Reebok 2008 Annual Report Download - page 76

072 Group Management Report – Our Group Corporate Functions — Employees
— Functional Trainee Programme (FTP): A 12- to 18-month
programme giving graduates with international back-
grounds and excellent educational credentials the
opportunity to start a functional career with the adidas
Group. The programme comprises six three-month
assignments in varying departments. At least one of
these assignments takes place abroad. At year-end
2008, we employed 29 participants in our global FTP
(2007: 23).
Our “Fit For Tomorrow” programmes are complemented by
apprenticeship programmes and internships. The adidas Group
apprenticeship offers young people who want to join our Group
straight out of school the opportunity to gain business experi-
ence in a three-year rotation programme. These programmes
include vocational training in retail, industrial management
and IT as well as integrated study programmes. At the end of
2008, we employed 54 apprentices in Germany (2007: 45).
Our global internship programme gives students four to six
months’ work experience within the adidas Group. For “best-
of-class” interns, we initiated a “ReBound” programme to
remain in close contact with them after their internship and
foster potential future employment. At the end of 2008, we
employed 396 interns in Germany (2007: 189).
Performance-driven remuneration system
We are committed to rewarding our employees with effective
compensation and benefi t programmes that are competi-
tive in the marketplace. Remuneration throughout the Group
comprises fi xed and variable monetary compensation, non-
monetary rewards, as well as other intangible benefi ts. The
cornerstone of our rewards programme is our Global Salary
Management System (GSMS). It is used as a basis to set the
value of employees’ positions and salaries in a clear, market-
driven and performance-oriented way. GSMS provides the
global framework for managing base compensation in the
adidas Group and for making performance-related base salary
adjustments. In addition to a fi xed base salary, we also offer
our employees various variable compensation components.
— Bonus programme: Within the adidas Group, certain
employees are eligible for a bonus based on their respec-
tive job grade level as specifi ed in GSMS. Our Group’s bonus
programme combines individual performance (measured in
the PEP process) and corporate performance (actual fi nancial
results measured against Group, brand, division and /or busi-
ness unit targets).
— Profi t sharing: For employees who are not eligible for the
bonus programme, profi t sharing is used as an incentive to
reward the achievement of the Group’s profi t target. In 2008, for
example, we again paid a one-time gratifi cation to employees
in Germany (Champions Bonus) honouring their performance
in the past year.
— Additional compensation components: For senior man-
agement and Executive Board members we offer Long-Term
Incentive Programmes (LTIP) and a Management Share Option
Plan (MSOP) see Compensation Report, p. 030.
Other benefi ts include our 401-K pension plans in the USA and
the adidas pension plan for our employees in Germany. In 2008,
1,712 employees (2007: 1,396) participated in the latter, which
represents an increase of 23% compared to the previous year.
Other Group subsidiaries also grant a variety of additional ben-
efi ts to employees depending on locally defi ned practices and
country-specifi c norms such as discount allowances that pro-
vide our employees with the possibility to purchase discounted
products in our own stores.
Employees by function
in %
2008 2007
Total 38,982 31,344
IT 2
Research & development 3
Production 5
Central functions & administration 9
Marketing 9
Logistics 14
Sales 11
Own retail 47
3
3
6
9
9
15
14
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