Nicole KoeslingSenior Vice President Human ResourcesVolkswagen Group of America Chattanooga Operations

Automotive News – Leading WomenMay 3, 2018

AGENDA

1. Global Diversity in the Workplace

2. How Volkswagen Group is Making Diversity a Priority

3. How Volkswagen Chattanooga is Approaching Women in Automotive

Global Diversity in the

Workplace

DATA ABOUT LEADING WOMEN

UNCONSCIOUS BIAS

VIDEO: Kids' assumptions toward gender roles

SAME COMPETENCIES, DIFFERENT BEHAVIOUR

DID YOU NOTICE THAT MEN AND WOMEN TEND TO BEHAVE DIFFERENTLY?

• Neglect to reduce anxiety

• Quick to speak their position

• Speak to their potential

• Uses “I“ statements, etc.

• Prepare to reduce anxiety

• Ask more questions/analyze

• Speak to their experience

• Uses “we“ statements, etc.

SAME BEHAVIOR, DIFFERENT EVALUATION

SIX BEHAVIORS TO UNLOCK INNOVATION

Source: Hewlett, S.A., Marshall, M. & Sherbin, L. (2013). How diversity can drive innovation? Harvard Business Review, 91(12), 30.

ensuring everyone is heard

making it safe to propose novel ideas

giving team members decision-making authority

sharing credit for success

giving actionable feedback

implementing feedback from the team

Inherent diversity is only half of the equation. Acquired diversity is needed to establish a culture in which all employees feel free to

contribute ideas. Psychological safety is crucial to a team’s success.

LEADERS WHO GIVE DIVERSE VOICES EQUAL AIRTIME ARE NEARLY TWICE AS LIKELY AS

OTHERS TO UNLEASH VALUE-DRIVING INSIGHTS, AND EMPLOYEES IN A „SPEAK UP“

CULTURE ARE 3.5 TIMES AS LIKELY TO CONTRIBUTE THEIR FULL INNOVATIVE

POTENTIAL

UNCONSCIOUS BIAS PREVENTS ANY OBJECTIVE ASSESSMENTS AND DECISION-

MAKING PROCESSES AND HAMPERS INNOVATION

NUMEROUS PROGRAMS DO NOT ENSURE DIVERSITY

How Volkswagen Group is Making

Diversity a Priority

DIVERSITY IN THE VOLKSWAGEN GROUP?Proportion of female top management in the Volkswagen Group: 4.5%

Proportion of top managers in the Volkswagen Group whose nationality is not German,

compared to German top managers: 17%

TOGETHER 2025 MISSION

AGEGENDER DISABILITYCULTURAL

BACKGROUNDSEXUAL

ORIENTATION

WHY DIVERSITY?

LAWS AND GUIDELINESSUSTAINABILITYCOMPETITIVENESS

• General Equal Opportunity Act

• Labour-Management Relations Act

• Social Security Code

• Gender quota

• Code of conduct

• New European CSR Directive

• Diversity management as a fixed integral part of the sustainability strategy

• Social/corporate responsibility

• Positive effect for the corporate image

• Innovation and creative potentials

• Access to new customer groups and markets

• Employer attractiveness

• Transformation via a learning-capable organisation

HOW DO WE WANT TO ACHIEVE DIVERSITY?

▪ Adapt communications and sales concepts to embrace diversity (visual language, press releases, etc.)

▪ Public commitment to diversity by the executive board and first reporting level

▪ Support research into diversity (e.g. cooperation professorship)

▪ Gender quota managementin MBO*

▪ Special seminars offered to women in the standard catalogue of further education opportunities

▪ Training unconscious bias▪ Including diversity as a fixed

item on the agendas of decision and top-level meetings

▪ Diversity check | reviewof all policies, works agreements, etc.

▪ Diversity is considered in selection, application, development and promotion processes

▪ Diversity ambassador

▪ Cross-cultural project teams for problem solving

▪ Intercultural training ▪ Insist on English as the Group

language (including in HR processes)

▪ Transparency through vacancies worldwide for all levels / Group job exchange

Support building and living networks

4. ANALYTICS & COMMUNICATION

2. GENDER1. AWARENESS /

REDUCING BIAS 3. CULTURAL BACKGROUND /

INTERNATIONALITY

*Per German law.

DIVERSITY IN THE VOLKSWAGEN GROUP?

Development Retaining

Awareness & Communication Conditions

Recruiting

DIVERSITY IN THE VOLKSWAGEN GROUP:

RECRUITING

Getting girls interested in technology

•Girls’ Day

•Professional experience and taster days

•Promotional awards / scholarships (VW, Porsche)

•Information events (for students and parents)

•Cooperation with schools (e.g. visits)

•Industrial fairs (e.g. ideas-expo)

Attract female students

•Image and recruitment events

•Promotional awards and scholarships

•Cooperation with universities

•Support for universities’ mentoring programmes

•Industrial fairs (e.g. Women Power)

DEVELOPMENT

•Mentoring programmes for leadership and management development (brand specific and cross brand)

•Career with children (VW AG)

•Networks for women (e.g. Women’s Lounge, workgroup on career and family compatibility, departmental networks)

DIVERSITY IN THE VOLKSWAGEN GROUP:

Retaining

•School holiday childcare beside the typical Childcare

•Parent-Child-Offices

•Parental leave meetings, Information event for expectant parents and to prepare for re-entry

Awareness & Communication

•Special training for HR Representatives, mentors

•Quotas for women in observer committees at assessment centers (Audi)

•Mobile work or telework, working during parental leave

•Company regulations for the promotion of women

Conditions

How Volkswagen Chattanooga is

Approaching Women in Automotive

VOCATIONAL ACTIVITIES AT VOLKSWAGEN ACADEMY CHATTANOOGA

Vocational Education

• Dual Apprenticeship Program

• Based on German standards

• In partnership with Chattanooga State Community College

• Designed to meet plant needs for Skilled Team Members

Mechatronics High School

• Fast track for high school students to a career in Mechatronics

• Technical classes with 70% hands-on learning

• 25% of 2018 graduates female

Volkswagen eLabs

• 16 Hamilton County Schools received eLabs in 2017

• $1 million donation by VW Chattanooga and the State of Tennessee

• Access for about 15,000 students to science labs featuring rapid prototyping technologies such as 3D printers and robotics

The Future

Promotion through Summer Camp

WOMEN’S HISTORY MONTHWomen Who Rock Event

Know a woman who rocks in the workplace?

Nominate them for an award at the Women Who Rock Event on May 5.

Nominations are open March 5 - 23.

Nominators will be entered to win a FREE MacBook Air laptop!

Volkswagen Women SpotlightKeeKee Mathis

Supplier Diversity Officer

Where did you grow up?

I grew up in Chattanooga, TN, in the Brainerd area.

Volkswagen EmployeeSpotlightLeslie Williams

Paint Manager

Name your proudest accomplishment.

Becoming head of the Paint Shop at Volkswagen.

Volkswagen Women SpotlightPamela Tyler

Specialist, Paint Shop

What does diversity mean to you personally?

Understanding and valuing the differences in all people.

WOMEN WHO ROCK EVENT: BUSINESS IMPACT GOALS

• Relaunch of WIM group + committees

• Working Family & WIM ERG Collaboration

• Recognition of women in the workforce

• Future female mentees and mentors

• Community organization networking

WOMEN WHO ROCK AWARDS EVENT

THANK YOU