Talent ManagementEnabled by SAPat Air Products and Chemicals, Inc.

Sherryanne H. Meyer

Manager, Employee Systems

22 September 2010

Who is Air Products?

A leader in world markets for seven decades

40 countries

19,000 employees

A Fortune 500 company

Innovative

Responsible

Supplier of Gases, Chemicals, Performance Materials, Equipment and Services

The Air Products Difference

3

“One Company” Philosophy Supported by One Global System

LSO

4ECC5.0, Portal 5.0, Netweaver 6.40, ITS

Appraisals

Self

Services

Org

Management

Personnel

Admin

Payroll Benefits

Compensation

Structural

Security

5

AP Portal – One Stop for Managing Talent…

Global Processes in 25 Countries

66

UK

Ireland

Belgium

Netherlands

Germany

FranceUnited

States

Canada

Spain, Italy, Portugal

Indonesia, Singapore, Malaysia

China, Hong Kong

Japan, Korea, Taiwan

Israel

Poland

Czech Republic

Slovakia

Egypt

Brazil

Deliver the Difference Defines Our Corporate Strategic Goals

7

Personal Accountability/Initiative

Change Innovation

Integrity Ethical Conduct

Respect for Others/Values Differences

Environmental Health and Safety Focus

Teamwork

Problem Solving / Decision Making

Communication/Openness

Work Process Focus

Customer/Internal Client Focus

…and Management of these Objectives is enabled with SAP

8

Organization Management and Structural Security form the Foundation

9

Salary Budgeting and Appraisal Managers,

Hold a “Chief” security role

Have relationships to specific

Organization Units

Have PD Profiles which control which

positions & employee they see and what

activities they can complete

Are limited by the security profile to

performing activities and viewing

sensitive data only at the point in time in

which the employee reported to the

manager.

Manager’s Organization

Performance Enhancement Timeline

10

FYQ1

Oct-Nov-Dec

FYQ2

Jan-Feb-Mar

FYQ3

Apr-May-Jun

FYQ4

Jul-Aug-Sep

FY-Q1: Setting Objectives

11

Text boxes allow the

manager to provide

specific coaching

Predefined

Qualification Objects

align with Corporate

Goals

When objectives are

set – and later, when

development plan has

been completed –

Compliance with the

process is monitored

FY-Q2 and Q3 – Succession Planning

Enabled by Organizational Structure in SAP

Supported by Appraisal documents

Enhanced via our Relative What and How Processes

– During RWH discussions the following are tracked and maintained:

– Grade Potential within Five Years

– VP Potential

– Top Talent

– International Experience

– Cross function/business area experience

– At Risk12

FY-Q2 and FY-Q3: Performance Against Objectives - What And How

13

End of FY-Q3 Beginning of FY-Q4: Managers Conclude Performance Feedback

14

Predefined

Performance Levels

are assigned to each

objective – and the

manager uses this to

deliver a definitive

performance

assessment.

Once Completed, the Employee has a Record of His/Her Performance in ESS

15

FY-Q1- Compensation based on Performance

Base salary increase decisions take into consideration:

– Individual Performance as assessed in terms of relative assessment

– Compa-Ratio – which is each employee's salary relative to the defined salary range

– Budget for overall salary increases for the department

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HL HG HH

GL GG GH

LL LG LHLow Good High

High

Good

Low

WHAT

Specifics on the

“HOW” and the

“WHAT” are

derived from

the Appraisal

feedback.

Lessons Learned

Languages – You can deliver an appraisal form in local language – but consider the entire process –how are actual discussions handled? And printed languages always tend to be subject to variations in interpretation

Cultural changes – Check your meanings…manage change…ensure local and global acceptance

Ownership model – ensure continued care and feeding of your process as it is enabled in the system

Compliance – internal and external requirements

The system does not replace our Performance Enhancement process – but, rather, enhances it17

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