Chrysler 2012 Annual Report Download - page 96

95
Report on Operations
Management and Development
Recognizing merit, encouraging professional development
and creating equal opportunity for individuals to compete for
key positions within the organization are all an essential part
of the Group’s commitment toward its employees.
Through a structured global personnel management
process, Fiat Group identifies and develops talent and
fosters the motivation of employees.
The Performance and Leadership Management
(Performance and Leadership Management, PLM, for
managers and professionals and Performance and
Behavior Feedback, PBF, for salaried employees) process
implemented worldwide is used to evaluate the performance of employees and set specific objectives to orient their results, professional
development and behavior.
Performance and leadership mapping, which in 2011 was also extended to Chrysler Group employees, involves around 57,200 Group
employees, including all managers and professionals, as well as a subset of salaried personnel. In addition to the PLM process, the
Group also uses other performance evaluation processes to determine individual variable compensation.
Talent management and succession planning also form part of the HR management model and are designed to ensure alignment
of processes and objectives worldwide. In 2012, 25 Talent Reviews were conducted for various professional families/companies/
functions. The objective of the reviews is to identify talented individuals that merit additional investment in their professional development
due to their leadership potential.
During 2012, the Group continued to invest significantly in training and skill building initiatives with a total of €83.7 million invested for
the year, representing a 4.2% increase over 2011.
The Group’s extensive training offer was further expanded with new initiatives aimed at strengthening individual skills and communicating
the Group’s strategy and values. Approximately 4.2 million hours of training were provided during the year (+3.4% over 2011) to around
135,400 employees.
The Group took advantage of production stoppages necessary for installation of new product platforms at the Melfi, Pomigliano and
Grugliasco plants in Italy to conduct intensive training programs, which gave workers the opportunity to acquire skills that would be
immediately applicable once production recommenced.
During the year, the Group introduced a pilot project based on the World Class Manufacturing (WCM) Cost Deployment methodology
to evaluate the benefits of training initiatives.
During 2012, the training initiatives monitored as part of this project (cost of €0.4 million) were targeted at providing workers additional
skills and resulted in an overall improvement in processes and working. The potential cost savings are estimated at around €2.4 million.
Training
Fiat Group worldwide 2012 2011 (1) 2010 (2)
Spending on training (€ million) 83.7 80.3 65.4
% of total personnel costs 1.0 1.1 0.9
Hours of training provided (thousands) 4,206 4,048 3,196
No. employees benefiting (thousands) 135 139 132
(1) Includes Chrysler Group figures for the full year.
(2) Includes Chrysler Group and excludes activities transferred to Fiat Industrial S.p.A. on 1 January 2011.