The 2009/2010 Human Resources Report

In order to turn our Group vision into action for our customers, HR supports the fundamental transformation of Deutsche Telekom to “One Company.”

Team HR: Partner for business. One Company – One HR: HR is changing and driving its own integration. The One Company vision includes the need for HR – like all other corporate functions – to establish a new matrix structure, with centralized service, management and planning functions, and regional organizations that bear responsibility for local markets. This regionalization and functionalization presents all Group functions with the need for a new approach: namely to abandon a primarily German perspective in favor of global planning, man- agement and service orientation with stronger international competencies and structures. This makes heavy demands of the HR Group function, with regard to the way it sees its own role and its matrix organization, as well as in its skills. The year 2010 will be a year of internal transformation. We have launched specific projects and processes with the aim of making further improvements in our strategic work and our service. With them, we are fur- ther expanding exchange and cooperation between HR and employees and management staff in the operational units on the basis of our globally valid three-role model. Three-role model. Continuing HR transformation. Introduction of our three-role model (see Fig.) has been successful in giving the HR unit in the Group in Germany a pronounced business and customer focus. With a series of structural and process-based measures, we have significantly im- proved the quality, measured customer satisfaction and efficiency of the services offered by competence centers, business partners and shared services. The new “HR@2012” program drives ƒ Profile sharpening for the three roles with the aim of enhancing the quality as experienced by the customer and the effectiveness of strategic activities. ƒ User-oriented process automation and greater simplification. ƒ A further efficiency hike in the HR organization. Total workforce management: Greatly improved planning, management and control of global human resources. With its modern total workforce management concept, Deutsche Telekom is one of the few global players to engage in innovative human resources planning that anticipates mid-term changes in product portfolios and markets. Business scenarios are built to ascertain the impact this change will have on workforce volume, structure and skills, and the results are subsequently reflected in strategic HR programs. HR assumes responsibility for business-related consulting on the develop- ment of new business models. 76 % Ø 2009Ø 2008 Processing travel expenses Children’s allowances/family benefits for civil servants Target agreement Customer satisfaction rating Q4/2009* Reachability (overall) Complaint frequency** 3 WD 7.3 0.49 % 0.37 % 7.8 6.9 20 WD 5 WD9 WD 21 WD 75 % 79 % Example: Handling times, HR Services Telekom (PST). Development of internal HR service quality. Working days (WD): All data refers to processing days in the HR Services Center. *On a scale of 1–10 **2009 value refers to complaints induced by PST In 2009, HR Services Telekom (PST) = supported around 137,000 active employees along with 119,000 benefit recipients and retirees. = handled a total request volume of around 2.93 million transactions. = processed some 475,000 trip requests and 1.6 million salary statements. = completed some 360,000 telephone queries, 69 % of which in initial contact. = processed over 13,400 part-time contracts. Business Fulfill HR requirements for business, e.g = Advise executives and company management, = Implement core processes, = Business-specific HR projects, = Shape employee relations, = Integrate HR topics in business policy HR Competence Center HR Shared Services = Process and product house = Draw up HR policies and core processes/tools to manage, support and review implementation success = Innovation Center = e.g. = Compensation and benefits, = Collective bargaining policy, = Health and social issues, = Human resources development, = Diversity, = Employee relations, = Global labor cost management = Efficient and high-quality fulfillment of standard administration processes = e.g. = Payroll accounting, = Personnel files, = Pension scheme, = Recruiting, = Further training programs, = Vocational training Integrate HR strategy in segment/Group strategy Implementation of Group/ segment strategy in HR’s strategy HR Business Partner The three-pronged HR organization. Think Company Touch Company Service Company Contents