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Human resources

Human resources

Kesko and its chain stores offer versatile jobs and career choices. Kesko has an average of 18,215 employees in eight countries. Kesko's most international division is Rautakesko, with 95.4% of its employees working outside Finland. In all, the K-Group – Kesko and the retailer entrepreneurs – employ some 45,000 people. In the trading sector, Kesko aims to be the most attractive workplace, to have the most competent and motivated people, and to have the best labour productivity.

Kesko is a good place to work

Aiming to be the most attractive workplace in the trading sector

Job satisfaction among own employees and the availability of competent people are of primary importance in the trading sector. The state of the working community and the quality of management are measured with an annual personnel survey. Office-specific development plans are prepared on the basis of the survey results. The results of the personnel survey are presented in Kesko's Corporate Responsibility Report.

The external employer image is monitored with the help of many surveys. In the 2010 Universum Young Professionals survey, Kesko was ranked 36th (18th) and in the Universum student survey the rank was 18 (18). In the survey made by T-Media among upper secondary level students, Kesko ranked 19th (17th).

Kesko carries out close cooperation with students and teachers in different sectors. In 2010, a new programme was launched to provide teachers with an opportunity to familiarise themselves with store practices and duties with a help of on-the-job training and eLearning.

The most competent and motivated people in the trading sector

Systematic and continuous development of staff competence is one of the key factors by which we want to ensure good customer service and the implementation of our stores' competitive advantages in practice. Besides being reflected in day-to-day work, staff competence and motivation also improve labour productivity at Kesko and its chain stores.

K-instituutti Oy, a Kesko subsidiary, is responsible for the centralised planning and production of training services for Kesko and its chain stores. Its duties include ensuring that personnel development solutions are practical and efficient. Annual plans and training programmes for competence development are prepared with business units. Training programmes are implemented by K-instituutti and selected training partners. In 2010, there were 24,300 participants at the training events offered by K-instituutti and the total number of training days amounted to 32,406.

The online learning environment is increasingly used in training programmes. More than 400 K-Food Specialists, for instance, have been trained for K-food stores with the help of an eLearning programme.

The year 2010 marked the 50th anniversary of the Master Sales Assistant training. During the anniversary year, the training had more than 16,500 participants in 13 different product lines. The aim is a continuous enhancement of customer service, sales skills and product knowledge in cooperation with suppliers. The training was also implemented at more than 100 business colleges and polytechnics, in which some 5,000 students participated.

Management and leadership

Management and leadership are based on K-Group values and responsible working principles. The development of leadership and working communities is one of the focal areas and an essential part of improving wellbeing at work.

The annual personnel survey plays a key role in measuring the operations of the working community, and the quality of management. A similar survey is conducted throughout Kesko and its chain stores. In 2010, replies were received from 74% of the employees of the companies included in the survey. Active leverage of survey results in managerial work and the efficient implementation of concrete development activities are of essential importance.

One of the key tools in efficient performance management and the motivating leadership of immediate superiors is the performance and development review whose implementation is included in the personnel survey. 72% of the employees have had a performance and development review during the past year, and rated their satisfaction with the review as 3.98 (scale 1–5).

Leadership skills and career progress are supported by superior, specialist and management training programmes targeted to Kesko employees and store superiors. Training programmes were revised in 2010 and the revised programmes will be started in 2011. The themes common to all management are handled at the annual training. In addition, development programmes of current interest are organised for management and other key employees, with some 200 participants annually.

Labour productivity

The work and productivity programme launched in 2008 continues. Labour productivity improved in most divisions in 2010. The Group's staff cost decreased by 2.7% from the previous year. Productivity has been increased by improving the efficiency of operations and by introducing electronic tools. Retail stores have, above all, focused on the adoption of different working hour models and work shift planning, as well as the development of sales and customer service skills.

In autumn 2010, Kesko recruited a manager to promote projects and operations models related to wellbeing at work. Long-term company- and office-specific projects focusing on wellbeing at work were continued. The aim is to improve employees' working capacity and motivation, reduce sickness absences and raise the retirement age.

In Finland, Kesko's Occupational Health Service Unit focuses on operations that maintain work ability and promote the wellbeing of the working community. Currently 30–40% of the total occupational health costs are allocated to these activities. In other countries, occupational health services have been arranged according to the local practice and legislation.

Support for personnel's recreational activities is provided through joint staff clubs and in the form of company-specific contribution.

Most of Kesko's employees belong to an incentive system. The management's incentive systems are described Kesko's Corporate Governance.

Information about HR affairs will also be available in the Corporate Responsibility Report for 2010.

Kesko promotes wellbeing at work

Staff Club activities create community spirit and encourage employees to enjoy physical exercise and culture. The range covers dozens of activities from weaving to gym ball exercise.