Building Winning Teams
One of the strategic foundations for Adaro’s sustainable growth is the quality of our people. Our people determine our productivity and how effectively we operate, and they build our reputation with our investors, contractors, partners and other stakeholders on a daily basis.
The objective of our human resources activities is to make Adaro a great place to work, which is fundamental to our vision of becoming the leading Indonesian mining and energy group.
As the company grows, our headcount has continued to increase over the years. By the end of 2014, Adaro Energy and its subsidiaries had a total of 9,294 employees working together to help create maximum sustainable value from Indonesian coal.
Based on the company’s values of IMORE — Integrity, Meritocracy, Openness, Respect and Excellence (see panel at right) — we have identified three strategic human resources priorities: creating a winning system, a winning culture and a winning team.
Delivering on our ambition requires having a solid system in place to attract and retain the best talent, provide opportunities for individual development, and recognize and reward excellence.
After completing a standardized corporate grading and company classification system for the entire group in 2013, we began creating remuneration standards in 2014. This will enable us to move our employees across business units based on their competencies and our business needs.
To support Adaro’s growing business, we need to ensure that we put our talented people in the right place and with the right reward, in roles that are suitable for their competencies and character.
Another aspect of our winning system is the establishment of the Adaro Recruitment and Assessment Center, which we completed in 2014. This will enable us to recruit the best talents that have consistent competencies and character across the group.
We believe that with a culture in which performance is aligned with values, we can achieve sustainable and profitable growth.
In 2014, we continued to encourage the implementation of our corporate values. We promoted and communicated these through various media, such as banners and our internal newsletter. We also further embedded the Adaro values into our performance evaluation system to cultivate strong adoption, which in turn will create a positive working environment. Demerit points were applied for behaviors that ran contrary to our values.
We also conducted our first employee engagement survey, supported by Towers Watson (a leading global professional services company), to measure our employees’ engagement level. Results from this survey will provide us with valuable feedback that will help us make the right decisions and take the right actions.
Our ability to attract, develop and retain qualified talent is critical if we are to compete and grow effectively. We believe that a strong team with great people outperforms individuals. Creating a winning team starts at the recruitment phase. We recruit the best talent and develop different leadership programs to accommodate the need for leaders at every level in the organization.
In 2014, we started the Adaro Mining Professional Program. We selected 16 graduates from universities in Indonesia to spend two years learning various aspects of the coal mining industry. They are going through a curriculum that combines theory with practical and experimental learning.
To prepare them to become business leaders, the participants are also given leadership training aimed at improving their soft skills in managing people and business situations. Graduates are then given jobs within the group based on business needs.
To ensure long-term, sustainable operational activities, the mitigation of business risks, and the effective management of the organization, we recognize the need for a succession plan. This starts with identifying critical positions and their competencies to map out a Human Asset Value and Replacement Table Chart. Once this is done, individual development plans are put in place.
Training for the Future
Our management has also given the HR team a mandate to develop future leaders of the company through the Adaro Institute in Jakarta, which opened its doors in 2011. Training and education are conducted regularly at the institute (for details see here).
With a mission to develop talented people and produce high-calibre professionals and leaders, the institute has become the center of employee development programs, which include basic competency development and leadership and managerial competency development.
Protect the company’s assets from fraud, theft, and unauthorized use. Prioritize the company’s interest above the individual interest. Only provide factual data and information.
Compete fairly and ethically by building competence and delivering the best performance. Support subordinates’ growth by giving equal opportunity. Appraise subordinates’ performance objectively.
Dare to express different opinions for the best interest of the company. Dare to admit mistakes and wrongdoings. Welcome others’ constructive inputs and feedback.
Demonstrate good manners and avoid using rude language. Treat everybody with full respect by appreciating their differences. Show respect to others by listening to them attentively.
Execute PDCA — Plan, Do, Check, Action — consistently for the achievement of company’s objectives. Do the best to reach the optimal balance between quality and efficiency. Strive to exceed customer expectations.
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