Hiring/Training Initative-Kellogg

Van McMullanVan McMullanKellogg Company Training ManagerTraining Manager

Grand Rapids Plant Bakery

1

Agenda

• Purpose • Plant Overview• Demographics• Hiring and Selection• Training Process• What Went Well? • Do Differently’s• Challenges Going Forward

Purpose

• New Line

• New Product Line• New Product Line

• Retirement Implications

Grand Rapids Baker Plant O er ieGrand Rapids Baker Plant O er ieGrand Rapids Bakery Plant OverviewGrand Rapids Bakery Plant Overview

Grand Rapids HistoryGrand Rapids History1893: Edsko Hekman produces baked goods in Grand Rapids

1945: The Grand Rapids Bakery facility was constructed (three ovens)

1964 Fi t P T t d d t G d R id B k1964: First Pop Tart produced at Grand Rapids Bakery

1979: Grand Rapids Plant expansion from three ovens to seven

2001: Kellogg purchases Keebler

2004: Grand Rapids Pop Tart production goes 24/7 on both lines2004: Grand Rapids Pop Tart production goes 24/7 on both lines

2011: Expanded Line #2 Pop Tart capacity by 33% --Line #2Line #2

2011: Installed Pastry Crisp Line #1 15.3M lbs

Grand Rapids Plant

Plant size:• 585,000 square feet• Site plan 22 acres / potential for rail unloading• Flow-through warehouse

U i i d F ilit BCTGM• Unionized Facility BCTGM

P d t 106 SKUProducts ~ 106 SKUs:• Pop-Tarts - 8ct, 12ct, 16ct, 80ct – Vend, UK, Canadian• Pastry Crisps -10ct 24ct 30ct Canadian• Pastry Crisps -10ct, 24ct, 30ct, Canadian• Cookies – Vienna Finger, ELFudge, Scooby• Crackers – Wheatables, Mini Club, Custom, Breadsticks,

Townhouse Toppers• Cereal – Cracklin’ Oat Bran

Oven 7Oven 2*NEW*Oven 1

Line 7

Pop Tarts

Line “2”

Pop TartsPastry Crisps

Line 7 Packing

Line 2Packing

Fruit Crisp Wrapping

(Automated)

12 Count8 Count

8 / 10 SplitFruit Crisp

Cartoning (5Ct)

12 Count

16 C t

12 Count

8 / 16 SplitFruit Crisp C i & P ll ti i

(Hand Pack Operation)

12 / 16 Split

16 Count

80 CountPacking

8 / 12 Split

1 Count

Casing & Palletizing(Automated)

12 Ct

Sampling

O 6

Snacks Production ComplexityOven 4 Oven 5 Oven 6

Graham Meal Meal Toting Cracklin’ Oat COB Snack Stix

SargentoBreadsticks

g

BreadstickBagging

Cracklin OatBran

Bug

COB Totes

Wh t bl

Snack Stix

Vienna Fingers

Bagging BugBites

Wheatables

Scooby Bones

EL Fudge Custom Rounds

Line 4 Sandwich Cookie Packing

CustomProd.

PackingBag-in-Box

(Shared btw Lines 5 & 6)

Demographics

Grand Rapids Plant:

Total GR Employment:

507 employeesp y

66 Salaried

1441Union

Total New Hires in last two years: 186

Total Employees between age 50 & 60: 240

Total Employees over 60: 51Total Employees over 60: 51

Total Employees Retirement Eligible: 161 (32%)

9

Demographics

Cont.,

507 Employees:p y

0.2% are Traditionalists

61% B b B 61% are Baby Boomers

28% are Generation X

10.8% are Millennials

10

Generational Overview

Traditionalists (born before 1945)0.2% of current workforce

“The group is more important than the individual”– Listen attentivelyListen attentively– Duty, honor, country

Dedication sacrifice– Dedication, sacrifice – Show respect

Generational Overview

Baby Boomers (born 1946-1964)Baby Boomers (born 1946 1964)61% of current workforce

“Workaholics”O er 35 million Bab Boomers ill be lea ing the– Over 35 million Baby Boomers will be leaving the workplace in the next 10 to 15 years (US Census)

– “Get a job”Get a job – Visible success (plaques, certificates, Cadillac)

Tend to assume their identity when they enter the– Tend to assume their identity when they enter the workplace

Generational Overview

Generation X (born 1965-1980)28% of current workforce

“Prove it to me”– Tend to question authorityTend to question authority– Their heroes are people they know

They witnessed an end to life time employment– They witnessed an end to life time employment– Most loyal to individuals, not the organization

T d t th i id tit h th l th– Tend to assume their identity when they leave the workplace

Generational Overview

Generation Y ( Millennials) (born 1981 1994)Generation Y ( Millennials) (born 1981-1994)10.8% of current workforce

“Instant gratification”– Recognize them as individuals– Raised as their parent's friend– “Find a job that makes you happy” – Half of Millenials would rather have no job than a job they

d ’t lik (PEW)don’t like (PEW) – Adultoescence”

Hiring Process

• Prescreening

• Applications Review• Applications Review

• Interview Process

• Selection Criteria

Training Process

• 90 Day Probationary Period • Week Long Orientation

Use of Subject Matter Experts Use of Alchemy System

30 60 90 d E l ti I t l• 30, 60, 90 day Evaluation Intervals

Training Process

Pastry Crips Product Line:

• Needs Analysis• Needs Analysis

• Employees Selected from all 3 shifts to train

• Blended training (classroom/on the job)

What Went Well?

• Tracking

• Focused Evaluation Process• Focused Evaluation Process

• Retention (only 21 terminations)

Do Differentlys

• More focus on expectations

• More focus on go/no go decisions during probationary• More focus on go/no go decisions during probationary

period

Challenges Going Forward

• Blending Differences (generational, seniority)

• Total workforce Training Strategy• Total workforce Training Strategy

• Tracking

Items That Measure Employee Engagement

• Overall, I am extremely satisfied with Kellogg Company l t kas a place to work

• I would recommend Kellogg as a great place to work• I would recommend Kellogg as a great place to work

• I rarely think about looking for a job with anotherI rarely think about looking for a job with another company

• I am proud to work for Kellogg Company

QUESTIONS?