becoming fit for our future development by design…

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Réunion du CLEX

Becoming Fit for our Future

Development by design…

Eric Rivard

VP Learning and Leadership

Development, SANOFI

9 avril 2013

Agenda

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1 Sanofi at a glance – key facts & figures

3 The experience framework – career planning by design

4 What’s in it for talents? - International job rotation programs

2 Talent development - a strategic thrust in Sanofi

A global healthcare leader, focused on patients’ needs

world’s largest

pharmaceutical

groups

1

employees in

110,000 €34.9 4.7% (1) growth in

net sales for 2012

billion

countries 100

of the

(1) Change on a reported basis

Source: Press Release Feb. 7, 2013, employees estimate january 2013

3

1973 to 2008 2009 to 2011

300 mergers and acquisitions

Diversified Healthcare Leader

10 110,000 Employees

Health, Beauty, Nutrition

Evolution

4

Acquired companies including Genzyme

+ 61in-licensing agreements

+ 2 joint ventures

Invested a total of ~ € 23 bn in external growth

23

Source: employees estimate march 2011, IR presentation September 6, 2011

Our commitment

5

Sanofi is more than

a pharmaceutical laboratory;

We act with our partners to protect

health, enhance life and respond

to the potential healthcare needs of

the 7 billion people around the world

we are a diversified healthcare company

© U

rbanheart

s/F

oto

lia

Our ambition

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We demonstrate leadership both in business achievements and in the communities in which we operate

We are a global healthcare leader, focused on patients’ needs

We wish to be known for our ability to transform scientific innovations into therapeutic solutions for patients

© G

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e

Our strategy

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INCREASE INNOVATION

IN R&D

SEIZE EXTERNAL

GROWTH

OPPORTUNITIES

ADAPT THE GROUP TO

FUTURE

CHALLENGES

& OPPORTUNITIES

1 2 3

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etty Im

ages

Agenda

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● Over 90% WMACs have well-defined executive

succession plans, compared to 65% of peers.

WMACs:

● Are more likely to have emergency succession plans for

top officers

● Greater internal bench strength maintains continuity and

reduces costly external hires.

● Tweak their employer value propositions to reflect the

different needs of different generations

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Source: World’s Most Admired Companies survey 2012 (Fortune & Hay Group)

● WMACs approach to leadership excellence

1. Place more value on leadership development

2. Use competency models and developmental programs

more frequently when choosing and promoting leaders

3. Are less tolerant of inappropriate behaviour to ‘meet the

numbers’

4. Have leaders who demonstrate better emotional

intelligence

5. Equip their leaders better

6. Are significantly more satisfied with the quality and

breadth of senior leadership

Talent management is an Art … and a Practice WMAC Benchmark

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FIT FOR THE FUTURE

Enable our leaders to execute the strategy, deliver our “House” and

be…

4 Deliverables:

HR’s Commitment

1. The most efficient & effective operating model

2. The best talents

3. The right people at the right place & at the right cost

4. The right Culture embedded throughout the organisation

1. Building Next Generation of Leaders

•Sanofi has leaders that can drive diversified businesses, teams & models. Our leaders are seen as engaging and inspiring internally & externally

2. Developing Critical Capabilities

•Proactively identify and develop the critical capabilities required to successfully drive our diversified businesses

3. Improving Organization Efficiency

•Sanofi’s organization is efficiently supporting our diversified and expanding range of businesses

4. Implementing a Performance Driven Organization

•Sanofi is recognized as a performance driven organization where objectives, results & rewards are aligned

5. Embedding the Sanofi Culture throughout the Company

•Our Values, Attitudes & Management Principles are implemented effectively and consistently, while respecting the distinctive needs and histories of our diverse businesses

Improving HR Capabilities (Operating model, systems, processes)

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Sanofi’s HR roadmap is based on 5 key priorities…

1. Building Next Generation of Leaders

2. Developing Critical Capabilities

3. Improving Organization Efficiency

4. Implementing Performance Driven organisation

5. Embedding the Sanofi culture throughout the Company

Aligned to our HR

Strategic Pillars

…talent development is a key part of this HR Roadmap

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Our TM imperative

Ensure business continuity and leadership excellence that will sustain Sanofi

today and in the future

TM

enablers

Enhance

capabilities

Targeted development interventions

Targeted career experiences

Strengthen leadership pipeline

ID talents

Accelerate their development & readiness for future roles

Anticipate

Short term critical vacancies with emergency successors

Long term organisational and workforce needs

Secure

succession

Successor identification & readiness assessment

Improving our gender balance

Share

talents

Encouraging cross-functional development and international mobility

Plan career moves

Talent management in Sanofi is based on clear targets for people development and organizational stability

POSITIONS

● Most critical roles in this

organization identified

● Credible" "Ready-Now /

Ready >1 yr“

successors identified

● Gaps in succession

plan identified with

associated actions

plans

● Critical role incumbant’s

have appropriate

development actions

plans in place

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PEOPLE

● To have identified top

50-100 potentials

across the group

(replicated at lower

levels)

● Able and willing

to take highly

stretched

assignments

within 12 months

● Identify their stretch

assignments

● Make it happen and

monitor progress!

KPI

1. Successor

'Coverage' ratio

2. Successor

'Conversion' ratio

3. Female % among

key target groups

4. Cross-Over %

among targeted

roles / people

5. Turnover %

among Top

Potential

Agenda

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Accelerating leadership development: on the job experience is key

● Leaders learn to expand their critical skills and competencies in

challenging on the job situations.

● Multiple studies have found that on-the-job leadership experiences

are primary sources of learning and account for as much as 70

percent of a leader’s development (1), which emphasizes the

importance of systematically measuring and understanding

leadership experiences.

(1) P Lowy, A., Kelleher, D., & Finestone, P. (1986). “Management Learning: Beyond Program Design.” Training and

Development Journal, 40, 34-37.)

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Making Sanofi an even more attractive company – career development makes the difference

● Career development opportunities and rewards drive candidate

attraction more than any other EVP (employee value proposition)

category.

● When considering an organization as a potential employer,

compensation is by far the most important driver of attraction, but

several other drivers figure prominently in the labor market’s

evaluations of potential employers:

● future career opportunities

● organizational stability

● work–life balance

● development opportunities

● respect.

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Source: Corporate Leadership Council, Employment Value Proposition Survey; Corporate Leadership Council research.

Increasing employee commitment – development opportunities really matter

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Source: Corporate Leadership Council, Employment Value Proposition Survey; Corporate Leadership Council research.

Quality of

the job

experience

drives

commitment

● Consistently high performance: ‘What / How’

● Being globally aware & locally relevant: ‘Glocal’

● With multi-dimensional experiences

● Multidisciplinary team management

● Transversal project management

● Intercultural sensitivity (“CQ”)

● Customer centric

● Broad based business acumen: ‘Flexibility / Adaptability’

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Our targeted “Next Generation Leaders’ profile”

2

2

2

1 1

Experience Framework Direction: Career planning by design

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● By 2020, we will guide our leaders to aim

towards developing themselves along the

following lines:

● Experiences in 2 or more functions & 2 or

more Divisions

● International exposure: preferably experience

in at least 2 Cities/Countries/Continents

● 1 Head-Quarters (Corporate) experience

● 1 Transversal Project management

● The experience template is used to

● Map the current experience

● Identify Gaps

● Plan next career steps

The Sanofi (Intended model)

Experience Framework Internal benchmark information

2

2

2

1 1

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Agenda

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Open to all activities, businesses and functions

• To provide key development opportunities through exposure to different business contexts, international environments, cultures and leadership challenges

• To fuel the succession plan & build sustainability of leadership

• To attract, engage and retain talents

3 international job rotation programs

SEED

Sanofi Early Executive

Development program

SWAP

Short-term

Work Assignment Program

SaVIE

Sanofi Volontariat

International

en Entreprise

3 international job rotation programs

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Program overview

SEED

• High potentials from top

universities with 5 years of

experience

• Majority of candidates to come

from emerging markets

• Focus on FMCG, consulting, bio-

tech…

Externally recruited or internal

candidates

• 2 year customized program

• +/- 6 months in home country

• 3 international assignments

(+/- 6 months each)

• On the job development through

different roles & activities

• Senior Mentoring support,

development offer & networking

• Up to 20

participants rolling

(5 recruitments

every 6 months)

Starting with 10 in

2013

Who What How many

(per year)

SWAP

• Junior Sanofi employees

• 1 to 3 years in Sanofi

• Identified as early potential

Internal candidates

• 6 month mission

• Job swaps between emerging and

mature markets

• Preparation, management training

& networking

• Up to 100

Starting with 40 in

2013

SaVIE

• Graduates

• Below 28

• Open to European citizens only

External candidates

• 12 to 24 month foreign assignment

(outside of France)

• Supported by UbiFrance - French

Agency for Business Development

• Around 120

(Sanofi & Sanofi

Pasteur)

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Latin America; 12%

Middle East; 3%

Africa; 12%

Eurasia; 2%

Europe; 28%

Asia; 17%

Japan & Pacific; 15%

North America; 11%

Region breakdown

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SaVIE Key Figures 2012

Global Operations;

87%

Industrials Affairs;

10%

R&D; 3%

Activity breakdown

ITC

27

21

18

7 5 5 5 5 4 3 3 3 2 2 1 1

Function breakdown

SaVIE activity 2012

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5000 cv received

280 Interviews

77 contracts Initiated

4 interviews per mission

5,6% candidates pre-selected

56 VIE mission ended

17 hires

9 permanent contracts

5 in growing market

Out of which

Out of which

Recruitment Follow-up post mission

30% hired

SWAP

Short term Work Assignment Program

SWAP Program structure

Preparation

International assignment

Cross country exchanges

6 months

Identification Selection Matching Briefing home & host countries

Return to home country

Management Training

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SWAP – candidates & positions

Sanofi employee

Early potential

1 to 3 y seniority with Sanofi

Fluent in English

Internationally mobile (6 months)

Candidate ● SWAP candidate application form

including:

• detailed development need/activity(ies)

• targeted country(ies), if any

• preferred starting period for your candidate

• Need for replacement during SWAP, if any

● CV & e-Talent profile

Offered position ● hosting opportunities that could be

offered (please provide job description

and needed skills/competencies

● preferred start period for the hosted

candidate

Pre requisites Requested information

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SWAP Key figures – breakdown

69%

30%

1%

Candidates by activity

Global Ops Industrial Affairs Genzyme

23%

39%

38%

Candidates by functions

Production Marketing/Sales Support Functions

33%

33%

26%

6% 2%

Candidates by home region

Europe ITC LATAM Asia North America

Based on 64 candidates eligible (Status March 2013)

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SWAP Key figures – home countries

13

6 6 5

4 4 3 3

2 2 2 2 2 1 1 1 1 1 1 1 1 1 1

# of candidates proposed by home country

● Based on 64 candidates eligible

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SEED Sanofi Early Executive Development

program

SEED - program steps

Screening Selection Local hiring Program on-boarding

International assignments

3 X

~6 months

In different locations

Local

~6 months

The graduate will work closely with the GM to get to know the business and network locally

Exposure to the strategic business challenges

Insight into field level requirements

Opportunity to work closely with an ExCom member or a senior leader

Home country

Global division or activity

Field experience (manufacturing or sales

force)

Senior corporate leader

Step 1

(~6 months)

Step 2

(~6 months)

Step 3

(~6 months)

Step 4

(~6 months)

Home country re-entry for permanent position

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SEED – candidates profile

Internal or external candidate

High caliber talent (capable to take senior management position after

program)

Graduated from top school /university

Around 5 year experience

Fluent in English

Internationally mobile (18 m)

Focus on emerging markets and growing platforms

Pre requisites

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SEED - objectives

• Provide key development opportunities through exposure to different business contexts, international environments, cultures and leadership challenges

• Attract, engage and retain high caliber talents

• Accelerate the development of key potentials

• Prepare next generation of leaders to international roles

• Fuel the succession plan for executive positions & build sustainability of leadership

• Develop cross activity capabilities & global perspective and ensure variety of experiences

Focus on emerging markets and growing platforms

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SEED Appendix

SEED: Performance Management

Principles

● SEED candidates will be evaluated at each step of the program

● Defined performance assessment approach will be systematically used for all

candidates

● 6 months probation period -corresponding to 1rst work contract in the home

country for externally hired candidates-

● In case of performance issue the corporate team will address it with the home

country entity , host manager & candidate and an improvement plan with clear

milestones & development actions will be agreed

● The participation to program can be stopped in case of no significant

improvement and performance issues during the program.

● Evaluation of participant performance to be assessed at the end of each step

and feedback offered

● Performance will be assessed using the 9 box

● Underperformance is any position in boxes 1,2 or 4 (7 &3?) –

● Minimum level of performance to be clarified and communicated before starting

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● At the beginning of each step

• Goals to be established by the manager (objectives, timeframe for deliverables)

● At the end of each step (before moving to the next)

• Objectives to be reviewed and level of achievement assessed

• SEED program management team will interview the manager of the candidate to assess his/her satisfaction, using a structured interview guide

• The host manager will be asked to provide a brief evaluation of the performance of candidate

● Candidates will have to submit to the SEED program management team a short

report

● outlining their key achievements

● describing their experience and how relevant it has been for their understanding

of our company and industry

● A debrief meeting will be organized including Host manager/ HR; Home

manager/HR and SEED program manager

SEED: Performance Management

Process

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SEED – on the job development

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● Program designed to best meet the business & candidate development needs => steps to be customized to serve company interests and individual’s developmental needs

● Steps covering different activities and roles to allow diversity of experiences

● Overall design / steps elaborated with the representatives from the different regions & activities covered during the program

● Each step to be well prepared and anticipated

● Host country positions to be defined & prepared

● International mobility constraints/ immigration issues

● The targeted position (post SEED program) needs to be defined upstream and candidate informed

SEED – contractual aspects

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● The candidate will be hired by the home country for the first 6 months of the

program (to be considered as a probation period)

● During the 18 months outside the home country (3 x 6m) the candidate will have a Sanofi Gestion contract (except for few home countries such as: France, Germany or US)

● Specific International Mobility terms & conditions for SEED program

● Immigration may take several months (2-4 in average) : need to be well anticipated for each step of the program

● Global Mobility team will manage all International Mobility aspects

The candidate will be on the headcount of Corporate HR for the full duration of the program (including the first 6 months in the home country)

.

becoming fit for our future development by design…

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