FGV Annual Report 2017

ANNUAL INTEGRATED REPORT 2017 UNDERSTANDING OUR BUSINESS CONTEXT 33 OUR HUMAN CAPITAL DEVELOPMENT Management Discussion & Analysis HR Strategy Framework P e r f o r m R i g h t D e v e l o p R i g h t R e w a r d R i g h t P a r t n e r s h i p R e s p e c t R e c r u i t / R e t a i n R i g h t I n t e g r i t y D y n a m i s m E n t h u s i a s m Business Performance 4 2 1 3 GROUP HR’S MISSION To create value through our human capital via transformation of our PEOPLE towards a High Performance Culture NURTURING TALENT Skim Latihan 1Malaysia (SL1M) In 2017, we continued our search for young talents with the potential to contribute positively to the Group. In support of the Government’s initiatives to improve the employability of local graduates, FGV provides training to graduates under the SL1M through FGV Sawit (Apprentice Work-in-Training Scheme). In total, 92 participants took part in our three programmes, i.e. Cadet Planter, Cadet Mill Engineer and Management Trainee. These programmes will be ongoing until the end of 2018, with a view of hiring suitable participants on successful completion. Graduate Programme No. of Participants Cadet Planter 34 Cadet Mill Engineer 29 Management Trainee 29 Scholarship Programme We continue to run our Scholarship Programme, an initiative which builds human capital expertise for future manpower requirements. This programme started in 2006 and has been offering scholarships to deserving Malaysians to pursue tertiary education locally or abroad. As at end-2017, a total of 64 local scholarships and 51 overseas scholarships have been given out. Currently, 17 of these recipients are serving in various subsidiaries within our Group. Manpower Optimisation Initiatives As part of the Group’s efforts to optimise our manpower, we continued to offer our Voluntary Early Retirement Scheme (VERS) and Mutual Separation Scheme (MSS) throughout 2017 with a total of 330 employees taking up these offers. In the fourth quarter of 2017, we offered the Voluntary Separation Scheme (VSS) to all General Manager level employees and above. Of the 41 applications received, 26 were approved with a total payout of RM10.96 million with a payback period of 14 months. Through these ongoing initiatives, we are expected to achieve optimum headcount in the next 2-3 years, which in turn, would improve our HR-related expenditure considerably. SOLIDIFYING OUR CAPABILITIES At FGV, we are continually assessing, developing and strengthening our human capital to ensure that we have the right competencies, qualities, dynamics, attitude and passion to drive the Group’s various initiatives in creating value for our Stakeholders. The approach we take to our human capital development is guided by our Human Resource (HR) principles: