Annual Report 2010/11 - Sonova

EMPLOYEES
FOCUS ON PEOPLE
One of the key factors that drives success in the hearing
care industry is continuous innovation in products and
services. Whether the goal is to boost the performance of
a hearing system or give customers better advice, motivated,
dedicated and creative employees are an absolute
must. Preserving and enhancing a unique corporate culture
based on flat hierarchies, respect for all employees,
an approach oriented to performance and goals, accountability
for one's own actions, a high level of transparency,
and open communication is thus a high priority at Sonova.
Sonova has a Group-wide employee mission statement that
gives primary importance to people. Personal success by
employees also means sustainable success for the company
as a whole, and the added value the company offers is based
to a large extent on team effort.
PERSONNEL DEVELOPMENT IS A HIGH PRIORITY
Sonova fosters employee development within the Group
over the long run and continuously offers different types
of training. A central aspect of HR development is having
a professional employee assessment system in place with
integrated career planning that ensures that more than
70% of all key positions can be replaced by potential
internal successors.
The training programs derived from career planning are
conducted either internally by the Sonova Academy or by
external institutes. This training focuses on leadership,
personality development, sales, and understanding the
company as a whole. Group-wide training programs are
regularly held for various management levels. The training
groups are usually comprised of international participants
so that, in addition to just the specific content of the training,
experiences can be shared across borders and cultures.
In addition to the broad spectrum of training courses,
the newly introduced microlearning platform “Bridge2know”
makes a significant contribution to promoting the
exchange of knowledge.
SUSTAINABILITY
In financial year 2010/11, some 4,000 employees attended
training and professional development courses.
FOCUS ON VALUE CREATION
The effectiveness of all HR processes is subject to systematic
measurement at Sonova. Every individual employee’s
performance and development is documented and evaluated
in a systematic assessment process. The performance and
effectiveness of the employee is measured using among
others the Human Return on Investment (HCROI), which is
calculated with reference to total sales generated and total
costs and separated into HR-related and non-HR-related
costs.
For financial year 2010/11, Sonova's HCROI was 1.480. This
means that every CHF invested in an employee generates
CHF 1.480 in returns. By way of comparison, the pharmaceuticals
sector generates an average of 1.10 and general
industry 1.02 per invested currency unit (European Human
Capital Effectiveness Report, PriceWaterhouseCoopers).
With above-average results, Sonova has also been significantly
ahead of its competitors for some years now.
HUMAN CAPITAL ROI OF SONOVA
in CHF m FY 2010/11 FY 2009/10 FY 2008/09
Sales 1,616.7 1,500.3 1,249.2
Total costs 1,345.9 1,248.9 926.4
HR-related costs
Non-HR-related
564.5 467.4 396.6
costs 781.4 781.52) 529.8
HC ROI1) 1.48 1.86 1.81
1 Human Capital ROI = (Sales – non-HR-related costs)/HR-related costs.
2 Restated based on the finalization of the acquisition accounting of Advanced
Bionics.
EMPLOYEE CODE OF CONDUCT
The values and rules of behavior for Sonova Group employees
are set down in an employee Code of Conduct applicable
across the Group. Proper ethical conduct is a regulated component
of the corporate culture as it strengthens the Group’s
reputation and establishes it as a reliable partner for the long
term.
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