Employee engagement for competitive advantage
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Employee Engagement for Competitive Advantage. Marie Moynihan Human Resources Director Dell EMEA – Home and Small Business. Agenda. Who we are What we are trying to achieve Challenges we face How we engage our employees Globalisation – the employee experience Measuring success Summary.

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Employee engagement for competitive advantage l.jpg

Employee Engagement for Competitive Advantage

Marie Moynihan

Human Resources Director

Dell EMEA – Home and Small Business


Agenda l.jpg
Agenda

  • Who we are

  • What we are trying to achieve

  • Challenges we face

  • How we engage our employees

  • Globalisation – the employee experience

  • Measuring success

  • Summary


Who we are l.jpg
Who We Are

  • #1 computer systems company in the world*

    • #1 in US, #2 in EMEA, #3 in Japan, #4 in Asia Pac

  • Pioneered direct model

  • Fastest growing and most profitable company in our industry

  • $45.4 billion in global revenue

  • Fortune 31 Company

  • Almost 50,000 employees worldwide

  • #1 computer systems company in Ireland

  • 4,500 employees in Ireland

    • 40% of Dell EMEA employee base

  • Ireland home to Dell’s European Manufacturing Facilities

  • Dell is Ireland's largest exporter, largest technology company and its second largest company overall**

  • IDC Q2 2004 Final Data

  • ** Irish Exporters’ Journal and Business and Finance 2004


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20 Years of Unprecedented Success

50

41.0

40

30

20 year inflation adjusted revenue

20

10.7

*

10

*

4.7

2.0

0.3

0.1

0

Founded:

IPO:

1975

1986

1962

1970

1878

1896

1939

1957

1888

1911

1984

1988

* Forerunner companies used to count down first 20 years of existence

Note: 20th year revenue: GE’s = $22M (1898); Walmart’s = $2.4B in (1982); Microsoft’s = $9B (1995); HP’s = $48M (1959); IBM’s = >$5M (1908)

Source: Company archives, websites and annual reports; Fortune.com; Inflation rates from Bureau of Labor Statistics (BLS)


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What We’re Trying to Achieve WW: $60B

Dell Revenue by Product

S&P

Services

Server/

Storage

Client

Systems


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Product Leadership

The best products

Grow in servers, storage, services and printer markets

Maintain price and cost leadership in all products

No weakness in: features, availability, reliability, value and speed to market

Customer Experience

Best value due to lowest cost

Most critical beyond-the-box support

Easy to do business with Dell

Globalisation

Grow outside United States at a multiple of market growth

Transfer global best practices

Accelerate share gain by focusing on most critical countries, products and customer segments

Winning Culture

Develop leadership skills

Encourage personal accountability

Build a workforce of diverse backgrounds, skills and potential

Maintain high standards of ethics and integrity

Key focus areas of our mission


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The Challenges We Face to Get to $60B

  • An increasingly competitive IT market

  • Industry consolidation and globalisation

  • Maintain lowest cost structure for competitive advantage

    • Intense pressure to control/lower operating costs – do more with less

  • Need to expand portfolio of products and services

    • Greater complexity for employees

  • Need to grow global workforce, adding new employees in new locations, without compromising quality of the Customer Experience we deliver

  • Managing dynamic change


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How We Respond

  • Foster a culture where there is a constant awareness and focus on staying ahead of the curve amongst all employees

    • Continual improvement is in our DNA

  • Focus on a culture of ‘winning’ and clear demonstration of what is in it for our employees

  • Align our people to our business goals

  • Apply the same rigour and focus to building a great place to work as we have to building a great financial company

  • Measure metrics hourly, daily and weekly

    • For customer satisfaction, business performance and employee engagement


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The Dell Team is Central to Our Values & Success

We are committed to…

  • Being a meritocracy

    • We value accountability and reward those teams and team members who continually improve their capability and contribution.

  • Developing, retaining and attracting the best people, reflective of our worldwide marketplace.

    • Hire and promote based on performance, capability and qualifications as key criteria. Look first to promote from within Dell.

    • Providing training and learning opportunities to maximize team and individual performances.

    • Investing in our people leadership capabilities as a competitive advantage.

    • Managing our talent as a key asset.

    • Utilizing job assignments across and within regions to build global leadership capability.

    • Promoting an environment that values individual differences, engages people in decision-making and encourages employees at all levels and across all parts of the company to work as a team.

    • Maintaining base pay and benefit programs competitive with successful companies relevant to our marketplace.

The Soul of Dell

At Dell, we value and are committed to:

  • Customers:Creating loyal customers by providing a superior experience at a great value.

  • The Dell Team: Our continued success lies in teamwork and the opportunity each team member has to learn, develop and grow.

  • Direct Relationships:Being direct in all we do.

  • Global Citizenship:Participating responsibly in the global marketplace.

  • Winning:Having a passion for winning in everything we do.


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How We Engage Our Employees

  • Competency based hiring – drive for results, flexibility, tolerance for ambiguity are key attributes

  • Objectives agreed and reviewed quarterly with each employee

  • Expectation that each employees has an Individual Development plan which is worked on with direct manager

  • Minimum 40 hours training per employee per year

  • Meritocracy – pay for performance and profit related bonuses

  • Open job postings advertised with preference given to internal candidates


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How We Engage Our Employees

  • Open and regular communication – strategy and business results shared, metrics reviewed daily in huddles

    • All staff meetings quarterly with question and answer session

    • Employee meetings with visiting senior executives – Michael Dell and Kevin Rollins

    • Quarterly Middle management meetings

    • Regular employee forums with senior managers (brown bag lunches)

    • Recent standing employee forum concept launch in UK/I sales

    • One to One meetings - typically bi-weekly – minimum monthly

  • Coaching and mentoring programmes

  • Weekly bulletin; monthly printed newsletter featuring company news plus Dell employees at work and in the community

  • Focus on non-work personal development

    • Community Involvement/volunteerism actively encouraged

    • Sports and Social events


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How we engage our employees – BPI

  • BPI is a set of tools and skills used to understand, investigate and improve business processes.

  • BPI Mission:

  • To empower employees with the knowledge, skill and tools in order to make Dell more efficient through reduced cycle time, improved quality or lower costs.

  • Why has Dell made BPI a priority? Because of its inherent benefits:

BUSINESS: Quality, cost savings (more than $1.55B during FY04)

EMPLOYEES: Effective teams, empowerment, career enhancing

CUSTOMERS:Better Customer Experience through cost, quality and cycle time improvements


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Globalisation – the employee experience

  • Globalisation strategy enables growth by reaching new markets and ability to leverage resources around the world to provide our customers everywhere with great value and services, 24x7

  • For UK & Ireland, this means dual site strategy for the home and small business (HSB) market with sales and support locations in both Ireland and India

  • Initial reaction amongst employees of fear and uncertainty has changed due to lack of impact on employment & one team approach

  • Keys to success:

    • Open communication

    • Sending employees on assignment to new locations – this has helped to create more of a sense of one team

    • Integration: regular updates on Indian team, features on Indian team in newsletter and other communication forums

    • Ongoing focus on sharing best practice with new teams in new locations

    • Growth brings opportunity: career development through redeployment & training


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Employee

Engagement

Trust

Providing

Feedback

Developing

Capability

Creating

Alignment

Winning

Culture

Work/Life

Effect.

Instilling

Ownership

Managerial

Effectiveness

Inclusion

Measuring How We’re Doing: “Tell Dell”

  • Twice-a-year, all-employee survey

    opinions on important drivers of Employee Engagement and a Winning Culture

Which all drive


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Summary

  • Engagement requires understanding and buy-in to the dream!

    • Understanding is built on good communication, clarity of purpose and teamwork

    • Buy-in is based on people identifying with the dream either from a personal or organisational perspective, ideally both!

  • Also recognising & acting upon the fact that people need to have fun and a bigger sense of community.

  • Applying equal focus to building a great company & a great place to work


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