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August 18, 2009

A frank and open dialogue

Publication: Época (São Paulo)

For Alcoa, a producer of primary and industrialized aluminum, which has its headquarters in Minas Gerais, communication is its main people management strategy. It has various channels that it uses for dealing with its employees and keeping them informed about what is going on in the company. The principal one is the weekly or monthly meetings between groups of employees and their directors or operations’ managers on themes that are freely chosen. The main objective of these get-togethers is to hear from the staff their opinions about the working environment, the business and the processes. The company’s president has a direct dialogue via e-mail with employees and with outsourced workers and he always replies to the questions that are sent to his mail box. Breakfast with the chief executive is another way the employees enjoy of having access to the company’s top management. Recently, because of the crisis these meetings have been used to discuss topics dedicated to cutting salaries, a measure that is approved by the staff themselves.

One of Alcoa’s principles is to value the services provided by its employees. It does this by means of a recognition program which rewards around 500 employees a year with trophies and sums of money that vary from R$1000 to R$12,000 for the best suggestions put forward and introduced in the company.

Activity: Metals
Where it operates: Minas Gerais (headquarters) São Paulo, Para, Maranhão, Santa Catarina and Pernambuco.
Was established: 1888
Revenues in 2008: R$3 billion

Total number of workers: 
6,855
Men 84% 
Women 16%

Management positions 
Men 83% 
Women 17%

Age band
15% over 46
28% between 36 and 45
40% between 26 and 35
17% under 25

Education level
3% with post-graduate degrees
17% with university degrees
6% have still not finished university
74% high school, or below

Movements
Hired – 22%
Fired – 12%
Promoted – 32%

Total number of résumés received: 20,904

Best practices 

Personal planning
A post-career program of professional, personal, social and financial guidance, two years prior to retirement

Quality of life
The company has a program that provides leisure, education, culture and health opportunities. In each of its units, employees are responsible for planning and carrying out events, such as talks on careers, symphony orchestra presentations, plays, photographic competitions and children’s shows.

Many ways of hiring
Internal recruitment 
Specialist consultancy company 
Résumé database 

What employees most value
46% professional development
28% quality of life
19% pay and benefits
7% job security

Remuneration
The results sharing program is competitive and is different because of the potential amount that can be earned. Once the goal has been achieved the employee can earn [a bonus of] up to 300% of his/her salary. 

Organizational climate
According to the employees

Very formal Formal Neutal Informal Very informal

Has the President made his career in the company? Yes No

“The ideal profile of an Alcoan is of someone who has an inspiring vision, who acts in a courageous and determined way, who is fascinated by work and who seeks to improve and learn continuously. We want managers who guide their employees in a motivating way”.
Franklin Lee Feder
President of Alcoa


History of the prize
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

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