Page 1/15 PGV Product Supply Title: REWARDS AND RECOGNITION - SYSTEMS Purpose: Describe Reward & Recognition System Document No. S-02-07-00-01.0 Process Owner: R&R System Owner Prepared by: R&R Systems Owner Copy No. 1 Process Customer: PS Employees Concurred by:Career Planning Team Issue Date: 27/03/00 Next Review: 27/03/01 Issue No. 2 Approved by: R&R Systems Owner System - Overall Rewards System • System Owner • Training: • Rewards and Recognition System - Intrinsic, Non Monetary and Extrinsic-Monetary • Review of the Intrinsic, non monetary & Pay and Progression System • Performance Rating System • Salary Management Training • Promotional guidelines • Measures • Review System Rewards and Recognition System Purpose of System - Purpose of the system is to provide pay, progression & non-monetary rewards which will increase the retention of personnel and motivation of the organization to become a high performance organization. System Owner - To manage and improve the use of pay and progression rewards throughout the organization. The owner will insure that pay & progression rewards support the overall rewards system and IWS. Measures:(6 month update & KEA assessment) OHA interviews/comments(as compared to last OHA interviews) IWS Rewards and Recognition design KEA Number of employees understand the system Survey Results - Quarterly Reward/Recognition principles • Emphasis success versus failure - salary increases reinforce performance through leadership discussion • Pay levels and salary management must be consistent with industry norms • Deliver salary increases or changes in a confidential manner • Tailor the recognition and reward to foster the HPWS objectives including broader leadership levels and horizontal systems • Design of the system must reinforce the overall results that are individually and organizationally desired • System should be easy and simple to explain/understand • System of pay and progression must be easy to administer fairly and consistently • Strive for a clear and well communicated connection between the reward and achievement. Supporting Documents Review of IWS rewards principles and reward systems. Review the pay and progression system Review the salary management system Review of the salary rating system Review of Non - Monetary systems Page 2/15 Recognition happens on the plant, team and individual level. Various standard methods are used to show recognition. A. We celebrate and recognize the following type of achievement: 1. Improvements - reaching goals/success criteria 2. Key Element Improvement 3. Safety - No Recordables 4. Quality - Meet and exceed global standard 5. Successful project/initiative 6. Noteworthy team or individual accomplishment (contribution beyond W&DP, significant progress against stretch goals) 7. Loss elimination 8. Role model behaviors (identified by pillars per focus period - refer to BAT and IWS-BOS) B. Recognition is included as part of the following meeting forums or correspondence: 1. Team meetings Daily 2. Plant Information Sharing Monthly 3. Leaders Plant Tours As Scheduled 4. Individually, 1:1 Daily C. General system principles: 1. Written guidelines for administration exist and don't change. 2. Teams/Departments have freedom to tailor rewards/recognition to meet their business challenges. Standards are available for easy implementation. 3. A survey process exists to understand opportunity and track results. 4. There is a subsystem owner in each area (maybe Org.Pillar member) to ensure the rewards/recognition system functions throughout the plant. 5. Celebration occurs in some way on a quarterly basis. Page 3/15 REWARDS AND RECOGNITION CHECKLIST Reward/Recognition principles: • Emphasis success versus failure • Deliver recognition and reward in an open and publicized way. • Deliver recognition in a personal and honest manner. • Tailor the recognition and reward to the unique needs of the people involved. • Timing is crucial. • Strive for a clear and well communicated connection between the reward and achievement. • Encourage recognition throughout organization. Intrinsic & Non monetary Rewards Checklist: These rewards should be used as follows: • Part of the W&DP Future training Assignments to projects Positive feedback on results attained • Normal work Feedback Praise for meeting targets and doing good work(constructive one on one) verbal by leader written by leader Ask employees to help you complete an important task Delegation Delegate the attendance of meeting in your place. Delegating decision making to others Assign people to important or special projects. • Teams Have a welcome meeting with new team members Place pictures of team members on bulletin boards Recognizing good work in teams verbally. Create a best accomplishments list for the team Leaders attend special projects first team meeting. Hold lunches with the BDLT or other senior leaders. Send letters to team members on team accomplishments and thanking them. • Group awards Certificates for qualification Wall plaques Small gifts - pens, mugs, hats, shirts, P&G Products… Group dinners • General Say hello to people. Stop and talk to them. Say thank you when it's deserved. Give others credit. • WATCH OUTS: Express criticism freely Withhold praise Instill job security Do not delegate authority for important decisions Do not delegate work which is important Attend all the training yourself REWARD & RECOGNITION SURVEY Name:______________________________ Date:_______________________________ Area:_______________________________ Score:______________________________ The following is a rewards and recognition survey. This also tests your understanding of the pay/ progression, rating and salary administration knowledge (over) the statement. Do not Don't know Agree/ Perfect agree/ No Yes Score 1 I have been in several meetings, teams or groups when there has been recognition, award, certificate for accomplishment 2 Leadership encourages continuous improvement 3 I have been recognized, either in person, or in a team for my accomplishment 4 My wish gives me a feeling of accomplishment 5 Recognition for achievement includes leadership acknowledgmentthrough personal/ verbal celebration of team/ company achievement,certificates of accomplishment, etc. 6 I have recognized achievements of others in my team 7 I have had a review of my performance in the last 12 months 8 I have had discussions with my leader on actions I can take to improve performance 9 Our PS progression system has: . Exactly 3 pay levels . Is only based on skill achievement . Requires employees to implement improvements . Requires coaching of others for level 3 and above . Does not requires an evaluation of individual . Requires system ownership for all levels of 2 and above . Requires training of others to be promoted into the next level . Requires qualification in current job prior to promotion 10 Our PS Performance evaluation system has: . Evaluation of performance is each quarter . Evaluation includes performance based on scorecards in my area of . influence or control . My individual contribution is included in the review . I have an opportunity to input to my performance evaluation . Plant critical measures are the basis for department and individual evaluations . The plant performance scorecard achievement affects my rating . My safety performance affects my rating . My attendance does not affect my rating . Wearing a uniform does not affect my rating . Personal ownership of a system affects my rating . All employees are rated and classified into 2 areas . Ratings affect my salary . My working well with others is part of the rating 11 Our salary and benefits policies: . Our salary ranges are based on survey’s of top companies salary programs for compared jobs . Salary ranges are updated every year . My rating affects my salary . My years on the job does not affect my rating . My level of responsibility affects my salary . Salary increases timing are always every 12 months . Salary increases are not given to people rated low . The higher my performance and rating, is the higher my salary increase may be . Salary levels are not confidential 12 I have attended the rewards & recognition training 13 My leader practices fair & consistent assessments 14 My salary is fair when I compare to similar jobs in other companies 15 I think my pay is consistent with other in our company 16 My work gives me personal satisfaction Page 4/15 REWARD & RECOGNITION SYSTEM SCORECARD Area Measure FY 99/00 FY 00/01 JAS OND JFM AMJ FYTD Target Intrinsic/Non-monetary Team/Group awards # 20 Leader training completed % 0 0 100% Survey result % NA 80% Extrinsic/Monetary IWS KEA - Q#3 Org Pillar Score 6 8 Employees trained % 91% 89% 100% Survey result % 63% 63% 80% Rating completed % completed 100% 100% Progression executed # Attrition rate due to R&R % 0.5% Page 5/15 Page 6/15 P&G VIETNAM - BINH DUONG PLANT PS CAREER & SALARY PLANNING SURVEY Name : __________________________________(Optional) Department: __________________ Yes No Do not know 1 PS Performance Rating System • Performance ratings affect employee salary • All employees are rated and classified into rating 1, 2 and 3 • Rating is conducted once per year • Rating is decided by my immediate leader • Plant DMS results affect my rating • Personal ownership of system(s) affects my rating • My contribution to pillar results does not affect my rating • My daily work results affect my rating • Not following established SOPs in working area does not affect employee rating • Employee safety compliance does not affect my rating • Personal improvement projects affect my rating • The scorecard of core area where I have breakcover in does not affect my rating • # of people rated 1 depends on plant performance                                              2 PS Progression system • There is 7 progression levels in the plant • Employees usually need to be qualified in core for promotion request • Employees can not be outside core for more than 3 years • Employees promotion is based on individual capability & business needs             3 Employee Total Compensation & Benefit System • Employee total compensation & benefit package is based on the survey results of top companies • Salary ranges are updated every two years • Individual salary can not be shared to others • Rated 3 employee will not get salary increase • Timing for salary increase is fixed • Immediate leader is responsible for employee salary progression • I have a clear understanding what is my total compensation & benefit package                         Fully agree Partly agree Disagree No idea 4 Recognition System • I am recognized for each of my achievements • My team is recognized appropriately to its achievements • Recognition in the plant is done in a timely manner • Recognition system in the plant motivate us to work toward SIS results                 5 I think my salary is • Fair vs. similar jobs in other company • Consistent with others in P&G Vietnam         6 I feel satisfied with my career in P&G Vietnam     7 If I have to leave the company in near future, this relates to • My career • My total compensation & benefit package • My personal issue             Total score : Suggestion for improvements : ____________________________________________________________________________________________________ GUIDELINES FOR ADMINISTRATION OF REWARD/RECOGNITION SYSTEM What to recognize How to recognize - Recognition choices Individual level Team level Plant level Excellent ownership behaviors • Positive feedback verbally and on W&DP • On the spot recognition • A personal note from plant manager/leaders • Praise for good behaviors in team meetings • Picture on team board with explanation • Certificate of recognition • Small gift • Praise in Plant information sharing Creativity • Positive feedback verbally and on W&DP • On the spot recognition • Training opportunities • Share achievements and learnings with team and other teams • Special project assignment • Certificate of recognition • Small gift • Praise in Plant information sharing Excellent capability buiding and coaching others/ Significant contribution in building technical mastery • Positive feedback verbally and on W&DP • On the spot recognition • Training opportunities • Thanking letter to family • Presentation to top management • Special project assignment • Certificate of recognition • Small gift • Praise in Plant information sharing • Lunch with plant manager Exceed success criteria for any project • Positive feedback verbally and on W&DP • On the spot recognition • Training opportunities • Thanking letter to family • Picture on team board • Create best accomplishment list for team • Presentation to top management • Certificate of recognition • Wall plaques • Small gift • Praise in Plant information sharing • Dinner out Exceed team goals/masterplan targets • Positive feedback verbally and on W&DP • On the spot recognition • Training opportunities • Thanking letter to family • Picture on team board • Create best accomplishment list for team • Presentation to top management • Certificate of recognition • Wall plaques • Small gift • Praise in Plant information sharing • Dinner out (not exceeding 10$) Page 7/15 BNH DUONG PLANT SPECIAL APPRECIATION AWARDS: (Eligible: all Binh Duong Plant employees) Awards Assessment/Selection Criteria Freq. # of Award Form Value VND Execution Owners 1. OPL of the month - Simple - Information correct - Visual (supported with pictures that needed very little explanation) - Understandable, self explanatory. - Reapplicable. Monthly 1 . P&G Products . Plant-wide announcement . Exhibiting the winner OPL on Plant activity board within 1 month. Valued VND 100.000 approximate. On the first week of month, BDLT will go through all activity boards to select the best one . The announcement will be made at the coming plant information sharing (PIS) day. Ky/C 2. Improvement of the quarter Improvement evaluation Criteria (IEC) quarterly 2 . Special Lunch with Plant Manager & P&G Product . Certificate . Plant-wide announcement Group award VND50,000 per person Individual VND200,000 Improvement coordinators send 2 their best improvement to Improvement Team. This Team make the choice by using improvement evaluation standard IEC at M-J-S-D team mtg then review on BDLT before announcement on coming PIS Quoc-NH 3. Improvement of the year Improvement evaluation Criteria (IEC) annually 1 . Award approved List . Plaque . Plant-wide announcement Group award VND200,000p er person Individual VND500,000 Improvement coordinators send 2 their best improvement to Improvement Team. This Team make the choice by using improvement evaluation standard IEC at M-J-S-D team mtg then review on BDLT before announcement on coming PIS Quoc-NH Execution - The award process owner(s) will be responsible for leading the communication, selection and execution as designed . Judging meetings must be minuted down and filed by the award process owner. - The Plant Manger (BDLT member in case of his absent) will make announcements of the award winners at plant information sharing meetings on a monthly, quarterly basis or a special day for IWS progress discussion & rewards on yearly basis. Page 8/15 CHƯƠNG TRÌNH KHEN THƯỞNG PHI TIỀN TỆ CỦA HOẠT ĐỘNG IWS NHÀ MÁY BÌNH DƯƠNG : Giải thưởng Tiêu chuẩn Tần suất Số lượng Hình thức khen thưởng Gía trò (VND) Thực hiện Liên hệ 1. Giải thưởng OPL trong tháng (OPL of the month) - Đơn giản - Thông tin chính xác - Rõ ràng, dễ nắm bắt qua minh họa bằng hình vẽ, ít lời chú dẫn - Dễ hiểu - Có khả năng tái áp dụng Hàng tháng 1 . Sphẩm P&G . Biểu dương trên phạm vi toàn nhà máy . Trưng bày OPL đoạt giải trên bảng thông tin của E&T pillar . Tương dương 100.000 đồng Vào tuần đầu tiên của tháng, ban lãnh đạo nhà máy sẽ đến các bảng thông tin của từng bộ phận, Pillar để chọn OPL trong tháng đạt được các tiêu chuẩn bên. Biểu dương và phát giải thưởng được tiến hành trong buổi Plant information meeting hàng tháng Ky/C 2. Giải thưởng cải tiến của Quý (Improvement of the quarter) Bảng tiêu chuẩn đánh giá cải tiến (IEC) Hàng quý 2 . Dùng cơm trưa đặc biệt với giám đốc nhà máy & Sản phẩm của P&G . Bảng chứng nhận khen thưởng . Biểu dương trên toàn nhà máy Cho nhóm đoạt giải : tương dương 50,000đồng/ một người Cho cá nhân tương đương 200,000 đồng Hàng quý đại diện phụ trách hoạt động cải tiến của từng bộ phận tiến hành bình bầu 2 mục cải tiến xuất sắc của bộ phận mình. Sau đó nhóm cải tiến của nhà máy sẽ tiến hành bình bầu 2 mục cải tiến xuất sắc của qúy theo IEC , Ban lãnh đạo của nhà máy sẽ tiến hành xét duyệt trước khi khen thưởng trong buổi Plant information meeting của nhà máy Hai/CM 3. Giải thưởng cải tiến cuả năm (Improvement of the year) Bảng tiêu chuẩn đánh giá cải tiến (IEC) Hàng năm 1 . Danh mục các giải thưởng . Plaque . Biểu dương trên toàn nhà máy Cho nhóm đoạt giải : tương dương 200,000đồng/ một người Cho cá nhân tương đương 500,000 đồng Hàng năm đại diện phụ trách hoạt động cải tiến của từng bộ phận tiến hành bình bầu 2 mục cải tiến xuất sắc của bộ phận mình. Sau đó nhóm cải tiến của nhà máy sẽ tiến hành bình bầu 2 mục cải tiến xuất sắc của quý theo IEC , Ban lãnh đạo của nhà máy sẽ tiến hành xét duyệt trước khi tkhen thưởng trong buổi tổng kết hoạt động IWS của nhà máy hàng năm Hai/CM Page 9/15 Page 10/15 [...]... benchmark our competitors to assure that our system is delivering our products at a competitive total labor cost This should include wages, cost of benefits, and overall productivity information, if available Without constructing the pay system to attract and retain quality people and be cost effective versus competition, we can negatively impact product cost over time 6 There is an agreed upon mechanism in... work, if they didn't work for us The ideal benchmarking would be with companies making like products However, the objective is to attract and retain the caliber of people we desire, therefore benchmarking is with those companies seeking the same people In most cases, these will not be companies making like products This will require a survey of the geographic areas from which we draw our employees... is primarily directed at systems for work other than managerial Also, while many of the examples pertain to manufacturing situations, the key attributes apply to all non managerial pay systems in Product Supply Key Concepts: The High Performance Work System will provide the primary individual or organizational motivators to deliver superior results The pay system should never be seen as the primary . Page 1/15 PGV Product Supply Title: REWARDS AND RECOGNITION - SYSTEMS Purpose: Describe Reward. situations, the key attributes apply to all non managerial pay systems in Product Supply. Key Concepts: 1. The High Performance Work System will provide the