Human Resource Management Policy
Recruitment, development, and utilization and the involvement of human resources who can lead global businesses are the most important issues for the Sumitomo Corporation Group to prevail in an ever-changing business environment and achieve sustainable growth.
For this reason, we are training new employees on a Companywide basis, disseminating Sumitomo’s business philosophy—the basis of the Management Principles and developing human resources by employing on-the-job training, based on job rotations, and off-the-job training, based on the characteristics of each business while encouraging the involvement of diverse human resources.
We introduced a new Human Resource System in April 2016. By stepping up human resource development, this system will advance organizations and the Group as a whole. Under the system, we are enhancing individual capability through the creation of lively environments that enable personnel to grow in an atmosphere of friendly rivalry. Also, we are heightening motivation by rebuilding systems to ensure appropriate evaluation of capabilities and compensation commensurate with capabilities. Further, we are enhancing talent management to promote the allocation of human resources in line with our medium-to-long-term strategy.
Human resources allocation in line with business strategies
Realizing appropriate human resources allocation from the medium- to long-term perspective in order to implement individual initiatives with prime importance
Talent cannot be developed overnight. There is a need to envision, develop and deploy human resources required for the growth of each business in the medium- to long-term. For this reason, each business unit formulates and implements recruitment and job rotation plans aligned with their business strategies, taking the next 10 years into account.
In addition to this type of HR management at the level of each business unit, company-wide HR management is also implemented to support each business unit in the securing of personnel necessary to advance their top-priority individual initiatives, as well as to arrange the transfer of personnel among business units to ensure appropriate allocation of human resources from the medium- to long-range perspective. This transfer of personnel includes job rotations intended for HR development.
We will continue upgrading this strategic HR allocation to enhance workforce capabilities across the Company.
Enhancement of Talent Management
Developing Managerial Talent Continuously
As well as placing the right person in the right position on a global basis, we are implementing "the Enhancement of Talent Management" to enrich the quality and quantity of managerial talent continuously. Along with Key Positions, that is to say positions involving Group management (Diagram 1), we identify the criteria for each key position (Diagram 2). Moreover, on a broad scale, we select and deploy capable human resources to each key position, including candidates for the next generation and the generations that will follow (Diagram 3). In addition, we set out the experience, skills, and knowledge that key position candidates should acquire; rotate jobs and reassign roles accordingly; and provide off-the-job training (Diagram 4). Further, to enhance talent management that transcends regional boundaries, in April 2017 we established the Global Human Resources Management Department, which is tasked with advancing human resource management.
Through the above initiatives, we will rapidly develop managerial talent qualitatively and quantitatively, in the fastest, most effective way possible.
Diagram1 Definition of Key Positions
Key positions involving Group management needed to execute Group strategy. Portion in blue shaded area: General Manager and above envisioned in the case of Headquarters
Diagram2 Definition of Key Position Criteria
The abilities required of key positions are defined from three viewpoints, "Experience," "Skill / Knowledge," and "Personal Qualities."
Diagram3 Preparation of Successor Development Plan
Each key position candidate will be selected not only for the next generation but also the following generations to come, and a successor training plan will then be put in place. Additionally, according to circumstances, candidates are periodically replaced.
Diagram4 Development of Managerial Talent
To enable key position candidates to acquire the necessary experience, skills, and abilities, we will effectively combine job rotation, job assignment, and off-the-job training.