# HUMAN RESOURCES

As at 31 December 2018, the Group had a total of about 41,031 employees in China, Hong Kong, Oceania and Southeast Asia, including around 2,920 employees of Yashili. During the year, total staff costs (including salaries of directors and senior executives) amounted to approximately RMB6,248.6 million (2017: RMB5,133.8 million).

In accordance with its pursuit of international development, Mengniu succeeded in changing its human resources service mode from “providing operational support” to “rendering strategical support and efficient services”, building a new operation model centered around the forging of “new business partner relationship” and facilitated by a “shared services center”. During the year, the Group set up the Human Resources Shared Services Center (“HRSSC”) that brought together 11 platform systems and through extensive use of automation technology, efficiently handled administrative duties, freeing Human Resources Business Partners (“HRBP”) and Centers of Expertise (“COE”) to focus on offering value-added services to the Group’s businesses to help them grow.

In addition, Mengniu introduced the “Five Elements of Leadership” model at the beginning of 2018 to build for the Group a unified assessment system covering leadership training, evaluation of team leaders and selection of talent for the Group, which was implemented by each business division. Mengniu also optimized all aspects of its personnel training system to provide training focusing on four areas: orientation for new recruits, general capabilities, professional skills and leadership skills, allowing every employee to receive systematic training and education pinpointing their specific requirement.

The Group renewed its corporate culture and refined the Mengniu spirit, preserving its traditional cultural genes, and at the same time enriching its cultural essence keeping up with the times. It issued the “Mengniu corporate culture manual (2018 edition)” to facilitate staff embrace of its corporate culture. In addition, through such corporate culture activities like “Keep Running Mengniu”, “Mighty Mengniu Rises to Challenges” and “Mengniu’s Gobi Desert Challenges”, the Group continued to encourage the active and aggressive “Wolf Culture” among all Mengniu staff, instilling in employees the “Born for Greatness” spirit and value.

During the year, Mengniu optimized its existing incentive system by implementing a rank-based authorization system, strengthening the connection between work incentives for individual employees and performance of the organization, and moving from focusing on labor cost control to pushing up labor cost efficiency. During the year under the long-term incentive plan in place, a total of 6,693,084 shares and 9,593,689 share options were granted under the share award scheme and the share option scheme, respectively, to employees participating in the schemes. In addition, 37,248,880 share options were granted to core management members under the share option scheme to give them stronger motivation in leading Mengniu advance towards higher business development goals and fulfill the targets of the 2020 strategy.

人力資源

於二零一八年十二月三十一日，本集團於中國大陸、香港、大洋洲及東南亞合共聘用僱員約41,031名，包括雅士利僱員約2,920名。年內僱員總成本（包括董事及高級行政人員薪金）約為人民幣62.486億元（二零一七年：人民幣51.338億元）。

蒙牛基於國際化的發展佈局，實現了人力資源服務模式從「運營支持型」向「戰略支持和高效服務型」的轉變，構建了以「新型業務夥伴關係」為核心，以「共享服務中心」建設為輔助的新運營模式。年內，本集團搭建了人力資源共享服務中心（ Human Resources Shared Services Center ，簡稱「HRSSC」），通過集成11個系統平台，大規模應用自動化方式，高效完成人力資源的事務性工作，以釋放人力資源業務合作夥伴（Human Resources Business Partners，簡稱「HRBP」）和專家中心（Centers of Expertise，簡稱「COE」）更多精力專注於為集團業務提供增值服務，助力業務發展。

此外，蒙牛在二零一八年初發佈「五行領導力」模型，進一步搭建了全集團統一的領導力培養、幹部能力評價及人才選拔的評估體系，並由各事業部積極推行。蒙牛亦全方位優化了人才培養體系，以提供新員工入司、通用力、專業力及領導力四個能力的培育，讓每一名員工接受的培訓教育能夠系統化且更具針對性。

本集團更新了企業文化，重點提煉了蒙牛精神，既保留了傳統文化基因，又與時俱進豐富了文化內涵，發佈「蒙牛企業文化手冊二零一八版」，推動企業文化落地。另外，本集團通過如「奔跑吧蒙牛人」、「蒙牛人大闖關」、「蒙牛戈壁挑戰賽」等企業文化活動，繼續推進蒙牛人積極進取的「狼性文化」，使「天生要強」精神及價值觀深入人心。

蒙牛在年內優化現有激勵體系，實施分級授權，加強個人激勵與組織業績的關聯，並從人工成本管控向驅動人工效能提升變革。在現行的長期激勵計劃下，根據股票獎勵計劃及購股權計劃，本集團在年內分別向參與計劃的員工授出股票6,693,084股及購股權9,593,689份，另針對核心管理層授予購股權37,248,880份，以更有力的激勵管理層引領蒙牛力爭更高的業務發展目標和2020戰略的達成。

# PROSPECTS

The effect of supply-side structural reform of the dairy industry will become more apparent. Dairy product consumption in the market is going to enter a period of rapid growth and the dairy industry will move into a positive development cycle. In the face of consumption upgrade, the dairy product industry needs to meet new requirement in terms of quality, innovation and digital transformation. In 2019, it is expected that cost of raw milk will remain steady with mild increase and the industry will continue to see structural upgrade. From the global perspective, China’s dairy industry has become a new force powering development of the global dairy industry and a “Global Dairy Community” is taking shape. The entire dairy industry is committed to revitalizing the industry, aiming for the supply-side structural reform of the industry to bring concrete results by 2020 and progress be seen with modernization of the industry that, by 2025, the overall quality level of products, competitiveness of the dairy industry and consumption penetration of China will match advanced global standards.

Looking forward, Mengniu will continue to strive for high quality and sustainable growth, and achieve breakthroughs in boosting brand power, channel power and its strength to innovate. The four major business divisions will cooperate with new business divisions in releasing the growth potential of new businesses, while consolidating the strengths of traditional businesses. The Group will push to accord with the consumption upgrade trend, pool together its advantageous resources, focus on core product categories and enhance its core products. For room temperature product business, the focus will be on speeding up growth of high-end categories like Milk Deluxe and Just Yoghurt will focus on Xiaomanyao to achieve higher sales target. Furthermore, Mengniu will work hard on market development for Champion and Yoyi C, and further upgrade of the product structure and market infrastructure of low temperature yogurt products to brace their leadership in the chilled product market. In addition, Mengniu will increase investment in new businesses like fresh milk to develop new growth drivers, so as to inject new vigor and vitality into the Group’s business and bring synergistic benefits to its traditional businesses. Mengniu will continue to boost product innovation and upgrade by employing latest industry technologies and aligning with the world’s highest standards in upgrading product packaging, flavor and function, creating new product categories, leading new trends and developing new markets, as well as optimizing upstream and downstream resources deployment.

展望

乳業供給側改革的成效將進一步顯現，乳製品市場消費正迎來快速增長的時期，乳業邁入良性發展週期。受消費升級趨勢的影響，乳製品企業正面對品質、創新和數字化轉型的全新要求，預計二零一九年原奶成本穩中有升，行業結構持續升級。全球視野下，中國乳業已經成為世界乳業發展的新動能，構建「全球乳業共同體」勢在必行。全行業正全力實現奶業振興目標，力爭二零二零年奶業供給側結構性改革取得實質性成效，奶業現代化建設取得明顯進展，到二零二五年乳品質量、產業競爭力和消費滲透率等整體水平進入世界先進行列。

展望未來，蒙牛將繼續保持高質量、可持續增長，在品牌力、渠道力、創新力全面突破。四大事業部聯動新業務群，鞏固傳統業務優勢，同時激發新業務的增長潛力。本集團將進一步迎合消費升級趨勢，集中優勢資源，聚焦核心品類，做強核心產品。常溫業務方面，加速特侖蘇等高端品類增長，純甄聚焦小蠻腰致力更高銷售目標；另一方面，蒙牛將繼續聚焦冠益乳 及優益C 的市場發展，進一步提升低温酸奶產品結構和市場基礎，穩保低溫市場領導者地位。同時，蒙牛將加大對鮮奶等新興業務的投入，培育新的增長點，為集團業務注入新的生機與活力，同時為傳統業務帶來協同效應。蒙牛將持續發力產品創新及升級，利用乳業最新技術，對標全球最高標準，全方位提升產品包裝、口味、功能，創造新品類、引領新趨勢、開闢新市場，並持續完善上下游資源佈局。