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We routinely survey our employees to learn what they think about our workplace. In 2004, we used the Organization Health process to help collect valuable insights.

The survey process—which we call "Org Health" for short—helped us to identify strengths and areas for improvement in our business groups and geographies, and to provide data for planning and continuous improvement.

In 2004, an improved Org Health process allowed us to compare group scores on a standard set of issues and review group-specific results. One of our largest business groups, the Technology and Manufacturing Group, is still standardizing the schedule and corporate-wide question set, which will be implemented in 2005.

The core set of items includes 27 multiple-choice questions as well as additional open-ended questions. Of those questions, 12 could be benchmarked externally, which helped us understand the results in a larger context. Each business unit could also add supplemental items to directly address any issues not raised in the core survey.

Out of Intel's 14 business groups, 13 implemented the Org Health process in 2004. A total of 54,575 employees, or about two-thirds, participated. From this process, we learned that we are doing well on role-modeling Intel Values, improving productivity, and treating each other with respect and trust. Employees also responded that they understand how their work links to the company's strategic objectives; that they have clear goals and objectives; that they are empowered to make the decisions necessary to do their jobs; that management is open to hearing their ideas and suggestions; that they feel free to take risks; and that they are encouraged to find new and better ways of doing things.

Results also pointed to areas for improvement. While employee input varied from group to group, some of the top issues were performance appraisal and feedback, retention, "great place to work" and work/life balance.

We are using the wealth of data from these employee surveys to help improve satisfaction and retention. One specific outcome of the Org Health process in 2004 is a new Managing for Excellence program, which helps to ensure that employees have clear goals and priorities, and holds managers accountable for their performance as managers.

As part of the Managing for Excellence initiative, all business groups and individual employees will be using a reinvigorated Intel Management by Objectives process. This annual and quarterly planning process helps improve individual and business results. It also sets priorities to be reviewed and tracked during the year.

 
Employee Data Year-End 2004
Type
Category
Americas
APAC
EMEA
U.S.
Total
Contract/Intern Exempt Full Time 26 302 149 154 631
Exempt Part Time 0 17 865 23 905
  Total 26 319 1,014 177 1,536
Non-Exempt Full Time 14 682 208 234 1,138
Non-Exempt Part Time 0 9 27 29 65
  Total 14 691 235 263 1,203
Contract/Intern Total 40 1,010 1,249 440 2,739
Regular Exempt Full Time 1,119 11,342 7,974 34,074 54,509
Exempt Part Time 4 2 124 172 302
  Total 1,123 11,344 8,098 34,246 54,811
Non-Exempt Full Time 1,328 10,118 3,550 14,718 29,714
Non-Exempt Part Time 0 2 51 51 104
  Total 1,328 10,120 3,601 14,769 29,818
Regular Total 2,451 21,464 11,699 49,015 84,629
Grand Total 2,491 22,474

12,948

49,455 87,368

APAC = Asia-Pacific    EMEA = Europe, Middle East and Africa
Number of employees at year-end 2004, including interns and contractors.

 
Turnover by Region
Region
Year-End Headcount 2004
Turnover 2004
Turnover % 2004
Turnover % 2003
Greater Americas 2,451 204 7.7% 5.6%
Greater Asia 21,464 1,413 6.2% 5.6%
Greater Europe  11,699 721 5.8% 4.7%
United States 49,015 2,035 4.0% 3.5%
Total 84,629 4,373 4.9% 4.2%

Regular employees only; does not include terminations due to divestiture, retirement, redeployment or Voluntary Separation Program.

 
Other Turnover 2004

Reason for Termination

Count

Voluntary Separation Program

31

Redeployment

284

Divestiture

3

Retired

172

Regular employees only, including those whose jobs were eliminated (who received no comparable offer or who rejected an internal job offer), as well as those whose jobs were eliminated and who left voluntarily or involuntarily.

Some 650 employees were impacted by redeployment during 2004. Of these, 51% (~332) found other jobs in the company.

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