Intellectual capital and development potential

Targets form core of development discussions

Biannual development discussions form the backbone of performance and competence management at Ruukki. The development discussion practice applies to the entire personnel. In respect of workers, some of the development discussions are held as group development discussions.

• The development discussion held during the first quarter of the year focuses on setting the targets for the forthcoming period and evaluating performance for the previous period.
• Personal targets are based on Ruukki’s strategy and targets in line with the action plans of the various units. Target setting forms part of the grounds for performance bonus.
• The development discussion held during the third quarter evaluates how a person’s competence is aligned with that required by the job.
• A personal competence development plan is made based on competence evaluation. The competence to be evaluated is revised each year to correspond to the main spheres of competence necessary to achieve the company’s strategy.

In 2011, 92% (80) of salaried personnel had development discussions with their supervisor. Among other things, the discussions aim to ensure that all Ruukki’s people know the targets in their job and the company’s values. In 2011, working practices in line with values featured strongly in development discussions with each employee.

Competence throughout work career

Ruukki wants to increase the motivation of its people to build on their competence throughout their work career. This is why the company provides its personnel with a wide range of topical training.

For example, with mentoring, management training based on different evaluations of working practice and training for leaders of international teams delivered good results during 2011.

Competence strength through training

Ruukki spent a total of €4.4 million (3.2) on training, excluding pay during training time, in 2011. Each Ruukki employee participated in an average of 1.76 (1.87) training days.

Ruukki’s training programmes in 2011 focused on

• special steels expertise
• the operational excellence programme (OPEX)
• supervisory skills
• sales management.

Local implementation through trainer training

Processing competence in special steels was high on the agenda in a number of Ruukki countries in summer 2011. At the start of the project, technical experts working in different units across Ruukki were given material and trainer training in Finland for a week. During the autumn, they applied the training in special steels at their own sites in Hungary, Russia and Poland.

Use of this model enabled competence in the welding, bending and cutting of special steels to be efficiently shared among production workers who speak different languages. In the same context, those participating in trainer training formed a close network of experts within the company.

Special steels expertise also increased by honing product training

A bridge was built between the present status and objectives in product training by considering new business models and tools. As part of this work and to form a basis for further development

• a new type of product seminar intended for the induction of our own people was piloted,
• product and special steels awareness was disseminated across organisational boundaries with the help of product training recordings and
• a new type of e-training material was produced to reinforce the awareness of sales and customers of applications and product properties.

Coaching approach helps in training of immediate supervisors

A revised range of leadership training, focusing on a coaching approach, was rolled out in 2011. Immediate supervisors and foremen, young managers migrating to more demanding management positions and managers of production and processing units in particular took part in these training programmes.

Spotlight on in-house experts

In 2011, Ruukki focused strongly on analysing the expertise of its own people, with a study of management resources across the entire company. The abilities of young specialists and supervisors were evaluated in the production and manufacturing organisation, the functions supporting them and in the company’s Russian organisation. This resulted in more precise skills development, more effective in-house recruiting and the preparation of succession plans for critical roles.

New experts through on-the-job learning

Ruukki launched four training by recruitment programmes in 2011.

• Young steel experts training by recruitment programme: in spring 2012 the Raahe and Hämeenlinna Works will take almost 40 maintenance and metal processing experts who have completed a vocational qualification and an extensive on-the-job-learning period.
• ProjectPro programme: 11 building project management professionals completed the programme in 2011.
• SitePro programme: 11 installation managers will complete the programme in spring 2012. In future, they will work in building projects in Finalnd, Sweden and Norway.
• Young Professionals programme: 25 young graduates joined the programme in May 2011 and were placed in specialist positions in different Ruukki units in Finland.

Means of development diversified

The tools for personnel learning were renewed in 2011, when a new competence development system was rolled out across the company. The system includes both an e-learning platform and tools for managing learning. The system enables employees to check their own training history, complete e-learning modules and learn about Ruukki’s training offering. The system is available to all employees and creates a platform also to manage the competences needed in the production environment.

Incentive for self-study

In addition to training organised by the company, Ruukki also supports self-motivated study by country. For example, opportunities to take training leave of various lengths covered 80% (83) of the personnel. The company also awards grants to Ruukki people who excel in their studies.