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Group Report

Employees

They are the driving force behind our innovation and growth, the foundation on which Oerlikon’s leading position in the international high-tech industry is built. With passion, courage and flexibility of thought and deed, they develop products and solutions that shape the success of our customers. They march to the beat of the market and their common base is the Oerlikon corporate values: Teamwork, Integrity, Innovation, Excellence.

Oerlikon employs over 19 000 people from 48 cultures in 35 countries at 170 locations across the world

The successful development of the company led to an increase in staff in 2006. At the same time, with the successful restructuring of the company, 2006 saw the creation of around 200 new jobs. Oerlikon ensures the efficiency and performance of the global organization by centralizing the global function of Human Resources Management and by using targeted measures to recruit and develop employees.

The rebranding as Oerlikon and the reorganization of the company laid the foundations in 2006 for realizing our full potential. On the labour market, Oerlikon has a highly visible presence as a high-tech leader and is a very attractive employer for all job categories, whether technical or sales. The introduction of a common performance culture based on corporate values has quickly led to employees being able to identify more with the company and to better motivation. Tremendous synergy and inspiration resulted from cross-segment and supra-regional cooperation and knowledge networking.

The acquisition of Saurer has almost trebled the workforce to 19 000 employees. At the Global Leadership Meeting in January 2007, the senior management of Oerlikon and of former company Saurer adopted the operational plan for the cultural and organizational consolidation of the company. A committed project team is coordinating the integration.

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Corporate Human Resources

Human Resources Management was reorganized at group level in 2006, in order to manage efficiently the global transformation process of the Oerlikon Group and to ensure the sustainable efficiency of the company. The main tasks of Corporate HR are primarily the generation of added value in organizational performance in cooperation with our segments, the operational establishment and implementation of the HR business model taking into account our corporate values, the harmonization of organizational structures and working procedures, systematic employee development and the realization of staff potential including variable remuneration systems, as well as integration management following strategic acquisitions. Around 200 HR specialists around the world handle local implementation and support at segment and regional level. Leading systems for human resources management (SAP) and talent management (ExecuTrack) increase the efficiency and transparency of the Group-wide HR organization.

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Promoting technical apprenticeship and training

One of Oerlikon’s clear aims is the development of technical occupational training in order to ensure the long-term availability of skilled employees. By 2009, the number of those undergoing training will increase by 20 percent. This year, Oerlikon Balzers Coating is offering 27 new apprenticeships. Major investment is expanding the technical infrastructure of the apprentice workshops in Trübbach.

At the Cham site, an occupational analysis has been carried out and the results confirm the effectiveness of the skilled training carried out so far. The number of apprentices to be recruited per year and profession remains constant – irrespective of significant market fluctuations. The number of trainees is set to rise again in the coming years to 30 (2007: 22). The excellent cooperation with Oerlikon Balzers occupational training is being extended.

Once again a trainee will be representing Oerlikon at this year’s World Skills Competition in Japan. Oerlikon has a tradition of close cooperation with recognized training institutes. That’s why the German Chamber of Industry and Commerce carries out final examinations for the new Machine and Equipment Operator certifiable profession at Oerlikon Balzers Coating in Bingen, Germany.

Oerlikon Leybold Vacuum offers training at the Vacuum Academy at the Cologne site, where employees and customers can receive practical training in the different areas of application of vacuum technology.

The training center in Switzerland at the Balzers/Trübbach site last year trained over 2 000 employees at specialist technical courses and seminars. It should be emphasized that all these training activities are geared towards a needs-oriented and integral approach.

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Systematic employee development

The Group-wide competence model, which was developed in 2006 on the basis of the corporate strategy, is at the same time the basis for almost all employee development measures – such as the Oerlikon Leadership Challenge Program for our operational and management talent. This program, along with the Global Oerlikon Trainee Program, serves as a recruitment pool. Here we recruit our management trainees for our enterprises worldwide.

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Employee Management System (EMS)

A web-based performance tool (Employee Management System) was introduced in 2006 to systematically record staff competencies and performance targets and combine them in a practical process. In a discussion between the employee and his/her manager, agreed targets, based on corporate aims, are made for the coming year, individual development plans are drawn up and support measures (training, coaching, etc.) are defined. The performance documented in the EMS forms the basis for the management review at the end of the year. This enables the management to gain a transparent overview of the competencies and development potential of employees – vital data for the global deployment of staff, for fostering talent and for succession planning. Employees can make applications via the EMS or communicate their career needs and so manage their professional development towards their own aims. The first cycle started in 2006 and involved 600 management staff around the world

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Oerlikon Leadership Challenge Program

Oerlikon Leadership Challenge Program is one of the central measures for the Group-wide development of our talented employees. Based on the Oerlikon competence model and corporate values, this enables us to develop a worldwide network of leaders, who all speak the same language when it comes to leadership and people management. Around 150 participants with leadership potential have gone through this very challenging program in the last three years. Mobilization is the key here – whereby we pay a great deal of attention not only to the transfer of knowledge and the provision of training platforms, but also to the application of the topics in practice. The success of the measure is assessed by a presentation to management at the end of the course by the participant.

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Systematic employee recruitment

Employee marketing is becoming increasingly important. In 2006 our team was represented across the world at numerous important (university) fairs. Global online platforms enabled us to make contact with an international target audience.

Activities range from the presentation of the company in international job guides and relevant career magazines for those completing their studies through to partnership with important universities and institutes. The focus is on technologyoriented universities in each of our markets or growth regions, in order to meet the group’s need for well-educated specialists.

Candidates have the opportunity to take up important positions in the medium term either via direct entry or the Global Trainee Program. Highly-qualified talent develops into its target position through on- and off-the-job training. In the Global Trainee Program, selection is made using an Internet-based process, which includes a virtual team project, and finally leads to an international assessment center in Switzerland. Here around 50 graduates from 22 countries were assessed in person. Ten people undergo a 15-month long program, during which they support the different business segments of Oerlikon across the globe.

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Growth and flexibility

At the end of the year, Oerlikon had a stable and positive staff situation in all segments. Approximately 200 new jobs have been created. The Solar unit saw the strongest growth, where the number of employees increased by 60 percent to 130. Many units are still looking to recruit staff – some 250 new positions for scientists and assisting personell will need to be filled by 2008 in the Oerlikon research center alone.

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