122 Integrated Report 2017

> The Organization implemented plans for training activities through the Servicios Nutresa school in in the fields of innovation, sustainability, leadership, business ethics and bilingualism, getting the participation of 2.466 employees.

> The map of key positions and talents in Grupo Nutresa was updated to ensure the availability of talented people who contribute to the fulfillment of the Company’s long-term objectives.

> 211 internships and 439 internal promotions were executed across all Businesses both in Colombia and abroad. These practices contribute to the preparation of the best talent and ensure the retention and satisfaction of employees.

Development of our people

Promoting the comprehensive development of the human capital with the purpose of achieving the availability, commitment and productivity of the employees, guaranteeing their capabilities and talents in the short, medium and long term to secure the achievement of the Organization’s goals.

> The employee results management process was consolidated and new talent productivity measurement indicators were defined. These indicators provide valuable information for the decision-making process and contribute to the competitiveness of the companies.

> 24 companies carried out the measurement of organizational climate, commitment and psychosocial risk. The goal for 2017 in terms of organizational climate was 83,2% and the consolidated result of the measurement was 83,3%. However, low levels were obtained in the results for psychosocial risk.

> 94 people (suppliers and contractors) were trained in matters of business continuity and workplace safety and health management, strengthening thus the development of capabilities in the supply chain.

> 13.002 employees organized and carried out 21.912 volunteer actions with the purpose of mobilizing the solidarity, cooperation and talent.

Managing the employees’ performance and productivity.

Managing the organizational climate, the commitment and the psychosocial risks.

Developing capabilities for the supply chain.

Strengthening the volunteer service as a scenario for the development of the human capital

> Grupo Nutresa’s brand as an employer was strengthened, facilitating the identification and incorporation of key talent. 1,5% of the candidates were recruited through social networks.

> 779 call for entries were published, enabling equal opportunities for employees and third parties.

Strengthening the talent recruitment and attraction channels and actions.

Strategy [GRI 103-2]

Progress [GRI 103-3]

Consolidating practices to plan, train and develop the human talent.

123

Managing the value chain responsibly

Employees from Servicios Nutresa, Colombia.

124 Integrated Report 2017

Risks and opportunities [GRI 103-1]

The identification of key talent to ensure the availabil-ity of ideal professionals is a permanent challenge on guaranteeing the fulfillment of the strategic goals, as well as having development plans and retaining strat-egies aimed at securing their permanence and com-mitment. Additionally, several generations currently in-teract in the work environments, which is a reality that demands the variation and incorporation of proposals suitable to all lifestyles, preferences and expectations.

The organizational design and the working styles become opportunities to boost the development of people. Therefore, the hierarchical structures need to be reconsidered in order to reinforce the collaborative work, by projects and as a network, achieving thus a lighter and swifter organization. Furthermore, the em-ployees’ self-development and the professional growth represent a challenge that must be faced by means of more effective strategies, such as the virtual training and the digital culture, which boost the development of a global organization.

Finally, poverty and inequality are variables that remain in Grupo Nutresa’s strategic setting and that have a negative impact on negotiation, operation and human talent development scenarios. That is why per-forming volunteer actions represents, in the long term, an opportunity for the development of the employees’ talents through strategies that favor the social and economic improvement of the territories.

Outlook

The main employee development actions will be focused on bridging gaps and im-proving the capabilities of the human talent through the continuity of the training pro-grams and by means of development sce-narios such as internships and project as-signments. This development scenarios will allow them to experience practical learning situations that will enable them to take on new challenges and responsibilities.

The Organization will continue to de-velop capabilities in the fields of innova-tion, sustainability, prioritization of the customers and consumers, digital skills, bilingualism and leadership. In the same way, the Company will keep consolidating management systems that promote the balance in the employees’ personal, fam-ily and work life.

Moreover, the Organization will fo-cus on measuring the performance and productivity of people using tools that allow to identify the roles and employees who contribute the most to the business. The measurement of the organization-al climate will evolve into a more com-prehensive measurement that not only will consider the perception of people’s satisfaction regarding the Company, but that will also allow to identify the level of maturity of the processes, the culture, the leadership and the structure in search of a balanced Organization.

Finally, the corporate volunteer ser-vice will be fostered as a scenario for the strengthening of the talent and as a tool to attract and retain ideal professionals, offering development opportunities to the human talent of both the Company and the communities Grupo Nutresa in-teracts with.

Employees from Opperar, Colombia.

125

Success stories and acknowledgments [GRI 103-3]

Grupo Nutresa was acknowledged as the best company in the field of human talent management in Colombia in the first Portafolio Awards held in 2017. Ad-ditionally, Merco Talento acknowledged the Organization as the second best company to work for in Colombia and the first from the food sector.

The Chocolates Business in Peru was granted the Good Employer certification by the Association of Good Em-ployers, which is sponsored by Peru’s American Chamber of Commerce. This accolade highlights the respect, care, recognition and development of the employees in a har-monious work environment.

The Chocolates Business in Mexico was acknowledged by the Mexican National Government for its contri-bution to the improvement of the people’s quality of life and for being a role model in the business sec-tor. This acknowledgment was related to the gradua-tion of 92 employees from basic education, second-ary education or technical programs.

TALENTO

Graduation ceremony of employees from the Chocolates Business, Mexico.

Managing the value chain responsibly

126 Integrated Report 2017

Progress achieved in 2017 [GRI 103-3]

In 2017, Grupo Nutresa consolidated the training process in matters com-mon to all the companies, placing a specific stress on the talents regard-ing innovation; sustainability; pas-sion for customers, consumers and shoppers; bilingualism; leadership; and business ethics, among other. The methodologies and the contents enabled the development of knowl-edge, allowing to bridge gaps with experience-based training systems by means of traineeships and assign-ments of projects with multi-func-tional teams. The annual investment totaled COP 8.308, for 914.876 hours of training.

Employee training [GRI 404-1] [ODS 8.5]

2015 2016 2017

Men Women Total Men Women Total Men Women Total

Num

ber

of e

mpl

oyee

s

Training and academic activities

13.629,00 6.163,00 19.792,00 21.452,00 14.223,00 35.675,00 18.039,00 10.290,00 28.329,00

Occupational health and safety 10.370,00 4.191,00 14.561,00 11.570,00 4.870,00 16.440,00 11.845,00 4.911,00 16.756,00

Higher education 162,00 88,00 250,00 111,00 26,00 137,00 137,00 56,00 193,00

Tota

l hou

rs

Training and academic activities

409.140,81

172.023,48 581.164,29

496.690,79

244.907,30

741.598,10

602.928,82 311.947,97

914.876,79

Occupational health and safety 115.426,81 27.205,59

142.632,40 123.411,19 29.866,91 153.278,10 165.016,89 34.080,83

199.097,72

Inve

stm

ent

(CO

P m

illio

n)

Training and academic activities

6.300,55 2.575,83 8.876,38 5.640,33 3.294,95 8.935,28 5.147,63 3.160,44 8.308,07

Occupational health and safety 646,22 205,99 852,21 642,52 170,62 813,14 704,43 165,74 870,17

Higher education 328,16 144,42 472,58 511,15 121,97 633,12 207,34 113,07 320,41

Employees from the Ice Cream Business, Colombia.

127

Managing the value chain responsibly

Skills and training management programs [GRI 404-2] [ODS 8.5]

BUSINESS NAME OF THE PROGRAM OBJECTIVE

Coffee“Prejubilo” (Pre-retirement) Program

To facilitate, by means of reflective and constructive processes, the preparation of the employees to face the changes that the retirement stage will bring.

Chocolates

Preparation for retirement

To prepare the employees who will soon be transitioning to enjoy their retirement from the work environment so that the changes are undergone in a positive manner in relation to both the personal and the family aspects.

Employees School 2017

To improve the organizational climate, the autonomous performance in the job post, the quality of the processes and products, and the safe behavior in the Company’s facilities and in general.

Online Diploma Course on Business Management and Administration for Indirect Sales Coordinators

To learn about and interpret the key management aspects of a company, using the knowledge acquired to achieve a better understanding of the direct customer in the commercial process. Academic Partner: ADEN International Business School.

Logistics School

To strengthen the employees’ knowledge on: reception and dispatch, basic math, basic Excel and BMP. Training and certification with the support of the SENA (National Learning Service).

Servicios Nutresa

Transformational Leadership

To boost the capabilities of the leaders for ensuring that the teams are managed within a respectful, inclusive and diverse environment.

Biscuits

Understanding how computers work translates into being more competitive in the professional world

To develop capabilities related to the operation of computers and digital tools that supplement the employees’ academic training and improve their results in the Company and in general.

Retail Food Self-knowledgeTo facilitate the employees’ personal growth in order to strengthen their commitment to the development of their talents.

Cold Cuts Change Management

To achieve the implementation of the Change Management process by using the individual impact matrix, the lessons learned, the organizational impact scale matrix and the risk analysis in a more effective way for the processes of change and adaptation.

128 Integrated Report 2017

Total direct employees (2017)28.857

Total2017

2016

27.972

10.67037%

18.18763%

885

81527.586

Women Men

Thanks to the Organization’s representative em-ployment generation dynamics, the personnel de-mand was covered directly by means of different recruitment means. The social networks were the

most effective means for the identification of the talent. The Company received 76.750 external ap-plications and 439 internal promotion applications.

Geographic distribution of direct employees by country of origin and gender [GRI 102-8] [ODS 8.3]

Estados Unidos 2,3%

Total408 / 0397 / 0

Total730 / 3 658 / 5

461 / 3401 / 1

269 / 0252 / 4

Mexico 4,3%

Total35 / 035 / 0

513 / 5488 / 3

354 / 3746 / 3

Guatemala 1,4%

308 / 0301 / 0

100 / 096 / 0

Total178 / 0 173/ 0

El Salvador 0,1%

Total19.244 / 89218.191 / 814

20 / 022 / 0

15 / 013 / 0

Ecuador 0,6%

62 / 062 / 0

116 / 0111 / 0

Colombia 68,5%

13.106 / 40012.853 / 373

6.138 / 4926.104 / 441

Peru 2,7%

Total796 / 8659 / 4

491 / 4480 / 2

305 / 4 302 / 2

Chile 6,7%

Total1.876 / 462.304 / 29

1.294 / 24 1.324 / 16

582 / 22 587 / 13

Venezuela 2,4%

Total613 / 40676 / 27

441 / 17494/ 12

171 / 23182 / 15

Panama 2,0%

Total867 / 8 1.234 / 6

406 / 0377 / 0

241 / 0203 / 0

Costa Rica 7,4%

Total2.284 /02.139 / 0

1.052 / 0 924 / 0

1.232 / 01.215 / 0

Total647 / 0580 / 0

Dominican Republic 0,8%

Total247 / 4239 / 0

184 / 4181 / 0

63 / 058 / 0

Nicaragua 0,7%

Total299 / 0196 / 0

86 / 078 / 0

143 / 0118 / 0

Direct employees 2017 Apprentices and/or internship students 2017 Direct employees 2016 / Apprentices and/or internship students 2016

129

Managing the value chain responsibly

Proportion of senior managers hired from the local community [GRI 202-2]

97% 99%

79%75%

44%

55%

75%71%

50%

38%

86% 86%

50%

25%

100%100%

Colombia Costa Rica

Mexico Peru Panama Dominican Republic

United States

Chile

Additionally, the talent productivity indicators were included in the performance evaluations. These indica-tors are aimed at defining a baseline for 2018 that would allow to set goals with regard to the contribution to the business. The indicators defined were the following:

Regular performance assessments [GRI 404-3]

2016 2017

46,5%

31,4%

41,1%

58,6%

42,6%

52,8%

who are regularly assessed for professional performance and development.

PERCENTAGE OF MEN

who are regularly assessed for professional performance and development.

PERCENTAGE OF WOMEN

who are regularly assessed for professional performance and development.

PERCENTAGE OF EMPLOYEES

Employees from the Cold Cuts Business, Colombia.

Sales per employee:

sales

Direct labor (DL):

sales

# of employees

Effectiveness of personnel expenses:

% of personnel expenses

overtime

total time

130 Integrated Report 2017

Over the year, Grupo Nutresa fulfilled several achievements that exhibit its ability to maintain the commitment and loyalty of its employees. This fact can be observed in the result of the employee turnover indicator, which amounted to 28,0%, allowing to main-tain the level of excellence in organizational climate at 83,3%.

New employee hires and employee turnover [GRI 401-1]

Operation Distribution and commercialization Retail Food

2016 2017 2016 2017 2016 2017

New employees 4.063 4.293 775 1024 4.451 4.013

Employee turnover ratio 17.4% 20,7% 11.1% 11,10% 63.4% 57,80%

Employees from the Biscuits Business, Colombia.

131

Managing the value chain responsibly

Ratios of standard entry level wage by gender compared to local minimum wage [GRI 202-1]

MEN WOMEN

Colombia 1,78 1,27

Costa Rica 1,72 1,10

Ecuador 1,25 1,11

Mexico 5,13 3,68

Panama 1,14 1,17

Peru 1,98 1,78

Dominican Republic

1,62 1,95

United States 1,31 1,08

Chile 1,93 1,27

Voluntariado como escenario de desarrollo del talentoFor Grupo Nutresa, corporate volunteer work is a human capital mobilization sce-nario that retains, attracts and develops the talents of employees by implementing high social value actions. With 21.912 vol-unteer service actions, 13.986 in money and 9.926 in time investment, 13.002 em-ployees developed the capabilities of sev-eral communities, benefiting 173.908 peo-ple in more than 32.128 hours. [ODS 1.6]

Moreover, the Aula (Classroom) pro-gram, with its two versions: “Aula” and “Aula Itinerante” (Traveling classroom), included the participation of 27 community leaders, mostly neighbors of Grupo Nutresa’s pro-duction plants, who signed up for the pro-gram to start their social and community management capabilities development process. Additionally, the “Aula Itinerante” program benefited 64 independent mar-keters of the Ice Cream Business by boost-ing their commercial and financial capa-bilities to improve their business units.

Finally, Grupo Nutresa organized and deployed the “Poder de Mil” (Power of a thousand) platform for the fifth consec-utive year. This platform is aimed at ac-knowledging employees involved in vol-unteer service, who joined forces to carry out supportive actions that enabled the Organization to get closer to the commu-nities that are neighbors of the production plants. These supportive actions involved more than 1.396 Grupo Nutresa volun-teers in 11 countries, benefiting more than 10.353 neighbors.

The employee turnover indicator stood at

28,0%, which allows to maintain the level

of excellence in organizational climate

at 83,3%.