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Satisfied and motivated personnel aim for top results

High standards of People management ensure the competence, well-being and equal treatment of our committed, motivated, and professional personnel. Supervisors implement our consistent company and leadership culture into our everyday work in a natural and consistent way.

We support our employees’ development with internal job rotation, on-the-job learning and training solutions. People Reviews play a key role in developing our personnel. The People Reviews focus on performance management, targets and competence development

Further development of supervisor work and leadership is essential. Among other things, we use 360 degree assessments, coaching and various internal and external trainings for improving supervisor work. We have linked our mutually agreed leadership principles to supervisors’ 360 degree assessments and the Hakkapeliitta Leader simulation game.

We introduced the gamified HakkapeliittaGo training platform throughout the entire company in 2017, which is an innovative way to enable learning in teams. In 2017, we also renewed our Hakkapeliitta eAcademy training portal that is used for flexible e-learning across the group.

As we revised our organisational structure late in the year, we offered supervisors support with change management and communication through global Skype training sessions, among others.

As necessary, we also tailored trainings based on individual units’ development needs, the business strategy and business goals. In 2017, we developed our sales and sales management with the global Sales Academy training programme, which strengthened the skills of supervisors and salespersons. For sales supervisors, we organised international Sales Coaching trainings with the aim to harmonise the leadership culture in sales and help salespersons reach even better results. We arranged local Sales Skills Trainings for sales teams based on a sales process defined together with the salespersons. In particular, the training focused on identifying customer needs and improving sales skills. In addition to improving our sales and customer service performance, we used training to support our growth ambitions in Central Europe and North America.

Overall, the development of competence mainly comes from on-the-job learning in various projects, problem solving, job rotation and new tasks. 

Leadership principles grow out of our values

Our leadership principles are a practical tool for supervisors throughout the group and they establish a basis for improving and tracking leadership. This way, all supervisors know how we are assessing supervisor work, how they should improve as supervisors and how they should develop their own team. Creating a consistent company and leadership culture starts with ensuring consistent leadership and supervisor work that meets our company’s needs. Ultimately, however, it is everyone’s business.

  • Lead by example. Be a role model who promotes the Hakkapeliitta culture! 
  • Develop your team. Seek and offer your team opportunities to develop! 
  • Show the way forward. Set engaging goals and support your team’s ambition! 
  • Encourage continuous improvement. Contribute to an innovative and open atmosphere! 
  • Take responsibility for quality and results. Inspire your team toward an entrepreneurial mindset!

The Drive! personnel survey is a chance to make a difference

Our annual Drive! personnel survey is an important tool for developing our organisation and company. It enables our personnel to actively and comprehensively give feedback on matters that have improved their job satisfaction or that need improvement.

Of all group personnel, 91.3% responded to the 2017 survey (88.7% in 2016). The overall score – the People Power index that measures employee engagement and prerequisites for engagement – grew on the group level. The trend has been positive in the past three years, which means that employee engagement has improved. All in all, we improved our performance in all the indices in 2017: leadership, commitment, performance and engagement were all higher than the international norm, with engagement clearly exceeding the international norm.

Our personnel responded that the quality of our products and services is excellent and that our values are clear and worth pursuing. We also received praise for the freedom to express opinions, appreciation of work and the clarity of goals. Out of all the respondents, 92% considered that our company takes care of corporate social responsibility well. 85% of all respondents and 77% of production workers thought that their working environment is safe. Both of these scores improved compared to the previous year.

The identified development needs were particularly focused on supervisor work, inclusion and information flow. We also organised a virtual workshop where the employees could actively present ideas for our company’s future success and share their competence.

The importance of working together and developing shared processes, operating models and a shared working environment were evident from both surveys’ results. In Nokia, for example, the results will be used for reviewing workspaces in order to improve the working culture.

Supervisors communicated the Drive! survey results to the entire organisation. They received special Drive! coaching on reviewing the results with their teams, identifying improvement needs and implementing the action plan with their teams. In addition, HR and occupational well-being coordinators have actively participated in the review sessions. Review sessions were arranged for all production shifts, for example, and the process included identifying teams that need special support.

 

Result of Drive! Personnel survey (overall result measured with People Power index)

Result of Drive! Personnel survey (overall result measured with People Power index)
2013 2015/2016 2017
Nokian Tyres Finland 63.9 61.5 67.3
Nokian Tyres Russia and Kazakhstan 69.0 73.8 74.9
Sales companies 72.7 72.8 70.4
Vianor 76.3 75.4 76.4
Nokian Tyres Group 69.7 70.8 71.8

People Reviews

Our performance appraisals, the People Reviews, shape our direction in the near future and set concrete targets for the daily work based on the business strategy. These discussions are also an important part of supervisor work, and they are essential for competence development.

The People Reviews assess how well the set targets have been reached and look at the overall performance in line with our values. They also go through the targets for the coming year, discuss the prerequisites for success and review competence development needs in terms of the targets and the future needs. The People Reviews are recorded in an electronic tool and reported to the management.

In early 2017, the all managers received training on the importance of the People Reviews, performance management and the process itself. According to our People Review process, which was established in 2015, our group’s office employees have two reviews and production workers one review each year. The People Reviews include all of our personnel regardless of gender or employee group.

In 2017, a total of 83.4% of our personnel had a People Review session (86% in 2016). Year over year, the numbers were higher in our sales companies. In Vianor, on the other hand, the challenging year and ongoing profitability improvement programme resulted in decline in the conducted People Reviews. In 2018, we will pay special attention to making the People Review process a more integral part of leadership also in Vianor. We will also continue offering global supervisor training and particularly focus on improving performance assessment and conducting assessments fairly.

The Drive! survey results indicate that the People Reviews are considered to be beneficial, and they demonstrate a positive connection to employee satisfaction in each survey topic, regardless of the employee group.

People Reviews' implementation (realisation, %)

People Reviews' implementation (realisation, %)
2015 2016 2017
Nokian Tyres Finland 79.4% 97.4% 99.7%
Nokian Tyres Russia 100.0% 100.0% 100.0%
Vianor 37.6% 75.1% 87.0%
Sales companies 79.7% 69.8% 56.3%
Nokian Tyres Group 82.8% 86.0% 83.4%

Workday brings People processes to the digital era

The implementation of the new HR information system, Workday, advanced in 2017 according to plan. It will be introduced across the group in early 2018. The significant HR processes will be integrated into the HR information system within the next two years. Harmonising practices is one of the first steps towards our shared vision: one company – one team.

The new system helps us harmonise our people processes, and it will support business decision-making with real-time data and analytics. This way, we can support the formation of global teams and international rotation as well as business management. After its implementation, Workday will promote equal treatment and transparency in our company. Workday compiles all employee data into a single location, which simplifies data management and speeds up the flow of information. Each employee can check and update their information in the system.

Small initiatives bring lots of joy to local communities

Small initiatives bring lots of joy to local communitiesWe influence society in many ways: In Nokia, we are one of the major employers. In Russia, we built housing for our personnel. We pay taxes that support the well-being of people in several countries. We are also actively involved in making road traffic safer. We believe that even small actions matter and, in 2017, we carried out many initiatives with our personnel.

In Nokia, we helped children in need in the Tampere Region through our collaboration with the Tampereen Hope ry association. Nokian Tyres donated business gifts for Hope to sell, and our employees had the opportunity to buy products. In a 2017 initiative, we raised nearly EUR 5,500 for the association to buy, among other things, food vouchers for Christmas for families in need. Our employees have also spread joy by raising money for new school bags and supplies at the start of the school term and donating Christmas presents to children through the Hope association.

In Russia, our employees made a difference by purchasing gifts that a charity organisation delivered to lonely, elderly people in need. We have also started to organise a clothes collection drive twice per year. Some of the clothes are sold through Kiitos charity shops and some are delivered directly to people in need. Worn out clothes are sent for recycling. In the 2017 campaign, our employees collected some 200 kg of clothes. They were donated to Kiitos charity shops, and the money went to helping homeless people in St. Petersburg. Unsold clothes were donated to the residents of the Borisova Griva village.

We also participated in making the roads in Nokia safer for children together with a local association that organised a children’s safety event. Nokian Tyres supplied Pirkanmaan Karting ry with three junior karts within the Flying Finn 100 youth sport campaign. Before the karting club juniors started training with the new vehicles, our employees’ children got the opportunity to take them for a test drive.

Our units around the world organise various initiatives and take both small and large actions for a safer, more equal and better tomorrow.

Total workforce by employment type, employment contract and region, broken down by gender

Total workforce by employment type, employment contract and region, broken down by gender
Nordic Russia and CIS CE and Eastern Europe North America The rest of the world Total
Total workforce on 31.12.2017 2,602 1,532 170 195 14 4,513
Women 388 233 64 18 8 711
Men 2,214 1,299 106 177 6 3,802
Total number of own employees 2,558 1,532 169 195 14 4,468
Women 378 233 63 18 8 700
Men 2,180 1,299 106 177 6 3,768
Number of supervised workers 44 0 1 0 0 45
Women 10 0 1 0 0 11
Men 34 0 0 0 0 34
Total number of seasonal employments in Vianor during 2017 1,375 0 0 5 0 1,380
Permanent 2,453 1,458 168 195 0 4,274
Full-time 98.3% 100.0% 95.2% 97.4% 100.0% 98.7%
Part-time 1.7% 0.0% 4.8% 2.6% 0.0% 1.3%
Women 14.2% 12.3% 36.9% 9.2% 58.3% 14.2%
Men 85.8% 87.7% 63.1% 90.8% 41.7% 85.8%

Total number and rate of new employee hires and employee turnover by gender, age group, and region

Total number and rate of new employee hires and employee turnover by gender, age group, and region
Nordic Russia and CIS CE and Eastern Europe North America The rest of the world Total
Total number of new employees 466 304 127 36 1 934
Number of women 85 68 53 5 0 211
Number of men 381 236 74 31 1 723
Number of under 30 years old 218 177 16 19 0 430
Number of 30-50 years old 207 127 98 12 1 445
Number of over 50 years old 41 0 13 5 0 59
New employee hires rate (Total) 18.2% 19.8% 75.1% 18.5% 7.1% 20.9%
Percentage of women 3.3% 4.4% 31.4% 2.6% 0.0% 4.7%
Percentage of men 14.9% 15.4% 43.8% 15.9% 7.1% 16.2%
Percentage of under 30 years old 8.5% 11.6% 9.5% 9.7% 0.0% 9.6%
Percentage of 30-50 years old 8.1% 8.3% 58.0% 6.2% 7.1% 10.0%
Percentage of over 50 years old 1.6% 0.0% 7.7% 2.6% 0.0% 1.3%
Nordic Russia and CIS CE and Eastern Europe North America The rest of the world Total
Total number of terminated employees (fixed terms not included) 327 132 19 41 2 521
Number of women 30 39 8 8 0 85
Number of men 297 93 11 33 2 436
Number of under 30 years old 77 55 3 28 1 164
Number of 30-50 years old 173 76 15 8 1 273
Number of over 50 years old 68 1 1 5 0 75
Turnover rate (Total) 12.8% 8.6% 11.2% 21.0% 14.3% 11.7%
Percentage of women 1.2% 2.5% 4.7% 4.1% 0.0% 1.9%
Percentage of men 11.6% 6.1% 6.5% 16.9% 14.3% 9.8%
Percentage of under 30 years old 3.0% 3.6% 1.8% 14.4% 7.1% 3.7%
Percentage of 30-50 years old 6.8% 5.0% 8.9% 4.1% 7.1% 6.1%
Percentage of over 50 years old 2.7% 0.1% 0.6% 2.6% 0.0% 1.7%

Composition of governance bodies and breakdown of employees per employee category according to gender and age group

Composition of governance bodies and breakdown of employees per employee category according to gender and age group
Nordic Russia and CIS CE and Eastern Europe North America The rest of the world Total
Number of individuals within the top management 18 2 4 2 1 27
Number of women 5 0 0 0 0 5
Number of men 13 2 4 2 1 22
Percentage of women 27.8% 0.0% 0.0% 0.0% 0.0% 18.5%
Percentage of men 72.2% 100.0% 100.0% 100.0% 100.0% 81.5%
Number of under 30 years old 0 0 0 0 0 0
Number of 30-50 years old 8 2 3 2 1 16
Number of over 50 years old 10 0 1 0 0 11
Percentage of under 30 years old 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
Percentage of 30-50 years old 44.4% 100.0% 75.0% 100.0% 100.0% 59.3%
Percentage of over 50 years old 55.6% 0.0% 25.0% 0.0% 0.0% 40.7%
Number of white collars 1,105 385 165 95 13 1,763
Number of women 264 175 63 18 8 528
Number of men 841 210 102 77 5 1,235
Percentage of women 23.9% 45.5% 38.2% 18.9% 61.5% 29.9%
Percentage of men 76.1% 54.5% 61.8% 81.1% 38.5% 70.1%
Number of under 30 years old 79 109 19 17 1 225
Number of 30-50 years old 714 260 118 43 12 1,147
Number of over 50 years old 312 16 28 35 0 391
Percentage of under 30 years old 7.1% 28.3% 11.5% 17.9% 7.7% 12.8%
Percentage of 30-50 years old 64.6% 67.5% 71.5% 45.3% 92.3% 65.1%
Percentage of over 50 years old 28.2% 4.2% 17.0% 36.8% 0 22.2%
Number of blue collars 1,435 1,145 0 98 0 2,678
Number of women 109 58 0 0 0 167
Number of men 1,326 1,087 0 98 0 2,511
Percentage of women 7.6% 5.1% 0.0% 0.0% 0.0% 6.2%
Percentage of men 92.4% 94.9% 0.0% 100.0% 0.0% 93.8%
Number of under 30 years old 321 344 0 17 0 682
Number of 30-50 years old 800 766 0 63 0 1,629
Number of over 50 years old 314 35 0 18 0 367
Percentage of under 30 years old 22.4% 30.0% 0.0% 17.3% 0.0% 25.5%
Percentage of 30-50 years old 55.7% 66.9% 0.0% 64.3% 0.0% 60.8%
Percentage of over 50 years old 21.9% 3.1% 0.0% 18.4% 0.0% 13.7%
Composition of the Board 6
Number of women 2
Number of men 4
Percentage of women 33.3%
Percentage of men 66.7%
Number of under 30 years old 0
Number of 30-50 years old 2
Number of over 50 years old 4
Percentage of under 30 years old 0.0%
Percentage of 30-50 years old 33.3%
Percentage of over 50 years old 66.7%

*The information in all charts above has been compiled from local HR systems.

This page is included in KPMG’s assurance scope. Assurance report can be found here.