INTRODUCTION OF NESTLE

 Founded - 1866; 156 years ago

 Founder - Henri Nestlé

 Headquarters - Vevey, Vaud, Switzerland

 Area served - Worldwide

 Key people - Paul Bulcke (Chairman)

Ulf Mark Schneider (CEO)

Nestle is the leading FMCG company of Switzerland

established by Henri Nestle.
Nestle is serving worldwide with its more than 500 factories
in 86 countries comprising almost all continents. Nestlé’s
product portfolio is more than 500 products all over the world
serving best to their customers.
 HUMAN RESOURCE PLANNING

Planning encompasses those guidelines which constitute a

sound basis for efficient and effective HR Management in the
Nestlé Group around the world. They are in essence flexible
and dynamic and may require adjustment to a variety of
circumstances.
Therefore its implementation will be inspired by sound
judgment, fulfillment with local market laws and common
sense, taking into account the specific context. Its spirit
should be respected under all circumstances. As Nestlé is
operating all over India, it is essential that legislation and
practices be respected everywhere.
Also to be considered is the degree of development of each
market and its capacity to advance in the management of its
human resources.
Should any HR policy conflict with local legislation, local
legislation will succeed.

The communication skills of the HR staff must be appropriate

to deal with all delicate matters as they occur frequently in
human relations issues. They gain their credibility not only
from their professional contribution but also through the care
and the excellence of their communication skills.
 RECRUITMENT PROCESS

According to the latest count, thousands of employees are

working at nestle. This is an approximate figure as more
hiring has been done in the recent past. Nestlé follows a set
process for hiring more employees. The major document in
this connection is the "Recruitment Requisition Form". This
document is used in all three instances; such as for:

REPLACEMENT

Filling of a near position. Additions to the existing workforce.

A recruitment opportunity may arise either after discussing or

budgeting a position on the resignation of some employee or
on an urgent need basis. In all three situations, the department
head has to obtain approval from the Managing Director
(MD). If the request is budgeted, then the Divisional Head
fills up a "Recruitment and Budgeted Form". This form
contains the complete information; i.e. the following

particulars:
  Date of initiation
 Date the employee is needed Profile
 Job description

After receiving the document the human resource department

puts up an advertisement in the newspaper or it directly
contacts placement officers at various institutes.
Approximately eight to ten best resumes are selected and
presented to the divisional heads. On their recommendation,
the candidates are called for interviews and the most suitable
are finally selected.

MANAGEMENT TRAINEES

The procedure for selecting fresh graduates at Nestlé is bit

different as the trainees cannot be short listed through their
CV's. Management trainees are fresh graduates or they have
one year experience at the most. Management trainees are not
called directly. They are contacted through their placement
officers. Salaries or benefits of the management trainees do
not vary with their specialization. Similarly the training

period is the same, whether they are selected for marketing or

finance.
SUCCESSION PLAN

The succession plan at Nestlé is made by the department head.

He chooses his own successor. It is the duty of the
departmental head to train someone for his work, so that there
is a person to takeover in case he is transferred.

JOB ASSESSMENT

There is a classified system of job assessment at Nestlé.

Accountability incentives in the form of business or facilities
are provided to employees performing well.

Employees form the internal equity of the company.

Therefore, equally justifying measures are taken to satisfy and
motivate the employees.
 TRAINING AND DEVELOPMENT

We know “Learning” is part of the Company culture. Each

employee, at all levels, either fresh or old, is conscious of the
need to upgrade continuously her/his knowledge and skills.
The willingness to learn is therefore a non-negotiable
condition to be employed by Nestlé. Training and
Development is done on the job. Guiding and coaching are
part of the responsibility of each manager and it is crucial to
make each one progress in her/his position.

When formal training programs are organized they should be

purpose-oriented and designed to improve relevant skills and
competencies as Nestle does. Therefore they are proposed in
the framework of individual development programs. As a
consequence, attending a program should never be considered
as a reward. Role of each manager at Nestle is to assess
progress, achieved as a result of training programs.

The objective is to retain and motivate employees by offering

attractive but realistic career moves allowing them to develop
their skills over a long-term period within the framework of
economic reality and a changing environment. Each manager
has the duty to act as a mentor for his employees. At Nestle
formal assessment take place on a standard basis, preferably
once a year. Its purpose is to provide feedback on past
performance and future potential as well as on other relevant
aspects concerning a staff member’s work including the
development of his skills and competencies.
 PERFORMANCE APPRAISAL
A performance appraisal, employee appraisal, performance
review, or (career) development discussion is a method by
which the job performance of an employee is evaluated
(generally in terms of quality, quantity, cost, and time)
typically by the corresponding manager or supervisor.

Nestle give importance to their employees at their work place

because Nestle totally depend on their quality, so quality
achieved by the Nestle on the bases their employees
performance. So if employees are on right track so company
gives incentives to their employees.

COMPENSATION BENEFITS

Compensation is a key part of Nestlé Real Rewards package

and helps to attract, motivate, and retain a workforce of top
performers. Our philosophy is to provide and maintain
disciplined compensation programs which value long-term
relationships with employees while recognizing individual
performance. Nestlé is also committed to offering
compensation packages, including base pay, short and long-
term incentives and benefits, that are competitive in today’s
market.
 Implementation of New HRM Policies

The implementation of new HRM policies regarding

employee empowerment and enhancement of employee
creativity is an important process which requires substantial
attention of management. The employee empowerment
requires reduction of hierarchical layers in organizational
structure which involves significant change. The
modifications in culture of organization are crucial for bring
policies of employees empowerment and employee creativity.
It also require change management skills with an aim of
minimizing conflict. The cultural values of different countries
in which the Nestle is operating are also important to
consider. The countries with individualistic values can easily
avail the aspects of employee empowerment while the
countries have collectivist values can face resistance to
implement policy of employee empowerment. Along with
this, the employee creativity can also be exposed to cultural
perspectives. However, the resistance can be overcome by
relying on open communication and focusing on fruits of
employee empowerment in terms of long term employees’
development. On the other hand, the human resource
management policies of employee empowerment and efforts
of enhancing employee creativity are less likely to be
influenced by the legislations in different countries.
 Conclusion

The human resource management practices are highly

significant for contemporary organizations as it help in
retention of talented employees and strengthen skill base of
organization. The current report has provided that Nestle has
integrated human resource management system which is well
aligned with strategy, structure and culture of the company.
The Nestle is engaged in acquisition of highly skilled
employees and it is engaged in training and learning of
employees in effective manner. Likewise, the importance is
being offered to performance management and development
of employees at Nestle. The Nestle has reflected lower
reliance on employee empowerment and creativity of
employees, for which the suggestions have been made in
present research.