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Re-DefiningDirectionTheStoryoftheManifestoforGrowthInTheCoca-ColaCompanyMay2007PEOPLE32%ofworldpopulationDIVERSITYallreligionsCOUN

TRIES43countriesVladBogTalent&DevelopmentDirector-EurasiaCoca-ColaUniversityDirector-EurasiaFromRichard’sClassMosttimespentwiththeemployerbranddailyA

bilitytomakeadifferenceturnspeopleon+learning+funIfyouwanttobeacomediandon’ttellpeopleyouarefunny…GottohavepeopleonyoursideHRbecomingmorecommerci

alandstrategicNeedtoknowwhatkindofpeopleyouneed-engagementsurveyIncreasingrealizationthatengagementcounts3LessonsLearn

edintheProcess-Directionisacoreelementforemployer’sbrand-Lookatyourproblemsbeforeyourstockgetsthehit-Allanswersarein

sidetheorganization-Communicateback,direction,progress-Involveassociatesindesigningthevision,strategicpathsandvalues-Reevaluateperiodically-InvolveE

A-Everythingcommunicates/Integrate-Don’tbindemployees-BrandHRfirst4TheTrigger010203040506070809098200120032004StockPriceLesson:Lookaty

ourproblemsbeforeyourstockgetsthehit5TheTrigger-LessonLookatyourpotentialproblemsbeforeyourstockgetshitHint:The

Stockhasitsstorytotheassociates6TheQuestioningLookingintheMirror7TheQuestioning-Lessons-Allanswersareinsidetheor

ganization-CommunicatebackHints:-Bereadytohearthetruths-Lookforthehonorabletruths,too-Betrue8TheDirecti

on•Mission,VisionandValues•GrowthPaths•Values•WorkingasaGlobalTeam•PerformanceManagement•BuildingCapabilities•WorkingwithourPartner

s9OurManifestoforGrowthIntegrationandconsistencyAlignedGlobalTeamsPEOPLEPORTFOLIOPLANETPROFITPARTNERS10DoesitWork?From39to58inlessthan3years…11Whered

oesthisleaveHR?PEOPLEAgreatplacetoworkwhereallareinspiredtobethebestthattheycanbe12HRAssumptionsMotivatedassociatesare

criticaltocommercialsuccessHighturnoverhasanegativeimpactonresultsHighengagementincreasescorporatereputationEmployeeopinionsdrivebehaviorsth

atimpactresults13BrandHRFirstTalkbusinesslanguage(volume,profit,share)DemonstrateHRimpactonbusinessresultsDeveloptheHRvaluepropositionBeachallenger

14Findings▪EmployeebeliefintheStrategyimpactsengagement,companyreputation,marketshare▪Improvementinengagementrelatestovolumegrowth▪Corpora

tereputationdrivesimprovedshareofmarket▪Opinionsonoperatingeffectivenessandengagementlevelsrelatetocontrolofadministrativeexpenses▪Retentionof

employeesdriveshighervolumeandfinancialperformance15Overviewoflinkageanalysis▪Goal:ValidationoffocusonPeople/engagementEmployeeo

pinionsandprogramsEmployeebehaviorConsumerattitudes&behaviorFinancialperformanceRetentionEngagementGlobalreputa

tionShareOperatingIncomeNetRevenueAdministrativeExpensesOperatingEffectivenessImageDevelopment/TrainingLeadershipManifestofor

Growth16Researchcontext▪EmployeeInsightsSurvey▪Internalandexternalbenchmarking▪Furtherinterviewstodeepdive▪Lookingforrelationshipsbetwe

enmetrics▪Aperfectrelationshipis1.0–extremelyrare!▪Researchersusearelationshipof.3asanindicatorofasignificantfinding▪Usedstatisticalsignifi

cancetestingtoconfirmfindings▪Caution–dataareanindicatorofrelationships,butnotdirectcausationNote:Analysesshownthroughoutarer

egressionanalyses,where.xxisR2value;allvaluessignificant,p<.0517Employeeopinions&programsEmployeebehaviorC

onsumerattitudes&behaviorFinancialperform-anceEmpowermentandInnovationEmployeeEngagementEmployeeOpinions&ProgramsEmplo

yeeBehaviorFactorsdrivingEngagementImageDevelopmentandTrainingLeadershipEmployeeRetention.46▪Thisindicatesthea

reasoffocustodriveemployeeengagementNote:.xxisR2value;allvaluessignificant,p<.05StrategicDirection18StrategicDirectionEmployeeEnga

gementEmployeeOpinions&ProgramsEmployeeBehaviorEmployeeopinionsandbehaviorsrelatetoconsumeropinionsandpur

chasesImageDevelopmentandTrainingLeadershipEmpowermentandInnovationEmployeeRetentionEmployeeopinions&programsEmployeebehaviorConsumerattitudes

&behaviorFinancialperform-anceGlobalReputationTrackerConsumerBehavior&AttitudesShare.32.25.59.26.46▪BeliefintheStrategicDirectio

nresultsinbetterreputationamongconsumersandhighershare▪Highretentionreflectsinhighshare▪Reputationisnotjusta“feel-g

oodthing”;itresultsinhighershareNote:.xxisR2value;allvaluessignificant,p<.0519Share26%15%27%14%26%16%25%16%0%5

%10%15%20%25%30%ManifestoforGrowthCommunication&AwarenessCompensation&BenefitsImageDivisionswithmorefavorableemployeeopinionsha

veahighershareEmployeeOpinion:HighFavorabilityEmployeeOpinion:LowFavorabilityShareishigherindivisionswhereemployeesaremorefavorable,asi

ndicatedbythedifferenceintheredandgreenbars20Divisionswithlowerpeopleturnoverhaveahighershareofcatego

rysales28.4%14.4%30.9%20.0%6.0%2.4%ShareofCategorySales0%5%10%15%20%25%30%35%LowTurnoverHighTurnoverCateg1Categ2Categ321Str

ategicDirectionEmployeeEngagementEmployeeOpinions&ProgramsEmployeeBehaviorImageDevelopmentandTrainingLeadershipEmpowermentandInnovationEmp

loyeeRetention.46Employeeopinions&programsEmployeebehaviorConsumerattitudes&behaviorFinancialperform-anceGlobalReputationTrackerCon

sumerBehavior&AttitudesShareofCategorySales.32.40.59.25FinancialPerformanceFinancialPerformanceNetRevenueRatioBrandContributionRatioOperatingIn

comeRatioAdministrativeExpensesActualvs.Plan.18OperatingEffectivenessNetRevenuePerEmployee.39.34▪Engagementandperceptionsofopera

tingeffectivenessarerelatedtocontrolofadminexpenses▪Improvementinengagementrelatestounitcasegrowth▪Retentionrelatestobetterfinancialperforman

ce▪Wherewehavehighershareofsales,netrevenueperemployeeisbetterThefollowingslidesillustratetheserelationships

UnitCaseGrowth2005-2006.20.1522