NESTLE

MGT 351

Final Group Project

Section - 4

Instructor- M. Farhan Enam

Topic: Human Resource Management of Nestle company

Group Members’ Name ID#

Priodorshine Sarker 112 0081 030

Sharzin Shavina Reza 111 0773 030

Sifat Gazi Sitak 112 0004 030

Sifat Abir 111 0978 030

Sanjib Samadder 111 0798 030

Acknowledgement: We thank our honorable course instructor M. Farhanul Enam, Lecturer of the North

South University in Business Administration Department, for allowing work on this

project. Priceless suggestion, constant guidance, advice and very feasible help throughout the

project work which smooth the completion of this project. To entire staff without whose interest

and co-operation we could not have produced this study. A special thank to the

Nestle’s employee, for these guidance, insight and encouragement in the writing and compilation

of this report. His invaluable support and patience throughout this journey has been unreal and is

appreciated from the bottom of our heart. .At last once again we like to praise those persons

whoever comprehends this proposal, with the name of Almighty.

Letter of Transmittal2, September, 2013

M. Farhanul Enam

Lecturer

Department of Business Administration

North South University

Submission of a Report on: HRM practices in

Dear Sir,

This is our pleasure to accomplish the Project Work of MGT351 and submit the report on Nestle,

world’s largest health, nutrition and wellness company. We have prepared the report on the basis

of the Study on Human Resource planning and personnel policies of Nestle.

This report is prepared on the basis of both primary and secondary data. Primary data was

collected by questioning the concerned people of the company during the period of the working

hour; while secondary data was collected from various printed documents like annual report etc.

of the company. Although the main purpose of the report is to provide an insight to Human

Resource planning and personnel policies of Nestle, world’s largest health and nutrition

company. We would like to express our gratitude to you for your valuable effort for us which

provided the opportunity to complete this project.

Thank you

Yours Sincerely,

Priodorshine Sarker 112 0081 030

Sharzin Shavina Reza 111 0773 030

Sifat Gazi Sitak 112 0004 030

Sifat Abir 111 0978 030

Sanjib Samadder 111 0798 030

Executive SummaryThe report has been prepared as a mandatory requirement of our course MM(Marketing

Management). It is the summarized outcome of what we have learned till now in the sectors

Principle of Marketing.

Executive summary presents a clear vision of the report with different titles. After we identify an

existing company, which is Nestle, Bangladesh. In our report we mainly deal with the new

product line and deigned the packaging and leveling of the fruit juice. This report will help us to

determine the in-depth information and stand out position in the market.

We sum this philosophy up in four simple words – Good Food, Good Life - reflecting in

everything we do and extending beyond what we make. On our path to being the leading food,

nutrition, health and wellness company, we will continue to ensure that we do everything we can

to build, nurture and develop family and community wherever we are.

Today Nestle is the world’s largest food and Beverage Company with more than 250,000

employees and over 500 factories in 86 countries around the world. Our products have been

available in Bangladesh. The Nestle Company has not introduced any fruit juice. So it has

decided to introduce new product line of fruit juice, which will be healthy, nutritious and

delicious compare to other fruit juices in our country.

Table of ContentsAcknowledgement: ......................................................................................................................... 3

Letter of Transmittal ....................................................................................................................... 4

Executive Summary ........................................................................................................................ 5

List of tables and figures................................................................................................................. 8

Introduction..................................................................................................................................... 9

Background of the project ........................................................................................................... 9

Scope ........................................................................................................................................... 9

Limitations: ............................................................................................................................... 10

Company Profile ........................................................................................................................... 11

History:...................................................................................................................................... 11

Nestle in Bangladesh ............................................................................................................. 11

Vision and Mission: .................................................................................................................. 12

Management:............................................................................................................................. 12

Organogram) ............................................................................................................................. 13

This is the general organizational Chart: ............................................................................... 13

The HR Management Chart:.................................................................................................. 14

Nature of Business (Corporate Strategy, Business Strategy, Products and Services)............... 14

Functional Strategy with respect to Business Strategy:......................................................... 15

Human Resource Department ....................................................................................................... 15

Leadership: ................................................................................................................................ 15

Grow talent and teams ........................................................................................................... 15

Compete and connect externally............................................................................................ 16

Lead to win ............................................................................................................................ 16

Manage for results ................................................................................................................. 16

Leadership through 360 Degree Workshop:.......................................................................... 17

The HRM Process: .................................................................................................................... 17

The Recruitment Process:...................................................................................................... 17

Job Analysis........................................................................................................................... 17

Job Description: ................................................................................................................. 18

Job Specifications: ............................................................................................................. 20

Source of Candidates ............................................................................................................. 21

Type of Interview .................................................................................................................. 21

Competency Questions ...................................................................................................... 21

Motivational Questions...................................................................................................... 22

Format of questions................................................................................................................... 22

Staffing ...................................................................................................................................... 23

Job enrichment....................................................................................................................... 23

Job enlargement..................................................................................................................... 24

Job rotation ............................................................................................................................ 24

Training Process of Nestle ........................................................................................................ 25

Training Need Assessment: ................................................................................................... 26

Trainings in Nestle Bangladesh:............................................................................................ 27

Communication Skill: ........................................................................................................ 27

Presentation Skill: .............................................................................................................. 27

Training on Nutrition Awareness: ..................................................................................... 27

Everyday Coaching Awareness Session: ........................................................................... 27

Product Knowledge:........................................................................................................... 28

Performance Appraisal.............................................................................................................. 28

Performance Factors: ............................................................................................................. 28

Reinforcement/ Behavior Modification Theory: ................................................................... 29

Performance Appraisal Rating: ............................................................................................. 29

Appraiser’s Overview Evaluation: ........................................................................................ 29

Employee Self Appraisal: ...................................................................................................... 30

Reward and Employee Relations Team: ............................................................................... 30

Findings and Recommendations ................................................................................................... 31

� Type of Management ..................................................................................................... 31

� Practice of Job description and analysis:........................................................................ 31

� Source of Recruitment:................................................................................................... 31

� Compensation and Other Fringe benefits....................................................................... 31

� Employee Turnover Ratio .............................................................................................. 32

� Job satisfaction ............................................................................................................... 32

Conclusion...................................................................................................................................................32

List of tables and figures

The General Organization Chart P. 13

The HR Management Chart P. 14

Job Description Table P. 18- P. 19

Job Specification Table P. 20

Training Process Diagram P. 25

Training Need Assessment Diagram P. 26

Introduction

Background of the project

Firstly to create the project on Nestle, we had to go through the company information in a very

broad way. As the HRM process includes much information that is not very easy to get promptly.

We had to screen out different sections of Nestles department of HR and compile the information

such a way that fulfils the outline of the project assigned to us.

Our group was quite keen to work on Nestle because it has contributed to most of the countries

of the world with its great goodwill and rich products. The brand of Nestle and image of this

brand is very well known and trustworthy. So, we chose Nestle as our company to be worked for.

ScopeThe study will be conducted on’ The Practice and Administration of Human Resource

Management in Nestle to construct a critical analysis on Recruitment and Selection. It also

includes the Training, Compensation and Awards for employment perspective from a holistic

point of view. This Project report covers:

Literature Review – A brief review on the theories and principles of Nestle’s operating in

Bangladesh.

Description of Nestle as a company – A description of the establishment of Nestle. its

mission, vision, goals, objectives, approaches, activities, administrative

structure, legal entity and other information.

Performance Appraisals and promotions of the organization – A brief description of the

organization’s current practice in the sectors of performance appraisals and promotions.

A Summary of the Findings and Evaluation – A brief description of the

findings and evaluation of my study from a holistic point of view.

This is merely a descriptive report. Most of the data and information are collected

through informal interviews with the respective executives.

Limitations:

As far as report writing is concerned, we are bound to make mistakes, as well as face various

other problems. Thus, few of the problems faced while preparing this report and some of the

weaknesses of this report are given below-

Nestle is a multinational company that’s why we were unable to have any physical

survey.

Getting relevant papers, documents and information were strictly prohibited.

In web sites there are lacks of information.

It was a very short time that’s why we could not go through our report.

Company Profile

History:

In 1867 Henry Nestle, a chemist from Frankfurt who had settled in Vevey, became

interested in infant feeding. To satisfy a clear need, he developed and produced a milk-based

food for babies whose mothers could not nurse them. The new product soon became well-known

worldwide under the name of “Farine Lactee Nestle ( Nestle Milk Food )”.In order to expand

into a broader category and meet more people’s needs, the Nestle Company’s first diversification

occurred in 1905 when it merged with the Anglo- Swiss Condensed Milk Company (1866).

Today, processing milk food is still the company’s chief activity together with the other products

of Nestle family such as chocolates, instant milk-based drinks culinary products, frozen foods,

ice cream, dairy products and infant foods. Nestle is still primarily concerned with the field of

nutrition, but it has also acquired interest in pharmaceuticals and cosmetics industries. As a result

of the company’s initiative and bold activity, it has grown into a huge organization, employing

almost 230,000 people in nearly 500 factories worldwide. Nestle products are now widely

distributed on all continents and sold in more than 100 countries.

Nestle in Bangladesh

Popular Nestle brands entered this part of the sub continent during British rule and the

trend continued during pre-independence days of Bangladesh. After independence in 1971,

Nestle World Trade Corporation, the trading wing of Nestle, sent regular dispatches of Nestle

brands to Bangladesh. By that time some of the brands such as Nespray, Cerelac, Lactogen, Blue

Cross etc. became household names. In the early eighties Transcom Ltd. was appointment the

sole agent of Nestle products in Bangladesh. In 1992 Nestle and Transcom Ltd. acquired the

entire share capital of Vita Rich Foods Ltd. Nestle took 60 percent while Transcom Ltd. acquired

40 percent. The name of the company was also changed at this time to Nestle Bangladesh

Limited. In 1998 Nestle took over the remaining 40 percent share from Transcom Limited.

Today Nestle Bangladesh Ltd. is a solid based enterprise.

Vision and Mission:

Vision: To be a leading, competitive, Nutrition, Health and Wellness Company

delivering improved shareholder value by being a preferred corporate citizen

preferred employer preferred supplier selling preferred products.

Mission: Nestlé is the world's leading nutrition, health and wellness company. Their

mission of "Good Food, Good Life" is to provide consumers with the best tasting,

most nutritious choices in a wide range of food and beverage categories and eating

occasions, from morning to night.

Management:

a. Management: In general organization chart the head of the organogram is MD

(managing director). The MD will be controlling Technical manager and

Marketing manager. Marketing manager will be responsible for the course of

action of National sales manager and Brand manager. On the other hand

Technical manager will be controlling Plant manager and corporate manger.

Supply channel manager will be authorizing the distribution channel. There will

be a link with the Finance control manager. This link will help Supply channel to

fix the budget for distribution channel. On the other side HR organogram shows

that MD (Managing Director) holds the responsibility of HR manger reward and

HR manager Training. There will be a link between HR manger admin and HR

manger factory. HR manger controls Employee Relationship manger and Welfare

manger. On the other hand executive manager and executive office security is

managed by HR manger Admin.

Organogram

This is the general organizational Chart:

Marketing and Sales Manager

Nation Sales Manager

Supply Chain Manager

Distribution Operations

Demand and supply planning

Corporate HR manager

HR Manager

organizational Chart:

MD (Managing Director)

Marketing and Sales Manager

Group Brand Manager

Technical Manager

Plant Manager

Supply Chain Manager

Distribution Services

Finance Control Manager

Finance Controller

Corporate HR manager

Corporate Quality Assurance manager

Quality Assurance Manager

Technical

Corporate Manager

Finance Control

Corporate Quality Assurance

The HR Management Chart:

Nature of Business

Corporate Strategy:Nestle is pursuing its customers’ through nutrition health awareness, quality assurance and

product safety and with batter communication with the consumers. So we can conclude that, it is

a Concentration strategy because Concentration growth strategies inc

product development, and horizontal integration.

HR Manager Reward and PD

HR Office MIS

HR manager Admin

Executive Admin Executive Office

Company Security

The HR Management Chart:

Nature of Business

Nestle is pursuing its customers’ through nutrition health awareness, quality assurance and

product safety and with batter communication with the consumers. So we can conclude that, it is

a Concentration strategy because Concentration growth strategies include market penetration,

product development, and horizontal integration.

HR Director

HR Manager Reward and PD

HR manager Training and

Learning

HR Office Talent acquisition

HR manager

Executive Office Security

HR Manager Factory

Employee Relationship

Manager

HR Welfare Officer

Nestle is pursuing its customers’ through nutrition health awareness, quality assurance and

product safety and with batter communication with the consumers. So we can conclude that, it is

lude market penetration,

HR Welfare Officer

Business Strategy: As our company is using concentration strategy by developing the product, so cost leadership

business strategy will be vague to use. Nestle is using differentiation strategy, it is positioning its

food products as a nutritive food to market even in the snacks section with their unique selling

proposition and better communication channel.

Functional Strategy with respect to Business Strategy:To meet the differentiation strategy Nestle marketing division and will be using

unique selling proposition and creative advertisement. R&D department will be

working on intensive product development.

Human Resource Department

Leadership: Nestlé managers at all levels are more concerned with leading and inspiring people to add value

to the Company and society rather than with exercising formal authority. Nestle company

follows decentralized system. So basically Nestle is a decentralized and aligned organization. In

an increasingly dynamic world, leaders face significant challenges and opportunities. These stem

from shifts to new social patterns and unprecedented worldwide competition. Achieving ongoing

success requires that each Nestlé leader understands the context and capitalizes on it, as

described in the following principles:

Grow talent and teamsNestle leaders have a passion for building and sustaining an environment where people

have a sense of personal commitment to their work and give their best to promote our

Company’s success.

They care for and develop the leaders of tomorrow through addressing all areas that allow

them to progress in their work and to expand their capabilities.

They understand the importance of continuous learning and improvement, as well as

sharing knowledge and ideas freely with others.

They are committed to giving and receiving honest, accurate and timely feedback,

including performance evaluation, in a climate of mutual respect.

Compete and connect externallyConstantly looks for ways to satisfy our consumers and customers while attracting new

ones in unique and compelling ways.

Displays curiosity and open-mindedness as well as a high level of interest in other

cultures and lifestyles.

Believes in openness and dialogue with outside stakeholders about future trends in

society, technology, consumer habits, and business opportunities.

Understands the external impact of our operations and, as a result, proactively seeks to

engage and partner with the community, authorities, shareholders and other stakeholders.

Lead to winNestle leaders have built credibility as a result of coherent action, leadership and

achievement.

They are able to think from different perspectives and to create a climate of

innovation. This implies openness to risk and the possibility of making mistakes,

but also the willingness to correct and learn from them.

They believe in the importance of alignment and management of expectations.

Manage for resultsNestle leaders embrace personal commitment and courage in execution. This

includes the capacity and the willingness to take initiatives and risks while

maintaining composure under pressure.

They value proactive cooperation in order to create synergies at local, regional

and global levels.

They believe in achieving business objectives rooted in compliance and

sustainable practices.

Leadership through 360 Degree Workshop: This program is fort all the employees of Nestlé; the company nurture the talent from the very

beginning of an employee to become a leader and as well as a good successor. Moreover in this

training it is also emphasized that how to work in a team and follow leadership; senior

employees and as well as the renowned trainers for leadership training is bought here. It’s

basically class room based training.

The HRM Process:

The Recruitment Process:

Nestle company follows the motto that: “Wherever in the world you apply

our recruitment teams will provide a professional, timely and responsive service. The

current report is that innumerable employees are engaged in Nestle, Nestle hires most of

the employees through a method. An opportunity of employment comes when some

employees want to resign or there is an urgent need. But in case of these three situations

the head of the department must have to obtain consent of the managing Director (MD).

The Divisional Head fills up a “Recruitment and Budgeted Form” if the request is

approved.

Job AnalysisJob Analysis consists of TWO parts.

1. Job Description,

2. Job Specification.

Job Description:

Some Job Description Criteria of Nestle is given below:

NESTLÉ USA POSITION DESCRIPTION

MANAGER TO COMPLETE HUMAN RESOURCES TO

COMPLETE

Position Title: Retail Sales Representative

SBU: NUSA Department: NROC

Hispanic

Reports To: Ricardo Rodriguez

Title: Team Leader

Job: Grade:

FLSA Status: EEO Code:

Date Approved: By:

POSITION SUMMARY:

The primary purpose and function of the person holding this position is to sell the Nestle USA

line of products to independent retail grocery stores, and some small direct buying accounts.

Activities will center on selling new item introductions, marketing promotions, line

extensions, merchandising and maintenance of existing product lines. They would also have to

fulfill all required administrative duties.

Primary Responsibilities

Store Sales

A. Assumes complete responsibility for sales goals and retail development within a territory.

B. Confidently deliver sales presentations.

C. Suggest creative sales and marketing concepts to management.

D. Executes promotionally effective marketing and sales programs at store level.

E. Attains account sales and merchandising goals for their territory.

F. Develops a strong relationship with account store personnel that benefits Nestle EMD.

G. Uses organizational skills to effectively plan their sales, merchandising and administrative

duties.

Store Distribution

A. Attains 100% distribution of Nestle EMD items in retail and distributor accounts.

B. Ensures that authorized distributions are placed in assigned retail accounts within a

predetermined timeline.

C. Capitalizes on retail distribution opportunities at store level.

D. Communicates competitive distribution gains and losses using the provided tracking tools.

E. Manages and documents product used to directly attain product distribution at retail.

Store Pricing

A. Ensures that pricing guidelines are met at retail level.

B. Properly merchandises all Nestle EMD price tags at retail for accuracy.

C. Oversees that the current scanning prices reflect current promotional allowances and zone

pricing.

D. Reports competitive price changes and promotional support to the Retail

Job Specifications:Job Specifications is a list of a job’s “human requirements,” that is, the requisite

education, skills, personality, and so on—another product of a job analysis.

REQUIREMENTS AND MINIMUM EDUCATION LEVEL:

Working knowledge of Micro-Soft Excel, Word and PowerPoint

Spanish Bi-lingual required

Drivers License with a good driving history

History of good work performance

Superior Organization, Communication and Follow-Up Skills.

Highly Creative.

Articulate.

Successful completion of a background check and drug screen.

College Degree Preferred.

Overnight Travel: 10-20%

EXPERIENCE:

Entry Level Position OK

High Interest in Hispanic Grocery Sales.

SKILLS:

I am looking for someone that is interested in a career in Hispanic Grocery Sales. Previous

experience in sales or the grocery industry is not required. I am looking for a motivated person

willing to put in a lot of time and effort into learning about and exciting, fun and fast growing

part of the Industry. The person I need to fill this position will need the following skills:

� A strong work ethic

� Excellent organization skills

� Articulate communication skills

� Superior Follow-up skills

� A motivation to succeed

Source of CandidatesNestle wishes to maintain and develop its reputation as an employer of high repute.

They find candidates through:

- Contacts with universities,

- Attendance at recruitment events,

- By publishing advertisement online,

- Promoting employees intensively from within the organization,

- By keeping HR to keep an eye on candidates from outside,

- By undertaking other contacts.

By following these steps Nestle ensures good visibility of the company vis-à-vis relevant

recruitment sources.

Type of InterviewWhile interviewing Nestle forms the questions in such a way that they can scan out the best of

candidates through interview process. They follow structured interview process. They follow

some question pattern, through which the candidates will have to go through.

Competency QuestionsExperience provides the best predictor of whether a person can do a job and therefore the STAR

technique is used when asking a candidate a competency.

Interviewers will be looking for the candidates to give an example of what his/ her

responsibilities were in the situation that s/he was describing.

S-Situation

T-Task

A-Action

R-Result

e.g. Can you give me an example from your most recent role when you have had to work to a

deadline?

Interviewers may probe into your answer to ensure they get enough depth to the question:

S Why did you have this deadline?

T What was your specific role in the task?

A What did you do to ensure you met the deadline?

R What was the end result?

Motivational Questions

Motivational questions are used to find out what makes the candidate tick and to see if the

role suits your chosen career path, aspirations, industry etc.

Typical motivational questions would be:

Why are you interested in this position?

What do you find frustrating in your current role?

What type of management style gets the most out of you at work?

Format of questionsNestle interview questions for all job positions such as Office Manager, Marketing

Associate, Controller, Network Engineer, Hr Administrative Assistant, Accounting Clerk and

other. Most common formats and types of Nestle interview questions: Case, Panel, Behavioral

interview questions.

Nestle interview questions for internship/entry level positions:

- What do people most often criticize about you?

- What do you feel is the best educational preparation for this job?

- What are common risks at Nestle? And how to face?

- Is the Nestle your ideal company?

Nestle interview questions samples for Phone interview:

- What would be your ideal working environment?

- When you are not studying or working, what types of activities do you enjoy?

- What don't you like about working at Nestle and what would you change?

- How many projects do you work on at once?

Nestle interview questions for experienced candidates:

- What kinds of things really get your excited?

- How do you communicate goals to subordinates?

- What negative thing would your last boss say about you?

- Tell about a problem that you solved in a unique or unusual way.

Top 5 tough Nestle interview questions examples:

- What did you do to prepare for this job interview?

- What percentage of your time is spent doing each function?

- Tell me a suggestion you have made that was implemented.

- Describe a situation in which you had to collect information.

- Try to define processes and methodologies you use in your job.

This list of typical Nestle interview questions (also Nestle Phone interview questions) contains

Video Conferencing, Individual, Competency Based, Behavioral, and Stress, Panel questions for

first and second interview.

Staffing

Job enrichmentNestle human resources provide the facility to right person on right place so that can create the

image in firm job enrichment. The long-term success of the Company depends on its capacity to

attract, retain and develop employees able to ensure its growth on a continuing basis. Each new

member joining Nestlé is to become a participant in developing a sustainable quality culture

which implies a commitment to the organization, a sense for continuous improvement and leaves

no place for complacency. Nestle provide more stimulating and interesting work that adds

variety and challenge to an employee's daily routine. This increases the depth of the job and

allows people to have more control over their work. Therefore, and in view of the importance of

these Nestlé values, special attention will be paid to the matching between a candidate’s values

and the Company culture.

Job enlargement

Job enlargement in nestle firm provide the large task and complexity to one worker its call job

enlargement. Job Enlargement is the horizontal expansion of a job. It involves the addition of

tasks at the same level of skill and responsibility. Contradicts the principles of specialization and

the division of labor whereby work is divided into small units, each of which is performed

repetitively by an individual worker. Thus, job enlargement seeks to motivate workers through

reversing the process of specialization. Nestle believe that a typical approach might be to replace

assembly lines with modular work; instead of an employee repeating the same step on each

product, they perform several tasks on a single item. In order for employees to be provided with

Job Enlargement they will need to be retrained in new fields which can prove to be a lengthy

process. There are several tasks available in nestle. A good worker can get opportunity to choose

his desire job or an efficient worker can do several jobs. Nestle provide this opportunity to the

workers which motivate them to work more efficiently.

Job rotationFlexibility is a requirement for ensuring a positive professional evolution. Staff may be requested

to move to other positions. Managers, especially international staff, may be asked to move to

other locations. International experience and participation in group development initiatives such

as GLOBE, SMPT and others can be acquired in all countries of the Group and are a requirement

for holding high-level positions. The development of expertise in specific areas of competence is

determinant for the Company’s success. Therefore job rotation should be practiced with caution.

Whilst job rotation might be useful under certain circumstances, it should not result in

weakening expertise in key areas of Nestle.

Training Process of Nestle

In Nestlé Bangladesh trainings are divided in several proportions; where 70%- On the job

training, 20%-Coaching, 10%- Class room training. On the job trainings are held in every

function, where employees learn by doing the job. In coaching the senior managers or skilled

employees provide the coaching and take care of their team. In the class room trainings are:

delivered in class rooms where trainers deliver interactive lectures.

This figure shows the employee’s work process in Nestlé Bangladesh. At first an

employee joins the company, works in his/her respective function to learn the job

Join

On the job traning

Set Objectives

Performance Evaluation

Find out the improvement areas

Training Need Assessment

Training

initially, after a certain period of time his/her respective supervisor set the objective for

him/her. When the objective is once set for an employee then he/she has to face

performance evaluation twice in a year, in the first half of the year respective supervisors

of the employee analyze the progress and mark the achievement of the KPI [Key

Performance Indicator] and guide him to attain the 100% of his/her objective by the end

of the year. Finally after the year ending another performance evaluation is done by the

supervisors and they find out the improvement areas of his/her subordinates and decide

what training will needed to improve the performance in the coming years. This

particular decision of training for performance improvement is known as Performance

Development Guide.

Training Need Assessment:

Training Need Assessment

Preparation

TrainingFeedback

Work on feedback for improvement

In Nestlé Bangladesh particularly Training Need Assessment is done and the training

programs are set upon the performance evaluation and the Performance development guide of

the employees. At beginning of the year an objective is set for every employee and then the first

review on the performance is occurred at the mid of the year; here the corresponding manager

checks how much of the given objective is achieved and gives feedback on the achievement.

Finally at the year end the total performance of the year is evaluated and from here the

development areas comes out. For developing that area the performance development guide is

prepared and the training team prepares the training according to that guide.

Trainings in Nestle Bangladesh:In a year most of the trainings are conducted to improve the efficiency of the employees. These

training programs are:

Communication Skill: This training mainly emphasizes on the corporate communication. In

different situations of different positions employees need to communicate in different layers of

the organization. In this training trainers are mainly the senior employees in the managerial

position. Most interesting aspect of this training is that, after the training session the trainers and

trainees arrange a role playing session to practice the skill in real life model.

Presentation Skill: Here employees are trained about the presentation skills which are very

necessary in day to day life. The trainers of this session are also the senior employees in the

management level or sometimes the training team brings experts for it. Especially for the

employees of the Nutrition function doctors are bought up by the training team. It is mostly class

room based training.

Training on Nutrition Awareness: Nestlé itself is very well-known for its nutrition related

products; as a result the company also arranges awareness session to aware the employees about

the nutrition in our day to day life. Mainly the nutrition specialists are welcome to conduct the

session. Along with that the company also arrange nutrition awareness program in the different

schools in the rural arrears of the country.

Everyday Coaching Awareness Session: This training program is mainly to get familiar with

the rules and regulation to conduct business in the food industry. As a wellbeing company Nestlé

is bound to maintain the compliance issues; as a result this training session mainly focus on the

existing and new rules imposed by the Government and WHO(world health organization). Along

with that Nestle also has its own principle to ensure the nutrition and quality factors for its

products.

Product Knowledge: Particularly this training is organized for the new joiners of the company;

in compare to world market the product line is not so extended in Bangladeshi market. However

day by day new products are being introduced in this region. As a result this training is arranged

with the help of marketing team by the HR training team for the new joiners.

Performance Appraisal

Nestle HR gives utmost priority and importance particularly in this field since It provides

a way to help identify areas for performance enhancement and to help promote professional

growth. It should not, however, be considered the supervisor's only communication tool. Open

lines of communication throughout the year help to make effective working relationships.

Each employee inside Nestle is entitled to a thoughtful and careful appraisal. The success of the

process depends on the supervisor's willingness to complete a constructive and objective

appraisal and on the employee's willingness to respond to constructive suggestions and to work

with the supervisor to reach future goals.

Performance Factors:

Nestlé’s seven performance factors are:

• Communication

• Customer Service

• Cooperation/Teamwork

• Quality and Nutrition

• Productivity/Core Organizational/Business Skills

• Job Knowledge/Technical Proficiency

• Professionalism

The three additional Performance Factors have been identified for employees in positions with

supervisory responsibility are:

• Performance Management

• Leadership

• Unit Achievement/Fiscal Management

Reinforcement/ Behavior Modification Theory:Measurement of employee job performance:

When negative consequences are attached directly to undesirable behavior

Positive Reinforcement:

When rewards are tied directly to performance

Performance Appraisal Rating:In this method, the performance appraisal rating is calculated and the points assigned in the

performance factor section are totaled and then divided by the number of performance factors to

determine the overall performance appraisal rating.

Appraiser’s Overview Evaluation:The Appraiser’s Overview Evaluation is a composite statement of the performance. In this

section the manager writes a narrative overview of the workers performance during the review

period.

Employee Self Appraisal:

Employee’s thoughts about performance are an important part of the Performance Management

Process. The Self Appraisal in the organization provides a tool for employees to participate in the

appraisal process. The purpose of the Employee Self Appraisal form is to obtain employees

comments regarding job strengths, developmental needs, and actions that might be taken to

improve performance.les

Reward and Employee Relations Team:

As a member of Reward and Employee Relations Team, employees join one of two expert

sub-teams, each with specific responsibility for business-wide strategic and operational remits.

As part of the Employee Relations sub-team, it provides business-wide advice and guidance to

line managers and the HR community on individual employee relations matters and to HR

Business Partners on broader employee relations and change management issues, as well as

developing and implementing policies and procedures in this area and undertaking relevant

project work. As part of the Reward sub-team, on the other hand, it focuses on maximizing

return on investment to deliver Reward that will motivate the employees to perform at the

highest level as well as managing overall Reward principles and processes including base salary,

incentives and Flexible Reward. Such motivating strategies are:

Performance Driven - The level of employees Reward is linked to the performance, hence

the highest performers will see the greatest Reward. There is also a direct link between

the performance of the business and the Reward we're able to offer

Competitive - Nestle benchmark all aspects of Reward to ensure that it offers all its

employees a competitive Reward package

Inclusive - Nestle Reward program is designed to reflect the valuable contribution which

every employee makes, not just senior managers

Flexible – They have made their top priority to allow its employees to tailor the Reward

they receive to their circumstances, whenever possible or practical

Findings and Recommendations

Type of Management

The day-to-day management of the Nestlé business is taken care of by our

Executive Board. As nestle is a decentralized company, its management team

follows a democratic leadership style. Management team of nestle is committed to

a strong work ethic, integrity and honesty, as well as compliance with applicable

laws and Nestlé principles. Nestle management team should concentrate more on

its advertisement activities. They should try to minimize their product price. Lastly

management team of nestle should keep their reputation by formulating continuous

innovation and hard work.

Practice of Job description and analysis:

The practice of job description as we have seen earlier is perfect. It means the way

Nestle represents what they want from an employee is very precise and the

candidates can be well-informed by going through the job description.

Source of Recruitment: Nestle is quite effective at sourcing the candidates. They follow almost every ways

which lead to find a good class of employees. But, they skipped one source and

that is finding candidates from former employees. They can reduce their training

and orientation cost by recruiting candidates from former employees.

Compensation and Other Fringe benefitsNestlé favors competitive, stimulating and fair remuneration structures offering an

overall competitive and attractive compensation package. Remuneration includes

salary, any variable part of remuneration as well as social, pension and other

benefits. Each operating company will establish a compensation practice taking

into account relevant external compensation levels as

Well as the requirement of internal fairness. It is recommended to undertake

regular surveys so as to gather relevant information on the remuneration levels

practiced at a local or national level.

Employee Turnover RatioGenerally on an average the employee turnover ratio is the least in Nestle. Because

on an average per employee’s service period is 13 years and 4 months. This is the

highest service time period for an individual in any MNC. So, they are in a

favorable condition in Employee Turnover Ratio.

Job satisfaction Job satisfaction is quite high in Nestle’s employees. The main reason for this is

the employees can shift their department quite easily according to their needs and

skills informing it to their immediate supervisor. So, Nestle is being able to keep

their employees satisfied.

ConclusionFor a company that will turn one hundred in a decade, Nestle has almost tried all of the

strategies there can be. Nestle company has expanded internationally, helped countries’

economies grow, be environmentally conscious and create joint ventures with other companies in

which enhanced Nestlé’s and these companies’ performance positively.