In 2010, we made further progress on reducing complexity through the implementation of new HR processes and tools designed to increase our ability to manage people in a simple, transparent and consistent way.

The Global Job Model and Global Performance Management

Two major initiatives that were carried out – the Global Job Model (GJM) and Global Performance Management (GPM) – have made vital contributions to effective and transparent development and career management, by providing:

• more clearly defined roles
• consistent definitions of the key tasks, responsibilities, and competencies associated with each job
• straightforward explanations of the behaviors and competencies expected by UniCredit to achieve the company objectives

Effective industrial relations contributed to the development and implementation of both of these projects by bringing together employee representatives, HR functions and project teams in a common effort to foster cross-border collaboration. The approach also ensured a steady flow of information among all of the parties involved.

In 2010, the Global Job Model framework was finalized, and the Global Job Catalogue was implemented. The latter resulted in the reduction of thousands of UniCredit job descriptions to roughly 250. A total of 18,000 management and 14,000 professional positions were brought within the GJM.

An extensive transition and communication process was carried out by our experts to make all of UniCredit's people familiar with the new model.

In 2011, all professional positions will be brought within the GJM, and all employees will receive from their managers an official communication of the job title that applies to their positions.

In 2010, we continued to harmonize the UniCredit performance management system to enhance our culture of fairness and transparency. The GPM process, designed with this in mind, integrates the different preexisting performance management systems throughout UniCredit into one.

Based on UniCredit's competency model, the GPM promotes our values and corporate culture. It aims to foster managerial accountability in employee development and to increase employee satisfaction.

It helps managers set clear goals and expectations, and evaluate and manage people with greater consistency. The system provides all employees with a clear explanation of what to do and how to manage their development within the organization.

At the beginning of 2011, the GPM was launched in Italy, Austria and most CEE countries.

The Internal Job Market

To better manage national and international mobility, we introduced an updated version of the Internal Job Market tool. Thanks to investments we made in training our HR business partners, we are well positioned to refine our ability to collect and monitor data on job rotation. We will continue to invest in improving the simplicity and efficiency of this tool, in order to ensure transparency and fairness in our management of job rotations and to improve our talent retention rates. In 2010, 1,300 new positions were posted on the Internal Job Market.

In 2011, we aim to integrate the Internal Job Market with our new e-recruiting process – an online tool that will allow us to standardize our recruiting efforts – and extend it across UniCredit.

Our approach to hiring

In 2010, we designed a new global recruitment process characterized by greater transparency, simplicity and efficiency.

The process, based on an e-recruitment platform (www.unicreditgroup.eu/en/Careers/Careers.htm), involves five basic steps. Candidates at their first professional experience also undergo an English test and an assessment of skills. This process was designed to ensure greater consistency during the selection phase and to provide all candidates with the same opportunities.

After their recruitment, each new employee is provided with the basic tools they will need as they start their careers at UniCredit.

Developing a common intranet

In order to foster collaboration and knowledge-sharing among our employees, in 2011 we will continue to invest in developing a common intranet for the whole Group. This effort involves an international team of nearly 50 colleagues from different offices. Together they are designing an advanced UniCredit intranet, which will include user-friendly new features such as blogs, videos, podcasts, etc..

In light of the different business needs within our organization, a common intranet will contribute to a unified corporate identity and culture, thus strengthening our international footprint. Using this important resource, colleagues will be better able to access company information and to network and discuss business topics with each other.

A prototype for this intranet was tested in 2010 by more than 1,000 colleagues. In 2011, a second round of tests will include another 1,000 colleagues from different countries and businesses.

Recruitment Phases