Talent Management
as a Strategic Lever
Carlos Salazar
CEO Coca-Cola FEMSA
A history of more than 120 years…
1890:
Grupo Visa, now FEMSA, starts Cervecería
Cuauhtémoc in Monterrey, the first brewery in
México.
1943:
Mr. Eugenio Garza Sada founds the “Tecnológico de
Monterrey”, promoting and developing professional
education in Mexico and Latin America.
1993:
FEMSA and The Coca-Cola Company consolidate
their business partnership, creating Coca-Cola
FEMSA (KOF).
2003:
Coca-Cola FEMSA integrates Panamco operations,
creating the biggest Coca-Cola bottler in Latin
America.
2007:
Jugos del Valle operations are acquired and integrated, complementing our NCBs portfolio. We
significantly grow our operations in Brazil by integrating REMIL.
2009:
FEMSA exchanges its beer operations for a 20% stake in Heineken, the third largest brewer in the world.
2011:
Coca-Cola FEMSA and The Coca-Cola company jointly acquire Estrella Azul in Panamá, the leader in dairy
products in the market.
2011:
Three Coca-Cola bottlers in Mexico (La Pureza, CIMSA and FOQUE) fusion their operation with Coca-Cola
FEMSA, adding more than 425 million unit cases to our Mexico operations.
2012:
Coca-Cola FEMSA through Jugos del Valle acquired the Mexican dairy business “Santa Clara”. Coca-Cola
FEMSA signs a definitive agreement to acquire 51% of The Coca-Cola Company’s Philippines’ bottling
operation.
2013:
Coca-Cola FEMSA and Grupo Yoli reached an agreement to merge their bottling operations.
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Coca-Cola FEMSA is the largest franchise bottler in the world
10 Countries
3.9 Bn Cases
US$ 13.8
Bn in Revenues
+ 316 MM consumers
109,264 employees
Brazil
Argentina
3
Constant growth over the years…
Total Revenues
(USD Millions)
15.0
2012
Filipinas
FOQUE
Santa Clara
10.0
2013
Yoli
2011
G. Tampico
CIMSA
2008
REMIL
2010
Matte Leao
Estrella Azul
5.0
2003
PANAMCO
2007
Jugos del Valle
Bn
1994
Argentina
1994
1997
Consumers (MM)
Employees
Work Centers
2000
2003
2006
2009
2013
40
174
184
198
316
15,054
56,841
56,682
67,502
109,264
78
279
237
241
306
4
Always driven by a clear strategic vision…
Our strategic framework allows us to continue building capabilities...
Full Potential
Innovation
Maximize our operations
potential
Satisfy our consumers
evolving needs
KOF
Mission and Vision
Foster
sustainability
Sustainability
Embrace our
industry´s growth
opportunities
Acquisitions
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Challenges of the organization…
Globalization
Facilitates player
consolidation across
geographies and categories
Change of consumer
habits
Greater competition
Penetration of different and
new brands to the market
What brought
us here, won’t
take us there..
Channels
diversification
Generates complexity of
operating in emerging
channels
We are facing consumers with
new needs and aspirations
Technology becomes a
"commodity"
Regulation
Reduces freedom in the
market to leverage our
strengths
Reduces entry barriers and
ability to differentiate
People as the most important asset…
• People are the most valuable resource to solve future
challenges within the organization
• Talent management and development must be the priority
of the CEO
• Human Resources must be a key player, supporting the
vision and strategy of the organization
Talent management must be a critical part of the
strategy of any organization
Supporting growth through our people…
TALENT
COMMITMENT
• Talented People
• Attitudes
• Strong Skills
• Habits
• Training Strategies
• Culture
• Incentives
• Leadership
• Productivity
• Productivity
Talent without commitment is useless,
and commitment without talent is just a good wish
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Talent: Investment
To acquire and develop talented people,
organizations must commit resources
Coca-Cola FEMSA invests in Strategic Talent
Development more than US $15 million per year
In 2012 we covered 83% of the vacancies with internal
candidates, in order to promote the growth of our executives
Talent: Skills development
Client
Segmentation
Modern Trade
GVC
(Value Based
Client
Segmentation)
Gold
Silver
Bronze
Client Centred Skills
In order for an organization to evolve, it must
constantly develop capabilities
New Service
Model
Capabilities must be transformed into daily habits that are
applied within the whole organization
Talent: Training
The best way to train people is by doing
“on the job training” not in a classroom
Training Cells Model
+20,000
people trained in
Coca-Cola FEMSA’s
operative Model
The best way to deploy best practices in the organization is by
transferring people’s knowledge, ensuring training and
development of other collaborators
Talent: Right incentives
Incentives must always be aligned and reflect the
business strategy
Based on Critical Success Factors, we share accountability of the Business
challenges with all the associates
Economic retribution
Professional development
Personal life balance
Additional to economic incentives, organizations must recognize
the merit of others and make it public
(Don Eugenio Garza Sada)
Commitment: Attitude
An optimistic and innovative attitude is required to
transform a business
Since 2002, Coca-Cola FEMSA recognizes innovation as an enabler to
transform our Organization..
An innovating Leader:
Challenges traditional duties
Integrates high performance teams
Motivates transformation
Great ideas without people, are only ideas…
people are the ones that make them real….
Commitment: Leadership
Real leaders empower the organization to make big
transformations…
The empowerment of managers have guaranteed the success of our
mergers and acquisitions…
Right Skills
Accountability
Culture and Values
Empowerment without accountability is anarchy,
organizations need people committed to their results
Commitment: Culture
Culture and values must be daily lived…
They must become the “core” of the organization
A culture based on strong values is universal. We have transmited Coca-Cola
FEMSA’s Culture in our 309 working centers, having a positive social impact
People behaviors turn out into habits, and habits become culture
Some key learning's and watch-outs…
The future comes with changes and complexity
and people is the answer to face new challenges
Great ideas without people… are only ideas
Any entrepreneur process requires people… the
role of the leader is to inspire them
It is the CEO’s fundamental task to encourage
and ensure the growth of its people
Human Resources must actively support and be
part of the business strategy
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