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Strategic Talent Plan in Michelin China Julie Chu Nov. 2009. Agenda. World tire market Michelin introduction Michelin in China Talent Market in China (Past & Present) Strategic talent plan in Michelin China. The world tire market in 2005. Others. Bridgestone. 21.3%. Toyo. 18.2%.
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Strategic Talent Plan in Michelin ChinaJulie Chu Nov. 2009
Agenda • World tire market • Michelin introduction • Michelin in China • Talent Market in China (Past & Present) • Strategic talent plan in Michelin China
The world tire market in 2005 Others Bridgestone 21.3% Toyo 18.2% 1.8% 1.9% Kumho Cooper 2.1% 17.7% Michelin Hankook 2.5% Yokohama 2.9% Sumitomo 3.6% 4.5% 17.3% Pirelli 6.3% Goodyear Continental Source : Global Tire Report 2006(Tire Business daté du 28/08/2006)
Tire Market in China • Main competitors • Bridgestone • Good Year • Hankook • Local manufacturers
Products and Services • Passenger Car And Light Truck Tire • Truck And Bus Tire • Earthmover Tire • Aviation Tire • Maps & Guides
Multi-Brand Strategy Michelin:The Most Famous Tire Brand in the World, Warrior: The Best Known and Longest Established Local Brand in China, Targeting at Mass Market. BFGoodrich: Originally from the US, Targeting at New-Generation Drivers, Who See Motoring as a Form of Excitement and Expression.
Customers • Original equipment • Vehicle manufacturers • for all categories • and all vehicles, • from bicycles to huge earthmovers
Customers • Replacement • Distributors • Specialist traders • Dealers • Auto centers • Garages, service stations • Supermarkets
Michelin History in China • 1988: Sales Office Hong Kong
Michelin History in China • 1989: Representative Office Beijing
Michelin History in China • 12/1995: Joint Venture 1 (MSTC) With STGF Shenyang; • 1996: Production of the First Passenger Car Tire; • 04/1997: 3 More JVs With STGF Shenyang. • 1/1999: Start Truck Tire Production in Shenyang
Michelin History in China • 1998: Training Centre in Beijing
Michelin History in China • 4/2001: Set Up a Joint Stock Company With STRC Shanghai Michelin Warrior Tire Co., Ltd.
Michelin History in China • 12/2002: Set Up Michelin( China) Investment Co.,Ltd.
Heilongjiang Jilin Liaoning Xinjiang Bejing北京 Gansu Inner Mongolia Shenyang沈阳 Tianjin Hebei Ningxia Shanxi Quinghai Shandong Xi’an西安 Shaanxi Henan Jiangsu Tibet Shanghai Sichuan Anhui Shanghai上海 Hubei Zhejiang Hunan Chengdu成都 Jiangxi Wuhan武汉 Guizhou Fujian Yunnan Guangdong Guangxi Guangzhou广州 Hainan Hong Kong香港 Locations in China
China Talent Market Past & Present
One of theTop Prioritiesfor a CEOis Attracting and Retaining top talents • 70%of Top 500 Fortune companies is experiencing Talents shortage • 92% of companies present in the market is also experiencing a Talents shortage Talents’ Turnover in percentage HRM Challenges in China, by Prof. Serena ROVAI Uni-Italia Intergovernament Centre Anantara LtD
Facts sheet of Michelin China SP • More than 5500 employees • Double digital growth of headcount in some activities • Average Volume: a few hundred hires by year • 5% senior management ,5% technical workers and 90% white collars • Nearly 50% commercial staff • Less than 8% turnover rate among white collar employees
Mission Of Service Personnel People is not a resource, but an asset. Ensure that motivated, responsible and competent people are available where and when they are needed at all times and in all areas of activity. This mission must be fulfilled at the highest level of performance in terms of quality, cost and timeliness.
5 Principles of SP • Seek to establish and manage the best match between the person and the company • Develop the international outlook of the individuals and teams • The management and development of personnel is a responsibility shared by the person, the manager and the Personnel Service • Guarantee and facilitate a means of recourse for everyone • Preserve the cohesion of Group Michelin
How SP to cope with business growth? • SP = Service Personnel • Recruitment • Integration • Training • SP = Strategic Personnel • Career development • GPC • Rewards • Engagement & retention
Recruitment • We don’t only hire for a specific position, we hire people to meet the company’s current and future needs • Position fit • Cultural fit • Development fit • Career managers’ involvement in the recruiting process • SP reserves a special budget to hire people who may not necessarily be needed at the current stage
Integration Process • Started since the recruitment stage • Co-managed by the business manager and the career manager • Monitoring the key factors to the successful integration • Relationship and networking • Role clarity • Culture • Early wins • Accelerate learning
Individual Manager Career management process Who is involved? Career Manager Career Manager
What is career management? • We manage our people’s potential development • Employee’s potential can be assessed • Through their performance • Through their behaviors and the way to reach the targets • Potential characteristics are grouped under 3 headings • Driving energy(leg) • Thought (head) • Leadership(heart)
Potential Matrix • Driving energy(leg) • Ambition • Energy • Dynamism • Adapbility • Thought (head) • Make sound decision • Act strategically • Think creatively • Leadership(heart) • Communication • Motivate others • Develop others • Establish relationship & trust
Gestion Previsionnel des Competences • GPC is a continuous and long term focused system to anticipate manpower needs in the coming 5 years • It’s integrated into the annual budget process and implemented at country level • To make sure critical competence localized and to meet current and future needs on critical competence.
How to implement GPC? • Population assessment/Metier diagnosis • Succession plan & localization plan • Vivier / pepiniere recruitment • Overseas training • Expatriation
Remuneration Philosophy Market We pay our employees according to market factors. We pay according to job responsibility. Position We pay according to performance results. We pay according to personal competency. Performance Person
By doing all the previous mentioned correctly, we can achieve a high level of employee engagement and employee retention