OUR PEOPLE AND WORKFORCE
As a multinational company competing in a global market, EMC is continuously expanding the geographic scope of our customer base and developing centers for research and development and services to access world-class talent around the globe. EMC serves customers in more than 100 countries. The expansion of our employee base internationally allows us to be in close proximity to customers in rapidly-growing emerging markets. These centers are an essential element of our journey to find the best talent in the world that delivers an enriching diversity of perspectives on the global challenges of our customers.
Centers of Excellence
EMC Center of Excellence (COE) is a key pillar of our strategy for cultivating talent and expanding our presence in key markets world-wide. We operate COEs in seven countries: China, Egypt, India, Ireland, Israel, Russia, and the U.S. In addition to supporting in-country market growth, our COE network model is a globally consistent platform that attracts and develops top talent to drive ground-breaking operational and financial value to global initiatives through superior performance, best practice sharing and creative innovation.
COEs coordinate initiatives with local university programs, government representatives, and community partners for maximum impact. In addition, each of our COE teams plays an important role in contributing to EMC’s vision for sustainability. In 2013, the Egypt, India, Ireland, Israel, and Russia COEs published internal reports describing their sustainability achievements and initiatives. Each COE delivers online publications and social media to report on its sustainability achievements and initiatives to employees and external stakeholders.
The COEs bring local expertise and skills to advance our global business strategy. In conjunction with EMC business units, the COEs are responsible for the development of many products across EMC’s broad software and hardware offerings, and for providing global services support to EMC customers worldwide. Additionally, the COEs provide back office processing activities for internal operations.
The COEs have been designed to provide EMC business units with world-class talent, infrastructure, and management to deliver to the needs of EMC’s customers. EMC business units are, in essence, internal customers of the COEs. Each COE is managed locally, and a cross-functional leadership team consisting of EMC’s senior executives oversees strategy and investment decisions. Nearly 100 percent of senior management at the COEs is hired from the local community.
One unique advantage of our COE model is that employees from different business units have more opportunities for collaborative innovation. Each year, the COEs contribute a high percentage of submissions to EMC’s annual worldwide Innovation Roadmap, and they play a part in hosting the global event.
Our COEs are highly collaborative and work closely with University Relations, the Academic Alliance, Corporate Training, and the Innovation Network on local recruiting strategies. Although many technology companies are seeking to hire top talent in our COE locations, we have kept attrition rates below the market average by focusing efforts on employee retention, including benefits, work environment, career development, and compensation. In addition, sustainability teams at our COEs met three times in 2013 to share best practices and improve their programs.
Expansion is based on business unit demand for talent. Current COEs will continue to grow as necessary, and we will continue to explore new locations that could best serve the needs of the business. To meet the growing needs of customers in the Western Hemisphere, we opened a new COE in Utah in 2013. Near term, this center is focused on the service needs of customers in North and South America, allowing us to provide better business hour alignment and support in Spanish, Portuguese, and English. In addition, as part of a $100 million USD investment in Brazil, EMC has opened the Brazil Research and Development Center in the heart of the Rio Technology Park on the campus of the Universidad Federal de Rio de Janeiro.
The world of IT is evolving rapidly, requiring EMC to be adaptive and flexible as companies, technologies, and markets change. Though industry consolidation, acquisitions, and restructuring have become common in the 21st century, we work hard to make transitions as smooth as possible for employees in order to retain top talent and preserve relationships.
Retaining top talent is one of the primary goals following any merger or acquisition. Early in the process, we create an assimilation plan to balance integration into EMC, while maintaining important aspects of the acquired company’s culture.
In the course of conducting normal business operations, EMC is occasionally required to reduce headcount in certain areas of the business, reallocate investments, de-emphasize less productive initiatives, and focus new investments in areas of opportunity. Any of these actions can result in valued employees leaving our business involuntarily. EMC takes these actions only after thoughtful consideration and with an empathetic understanding of the impact our actions can have on the lives and careers of our team members. For example, we began offering an early retirement program in 2013 to help mitigate some of these impacts. We also work to exhaust all options before making the difficult decision to reduce the size of our workforce.
When our changing business needs require reducing employment in a particular location or organization, we work with impacted employees to attempt to redeploy them to other growth areas of the business whenever possible prior to taking the taking the difficult action of severing employment. When we do have to make reductions, we offer global job search assistance provided by a third-party organization and paid for by EMC, in addition to providing separation pay and benefits. In either case, our mission is to ensure each individual is treated with dignity, compassion, fairness, and respect.