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Issuing Function Corporate Human Resources. Target audience All employees. Repository All Nestl Principles and Policies, Standards and Guidelines can be found in the Centre online repository at: http://intranet.nestle.com/nestledocs Approver Jean-Marc Duvoisin, Deputy Executive Vice-President Human Resources and Centre Administration. Date of publication September 2010 Copyright and confidentiality The content of this document may not be reproduced, distributed or disclosed to third parties without proper authorization. All rights belong to Nestec Ltd., Vevey, Switzerland. 2010, Nestec Ltd.
Table of contents
3 4 4 4 4 4 4 6 6 6 6 6 6 6 6 7 7 7 7 8 8 Introduction Flexibility: what, why, who, where? Objective of the document What is flexibility? For whom is it? Where does it apply? Why Nestl supports it? Managers role and responsibilities An opportunity to redesign the workplace Presence doesnt mean performance Creating a culture of trust Managing remotely Organising differently and planning better One size does not fit all Open dialogue within the team Employees role and responsibilities Trust as the foundation Flexible work is a choice that has implications Possible career impacts The role of Human Resources Next steps
Introduction
The challenges and demands of an evolving business environment require new working strategies. In the last few decades new trends are posing unprecedented challenges and opportunities to employers and employees. At Nestl, we believe the workplace should change to reflect these realities. In the context of an intensifying global competition and growing business demands Nestl is constantly searching for alternative strategies to attract employees and keep them highly motivated and engaged. Changing demographics Some of the trends which have been gaining importance include the increased participation of women; the arrival of Generation Y (born 1980-2000) and an ageing population with increased life expectancy. These trends bring along a series of challenges such as the rise of new career paths; the increase of dual-career couples and single parent families; the sharing of care-giving responsibilities within couples; the need to keep people in the labour market longer. Different aspirations The needs and expectations of people are changing and our relationship with work is evolving. We are seeking higher job satisfaction and better health and wellbeing, more control and autonomy over how and when we work so that we can fit work into our life rather than having to fit our lives around work. Career paths include winding, horizontal and developmental roles, career breaks and sabbaticals, etc. Flexible work environments One of the levers of improved performance and productivity is more flexibility in how, where and when work is done. In addition, supporting a better balance of private and professional life is one of our company values that aligns with our positioning as a Nutrition, Health and Wellness company. Performance with flexible organizations We need to shift our emphasis from presence to performance. Our focus should be on what and how things get done in the most efficient way, rather than where and when. This requires a culture shift where people are trusted to work with less monitoring and supervision the end of command and control micro management. It is a journey where managers play a key role in supporting change. Nestl is committed to be a forefront employer. We are convinced that a more flexible workplace will bring benefits for both employees and Nestl and count on your support.
Jean-Marc Duvoisin
The element of cost must also be taken into account when considering implementation of Flexible Work Arrangements. The cost impact of implementing a Flexible Work Arrangement needs to be balanced with the advantages that it will bring to the organization and to the employee. Sometimes the long term benefits may not be immediately evident or easily measured, and may be difficult to quantify in financial terms. However, these costs should be looked at as a long term investment that will bring benefits. Why Nestl supports it? Workplace Flexibility, when properly used, creates benefits for both employees and Nestl. Some of the proven benefits that are overall benefiting the bottom line are: Talent Attraction and Retention Talent is one of the most important corporate resources and it is also the resource in shortest supply. With the current demographic trends, things are not going to get easier. In the war to attract and retain the best talent, we believe the commitment to facilitating and encouraging flexible working conditions is a key differentiator. Higher employee engagement leading to increased productivity More satisfied employees means more engaged employees. Flexible Work Arrangements can help employees better balance their personal and business commitments creating a higher sense of wellbeing and satisfaction. This, in turn, means higher productivity, reduced absenteeism and lower turnover. Research has proven that all these factors have a positive impact on the bottom line and market share of a company. An evolution of the way of doing business The integration of Flexibility in the way of doing business is a natural evolution of Nestls response to todays and tomorrows business requirements. To continue to stay competitive, Nestl is striving to become a leaner organization that quickly responds to the demands of the marketplace. Flexibility is an enabler of lean thinking, leading to a flexible and more agile workforce. Moreover, less close supervision also fosters an environment where employees are more empowered to make decisions and take risks. This supports the entrepreneurship and innovation at Nestl.
Moving to a flat and flexible organization In the last few years, Nestl has put in place efforts through the Nestl on the Move initiative to evolve its structures towards a flat and alert organization. Flat organizations make quicker decisions. Flexibility can support these efforts, by making possible new, pragmatic solutions that serve both the business and the employees: Used as a management tool, flexibility can help re-design a department/business to enhance the responsiveness. For example, managers can create teams where people work at different working times so that at least one person of the department is available 24 h/7. Or teams can be redesigned to address inconstant work volumes, shifting between periods of longer and shorter work days (e.g. quarter-end financial closings). Flexibility, when focused on long-term, can be instrumental to improving your teams performance. It can help your team reduce gaps in competencies and skills. For example, when employees reduce their work schedule or take sabbatical leaves to achieve an academic level. Flexibility in terms of career paths can help managers handle business cycles and fluctuating staffing needs, reduce headcount cost and keep teams streamlined.
innumerable solutions that allow people to stay connected and productive. However, this also presents challenges in terms of successfully motivating virtual teams, fostering team spirit and maintaining organizational culture and engagement. Organising differently and planning better Greater flexibility requires different ways of doing things. Managing a team that is working in different spaces and/or at different periods implies that: the rules of the game are clearly set people are given clear direction and have the means to work from wherever they are people have clear performance objectives by which their performance will be measured a clear definition of the imperative physical presence in the office is established in order to operate efficiently as a team (e.g. all team members should be present on x day). managers are flexible and respect the employees needs. Extra efforts may be needed to schedule meetings, office coverage, or cover peak work periods so as to minimize conflict between the different schedules. managers sensibly prioritize requests and evaluate their full impact before agreeing to anything. One size does not fit all Managers should review requests with an open mind but also with an awareness that some people and some jobs are not right for certain options. This may require that some job descriptions are redesigned to allow operating effectively under certain flexible working arrangements. Open dialogue within the team Bear in mind some employees may resent colleagues who enjoy flexible work arrangements, or feel they must cover for, or are burdened with the additional work of colleagues using these options. Make sure you encourage an open and trusting environment in your team where people feel safe to address their concerns. Facilitate the discussion of work arrangements that impact the team as a whole.
Type of FWA Part-time Flexitime Job sharing Sabbatical Educational Leaves Working from home / another location
Challenges for Employees Implies reduced income Co-workers or manager may view employee as less committed May not free as much time as employee needs May make it more difficult to keep track of hours Finding a compatible partner or replacing a partner who leaves Dividing the work equitably Additional systems for communication with manager, co-workers, clients, etc. Generally unpaid leaves Co-workers or manager may view employee as less committed Fewer networking opportunities Feeling part of the team Need to organize a work space with access to the technology required High level of organization and auto-discipline Not all jobs are performed easily off-site
Challenges for Managers Re-assigning the rest of the employees job duties. Extra efforts in scheduling meetings, coordinating projects, office coverage, etc. Measuring the performance of part-timers Key people may be unavailable at certain times May create difficulty in scheduling meetings, coordinating projects, etc. Added effort to supervise job-sharers as individuals and as a team Additional work space required if there are overlap days Tasks and responsibilities need to be reassigned while employee is on leave Managing remotely Fostering team spirit Extra efforts in communication with employee Extra efforts in scheduling meetings, coordinating projects, office coverage, etc.
Next steps
Employees wanting to explore working flexibly should discuss with their line manager and HR Business Partner and should get informed about which flexible work arrangements are available locally.