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IN MEXICO WE CREATE HIGH-PERFORMANCE TEAMS –KNOWN AS MERCHANDISING CELLS- WHICH INCLUDE ASSOCIATES FROM MERCHANDISING, REPLENISHMENT, MODULARS, AND PLANNING AIMED AT STRENGTHENING THE COMMUNICATION AMONG THE DIFFERENT AREAS AND IMPROVING THE SHOPPING EXPERIENCE FOR OUR CUSTOMERS. THIS PROJECT IS A NEW WAY OF WORKING AND ENABLES US TO BETTER UNDERSTAND AND SERVE THE CHANGING NEEDS OF OUR CUSTOMERS.

Master’s Degree Students is a program that supports the integration of Mexican students by inviting them to lead a project during the summer; upon concluding their education, the outstanding ones are hired as executives in different areas of the company. In 2016, five of the seven who participated in the summer program joined the Company.

Top Talent executives receive assistance with scholarships to initiate or conclude their Master’s or BA degrees, special certificate courses, or English language proficiency classes, investing more than 11 million pesos.

In Central America, the Top Management and Management Development Program is conducted in alliance with the Central American Institute for Business Management, which helps the 50 participating associates develop leadership skills.

The Program for Individual or Group Mentoring and Mentoring Circles seeks to promote accelerated development for selected executives through the guidance of an associate having a minimum of one higher level. During 2016, more than 700 new assignments for individual mentoring were made.

The Certificate Course for district managers has the goal of developing assistant directors in operations so they can strengthen management and leadership skills. In 2016, more than 80 executives in Mexico received training.

Our Leadership Program is aimed at efforts and actions that assist in the personal development of top management, based on the identification of strengths and opportunities, reinforcing the awareness of each executive regarding the role he/she plays in transforming the organizational culture and in achieving strategic alignment. Our Leadership Program began with all our vice presidents.

Operations Academy

The Center of Learning for Central America was opened this year in Guatemala. The Centers of Learning for Costa Rica and Guatemala resulted in 104 graduating assistant store managers.

There are 66 programs designed to supplement the career paths of self-service and Sam’s Club associates, from hourlies to assistant directors.

The Development, Attract and Retain Program for Bodega Aurrera was implemented for hourly and dept. manager associates, we trained more than 17,200 associates; so they may have the tools and knowledge needed to perform basic duties in their new role as department managers, and to improve decision-making abilities and impact key business indicators.

For the third consecutive year, we implemented the DOE Program (Delivering Operational Excellence), version 2.0. The purpose of this program is to train store and district managers in Central America in subjects related to operating excellence processes in dealings with customers and associates. Throughout the year, 762 associates received this training.

Merchandising Academy

Training more than 2,000 buyers to develop their leadership and negotiation abilities, merchandising skills, category management, and imports.

This contributed towards further strengthening teamwork within the new structures of merchandising cells through change management sessions.

All our associates receive performance and professional development evaluations. In 2016, we evaluated over 124,300 permanent associates who have been with the company for at least one year, which equals 88% of total headcount in Mexico, and 26% in Central America. G4-LA11