Question

If you work at L’Oréal, the company’s meals, gym, massage service, concierge service, day-nursery, and around three months’ salary in profit-sharing schemes may seem a good reason to be very satisfied with your job. Indeed, L’Oréal is among the most sought-after companies to work for, with 1 million applications every year. The 2015 Universum survey, which is conducted yearly in 12 European countries from a sample of 168,000 undergraduate business school students, ranked L’Oréal as the second most preferred employer in Europe.

Innovative recruiting tools such as REVEAL, Brandstorm, and Talentube support L’Oréal’s reputation as an employer of choice by raising youngsters’ positive attitudes toward its brands. Brandstorm, an efficient assessing tool, means that competing teams of students from renowned business schools and universities play the role of a brand manager by analyzing market trends and creating product packaging so that they experience real work situations at L’Oréal and can connect with their potential future jobs. In France, 90 percent of all new recruits at L’Oréal were interns, the reasoning being that internships serve to build future employees’ organizational commitment. Before taking up any managerial position, new recruits are all sent on the road for six to twelve months to stack products on shelves at 5am in supermarkets. It is an ordeal. Candidates are reportedly thrown in at the deep end and forced to learn on their own. The job allows little time for socialization outside the organization. Being part of L’Oréal has been described as “cult-like.” In-the-field initiations serve as filters. You must be highly engaged by your job even if you feel a lack of organizational support, or you will be seen as weak—and the weakest do not last.

Everyone has key objectives and accountabilities. To ensure that employees will be devoted to their job and perform up to its standards, L’Oréal has five Development and Learning Centers worldwide. Each Oréalien has personalized access to learning modules that enable them to meet the needs of each function. To track and promote the most talented Oréaliens, L’Oréal has a sharp management and performance appraisal process. Managers with strong potential who have completed several successful projects will be promoted every two or three years.

Indeed, at L’Oréal, careers can be built quicker than elsewhere, but you have to first survive several challenges. Managers can be inflexible with employees who are dissatisfied with their jobs and also underperform, for staff satisfaction surveys at L’Oréal show these employees often exhibit behaviors that demotivate their colleagues. Through this presentation and several others, top managers aim to spread a so-called “healthy worry” among Oréaliens. They also make and break many careers. One Oréalien said that she understood what humiliation really meant when she saw a colleague publically fired during one such meeting. And yet, to her, “L’Oréal is worth it.”

How would you react if one of your peers would be humiliated and eventually fired by your common supervisor during a meeting? Which factors would you consider that could influence your reaction?

How can companies satisfy their employees? Should companies offer their employees the best work conditions or the most challenging responsibilities?

Answer 1

1)Though firing under-performers is a common practice but public humiliation and firing is a definite no-no for me. This not only affects a person but may potentially ruin such a person's career.

2) The various factors that could influence my reaction are as follows:

a)One, whether the person was informed in advance about a drop in their performance.

b)Second, the expectations from an employee should be set , right at the beginning of the year.

c)Third, the consistency in the performance of the employee throughout the duration that he/she has worked to understand if it is a one-off case.

3)There are many ways in which a company can satisfy their employees:

(i)Have monthly meetings and set goals. The goals should be set in line with the goals of the company.

(ii)Help an under performer by encouragement and weekly reviews.

(iii)The work environment should be highly motivated to bring out the best in a person.

(iv)The employees should be mentally prepared for the upcoming challenges. The challenges should be designed in such a way that the employees look forward to the next challenge.

4)Companies should choose a mid way between providing the best work conditions and giving the most challenging responsibilities. Aiming at proving the best work conditions may bring in a certain amount of complacency. It may also leave no scope for a healthy competition. On the other hand, offering the most challenging responsibilities becomes monotonous for the employees after a point and too much insecurity can lead to depression and loss in quality. The companies should always offer the employees a mix of both the worlds to bring and retain the best of the talents.