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Assignment on:
Nestlé Bangladesh: A study on Career Planning
Course Title: Human Resource Development
Course Code: EMPA 634
Submitted to:
Dr. Aka Firowz Ahmad
Professor
Dept. of Public Administration
University of Dhaka
Submitted by:
Snider John Gomes
ID: 18225
Batch: EMPA 04
University of Dhaka
Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
8.11 Competency Based Interviewing Skills .............................................................................................. 13
8.12 Presentation Skills – .......................................................................................................................... 13
8.13 Communication Skills – ..................................................................................................................... 13
8.14 New Managers’ Workshop ................................................................................................................ 13
9. REWARDS: ................................................................................................................................................... 14
Fixed Pay: ...................................................................................................................................................... 14
Variable pay:.................................................................................................................................................. 14
Employee Benefits: ....................................................................................................................................... 14
Medical Benefits- .......................................................................................................................................... 15
Executive Health Checkup-............................................................................................................................ 15
Product Gift- .................................................................................................................................................. 15
Marriage Gift Policy- ..................................................................................................................................... 15
Leave Fare Assistance- .................................................................................................................................. 15
Insurance Benefits-........................................................................................................................................ 15
Pension and Retirement Scheme- ................................................................................................................. 15
Infant Scheme: .............................................................................................................................................. 15
10. CONCLUSION .............................................................................................................................................. 16
11. REFERENCES ................................................................................................................................................ 17
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Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
Background
1.1 Introduction
The world's largest food and beverage company, Nestlé, was founded long back in 1866 by a Swiss chemist
Henri Nestlé. With sales of CHF 91.6 billion in 2014, Nestlé is the world's leading Nutrition, Health and Wellness
Company. The company employs over 339,000 people and has 442 factories situated in 86 countries. Nestlé
products are sold in 197 countries.
Founded in 1866 in Switzerland, where it is still based (with headquarters in Vevey), Nestlé has often been
called "the multinational among multinationals". Only about 1.5 percent of its sales are generated in its home
country, and all but 10 of its factories are situated abroad. Nestlé's General Management consists of all the
Executive Vice Presidents and deputy Executive Vice Presidents. It is chaired by the Chief Executive Officer
Paul Bulcke. Nestlé is a truly public company with over 250'000 shareholders of which around one third are
Swiss. No single shareholder owns more than 3% of the stock.
As the world's leading nutrition, health and wellness company, Nestlé is the worldwide leader in product
categories such as soluble coffee, infant nutrition, bottled water, condensed and evaporated milk, ice cream,
as well as chocolate and malt drinks, and culinary. The Group is also a co-leader in pet care.
The Company is committed to delivering shareholder value through sustainable, capital efficient and
profitable long-term growth. Over the past years it has concentrated on furthering organic growth and
performance improvement.
1.2 History
It’s 1867 in Switzerland, and a premature baby cannot breastfeed, which is worrying in an era when many
infants die of malnutrition due to a lack of effective breast milk alternatives. Henri Nestlé learns about the
case and feeds the child his new ‘farinelactée’ infant food. It is the only product that the boy can digest, and
he survives.
Word of Nestlé’s success spreads rapidly, and through determination, commitment and a pioneering spirit he
builds a thriving business. His life-saving innovation is the model for all those that follow throughout Nestlé’s
150 years, which show the company’s skill in meeting and anticipating consumers’ changing needs.
Worldwide, people now consume more than one billion servings of Nestlé products per day. The company
operates in over 197 countries and employs almost 340,000 people. It’s a far cry from the small-scale business
that Henri Nestlé founded in Vevey, Switzerland. But Nestlé still embraces his values, his famous ‘Nest’ logo,
and its headquarters in the city.
goals and career paths. It encourages individuals to explore and gather information, which enables them to
Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
syn-thesize, gain competencies, make decisions, set goals, and take action. It is a crucial phase of human
resource development that helps the employees in making the strategy for work-life balance.
According to Rogers, Creed and Glendon (2008), career planning is a decision-making process in which
personal differences and environmental impacts play a very important role. Within this context, the targets
of individuals, personal characteristics, social interaction affect the decision-making process.
According to Greenhaus and Kopelman (1981), this process is the combination of three components:
1. The required information concerning the career about
a) Individual’s interests, skills and values etc.
b) Employment place including opportunities like promotion, status etc.
c) Non-work items like hobbies, family, interests etc.
2. A clear definition of the target yields, outputs like becoming chief, manger, a well-paid job etc.
3. Developing a strategy to reach up to the target outcomes and benefits illustrated above.
Limitations:
Due to a recent Nestlé Bangladesh Policy, getting detailed information from various sources was difficult
because the authority needed to be completely sure that I am not sharing anything that is confidential. So this
report had to go through a lot of filtering and I could only reflect on the basic general information and
processes.
Some limitations are:
a. Lack of information because of strict confidentiality.
b. Time limitation.
c. Lack of existing primary data about the organization’s Learning and development facility.
d. Lack of direct communication with the senior sub ordinates and the top management.
e. Employee mindset being different which might give different outcome of the trainings.
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Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
Methodology of the study
I was an employee of Nestlé Bangladesh for 1 year 4 month. I was in Finance & Accounts Dept. Several
conversations with the HR dept. and my real life experience from there is noted in this assignment.
Data for the report has been collected from both primary and secondary sources.
Primary Information:
Several depth interviews have been conducted with the concerned managers of the HR functions of Nestlé
Bangladesh along with their respective interns to get as much as possible the clear picture of the work they
do.
Secondary Information:
Secondary information has been collected from Nestlé website, Nestlé intranets and other related web sites
and journals
A career is the work a person does in his entire life span. Another definition of a career is the sequence of
jobs that an individual has held throughout his or her working life. “Career Planning” therefore embraces a
person’s entire life—the spiritual, social, educational and vocational. It is the process by which one selects
career goals and the path to these goals.
The career planning is made up of two words viz. career and planning. A career has been defined as a
sequence of positions held by person during the course of a lifetime. It is viewed fundamentally as a
relationship between one or more organizations and the individual. As per views of D.T. Hall, “a career
consists of a changes in values, attitudes and motivation that occur as a person grows older”.
As Davis stated, “When people rely largely on luck, however, they seldom are prepared for the career
opportunities that arise. Successful people identify their career goals, plan and then take action. For them
luck occurs when opportunity meets preparation.” To some extent, a career is a carefully worked out plan
for self-advancement and development. On the other hand, planning is a pre-determined course of action.
According to Allen, “planning is a trap laid to capture the future”. It is a mental process involving fore sight,
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imagination, and sound judgement. It makes planner to think in a logical and systematic manner. It involves
Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
choice among various alternative courses of action. If there is one way of doing something, there is no need
for planning. As per views of Koontz and O’Donnell, “planning is deciding in advance what to do, how to do
it, when to do it, and who is to do it.”
Therefore, it is the process of thinking before doing. There is always need for a new plan to be drawn on the
basis of new demands and changes in the circumstances. Planning is based on a future forecast, therefore, it
should be reasonable flexible.
The career planning is a continuous process of developing human resources for achieving result. A further
impetus to career planning is the need for organisation to make the best possible use of the most valuable
employees in a time of rapid technological growth and change because it must be noted individual and
organizational careers are not separate.
Thus, it is responsibility of management to design the entire career of new recruits in higher skilled,
supervisory and managerial position. At the same time, if an employee is not able to translate his career
plan into action within the organisation he may probably leave the organisation.
Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
Human Resource Policy of Nestle Bangladesh
7.1 A shared Responsibility
Each employee has a distinct responsibility in dealing with people be it as a leader of a team or as a peer.
HR managers and their staff are there to provide professional support in handling people matters but should
not substitute themselves to the responsible manager. Their prime responsibility is to contribute actively to
the quality of HR management throughout the organisation by proposing adequate policies, ensuring their
consistent application and coherent implementation with fairness.
Acting as business partners, the HR manager advises and offers solutions which results in positive impact on
the organisation’s effectiveness.
Furthermore, she/he proposes best practices and provides state-of-the-art support and counselling to her/his
colleagues. Together they act as co-responsible partners for all HR matters.
This partnership is the key for efficiency in people management.
The communication skills of the HR staff must be appropriate to deal with all delicate matters as they occur
frequently in human relations issues. They gain their credibility not only from their professional contribution
but also through the care and the excellence of their communication skills.
an employee and her/his superior or another employee, the possibility must be offered for a fair hearing. The
Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
HR staff will provide assistance to ensure that the disharmony is dealt with impartially and that each party has
the opportunity to explain her/his viewpoint regardless of hierarchical position.
Leadership Principles cannot be maintained in employment and will be requested to leave the organisation.
Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
Also our main suppliers and providers of outsourced services should be informed of the Corporate Business
Principles and should comply with those.
Nestlé provides a working environment which protects the health and welfare of the employees according to
the highest affordable standards of safety, hygiene and security. Each employee should not only care for
her/his own safety but also that of her/his colleagues. Therefore, suggestions for improvement are welcome
and will be given prime consideration.
In the same way that no discrimination for reason of origin, nationality, religion, race, gender or age will be
tolerated when joining Nestlé, no such discrimination will be tolerated towards Nestlé’s employees.
Furthermore, any form of harassment, moral or sexual, will not only be prohibited but actively tracked and
eliminated. Internal rules and regulations will explicitly deal with discrimination and harassment issues so as
to obtain the best possible prevention.
Nestlé considers that it is not enough to avoid discrimination or harassment. It is essential to build a
relationship based on trust and respect of employees at all levels. Therefore, it is indispensable for each
manager to know how her/his employees feel in their work. In larger units it may be necessary to organise
such feedback on a regular basis, using internal surveys or other valuable approaches.
Nestlé favours a policy of long-term employment. Whenever, an operation/ activity cannot be maintained
within the Nestlé sphere, reasonable steps will be undertaken to avoid overall loss of employment by
identifying an external business willing to take over activity from Nestlé, whenever this is possible.
If this is not possible, a closing down may be unavoidable. It will be handled in full respect of local legislation
and of the Corporate Business Principles. A social plan will be elaborated taking into account the legitimate
interests of the concerned staff. Reasonable efforts will be deployed to reduce, as much as possible, the
negative social impact of such a situation.
Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
8.2 Remuneration
Nestlé favours competitive, stimulating and fair remuneration structures offering an overall competitive and
attractive compensation package. Remuneration includes salary, any variable part of remuneration as well as
social, pension and other benefits. Each operating company will establish a compensation practice taking into
account relevant external compensation levels as well as the requirement of internal fairness. It is
recommended to undertake regular surveys so as to gather relevant information on the remuneration levels
practised at a local or national level.
Nestlé’s policy is to strive to position itself as an employer offering remuneration levels above the average of
the relevant benchmark. Nestlé reviews regularly its competitive position with other companies so as to keep
in line with the market trends. However, the evolution of remuneration is in the first instance determined by
the capacity of the Company to improve its productivity.
Wage and salary structures should be kept simple and avoid unnecessary complexity so as to provide effective
compensation and reward. Remuneration structures should specifically facilitate the implementation of flat
organizational structures and be flexible so as to be able to adapt to the evolution of the market conditions.
This means broad spans allowing sufficient flexibility to effectively reward high professional insight and
performances as well as individual potential.
It is the responsibility of each manager to propose, within the framework of the company policy, the
remuneration of her/his employees, taking into account the local market, individual performance, skills and
potential for development. It is also the responsibility of each manager, if needed with the support of HR
management, to communicate properly, clearly and with sufficient transparency, the individual remuneration
of each staff member taking into account her/his professional performance and her/his specific
responsibilities. The quality of communication in these matters is an essential part of the dialogue that each
manager will have with her/his employees on remuneration matters. The HR management sees to it that the
implementation of the remuneration policy is fair throughout the organization and that its spirit is duly
reflected.
purpose oriented and designed to improve relevant skills and competencies. Therefore, they are proposed in
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Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
the framework of individual development programs. As a consequence, attending a program should never be
considered as a reward.
Adequate training programs are developed at the level of each operating company capitalizing on the
availability of local, regional or global resources of the Group. It is the responsibility of HR staff to assist the
management in the elaboration of training programs.
Great importance will be attached to programs enhancing the language skills of the employees. Training
programs organized at the International Training Centre Rive-Reined aim at developing and sharing best
practices of the various management disciplines practiced in the Group. They also strive to strengthen
corporate cohesion as well as to promote networking throughout the Group.
Training programs should, as much as possible, be based on action learning and reduce ex-cathedra
teaching to the strict minimum. It is necessary to make optimal use of e-learning programs as a complement
to or a substitute for formal training programs. According to needs they should be made available at shop
floor level and enlarge the access to training.
It is the role of each manager to assess progress achieved as a result of training programs.
8.4 Assessing and Developing –
Each employee is in charge of her/his own professional development. However, the Company endeavors to
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offer the opportunity to progress for those having the determination and the potential to develop their
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capabilities.
Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
8.5 Industrial Relations
Nestlé upholds the freedom of association of its employees and the effective recognition of the right to
collective bargaining. Nestlé wishes, also through its relationship with unions and other representative
associations, to sustain the long-term development of the Company, both to the benefit of the employees
and of the Company, by maintaining a level of competitiveness adapted to its economic environment.
Industrial relations are a clear responsibility of local management and will be handled at the appropriate level:
first at site level (factories, warehouse) subsequently at regional or national level, according to local law and
practices. Nestlé will ensure that direct and frequent communication is established with its employees, both
union members and non-members, as mentioned in the Nestlé Management and Leadership Principles.
Relations with unions will be established under strict observation of national law, local practices as well as
those international recommendations to which Nestlé has adhered to on a voluntary basis as stated in the
Corporate Business Principles.
team leaders. These new managers are not only responsible for their job but also for the work that is done by
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Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
their team members. Hence it is important to equip them with necessary people management skills & sound
understanding of HR processes for managing teams.
1. REWARDS:
The compensation structure is quite well positioned and systematically designed at Nestlé Bangladesh
Limited. Compensation practices at the company are always aligned with internal fairness and unbiased
performance evaluation of employees. It routinely conducts regular surveys and attains relevant factual and
opinion based information and data regarding the remuneration policies and levels practiced at the company.
Furthermore, reviews regarding its remuneration image and position in the market are compared with other
relevant organizations from time to time. The management committee seeks to structure its salary and wage
packages that are less complex at the same time that provides handsome remuneration benefits.
Elements that are key concerns of the rewards team are:
Fixed Pay:
Fixed pay in Reward includes the basic salary that is the underpinning ground of the total remuneration
package. In Nestlé Bangladesh Limited, the salary package is in line with their pay for performance culture
that entails a differentiated basis for pay levels on the basis of an individual’s performance. Basic salary
package and wages are made locally in compliance with the company policies and salary structure that is made
reflecting the local pay structure at relevant competitors’ companies and marginally over median level. Basic
salary structure is reviewed yearly, usually one time each year during midyear, 1st April. However, in case
exceptional circumstances, more than one review can be followed upon.
Variable pay:
Like other organization, in Nestlé Bangladesh Limited variable pay is a means to provide distinct rewards from
time-to-time to the employees in order to appraise their topnotch performance for them to remain motivated
and be more encouraged to work harder and participate more efficiently in the success of the company. One
frequent form of variable pay that has been regularly practiced at Nestlé Bangladesh Limited, is Short-Term
Bonus, that is given to employees who deliver outstanding results against given targets as a percentage of
their annual basic pay.
Employee Benefits:
Employee benefits are an essential embodiment of the work culture at Nestlé as a whole. Nestlé Bangladesh
Limited, being the second employer of choice in the local market, provides a variety of advantages concerning
the employee benefit plan for meeting the different needs of their employees throughout the company. Along
with a number of benefits plans the few essential and frequently utilized employee benefits in the company
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are-
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Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
Medical Benefits- Via medical benefits the company aims to take participation in helping their
employees beyond work environment. Manager/Executive/Officer are entitled to such benefit along with
their spouse and two children aged 21 years old or less.
Product Gift-
All the employees of Nestlé Bangladesh are entitled to receive a product gift hamper comprising of various
products of Nestlé on a quarterly basis.
Insurance Benefits-
In order for the company to administer protection to its employees against various types hazards the company
contributes to the security of the employees in term of insurance benefit.
Infant Scheme:
Employees who have children below the age of 1-year-old, can take baby nutrition products for free for two
years by showing a valid prescription or doctor’s certificate
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Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
CONCLUSION
Career planning and development problems need to be solved. To do so, in case of individual career planning
before graduation individual would have to find his/her keen interest or passion to take his/her graduation
subject and also job market trending shall be kept in mind. Moreover, once graduation is finished he/she
would have to plan for achieving some relevant skills by taking post-graduation & various training courses.
After graduation individual may also start networking to different professional groups of his/her interest. In
the case of career planning by the organization there should be proper management system and human
resource planning in the organization. Short term and long term career planning policy should be formulated
as soon as possible. Implementation of career development policy should include detail rules and procedure
regarding the entire human resource development in the organization. There should be an integration and
coordination within and among recruitment policy, training policy and career development. A scheme should
be planned which would include various career development programs. It will create opportunity of higher
education and advance training from home and abroad by institutional self-financing. Employees should be
provided study leave and special allowances while pursuing such programs. Budget should be increased in
career development heads. These programs would have to be implemented phase wise and, ultimately it will
have a great positive impact on the employee to design, plan and implement career planning effectively.
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Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225
REFERENCES
Werner, M. Jon and Desimone L. R., 2009, Human Resource Development, Cengage Learning India
Private Limited, Delhi, India.
Ivancevich, M. J., 2004, Human Resource Management. McGraw-Hill Companies, New York.
Byars L. Lioyd and Rue W. L., 1984, Human Resource and Personnel Management, Richard D. IRWIN,
INC. Homewood, Illinois.
Kelly M. Joan and Patton-Voiz Ruth 1987, Glencoe Publishing Company, United States of America.
Werner M. Jon and Desimone L. R., 2009, Human Resource Development, Cengage Learning India
Private Limited, Delhi, India.
Cascio F. W., 1989, Human Resource Management, Productivity, Quality of Work life, Profits,
McGraw-Hill Book Company. Inc, New York
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Nestlé Bangladesh: A study of Career Planning & Management | Snider John Gomes | ID: 18225