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Training and Development at Nestle

Submitted To: Prof. L. K. Tyagi

Submitted By: Aarti Dagar Gurpreet Kaur Deepika Dahiya Harshit Anand Abhishek Monga

INTRODUCTION
Nestl is the world's leading Nutrition, Health and Wellness company. Our 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. The Company was founded in 1866 by Henri Nestl in Vevey, Switzerland, where our headquarters are still located today. The company employ around 2,80,000 people and have factories or operations in almost every country in the world. Nestl sales for 2009 were CHF 108 bn. The Nestl Corporate Business Principles are at the basis of our Companys culture, developed over 140 years, which reflects the ideas of fairness, honesty and long-term thinking.

Mission: Nestl strives to be a leader in nutrition, health and wellness, with the belief that good food is central to health and wellness. Vision: Good Food is the primary source of Good Health throughout life. We strive to bring consumers foods that are safe, of high quality and provide optimal nutrition to meet physiological needs.

Culture at Nestl and Human Resources Policy Nestl culture unifies people on all continents. The most important parts of Nestls business strategy and culture are the development of human capacity in each country where they operate. Learning is an integral part of Nestls culture. This is firmly stated in The Nestl Human Resources Policy, a totally new policy that encompasses the guidelines that constitute a sound basis for efficient and effective human resource management. People development is the driving force of the policy, which includes clear principles on non-discrimination, the right of collective bargaining as well as the strict prohibition of any form of harassment. The policy deals with recruitment, remuneration and training and development and emphasizes individual responsibility, strong leadership and a commitment to life-long learning as required characteristics for Nestl managers.

NESTLE INDIA Nestl Indias first manufacturing facility was set up in 1961 in Moga, Punjab, to help develop milk production in the region. The company has since developed the area around the Moga factory, setting up milk collection points and training farmers to improve productivity and quality. Nestl in India offers consumers brands such as Maggi, Nescaf, Nestl Actiplus Dahi,Milkmaid and Nestea After nearly a century-old association with the country, today, Nestl India has presence across India with 7 manufacturing facilities and 4 branch offices spread across the region. Nestl Indias first production facility, set up in 1961 at Moga (Punjab), was followed soon after by its second plant, set up at Choladi (Tamil Nadu), in 1967. Consequently, Nestl India set up factories in Nanjangud (Karnataka), in 1989, and Samalkha (Haryana), in 1993. This was succeeded by the commissioning of two more factories - at Ponda and Bicholim, Goa, in 1995 and 1997 respectively. The seventh factory was set up at Pantnagar, Uttarakhand, in 2006. The 8th Factory was set up at Tahliwal, Himachal Pradesh, in 2012. The 4th branch offices in the country help facilitate the sales and marketing of its products. They are in Delhi, Mumbai, Chennai and Kolkata. The Nestl India head office is located in Gurgaon, Haryana. Head Office Nestl India Limited Nestl House Jacaranda Marg, 'M' Block, DLF City, Phase II, Gurgaon - 122002 (Harayana) Tel.: 0124 - 2389400 Registered Office Nestl India Limited M-5A, Connaught Circus, New Delhi - 110001 Tel.: 011- 41514444

CURRENT STATUS Around 254,000 people working. Operating in more than 83 countries People, brands & products are its key Runs 509 factories all over the World

OBJECTIVES The objectives are: To study the training and development practices in Nestle To understand the utility of training and development programme for Nestle

MANAGEMENT OF NESTLE

Factory Manager

Business Support

Standardization Manager

Liquid Dairy Manager

Finance & control Manager

Powder & noodle Manager

IT Manager

Engineering Manager

Logistics Manager

Human Resource Manager

Quality Assurance Manager

Application Group

Technical Training

IP Manager

SHE Manager

Nestle HR Policy: Nestl culture unifies people on all continents. The most important parts of Nestls culture is the development of human capacity. Learning is an integral part of Nestls culture is firmly stated in The Nestl Human Resources Policy. HR policy have includes clear principles on non-discrimination, the right of collective bargaining as well as the strict prohibition of any form of harassment. The willingness to learn is therefore an essential condition to be employed by Nestle. Mostly training is done on-the-job Guiding and coaching is part of the responsibility of each manager. Formal training programs are generally purpose-oriented and designed to improve relevant skills and competencies.

TRAINING PROGRAMS AT NESTLE

1) Literacy Training: Most of Nestls people development programmes assume a good basic education on the part of their employees. However, in a number of countries, they have decided to offer employees the opportunity to upgrade their essential literacy skills. A number of Nestl companies have therefore set up special programmes for those who, for one reason or another, missed a large part of their elementary schooling. These programmes are especially important as they introduce increasingly sophisticated production techniques into each country where they operate. As the level of technology in Nestl factories has steadily risen, the need for training has increased at all levels. Much of this is on-the-job training to develop the specific skills to operate more advanced equipment. But its not only new technical abilities that are required. Its sometimes new working practices. For example, more flexibility and more independence among work teams are sometimes needed if equipment is to operate at maximum efficiency. In short: Nestle Offer employees the opportunity to upgrade their essential literacy skills This program is for those who had missed a large part of their elementary schooling These programs are especially important as they introduce increasingly sophisticated production techniques Much of this is on-the-job training to develop the specific skills to operate more advanced equipment

2) Nestl Apprenticeship Programmes: Apprenticeship is a system of training a new generation of practitioners of a skill. Most of their training is done on the job while working for an employer who helps the apprentices learn their trade, in exchange for their continuing labor for an agreed period after they become skilled. Theoretical education may also be involved, informally via the workplace and/or by attending vocational schools while still being paid by the employer. Apprenticeship programmes have been an essential part of Nestl training since the companys foundation in 1867. In addition to running its own apprenticeship programmes, in 1959 Nestl was also one of the founding members of Swisscontact, a non-governmental organisation dedicated to training people in developing countries. Since its creation, Swisscontact has trained

around 200 000 apprentices and a total of over 700 000 persons in total. In the 1960s, as Nestl companies began to experience strongly accelerating growth rates, it was clear that they would have to rely more and more on locally trained people at all levels An essential part of Nestl training where the young trainees spent three days a week at work and two at school. At the end of training, many students were hired away by other companies which provided no training of their own.

3) Local Training Programmes Two-thirds of all Nestl employees work in factories, most of which organise continuous training to meet their specific needs. In addition, a number of Nestl operating companies run their own residential training centres. The result is that local training is the largest component of Nestls people development activities worldwide and a substantial majority of the companys 240 000 employees receive training every year. Ensuring appropriate and continuous training is an official part of every managers responsibilities and, in many cases, the manager is personally involved in the teaching. For this reason, part of the training structure in every company is focused on developing managers own coaching skills. Additional courses are held outside the factory when required, generally in connection with the operation of new technology. Two-thirds of all Nestl employees work in factories they need continuous training to meet their specific needs. So many facilities run their own residential training centers. Result is that local training is the largest component of Nestls training programs. Substantial majority of the companys 240000 employees receive training every year. The manager is personally involved in the teaching. They start with continuation training for ex-apprentices who have the potential to become supervisors or section leaders. Through several levels of technical, electrical and maintenance engineering as well as IT management. The degree of specialists varies considerably, reflecting the availability of trained people on the job market in each country. The scope of local training is expanding. So many Nestl companies have appointed corporate training assistants in this area.

4) International Training Nestls success in growing local companies in each country has been highly influenced by the functioning of its International Training Centre, located near our companys corporate headquarters in Switzerland. For over 30 years, the Rive-Reine International Training Centre has brought together managers from around the world to learn from senior Nestl managers and from each other. This has also created a functioning network of managers around the world based on shared experiences and a common corporate culture that is strong among people from over 100 countries. Its providing services for over 30 years. Managers from around the world to learn from senior Nestl managers and from each other. Country managers decide who attends which course. Classes are carefully composed to include people with a range of geographic and functional backgrounds. Typically a class contains 1520 nationalities. The Centre delivers some 70 courses. Attended by about 1700 managers each year from over 80 countries. Only 25% of the teaching is done by outside professionals, as the primary faculty is the Nestl senior management. The programs can be broadly divided into two groups: Management courses Executive courses

Management courses These account for about 66% of all courses. The participants have typically been with the company for four to five years. The intention is to develop a real appreciation of Nestl values and business approaches. These courses focus on internal activities

Executive courses these classes often contain people who have attended a management course five to ten years earlier. The focus is on developing the ability to represent Nestl externally and to work with outsiders. It emphasizes industry analysis, often asking: What would you do if you were a competitor?

Training Need Analysis In Nestle: In Nestle India Ltd., We analysed the needs of many employees working there for different training programmes. This TNA is based on the strengths and weaknesses of employees and different training programmes were suggested accordingly.

Training Need Analysis

Organisational Level Individual Level Operational Level

Training is essential for each level of organisation, whether individual or operational. The analysis of their needs for training is very important. According to this analysis, the different training programmes are assigned to different employees. Therefore, we can say that training analysis looks at each aspect of an operational performance so that the initial skills, concepts and attitudes of the human elements of a system can be effectively identified and appropriate training can be specified. The organisational activities are performed by the personnel of the organisation. The manpower is the extreme power in any organisation. Their continuous improvement is very necessary in order to compete in global business markets.

To meet this objective, the training needs are analysed and evaluated for all employees at all levels. 1. TNA at Organisational Level: According to many training experts, attaining the objectives of the business should be the ultimate concern of any training and development effort. Therefore, conducting an organizational needs analysis should be the first step in effective needs assessment. It begins with an examination of the short and long-term objectives of the organization and the trends that are likely to affect these objectives. 2. TNA at individual level: A person needs analysis identifies gaps between a person's current capabilities and those identified as necessary or desirable. Person needs analysis can be either broad or narrow in scope. The broader approach compares actual performance with the minimum acceptable standards of performance. The narrower approach compares an evaluation of employee proficiency on each required skill dimension with the proficiency level required for each skill. The first method is based on the actual, current job performance of an employee; therefore, it can be used to determine training needs for the current job. The second method, on the other hand, can be used to identify development needs for future jobs. 3. TNA at operational/job level: The specific content of present or anticipated jobs is examined through job analysis. For existing jobs, information on the tasks to be performed (contained in job descriptions), the skills necessary to perform those tasks (drawn from job qualifications), and the minimum acceptable standards (obtained from performance appraisals) are gathered. This information can then be used to ensure that training programs are job specific and useful. The process of collecting information for use in developing training programs is often referred to as job needs analysis. In this situation, the analysis method used should include questions specifically designed to assess the competencies needed to perform the job. In brief, TNA is performed for the officers & above officer level in the organisation. For other level of employees, different other type of analysis is made. TNA is conducted in any of the following situations: Performance problems Anticipated introduction of new system, task or technology A desire by the organization to benefit from a perceived opportunity This TNA is done for the analysing the requirements of Nestle employees regarding various skills.

TNA Target Areas in Nestle: In Nestle, Training Needs Analysis is concerned with the employees of an organisation. It deals in improving the capabilities of employees. Basically, TNA is based on 5 major key questions, i.e. what are the future goals and requirements of an organisation, What are the different courses or training programmes available there and what are the current capacity or performance standards of the employees. Therefore, TNA has 5 key areas, which are:

Skills that organisation need to have in future

What skills & competencies does employees require to achieve business goals.

What are the key area to be developed in employees

What are the major programmes available in organisation

Formulate company & individual goals

Need for TNA in Nestle: Training Needs Analysis (TNA) is the formal process of identifying the training gap and its related training need. It is very essential because:

To Identify the deficiencies

Banch mark for evaluation of training

Reasons for Training Need Analysis

To make sure that training is given to right people

To increase the motivation of employees

In Nestle, Training need analysis is conducted to determine whether resources required are available or not. It helps to plan the budget of the company, areas where training is required, and also highlights the occasions where training might not be appropriate but requires alternate action. Therefore, "training needs analysis", is the systematic method of determining if a training need exists and if it does, what training is required to fill the gap between the standard and the actual performance of the employee. Therefore, training needs analysis is:

Systematic method of determining performance discrepencies

Causes of performance discrepncies

CONCLUSION

The maximum overall training requirement of Nestle employees is for Communication skills for Presentation. They need to improve their way of presenting themselves in & outside the organisation. They also need to improve their skills to manage time in performing various activities. The Computer skills are also a part of their training need, as 10-20 employees need to be trained in computer skills. As they are a part of nestle, they are to be in contact with various persons and problems, so their skills regarding negotiation & Problem Solving should be improved. The employees also need some skills in costing, technical workshops, innovation & renovation etc. but the no. of employees under these requirements ae very less.

Nestl do this because they believe it pays off in the long run in their business results, and that sustainable long-term relationships with highly competent people and with the communities where they operate enhance their ability to make consistent profits. It is important to give people the opportunities for life-long learning as at Nestle that all employees are called upon to upgrade their skills in a fast-changing world. By offering opportunities to develop, they not only enrich themselves as a company, they also make themselves individually more autonomous, confident