Life-long talent management AREVA HRD April 2009 Programme seniors DRH AREVA avril 2009 1
An integrated offer in the service of energy professionals Enrichment Fuel fabrication Reactors Renewable energies Chemistry Mining Recycling MOX fuel fabrication Used fuel treatment Services Transmission OTHER SOURCES OF ELECTRIC POWER Steadily growing recruitment figures Staff renewal Integration / Professionalization Distribution Front End Division Reactors and Services Division Back End Division Transmission & Distribution Division 2
Greater responsibility due to the long horizon of the group s atypical industrial activities Making integration and mobility an opportunity for every individual Anticipating and raising awareness of job evolution Concertation Being a committed and responsible local actor Making training an instrument of professionalization 3
Managing employment, training and mobility in the AREVA group: 4 main strategies, focus on contracts 2004 Faire Mobility de l intégration Agreement et de la mobilité une Professional mobility must constantly opportunité focus on recognizing, retaining and maximizing staff pour chacun members know-how. Being a committed and responsible local actor Concertation The employment management model developed by the AREVA group is contract-focused; its objectives are indissociable and complementary. 2005 Anticiper GPM Agreement et rendre sensible Jobs Observatory à l évolution Severaldes of the 32 métiers jobs monitored in the AREVA group s Jobs Observatory were singled out. 2006 Faire Training de la Agreement formation un instrument AREVA wants to facilitate the de professionnalisation implementation professionalization career paths that meet the expectations of both the group and its employees. 4
Steady progression from industrial relations to social policies Career development & equal opportunities Social policies Disability European Group Works Council Industrial relations Restructuring methodology & social responsibility Central trade union coordinators Forward-looking management of jobs and skills Mobility Life-long education and training Group Retirement Scheme 5
Why take an interest in older workers? Four main reasons Population trend Employment and pensions Skills and resources Older workers world? 6
Why take an interest in older workers? Four main reasons The numerical significance of older workers and the wave of retirements expected over the next few years Les risques de perte de compétences et de rareté des talents 7
Why take an interest in older workers? Four main reasons L importance quantitative des seniors et la croissance des flux de départ au cours des prochaines années The risk of losing skills and that of shortage of talent 8
Shortage of talent «Retenir les compétences des seniors «Retaining older workers est devenu un enjeu alors que des skillsgénérations générations Flexibility moins and moins nombreuses part-time nombreuses arrivent arrivent sur le marché du travail. Les sur employment le marché du travail. in Australia, Les entreprises entreprises leur proposent une évolution leur proposent une évolution leurs de instruments leurs fonctions for «et retaining une flexibilité older accrue fonctions workers et une flexibilité accrue des des postes skills de travail.»» postes de travail.» The Advertiser, 14/03/2008 : "Employment : Flex it The Advertiser, 14/03/2008 : "Employment : for workers" Flex it for workers" «Les pays asiatiques doivent affronter le double «Asian défi de countries la pénurie are de having talents to meet due aux the départs challenge massifs of shortage des boomers of talent due retraite, to the mais massive aussi wave à la globalisation. of retirements Celle-ci of baby-boomers, appelle à la but formation also Schemes to globalization. de managers for training Celle-ci capables and appelle reemploying vue globale de managers older et d'œuvrer workers pables dans d'avoir in order divers une to vue d'avoir à la formation une types globale cope de contrées with et d'œuvrer shortage pour leur dans of compagnie. divers talent types and Elle de appelle aussi contrées au réemploi pour leur des des globalization in China seniors, septuagénaires older workers, including compris, 70-year-olds, car la mentalité for the mindset japonaise still s'oppose against toujours immigration. à» Shanghai Daily, 25/03/2008 l'immigration. : "Firms» face global shortage o Shangai talent«; Daily, China 25/03/2008 Daily, 25/03/2008 : "Firms : "Expertise face global of older shortage of talent" workers ; can China prove Daily, beneficial" 25/03/2008 : "Expertise of older workers can prove beneficial" 40% of employees in the American nuclear sector will reach retirement age United over the States: next five nuclear years sector années exposed in the short term World Nuclear Industry Status Report 2007 «During the next two decades, two people «in During Canada the will next be two reaching decades, retirement two people age in for Canada every new will be person reaching entering retirement the work age for force. Good every The news good person in news Canada: entering is that resources the not work all boomers force. constraints The will want, good are news or be reported is financially that not to all able, be boomers conveniently will want, to retire. or curbing be financially» retirements able, to The Globe and Mail, retire. 07/01/2008» : "The seven The rules Globe of and engagement Mail, 07/01/2008 for a : diversified "The seven work rules of engagement for a force" diversified work force" 9
Population trend and labour shortage? What actions does, and will, HR take to manage future capacity loss due to an ageing work force in your company? Percentage of respondents Conduct internal training and qualify people for other job groups than their own (cross-job qualification) Global Northern America Latin America Europe Africa Emerging EstablishedPacific Asia Asia Region 63 69 55 61 67 64 48 63 52 46 63 64 60 56 36 50 Implement health management and wellness programs 62 67 64 59 58 66 44 72 50 57 46 44 49 48 38 61 Offer employment options to attract or retain semi-retired or retired employees 61 73 52 46 72 52 43 82 28 33 21 22 23 40 22 35 Use external recruiting 56 61 63 58 53 48 34 50 54 58 55 58 58 46 34 49 Use increases in productivity to compensate for a diminishing work force 48 48 59 43 49 42 53 52 40 36 46 46 33 50 40 32 Future (2010 2015 Present (2007) Sources: Proprietary Web survey; BCG/WFPM analysis 10
Why take an interest in older workers? Four main reasons L importance quantitative des seniors et la croissance des flux de départ au cours des prochaines années The pension financing issue Balance of schemes with emphasis on sharing Prolongation of working life on the exclusive initiative of the workers involved Les risques de perte de compétences et de rareté des talents 11
Why take an interest in older workers? Four main reasons L importance quantitative des seniors et la croissance des flux de départ au cours des prochaines années Les risques de perte de compétences et de rareté des talents Social impact of longer careers: relationship with the firm, working conditions, intergenerational collaboration 12
Market trends Marketing and older workers: consumption and segmentation «Elders» 85 years and over «Retirees» 75-85 ans The «Liberated» 60-75 ans «Masters» 50-60 ans Matures Gold 73 83 ans Matures Silver 63 73 ans Baby-Boomers 53 63 ans Baby-Bloomers 43 53 ans Sources: senioragency Sources : seniorstrategic 13
We do not devote enough attention to the challenges of managing our «older workers worlds» Specific qualities Potential Expertise Resource beyond employment contracts? Ergonomics and health Working conditions Working time Pay Options regarding health, retirement and providing for the future Approach regarding training Contributing to the integration and training of third persons 14
Anticipating means managing longer careers more effectively Our objectives To give experienced engineers and managers a clear idea of career develpment opportunities To ensure that skills are transferred Key issues Encouraging a change in mentalities towards anticipating longer careers, Exploring the planned career termination in a context where the undertaking is less in a position to retire employees Involving older workers in skills transfer and in the sharing of experience Providing support through a network of «focal points» and appropriate education 15
Our programme is based on specific processes and tools «A conspicuous structured approach with a view to sustainably managing our key skills in a context of staff renewal and steady growth» A 2-phase monitoring process 1. Career interview 2. Experience interview + A network of professionalized focal points + A setup for extending collaboration = A distinctive system that is consistent with AREVA resource challenges 16
The career interview aims to open up opportunities and provide personalized support. The reasons for this procedure: The career interview, which is quite distinct from the annual interview, aims to: take account of expectations and turn specific qualities to good account more effectively plan for the future and obtain a clear outline of the final stage in the employee s career How is this achieved? 1. Through the principle of individual growth 2. Through the support provided by the focal point 3. Through a plan of action that is arrived at jointly and formalized and is adaptive 17
An opportunity to propose a specific target Definition: the beneficiary 1. has experience and expertise to share. + 2. is likely to hold at least 2 posts before his/her career ends. + 3. is about ten years from retirement, over which he/she is becoming «sovereign». 18
Career interview the roles of the various actors Ensures that the focal point is trained Launches and guides the process Integrates and develops the data that emerges from the interview in the People Review HR Older worker Focal point Conducts the interview and coaches the older worker Launches a plan of action which has been agreed with the older worker and with N+1/N+2/HR Monitors the action plan Devotes thought to a career development plan and to the most suitable ways and means of implementing it Takes part in the definition of the action plan Supports his/her staff member in the implementation of the plan Manager N+1 19
The experience interview is scheduled systematically for D-24/36 with a view to organizing the transfer of skills The reasons for this procedure To strike a balance between the care devoted to integrating the newcomer and that devoted to the older worker s departure To ensure that the retiree s knowledge is formalized and passed on before he/she retires. How is this achieved? 1. By organizing the formalization and transmission of knowledge 2. By confirming the date on which the employee s career is due to end 3. By offering the option of continuing to work after retirement 20
The programme is conducted by a network of actors: the career/experience focal points Profile Mission Whether he/she is a manager or an HR officer, the Focal Point is a recognized professional who has extensive knowledge of professions and experience in career management and who is interested in knowledge management issues Is involved in a community of focal points Coaches the older worker in reflecting on his/her career Manages an annual target of ten career interviews Activities Contributes to the devising of an action plan that is agreed between the older worker, the Management and HR following the career interview Helps to ensure personalized follow-up Works with N+1 to ensure that the career interview runs smoothly, advises on ways and means of formalizing and transmitting experience 21 21
Custom-tailored teaching tools providing specific support for the Focal Points Online information on retirement The support of a collaboration tool Guides, tool sheets, models, tests a hardcopy kit, a CD ROM for preparing and following up the career and experience interviews 22 22
Sharepoint: a dedicated collaboration tool Senior worker focal points Simple search Help Advanced search List of libraries Schedule, project tasks, contacts, Recycle bin Restores or definitively deletes documents and files that have been deleted. Zone personnalisable Exemple : Liste des tâches, listes des documents applicables à l utilisateur courant 23 23
A system for extending collaboration beyond the statutory retirement age 24
Competition risks The outlook on the nuclear market is creating greater tension on the associated skills market. A nuclear competence «aftermarket» is clearly emerging. 25 25
On the employer s initiative We have devised two complementary setups for an approach that is necessarily selective 1 2 CONTINUATION OF THE EMPLOYMENT CONTRACT NEW «POST- EMPLOYMENT» COLLABORATION SETUP Type of relationship Nature of missions Pay The relationship inherent in the employment contract is maintained Missions presupposing authority over teams, special representation of the group, signatory power Unchanged Ad hoc flexible collaboration Expertise, project management, specific management exercises, training Providing of services A necessarily selective approach within the framework of clear-cut sub-contracting of skills 26
A new framework for the post-employment relationship To interest, reassure and retain employees A package of Premium services To ensure security for the undertaking. Between exclusivity and noncompetition. To ensure availability of resources To organize a viable, official and exemplary solution A series of available resources. federated within a «club»,. supplied through the career interview A system open to partnerships (input and use of the resource) Externalized support in the form of services dedicated to club members Programme seniors DRH AREVA décembre 2008 27
Organizing post-retirement collaboration to cope with a resource challenge Possible partners or sub-contractors A «club» of «co-opted» former employees A code of business ethics Scientific leadership Former employees now «entrepreneurs» (limited-liability sole trader enterprises, sole partnerships ) Technical expertise, Training Services provided Funds flow An external partner 28
A centralized solution with advantages + Optimization of exclusivity and noncompetition over resources Operator specialization (expertise + own network + centralization) + Skills sub-contracting versus capacity subcontracting Non-exclusive use of the internal resource and specification of the facility 29
Overall approach to be initiated Focal points CAREER INTERVIEW N+1 EXPERIENCE INTERVIEW HR POST-RETIREMENT COLLABORATION The various stages must be launched simultaneously and visibly. 30
From the policy on older workers to the programme for older workers 2008 2009 Launching of policy on older workers 9 JUNE 2008 Additional training session Information sessions (Focal points and HR) 1st quarter 2008 2 nd quarter 2008 3rd quarter 2008 4th quarter 2007 1st quarter 2009 Presentation of the project to the Management Committees of firsttier subsidiaries 1 st lists of focal points Launching of programme for older workers Training sessions SEPTEMBER 2008 HR Training sessions (NP) Training in coaching Deployment in Germany 31
The challenge of the high collaboration potential of the «older worker ecosystem» Governance Older workers network HR network Focal Point Community N+1 network Support and network organization Production EXPERCONNECT AREVA Alumni Community Alumni Partner Community Symbol Motivation Development Exclusivity/noncompetition Retaining noncontractual employees 32
In conclusion An approach for better life-long career management + An approach for ensuring that skills are transferred in the staff renewal context + An opportunity for sustainably mobilizing our key resources = A coherent whole that is adapted to the resource challenges in our industry 33