Human Capital

Competitive compensation strategy

We put people at the core of Kernel and its strategy, as well as Kernel’s key competitive advantage. As a result, we strive to unveil the potential of our employees and streamline it toward achieving a sustainable growth. Therefore, we have developed plentiful retention strategies, particularly competitive compensation. As a result, we have increased the level of social benefits for our employees, as of this year. Kernel’s remuneration policy is based on providing competitive compensation that matches or exceeds the levels observed in our industry. Moreover, we strictly comply with labor legislation and pay all salary-related taxes and social contributions.

Investing in training and development

We encourage our employees to take responsibility for their own education and development, continuously building new skills and sharing knowledge, supported by our Kernel HUB platform which helps in structuring our training activities in different directions. A significant portion of our training activities covers various groups of personnel and is aimed at developing their professional qualifications. Our training is supplied by both internal and external providers. As of this year, we are launching a coaching program ‘Internal Trainer’, where we shall encourage employees to share their valuable expertise with the rest of the company, thus fostering the sustainable development of our staff.

Moreover, we continue to develop our Smart Farm training center, a fully equipped modern training facility, where we provide a module-based well-rounded education to our agronomists, machinery engineers and accounting specialists from our farming division. We invite both Ukrainian and European specialists, with the specific objectives of delivering practical knowledge related to modern farming practices. Similar programs have been extended to our sunflower and infrastructure divisions as well. As of this year, we took our successful Agro MBA initiative one step further, by introducing an MBA Expert program to our cluster managers, thus disseminating the accumulation of professional knowledge and competencies.

Special attention is paid toward the training and development of our managerial staff, which consists of thousands of managers at different levels. Several years ago, we launched a Corporate MBA program, aimed at enrichment of general managerial skills and competencies. The module-based system is taught by lecturers, who also teach at certified MBA programs: it includes case studies delivered by top management, and term-based assignments, with a final graduation project.

During the year ended 30 June 2016, we further promoted the idea of creating an internal talent pool to encourage both personal and professional development of a designated number of employees who have taken initiative and shown themselves as suitable and competent specialists. Through the process of rigorous screening, we have selected approximately 80 employees who will be coached in programs customized for their chosen positions. Over 7,000 employees spend approximately 150,000 hours of training in FY2016 to advance not only their professional skills but also develop their personal competencies

For more details on our labor practices, career planning and individual development system, our activities in developing Ukraine’s agricultural education, and our approach to human rights, please see sustainability section of our FY2016 annual report.