l’oreal (case study) : managing the diversity - describing the ob tools of a successful company
DESCRIPTION
A focus on organizational behavior tools used by the famous groupTRANSCRIPT
D E S C R I B I N G T H E O B T O O L S O F A S U C C E S S F U L C O M P A N Y
L’Oreal Case :Managing the diversity
Presented by Romain Corraze
I / P R E S E N T A T I O N O F L ’ O R E A L
I I / M A N A G I N G T H E I N D I V I D U A L
I I I / M A N A G I N G T H E G R O U P
I V / F O C U S O N D I V E R S I T Y
V / S O M E C R I T I C S
V I / R E C O M M A N D A T I O N S
Summary
Presentation of L’Oreal
World leader of the cosmetic industry
Founded in 1909 by Eugène Schueller
Fist success on the Hair pigmentation market
3 researchers in 1920, More than 2900 in 2006
More than 51 000 employees all around the world
Turnover : 15,79 Billions euros in 2006, with a growth of 8,7% compared to 2005
Professionnal products Consumer products
Luxury products Active cosmetics
Key figures
P R O F E S S I O N N A L A N D P E R S O N N A L D E V E L O P M E N T
Managing the Individual
Career development and rewards
Employees stimulation
Employee training and education
Employee appraisal
Career development and rewards
« Focus on talents, and on the way they can be improved »
Employees helped in their career developments .
Encouraging mobility through transfer position promotions .
Rewards through pay rises, internal promotions or transfer positions .
Employees stimulation
Notion of Embracing Management and Integrative Management .
Geographical mobility is an opportunity for everyone .
High working cadency.
Fringes benefits .
Employee training and education
« 70 % on an employee global formation is going on everiday at work»
Training
People and talents
development
CorporateCulture
understanding
Supporting the implementation
of jobs and organizations
change
Employee training and education
Training sessions in rooms .
Bi-Annual development interview .
Management Development Centers
Employee appraisal
Annual appraisal through interviews .
Personal interview focused on evaluation, needs and professionnal aspirations .
«Defining expansion plan of individuals within the company»
Manage with
generosity
Ability to develop job sensibility
Ability to undertake
Ability to innovate
Ability to get results
To deal with
complexity
Interactwith
efficiency
Management competencies (L’Oreal competency scale)
Managing the Group
Internal communication
External communication & Brand image
Managing customers with care
Resolving internal conflicts
Managing the diversity
Internal communication
IC is well organized and used in an hierarchically way .
Daily information emails (News, Benchmark, Market analysis,…) .
Email used as a critical way of communication between teams, top
management and direction .
External communication & Brand image
External communication is taking place through promotions, Public relation,
Press and Interactive communication .
Activities : Events, Sponsoring, Proposals for international
marketing campaigns, Buzz,…(ex : Biotherm’s Self tanning lotion)
Importance of a luxury brand image .
Activities : Sponsoring, Events
Managing customers with care
A strong customer-responsive culture .
Creation of special clubs (VIP Club, Privilege Club) .
Resolving internal conflicts
HumanRessources
Director
EmployeeY
EmployeeX
Human Ressources
Director
EmployeeY
EmployeeX
Conflict Resolving Conflict
F O C U S I N G O N E T H I C A N D C U L T U R E A T L ’ O R E A L
Managing diversity
A strong culture
Ethical principles
Reflecting diversity
Diversity is a priority (extract from L’Oreal website)
A strong culture
Embracing Culture and Short Hierarchy procedures .
Presence of a voluntary confusing structure to promote autonomy and
collaboration .
A supple company : a oral communication rather than « written procedures » .
Diversity is a core value of l’Oreal .
Ethical principles
Law respect
Individual respect
Consumer respect
Environement respect
Partnerships with customers & suppliers
Loyalty & integrity
«Show to employees partners that l’Oreal is honoured and honourable»
Reflecting diversity
Reflect in its team and at every level, the diversity of its clients .
Promote the access of women to high responsability position and a better equity
Promote work for disabled people .
« Diversity and Performance » Chair at ESSEC Business School .
« Diversify profiles will bring new perspectives »
« Focus on a managerial culture which fosters the inclusion of all
employees and capitalise team diversity »
« We are dedicated to understanding and serving that diversify
effectively with products attuned to each culture, each need »
Reflecting diversity
Reflecting diversity
2004 : The Diversity Best Practices Leadership Award .
2005 : The Anti-Defamation League’s International Leadership Award .
2004 : The World Diversity Leadership Council’s Diversity Innovation Award .
2007 : Ethnisphere Magazine ranked l’Oreal as one of the « World’s most ethical
companies » .
But finally…Diversity ? A recent integration in l’Oreal’s strategic management ?
Some critics
Contrast with the value of autonomy argued by l’Oreal
Work in emergency : a real strategy or a lack of performance ?
Pressure on employees
Recommandations
Releasing stress BUT with care
Simplifying validation process
Listening employees
Thank you for your attention