Vodafone 2010 Annual Report Download - page 25

Download and view the complete annual report

Please find page 25 of the 2010 Vodafone annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 148

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148

1
2
3
4
7
65
Vodafone Group Plc Annual Report 2010 23
hires across the Group during the 2010 calendar year. We have also
partnered with seven leading MBA schools to hire top MBA graduates
to join us and progress to key management and leadership roles.
We aim to create a working culture that is inclusive to all and believe
that having a diverse workforce helps to meet the different needs of
our customers across the globe. We do not condone unfair treatment
of any kind and offer equal opportunities for all aspects of employment
and advancement regardless of race, nationality, sex, age, marital
status, sexual orientation, disability or religious or political belief. This
also applies to agency workers, self employed persons and contract
workers who work for Vodafone. In the latest people survey 87% of
employees agreed that people in Vodafone are treated fairly,
regardless of their gender, background, age or belief.
The main focus of our diversity strategy has been on gender with actions
taken to provide inclusive working policies and to increase inclusive
behaviour amongst managers. Compared to the 2009 financial year
there has been a slight increase in the percentage of women in senior
roles, up from 13% to 14%. There will be continued efforts to increase
the proportion of women in senior leadership roles during the 2010
financial year.
More recently we have extended our diversity strategy to focus on
diversity of nationality, industry background and technical experience.
26 nationalities are represented in the senior leadership of the Group.
Learning and capability development
Global programmes continue to develop high
potential employees.
We are committed to helping people reach their full potential through
ongoing training and development. In our most recent people survey
71% of employees rated their opportunities to develop their skills and
knowledge as good or very good.
Inspire, our global leadership development programme, is in its second
year. The programme focuses on identifying and developing potential
future leaders from within the Group. The programme builds
commercial capability and leadership skills through an 18 month fast-
track approach. 67 managers from 19 countries participated in the
programme during the 2009 calendar year and 51 have started on the
2010 calendar year course. Of the managers who have completed the
programme, 40% have been promoted to a more senior role.
Performance, reward and recognition
Extension of reward differentiation based on
individual performance.
Replacement of UK defined benefits pension scheme
with enhanced defined contribution scheme.
We reward employees based on their performance, potential and
contribution to the success of the business and we aim to provide
competitive and fair rates of pay and benefits in every country where
we operate. Global short- and long-term incentive plans are offered to
leadership and management levels and paid according to individual
and company performance.
In response to global economic conditions a pay freeze policy was
introduced to the senior leadership team in the 2010 financial year.
Most operating companies did however award bonuses through global
or local plans, with greater emphasis on rewarding strong business and
individual performance.
In January 2010 we confirmed the closure of our UK defined benefit
pension scheme for future accruals on 31 March 2010. All UK based
employees were invited to join a new, enhanced defined contribution
pension scheme, which we believe is now highly competitive in the
local market as well as more sustainable longer-term.
Health, safety and wellbeing
Significant and increased effort to address the frequency
and likelihood of fatal accidents in high risk countries.
The health, safety and wellbeing of our customers, employees and
others who could be affected by our activities are of paramount
importance to us. Expansion in emerging markets and the application
of the most rigorous and demanding tracking methodologies have this
year highlighted an unacceptable level of fatal accidents. It is deeply
regrettable that 27 fatalities occurred related to our operations in the
2010 financial year. 24 of these were third party contractors and three
were Vodafone employees. Over 80% of these incidents occurred in
India, Ghana and Turkey – markets with a legacy of poor safety practice
and infrastructure, and a high rate of road accidents.
Loss of life as a consequence of us doing business in any country is
unacceptable to us and tackling the causes of these fatalities is a top
priority. Urgent action was taken to improve safety governance and
awareness in these countries which has resulted in a significant
reduction in fatal incidents in the second half of the 2010 financial year.
In the countries where the majority of the incidents occurred we have
introduced a fatality prevention plan and linked this to the performance
objectives of each CEO. The plan includes two key initiatives: adopting
Det Norse Veritas’ International Safety Ranking System (‘ISRS’) and
implementing a set of absolute rules as mandatory requirements to
drive safe behaviour. Further details can be found at www.vodafone.
com/responsibility and in the 2010 sustainability report.
Employment policies and employee relations
We aim to be recognised as an employer of choice.
We strive to maintain high standards and good
employee relations.
Our employment policies are developed to reflect local legal, cultural
and employment requirements. We aim to be recognised as an
employer of choice and therefore seek to maintain high standards and
good employee relations wherever we operate.
Our business principles set out our ethical standards and we have
recently developed a code of conduct that defines what employees
need to do to live up to our business principles. New and existing
employees will receive communication and training on the code of
conduct during the 2011 financial year.
Employees by location
1. Germany 15.9%
2. Italy 7.3%
3. Spain 5.1%
4. UK 11.5%
5. Vodacom 8.0%
6. India 11.9%
7. Other 40.3%
KPI 2010 2009 2008
Total number of employees(1) 84,990 79,097 72,375
Employee turnover rates (%) 13.0 13.0 15.2
Number of women in the top
senior management roles
33 out
of 228
29 out
of 221
26 out
of 211
Number of nationalities in the
top senior management roles 26 23 20
Note:
(1) Represents the average number of employees during the financial year.
Key performance indicators
Business