KONE Sustainability Report 2017

KONE 2017 | SUSTAINABILITY REPORT Being the best employer and attracting talent 35 CONTINUOUS LEARNING KONE’s new strategy, Winning with cus- tomers, focuses on putting the needs of our customers and users at the center of all development at KONE. People are key to the new strategy’s success, which requires us to develop and obtain new competences in the fields of digitaliza- tion, partnering, understanding custom- ers’ businesses and project management. KONE supports its employees in devel- oping their competencies with over 3,900 training programs and online modules. Over 6,500 employees had the chance to try out new learning methods such as virtual reality, gamification and mobile toolbox talks. KONE’s global learning management system, konelearning.com makes train- ing options more visible and simplifies the management of certifications, train- ing requirements, and personnel develop- ment. Mobile learning is in active use in several countries. Job rotation is an important way for KONE employees to develop their skills and knowledge. It also helps boost collab- oration. Visit-a-job is our concept to drive short-term job rotation across units and countries. We continued to develop global learn- ing programs for all leaders at KONE, from executives to first line managers. In 2017, we introduced new learning enti- ties related to strengthening an outside-in Employees, 2017 Total number of employees, year end 55,075 Share of women in employees, % 12 Share of women in management teams (492 persons), % 17 Share of women in the Executive Board, % 7 Share of women in the Board of Directors, % 38 Total turnover rate, %, compared to 12 month average headcount 7.6 Age distribution, 2017 30 and under 31–50 51 and above All KONE employees 33% 52% 15% Executive Board 0% 60% 40% Board of Directors 13% 13% 75% Gender distribution per market, 2017 Men Women EMEA 85% 15% Asia Pacific 90% 10% Americas 89% 11% Employees per contract type, 2017 Employees with Permanent contract 97% Females with Permanent contract 97% Males with Permanent contract 97% Trainings Training programs and online modules 3,900 Training centers 30 konelearning.com coverage 95% of personnel Completed online courses 226,000 in 29 different languages International trainee program 2,054 applications, 12 trainees representing 9 nationalities perspective, agility, leading change as well as talent and diversity building. Professional growth At KONE, we strive to have the best possi- ble professionals with the right competen- cies in each position. We facilitate this effort through regular performance discussions between individual employees and their managers, which take place at least twice a year. In 2017, over 99% of eligible staff and over 92% of eligible operatives reported in the tool having taken part in performance and development discussions. In addition to using these discussions to set goals and review job content, KONE managers are advised to discuss employee well-being, as well as career development and growth opportunities. We actively encourage all employees to prepare individual development plans, and in 2017, we achieved a level of 92% of eligible employees with their development plans in place. Attracting talent KONE’s apprentice programs in key coun- tries are a good way for us to recruit new professionals. We also collaborate actively with educational institutions. In 2017, we started a collaboration with several new schools world-wide. We also continued our promoters program to pro- vide information about KONE in schools, universities, and other relevant sites. The KONE International Trainee Pro- gram offers students and graduates oppor- tunities to work on projects at different KONE units around the world. KONE also offers various summer traineeships and thesis opportunities in several countries. FAIR EMPLOYMENT PRACTICES At KONE, creating a great place to work means treating every employee fairly and providing a safe working environment. Clear rewards Our total reward framework consists of easy-to-understand policies, guidelines, and practices that are aligned with our business strategy and development pro- grams. We invest significantly in a range of monetary and non-monetary rewards offered to employees. This framework focuses on pay for performance and our aim is to make it transparent and to com- municate about it clearly. While reward policies are consistent across KONE, the practices are flexible to meet local needs. The compensation and other benefits of the Board of Directors, President and CEO, and the Executive Board are disclosed in KONE’s Annual Review 2017 (p. 58–59). Employee agreements are managed on a national level, and there are differences in national legislations. Approximately 60% of KONE’s employees are covered by collective bargaining agreements.