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This is the first time that the company has taken part in the awards ceremony and it has achieved leading positions with labor productivity indices of 18.81 million rubles per person per year.

(Kazan, 29 October, “Tatar-Inform”). This year, was the fifth annual “Production Management” business portal awards ceremony. The main theme of the award “Labor Productivity: Leaders in Russian Manufacturing” was to identify those Russian companies leading in terms of their labor force productivity. For this, data were analyzed from more than 5,000 manufacturing companies across the country, covering total proceeds amounting to over 51% of Russian GDP, and a total of more than 5.5 million employees.

The awards are proactively supported by the Federal Center of Competencies in the Field of Labor Productivity as part of the national project “Labor Productivity and Employment Support” and is of great importance for economic growth in an era of prolonged recession. The main award categories are machine building, metallurgy, instrument engineering, power industry, food, chemical, oil and gas and the radio-electronic industry.

As of today, the issues of increasing operational effectiveness and labor productivity is among the top priorities for Russian companies. The labor productivity index is included in the key indices and is often used to assess the results of the work of directors and heads of departments. And since Russian President Vladimir Putin in his “May 2018 Decrees” set the task of increasing labor productivity by not less than 5% as one of the most important tasks for Russian industry by 2024, this issue has started to be thoroughly and systematically worked through at government level.

In its field, as the largest manufacturer of sauces, ketchups and jams, as well as in developing a large confectionery project, Essen Production AG, has just been ranked first in two categories simultaneously — “Food Industry” and “Confectionery Industry”. It is worth noting that this is the first time that the company has taken part in the awards ceremony, so it has achieved these leading positions from the very start, thanks to its labor productivity indices of 18.81 million rubles per person a year, ahead of companies such as Orelmaslo (18.45 million rubles per person a year) and Istra-Khleboproduct (18.12 million rubles per person a year). Essen Production also ranked first in the “Confectionery Industry” category.

Leonid Baryshev, the company’s General Director, says that today, to calculate the labor productivity, it’s not enough to consider just the volume of production and the quality of the employees’ work, one also needs to take into account the brand strength. So, it’s more difficult for Russian manufacturers to break into the leaders’ group than it is for international companies, simply because the latter have strong brands and largest investments. That’s why in its development strategy the company is focusing on brand strength.

“In terms of production we are planning complete raw material automation, to implement complete bulk packaging, to continue to purchase high-performance production lines and to invest, annually not less than 2 billion rubles. In terms of marketing we are developing several new brands, which have the potential of gathering so called “brand premium.” This approach is not easy, but, currently, both in confectionery and sauce production we have managed to achieve the leading positions thanks to the creation of our strong brand”, he noted.


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