Ensuring decent working conditions
Ensure decent working conditions and equal opportunities for all employees is one of X5's four sustainable development goals.
X5 aims to become a best-in-class employer for both current and future employees in the context of ongoing changes within the Company, in the market and among customers. The Company's HR strategy is geared towards enhancing staff engagement, digitising key HR processes and services for employees and improving relevant metrics. X5 creates conditions for each one of its 307,000+ employees to do his or her best.
X5 strives for excellence in all aspects of HR. The Company's employees are working to create a new retail, one built around anticipating people's needs and using digital tools to maximise convenience, which will benefit both customers and the team.
Corporate culture and values
Continuous, rapid change is part of X5's cultural DNA. This is what makes the Company flexible and allows it to maintain leadership in an aggressive, competitive environment. It enables to launch products and solutions in response to customer demand faster than peers, and it allows to be exactly where shoppers want to see X5 – both online and offline. Uniform values, shared traditions, an open information environment and excellent opportunities for development help us to remain unified and to maintain X5's consistency of operations.
- Respect, client centricity, striving for achievement, and honesty are X5's shared corporate values that are integrated into the majority of the Company's HR processes, from assessing the suitability of candidates to the formation of a talent pool.
- In order to maintain an open and shared information space for its employees, X5 is continuously developing new communication and interaction channels. To this end, it applies agile methodology, which was instrumental in the development of the corporate intranet portal and Personal Account mobile app for Perekrestok and Pyaterochka employees.
- X5 supports traditional corporate events, while also developing new ones. In 2019, the entire Company was united by happy.x5, a virtual platform for holidays. During the year, it was visited by more than 90,000 people.
Employee engagement and feedback
X5 seeks to work with people who care. This is how the Company creates the best possible experience for its customers and partners. Employees at all levels have access to a wide array of opportunities for professional and career growth thanks to the many training and development programmes X5 has in place. With a well-organised and diverse feedback system (from regular surveys to direct communication with the Company's management), X5 makes sure everyone is heard and works as a united team to move the Company forward.
- Pyaterochka integrated an instant feedback module into its Personal Account mobile application, which is available to retail personnel. In conjunction with the Big Data Department, a polling platform was introduced that enables X5 to get responses from the largest number of Pyaterochka employees possible. Regular employee NPS surveys were launched at Perekrestok and in the transport business unit.
- Each year, X5 conducts an internal customer satisfaction index, in which staff assess the work of other departments and functions.
Effective motivation and fair remuneration
X5 has a fair and transparent remuneration and motivation system in place that uses grades/bands to tie individual performance to Company-wide targets. X5 monitors the labour market and benchmark salary levels for each position, implementing the very best incentive and remuneration practices.
- Remuneration systems were revised for personnel at Pyaterochka and Perekrestok, as well as for X5 drivers. Motivation systems focused on productivity growth were simplified and made easier for staff to understand.
- X5 developed a new approach to KPIs that will enable it to increase the involvement of employees in achieving corporate targets and to share in the success of implementing them.
- As part of the updates to the Pyaterochka and Perekrestok store concepts, the Company changed the way staff break areas are arranged and designed. The staff rooms are now designed in the same comfortable and attractive manner as the shopping areas.
- Office staff can work remotely.
- X5 constantly improves its office spaces based on modern trends and employee feedback.
Training and development
In order to achieve its ambitious goals, the Company needs a strong team in which everyone is capable of rising above their own interests and seeing the potential of teamwork. X5 works on enhancing career ladders, providing various tools for impactful work and development, and creating an open, innovative environment that supports the path to a digital business transformation.
Multiple training and development programmes are available to X5 employees of all levels. The range of training programmes varies depending on job duties and assessments of work quality and goals. The Company uses state-of-the-art training formats and support the development of lifelong learning.
- The rapid development of new business areas, including digital businesses, the start of a digital transformation and the introduction of a unified system of grades/bands stimulate horizontal and vertical movements for X5 employees and in particular for retail personnel.
- As of the end of 2019, 60% of vacant positions within X5 at the level of CEO-1 and CEO-2 were filled by internal candidates. In 2019, 77% of managerial vacancies within the Company as a whole were filled by internal candidates.
- The Company launched the X5 Digital Academy, a corporate education platform for enhancing staff digital skills and expertise at all levels, from managers to specialists.
- X5 fosters free knowledge sharing by establishing corporate technical communities and schools, as well as organising meetups and mini-lectures where employees can exchange professional experience.