BCA in Brief Letter to Shareholders Management Discussion and Analysis Business Review Business Support Financial Review Business Support Human Resources of Employees BCA focuses on quality service with strong and well-trained human resources while maintaining the Bank s position as an employer of choice in Indonesia 166
Corporate Governance Consolidated Financial Statements Corporate Data BCA s achievements and successful implementation of the Bank s business strategy relies upon reliable and well-trained human resources. The contributions of the Bank s employees at all levels of the organization are the key to delivering quality services to the customers and maintaining the Bank s solid position amid tightening competition. Through a combination of careful recruitment and comprehensive professional development programs, the Bank aims to enhance the skills and competencies of all staff and to prepare high performing individuals for future leadership roles. BCA is committed to being an employer of choice. As a token of recognition of the Bank s commitment to providing a conducive and productive work environment, the Bank received Great Workplace Award from Gallup, a global performance-management consulting company, in 2015. Of the thousands of companies worldwide, only 5% or 40 companies received the award, and BCA was the first in Indonesia. Training and Development BCA continues to renew and develop Bank training programs for employees to remain in the forefront in a dynamic business environment. Throughout 2015, 60,263 employees attended 1,905 classes, completing a total of 248,368 training days. Training programs are designed to enhance skills and knowledge of staff across all Bank divisions including payment settlement services, credit services, marketing, risk management and internal control. In addition to in-house training, BCA provides opportunities for employees to attend external training programs in accordance with the specific requirements of the employee s area of expertise and in effort to provide a framework for enhancing or developing new skills. To support the Bank s strategy in enhancing relationship banking, BCA holds ongoing training modules for the development of specialized staff who are instrumental in serving affluent and high net-worth individuals. The program is also designed for the development of customer service with extensive knowledge of the Bank s products and services to better provide information, solutions and financial services appropriate to the needs of customers. These development initiatives will allow the Bank to enhance the quality of customer service through the provision of comprehensive banking solutions. In order to facilitate intranet training for employees, BCA continues to develop e-learning, a technology-based learning method easily accessible by all employees at all levels of the organization without the constraint of time or location. In 2015, the Bank enhanced its e-learning media by adding new modules relevant to banking trends and in line with ongoing business developments. The number of e-learning participants reached 19,653 in 2015 compared to 18,443 participants in 2014. In addition, the Bank continues to develop Video-Based Training capacity for a more interactive training experience. To enrich the learning process, in 2014 BCA began introducing gamification into bank-wide training programs. This learning method makes use of educational games for a fun learning experience to ensure that the materials can be easily comprehended by the participants. This method is appropriate and preferred by the younger employees, who are generally millennial generation. As part of employee self-development, in 2015 the Bank held the BCA Innovation Award program as a platform for employees to be creative in an effort to encourage innovation both in developing banking services and solutions and in improving internal processes. The innovation concepts were first delivered in a Community of Practice group discussion format a forum for 167
BCA in Brief Letter to Shareholders Management Discussion and Analysis Business Review Business Support Financial Review Business Support Human Resources employees to share knowledge and expertise within their respective work units in order to receive input from colleagues prior to submission of the innovation proposal to an independent jury for assessment. The Innovation Award program has proven quite positive in building employee engagement and enhancing the innovation process while generating ideas that have improved Bank efficiency. In order to maximize managers commitment to their teams, improvement of staff quality is one of the key performance indicators for measuring BCA division and group head managers. The key performance indicators are comprised of three aspects, namely individual development plan, coaching and encouraging a learning culture. The primary goal of this program is to maximize employee satisfaction and ultimately increase employee retention. To support the Bank s growing training needs, a new training center is being developed and will become fully operational in 2016. This training center, the BCA Learning Institute, is designed to meet BCA s overall training needs and equipped with more than 70 modern class rooms, accommodations and group conference rooms. The modern design, the use of the latest technology, and virtual classrooms, are considered essential for BCA to continue improving human resources. The BCA Learning Institute also includes BCA gallery. This gallery is designed to tell the story of the Bank s journey and to introduce BCA s vision, mission and values as a part of the orientation of new Bank employees. Recruitment and Career Building Regeneration and succession are important factors in developing and maintaining superior human resources. This process begins with the selection of the best graduates from top universities both at home and from overseas. The BCA career website is an important medium that can be widely accessed by internal and external job seekers. In 2015, BCA recruited 2,535 new permanent employees and accepted 4,060 people to work as tellers and customer service officers through the Magang Bakti BCA apprenticeship program. Before being placed in various work units, the new employees are first given thorough and intensive training through a variety of educational programs according to their specific needs. In order to support BCA as a continuously growing organization, the Bank has conducted a management trainee program since 1990. The program, the BCA Development Program (BDP), focuses on the Bank s needs for skilled first-line managers. BDP participants receive both in-class and on-the-job training so that they receive theoretical and practice experience and can readily adapt to their work unit or branch placements upon completion of the program. The program is continuously evaluated and adapted to the dynamic and ever changing needs of the Bank. In line with the development of the specific needs of the organization, BCA also recruits employees to be placed directly in special programs such as the Account Officer, Relationship Officer, Business Analyst, Frontliner, and Operation Support Staff Program. In order to maintain the sustainability of employee regeneration, the Bank regularly organizes career development programs, aimed to prepare employees for career advancement and to meet the Bank s staffing needs in strategic positions. BCA uses a system of joint work unit and Human Capital Management Division assessment panels to identify the best quality employees for promotion. Selected employees will be enrolled in special education programs and upon completion, the employee s performance will be evaluated in preparation for continuing self-development programs and targeted promotion. In 2015, 301 employees completed the BCA career development program. As the organization continues to grow, BCA continues to develop the quality of its employees at the management level. To that end, BCA runs enrichment programs for senior management officers to provide them with extensive knowledge and ability to meet the changing needs of the banking business. These programs give senior management the flexibility to occupy different positions within the organization. 168
Corporate Governance Consolidated Financial Statements Corporate Data At the branch level, there are two types of enrichment exchange programs. These exchange programs are the loan-related enrichment program for the Heads of Branch Operations who have yet to possess the necessary expertise or experience in lending and the operational enrichment program for the Heads of Branch Business Development who are not yet sufficiently experienced in the operational field. Through these exchange programs, Bank officials will be well prepared to become the head of strategic branches; positions that require comprehensive management and credit skills. In the head office, more specific enrichment programs cater directly to the needs of each unit. For example, treasury products and services enrichment program ensures that Corporate Business Group officials understand the business relationship between corporate banking and the treasury. BCA implements an attractive rewards program as an appreciation to employees for maintaining and improving their performance. Remunerations and rewards are set based on the achievement of predetermined targets. Since 2012, a portion of employees annual bonuses have been paid in the form of BCA shares acquired through the Indonesia Stock Exchange. The bonus shares are held for three years before the employee has the right to sell. The bonus shares scheme is designed to enhance the sense of belonging and ultimately it is hoped to maintain employee loyalty throughout the Bank. Learning Organization To ensure the availability of human resources who are ready and able to adapt rapidly to changes in the direction and development of the business, the Bank is committed to becoming a leading learning organization. A learning culture is developed through integrated training programs and has become ingrained in the Bank s culture. In recent years, the Bank has consistently developed an informal learning culture by encouraging self-learning through Community of Practice (COP), an expertise and knowledge sharing program. By regularly organizing COP meetings, work units are able to capture, own and disseminate knowledge as a valuable reference for any employees seeking such information. In addition to being held in each work unit, COP is also made available for the senior leaders of the Bank. In this forum, BCA invites external speakers and experts to share their views on various topics and the latest practices in certain industries. This program is expected to provide insight to the necessary knowledge and skills for BCA senior officers who are involved in decision making that can impact the overall Bank. COP has also become a vehicle for the dissemination of the latest developments in various industries that the leaders of the BCA need to be aware of, such as developments in the banking industry and information on newly launched products and services. In 2015, and in every year since 2012, BCA has held the Indonesia Knowledge Forum (IKF) as a medium for knowledge and experience sharing intended for the nation s youth. The theme for IKF 2015 was Moving Our Nation to the Next Level - Utilizing Knowledge for Sustainable Innovation Across Generations. The theme discussed the outlook for Indonesia s economy from different perspectives, followed by a sharing session with the founders of creative industries. In 2015, the IKF was attended by approximately 1,100 participants from various circles of society: businessmen, students, customers and employees of the Bank. Work-Life Balance BCA is committed to ensuring job satisfaction among employees believing that efficiency is maximized when there is a well-maintained work life balance. To that end, the Bank offers a wide range of activities and training that aim not only to enhance skills related to an employee s duties at the Bank, but also to satisfy their personal needs. BCA provides a variety of training programs related to health, financial management, and child care, as well as training in preparation for retirement. Various group activities, offered in support of employees hobbies, are rapidly growing in participants and facilitate the ability of employees to pursue personal interests beyond their work life. These communities include 169
BCA in Brief Letter to Shareholders Management Discussion and Analysis Business Review Business Support Financial Review Business Support Human Resources photography, fishing, biking and hiking. BCA also provides a counselling service to support employees in finding solutions to problems in their personal lives. Looking Forward BCA will continue to foster their employees development and building the competencies and capabilities required to face increasingly fierce competition in the banking industry. Employees are the Bank s main resource in staying a national banking leader amid growing competition. BCA believes in career development and training as essential elements to develop and retain a quality workforce. factor between BCA and other companies. The hallmarks of the employee value proposition are friendly work environment and continuous improvement to support a well-balanced life and career. BCA continues to innovate and improve the various training programs offered by the Bank. To facilitate the learning process of the younger millennial generation, BCA is developing Mobile Learning BCA (Morning BCA) as an attractive and convenient learning channel. This learning mechanism is based on a cloud system that allows employees to access learning systems from outside the office at their convenience. BCA reviews competency mapping as a part of talent management for employee career development and works to develop individuals to meet leadership needs at various levels of the organization. As a step to improving comfort in the workplace, the Bank introduced the employee value proposition, which is a distinguishing BCA will continue to maintain its position as an employer of choice in Indonesia. The BCA recruitment team makes use of attractive socialization programs and strengthens cooperation with universities throughout Indonesia in introducing and promoting a promising career with BCA. It is BCA s goal to attract the best talents in the country. Employee by Organization Level Non Staff 1,522 1,701 Staff 18,548 16,718 Managers 3,840 3,672 Executives (Including the Board of Commissioners and Directors) 72 70 Employee by Seniority 1 Year 2,755 2,033 > 1 5 Years 4,360 2,906 > 5 10 Years 1,040 986 > 10 15 Years 937 1,623 > 15 20 Years 6,047 6,188 > 20 Years 8,843 8,425 170
Corporate Governance Consolidated Financial Statements Corporate Data Employee by Age 25 Years 2,960 2,002 > 25 30 Years 4,066 2,990 > 30 35 Y ears 1,211 1,059 > 35 40 Years 2,435 3,128 > 40 45 Years 5,071 5,497 > 45 50 Years 5,285 5,008 > 50 Years 2,954 2,477 Employee by Education Level Up to Senior High School 5,399 5,564 Diploma and Undergraduate 17,871 15,934 Graduate and Doctorate 712 663 Employee by Status Permanent 22,430 21,077 Non Permanent * 1,552 1,084 * Including contract employee, probationary and trainee Employee Training of Classes of Days of Participants of Classes of Days of Participants Managerial Leadership & Personal Development 838 129,219 25,737 730 123,163 25,035 Credit Management 72 9,549 3,356 84 12,805 2,825 Risk Management Certification Program 18 808 404 31 1,339 681 Sales 62 8,017 2,841 43 5,294 1,039 Service 19 2,179 742 9 1,710 468 Operations & Information Technology 803 91,183 23,531 778 90,342 21,276 Others 93 7,413 3,652 110 7,256 4,389 Total 1,905 248,368 60,263 1,785 241,909 55,713 Employee Training Expenses (in million Rupiah) Total Employee Training Expenses 256,472 266,205 171