those information may not be true, so they verify those information from line managers or supervisors. Another type is questionnaire where the employees of the organization give answers to some open ended questions and some structured questions. The goal of this process is to obtain the information more quickly and efficiently from a huge number of employees. It is also less time consuming then interviewing the employees and as they already have standard questionnaires, they do not have to waste time in developing questions each time they are Page 12
  • 13. Tam Blue July 28, 2013 collecting job analysis information. However, they review the questionnaire every time before collecting information. Nestle Bangladesh Limited uses six steps while doing job analysis. Let’s take a look how they do it. First of all, they decide how they are going to use the information of job analysis; mainly they determine the how to and why collect data. There are many uses of this which we have already discussed. Secondly, they do a background check like organization chart, process chart etc. In this step they mainly check the organization wide communication like who reports and communicate to whom. Alongside they check how work is distributed among employees. Then, they select representative positions where they take a sample from a sizeable amount of identical job. This saves time and cost and also redundancy error- doing the same thing over and over again. Fourthly, in this stage they actually analyze the job where they collect data about required employee behavior, working condition, human requirement, performance standards etc. From different types of data collection technique, Nestle uses interview and questionnaire which we have already mentioned. Furthermore, as they collect some of their information via interview, there is a high possibility of distorting information. They further verify that information from both the employee and employer to ensure the best possible data. Lastly, they develop a job description and a corresponding job specification. Although, they have a predetermined job description, they do job analysis for review in order to keep things up dated. After we did the interview at Nestle, we came to know many things related to job analysis of that organization. We found out that Nestle maintains a very standardize format for doing job analysis which is used in every subsidiary Nestle has all over the world. However, we particularly believe that they can go for a bit more customized model where they will have the flexibility to add or subtract any variable they need for any particular position. Apart from this fact we surprisingly figured out that Nestle has a very formal approach about job analysis. They are maintaining every characteristic about job analysis and they value it as one of the major HR activity. They believe it’s the employees which differentiate the organization and they do their best to find out the best man for the best suitable position. (Chowdhury, 2013) We have hardly found a thing to recommend them, because they are so organized. We can only suggest them to prepare a customized and flexible job analysis format, because employee qualities and even the work type vary in different geographic location. For example, Page 13
  • 14. Tam Blue July 28, 2013 may be in the place where they have their manufacturing plan, type of job is different there than the place where they only distribute the product. Thus, they can see it from a different angle if they like and this the only recommendation we have in job analysis part. S ELECTION AND T ESTING : Selection is the process of interviewing and evaluating candidates for a specific job and picking an individual for employment based on certain criteria. Employee selection can range from a very simple process to a very complicated process depending on the firm hiring and the position. Certain employment laws such as anti-discrimination laws, EEO must be obeyed during employee selection (business dictionary) “Real Possibilities, Real People…At Nestlé, we don't offer jobs – we offer possibilities. Nestlé is a place where you can shape your own career, get exposure to unique and challenging experiences and be part of a bright, energetic and dedicated team. Real Possibilities, Real People makes Nestlé a great place to work” Such is the motto of Nestlé globally, hence making the idea of working for Nestlé Bangladesh Limited (NBL) a much coveted deal. NBL follows certain selection procedure. This defers according to the job post that needs to be filled. But these three are the most crucial characteristics, for the selection of candidates (Nestlé Global, 2011). They are:  Personality: Candidates should be able to work in a team, with members from different disciplines and nationalities. Candidates who show leadership qualities, people who can inspire others, who are self confident and realistic, with a positive attitude to work and Page 14
  • 15. Tam Blue July 28, 2013 the will to work hard - even under pressure. NBL seeks people with good judgment, who can be objective in their assessment of themselves and or others.  Motivation: Motivation should be driven by a long-term perspective and not result from a sudden fancy. NBL wants people with purpose, ambition, not only for themselves and certainly not at the expense of others, but who derive job satisfaction as well as promote the interests of the Company. In this Company creativity is of paramount importance, even if your future job happens to be outside of the areas directly connected to the research, development or marketing of new products. NBL want people who take responsibility for their actions, people who consider Nestlé as their own business and who can work as an individual entrepreneur works.  Professional Knowledge: It means education qualifications with other experience, such as training, extra-curricular activities etc. are also important. This will be considered as proof of candidates’ willingness to apply theory to practice. However, Nestlé looks for people who are willing to team throughout their lives. Excellent command over English language is mandatory, since it is the most universally used language. In our interview (Chowdhury, 2013), we learnt about the selection procedure of management trainee (MT), these are mostly fresh graduates who go through a 4-step process to gain the job. The steps are as follows: STAGE 01—SENDING IN APPLICATIONS OR RESUMES Here Nestlé collects a pool of CVs, most of which comes from their online job posting site, http://Nestlé.bdjobs.com. But Online job posting is quite limited to the extent that only selective mid level jobs are placed on the web. College recruiting is another vital source for prospective candidates. Career/ Job fairs at business schools and “Nestlé Blue Tie” competition bring in prospective fresh graduates’ resumes to NBL. The areas that will be covered in the application form are: • Your personal details • Extracurricular activities • Academic history and work experiences Page 15
  • 16. Tam Blue July 28, 2013 STAGE 02—WRITTEN TEST After the initial screening, candidates go through a written test which will consist of a series of psychometric tests. They will be assessed for their numerical, logical and analytical ability along with their strength in language (Nestlé Global, 2011). 1. Numerical Test: This test is designed to assess your numerical skills from the perspective of business. You might expect to see some tables, graphs and data similar to those in the business reports and asked to analyze them. Since, it is purely business context- the basics in mathematics will come in handy. 2. Logical Test: This part will consist of problems to assess the logical functioning of your brain which are important in decision making. You might be given series of numbers, data or figures and asked to develop the progression. 3. Analytical Test: In an analytical test, your analytical abilities will be judged. You will be asked to solve some puzzles, analogy, analyze any situation etc. 4. Language: Communication skills are important for Nestlé Bangladesh Ltd. So, in the written tests your hold on language, your strength in written communication will be judged. STAGE 03—COMPETENCY BASED INTERVIEW: This is an interview cum presentation that the candidates have to go through. It differs according to every job/post that candidates will be applying for, as each has a specific Job Description- and basing on that NBL decides on certain personality traits which candidates must be compatible with. Competency based interview are designed with more situational and behavioral questions, most of which are open-ended. This is used to further filter down candidate for the final interview. STAGE 04—FINAL INTERVIEW: Shortlisted candidates from the Competency Interview will be called in for the final interview. It is a structured panel interview where the department head and the management committee sits on. Each candidate will be evaluated against the cultures and values of NBL. This is very important as Nestlé Culture and Sprite has 4 vital characteristics, which every member of the Nestlé family must have. They are: Page 16
  • 17. Tam Blue July 28, 2013 1. Have Insight: • Candidate must have clear understanding of the case with all its limitations and advantages. • S/he should be able to place issue in a broader perspective • S/he should be able to consider pros and cons of both current and proposed situations and make a balanced recommendation. • S/he should be able to look at things differently and be able to spot patterns, trends or discrepancies. 2. Be Proactively Cooperate: • S/he should be able to challenge others constructively. • S/he should encourage team members and demonstrate confidence in them. • S/he should respect team contribution and effort and value it appropriately. • S/he should be an active contributor throughout discussions. 3. Have Impact and Be able to Convince Others: • S/he should be able to communicate in an easy-to-follow, simple, clear and concise manner. • Your arguments should have logic, be rational and economic to convince others. • Enthusiasm is appreciated. • Appropriate communication skill- speaking, listening, understanding and proper body language, is expected. • S/he should show respect to others views and be an active listener. 4. Be Focused on Results: • Work constantly towards the goal. Page 17
  • 18. Tam Blue • July 28, 2013 Be a good team organizer- planning, managing time, progress etc. • Persistent in overcoming any glitches, such as disagreements or obstacles, and achieving the desired results. • Clear logic, examples and recommendations are expected. Nestlé and Its Various Testing Methods : Nestlé Bangladesh Limited mostly emphasizes on internal recruiting. This is because it makes background and referral checks easier and ensures that there are no discrepancies in the information provided by the applicant. Reference check includes verifying with the current employer and in some cases past employers under whom the candidate has served previously. If selected for the position for which you been interviewing, medical tests are done. This is to check if candidates will physically be capable to do their job. Without the exception of the four Nestlé Culture & Sprite traits, this process differs according to NBL’s hierarchy. Head-hunters are used for mid-level managers and higher posts. Once all stages are successfully completed a formal offer is extended, and then you are welcomed into Nestlé Bangladesh family  Selection Findings & Recommendation:  Nestlé does a chunk of its recruiting and hiring internally. What this may foster is inbreeding of the status quo that may act as an impediment in attracting much better candidates externally or in implementing any new direction.  Nestlé prioritizes referral CVs as it helps create a better picture of the candidate beforehand. Page 18
  • 19. Tam Blue July 28, 2013  Internal hiring reinforces the culture of Nestlé and sends a message that loyalty and performance will be rewarded with a promotion. This works as a great motivation.  Competency-based interviews that are conducted have a tendency that prior performance predicts future performance. Asking more open questions to gauge candidate’s personal strengths can balance this challenge by offering a chance for him/her to advertise his/ her abilities. Nestlé emphasizes more on practical competence than on theoretical grades, hence hiring good candidates with practical knowledge.  It can be stressful seeing more than one interviewer in the room. But Nestlé conducts very friendly open approach interviews which help them gauge candidates’ personality better. T RAINING & D EVELOPMENT O RI E N Page 19
  • 20. Tam Blue July 28, 2013 T A TI O N P R O G R A M : Orientation is a process for providing new employees with basic background information about the firm. It provides new employees with the information they need to function. Orientation program in Nestle aims to make the transition for the new joiners as smooth as possible. Initially a 3 day long orientation program takes place, a day each in the Head Office, Factory and Market place. The first day is held in the head office where a corporate presentation is given by Human Resources about the company as a whole and different functions and the reason for their existence. It is followed by a lunch with the new team members of the joinee. Finally a floor visit is conducted where the new joiners get to meet everyone working in Nestle personally. The second day of the orientation program is similar except is takes place in the Sreepur factory where in addition to the previous things new joiners see how the production takes place in factory. On the 3rd day they are taken to the market place to show how products are sold in the market. This is done so that new joiners form a business mindset from the very beginning. (HR Learning Team, 2010) T A S K A N A L Y SI S – A S Page 20
  • 21. Tam Blue July 28, 2013 S E S SI N G N E W E M P L O Y E E S’ T R AI NI N G N E E D S: Task Analysis is a detailed study of the job to determine what specific skills the job requires. At Nestle new employees go through an additional set of training regime compared to the existing ones. These consist of a set of pre-defined courses that is a must for all new employees. There are a few of these courses. Some of these are: 1. Annual Induction: This is a 3 day training course for the new joiners. this takes place in the month of October there the new joiners of the past 12 months attend this 3 days long session. A detailed training is given about all the functions of the company. This is an interactive session with lots of team building exercises within. 2. Nestle Code Training: Since Nestle is in the business of selling infant foods; according to WHO and Bangladesh Breast Milk Substitution Act, it is absolutely essential for every employee to learn about the marketing of infant nutrition product and about the do's and don'ts. Page 21
  • 22. Tam Blue July 28, 2013 3. Product Knowledge Training: currently the company sells product in more than 10 categories and over 70 SKUs. For this a one day session is conducted to share knowledge on all existing products of the company and about the health benefits and nutritional value it possess. This way every employees become an ambassador for the company 4. Safety Training: This training takes place in the Factory. Factory Safety, Health and Environment team provides this training. The focus of this training is to share how safety is ensured throughout Nestle. It is one of Nestle's motto that : " One accident is one too many" (HR Learning Team, 2010) P E R F O R M A N C E A N A L Y SI S – A S S E S SI N G C U R R E N T Page 22
  • 23. Tam Blue July 28, 2013 E M P L O Y E E S T R AI NI N G N E E D S: Performance Analysis is the process of verifying that that there is a deficiency and determining whether the employer should correct such deficiencies through training or some other means. At Nestle, the training and development needs for current employees are arrived from three sources: • The individual himself • The function • The HR department Often it is the employees themselves who are in the best position to identity the training and learning need from themselves. These are reflected in the PDG or Personal Development Guide which are maintained in the SAP (Enterprise Resource Planning) HR module. These documents are signed off by both the employee and his line manager thus resulting in a written agreement recognizing the training and development need. Also from a functional point of view it is often required for an employee to learn new skills to do his job or prepare for future enhanced job profile. In these cases functions have an annual budget and curriculum from which they assign training courses for the employees. Also functions from time to time disseminates basic knowledge to working partners from other Page 23
  • 24. Tam Blue July 28, 2013 functions to align the employees better with what each other is doing thus arriving at a collective development of competencies. Finally HR function has a separate “training and learning” department which identifies training and learning needs for individuals across the company. These are mostly organizational knowledge enhancement for individuals as well as leadership trainings for both current and future leader. (HR Learning Team, 2010) E V A L U A TI O N: a. More extensive induction program for new joiners where they will spend a day knowing the work of different function. b. More elaborate induction program for fresh graduates who joins nestle. c. Currently all training courses are done in house. Some of these should be conducted externally to avail the expertise knowledge from the specialists. d. More elaborate technical knowledge sharing on Microsoft Office Suite and SAP (Enterprise Resource Planning Software). e. In times of crisis training budgets is the first to get slashed. This should be stopped. f. Internal study should be conducted on the effectiveness of the training courses provided and update the curricula every three years to keep up to date with the dynamic business environment. Being the largest food company Nestle is committed to provide continuous training and development for their employees so that they can evolve their skills and develop new ones. They do so by providing their employees with different opportunities like making their employees responsible in key projects. Even though Nestle provides a variety of different training depending on what the employees need, they strongly believe in “On the Job Training” and 70% of all their training and development are based on this. Page 24
  • 25. Tam Blue July 28, 2013 ON THE JOB TRAINING PROVIDED BY NESTLE: 1. Work in different special projects and taskforces: Here employees are asked to participate in different projects to enhance their skills and abilities and to also see who has strong leadership capabilities and how they handle the new responsibility and work in unfamiliar conditions. 2. Doing the actual job: Here workers are learning how to perform the job by actually doing the job while receiving instructions from a supervisor or a coworker. This method is used when a particular job does not require too many detailed instruction and is normally easy to grasp. This method is very effective because it allows the employee to learn by performing the actual task his job requires and it also means that the employee is being productive while doing the training. This is an easy and very cost effective way to train employees. 3. Job rotation: In job rotation employees are asked to work in different departments so that the employee can gain wider and broader experience within the business. Doing so can help the employee choose a better career path as doing this will reveal the employees strengths and weakness. Such job training is often done in Nestle when employees are not fully efficient. 4. Working in teams: Often in Nestle employees are asked to work in teams to increase efficiency and to learn new skills and knowledge from others. Normally there will be an experienced person in the team among the employees who will be receiving training. By doing this employees can rely on each other and can test out ideas and thoughts. By working in a team often individuals learn all the traits and skills required to do the job alone. 5. Mentoring/job shadowing: Mentoring or job shadowing gives an employee a chance to receive one-on-one training from a very experienced individual. Job shadowing helps an employee to gain knowledge about what an employee who holds a particular job does in that job every day. Job shadowing gives a very clear lesson on what the job requires and how it needs to be handled. Normally such training is given to new recruits who have no previous experiences. Page 25
  • 26. Tam Blue July 28, 2013 Apart from providing the “On The Job Training” the remaining 20% of the training is based on the following training methods which are based on “People”. 1. 360 degree feedback process: 360 degree training feedback process is a system in which employee receive anonymous feedback from the people he/she work with. This typically includes managers and co workers. Here the person receiving the feedback normally will also give his/her feedback about his managers and coworkers. Nestle use this process as this survey helps to get a better understanding about employee’s strengths and weakness. This method is a very useful development tool as it helps people to be more effective in their current job roles and gives them an idea which areas they need to work more on. 2. Ongoing feedback: Similar to the 360 degree feedback the ongoing feedback is between a manager and employee. It is a method of sharing information and perspective about job performance. Here both the manager and the employee provide feedback to one another on what could be done to increase productivity and how things can be improved. Here both the manager and the employee have to be proactive about providing feedback. In nestle this is normally done a multiple times a year. 3. Coaching/ role models: Often a senior member from nestle will come and share his/her experience with the other lower level employees. Here they will give advice which will help them better their performance and be motivated to follow their example and achieve better performance. The remaining 10% of the training is based on “Education” which includes. 1. Formal in-house training: These are a planned and systematic training which are provided to employees to develop skill, knowledge and attributes. Such training is provided to bring workers in an acceptable experienced standard. 2. Workshop/conference/seminar: Nestle employees are often send on workshop and seminars to further acquire knowledge and develop their skills. Employees are often sent on seminars all around the world which gives them new experiences to better their working standard. Page 26
  • 27. Tam Blue July 28, 2013 3. Further studies: Nestle often sends their top performing employees to finish their further studies. In some cases nestle does provide the expense of going through the study so that their employees can excel at their job once they are back. No matter what kind of training is provided Nestle makes sure that the following four models are covered. 1. Technical/functional skill- What employees need to be able to do. 2. Organization knowledge- What employees need to know about the organization. 3. Business experience- What employees need to experience before the job. 4. Leadership skills- Personal style attributes to enable success. Normally no matter what the training Nestle uses their line managers and subject matter expert act as business coach and trainers. Normally no external help are hired to train their employees for them. Also to make sure that the quality training is provided these managers go through a process called “Train the Trainer” where these experienced line managers and subject matter managers go through training from other external profession trainers. EVALUATING LEARNING: Nestle considers training and development as a strategic business development which is expected to bring value to the business. Here after the training is completed it is evaluated by the reaction level of Kirkpatrick model which is: • How satisfied were the learners with the learning experience? • How effective did they feel it had been in meeting their learning needs? • How well did training participants like the program? Also after that, their behavior and job performance are closely monitored over time to see if there has been any improvements or not. Page 27
  • 28. Tam Blue July 28, 2013 RECOMMENDATION: • They can provide internet based training which will be cost effective as well as less time consuming. • Can provide audiovisual-based training which will be more interesting for the employees and it sometimes is easier to demonstrate lectures through visual aid. • Trainee’s should be allowed to evaluate their trainers to make sure trainers are qualified and productive. Without the right trainer the investment made by Nestle will go to waste as employees won’t develop the skills the company was hoping for. • External trainers can be hired to train their employees as their line and subject matter experts may not always be as effective as professional trainers. Especially when it comes to high level positions it is best if professions trainers are hired as it gets much more technical. WORKS CITED business dictionary. (n.d.). Retrieved from http://www.businessdictionary.com Chowdhury, F. K. (2013, july 22). (S. Yesmin, & S. Rahman, Interviewers) HR Learning Team. (2010, 02 22). Learning Strategy Nestle Bangladesh Ltd. Nestlé Global. (2011). www.nestle.bdjobs.com. Retrieved July 26, 2013, from http://www.nestle.bdjobs.com/ APPENDIX Questionnaire JOB ANALYSIS: 1. Is Job Analysis conducted? 2. How frequently is it done? 3. Sample of a standard Job Description and Job Specification? 4. How are they using the Job Analysis information in other HR activities? Page 28
  • 29. Tam Blue July 28, 2013 5. What method are they utilizing to collect Job Analysis information? 6. What are the steps they are following for Job Analysis? 7. Do you use any specific format of writing job description? 8. How you measure the standard of performance while writing job description? SELCTION AND TESTING: 1. 2. 3. 4. 5. 6. 7. 8. What is the overall selection process What are the various testing methods that the company is using and why What is the role of background check/medical check and interviews What is the format of interview: structured/unstructured How are the interviews conducted: mass/panel/sequential How does this process differ within the organizational hierarchy? For background information check which sources of information are critical? What sorts of questions are generally incorporated in an interview? TRAINING AND DEVELOPMENT: 1. 2. 3. 4. 5. What are the various training and management development methods that the company is using and why What (if any) is the difference in the training methods between managers and non-managers What is the orientation program for new joiners How do they evaluate training and development needs for new and existing workers How do they evaluate the effectiveness of the training program Page 29

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