JSC Atomenergoprom Annual Report slide image

JSC Atomenergoprom Annual Report

JSC ATOMENERGOPROM / ANNUAL REPORT / 132 GRI 3-3 Performance management In order to standardise approaches to the development and implementation of the HR policy in the nuclear industry as part of a uniform governance approach, a performance management system has been introduced in the Company's organisations. The Deputy Director General for HR of ROSATOM is also responsible for HR management in JSC Atomenergoprom. The current industry-wide performance management system ensures the continuity of the Company's long-term and operational goals and helps to align them with the goals and objectives of employees. The key performance indicators of JSC Atomenergoprom, as approved by the Supervisory Board, are decomposed from the top management level to executives of industry organisations up to and including the sixth management level. The industry-wide approach to performance management is based on standardised principles, which provide uniform criteria for decision-making on remuneration, horizontal and vertical movement of employees, their inclusion in succession plans and nomination as candidates for inclusion in the succession pool. The performance management process is automated through an integrated industry-wide system, RECORD 58 Executive succession pool In order to ensure succession and train employees to be appointed to managerial positions, an executive succession pool (ESP) is being formed and developed in the Russian nuclear industry. In order to select development programmes that are best suited to the target positions of ESP members, the ESP is divided into four levels: - ROSATOM's Assets and ROSATOM's Assets. Basic Level (top and senior executives); ROSATOM's Capital (middle-level executives); ROSATOM's Talents (promising specialists and junior executives). Since the establishment of the executive succession pool, the number of its members has exceeded 5,900. 92% of ESP members were appointed to a new position by the end of 2022. Number of ESP members with a breakdown by gender Gender Number 2020 2021Ⓒ Share Number Share Number 2022 Share Remuneration system The Company's current remuneration system: - Provides competitive remuneration matching the level of remuneration in the best companies in Russia; Men 3,918 78% 4,279 77% 4,614 78% Women 1,093 22% 1,186 23% 1,306 22% Appointments of ESP members to a new position, %59 Is result-based: the size of an employee's salary is linked to their efficiency, professionalism and achievement of key performance indicators (KPIs). The Company has in place a flexible remuneration system which includes a variety of tools ensuring that employees achieve business targets and are closely focused on results. In accordance with the requirements of the Integrated Industry-Wide Remuneration System and the Uniform Industry-Wide Performance Management Policy, the size of the annual bonus paid to employees depends on achieving KPI targets and reflects progress in achieving the key performance targets of the Company and its organisations. KPIs of executives are based on strategic goals, priorities and key performance indicators; strategic objectives set for organisations are converted into KPI maps of their executives and cascaded down to business units and employees. In 2022, the average monthly salary per employee of JSC Atomenergoprom increased by 9.8% compared to 2021 and totalled RUB 115,600 per month. Indicator Share of ESP members appointed to vacant top and senior executive positions (top 30 and top 1,000 executives in the industry) 2020 2021 2022 68.17 70.37 70.82 Share of ESP members among senior, middle-level and junior executives appointed to a new (management) position 79.65 91.2 92 A special feature of succession pool development programmes is their practical focus. Future executives not only complete training modules, but also work on their own projects contributing to the achievement of strategic goals. 58. For details, see: https://strana-rosatom.ru/2019/06/25/poshli-na-rekord/ HR POLICY AND SOCIAL RESPONSIBILITY 59. Since 2018, the calculation of the indicator has changed: the promotion of succession pool members was assessed based on the number of ESP members appointed to new positions over the last three reporting years. In 2019, 2020 and 2021, the assessment focused on the share of promoted ESP members who had been included in the ESP in 2018, 2019 and 2020 respectively. HR POLICY AND SOCIAL RESPONSIBILITY JSC ATOMENERGOPROM / ANNUAL REPORT / 133
View entire presentation