UC RUSAL unites cultures through local CSR programs: Corporate Social Responsibility as an HR tool for managing a global organization

Date01 September 2007
Pages24-27
Published date01 September 2007
DOIhttps://doi.org/10.1108/14754390780001013
AuthorVictoria Petrova
Subject MatterHR & organizational behaviour
24 Volume 6 Issue 6 September/October 2007
ESPITE BEING A business “hot topic”,
corporate social responsibility (CSR) remains
of marginal interest to some in the HR
profession. Indeed, a few may argue that HR
practitioners ought to steer clear of the issue. So should
HR be at the forefront of the CSR debate, or stay in
the back seat? UC RUSAL has found that the two are
so intertwined that it would be near impossible to
separate them.
As the leading aluminium producer in the world,
UC RUSAL does not face the obstacles met by smaller
or lesser-known companies when searching for
personnel. However, its high profile brings with it a
specific set of HR challenges, some of which have been
tackled through the effective use of CSR.
A change of culture
In the early years of RUSAL (now known as UC
RUSAL) the challenge was to create a leading,
progressive company from a group of speedily acquired
facilities across Russia. Culture was fragmented and
uncoordinated, varying from one plant to another. To
reach growth goals, management understood that it
was fundamental that cohesion be developed and a
unified corporate culture cultivated.
Lifetime employment had always existed in the
Soviet Union, with many managers and plant workers
confident they would be paid simply for arriving at
work in the morning. It quickly became obvious that it
was crucial to encourage employees to think about
their commitment to the company’s strategy and clearly
understand its mission in order for it to grow as a unit.
The only way to effect this change was to encourage
a two-way dialogue as a platform on which to build
trust and cohesion and therefore manage a number of
risks inherent to the business. For RUSAL, that is
where CSR began. Company involvement in the lives
of its operational employees became a route to cohesion
and mutual understanding as well as strategic risk
management in especially volatile regions.
A strategic tool
Though HR is responsible for many key systems,
including recruitment, training and communications,
getting the employment relationship right can also be
seen as a precondition for establishing effective
relationships with external stakeholders. CSR does not
change so much as broaden the HR agenda, and it has
become an integral part of HR strategy at the company
– performing an even greater role in the recently
merged enterprise, United Company RUSAL.
As with the rapid growth before it, the merger this
year of RUSAL, Sual and Glencore bought with it a
new set of unique HR challenges, culturally and
logistically. Many of the issues faced by the merged
organization are the same as those that faced RUSAL –
global expansion, a clash of business cultures and the
UC RUSAL
unites cultures
through local
CSR programs
Corporate social responsibility as an HR
tool for managing a global organization
Victoria Petrova, director of human resources at UC
RUSAL, discusses how the company has used
corporate social responsibility as a tool in its HR
strategy. With over 100,000 employees and operations
spanning five continents, UC RUSAL’s local corporate
social responsibility programs have fostered a sense of
unity and loyalty on a global scale.
by Victoria Petrova, UC RUSAL D
© Melcrum publishing 2007.For more information visit our website www.melcrum.com or e-mail info@melcrum.com

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