- One-third of open roles filled internally
- New “Management Fundamentals” programs launched
- Commitment to raising the proportion of female managers
Delivering Strategy 2020 depends in part on our ability to retain, motivate, develop, and continue to attract employees with the skills and experience that will help to master challenges and make the most of opportunities. Deutsche Bank’s people agenda therefore, plays an instrumental role in securing the future success of the bank. This is reflected in our strategic HR priorities, which cover aspects from organizational culture, diversity and inclusion, talent development and acquisition, to compensation and benefits.
Strengthening our culture
A strong corporate culture remains essential for Deutsche Bank’s long-term success and its stakeholder relationships. Since 2013, the approach to strengthening our culture has been multi-pronged. In addition to a clear tone from the top, Deutsche Bank has actively engaged employees, anchored its values and beliefs in all people processes, and embedded the values in business processes, practices, and policies. This has also gone hand in hand with an increased focus on robust controls and greater personal accountability.
Against this backdrop, we place increasing importance on managing and developing employee performance holistically, regularly giving feedback, and taking appropriate actions. For instance, all talent development programs have a strong culture component as part of their curriculum. When employees are being considered for promotion, it is now standard for managers to assess how candidates demonstrate the values and beliefs in their daily business. Also, for the second consecutive year, the annual performance management cycle focused as much on how employees go about their work as on the results they achieve.
Effective consequence management as well as escalation and sanctioning mechanisms are basic conditions for cultural change. We have improved our processes and practices, and installed clear escalation mechanisms to ensure compliance and to investigate misconduct in order to take disciplinary action as required.
In 2015, recruitment and referral processes and policies were strengthened to ensure new employees fulfil Deutsche Bank’s requirements on conduct and living the corporate values. In close cooperation with Compliance, we also rolled out a new mandatory training for all employees on the Code of Conduct and Business Ethics.
Conducted in June, our 2015 People Survey provided a detailed understanding of how employees experience Deutsche Bank and their immediate working environment, as well as how they engage with their managers and peers. Almost 57,000 employees, or 63% of the total workforce, defined as permanent employees, including Postbank colleagues who are part of PBC Banking Services, participated—an increase of 4.5% points on 2014.
Since the survey was updated in 2014 to capture aspects of our culture, results have shown progress in both familiarity and engagement with the corporate values and beliefs: Employees’ awareness rose to 93% (2014: 85%), while engagement was at 61%, up 5 percentage points from the previous year. However, although our employees witnessed an increase in behavioral changes, they said they require more tangible evidence that living the values has a positive impact on achieving Deutsche Bank’s strategic objectives. For this reason, the focus will shift from building awareness to putting the values and beliefs into practice and creating clearer links between culture, conduct, and achieving business results.
The commitment level declined to 62% in 2015, as we continued to face a number of challenges. While the personal motivation of employees remained stable and at high levels, commitment to working at Deutsche Bank decreased as measured in June 2015. Enablement was stable at 68%, with staff experiencing a working environment that allows them to make good use of their skills and fulfil interesting tasks. However, they also identified some barriers to effectiveness, such as some inefficient processes, which need to be overcome.
Strong commitment to diversity
We are committed to an inclusive culture that respects and embraces the diversity of employees, clients, and communities. We aim to attract, develop, and retain the most capable employees from all cultures and countries, and of all ethnicities, races, genders, sexual orientations, abilities, beliefs, backgrounds, and experiences.
In line with our voluntary commitment—made in 2011 together with the other DAX 30 companies—to substantially raise the proportion of female managers by the end of 2018, we have focused on building a steady pipeline of female executives for broader and more senior positions. In 2015, the percentage of women at Managing Director and Director levels rose to 20.5% from 19.4% in 2014. The share of female officers increased to 32.5% (2014: 31.7%). Furthermore, our Accomplished Top Leaders Advancement Strategy (ATLAS) and Women Global Leaders (WGL) programs have continued with success. Since its launch in 2009, 56 women (2015: 15) have participated in the award-winning ATLAS program, with around 50% having taken on more responsibility since completion. In 2015, 37 female Directors from across Deutsche Bank participated in the WGL program, designed and delivered in partnership with INSEAD business school. Since the inception of the WGL program in 2010, one in two participants has been promoted within three years of completion.
We will continue our efforts to advance women in the workplace under new gender quota legislation introduced in Germany in 2015. The percentage of women on Deutsche Bank’s Supervisory Board stood at 35% at the end of 2015, above the new statutory requirement of 30% for listed and co-determined German companies. The Supervisory Board set a target of at least one female member of the Management Board by June 30, 2017. The target was met with the appointment of Sylvie Matherat, Chief Regulatory Officer, to the Management Board on November 1, 2015. It is planned that another female executive, Chief Operating Officer Kim Hammonds, will join the Management Board in the course of 2016. We have also set ourselves targets for the first two management levels below the Management Board of 17% and 21%, respectively, by June 30, 2017.
Among a wide range of diversity topics, we actively support LGBTI (lesbian, gay, bisexual, transgender, intersexual) initiatives around the world and take part in several events every year. Deutsche Bank has received various accolades honoring its commitment to LGBTI causes. For example, it was awarded the maximum score of 100 in the Human Rights Campaign’s annual Corporate Equality Index for the 13th consecutive year.
Diversity is embedded in our people processes—from recruitment to leadership development—and reflected in all human resources-related offerings, including parental leave coaching and part-time job schemes. Managers are responsible for ensuring they foster diverse capabilities and lead inclusively, with hiring and promotion programs also reflecting key aspects of Deutsche Bank’s diversity principles.
Developing employees and creating future leaders
We seek to build the capabilities of managers and staff in order to help them to develop both professionally and personally and to position the organization for future success. Talent and development activities are aligned to three priorities: building leadership capabilities and developing future leaders, fostering an environment that supports sustainable performance, and promoting continual professional and personal development for all employees.
To help managers settle into and grow within their roles, Deutsche Bank offers two new “Management Fundamentals” programs, with a core version addressing new managers up to Vice President level who are taking on people management responsibilities at Deutsche Bank for the first time, and an executive version for Directors and Managing Directors. In 2015, around 750 staff attended the core version, with 1,500 in more than 15 locations expected to participate in 2016. The program is built around three key areas: leading people, driving business, and shaping culture. There are also a number of “Acceleration Programs“ for individuals who have the potential to be future leaders, preparing them for the next stage of their development and ensuring they gather the right skills and experience to accelerate their careers.
A balanced approach to talent acquisition
Against the backdrop of strategic repositioning, Deutsche Bank has adopted a balanced approach to talent acquisition. It relies both on leveraging the skills and experience already available within the organization while bringing in the necessary capabilities that will help to position Deutsche Bank for long-term sustainable performance.
Throughout the year, more than one-third of open roles were filled internally at a global level, with a much higher ratio seen in Germany (60%). Together with other development moves, more than 10,000 full-time employees assumed new roles at Deutsche Bank in 2015. The year also saw more than 750 graduates hired, one of the largest classes ever, joining us across all business divisions and infrastructure functions. During a joint induction and orientation program in the summer, the graduates were introduced to our business and culture, trained in relevant technical skills, and afforded an opportunity to build a network upon joining.
Furthermore, we hired 863 new apprentices in 2015, an increase of 3.7% from the previous year, amid greater demand for dual students and apprentices in office administration. In turn, 475 young people who had completed their training were awarded employment.