Hiring/Training Initative-Kellogg. Kellogg Company. Grand Rapids Plant Bakery

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1 Hiring/Training Initative-Kellogg Van McMullan Kellogg Company Training Manager Grand Rapids Plant Bakery 1

2 Agenda Purpose Plant Overview Demographics Hiring and Selection Training Process What Went Well? Do Differently s Challenges Going Forward

3 Purpose New Line New Product Line Retirement Implications

4 Grand Rapids Bakery Plant Overview

5 Grand Rapids History 1893: Edsko Hekman produces baked goods in Grand Rapids 1945: The Grand Rapids Bakery facility was constructed (three ovens) 1964: First Pop Tart produced d at Grand Rapids Bakery 1979: Grand Rapids Plant expansion from three ovens to seven 2001: Kellogg purchases Keebler 2004: Grand Rapids Pop Tart production goes 24/7 on both lines 2011: Expanded Line #2 Pop Tart capacity by 33% -- Line #2 2011: Installed Pastry Crisp Line #1 15.3M lbs

6 Grand Rapids Plant Plant size: 585,000 square feet Site plan 22 acres / potential for rail unloading Flow-through warehouse Unionized i Facility BCTGM Products ~ 106 SKUs: Pop-Tarts - 8ct, 12ct, 16ct, 80ct Vend, UK, Canadian Pastry Crisps -10ct, 24ct, 30ct, Canadian Cookies Vienna Finger, ELFudge, Scooby Crackers Wheatables, Mini Club, Custom, Breadsticks, Townhouse Toppers Cereal Cracklin Oat Bran

7 *NEW* Oven 1 Oven 2 Oven 7 Pastry Crisps Pop Tarts Pop Tarts Fruit Crisp Wrapping (Automated) Line 2 Packing Line 7 Packing Fruit Crisp Cartoning (5Ct) (Hand Pack Operation) 8 Count 12 Count 8 / 10 Split 12 Count 12 Count Fruit Crisp Casing & Palletizing i (Automated) 12 Ct 8 / 12 Split 1 Count Sampling 8 / 16 Split 80 Count Packing 16 Count 12 / 16 Split

8 Snacks Production Complexity Oven 4 Oven 5 Oven 6 Graham Meal Meal Toting Cracklin Oat COB Snack Stix Bran Totes Sargento Breadsticks Vienna Fingers Breadstick Bagging Bug Bites Scooby Bones Wheatables EL Fudge Custom Rounds Line 4 Sandwich Cookie Packing Bag-in-Box (Shared btw Lines 5 & 6) Custom Prod. Packing

9 Demographics Grand Rapids Plant: Total GR Employment: 507 employees 66 Salaried 441Union Total New Hires in last two years: 186 Total Employees between age 50 & 60: 240 Total Employees over 60: 51 Total Employees Retirement Eligible: 161 (32%) 9

10 Demographics Cont., 507 Employees: 0.2% are Traditionalists 61% are Baby Boomers 28% are Generation X 10.8% are Millennials 10

11

12 Generational Overview Traditionalists (born before 1945) 0.2% of current workforce The group is more important than the individual Listen attentively Duty, honor, country Dedication, sacrifice Show respect

13 Generational Overview Baby Boomers (born ) 1964) 61% of current workforce Workaholics Over 35 million Baby Boomers will be leaving the workplace in the next 10 to 15 years (US Census) Get a job Visible success (plaques, certificates, Cadillac) Tend to assume their identity when they enter the Tend to assume their identity when they enter the workplace

14 Generational Overview Generation X (born ) 28% of current workforce Prove it to me Tend to question authority Their heroes are people they know They witnessed an end to life time employment Most loyal to individuals, not the organization T d t th i id tit h th l th Tend to assume their identity when they leave the workplace

15 Generational Overview Generation Y ( Millennials) (born ) 1994) 10.8% of current workforce Instant gratification Recognize them as individuals Raised as their parent's friend Find a job that makes you happy Half of Millenials would rather have no job than a job they don t like (PEW) Adultoescence

16 Hiring Process Prescreening Applications Review Interview Process Selection Criteria

17 Training Process 90 Day Probationary Period Week Long Orientation Use of Subject Matter Experts Use of Alchemy System 30, 60, 90 day Evaluation Intervals

18

19 Training Process Pastry Crips Product Line: Needs Analysis Employees Selected from all 3 shifts to train Blended training (classroom/on the job)

20 What Went Well? Tracking Focused Evaluation Process Retention (only 21 terminations)

21 Do Differentlys More focus on expectations More focus on go/no go decisions during probationary period

22 Challenges Going Forward Blending Differences (generational, seniority) Total workforce Training Strategy Tracking

23 Items That Measure Employee Engagement Overall, I am extremely satisfied with Kellogg Company as a place to work I would recommend Kellogg as a great place to work I rarely think about looking for a job with another company I am proud to work for Kellogg Company

24 QUESTIONS?

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