Reebok 2012 Annual Report Download - page 135

adidas Group
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2012 Annual Report
Group Management Report – Our Group
113
2012
Employees
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02.7
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Our development programmes are complemented by apprenticeship and
internship programmes. The adidas Group apprenticeship offers young
people who want to join our Group directly out of school the opportunity
to gain business experience in a three-year rotation programme. The
programme includes vocational training in retail, industrial management
and IT, as well as integrated study programmes. At the end of 2012,
we employed 56 apprentices in Germany (2011: 46) and 48 integrated
study programme students (2011: 30). Our global internship programme
offers students three to six months of work experience within the adidas
Group. It plays a key role in our recruiting strategy. At the end of 2012, we
employed 492 interns in Germany (2011: 330).
Performance management: Our global Performance Evaluation and
Planning tool (PEP) is the cornerstone of performance management at
the adidas Group. Based on business targets as well as job tasks and
competencies, each employee is evaluated and receives feedback at
least once a year. Building on defined development goals, we offer and
support our employees with targeted development activities both on and
off the job. To further drive a high-performance culture within the adidas
Group, we will roll out a new performance management tool in 2013. The
new tool will create focus, simplicity and alignment in setting team and
individual targets.
Succession management: The adidas Group succession management
approach aims to ensure stability and certainty in business continuity. We
achieve this through a globally consistent succession plan which covers
successors for director level positions and above. These positions and the
respective successors are regularly discussed by senior management
and reviewed by our global HR leadership teams. The succession
management information shows a clear picture of the successor
readiness and development needs. Based upon this information, we
draft individual development plans to prepare successors for their
potential next tasks. In addition, we use the successor information to
create dynamic talent pools which provide us with further flexibility in
our succession management process. All information is consolidated in
a succession management risk analysis.
The succession management process is supported by a system solution
which is applied in 91% of the adidas Group’s business units and will be
part of our Integrated Talent Management Process and System in 2013.
Performance-driven remuneration system
We are committed to rewarding our employees with compensation
and benefit programmes that are competitive in the marketplace.
Remuneration throughout the Group comprises fixed and variable
monetary compensation, non-monetary rewards, as well as other
intangible benefits. The cornerstone of our rewards programme
is our Global Salary Management System which is used as a basis
for establishing and evaluating the value of employees’ positions
and salaries in a market-driven and performance-oriented way. In
addition to a fixed base salary, we offer our employees various variable
compensation components.
Bonus programme: In order to allow our employees to participate in
the Group’s success, and to reward them for their target achievement,
we have implemented a global bonus programme. This programme
combines individual performance (measured in the PEP process) and
corporate performance (actual financial results measured against
Group, channel, brand, division and/or business unit targets). To further
drive a high-performance culture within the adidas Group, we also plan
to make changes in 2013 to our bonus programme to support alignment
with business targets and put more emphasis on individual targets
through the rewarding element of the bonus programme.
Profit participation programme: For employees at our Group
headquarters and our other locations in Germany who do not participate
in the bonus programme, we have a profit participation programme
called the “Champions Bonus”.
Long-term incentive programmes: In order to encourage sustainable
financial results as well as retain our top leadership, the adidas Group
offers Long-Term Incentive Programmes (LTIP) for leaders and Executive
Board members. We value the contributions of our leadership team and
provide this compensatory benefit to encourage continued performance
and commitment. Other benefits include our 401-K pension plans in the
USA and the adidas Group pension plan for our employees in Germany.
In 2012, 2,501 employees participated in the latter, which represents
48% of all eligible employees.
Our Group subsidiaries also grant a variety of benefits to employees,
depending upon locally defined practices and country-specific
regulations and norms.