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We have a joint task and a shared responsi- bility

-Kjeld Johannesen | CEO

We have a joint task and a shared responsibility. And we can only see the task through if we believe in it. Reducing Danish Crown’s payroll costs by 20 per cent per kilogramme represents a huge challenge. But we have come a quarter of the way, and I feel confident we can achieve our goal with the rest. You have to think what the alternative is.

Årsrapport 2009
At 36 meetings across Denmark, Kjeld Johannesen has discussed the situation directly with employees.

27.11.09

Two sides of the coin

The employees are committed to DC Future, and many have suggested how habits can be changed and work routines made more effective.

The serious situation in which the company and agriculture as a whole find themselves has been occupying people’s minds in Danish Crown over the past year. Employees have shown that they realise that there is a direct connection between the crisis in agriculture, slaughterhouse costs and workplaces.

It’s imperative that we see through the DC Future plan in its entirety, says Kjeld Johannesen.

When farmers are unable to expand and modernise, it has consequences for, among otherthings, the development of pig production, which grinds to a halt.

Fewer pigs – fewer jobs
This causes problems at a time when the number of pigs for slaughter being supplied to Danish slaughterhouses is falling. Fewer pigs also means fewer jobs for slaughterhouse workers, tradesmen and salaried employees.

During the year, this challenge has been particularly evident for all Danish Crown employees, who have positively embraced DC Future and its implementation. Based on agreements with employees at departments throughout Denmark, satisfactory interim results have been posted during the first few months of the DC Future plan. A quarter of the objective to reduce payroll costs by 20 per cent has been realised by pressing on more than a 100 buttons around the company.

The measures include balancing line piece-work to increase efficiency, utilising framework agreements to the full and limiting piece-work wages paid to employees who do not perform piecework.

Technological assistance
It has also meant that activities and functions have been cut to the bone so that in some places it is possible to make do with two men instead of three. Where possible, technology has been employed, for example with automatic weighing.

All in all, this has led to a streamlining of every corner of the company so that Danish Crown is now even trimmer.

By implementing these measures, we have come some of the way, and I am delighted that the employees have contributed, says Arthur Petersen, Production Manager.

minarbejdsplads@
Many employees have also taken it upon themselves to go through the company with a fine-tooth comb. So that employees can easily submit any good ideas they might have, Danish Crown has set up a ‘my workplace’ email address, minarbejdsplads@danishcrown.dk, and it is obvious that lots of people are very keen to point out areas where they see scope for improvement. Suggestions are frequently being made about where and how Danish Crown can streamline and rationalise activities.

It’s imperative that we see through the entire DC Future plan, says Kjeld Johannesen. This means that, in the very near future, we must reach agreement on how we can fully meet the objective, i.e. cutting payroll costs by 20 per cent per kilogramme of slaughtered meat, says CEO Kjeld Johannesen, adding that this autumn will see intense negotiations between the parties.

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