4 IntroductionBP – Centro is contemplating expansion into Nordic countries and Central Europe onwardHR Management ConceptPropose comprehensive HR plan to accommodate business needs
5 BPC Mission StatementTo be the top shopping complex developer and operator in the area which offers service 24 hours a day, taking environmental and ethical aspects into consideration as well as offering a fun and entertaining experience for customers.
6 HR Mission StatementHuman Resource’s mission is to support the company’s total operation in meeting its goals through its most valuable resources - it’s people.
8 BPC HR Values Performance - There are global high quality standards for performance and personnel in order to guarantee top service.Innovation- People are encouraged to use their know-how and be creative in order to deliver new and better solutions to customers.Progressive- Develop HR competencies, skill and knowledge while being closely in touch with customers.Green- Through training and environmental leadership BP can best minimize its environmental footprint.
9 VisionsAim to be one of the leading shopping complex developers and operators in Northern Europe.Have a good brand image.Attain significant market share on real estate industry.
10 Business ObjectivesHave 4 convenience centers and northern Europe head quarters operating in FinlandExpand to Baltics and RussiaProvide 24hr quality service to customers
11 HR ObjectivesCreate qualified and united personnel, with effective management, which facilitates the ultimate success of the companyCreate a rewarding atmosphere and appealing working placeCreate organization that is adaptable to future expansion and changes
12 Main HR PoliciesPromote mostly from within the company except in special circumstancesMotivate employees by recognizing and rewarding for their performance in order to achieve their individual goal that are integrated with organizational goalsFoster open communication
13 Main HR PoliciesPromote diversity by treating employees fairly, providing knowledge of cultural differences and be supported by managementOffer compensation policy above going market ratesEncourage employees to continuous training
14 Conflict Resolution Methods Problems solved in the lowest possible levelEffective communication, informal and formalOrganizational goals will determine the decisions in conflict situationOrganization encourages to informal communication
15 Ethical Issues Code of Ethics developed, entail following guidelines: BPC has great respect for the law in the countries in which it operates and tries to sustains good relationships with the government agenciesBPC will and its employees are expected to perform in the best interest of the environment and show social responsibility.Avoiding use of company assets, resources and property for personal or other inappropriate purpose.
16 Corporate CultureBP has strong open corporate culture which supports diversity and active communication.The people oriented organizational culture motivates to create a positive and innovative working environment.Corporate language is English, and BPC operates as a multicultural firm but acknowledges and adapts to local practice.
18 Organization Relatively flat Key functions centralized Heavy reliance on information and communication technologyFocus on core competenciesLot of internal business is conducted via specific information systemsTend to outsource other activitiesMore adaptable to changes; no high organizational structure
20 Ideal Career Path at BPC Top ManagementFacility ManagerManagement TraineeIntern
21 Key FunctionsOperations: sales, information systems, b2b-customer service, service delivery and assurance and systems operationsFinanceMarketing: promotion, PR, market researchHuman Resources: managing human capitalCooperate closely with each other through specially assigned teamsFinance: Accounting including auditing, reporting, budgetingMarketing: Promotion, PR, market researchMarketing is conducted to appeal to the target market, however the strong brand recognition must be a focal point in developing marketing strategies; all marketing conducted in line with each other. Marketing has to be creative and innovative, involving the employees at every level.
22 HR Department Responsibilities: Planning Recruitment Staffing Job designTraining and developmentPerformance appraisalCommunicationsCompensation and benefitsLabor relationsCommitted team of HR specialistsPersonnel responsible for performing multiple tasksCHRO coordinates work of departmentTransactions are handled with the help of HRISCentral HR Department manages all HR tasks regardless of countryPerformance appraisal is based on individual as well as team achievement, emphasis on performance high quality serviceLabor unions. Especially important in Finland where labor unions really strong
23 Outsourced Activities MaintenanceIT-servicesLegal servicesSecurityBP Centro also hires temporary work force if needed, e.g. promotion campaignsMaintenance: including cleaning, snow removal, ect.
25 Job Analysis & DesignFocus to: Enlargement, Enrichment, Empowerment, Teamwork practices encouragedJob analysis in changing environmentFinland is test market area, Movement, changes
26 Enrichment and Enlargement Support independent work environmentOffer job rotation and relocationProvide training opportunitiesEnlargementCooperate with new centersAdd new tasks and duties to jobs
27 Year 1 Open 4 convenience centers in Finland Northern headquarters in FinlandBuild brand awarenessManagers: CEO, Key Function Managers 4, Vice Presidents 1, Facility Managers 4
28 Years 2-4Within 2 years all facilities in Finland are open and operating with full capacityBaltic test market (Estonia) starts in year 3Russia (2 convenience centers) starting in year 4Expansion to all Baltic countries during year 4Managers at end of year 4: CEO, Functional Managers 4, Country Vice Presidents 3, Facility Managers 9
29 Years 5+ Substantial market share in Finland, Russia and Baltic More facilities to Russia and Baltic'sPossible expansion to other parts of Europe i.e. PolandRemarkable growth in personnel
31 Chief Executive Officer Job Summary: The CEO is responsible for providing strategic leadership for the company by working with top management to establish long-range goals, strategies, plans, and policiesJob Qualifications and Specifications:Masters degree (MA) or equivalentFive to ten years related experience and 2 years as president or CEO recommendedAbility to relate to people at all levels of an organization and possesses excellent communication and presentation skills.Experienced leader with excellent project management skills with high ethical standardsIllustrates strategic visionary, analytical ability, good judgment and strong operational focus.Moderate ability to travel and flexibility to attend social eventsFluent written and spoken English required, other languages advantage
32 Chief Executive Officer Job Duties and Responsibilities:Be accountable to the mother company of all BPC Finland’s actionsDevelop strategy plan, policies and overall objectives for BPC FinlandRepresent the organization to the public and participate in community activitiesPreside at top management meetingsAct as a strategic partner for the top managers in the development of the company’s plans and programsProvide leadership and example to all BPC employeesEvaluate and advise on the impact of long range planningReview financial performanceEvaluate all potential alliances acquisitions and/or mergersPerform other incidental and related duties as required and assigned
33 Chief Financial Officer Job Summary:CFO determines, interprets and supervises all of the financial operations of the BPC Finland.Job Qualifications and Specifications:Masters Degree in finance.Minimum of 3-5 years experience in finance, from which at least a year in management.Good understanding of the common regulations, policies, and procedures which apply to financing.Expected to travel occasionallyFluent written and spoken English required, other languages advantage
34 Chief Financial Officer Job Duties and Responsibilities:Oversee all the operations of the finance departmentPlan all the financial operations, determine the goals and delegate assignmentsDevelop a reliable cash flow projection process and reporting mechanismDetermine annual and monthly budgets of operationsCommunicate and cooperate with all the other top managersMotivate and supervise subordinatesProvide financial reports to CEOCoordinate the annual audit and be responsible for the annual financial reportPerform other detailed financial analysesPerform other incidental and related duties as required and assigned
35 Chief Marketing Officer Job Summary:CMO’s primary function will be to plan, organize, write, update and coordinate the use of the marketing plans and toolsJob Qualifications and Specifications:Masters DegreeMinimum of 3-5 years experience in marketing functions, of which at least 1 year in management.Expected to travel oftenFluent written and spoken English required, other languages advantage.Good negotiation and communications skills.Enthusiastic, creative and learning attitude.
36 Chief Marketing Officer Job Duties and Responsibilities:Plan the usage of annual marketing budgetResearch the marketing science as neededOrganize and oversee the use of selected marketing toolsDelegate the marketing assignmentsCreate and maintain database of industry contacts.Report monthly budget use to the CFOOrganize multiple overlapping marketing projectsPerform other incidental and related duties as required and assigned
37 Chief Human Resources Officer Job Summary:CHRM plans, organizes, and controls all activities of HR department. Responsible of the all the matters related in human resources policies, programs and practices in BPC Finland.Job Qualifications and Specifications:Master's degree in Human Resource management or related Personnel/Human Resources field, ORFive years' managerial and supervisory experience in personnel management; ORAny equivalent combination of experience and education that provides the required knowledge, skills, and abilities.Fluent written and spoken English required, other languages advantage.
38 Chief Human Resources Officer Job Duties and Responsibilities:Develops staffing, recruiting, training and compensation systemsDetermine department goals, objectives, and systems.Evaluate reports, decisions, and results of department in relation to established goalsParticipate in administrative staff meetings and cooperate with all the top managersImplement and annually update compensation program;Rewrite job descriptions as necessaryMonitor performance evaluation program and revises as necessary.Develop, recommend, and implement personnel policies and procedures;Make recommendation to CEO for improvement of policies, procedures, and practices on personnel mattersPrepare and maintain handbook on policies and proceduresPerform other incidental and related duties as required and assigned
39 Chief Operations Officer Job Summary: COO to manage and establish the required service assurance, technical services, customer service, service delivery, business systems services and systems operations for reliable delivery of goods and human capital for the purpose of maximization of customer satisfaction and productivity.Job Qualifications and Specifications:Masters Degree (MA) in BAMinimum of 5 years experience of which at least 2 years in management duties.Good people skills, and efficient attitude combined with the ability to motivate and inspire subordinates.Occasional travelingFluent written and spoken English required, other languages advantage
40 Chief Operations Officer Job Duties and Responsibilities:Plan and schedule the service assurance, technical services, customer service, service delivery, business systems services and systems operations.Monitor the schedule and performance of the operations.Correct and examine possible failures of schedules.Report monthly budget use to the CFO.Perform other incidental and related duties as required and assigned
41 Country Vice President Job Summary:The Country Vice President is responsible for directing all of the administrative functions of the country branch of BPC in accordance with industry standards, regulatory agencies and company objectives and policies.Job Qualifications and Specifications:Masters Degree or equivalentMinimum of 2-4 years experience, of which at least 1 year in management duties.Excellent people skills, efficient attitude combined with the ability to motivate and inspire subordinates.Must be willing to travelFluent written and spoken English and domestic country languageOutgoing personality and responsible imageGood business skillsVisionary attitude and high ethicsExcellent communications skills
42 Country Vice President Job Duties and Responsibilities:Plan, develop, organize, implement, direct and evaluate the administrative functions and performance of the given branch.Make long-range planning of strategic goals.Co-operate with the CEO and top management of BPC, and the UK headquarters with development of corporate-wide plans and programs as an advisor.Provide analysis, proposals and statements of business trends, financial situations and competitive environment within the given branch to assist top management and the CEO in decision making.Maintain, develop and propose companywide policies and procedures to maximize productivity and efficiency.Assess decisions made by subordinates.
43 Country Vice President Job Duties and Responsibilities (continued):Provide assistance for colleagues and throughout the organization as required.Create and manage good relationship between the company and the local government, financial forces and general public.Represent BPC in public events, such as community activities, charities and high-profile receptions.Act as a spokesperson of BPCAdvice on, and administer company contracts.Evaluate the performance, efficiency and effectiveness of the branches policies, procedures and teamwork.Perform other incidental and related duties as required and assigned
45 Facility Manager Job Summary: Supervise and control outsourced activities and general performance of the facility.Job Qualifications and Specifications:BS Degree in Facilities Management or equivalent2-4 years of managing experience in facility industryFamiliar with local building codes, current health and safety regulationsAbility to define problems and resolve them quicklyAbility to handle multiple tasks and to work well with ever changing priorities and situationsRequires excellent supervisory, delegation and communication skills.Fluent written and spoken English and domestic country language requiredBPC Management Trainee program recommended
46 Facility Manager Job Duties and Responsibilities: Supervise cleaning and maintenance of the facilityOversee quality and efficiency of the workOversee the coordination of building space allocation, layout and communication servicesInteract with the customersInspect construction and installation progressControl budgetReport to Country Vice PresidentInitiate planned maintenance programsEnsure that all regulations requirements are fulfilledPerform other incidental and related duties as required and assigned
47 Management TraineeJob summary: Develop the technical, interpersonal, and business skill sets that will be required to advance into higher management positions within BCPJob qualification and specification:BS or equivalent degreeAbility to define problems, and resolve them quicklyAbility to work well with ever changing priorities and or situations.Ability to handle multiple tasksStrong business aptitudes,Excellent trouble shooting and diagnostic skills.Good Communication Skills
48 Management Trainee Job requirements and duties: Acquire a fundamental understanding of the different departmentObtain a strong understanding of the financial and administrative components of the department and companyDevelop and demonstrate leadership and interpersonal skills, a strong work ethic, the desire to learn and excel,Participate in achieving the daily and long term goals of the departmentAssemble and evaluate research material from a number of sources;Write reports for both internal and external utilizationAble to solve diverse problems (depending on which department the trainee is placed in)Analyze dataWork in cross-functional teams
49 InternshipJob summary: Internships participate in the maintenance of the facilities and contributes to the overall effectiveness of the facility staff by participating in efficient teamworkJob qualification and specification:One year in university levelStudents works full time for 3 months period (in the summer)Out-going, confident personalityFast-learner with great focusAbility to work varied hours/days as business dictatesAbility to work together in a teamAbility to handle multiple tasks
50 Internship Job requirements and duties: Obtain general work experience Performs general tasks in the facility, office and other building interiorsGain understanding of the facility management functionsGain knowledge of BCP and it’s policiesParticipate in achieving the daily and long term goals of the departmentAny other duties as assigned by management
52 Recruitment Policies Equal opportunity employer No discrimination on age, gender, race, disabilities etc.Diversified workforce encouragedPromotions from within the organizationAll employees expected to accept relocation
53 Sources of Recruitment Internal Sources- Current pool of BP Employees- HRIS Database- Employee recommendationsExternal SourcesInternet Online ApplicationEmployment AgenciesCollegesProfessional AssociationsNewspapers
54 Recruitment by Position CEOInternally recruited from within BP Realty subsidiariesIdeally has strong knowledge and deep understanding of BP’s corporate culturePromotion from within policy will ideally develop a future CEO for BPC Finland
55 Recruitment by Position Country Vice PresidentsInternallyJob posting and biddingExternallyHeadhunters and newspapers, networks
56 Recruitment by Position Chief Officers of Key FunctionsInternallyJob posting and biddingRelocation from other BP Realty subsidiariesExternallyProfessional associationsNetworks, newspapers
57 Recruitment by Position Facility ManagersInternallyThrough promotion (Management Trainee)RelocationExternallyIn the beginning, need for external candidatesLater on, follow company policies (promotions from within)In addition, temporary workforce rented
58 Recruitment Expenses Substantial in the beginning Advertising and employment agency expensesCost of selection processUse of internal recruitmentLowers recruitment costs
60 Selection Process*Applicant can be dropped at any level
61 Application Completion, Review & Background Investigation Stage 1Online application formApplications reviewed and ranked according to job specific keywordsPossible hits are moved to the next levelStage 2- References and work history checked- Applicant reliability assessed at an early stage to screen out mismatches and provide supplementary information on applicants
62 Initial Interview & Employment Testing Stage 3Interviews to be conducted Trained HR interview specialist conducts and reviews interviews (evaluation) at HR Department in Finland initiallyBehavioral description interview (BDI) approach used, increases validityInterviewer evaluation determines whether applicant is dropped or advancedStage 4Outsourced online testing – HR department receives applicant profilePsychological, logical, honesty, leadership and teamwork testing requiredHR department determines whether applicants are an organizational fit
63 Preliminary Selection & Panel Interview Stage 5Group of HR specialists (interviewers, managers) meet and rank applicants in terms of previous performanceMultiple cutoff model is incorporated throughout the selection processGood fits are invited to panel interviewStage 6Panel consists of HR specialists as well as job related fields to increases validityEvaluation based on results of job requirement questionsStage 7Applicants who go to the next level are required to take a medical and drug test (outsourced)
64 Hiring Decision & Process Variations Stage 8HR Manager approves hiring decisions for management level positionsBest fit according to the needs of BPC offered the job, contracts etc. agreed onDecision strategy entails: need for diversity, career advancement within BP, promotion from within, etc.Rejected applicants receive polite notice of denialProcess variationsInterview techniques different according to job level (executive interview will tend to be nondirective by nature)BP employees looking to change jobs receive priority over “outside” applicantsInternship and Management Trainee Program graduates receive precedence over outside applicants.
65 Other Important Issues Cost Considerations: outsourcing of employment and medical exams reduces costs, other selection processes done in-house to ensure organizational needs are given priority - Opportunity cost reduced as right person is hired for the correct jobValidity & Reliability: ensured by rigorous selection process, also by BDI technique, panel interview stage and various other tests - Reliability is ensured by standardized testing i.e. online application, employment tests (job specific)
67 Training Objectives Communicate organizational values Develop people for business successTo build and maintain a strong corporate cultureDevelop loyalty towards the companyIncrease productivity and profitabilityCareer advancement and development
68 Orientation ProgramGoal: To familiarize employees with the corporate culture, policies and structureOrientation is for all new employeesStandardized type of programTakes place at HR Department in FinlandDuration 2-3 days
69 General Training Mandatory Optional Management Communications Cross-Cultural TrainingAppraisal/EvaluationOptionalLanguage TrainingInformation Systems
70 Intern Training Program ObjectivesCreate a recruitment pool for future employeesFamiliarize trainees with corporate cultureCreate organizational fitMethodsOn-the-job trainingProjects and committee assistance3 month intensive full-time
71 Management Trainee Program ObjectivesInitial leadership trainingDevelop management abilities and knowledge in practiceBuild networksCreate organizational fitMethodsTeam work assignmentsProject and committee assistanceService knowledge trainingMentoringIn-class trainingDuration 1 year
72 Facility Manager Training ObjectivesEnsure quality service managementEnhance technical skillsImprove customer relations managementAdvance communication & interpersonal skillsMethodsLecturesGroup activitiesWorkshopsCustomer service trainingProject and committee assignmentsE- LearningOngoing training process
73 Executive Training Program Skill-Based Training:Management of GrowthPerformance managementStrategic managementStress managementClient relationship workshopCreative - Thinking out of the boxMethods:Strategy assignmentsTopical learningSpecialist qualificationTeamworkIntensive 2-3 day seminarsProvided to only the best applicants
74 BP – CENTRO TRAINING PROGRAMS Management traineeFacility managerTop ManagementInternIntern training programManagement trainee programFacility manager trainingprogramExecutive TrainingprogramGENERAL TRAINING PROGRAM
76 Reasons Why BPC Needs Formal Appraisal BPC should use a mix of both developmental and administrative appraisal practices:Support promotion from within policyEnsure that training programs are effectiveMotivate employees to perform betterObjective way of judging performanceProvide documented employee performance historyEvaluation process provides constructive criticism and feedback to employees
77 Management by Objectives (MBO) Philosophy MBO underlying philosophy for BPC’s appraisalUpper management sets strategic vision & goals, MBO filters these ideas down the organizational ladder, where the goals turn into individual performance targetsMBO and Balanced Scorecard techniques usedAll employees’ objectives in line with organizational goals due to MBO
78 Interns Type: Supervisor Appraisal Level: Management Trainee Method: Behaviorally Anchored Rating Scale (BARS)Frequency: Once at end of internshipNo salary increases or bonuses offeredExcellently rated internship will help candidates in selection process
79 Management Trainee Type: Mix of Manager & Peer Appraisal Level: Facility Manager, Other Management TraineesMethod: Balanced ScorecardFrequency: QuarterlyPromotion and salary increases as appropriateTraining according to evaluation
80 Facility Manager Type: 360-Degree Appraisal Level: Subordinates, Domestic Peers, Domestic CVP, CustomersMethod: Balanced ScorecardFrequency: Every 6 months, Customer feedback continuouslyPromotion and salary increases as appropriate
81 Country VPs Type: Manager Appraisal Level: CEO, Chief Officers of Key FunctionsMethod: MBOFrequency: Every 6 monthsPromotion and salary increases as appropriatePerformance based bonuses according to organizational development
82 Chief Officers of Key Functions Type: Manager AppraisalLevel: CEOMethod: MBOFrequency: Every 6 monthsPerformance based bonuses according to organizational development
83 CEO Type: Manager Appraisal Level: Board of Directors UK Method: MBO Frequency: YearlyPerformance based bonuses according to organizational developmentStakeholders should have influence
85 Compensation Objectives & Implementation Process Apply strategic compensation planning approachGo beyond determining what market rates (wage survey) pay to be able to hire and retain the best talentStay within reasonable budgetLink compensation to organizational objectivesValue-added compensation programPay-for-Performance standardWide range of compensation optionsEmphasize Comparable WorthDevelop compensation system that is fair and commensurate with employees needs and expectationsReward enhanced performanceMaintain high retention ratesEstablish open compensation policy standard
86 Indirect Compensation 30% Compensation ModelDirect Compensation 70%Indirect Compensation 30%Pay for Time Not WorkedVacationsSick DaysInsurance PlansMedicalDentalBase PaySalaryIncentivesBonusesDiscounted StockGainsharingSecurity PlansPensionSocial SecurityDisability InsuranceEmployee ServicesEducational AssistanceProduct DiscountsNote: Model will vary according to country standards
87 Relative Job Worth Determined by Job Evaluation Jobs are evaluated by point systemJobs are broken down into factorsDegrees reflect different levels of difficulty associated with each factorPoint manual will be developed according to system usedFacility Manager’s relative job worth highlighted in yellow
88 Point System Example Factors 1st Deg 2nd Deg 3rd Deg 4th Deg 5th Deg SkillsExperience2030405060Knowledge7080Language10Communication90100110Teamwork120AccountabilityResponsibilityProblem SolvingDecision MakingLeadershipJob ConditionsMobility
90 Compensation Policy for Top Management Base salaryStock optionsBonusesExpense accountsCar + phone + apartment (expatriates)Gainsharing
91 Compensation Policy for Middle Management Base salary with “built in” progressionYearly bonusGainsharingPhone
92 Geographical Considerations Quality of life does not vary, salary doesEstablish mechanism to reflect accuretly the cost of livingPay according to the set of accepted standards of living, not salariesRewards are given when most neededNew Year in Russia versus Christmas in Europe
94 Conclusion Flat organization structure Intensive training 3 levels of managementCEOChief Officers of Key Functions and CVPsFacility ManagersIntensive trainingFocus on tranfering corporate culture and valuesImprovement of skillsStandard orientation for all employees
95 Conclusion Internal promotions Equal opportunities for employees Careful selection process8 stagesPerformance appraisal as neededCompensation varies by region70% direct30% indirect