L'Oréal - 2018 Registration Document

L’Oréal’s corporate social, environmental and societal responsibility POLICIES, PERFOR MANCE INDICATORS AND RESULTS

in recent years, the Group has also developed a powerful s digital communications system to enhance its employer image, and to share, on a daily basis and in a transparent manner, the wealth of its business lines and the diversity of its career paths, and to provide the keys to its culture. L’Oréal’s Social Media strategy in the area of recruitment has been recognised as one of the best in the world (1) ; an International Digital team provides L’Oréal recruiters s around the world with the most innovative tools and methods to efficiently select candidates from among nearly one million applications received. Among them, the Group this year launched two artificial intelligence solutions that improve the candidate experience and diversify the sources

of applications, namely Mya and Seedlink. A strong presence on LinkedIn (1.6 million followers and No. 2 in the LinkedIn Top Companies ranking) helps proactively recruit the best talent. In all countries where L’Oréal operates, the objective pursued is to develop a lasting relationship with each new employee. Building a personalised induction process makes it possible to give everyone the keys to success within the Group, both from an operational standpoint and with the desire to share the corporate culture. Stimulating career paths allow everyone develop their talent, to contribute to the Group’s success and enhance its international reputation.

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13,582 employees hired on permanent contracts in 2018

Training employees throughout 3.3.2.3. their careers As part of the Group’s Universalisation strategy, the Learning teams’ task is to contribute to L’Oréal’s competitive advantage by responding to both business acceleration and human challenges. This task is expressed in four priorities: support the development of the talents, with a particular s focus on each stage of the career; anticipate changes in jobs and future skills requirements, s particularly the critical skills that will allow the Group to stay one step ahead; support business transformations and the related human s challenges; nurture the sense of belonging and cohesiveness of teams s around the world, stimulating the sharing of corporate culture and passion for the beauty business. This allows the Group at all times to benefit from employees with the right skills for internal needs and to adapt to rapid changes in its markets. L’Oréal has always considered the development of its employees as one of the main drivers of its performance and its transformation. The world is changing, jobs are changing, skills are changing. To prepare tomorrow’s leaders, and to develop everyone’s potential throughout their lives, the Group aims to provide the most pertinent and up-to-date training and development solutions everywhere in the world. Training has strategic importance, and enables the L’Oréal Group to be recognised as a school of excellence that attracts and retains employees.

Artificial intelligence in the service of recruitment In several of its subsidiaries, L’Oréal has rolled out two artificial intelligence solutions in order to improve the efficiency and diversity of recruitment processes, especially for positions generating large numbers of applications. MYA is a chatbot with which candidates interact when they s apply online. It asks questions prepared upstream by the recruitment teams to determine the candidate’s suitability for the position. Mya accordingly serves to gather factual information based on a list of prerequisites for a position (date of availability, place of work, level of study, internship agreement, etc.). It can also respond in real time to the questions most frequently asked by candidates during the recruitment process. SEEDLINK is a customised algorithm for L’Oréal that, through s the analysis of candidates’ responses to the questions asked during the pre-selection phase, helps determine whether they are a match with the corporate culture. SEEDLINK accordingly serves to promote the integration and engagement of new recruits. These tools allow recruiters to spend less time on the pre-selection part of the recruitment process and to reallocate time to the human dimension of their mission, where they have real added value: building the relationship with candidates, ensuring they have the best possible experience, assessing the match between their profile and the position and interacting with managers in-house. As they can handle large volumes of applications, these solutions also help increase the diversity of the profiles reviewed since they make it possible to evaluate applications other than simply through the applicant’s CV.

2018 ranking of Swedish firm Potentialpark: L’Oréal ranks second worldwide for its social media strategy, and first in France, the United States and Italy. (1)

REGISTRATION DOCUMENT / L'ORÉAL 2018

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