GEOGRAPHIC DIVERSITY · enhancing geographic diversity throughout the MAERSK company . A...
Transcript of GEOGRAPHIC DIVERSITY · enhancing geographic diversity throughout the MAERSK company . A...
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GEOGRAPHIC DIVERSITY
enhancing geographic diversity throughout the MAERSK company
A PRESENTATION BY MAERSK MANAGERS JONATHAN BANNICK, TARA GHASSIMEKIA, SAM TANNER, AND DEMETRA XENOS
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PURPOSE DEFINES ALL THAT WE
STRIVE TO ACHIEVE.
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3 overview | remix | goals | strategies | measurement | cost | summary | appendix
CRUX | WHAT’S OUR PURPOSE?
The Maersk Group must sustain a culture of UNITY and INTERACTION
between all employees.
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“OUR MENTALITY WAS DANISH, OUR WAY OF THINKING WAS
DANISH, OUR LEADERSHIP TEAM
WAS DANISH, OUR TALENT
PROGRAMS WERE ONLY DANES, OUR TRAINEE PROGRAM WAS
ONLY DANES.” - BREUM
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5 overview | remix | goals | strategies | measurement | cost | summary | appendix
CURRENT AREAS FOR IMPROVEMENT
I) DIVERSITY lack of geographic diversity pursuit & definition of diversity
II) TURNOVER RATE expectations lack of passion
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DIVERSITY IS IMPORTANT. BUT HOW DO YOU
DEFINE THE CONCEPT?
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7 overview | remix | goals | strategies | measurement | cost | summary | appendix
WHAT IS DIVERSITY? | P.E.M.
DIVERSITY
MENTAL EMOTIONAL PHYSICAL
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8 overview | remix | goals | strategies | measurement | cost | summary | appendix
WHAT IS DIVERSITY? | P.E.M.
PHYSICAL
- Race/Color - Sex/Age - Location
EMOTIONAL
- Personality - Values - Relationships
MENTAL
- Thought - Education - Goals
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WE MUST CONSISTENTLY
REMIX OUR STYLE TO KEEP UP WITH INDUSTRY & ENVIRONMENTAL
CHANGE.
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10 overview | remix | goals | strategies | measurement | cost | summary | appendix
REMIX | EXCEEDING THE EXPECTATION
DIVERSITY TURNOVER
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11 overview | remix | goals | strategies | measurement | cost | summary | appendix
REMIX | EXCEEDING THE EXPECTATION
DIVERSITY TURNOVER
RECRUIT RECOGNIZE RETAIN
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12 overview | remix | goals | strategies | measurement | cost | summary | appendix
REMIX | EXCEEDING THE EXPECTATION
RECOGNIZE
physical
The Key Markets
diversity
IAP
diversity/turnover
emotional
RECRUIT RETAIN
The Maersk Reunion
turnover
mental
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13 overview | remix | goals | strategies | measurement | cost | summary | appendix
GOALS
RECRUIT
employees in underrepresented demographics by targeting booming markets that are key to the growth of the company as a whole.
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14 overview | remix | goals | strategies | measurement | cost | summary | appendix
GOALS
RECOGNIZE
the importance of diversity across the company by instilling programs that foster self-growth and cultural awareness.
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15 overview | remix | goals | strategies | measurement | cost | summary | appendix
GOALS
RETAIN
high performing employees by creating opportunities to expand their networks and climb the corporate ladder.
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16 overview | remix | goals | strategies | measurement | cost | summary | appendix
GOALS
RECOGNIZE
RECRUIT
RETAIN
employees in underrepresented demographics by targeting booming markets that are key to the growth of the company as a whole.
the importance of diversity across the company by instilling programs that foster self-growth and cultural awareness.
high performing employees by creating opportunities to expand their networks and climb the corporate ladder.
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START FROM THE BEGINNING.
RECRUIT EMPLOYEES THAT ARE
DIVERSE.
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18 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECRUIT | THE BIG 5
BIG 5 COUNTRIES IN WORLD TRADE
CHINA
U.S.
GERMANY
JAPAN
FRANCE/UK
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19 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECRUIT| SELECTED GROWTH MARKETS
MARKETS
BRAZIL
RUSSIA
INDIA
LATIN AMERICA
AFRICA
CHARACTERISTICS
• Low labor cost
• Resource rich
• Growth-motivated
• First-mover advantage
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BUT WHY SHOULD WE
RECRUIT FROM THESE MARKETS?
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21 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECRUIT | THE REASONS
Building foreign
relationships
Integration & appreciation of market diversity
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22 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECRUIT | PROJECTIONS
78,300 total number of employees from OIL + LINE + SVITZER + APM +
DAMCO + TANKERS
~4% average expected growth rate across all MAERSK subsidiaries
through 2020
153,821 expected TOTAL number of employees by 2020
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23 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECRUIT | PROJECTIONS
25% percent of new hires from selected key MARKETS
32,821 expected number of NEW employees by 2020
10% percent of upper divisional
employees from “Big 5”
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HOW DOES MAERSK
RECOGNIZE DIVERSE EMPLOYESS DESPITE
DIFFERENCES?
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25 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECOGNIZE | THE NUMBERS
70% find that “Leadership in my company is genuinely committed to attracting, developing, & keeping a diverse work force.”
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26 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECOGNIZE | 21ST CENTURY
GLOBALIZATION LOCALIZATION + =
“GLOCALIZATION”
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27 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECOGNIZE | PSS + LOCALIZATION
identification
needs of the firm
needs of employee
PSS TALENT MGMT
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28 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECOGNIZE | IAP + GLOBALIZATION
International
Acceleration
P rogram
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29 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECOGNIZE | IAP + GLOBALIZATION
DENMARK
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30 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECOGNIZE | STRUCTURE
HR
PSS IAP
• Talent management • Employee emplacement • Scenario planning
• Mentoring • Small teams • Single department • Medium to High
Performance Employees
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THE MAERSK GROUP IS
GROWING. HOW DO WE
RETAIN OUR SENSE OF FAMILY?
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THE REUNION
32 overview | remix | goals | strategies | measurement | cost | summary | appendix
RETAIN | THE MAERSK REUNION
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35-40 diverse workshops
33 overview | remix | goals | strategies | measurement | cost | summary | appendix
RETAIN | THE MAERSK REUNION
2,500 employee large event
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WHAT – Annual 7-day event – Intensive training and cultural education – Unite high-performing leaders across units
WHO – Rotation of high-performers – % quota from every level
• Larger % quota from new employees
34 overview | remix | goals | strategies | measurement | cost | summary | appendix
RETAIN | THE MAERSK REUNION
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Maersk Company Culture
Relationship Building
Self Growth
35 overview | remix | goals | strategies | measurement | cost | summary | appendix
RETAIN | THE MAERSK REUNION
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“WE EXPECT 3 THINGS OF OUR
LEADERS.
ONE IS TO DELIVER RESULTS. TWO IS TO BE A GOOD &
INSPIRING LEADER. THREE IS TO LIVE THE
VALUES OF THE ORGANIZATION.” - ALLEN
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Company Values
Team Building
Leadership Development
Diversity Personal Growth
Conflict Resolution
Maersk Family
THE MAERSK REUNION 7 THEMES
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HOW DO YOU MEASURE
THE IMPACT OF INNOVATION?
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39 overview | remix | goals | strategies | measurement | cost | summary | appendix
KEY PERFORMANCE INDICATOR | RECRUIT
25% of new hires are from key markets
10% of corporate MAERSK is from the “Big 5” markets
By 2020:
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40 overview | remix | goals | strategies | measurement | cost | summary | appendix
KEY PERFORMANCE INDICATOR | RECOGNIZE
5% expatriate rate
20% of “attracting, developing, & keeping a diverse work force.”
By 2025:
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41 overview | remix | goals | strategies | measurement | cost | summary | appendix
KEY PERFORMANCE INDICATOR | RECRUIT
X2 retention rate of high performers
20% of 1st, 2nd, & 3rd degree connections to diverse employees
By 2025:
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HOW DO WE
REVITALIZE OUR PROGRAMS?
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“REFLOATING A 125,339 TON BULK CARRIER COSTS TIME AND MONEY. NOT AS MUCH AS BUIDLING A NEW VESSEL, THOUGH.”
- SVITZER
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44 overview | remix | goals | strategies | measurement | cost | summary | appendix
FINANCIAL ANALYSIS | IAP
$38 MILLION
COST OF IAP (2020, ANNUALLY)
$12M SALARIES, 100
EMPLOYEES
$30M OPERATIONS
BUDGET
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45 overview | remix | goals | strategies | measurement | cost | summary | appendix
PROJECTION | MAERSK REUNION
$200K INITIAL COST OF
THE MAERSK REUNION
$5 MILLION
MAXIMUM REUNION COST (2020)
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MAERSK IS EVOLVING. LET’S TAKE A MOMENT TO
RECAP.
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47 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECAP | RECRUIT
RECRUIT PHYSICAL DIVERSITY GROWING MARKETS THE BIG 5
GOAL: - recruit diverse employee from key markets STRATEGY: - place recruiters in key markets - anticipate creation of MAERSK infrastructure
in said markets
KEY PERFORMANCE INDICATORS: - 25% of new hires by 2020 are from key markets - 10% of corporate MAERSK is from the “Big 5”
PROBLEM SOLVED: - lack geographic diversity
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48 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECAP | RECOGNIZE
RECOGNIZE EMOTIONAL DIVERSITY IAP
GOAL: - promote self-growth and cultural awareness STRATEGY: - International Acceleration Program (IAP) KEY PERFORMANCE INDICATORS: - 5% increase expatriate rate - 20% increase in feelings of “attracting,
developing, & keeping a diverse work force.” PROBLEM SOLVED: - lack geographic diversity - high turnover rate
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49 overview | remix | goals | strategies | measurement | cost | summary | appendix
RECAP | RETAIN
RETAIN MENTAL DIVERSITY THE MAERSK REUNION
GOAL: - retain high performing employees STRATEGY: - The Maersk Reunion KEY PERFORMANCE INDICATORS: - x2 retention rate of high-performing
employees by 2025 - 20% increase 1st, 2nd, & 3rd degree connections to
diverse Maersk employees PROBLEM SOLVED: - high turnover rate
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FAMILY. DIVERSITY.
MAERSK.
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1. GOALS 2. STP ANALYSIS 3. MAERSK GROUP VALUES 4. MAERSK PROGRAMS 5. BARRIERS TO DIVERSITY 6. MANAGING DIVERSITY 7. TOP TRADING COUNTRIES 8. P=Pe^(rt) ANALYSIS 9. PROJECTED COMPANY GROWTH 10. BRIC & GROWING MARKETS 11. IAP CRITERIA 12. ORGANIZATIONAL STRUCTURE
1 overview | remix | goals | strategies | measurement | cost | summary | appendix
APPENDIX | TABLE OF CONTENTS APPENDIX overview | remix | goals | strategies | measurement | cost | summary | appendix
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1 overview | remix | goals | strategies | measurement | cost | summary | appendix
APPENDIX | GOALS
RECOGNIZE
RECRUIT
RETAIN
employees in underrepresented demographics by targeting booming markets that are key to the growth of the company as a whole.
the importance of diversity across the company by instilling programs that foster self-growth and cultural awareness.
high performing employees by creating opportunities to expand their networks and climb the corporate ladder.
APPENDIX overview | remix | goals | strategies | measurement | cost | summary | appendix
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A1 overview | remix | goals | strategies | measurement | cost | summary | appendix
APPENDIX | STP ANALYSIS (recruit)
RECRUIT physical diversity, the big 5 markets
Situation: Not enough effort in recruiting a diverse population
Target: Underrepresented demographics in booming markets
Proposal: Based on size of markets, hire x% (#) member of those to be
Maersk employees
APPENDIX overview | remix | goals | strategies | measurement | cost | summary | appendix
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A1 overview | remix | goals | strategies | measurement | cost | summary | appendix
APPENDIX | STP ANALYSIS (recognize)
RECOGNIZE mental diversity, ELC & “glocalization”
Situation: Understanding that diversity is important but nothing reflects
it (externally they have a value, internally upper division doesn’t reflect it)
Target: Value of a multi-cultural diverse environment & those who
promote it
Proposal: Instill programs that foster self-growth & cultural awareness
APPENDIX overview | remix | goals | strategies | measurement | cost | summary | appendix
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A1 overview | remix | goals | strategies | measurement | cost | summary | appendix
APPENDIX | STP ANALYSIS (retain)
RETAIN emotional diversity, the group event
Situation: Increased turnover rate, who stays v. who goes, family culture
Target: High performing employees & inter-organization relationships
through expanded opportunities
Proposal: “7 ways to improve” (online article, appendix);
Set system of promotion up corporate ladder for exemplifying “diversity”
(clients vs. company)
APPENDIX overview | remix | goals | strategies | measurement | cost | summary | appendix
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APPENDIX | MAERSK GROUP VALUES
Constant Care take care of today, actively prepare for tomorrow Humbleness listen, learn, share, and give space to others Uprightness our word is our bond Our Employees the right environment for the right people Our Name the sum of our values: passionately striving higher
APPENDIX overview | remix | goals | strategies | measurement | cost | summary | appendix
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• People Strategy Sessions (PSS) • Damco International Workshops • Scenario Planning • Emerging Leaders Program • Executive Acceleration Program • MISE Programme
APPENDIX | MAERSK PROGRAMS
programs as of 2013 green = presently existing
APPENDIX overview | remix | goals | strategies | measurement | cost | summary | appendix
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APPENDIX | BARRIERS TO DIVERSITY
1. Inaccurate stereotypes & prejudice
2. Ethnocentrism
3. Poor career planning
4. An unsupportive & hostile working environment for diverse employees
5. Lack of political savvy on the part of diverse employees
6. Difficulty in balancing career & family issues
7. Fears of reverse discrimination
8. Diversity is not seen as an organizational priority
9. The need to revamp the organization’s performance appraisal & reward system
10. Resistance to change
APPENDIX overview | remix | goals | strategies | measurement | cost | summary | appendix
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APPENDIX | MANAGING DIVERSITY
R ROOSEVELT THOMAS JR’S GENERIC ACTION OPTIONS
#1 – Include/Exclude
#2 – Deny
#3 – Assimilate
#4 – Suppress
#5 – Isolate
#6 – Tolerate
#7 – Build Relationships
#8 – Foster Mutual Adaption
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APPENDIX | TOP TRADING COUNTRIES
IMPORT %
BIG 5 COUNTRIES IN WORLD TRADE
EXPORT %
CHINA
U.S.
GERMANY
JAPAN
FRANCE/UK
9.6
12.8
6.8
4.6
3.6
12.2
8.9
8.2
4.4
3.2
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APPENDIX | P=Pe^(rt) ANALYSIS
key divisions of MAERSK
current # of employees in 2014
approx. rate of growth (%)
projected # of employees by 2020
Oil and Drilling 9700 8 15676
Tankers 4300 1 4566
Svitzer 4500 4 5721
APM 24000 5 33746
Damco 10800 3.2 13086
Line 25000 5 33746
TOTAL: 78300 --- 106823
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APPENDIX | PROJECTED COMPANY GROWTH
Current # of employees in 2014
Estimated rate of growth (%)
Projected # of employees by 2020
121000 4.7 (average of 7 "key" divisions)
106419
121000 4 (minimum growth rate of largest division
of Maersk)
153821
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APPENDIX | PROJECTED COMPANY GROWTH
*This data does not take into account that the world economy is coming out of a recession. The percentages are based off of 2013 market growth rates which are likely to increase as we emerge from our economic recession. Additional Data to Consider: Global GDP Growth Rate: 2.7%/year Average GDP in Emerging Markets: 5%/year www.dallasfed.org/assets/documents/institute/global.pdf
APPENDIX overview | remix | goals | strategies | measurement | cost | summary | appendix
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APPENDIX| BRIC + GROWING MARKETS
BRIC
Brazil Russia India China
EMERGING
Saudi Arabia Indonesia
United Arab Emirates Malaysia
Bangladesh Thailand
NEW
Kazakhstan Argentina Morocco Ukraine
Latin America Africa
* According to Emerging Markets Logistics Index, 2013
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APPENDIX | IAP CRITERIA
People who are…
Linguistically talented
Desire to gain cultural
perspective
Strong interpersonal
skills
Committed; 5-year contract
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Sample Agenda: November 15, 2016 7:30-9:30 Meeting with Team #1
9:35-11:30 New Employee Observations
11:35-12:30 Lunch with PSS Director
12:35-2:30 Focus Group Meeting
2:35-3:30 One-on-one’s
3:35-4:00 Debrief and Discussion with Team #3
APPENDIX overview | remix | goals | strategies | measurement | cost | summary | appendix
APPENDIX | IAP CRITERIA
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APPENDIX overview | remix | goals | strategies | measurement | cost | summary | appendix
APPENDIX | ORGANIZATIONAL STRUCTURE