Avon - The Company for Women - Corporate Responsibility

At Avon, associate engagement is not about a number or a score, but rather a mentality that should be maintained all year long, through open communications between Managers and associates.

Avon works diligently to keep associates around the world informed and engaged, from the senior executive to the worker in a manufacturing plant. A robust global intranet provides frequently updated news on Avon business, associates and achievements around the world. Regions publish magazines—in print or online—to provide a deeper level of detailed news to their own associates. Frequent email communication, on issues ranging from financial performance to new hires, are shared globally and locally. On an individual level, annual performance reviews are required and more informal mid-year reviews conducted. The reviews are structured to provide employee and Manager with clear goals, relevant feedback and action plans.

In 2008, Avon conducted its third annual Associate Engagement Survey, which is open to every Avon associate, at every level, around the world. The confidential survey serves as an opportunity for associates to directly and candidly share their feedback about Avon and their personal career experience. This helps the company understand how to make Avon the best possible place to work, while simultaneously giving associates an opportunity to shape Avon’s future.

Avon partners with an outside vendor, Towers Perrin-ISR, which handles all responses so that they are not submitted directly to Avon. Towers Perrin-ISR packages responses by geographic region and department (e.g. finance, communications, marketing), with no group of responses smaller than eight individuals to ensure that associate responses cannot be individually identified.

After survey results are tabulated, senior leaders are held accountable for reviewing the aggregate results with their teams and developing and implementing action plans throughout the year to address the feedback and areas for improvement, with quantifiable goals set for improvement of scores. Measurement is compared year to year, and areas which reflect worsening scores are addressed with the relevant management.

In 2007, Avon’s company-wide Associate Engagement score increased by 5 points to 65 percent, reflecting improved associate engagement in all areas of the company. In 2008, the Associate Engagement Survey showed further improvement, rising to 67 percent, and management continues to be focused on new goals and actions to continue the upward trend. (An engagement score of 70 percent is considered extremely high-performing.)

Click below to read about some of the action plans that have taken place worldwide since 2007 as a result of the Engagement Survey.

Actions markets worldwide have taken in response to the Associate Engagement Survey

• To help motivate associates and build and retain talent, leaders in North America implemented various activities throughout the commercial business unit. Functional leaders in supply chain, marketing, sales and finance hosted “Roundtable Discussions,” which were face-to-face conversations with associates and other members of the senior management team, as well as “virtual” meetings via conference call for associates working remotely. Canada hosted “Pause Cafes,” to meet with associates over coffee, discuss the state of the business and to address their questions. In Dominican Republic, recognition programs were expanded to include a greater number of associates. And Puerto Rico formed “action teams” to further enhance teamwork and drive motivation.
• Associates in Taiwan indicated in the Associate Engagement Survey a need for improving the leadership and managerial skills of immediate managers. As a result, leaders launched a Management Development Program that focused on driving excellence in execution, managing with respect, and developing committed teams. Four sessions have been completed to date, and HR will soon link this program with middle management development plans.
• In the Philippines, the Associate Engagement Survey showed that associates sought more communications about Sustainable Growth. In response, the country revitalized its quarterly newsletter, dubbing it "Avon Speak," and now the new interactive, web-based newsletter highlights relevant company news, and provides associates with a new channel to share their own ideas about engaging topics.
• Associates in Malaysia, Thailand and Vietnam also indicated in the Associate Engagement Survey that they sought a better understanding of the Sustainable Growth turnaround plan. In response, the countries hosted HR forums and General Manager breakfasts for approximately 500 associates to communicate aspects of the turnaround, and to gather their feedback and suggestions.
• To reinforce the importance of timely and helpful feedback from Managers, particularly before mid-year reviews, Turkey organized a “Feedback Giving” workshop for all Directors, Managers, Supervisors, and Team Leaders. The workshops gave a detailed overview of the PMP process, and participants were given an opportunity to role-play using real-life case studies that enabled them to practice having difficult conversations, giving feedback, and coaching to direct reports. The workshops will take place three times a year.
• Health, family, and general workplace wellness were top-of-mind for Hungary, which as a result of the Engagement survey feedback, established an official "Health Day," featuring scheduled medical examinations for associates. In addition, it created a monthly Fruit Day, celebrated its second Avon Children’s Day, and inaugurated Avon Family Day. Human Resources and Sales personnel also participated in a job fair to solidify the employer brand image.

In addition to the Associate Engagement Survey, Avon hosts regular departmental meetings, company-wide webcasts, and quarterly "town-hall" meetings; and consistently develops other channels for engagement to remain in touch with our associates’ concerns and ambitions.

Employee town hall meetings: Every quarter, Avon conducts employee town hall meetings from our global headquarters in New York City. Other facilities are joined to the meeting via video conference. With the entire Avon staff assembled, top management communicates key messages, raises issues important to the business, shares news and elicits employee feedback. The town hall format is intended to facilitate discussion within the company. To do this, employees are invited to submit questions to the meeting coordinators prior to or during the event.

Special webcasts and meetings: Led by senior management, special outreach is undertaken when critical new decisions or plans have been adopted, ensuring associates are the “first to know” news that is meaningful to their company.

Executive road shows: Our leadership works diligently to connect with associates in manufacturing, distribution, sales, and other capacities, who represent Avon around the world. Avon executives, including the chairman and CEO, make a point to visit the various regions in which Avon operates on a regular basis so all are equally informed and can share feedback directly. Similar to the town-hall meetings, our executives typically distribute comment cards to the audiences so that employees’ questions can be addressed during the course of executives’ visits and presentations.

Compliance Committee

The Avon Compliance Committee, which is under the jurisdiction of Avon’s Board of Directors, is accessible to Avon associates in accordance with Avon’s Code of Business Conduct and Ethics (Code). Through this channel, associates can confidentially report any perceived violation of a law, regulation, ethics or provision of the Code in any area of the company’s business, and the concern will be investigated. Avon fosters open communication by all associates of concerns, complaints and questions relating to any aspect of compliance or business ethics without fear of retribution or retaliation.

Associate Networks

Avon values associates of every gender, ethnicity, race, religion and lifestyle, and facilitates worldwide affinity groups for associates of similar backgrounds or interests, allowing the associates to build unique camaraderie within their Avon roles. The nature and size of the networks vary according to location, but they include groups as varied as parents, Asian, Hispanic, Pacific Islanders, African Americans and gay and lesbian associates. Often these groups participate in community service projects or special events in addition to providing management with ideas to better serve the varied needs of the diverse Avon associate population. See also: People & Diversity/Associates/Associate Networks