HR Magazine Winter 2011 by HR Magazine

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What

2012 holds for HR

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Frozen talent pipelines What makes employees smile

ISSN 2221-8394

Why HR should wear a sales hat HR Magazine’s Conference: curing Gen-Y headaches (pages 42-47)

Publisher’s note

As we move towards Christmas and the New Year, in this issue we look at what the future holds for HR. In our cover story, amidst the current economic instability, we analyse staff turnover and previous benefits packages and then look to the future with predicted salary trends and hiring outlooks for different sectors. HR now faces the intricate task of balancing employee expectations with business prospects. With higher salary increases forecast for 2012 we share advice on what can done to ensure you get the best and keep the rest.

Our Team

Publisher & Editor-in-Chief

Paul Arkwright Copy Editors

Sarah Purcell Layout Editor

Zoe Wong

Staff Writers

Kieran Burke, Lily Heyland, Robert McBroom, Drew McNeill Designer

Malou Ko Advertising & Sales

Kollin Baskoro Tracy Poon

‘Tis the season to be jolly, and our special feature on corporate gift giving gives a few pointers to help you keep staff happy, while still leaving them a choice about what gift they actually receive. And as the temperature drops, it’s not only water pipes that freeze up—frozen talent pipelines are becoming an increasingly common phenomenon. Find out why 90% of APAC organisations are not effectively pipelining talent, and what you can do to ensure you always have the right talent on tap. We bring you up to speed with HR news and trends from across the region and globally. At a time when unemployment in the UK has reached record highs – we share important news on changes to the UK employment law. We look at solving Greece’s HR woes to avoid a Greek tragedy. Find out why India is behind when it comes to gender benchmarks. Learn what HR Magazine is doing in Pakistan. Discover why APAC lags behind Canada and the US in terms of performance management. Find out why Swedish researchers believe shift work may cause multiple sclerosis. We take a look at why staff are not satisfied in their jobs. We uncover what makes employees smile and find out what HR can do to help in terms of better motivation, providing overseas experience and even seeking a little help from Confucius.

Photographers

In case you missed our more recent HR Conference on Gen-Y…why? Where were you? You missed a great day…don’t worry though, in this issue we have distilled all the advice shared on the day by our nine keynote speakers—check out our HR community section.

Enquiries

Plus our roundup of important HR events over the past three months and listings of all important HR events in the coming three months.

Malou Ko Graham Uden

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Paul Arkwright Publisher & Editor-in-Chief HR Magazine

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No part of this publication can be reproduced without consent from the publisher. Copyright of all material is reserved throughout the publication. Contributions are welcome but copies of work should be kept, because HR Magazine takes no responsibility for lost submissions. The views, conclusions, findings and opinions published in this magazine belong to those expressing such, and do not necessarily represent those of the publisher, editor or editorial staff.

Winter 2011

Contents

Inside this issue 04

HR news

Cover story

Q4 continued headcount growth in HK, UK highest unemployment on record, Shift work linked to MS.

HR features

Frozen talent pipelines, Avoiding a Greek tragedy, Corporate gifting, What makes employees smile, Why HR should wear a sales hat.

HR community

HR Magazine Conference: Gen-T management strategies, HKMA Annual Conference, HHYC 24-hour dinghy race.

HR training

Procrastination, Office relations, Confucianism & HR.

HR events

Get these dates in your HR diary. If you would like to list your HR events simply e-mail us: kollin@hrmagazine.com.hk

HR classifieds

What 2012 holds for HR With higher salaries forecast for 2012, HR now faces the delicate task of balancing employee expectations with business prospects.

HR service providers throughout Asia.

HR legal update

China’s New Social Insurance Law—impact on HR.

Frozen talent pipelines

Keeping HR responsible

HR Magazine conference

Effectively pipelining talent

Société Générale on CSR

Gen-Y management strategies

With 90% of APAC organisations not effectively pipelining talent what can you do to ensure you get the right talent at the right time?

Mukta Arya and Frank Drouet share SG’s Siem Reap Charity Bike Ride, what CSR means to organisations today and how it’s helping HR.

Gen-Y an attitude not an age-bracket. Find out exactly ‘Gen-Y’ means, what makes them tick and most importantly how to attract, retain and engage them.

Winter 2011

HR news

UK highest ever unemployment, Europe worse The jobless total for those aged 16-24 in the UK has exceeded 1 million—the highest level ever recorded. This follows a dramatic rise in UK unemployment in Q3 which currently stands at around 2.6 million. The Office for National Statistics (ONS) states the jobless rate hit 8.3% with 1.6 million people recorded as out of work and claiming Jobseeker’s Allowance in October. This follows the Bank of England’s decision to cut its growth forecast for 2011-12 from 1.5% to 1% with its Governor, Sir Mervyn King, warning Britain’s economy could stagnate until the middle of next year. The desperate figures have been blamed on fallout from the Eurozone crisis in addition to a swathe of government spending cuts. In the rest of Europe: Spain and Greece are fairing worst in terms of unemployment with figures of 45% and 43%, respectively. Ireland and Italy are not doing too much better—both with close to a third of their workers out of a job. France, like the UK, has an unemployment figure close to the EU average of 21%, while Germany remains the best place to find a job, with unemployment currently below 9%

Starting next April the UK government will launch its ‘Youth Contract’ which aims to provide over 400,000 new work places for young workers, over a three-year period. A key aspect of the scheme includes offering employers wage subsidies worth GBP 2,275 to encourage them to take on young workers. Launching the initiative, Nick Clegg, Deputy Prime Minister, explained, “The aim of the Youth Contract is to get every unemployed young person earning or learning again before long term damage is done. This is a GBP 1 billion package and what’s different about it is it gets young people into proper, lasting jobs in the private sector. But it’s a contract, a two-way street: if you sign up for the job, there’ll be no signing on for the dole—you have to stick with it.” Critics argue the move is simply a kneejerk reaction, and too little too late. The move comes at an inopportune moment just as the UK Government also announced measures which would make it easier for employers to dismiss staff. With rising unemployment and wages failing to increase as fast as inflation, economists have raised concerns that growth will stagnate even further and it may take years for the UK to get back on track.

G20 advised to cut youth unemployment UNI Global Union General Secretary, Philip Jennings met with President Sarkozy ahead of the G20 Summit in Cannes on 3 &4 November to discuss how to improve social cohesion. Cutting youth unemployment rates, establishing workers’ rights and clearer G20 policies, as well as providing social protection are all necessary in order to offset the stigmatisation felt among the unemployed, particularly by the younger generation which has staged protests throughout the world. As those who feel marginalised continue to feel hopeless, the G20 Leaders are being urged to step up and deal with the situation by demonstrating the leadership that they failed to at the time when the economic crisis first exploded in 2008.

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UNI Global Union has set clear instructions for the G20 Leaders; stop the financial sector from reenforcing the ‘business-bonus’ culture, encourage businesses to focus on reinvestment and job creation, remedy the rich-poor divide, close tax havens which breed inequality and establish a financial transactions tax. Jennings explained, “It’s not only in France where the principles of Liberté, Fraternité, Egalité have been stripped away and replaced by Individualté, Inegalité and the illusion of financial wealth.” The G20 is advised to seek global solidarity and fairer working conditions across all markets to piece back together social order destroyed by the business and political elites.

HR news

Radical reform to UK work laws Easier staff dismissals on the way in the UK There is growing concern in the UK that staff dismissal laws are too onerous, in particular for small businesses. In response, Vince Cable, UK Business Secretary recently announced a package of measures in which the Government hopes to create less red tape for employers wishing to dismiss staff in the first two years of their contract, and encourages disputes being resolved via conciliation, rather than in Labour Tribunals. Cable said, “Our labour market is already one of the most flexible in the world. This flexibility benefits businesses, staff and the wider economy. But many employers still feel that employment law is a barrier to growing their business. We’re knocking down that barrier today—getting the State out of the way, making it easier for businesses to take on staff and improving the process for when staff have to be let go.” He added, “We know that

disputes at work cost time and money, reduce productivity and can distract employers from the day-to-day running of their business. Tribunals should be a last resort for workplace problems which is why we want disputes to be solved in other ways.” The Government will launch a call for evidence on two proposals. Firstly, it will seek views on a proposal to introduce compensated no fault dismissal for micro firms— with fewer than 10 employees. Secondly, it will look at ways to slim down existing dismissal processes, how they might be simplified, including potentially working with the Advisory, Conciliation and Arbitration Service (Acas) to make changes to their Code, or supplementary guidance for small businesses. Simplifying the employment tribunals system for businesses will result in fewer claims each year which is expected to save business more than GBP 40 million each year.

Jobs for recession hit US communities Significant numbers of careertrack apprenticeship programmes and jobs on the cards The Los Angeles Metro Board of Directors recently voted on a sweeping, agencywide Construction Careers Policy covering construction for all new Metro projects for the next 30 years. The scope includes projects funded under Measure R, the half-cent sales tax. Measure R, approved in late 2008, commits to a projected USD 40 billion in traffic relief and transportation upgrades throughout LA County over the next 30 years. Construction projects at Metro, including those funded by Measure R, total over USD 70 billion in infrastructure investment, creating over 260,000 construction jobs. The move guarantees quality jobs for communities with high unemployment rates by increasing access to construction apprenticeship programmes and jobs. The policy is likely to set a precedent as the first of its kind for a major transit agency in the US.

Continued Q4 headcount growth in Hong Kong The professional employment market will continue to grow steadily in the fourth quarter despite ongoing weakness in overseas economies, according to the latest Michael Page Employment Index. The survey covered over 2,000 senior human resources professionals and hiring managers working across a broad range of professional sectors. Some 35% of the employers surveyed in Hong Kong are planning to boost staff numbers over coming months; a result consistent with third quarter hiring intentions. “We have not seen any shift in recruitment demand over the last six months, which is a positive indicator in light of the uncertain global business conditions. The domestic employment

market remains stable and companies are continuing to invest in newly created positions,” said Anthony Thompson, Managing Director, Michael Page—Hong Kong and Southern China. The report reveals that employers in Hong Kong are increasingly looking for candidates with international experience and bilingual skills, and are paying a premium to secure such talent. Over half of the employers surveyed are willing to pay higher salaries in order to acquire professionals with bilingual skills. A further 73% of companies are required to offer more attractive salaries to secure professionals with international market experience. “Employers across all professional sectors in Hong Kong consider language skills and international experience to be extremely valuable

attributes in prospective employees. These professionals are in strong demand and companies are willing to meet their high salary expectations in order to secure the skills their businesses need,” said Thompson. Whilst experience in the Asia market is most highly sought after, 54%; employers also value familiarity with European, 22%, and US, 10%, markets. Thompson concluded, “As more employers look to expand their presence throughout the region, candidates with a strong understanding of business operations in Asia are particularly valuable. To achieve their goals, employers are looking for people with strong knowledge of how Asian markets work and the ability to communicate easily across cultures.”

Winter 2011

HR news

50% of workforce overloaded, blunders aplenty

According to a recent survey launched by Community Business more than half of Hong Kong employees have felt overloaded at work in the past 12 months. Respondents site employers’ desire for profit maximisation, with little concern for resultant workloads, and insufficient resources as the

primary reasons for their unease. It is no surprise that this is having adverse effects on productivity. Nearly a third of the respondents felt they were less efficient during the day due to the long hours worked. That same number admitted to spending time on social networking sites or other similar sites to relieve associated stress.

More than 40% of respondents professed to have made mistakes they could have avoided if it were not for work overload, and just short of this amount took sick leave due to excessive tiredness. All such claims provide more than sufficient evidence for events like Community Business’ Work-Life Balance Week, which took place in late October. 178 Hong Kong businesses pledged their commitment to recognising the need to re-balance the scales. Robin Bishop, Chief Operating Officer of Community Business expressed, “Our concern is not only for the 50% plus of this working population which currently feels stressed…but also for businesses. Those companies who fail to recognise the impact that poor work-life balance is having on them in terms of turnover and productivity issues are at serious risk to their bottom line.”

Shift work in teens linked to MS Engaging in shift work, not only disrupts sleep and natural circadian rhythms, but may also put employees at increased risk of multiple sclerosis. Researchers from Sweden have uncovered an association between shift work and increased risk of Multiple Sclerosis (MS). According to research on behalf of the American Neurological Association and Child Neurology Society recently published in Annals of Neurology, those who engage in off-hour employment before the age of 20 may be at risk for MS due to a disruption in their circadian rhythm—24 hour cycle of behavioural and physiological processes—and sleep pattern. Previous research has determined that shift work—working during the night or rotating working hours— increases the risk of cardiovascular disease, thyroid disorders, and cancer. Circadian disruption and sleep restriction are associated with working night shifts; these factors are

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believed to disturb melatonin secretion and increase inflammatory responses, promoting disease states including MS. MS is a central nervous system autoimmune inflammatory disorder that has an important environmental component, thus investigating lifestyle risk factors, such as sleep loss related to shift work, is an important objective and the focus of the current study. Dr Anna Karin Hedström and colleagues from the Karolinska Institutet in Stockholm analysed data from two population-based studies—one with 1,343 incident cases of MS and 2,900 controls and another with 5,129 prevalent MS cases and 4,509 controls. The team compared the occurrence of MS among study subjects exposed to shift work at various ages against those who had never been exposed. All study subjects resided in

Sweden and were between the ages of 16 and 70. Shift work was defined as permanent or alternating working hours between 9 pm and 7 am. “Our analysis revealed a significant association between working shifts at a young age and occurrence of MS. Given the association was observed in two independent studies strongly supports a true relationship between shift work and disease risk,” explained Dr Hedström. Results showed that those in the incident MS cohort who had worked off-hour shifts for three years or longer before age 20 had a two fold-risk of developing MS compared with those who never worked shifts. Similarly, subjects in the prevalent cohort who engaged in shift work as teens had slightly more than a two-fold risk of MS than subjects who never worked shifts.

HR news

APAC employee performance management lags behind US & Canada According to findings from the new Lumesse Performance Management Assessment Tool companies in the US and Canada are global leaders in employee performance management. Companies in the Asia Pacific region were ranked second best at enabling their employees to see a connection between performance and compensation, however, only 22% of APAC organisations provide cascading goals for the majority of employees. Moreover, just 17% measure the majority of their managers on leadership effectiveness. Erik Schmit, Group Managing Director APAC, Lumesse commented, “Although APAC is the second leader in the survey, there’s still a lot of room for improvement. Using financial metrics to create employee goals would be the most challenging topic to be discussed.” Based on assessments of 500 business and HR executives in 44 countries worldwide, the results highlighted the contrasts between North America, Europe and Asia Pacific concerning the maturity of employee performance management processes. The report also detailed

five key areas, based on real-world feedback from the best practitioners, where companies could make the most noticeable improvements in performance management. Areas examined included key processes such as the use of cascading goals, the identification of career plans, links between pay and performance, and good use of financial metrics. North American companies came out on top at every basic performance management practice; other regions had much more variable results. In the UK, for example, 37% of organisations had cascading goals for the majority of employees—the second highest of all regions—but proved to be the least effective at providing financial metrics. Meanwhile, Germany, France, Italy, Benelux and Scandinavia were above the global average, 24%, in terms of setting business goals and linking them to financial metrics, but still struggled to make a connection between pay and performance—all falling below the global average. The global data showed, for example, that the best companies were setting their employees cascading goals

so they could understand how their work supports the company objective. Almost half of the best have cascading goals for most or all employees and just over a third retained more than 90% of their high performers and high potential employees over the past five years. Francis Chan, Country Manager Hong Kong, Lumesse said, “Goal setting is the basic action that has to be taken in performance management processes. A transparent platform where employees know what they need to do and how their work is related to organisation goals can have a significant impact on the performance of individuals and hence the organisation.” The best companies were also found more likely to hold their managers accountable for leadership effectiveness, with nearly half confirming they measure most or all managers’ leadership ability. However, while leaders fare well in connecting pay and performance, 40% say most or all of employees were able to see a clear relationship between performance and compensation. Only 28% of leaders had financial metrics in place to create employee goals.

McNally new CEO drives million dollar global challenge Howard McNally was recently named the new CEO of Hult Global Case Challenge (Hult GCC), which brings together tertiary students from around the world to help solve critical social challenges. McNally, a former COO at AT&T aims to immediately bring a new level of discipline and worldclass management to the organisation as the group looks to scale. Hult GCC, which is a Clinton Global Initiative (CGI) partner, stated it would transition immediately to 501(c) status— the tax-exempt label in America for ‘friends of’ organisations that promote community education and/or charitable work. Their mission: to develop innovative implementation solutions to some of the world’s most pressing social challenges, and encourage breakthrough ideas from college

and university students around the world. The Hult GCC is currently the world’s largest case competition featuring thousands of students competing from over 100 countries. The group focuses not only on the stimulation of breakthrough ideas, but also emphasises the creation of real-world implementation solutions. Creators of the winning concepts are then rewarded with USD 1 million in funding to enable them to bring their ideas to reality. McNally added, “In today’s world, there are plenty of issues upon which to focus and even more ideas on how to solve them. Our goal is to encourage the young people of the world today to focus on those most critical, and provide them with a platform that fosters innovations

and a model that converts a good idea to a scalable implementation pilot that can truly bring change.” Initiatives over the years from the organisation have drawn interest from companies across diverse geographies and industries, non-profit organisations and entrepreneurs, increasing operational efficiency and financial results. Regional events are scheduled to be held in Boston, San Francisco, London, Dubai and Shanghai on 25 February 2012. This year, ‘global poverty’ is the underlying challenge area and contestants will focus on affordable means of providing educational tools, solar energy and simple housing as three key ‘pillars’ to help reduce both poverty and climate change on a global scale.

Winter 2011

HR news

Stanford tops sustainable—MBA rankings In a recent survey of alternative MBA rankings, which unlike the majority of its counterparts, highlights the most sustainability-conscious MBA programmes around the world, the Stanford Graduate School of Business came out on top. The survey, jointly conducted by QS TopMBA.com

and the Aspen Institute, ranked business schools in terms of their ability to prepare students for the environmental, social and ethical complexities of modern-day business. 149 business schools from 22 countries participated in the survey and results were based on four ‘raw score’ metrics: availability

Top ten business schools ranking in 2011-12 School

Country

2011-12 ranking

2009-10 ranking

Stanford Graduate School of Business

USA

York University (Schulich)

Canada

IE Business School

Spain

U. of Notre Dame (Mendoza)

USA

Yale School of Management

USA

Northwestern University (Kellogg)

USA

U. of Michigan (Ross)

USA

Cornell University (Johnson)

USA

U. of North Carolina (Kenan-Flager)

USA

UC Berkeley (Haas)

USA

Source: Beyond Grey Pinstripes Report, the Aspen Institute

Career analysis for family firms HR problems are more than business issues if they involve family members. In family-run enterprises, promotion decisions of family members often trigger unexpected family emotions. Incoming generations find it hard to communicate their career aspirations, especially if their career plans do not align with the views of the patriarchs or the development of the family firms. Such difficulties oftentimes cause family discussion to break down even before it begins. The Chinese University of Hong Kong (CUHK) recently organised a workshop to help business families and their advisers to identify and analyse the career development issues from the family systems perspective. Winton Au, a Professor in Industrial and Organisational Psychology at CUHK said, “An unclear distinction between family and professional relationships deprives family firms the chance to advance their overall corporate structure. Business families need a set of protocol in career

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planning for the next generations.” Pearl Lau, a clinical counsellor specialising in family therapy commented, “Unlike other enterprises, it is very important to understand the relationships between members of the family systems before solving the problems. The use of a genogram is useful to diagnose the situation. Different aspects of the business families such as age, gender, illnesses, and perceived family dynamics can be visualised to open up discussions. These elements can also be linked up with career decision making.” The two specialists also advised that business families should begin the career development process at an early stage. “Stages of career awareness follow a child’s cognitive abilities,” said Lau. Professional counsellors can facilitate clients’ orientations towards power, gender roles, social values, and selfperception—important in the different developmental stages that shape their career awareness.

of relevant courses, 20%; student exposure, 25%; relevant courses on for-profit, 30%; and faculty research, 25%. The 2011 survey found Stanford Graduate School of Business bounced back from its #4 ranking in 2009 to its current number #1 rank. The findings also revealed that an increasing number of business schools are adapting their curricula to focus on responsible decision-making in business and to examine the social and environmental context in which businesses operate and thrive. This has been accompanied with a steady increase in the percentage of schools requiring students to take a course dedicated to business and society issues—from 34% in 2001, to 63% in 2007, to 69% in 2009, and 79% in 2011. This represents a 60% increase in the number of courses being offered on social entrepreneurship among schools surveyed internationally since 2007. Judith Samuelson, Executive Director, the Aspen Institute Business and Society Program commented, “In the wake of the financial crisis we’re seeing an increased willingness to address these issues. That willingness is coming from a variety of factors, including student demand, faculty readiness and a desire on the part of business schools to clarify what exactly they’re doing to prepare business leaders to serve the needs of society, such as job creation and energy conservation.”

Search alliance Executive Search Group International (ESGI), recently announced an exclusive alliance with executive search firm Caldwell Partners. Christine Houston, Managing Director, ESGI said, “The alliance will enable a more holistic service, across a far wider geography, with a much greater industry and assignment scope.” John Wallace, President and Chief Executive Officer at Caldwell Partners echoed these sentiments and said the alliance would provide greater integration when assisting HR clients.

HR news

India behind in gender benchmarks Gender benchmark study highlights poor representation

HR Magazine goes to Pakistan

of women in the workplace in Asia Community Business recently published its latest report, the Gender Diversity Benchmark for Asia 2011 (GDBA 2011). The study shows that the leaking pipeline of women in the workplace is a very real phenomenon in Asia and that much more needs to be done to support high potential women as they struggle to balance personal and professional responsibilities. The report examines the representation of women at junior, middle and senior levels of 21 participating companies in six key geographies in Asia, including: China, Hong Kong, India, Japan, Malaysia and Singapore. Analysis of the data provided by the participating companies reveals the following key findings: • China, 50%, has the highest percentage of women represented in the total workforce; followed by Malaysia, 47%; Hong Kong, 45%; and Singapore, 43%. The lowest percentages of women are employed in India, 24%; with Japan, 34%, the second lowest. • Consistent with other regional and international gender studies, the phenomenon of the ‘leaking pipeline’ is very evident in Asia. Across all countries, the representation of women is highest at the junior level and lowest at the senior levels. There is a decrease by an average of 29% from junior to middle level and a further average of 48% from middle to senior levels. • The chart below shows the best and worst performing geographies across job levels in Asia:

• With the exception of India, the greatest leak—i.e. the largest percentage decrease of women, takes place between middle and senior level positions. • In India the greatest leak takes place early on in a woman’s career—from junior to middle level positions, there is a 59% decrease. This means the leaking pipeline in India is in fact more severe than in the other geographies as the pool of women is severely diminished at an earlier stage. • High potential women in India are concerned about the personal sacrifices they may be making in terms of possibly foregoing having children for their career and highlighted the important role of their parents in their decision-making.

Commenting on the findings, Shalini Mahtani, Founder of Community Business and co-author of the research said, “The issues of greatest concern were related to work-family balance. Our observation is that companies need to take a more holistic and creative approach to the career trajectories of their female employees—with a focus on enabling them to fulfil their professional and personal responsibilities at different stages in their life and career. Only then will women be no longer required to make tough choices that force many to settle for less challenging roles or opt out of the workforce altogether.“

HR Magazine was exclusive print media sponsor of the recent Global Human Resource Summit entitled Today’s HR Technology PakistanKarachi. The event organised by Seekers International was held at the Beach Luxury Hotel in Karachi, Pakistan and attracted a global panel of HR heavyweights. The Summit provided a muchneeded platform to help HR professionals address and share key challenges being faced in Pakistan and looked at subsequent emerging opportunities and solutions via adoption of HR technology. Mr Asad N. Sheikh, Chief Executive Officer, Seekers International—Pakistan explained, “The Global HR Summit strives to establish a strong platform for regular exchange of knowledge and networking among HR practitioners all over the world.” Mr Amin Nassrullah, anchor from the Seekers International team, hosted the one-day conference, which saw eight HR keynotes share advice on the entire spectrum of HR management. Speakers included Summit Chief Guest—Mr Naim Anwar, Deputy Managing Director, PICI Insurance; Mr Usman Mir, HR Relation Manager, Engro Foods; Mr Zeeshan Lakhpati, Corporate Trainer; Ms Tabina Siddiqui, HR Officer, Descon Integrated Systems and world-renowned scholar and HR Lecturer—Dr Kashif Memood.

Winter 2011

HR news

Six Sigma ISO standards published Six Sigma, a data-driven method for improving business and quality performance, has been recently published as a two-part ISO standard. Six Sigma projects follow a defined sequence of steps with quantified goals and financial targets—cost reduction and/or profit increase, and rely on statistical tools to deal with uncertainty. Implementation involves the establishment of an infrastructure with specific roles and responsibilities. The new standard, ISO 13053:2011, Quantitative methods in process improvement—Six Sigma, deals exclusively with the application of Six Sigma to ameliorate existing processes and is published in the following two parts. Part One describes the methodology: Define, Measure, Analyse, Improve and Control (DMAIC); and recommends best practices on the roles, expertise and training of

personnel involved in such projects. Part Two describes tools and techniques, illustrated by factsheets, to be used in each phase of the DMAIC approach. Dr Michèle Boulanger, President , JISC-Statistics and Co-chair of the subcommittee that developed the standard said, “Six Sigma can be used to effectively address serious chronic business issues.,” said Dr Michèle Boulanger, President , JISC-Statistics and Co-chair of the subcommittee that developed the standard. She added, “Organisations can deploy Six Sigma projects to increase customer satisfaction and become more competitive.” She added, “Publication of the Six Sigma methodology in an ISO standard is likely to boost international uptake of the methodology in a coherent form, reduce fragmentation, and provide users with harmonised best practice.”

Asian pensions rise and shine in global 300 Malaysian & Singaporean pensions enter global top 10 for first time Most Asia-Pacific sovereign and public sector pension funds rose in rank in the 2010 P&I/Towers Watson global 300 ranking and, with assets totalling around USD 3.2 trillion, now account for 25% of total global assets. The research, jointly conducted by Pensions & Investments and Towers Watson, shows that of the 29 Asia Pacific funds in the research, five feature in the top ten, including, for the first time, Malaysia’s Employee Provident Fund and Singapore’s Central Provident Fund. According to the research, the five largest Asian funds are also government-sponsored and represent 60% of the top ten fund assets or 18% of total assets. Japan’s Government Pension Investment Fund,1st, Korea’s National Pension Fund, 4th, and Japan’s Local Government Officials, 7th, are the other Asian funds featured in the top ten ranking. Naomi Denning, Head of

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Investment—Asia Pacific, Towers Watson said, “Although funds around the globe generally experienced a growth, based on US dollars, during 2010, funds and their ranking positions in the Asia-Pacific region further benefited from currency appreciation against the US dollar, particularly the Yen and Australian dollar.” Results indicate total assets of the world’s largest 300 pension funds grew by 11% in 2010—now representing almost 50% of all global pension funds’ assets. Denning concluded, “Top funds around the world are quickly prioritising governance and risk management arrangements in recognition of the risk of not doing so in increasingly volatile and unpredictable markets. Those that have done so will be best placed to adapt their strategies for some of the extreme conditions we could yet encounter, while competing globally for returns in this low growth environment.”

More of less Contracting & temping on the up

According to a recent IBM study 50% of organisations globally are expected to increase the number of contingent workers over the next three years. Asian businesses are increasingly adopting a contingent workforce model alongside their permanent employment strategy. In Hong Kong the highest demand for contracting hires are from Banking and Finance, Information Technology and Accounting, where up-to-date job skill sets and industry knowledge are essential. Another strong indicator of the fast pick-up of contracting in Asia can be seen from recruitment advertising. In Australia, the number of contracting recruitments is higher than permanent ones in some industries such as Engineering, Administration, and Human Resources & Recruitment over the past months. The findings of the latest Talent2 APAC Market Pulse Study echoed this trend. Of the Hong Kong HR managers surveyed, 37% said they had hired contract or temporary staff to help alleviate high workloads. Gina McLellan, Managing Director, Asia—Talent2 Recruitment and Contracting commented, “Hong Kong and Asian professionals are also seeing the value in contracting. Not only does it give them exposure to a much broader array of opportunities…it ensures that their skills stay sharp and also gives them the flexibility to pick and choose those projects that are of most interest to them.”

HR news

Sabrina Yuan appointed Chief HRO, AXA HK AXA China Region Insurance Company Limited (AXA) recently announced the appointment of Sabrina Yuan as Chief Human Resources Officer. Yuan will also sit on the Executive Committee of AXA Hong Kong from 30 September 2011. Yuan has more than 14 years of experience in human resources management spanning across the technology and FMCG industries in both Hong Kong and China. Previously Yuan was the Human Resources Director of Microsoft Hong Kong and the Human Resources Director of Mars Petcare in China where she acted as Head of Centre of Expertise, responsible for leadership capability building, organisation effectiveness, employee engagement, and talent acquisition & development. She

also spent over eight years at Procter and Gamble where she was actively involved in HR as a generalist and provided value added services to drive business and people excellence. Yuan holds a Bachelor of Arts Degree from Sichuan University in China. Overseeing the functions of Human Resources, Yuan will be responsible for driving the company towards even stronger employee commitment and organisational performance through talent acquisition, development and engagement. She will also lead human resources strategy to ensure it is in line with the group’s overall business plan and that the AXA culture is firmly embedded in the Hong Kong operation.

TalentLink mobile app A groundbreaking new mobile app with the capability to support enterprise talent management was recently unveiled by Lumesse. Employees, managers and HR staff can now make use of an intuitive and customisable mobile application on Android, Apple iOS and BlackBerry devices. The app, TalentLink Mobile, brings those in HR mobility and instant access to critical company information concerning people, jobs, candidates, interviews and hiring processes. Matthew Parker, CEO, Lumesse explained, “Our customers told us they needed a way for their hiring and HR managers to access key information and decision making capabilities in Lumesse TalentLink while away from their desktops.” He continued, “We’ve responded by making Lumesse Mobile a core capability within Lumesse TalentLink by making it available for free download from the major app stores. It’s another example of our ‘Apps for Everything’ philosophy which is setting the pace in the global talent management market.”

The app facilitates a personalised recruitment experience to all types of users with a focus on engagement, efficiency and go-anywhere collaboration. It also helps speed up the decision making cycle by reducing process bottlenecks, providing instant insight to information and encouraging greater collaboration among colleagues.

Key app features: • •

•

• • •

Secure log in via robust, mobileoptimised security protocol Efficient, mobile-optimised user interface delivering relevant, context-sensitive information based on user profiles Mobile-friendly version of users’ personal profiles to share with colleagues Approval of job requisitions and review of available positions Access to candidate lists and ability to invite candidates for interview Sharing opportunities via mobile social media such as Facebook and Twitter

Parker commented, “In the kind of companies that are using Lumesse TalentLink, the ability to work rapidly with colleagues across geographical, time and language boundaries cuts the time and cost of finding, hiring and onboarding new people.” The application is optimised for efficient use of mobile data, connecting securely to the SaaSbased Lumesse TalentLink platform through any mobile data connection. The app will be updated on a regular basis to keep pace with the rapid development and uptake of smartphones and tablets, and the increasing use of such devices as primary enterprise information tools.

Winter 2011

HR news

NorthgateArinso appoints new VP for Greater China Mr Sidney Yuen was recently appointed as Managing Director & Vice President for Greater China for NorthgateArinso (NGA). Yuen will be responsible for leading NGA’s growth strategy in Greater China, including the People’s Republic of China, Taiwan, Macau and Hong Kong. Yuen is Chairman of the International Association of Outsourcing Professionals—HK (IAOP), Asia Pacific Contact Centre Association Leaders (APCCL) and also holds advisory positions to a number of government bodies, universities and charitable organisations in China.

HROA Awards Asia Pacific The inaugural Human Resources Outsourcing Association (HROA) Awards for the Asia Pacific region were held on October 19th 2011, with the theme: Be Empowered. The HROA is the definitive independent organisation for all those who purchase, provide, or participate in HR transformation and outsourcing. In order to qualify, nominees needed to have demonstrated innovative

techniques of empowerment and the winners were selected through a members’ vote. The following awards were granted: Asia Pacific Thought Leader of the Year APAC was awarded to Ms Raquel (Rocky) Batallones Esguerra, Procter & Gamble Asia Pte Ltd and Asia Pacific Customer Relationship of the Year APAC to Bank of America Merrill Lynch and Talent2.

Steven Yu appointed head of ICG—APAC Towers Watson recently announced the appointment of Steven Yu, as Head of the International Consulting Group (ICG) for Asia Pacific. Yu, based in Shanghai, is responsible for taking Towers Watson’s broad range of solutions to the increasing number of international MNCs looking to Asia for growth. Yu previously worked as the Shanghai Benefits Business Leader and Actuary for the organisation and brings over 17 years of consulting experience to his new role. He replaces Gavin Watkins who will be moving to a client

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relationship management and adviser role specialising in the globalisation of Asian MNCs. “We are very pleased to have Steven join the ICG team in Asia, the largest team in the industry that is focused on developing global and/or cross-border solutions. His strong background in working with clients, and his extensive experience in M&A, benefits and actuarial consulting in the US and China will bring great value to clients in the region,” said Andrew Heard, Benefits Leader, Towers Watson—Asia Pacific.

He brings with him over 30 years general management experience within the Asia-Pacific and Chinese HR consulting and outsourcing industry. His career history includes leadership roles at The Swire Group, BAT, American Express, Royce HR Management Consultants, HBC, Andersen Business Consulting and Convergys Corporation. This has earned him a reputation as something of a thought leader across various sectors including government, financial services, NGO and manufacturing.

ManpowerGroup launches Experis™ In early September, Manpower announced a rebranding of its talent-resourcing firm—Manpower Professional, describing the brand evolution as ‘the creation of a different kind of talent company’. The rebranding also includes a change of logo and adoption of a new name: Experis. The new company will deliver indemand talent solutions. Lancy Chui, Managing Director, ManpowerGroup, Hong Kong, Macau and Vietnam operations explained that the name had been derived from a combination of the words ‘expertise’ and ‘experience’. She commented, “This represents our unrivalled knowledge of the businesses we work with, the everchanging world of work, and how we make the connection between an individual’s potential and the vision of business.” The organisation will continue to operate within IT, Banking, Finance & Accounting, Hospitality, Tourism & Leisure, Retail, Sales & Marketing and Human Resources verticals.

HR news

numbers

The number of countries in which HR Magazine is now distributed including: Australia, Brunei, China, India, Indonesia, Japan, Malaysia, New Zealand, Philippines, Singapore, South Korea, Thailand, Vietnam, UK, USA and most recently…Pakistan.

10 35% The number of lucky graduates will soon be selected to join Ferrari’s technical department—working on production technology and production process in the first phase of a global recruitment drive. The selected candidates will be offered an internship over six months, which may later lead to a full-time career in the company. The candidates will be initially screened via an online selection process comprising a psychometric test, an English test and in-depth technical-knowledge assessments. The company will also conduct mandatory interviews via video conferencing for the final group tests to be held in Maranello, Italy.

HR Magazine

55%

The percentage of finance professionals taking a pessimistic outlook on the economy, with 30% also worrying about redundancy. Source: eFinancialCareers Job Satisfaction Survey

The perecentage of employers surveyed in Hong Kong who are planning to boost staff numbers in Q4. Source: Michael Page Employment Index

<25%

The percentage of women in the workforce in India—which has the lowest regional levels of gender balance in the workplace. Source: Community Business: Gender Diversity Benchmark for Asia 2011

37%

The percentage of HR Managers surveyed in Hong Kong who had hired contract or temporary staff to help alleviate high workloads. Source: Talent2 APAC Market Pulse Study 2011

HR news

37% 40%

Percentage of workers in Hong Kong who feel overloaded and as a result have made mistakes they could have avoided at work. A similar percentage also noted that they had had to postpone deadlines at work as a result of being overloaded. Source: Community Business Hong Kong Work-Life Balance Employee Survey 2011

The percentage of Hong Kong workers who said, “I Don’t Have Time to Spend with My Partner and Family” because of heavy work commitments. Employees who are overworked, unhealthy and unhappy are also generally less productive with higher rates of absenteeism and sick leave. Over 77% of employees surveyed in Hong Kong reported

78 to 83Hz

The frequency at which healthy bodies operate at. A group of scientists in the US claim that they can lower sick leave rates and boost staff morale through a technique based on the communication of energy. The lower the body frequency, the more the immune system becomes compromised and when employees move into lower frequency, they get ill!

400 The number of design-based education programmes across China and Hong Kong. World-renowned jewellery designer Kai Yin Lo, who sits on the Board of Directors for the Hong Kong Design Centre, feels that most adopt a learning approach that is not appropriate for students of these disciplines.

having experienced problems due to poor work- life balance. The top three cited problems negatively impacting on employees included: prolonged fatigue levels, sleepiness and extreme tiredness, no time to spend with partner, and family and insomnia and poor diet as a result of work pressure. Source: Community Business

95%

The percentage of the 250 largest companies in the world which now report on their CSR activities. The report reveals that Japan is most active with 99% of Japanese companies already reporting on CSR performance. Almost 60% of the largest companies in China and around half of the Asian companies listed currently release CSR reports. The comprehensive survey of corporate responsibility— reports on trends from 3,400 companies globally and represents national leaders from 34 countries around the world. For the 100 largest companies in each of the 34 countries, 69% of publicly traded companies release CSR reports, compared to just 36% of family-owned enterprises. 27% of the top 250 companies also include some form of CSR reporting in their annual reports. Source: KPMG International Corporate Responsibility Reporting Survey 2011

70%

The portion of participants who engage in organisational CSR activities at SG who are Gen-Y. Source: Mukta Arya, Head of People and Talent Development, Société Générale Corporate and Investment Banking (Asia-Pacific)

Winter 2011

What

2012 holds for HR

Cover story

What 2012 holds for HR

With higher salaries forecast for 2012, HR now faces the delicate task of balancing employee expectations with business prospects. Although last year certainly proved to be a year of continuing recovery, new challenges and even greater uncertainties have emerged throughout the course of 2011. As we head towards the end of Q4 and into 2012, we analyse and consolidate salary, staff turnover and hiring trends for 2011-2012 and look at what they really mean for HR.

Strong APAC job growth

In the later part of 2011, the number of job opportunities in the APAC region has increased dramatically. According to the latest eFinancialCareers Quarterly Barometer, which tracks APAC positions advertised on the company’s job board, job opportunities were up by over 23% in Q3, compared to last year’s figures. Regionally, Singapore showed the strongest with jobs growth up 34% over Q3 figures. The number of job opportunities in Hong Kong showed an increase of 31%, while Australia experienced a drop of 1% mainly due to a static market. This is in stark contrast to figures from Q2 to Q3 when no growth was recorded—partly attributable to a slowdown of hiring in Asia, even in booming China. The three industry sectors showing the strongest growth in APAC were sales and marketing, risk management, and credit— all of which saw year-on-year increases of over 33%. Sales and marketing candidates were the most sought after in a still-resilient APAC market where firms

continued to hire in selective pockets. Revenue generating positions are always in demand and the number of new job opportunities in this sector actually doubled year-on-year. Risk management is another growing area—especially with firms operating within a global and regional regulatory framework that is constantly evolving. Year-on-year jobs in this sector have increased by 48%. The strongest declines in job opportunities were recorded in private banking/wealth management, down 22%; insurance, down 10%; and retail banking, down 8%, in Q3 2011 compared to the previous quarter. Despite this, salaries have still trended up in both these sectors. The observed drop in wealth management job opportunities is also somewhat surprising considering both global and regional players have regularly reaffirmed general commitment to hire and grow Asian teams. Certain private banks, however, especially smaller and niche firms are struggling to stay profitable amid stiff competition and rising costs, which could explain why they are not actively looking to increase headcount. Industry observers have also predicted increased consolidation in Asia, in a similar vein to the Julius Baer and Macquarie tie-up. In addition, banks who are eager to employ first-rate private bankers are not necessarily actively seeking talent at this time of the year due to the need to pay guaranteed bonuses.

Salary trends

High inflation coupled with government announcements on civil servant salary adjustments has raised the bar in terms of employee expectations for 2012, however, uncertainty in key global economies in the second half of the year has put considerable pressure on business plans for 2012—making it difficult to justify large increases. According to the latest Aon Hewitt Salary Increase Survey, salaries across Asia continue to increase. The average annual rate of salary increase in Hong Kong for 2011 was 4.7%, and the salary increase projected for 2012 is marginally higher at 5%. This compares with a significantly lower salary increase figure of a shade over 3% recorded in 2010. See Chart 1. Employee expectations will almost certainly create an impact on businesses in 2012. David Leung, Practice Leader, General Industry Compensation, Aon Hewitt commented, “The recent announcement of a 6.16-7.24% increase in pay for the Civil Service in HK has greatly raised employee expectations for 2012. Businesses must take caution when making decisions, especially in communicating to employees as they will be particularly sensitive to any rewards adjustments. Communicating rewards strategies and policies take careful planning and execution to ensure employee satisfaction is maintained or improved.”

Winter 2011

Cover story

What 2012 holds for HR

Chart 1 Salaries continue to increase throughout Asia Data Source: Aon Hewitt 2010-2011 Salary Increase Survey In Asia

increases of nearly 6%, closely followed by the retail, engineering/manufacturing and financial sectors—which all witnessed salary increases above 5.5%. The chemical, consumer goods and transportation sectors have all had the smallest salary increases of just over 4%. See Chart 4.

Performance-related pay

Chart 2 Voluntary staff turnover on the increase Data Source: Aon Hewitt 2009-2011 Salary Increase Survey In Asia

Pay trends

Hong Kong salaries have trended upwards since 2009, and Aon Hewitt expects modest salary increases of around 4.7% across all employee groups in 2012. The exception being critical talent groups where salary increases close to 6% are expected. See Chart 3. Tzeitel Fernandes, Head of Aon Hewitt’s Broad Based Rewards and Executive Compensation Consulting practice in Hong Kong commented, “US and Europe’s on-going debt crisis is slowing

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global growth as businesses prepare to adopt precautionary conservative measures. It is crucial at this point for businesses to effectively allocate limited resources and take on a robust pay and performance approach by differentiating pay between top and average performers.”

Sector trends

An industry sector comparison conducted by Aon Hewitt revealed that industry-wide, the insurance sector has seen the highest salary

In terms of variable pay, over 90% of the respondents in the Aon Hewitt Survey indicated that there would not be any changes in their bonus plan design this year. It would appear that under the current environment of stiff competition and fast changing market dynamics, organisations are increasingly reinforcing the pay and performance relationship and changing their variable pay plans to ensure maximum alignment to current business context. This year, many companies’ primary focus was to conduct regular communication and training on such plans and to enhance the linkage of such plans to individual staff performances. See Chart 5. Fernandes added, “One of the key takeaways by HR leaders from global uncertainty is the importance of maintaining a balanced rewards strategy. In times of downturn, businesses are devoted to cutting costs and when business prospects look bright, businesses are interested in attracting and retaining talent. A balanced rewards strategy is one that is flexible to accommodate differing circumstances which ultimately prepares businesses for any challenging situation.”

Growing the top line

Organisations continue to focus on growing the top line as opposed to merely maintaining business stability and controlling costs. According to Aon Hewitt only a very small number of companies,

Cover story

What 2012 holds for HR

1.5%, froze employees’ salaries this year, and none plan to do so in 2012.

Staff turnover

With economic activities being strong in the first half of 2011, the labour market has seen increased employee turnover. According to Aon Hewitt, the average voluntary turnover rate has risen from less than 12% in 2010 to over 16% this year, with the highest overall turnover, over 28%, being witnessed in the insurance industry. See Chart 2. The primary reason for voluntary attrition cited by the vast majority of respondents in Aon Hewitt’s latest Salary Increase Survey remains ‘better external opportunities’. Retention is beginning to re-emerge as a significant concern for employers with the most popular measures including accelerated career development opportunities, timely and meaningful feedback from managers, and pay above market rates—off cycle market adjustments or merit increases.

Hiring outlook

Most analysts are predicting continued positive recruitment into Q4 and early 2012. According to the Q4 Manpower Employment Outlook Survey, Hong Kong employers anticipate solid payroll gains during Q4 2011. See Chart 6. Once seasonal variations are removed from the survey data, Hong Kong’s Net Employment Outlook stands favourably at +21%. Hiring prospects remain relatively stable quarter-over-quarter, and the Outlook is 4% stronger year-over-year. Out of just over 80 employers surveyed, 23% expect to add employees in the coming quarter, only 2% anticipate a decrease, and 70% predict no employment changes in the next quarter. Employers in all six industry sectors expect to increase staffing levels in Q4

2011. Quarter-over-quarter, hiring prospects improve in three of the six industry sectors. Year-over-year, employers report stronger hiring intentions in four of the six industry sectors.

Chart 3 Salary increases for Hong Kong employee groups Data Source: Aon Hewitt 2011 Salary Increase Survey In HK

Finance, Real Estate & Insurance Solid job growth is forecast in the Finance, Real Estate and Insurance Sectors, where employers report a Net Employment Outlook of +29%. Ms Lancy Chui, Managing Director of ManpowerGroup Hong Kong, Macau and Vietnam operations explained, “Despite thousands of job cuts in Hong Kong by one of Hong Kong’s leading banks over the next three years, a number of other banks are also freezing their hiring plans with a view to control costs, Within other areas of the financial sector, there is still demand in hiring. Growth in Asia, coupled with new, yet tough, banking rules in the US and Europe have combined to generate a pipeline of financial jobs in Hong Kong, particularly for private and commercial bankers, as well as compliance and risk managers, and front-line client relations positions.” She added, “The increasing capital flow from the West to the East continues to drive needs for more financial professionals

Chart 4 Salary increases across HK industries Data Source: Aon Hewitt 2011 Salary Increase Survey In HK

Winter 2011

Cover story

What 2012 holds for HR

in Asia. Leading brokerage services firms appear to have the most aggressive hiring plans, primarily in the areas of hedge funds and wealth management talent, as multi-millionaire status in Asia is beginning to grow. On the real estate side, the Government’s latest measures to increase land supply also help stimulate construction of private housing gradually over the next few years, which should allow for continued hiring of real estate

staff and professionals. Furthermore, we are also seeing leading insurance companies aggressively expanding their agent workforce to gain revenue”

Services

Employers in the Services Sector predict a healthy hiring pace with an Outlook of +26%, a noteworthy improvement of 13% when compared to last quarter. “Job prospects in the Services sector,

Chart 5 Salary increase by performance ratings Data Source: Aon Hewitt 2007-2011 Salary Increase Survey In HK

including catering and cleaning services, have improved considerably from three months ago as employers have generally been taking measures to balance operating costs and staffing levels since the statutory minimum wage law launched. Consequently, it helped to stimulate hiring confidence for the peak season of Q4. Likewise, IT staffing employment prospects are also strong. The continued economic uncertainty makes IT contracting more appealing as employers are keen to hire project-based IT staff,” said Chui.

Mining & Construction

Year

2011

2010

2009

2008

2007

Ratio of Far Expectations vs. Met Expectations

1.78

1.91

1.94

1.98

2.24

Ratio of Exceeded Expectations vs. Met Expectations

1.37

1.43

1.58

1.47

1.37

*A decrease in the leverage between top performers and average performers showed a tendency to ‘manage to the middle’ in Hong Kong

Chart 6 Hiring outlook for Q4 in 6 key sectors Data Source: Q4 Manpower Employment Outlook Survey

The fourth quarter hiring expectations in the Mining and Construction Sector continue to forecast an upbeat hiring pace, with an Outlook of +23%. Hiring intentions remained steady both quarterover-quarter and year-over-year. Chui explained, “According to the Transport and Housing Bureau data, construction started on 4,700 private-sector flats in Q2, indicating an eventual supply of more flats to the market and, by extension, a drive in hiring to cope with the forthcoming business demand, including demand for quantity surveying talent whose roles are critical in cost control.” She added, “The Hong Kong Government is also continuing its aggressive policy on spending on infrastructure projects which further strengthened the need to hire.”

Wholesale & Retail Trade

* Employers in the Public Administration/Education sector have not been included in this survey

HR Magazine

Job prospects continue to remain upbeat in the Wholesale and Retail Trade Sector (+20%) despite a moderate decrease of 6% quarter-over-quarter and a slight decrease of 2% year-over-year. Chui said, “The latest total retail goods sales figures in July this year increased by more than 29% compared to the same

Cover story

What 2012 holds for HR

period last year. Whilst driven primarily by the insatiable thirst of mainland shoppers; visitors from other countries have also contributed to such growth. Such strong growth has further driven the Retail Sector to add workers to cope with their expansion plans.”

Manufacturing

Employers in the Manufacturing Sector anticipate a steady fourth quarter hiring pace, reporting an upbeat Outlook of +15%. However, Chui noted many other factors that could potentially influence employer hiring intentions in the future, “The recovery of the fragile US and European economies remain the key sources of downside risks to the consumer demand from these countries which continued to soften hiring intentions in the Manufacturing Sector.”

Transportation & Utilities

Hiring intentions of the Transportation and Utilities Sector remained steady at +14%, remaining unchanged quarter-over-quarter while improving 6% year-over-year. Chui commented, “The recent exports of goods decelerated noticeably, dragged by the slowdown in the global/regional supply chains arising from the Japan incident and also by slowing growth momentum in many export markets.” She added, “Markets such as China, Japan and US accounted for close to 70% of Hong Kong’s total exports of goods, their decline will inevitably weigh on the overall export performance and weaken hiring confidence of the Sector.” The latest Michael Page Employment Index covering over 2,000 senior human resources professionals and hiring managers—working across a broad range of professional sectors shows a similar picture of continued steady growth in the

professional employment market in Q4 despite ongoing weakness in overseas economies. Some 35% of Hong Kong employers in the survey are planning to boost staff numbers over coming months; a result consistent with Q3 hiring intentions. Anthony Thompson, Managing Director, Michael Page—Hong Kong and Southern China commented, “We have not seen any shift in recruitment demand over the last six months, which is a positive indicator in light of the uncertain global business conditions. The domestic employment market remains stable and companies are continuing to invest in newly created positions.” This upbeat sentiment was also mirrored by George McFerran, Head of Asia Pacific, eFinancialCareers who commented, “The region has registered a strong growth of 23%, and going forward, we can expect recruitment demand to dwindle slightly until the end of Q4. Certainly, multinationals have an impact on every region and some firms have already met their hiring needs for the year, while others have decided to hold off adding to headcount until 2012. Asia Pacific is still an engine of growth, so we can expect the employment market to hold up despite the current global economic market uncertainty.” The Michael Page Employment Index

revealed that employers in Hong Kong are increasingly looking for candidates with international experience and bilingual skills, and are paying a premium to secure such talent. Over half of the employers surveyed are willing to pay higher salaries in order to acquire professionals with bilingual skills. A further 73% of companies are required to offer more attractive salaries to secure professionals with international market experience. “Employers across all professional sectors in Hong Kong consider language skills and international experience to be extremely valuable attributes in prospective employees. These professionals are in strong demand and companies are willing to meet their high salary expectations in order to secure the skills their business needs,” said Thompson. Whilst experience in the Asia market is most highly sought after, 54%; employers also value familiarity with European, 22%, and US, 10%, markets. Thompson pointed out, “As more employers look to expand their presence throughout the region, candidates with a strong understanding of business operations in Asia are particularly valuable. To achieve their goals, employers are looking for people with strong knowledge of how Asian markets work and the ability to communicate easily across cultures.”

Winter 2011

HR features

Avoiding a Greek tragedy Firing under performing public servants essential to help save Greece

In the last few months, the economies of the EU have gone from powerhouses to standing on the edge of a precipice, with both feet dangerously close to the edge. While there are multiple reasons behind the sovereign debt crisisâ&#x20AC;&#x201D;many fingers are being pointed at Greece. In October, amid protests over previous bailouts, the EU voted on measures aimed at

HR Magazine

preventing a total EU collapse. One of the measures included a guarantee by banks to write off 50% of Greeceâ&#x20AC;&#x2122;s debt which, to a certain extent, would help temper the situation. With so little public confidence in the incumbent government, however, there was a sense of inevitability about the resignation of Greek Prime Minister Papandreou. With this opening the way for

HR features

a new coalition government—will this be enough to save Greece and Europe from economic collapse? What is known is that in order to thrive, vast changes need to be made in the way Greece’s government works. As such, The London Business School (LBS) recently gathered a unique group of senior stakeholders to discuss practical actions which must be taken to avoid economic catastrophe and social meltdown in the country. The group included MPs, former ministers, economic advisers to the Greek Prime Minister, policymakers, former senior IMF executives, bankers, lawyers and leading academics. Michael Jacobides, Sir Donald Gordon Chair of Entrepreneurship and Innovation, and Associate Professor of Strategy and Entrepreneurship at LBS, who helped organise the event said, “A remarkable consensus on potential future directions did emerge. Some of the policy choices we propose may be controversial, but are necessary given the circumstances.” The report, co-authored with Richard Portes, Professor of Economics at LBS and Dimitri Vayanos, Professor of Finance, London School of Economics and Political Science, gives several key recommendations:

Revolutionary changes to Greek public administration

The report proposes the creation of independent authorities with a clear responsibility and a mandate, working to focused key performance indicators including: scrapping the current tax collection system, instituting a new Tax Assessment and Collection Authority and establishing a Health Redesign Authority, a Corruption Reduction Agency and an Investment and Foreign Direct Investment Authority. These would report to the Greek Parliament and provide continuous updates to creditors and the Government.

Public sector cuts based on performance & accountability

Performance-based management at the individual level, and resource allocation on the basis of key performance indicators, must be stipulated and enforced. The option to fire public servants who underperform or undermine change efforts must be made law.

The streamlining and rationalisation of administrative entities must be accelerated, followed up and monitored. The report also recommends the re-institution of permanent Undersecretaries of State, with five-year appointments, to ensure continuity and accountability in all ministries.

Financial sector reform

Assuming a substantial sovereign debt restructuring, bank recapitalisation will be needed. The group’s main concern for the banking sector was how banks will be governed and protected from political influence. Financial supervision must be

Tackling tax

Tax evasion in Greece is massive. Tax collection needs to be addressed head on. This will require the creation of a totally new administrative apparatus. A number of practices need to be implemented with immediate effect to increase accountability, transparency and incentives. Similar measures are required for customs and excise.

Create an Independent Reform Authority This would not have executive power, nor a large bureaucracy, but it would follow up the reforms, ensuring they do not stall, and be tasked with reporting to the Greek Parliament—as opposed to the Government—and inform Greece’s creditors. It would follow through and support all structural changes in existing ministries and organisations; help implement change; oversee the rationalisation of the overall portfolio of organisations; redesign particular areas of the government and provide a new blueprint for their operation and feature a bureaucracy reduction unit.

Loans should be conditional on specific structural changes Drastic structural changes cannot be accomplished without external impetus.

Rethink the structure of privatisations

The anticipated privatisation revenue is unrealistic. Privatisations should not be primarily thought of as a source of revenue, but as a way to restructure and to increase the competitiveness of the economy. Issues with unions need to be addressed head-on, as they are still casting a long shadow on existing arrangements and depressing potential valuations. Debt financing should also be the main means of implementing the privatisation process.

revamped and extended as soon as possible. The European Banking Authority should work with the Hellenic Financial Stability Fund to take a more active role to help ensure the independence and governance of the banks until they are privatised again. Jacobides concluded, “Greece is facing a perfect storm—structural problems with the economy and public administration, neglected for decades, must now be tackled. There is an urgent need to focus on operational measures and restructuring the Greek public administration. The unwillingness—and possibly the inability—to change is endemic and understandable, and we cannot wish it away. We need a new approach to avert a full-blown breakdown of law and civil disorder.”

Winter 2011

HR features

Frozen

pipelines With 90% of APAC organisations not effectively pipelining talent what can you do to ensure you get the right talent at the right time? By Kieran Scally, VP Resourcing Solutions, Ochre House

What will drive the future success of your organisation in APAC? Aggressive growth? Entering new markets? Launching the next must-have product perhaps? It may be all three. However, no matter what future course your business has plotted, its success will rely on flawless execution. In turn, flawless execution will increasingly depend on your organisation’s ability to attract, engage, develop and retain the best possible talent available in the region today, in order to achieve a better tomorrow. Talent pipelining is the identification

HR Magazine

of individuals who are qualified and interested in your brand and who your organisation may want consider hiring in the future. There are three key reasons why as a HR professional you should devote time and effort to such an exercise even before you have live roles to fill:

1. Reduced time-to-hire

If you’ve identified qualified individuals who want to work for you, it means you’re not sourcing a candidate from scratch each time a new role is released.

2. Reduced cost-of-hire

If you’ve built a talent pool, you will be in dialogue with candidates before agency recruiters are—therefore saving yourself from an unnecessary agency fee.

3. Access to better quality talent

Pipelining allows you to build relationships with ‘passive’ individuals i.e. those not actively looking for a new role right now—which research suggests are better performers. You cannot do this if you’re only ‘grabbing from the market’ each time a role is released. Whilst all of the organisations

HR features

surveyed in a recent study by Ochre House agreed it made sense to pipeline, 90% of APAC organisations are still not doing so. If it makes sense, why not do it? In fairness, talent pipelining is not an easy thing to do, especially in APAC. This can be attributed to a number of reasons ranging from lack of internal resources to lack of in-house understanding of where to find and how best to connect with candidates. The survey found that it was widely accepted by companies that job boards were not the best way to find candidates in APAC, but rather that personal networks were much more effective. Surprisingly, many of the organisations involved in the research said that they felt their inhouse resourcing team was purely reactive. When the internal team is not pipelining effectively, many organisations turn to third party recruitment agencies for help. The problem with this is that it may be in the interests of traditional recruitment agencies to push HR to make a hiring decision as quickly as possible. For many old-school recruitment agencies: decision = invoice = commission. Consequently, few traditional recruitment agencies will help organisations to pipeline, because by doing so they never know when they will be able to get their fee. That soughtafter candidate on their database will get your agency recruiter their commission payment much quicker than if they were sold to the highest

and fastest bidder—which in APAC, is likely to be your direct competitor. From the research, we see that organisations in APAC appear to be doing one of two things:

1. little or nothing in terms of pipelining— carrying the substantial risk of losing talent to their competitors; or 2. relying on their third party recruitment agencies to deliver the talent they need— paying a premium for the privilege.

In real terms, organisations are either standing still or writing a blank cheque. Are these two options really acceptable to your business and what is the solution? Well, organisations have to start pipelining—some way, somehow. Do not worry, there are some really simple things that you and your team can do to make a good start.

Personal and social networks

As mentioned previously, it is widely accepted in APAC that job boards are not as effective in this region as they are in other parts of the world, but social networks are booming in Asia—it is all about who you know! How many of your recruitment team have professional profiles on networking sites like Linkedin, Weibo or Ushi for example?

You are not right for us at the moment

Maybe not, but what about in six months? What does your team do with candidates who apply speculatively? Are their details really kept for future roles or are they ‘lost in space’? Keep a hold of their details somewhere, even if it is only on a basic spreadsheet, you do not need an elaborate recruitment system to save a MS Word document and a telephone number. If you do not, that candidate you lost could be the next GM of your competitor.

Get your team out there

Do any members of your team actively participate in networking events? They should be. In-house recruiters should be ‘talent attractors’ and ambassadors for your brand. If they never get the opportunity to meet people, how can they tell anyone what a great employer their organisation is to work for? Not everyone is comfortable in a networking situation—but some team members might be really good at it. These are just three simple, inexpensive examples of how to get started with building your talent pool—there are, of course, many more—but at least you are on your way. If you try one or two of the suggestions in this paper, you will be one crucial step closer to finding the individuals you are looking for.

Winter 2011

HR features

‘Tis the season for corporate gifting Gifting in Asia is integral to business success: it is how companies build relationships, show trust, and demonstrate respect, and a well chosen gift speaks a thousand words. HR is often at the forefront of corporate gift decisions—as the party responsible for deciding on the appropriacy of such gifts and rewards. We look at the rising trend of experiential gifting, its relevance to HR, and why it’s set to take Hong Kong by storm.

Navigating corporate gifting

Personal relationships lie at the core of Asia’s cultures and gift giving is often an integral part of building these relationships. Yet it is far from easy, especially in the Hong Kong landscape where western clients are a key part of the client and employee mix. It demands a deep understanding of culture and tradition. A gift chosen without this knowledge may be unlucky, it may go against local tradition, or it may have negative connotations the giver simply isn’t aware of. This culture runs deep in the veins of many Asian firms, from the largest multinational to the smallest family-run business, making the act of gift giving extremely difficult for the new arrivals in the region. Often, the choice of corporate gifts falls to a company’s HR team, who must expend time and effort selecting

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or developing gifts that will be enjoyed by clients or employees. It is down to HR professionals to source gifts that are appropriate for a firm’s leading clients, or thousands of employees who vary in ages, interests and cultures. HR professionals operating in the region have taken this mandate to heart, sinking significant resources into developing and producing corporate gifts. Unfortunately promotional gifts are often impersonal, uninspired and unmemorable—from pens and wallets branded with company logos to the welcome, but hardly exciting, desk clocks. A growing trend in Asia may be the answer to the corporate gifting dilemma: experiential gifting.

Experiential gifting

Experiential gifting is the gift of an experience rather than a material item.

One of the fastest growing segments in the USD 253 billion-per-year global gifting industry, experience gifts can range from adventures such as bungee jumping, spa treatments, city tours and gourmet experiences at leading restaurants. The gift of an experience rather than a paperweight can be memorable without being radical, and personal without being inappropriate. As they are easy to purchase in large numbers and they bypass many of Asia’s gift giving taboos they are an obvious choice for corporate gifts. One company in Hong Kong, quick to recognise the benefits of experiential gifting to Hong Kong’s time-poor consumers, is Red Packet who came up with over 20 themed packages—each offering different experiences for staff or clients. The fact that the packages are themed affords HR a more personal touch in selecting the most appropriate one for individual staff members and key clients. At the same time recipients are still provided with the freedom to choose an experience from within each package that most appeals to them. Gerard Belicha, the company’s Managing Director, was confident this approach would be particularly relevant for corporate gifting. Belicha explained, “The beauty of experiential gifting is that it is a completely fresh approach to gifting, and we are literally enabling people to give their clients the gift of choice. A good gift is one that is meaningful and personal and by gifting an experience, which is chosen by your client, you can ensure that they will enjoy it and even better remember you for it.”

Customising gifts

Packages can be customised to company specifications, including branding and logos. Companies can select the overall theme of their gifts such as wellness, gastronomy or fitness, and then under this umbrella theme recipients can select from a range of related experiences such as a spa journey at a five-star Hotel, bungee jumping or a personal dinner for eight of their friends. This customisation ensures that no matter who the recipient is, they will receive a gift that is memorable, enjoyable and personalised.

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What makes employees smile? further enhancing the organisational culture. The club also aimed to enhance the personal lives of employees in rewarding them with a better work/life balance. After some time, however, the committee—like their counterparts in many organisations—was left feeling a little frustrated because volunteer members simply did not have the time required to create, organise and execute unique events. Social committee Chair, Edwin Wong explained, “The biggest challenge of running an internal social club is coming up with ways to make it better than last year.” As a result, participation levels started to lag and there was diminished engagement between employees and such social events.

Different thinking —inspired from Australia

Only 40% of employees believe that benefits provided by their organisation actually meet their needs, according to a report: Inside Employees’ Minds— navigating the new rules of engagement, recently released by Mercer. As those in HR are well aware, there are a wide range of complex issues which affect employee satisfaction, but fundamental to many is the importance that staff are and ‘feel’ valued within their organisation. We analyse two case studies of organisations who are resolving this issue with a concept relatively new to Hong Kong using an outsourcing solution to establish and maintain their social clubs. In doing

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so, the companies are able to use the clubs as a platform to deliver a range of everyday staff rewards together with regular social events to help cater to the widely varying needs and preferences of different staff members.

Case 1: CBRE Hong Kong

CBRE Hong Kong was looking for a solution to offer employees rewards and benefits that would be valued right across the board, as well as helping to enhance engagement levels within the organisation. A social committee was established to try and bring people within the organisation together by boosting staff communication and

Craig Shute, Senior Managing Director, CBRE Hong Kong learnt of a popular staff social club outsourcing solution from Australia that was now available in Hong Kong provided by Total Loyalty Company (TLC). Aside from social events, the solution also encompasses rewards and benefits that employees can utilise every day in their time away from the office.

Five-month snapshot Five months into the social programme partnership between CBRE and TLC Wong pointed out, “The two most beneficial aspects [of the programme] have been, the assistance we get with arranging external and internal events for CBRE and the discounts that are sourced on our behalf.” It’s not just HR that’s smiling about the programme, as it’s also been a big hit with staff as well. Queenie Jiang,

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member of the CBRE HK Social Club commented, “My favourite aspect of the staff social club is that there are so many fun events to choose from. It gives people options and choices.” Staff also report being proud to tell their friends about such privileges that they enjoy as employees. This is another indicator of the success of the programme in helping retain staff and in further enhancing the organisation’s standing as an employer of choice.

Case 2: National Australia Bank (Hong Kong)

The core values of the National Australia Bank (NAB) centre around people and relationships: at the head office in Australia the staff social club is an integral part of this organisational culture. Following suit, NAB (Hong Kong) recently implemented a staff social club to further engage employees within their organisation and reward them in a method befitting the organisational culture.

Solution to fit the culture The diverse workplace at NAB makes it vital to find different ways to build relationships and foster teamwork so that engagement levels continue to be enhanced. Liz Slavin, Head of People & Culture for National Australia Bank Asia explained, “Finding fun ways to develop connections outside of the work environment is a great way to ensure better channels of communication within the workplace.”

Rewards that build relationships The main objective of the social events offered in the programme is to reward employees with new experiences in Hong Kong and allow them opportunities to form new relationships and build on existing ones. Commenting on the success of the social programme, Slavin—relatively new to NAB in Hong Kong—commented, “It has helped me meet a lot of colleagues in a short space of time.

It’s a great way to build connections through our business. I have loved the opportunity to try some new things in Hong Kong, like lawn bowling in Victoria Park, as well as take advantage of some of the staff discounts.”

Soft benefits almost as important as cash The Mercer report highlights that, although cash is still king in the never-ending quest for employee satisfaction, employees are beginning to view ‘soft’ benefits as increasingly more important. TLC’s social club outsourcing solution is currently at the forefront of a new industry within Asia, making it easier for companies in Hong Kong to provide such ‘soft’ benefits in a cost-effective and efficient manner. With the trend towards favouring ‘soft’ over hard benefits predicted to continue—innovative solutions to employee engagement are needed now more than ever.

Winter 2011

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I can’t get no satisfaction… Workers might be satisfied with their job, but it doesn’t necessarily mean they’re happy. The latest Job Satisfaction Survey released by eFinancialCareers again indicates finance professionals are overwhelmingly satisfied with their jobs. Almost two thirds of respondents reported that they are somewhat, very or extremely satisfied with their current job. Despite this job satisfaction, pessimism is still present, with more than 55% of finance professionals taking a pessimistic outlook on the economy and 30% worrying about redundancy. The Survey, conducted from August to September 2011, examines work motivators, level of job satisfaction, and job market outlook amongst the finance talent pool. The survey polled a total of 952 financial markets

professionals in Hong Kong, China, Singapore, and Australia, out of which 300 respondents were located in Hong Kong. George McFerran, Head of Asia Pacific, eFinancialCareers commented, “Recent job cuts by major banks have sparked new fears of redundancy. This fear, coupled with increased demand for overtime as a result of cutbacks, could have a negative impact on current levels of job satisfaction.”

Work motivators

Money and benefits are the most important work motivators for Hong Kong finance professionals, according to the Survey, closely followed by opportunities for

Table 1 Economic outlook of finance professionals in the Asia Pacific Region Are you optimistic about the economy?

Markets 35%

Hong Kong

55% 10% 46% 44%

Australia 10%

57%

China

37% 6% 35%

Singapore

51%

Yes

14%

No 40%

Regional average

Don’t know 49%

11% 0

Percentage of Respondents * Source: eFinancialCareers Job Satisfaction Survey APAC 2011

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promotion. Although 48% of Hong Kong finance professionals are somewhat satisfied with their current salary package, a significant proportion of them, 38%, are dissatisfied. Alarmingly more than half of all respondents are ‘not very’ or ‘not at all’ satisfied with the promotion opportunities offered by their current employer. “While compensation is always going to be one of the greatest work motivators, career development is just as important,” said McFerran. “Amidst fear of redundancy and market uncertainty, firms need to recognise employees’ desire for a visible career path and better manage their expectations about salary and promotion so that there are no surprises during the performance assessment meetings.”

Pessimism & redundancy fears

Despite their high degree of job satisfaction, Hong Kong professionals are the most pessimistic workers in the region (Table 1), with over half of them having a gloomy outlook on the economy. Employees may be preparing themselves for what they think will be another round of belt-tightening if the economy does not improve. Close to a third of Hong Kong finance professionals indicate that they are concerned about being made redundant. McFerran concluded, “While a majority of Hong Kong finance professionals are seemingly satisfied with their current job, 36% claim the opposite. Employees who feel the pressure to perform can get caught in a vicious cycle of increasing effort to meet rising expectations with little or no increase in job satisfaction. Employers should pay particular attention to their staff’s needs and concerns in order to foster employee loyalty, boost morale, and retain top performers.”

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Get me out of here!

Recent survey reveals firms not offering staff enough opportunities to gain overseas experience According to the International Talent Mobility Report, recently released by ACCA and Robert Half International, many finance and accounting professionals want to gain international experience, but few firms in Asia Pacific are offering overseas career opportunities. The research, conducted by an independent research organisation in June 2011, examined the forces driving the movement of the finance and accounting talent pool. Respondents were from finance, accounting and banking sectors—with 645 respondents in Hong Kong and 793 respondents in Singapore.

Strong desire to work overseas The Report revealed that two-thirds of finance and accounting professionals in Hong Kong and nearly three-quarters in Singapore wanted to work overseas. The key reasons Hong Kong employees were seeking international work opportunities included a desire for career growth, 24%; better salary packages, 21%; improved overall lifestyle, 14% and new work experiences, 12%. Key benefits Hong Kong respondents expected to receive in an overseas relocation package included a housing allowance, 91%; medical insurance, 82%; return visits to their home country, 79% and a moving allowance, 76%.

Overseas opportunities hard to come by

Despite strong employee desire to obtain overseas experience the report indicated that there are not enough opportunities

to work abroad. Amongst the Hong Kong firms that send employees on secondments overseas or to mainland China, only 8% do so on a regular basis. Similarly in Singapore, just 13% provide regular secondments abroad. “There is a clear gap between the opportunities to work overseas that businesses offer and the opportunities employees would like,” said Pallavi Anand, Director, Robert Half Hong Kong. She added, “Companies concerned about turnover may want to consider offering secondment programmes, as this can be a useful retention tool. Professionals who work overseas also increase their knowledge base and become more valuable to the organisation.” The key reasons cited by Hong Kong employers choosing to send staff on overseas secondments were to encourage the transfer of knowledge and expertise between teams, 62%; enhance the training and development of employees, 52%; increase diversity of experience within the organisation, 44% and plug current skills shortage, 35%. “As business becomes more global, there is no better way to get professionals thinking globally than to give them overseas experience,” added Anand, “It’s important, though, to choose the right employees to send abroad. Ultimately, you want to select staff who have high potential and will stay with the company for the long term.” Key factors employers will consider when choosing a candidate to relocate overseas include, appropriate skills or job knowledge,

93%; adaptability, 89%; collaboration skills, 88% and cultural sensitivity, 70%. Rosanna Choi, Chairman, ACCA Hong Kong commented, “There are factors that can sway a decision in an employee’s favour especially in the finance and accounting industry. Employers also value employees who are equipped with a recognised accounting qualification which proves their technical capability. Local language proficiency is also important when selecting talent.”

Overseas talent quest Although most companies do not plan to relocate their own employees to another country, they may be more likely to look abroad when adding to their teams. Just under one-third of Hong Kong employers surveyed who plan to add finance, accounting and banking staff in the second half of the year said they were likely to hire staff overseas. This may indicate employees who strongly desire an overseas career opportunity may have better luck looking outside of their firms than within them. Anand added, “If work experience in another country is important to a high-potential staff member, it may be better to offer the opportunity than risk losing the person.” Although hiring staff from abroad has advantages, it comes with a cost. According to the report, the primary reasons companies are reluctant to hire staff from abroad are relocation expenses, 67%, followed by candidates lacking knowledge of local accounting practices and regulations 37%.

Winter 2011

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IVE graduates top of the pile in engineering sector number of fresh graduates from different universities and vocational colleges to help maintain our talent pipeline. 50 IVE graduates were recruited last year, and so far 20 have been recruited this year. We now have a considerable number of IVE graduates in our company.”

What counts when it comes to staff selection?

As competition in the engineering sector continues to heat up, it is comforting to know that engineering graduates are leaving IVE equipped with not only comprehensive subject knowledge, but also a wealth of practical training. These qualities stand them in great stead as they take their crucial first steps on the job ladder. Ko Cheuk Yin, a recent IVE graduate, shared her work experience at China State Construction Company Limited (CSC)—one of the largest construction companies in Hong Kong with construction projects also running in mainland China and overseas. At CSC Ko works as an Assistant Engineer on a wide range of civil engineering projects including rock drilling, blasting and rock slope engineering. The huge shift from academic life to full-time employment in engineering takes time to adjust to. Ko explained, “This is my first job after graduating and it is a very demanding job that requires plenty of outdoor work—six days a week and up to 10 hours a day— working to very tight schedules.” She added, “As a female engineer, working with a group of mainly male co-workers can be challenging at times in terms of viewpoints, but we have no real issues working together.” Ko noted that the

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courses and knowledge gained at IVE had helped her immensely in her current role. “My IVE studies relating to geotechnology, rock slope engineering, design software and engineering calculations have been instrumental in empowering me to take up my current role,” she emphasised.

Great employment prospects

Eva Leung, Deputy General Manager (Human Resources) for CSC pointed out that employment prospects look great for local engineering graduates. She commented, “With the continual rise in the number of construction and development projects in Hong Kong, there has been a growing demand for construction engineering professionals in the region. There will certainly be continued demand for this type of work in at least the next five years. Although it is a male-dominated industry, it’s interesting to note that more and more female students have chosen this profession in the last decade.” To meet the increasing need for staff, CSC has built a close and long-term relationship with IVE. Leung pointed out, “Between 2006 and 2009 we witnessed high levels staff turnover in the construction industry as a whole, and very few were willing to work in the industry at that time. Thus, we sourced a specific

Staff selection is critical to ensuring business success and the screening process must be carefully designed to help highlight the best potential candidates. According to Leung, excellent academic results are important, however, personality type and working attitudes of fresh graduates are also key focus areas in the CSC staff selection process. She advised, “The right candidates should have developed a critical and independent mindset to help cope with different challenges each day.” Leung pointed out that CSC offers scholarships, and training programmes for IVE students to help them achieve their greatest potential through their studies. Moreover, the company’s regular participation in career fairs at different universities and vocational colleges also provides additional opportunities to communicate with soon-to-be graduates. On what makes IVE graduates stand out from the crowd, Leung added, “The reason we employ a large number of IVE graduates is because they tend to be more hardworking and willing to learn more than other university graduates. Moreover, they’ve all gained some practical training and field studies during their programmes at IVE—which helps them get familiar with their new working environment relatively quickly. In addition, we are extremely satisfied with the ability and overall performance of IVE graduates we’ve employed to date.”

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Société Générale Responsible HR HR Magazine met with Mukta Arya, Head of People and Talent Development (pictured above), and Frank Drouet (right), Deputy Head of Global Markets, Société Générale—Asia Pacific (SG) ahead of their Siem Reap Charity Bike Ride that took place on 8 & 9 October 2011. We found out what CSR means to organisations today and how it’s helping HR. What does CSR mean to you? Arya: Doing things in the company will have a positive impact on society and it makes us more responsible–a more responsible employer. What role does CSR play in Société Générale? Arya: We have a long history of CSR. In different countries we have associations, employee committees, etc. catering for CSR. In 2009, a CSR department was officially formed at group level and our mission statement is ‘social inclusion via education’. We prepare activities to support education—education of women and underprivileged children. How are staff involved in the SG bike ride? Arya: Around 80 people participated in this event and each individual has pledged to raise EUR 600. The participants spent two days cycling in Cambodia’s hot and sultry weather. Seven different offices in the Pacific region sent representatives to participate including Hong Kong, China, Japan, Korea, Taiwan, India and Singapore. The representatives are raising money for CARE Cambodia and can also choose to donate money to local charities from their own countries such as the earthquake relief needed in Japan. SG gives the participants the freedom

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to apportion their money. The common passion shared is the same—it’s an opportunity for employees to bond and is important to SG as a means of employee engagement. Many spouses came along too! Family members are more than welcome as this further encourages participation and helps raise more money for the charities. Furthermore, two days of CSR leave is given to staff. The bike ride takes place on a weekend so with two extra days of paid leave; employees can take the Monday and Tuesday off to relax. Drouet: The participants receive financial support from SG regarding accommodation and required equipment, but they have to pay for their own flights. Sponsorships are also available for junior members of staff—to encourage all employees from every level to take part. How will the event help the community? Arya: The money donated will go to three different programmes that are under the umbrella of the CARE foundation in Cambodia: the Highland Communities Programme, We Bloom and Young Women in Business. The focus is on the education of those who are from underprivileged backgrounds. Frank: We value the promotion of education as the development of a country is reflected in the education of

its children. Education is at the core of SG. With education playing a significant role in our professional life, it was easy to choose education as the foundation for our CSR initiatives. Development starts with education. What do participants get out of the event? Frank: Apart from stronger calf muscles, employees benefit greatly. Staff from many different countries and business lines do not often get the opportunity to meet in their normal business lives—here they can come and share something together. It is also a cultural event— employees get to experience something truly wonderful as they cycle in places such as Beijing and Siem Reap. We share videos of the experiences at staff events such as the Christmas party so that those who have participated can really feel good about what they’ve done. The event also helps break down communication barriers between employees and creates a working environment in which people can easily turn to one another without fear. Arya: The participants cycle together in groups of seven or eight and they help each other face challenges. If one is lagging behind, they encourage each other. These outcomes tie in with our mission 2015 which aims to make SG an even more relationship-focused bank

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chosen for the quality and commitment of its team. What the participants get out of our CSR initiatives helps us to achieve this particular goal. How important is HR to the success of CSR? Arya: CSR is employee related, for example when we are at campuses recruiting graduates, the younger generation has shown to be very interested in how we approach CSR. It is HR’s responsibility to inform our future employees. We publicise the CSR events during the graduate training induction week because for new employees it is a positive way to integrate better into the company–it is a platform for meeting new people. When SG holds a CSR event, it is those from the younger generation who sign up first to take part. We believe that the link between CSR and HR is so strong that, in 2006, we launched a global game for university students called Citizen Act

in which they needed to work together to create a bank based on CSR. Frank: Without HR planting the seed and pushing the CSR initiative, it will never grow. How does CSR help HR? Arya: By welcoming employees’ family members, we feel the bond between

the employee and SG is strengthened. Through CSR we are encouraging our employees to be responsible, so we are portraying SG as a responsible bank. This image builds trust and this leaves an impression on our customers. The effect is often difficult to see in the short-term, but in the long-term it will be rewarding.

Winter 2011

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Social media speaks volumes about employers Global study finds employers embracing social media and identifies best practices via superior-change and communication programmes. Companies worldwide are becoming more knowledgeable about the use of social media tools to connect with and keep their workforces informed. Over two-thirds of companies plan to increase their use of social media tools over the next 12 months though many question their cost effectiveness, according to the 2011 Towers Watson Change and Communication ROI Study. The biannual study also found that companies with the best communication programmes enhance the communication skills of their leaders and managers, and continuously evaluate performance. “The way companies handle employee communication is fundamentally changing, largely due to increased expectations, diversity and globalisation, as well as the growth of social media and networking,” said Richard Yeo, Talent Management and Change Management Consulting Leader, South East Asia, Towers Watson. He added, “Change and communication professionals can no longer do things the way they’ve always been done. There is a greater need than ever to deliver information to employees in a manner that creates a sense of community and motivates change.” The Study found 64% of respondents are more knowledgeable about using social media tools than they were a year ago, and 69% plan to increase their use over the next 12 months. However, only 28% report that these tools to be cost

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effective within their organisation, and just 15% have measurement tools in place. The respondents that do find social media tools cost effective are investing in social networks (63%) and leadership journals or blogs (58%). “Companies are staring at a clear opportunity to use new media to increase engagement with employees,” said Yeo. “Social media and networking clearly open an opportunity for dialogue, rapidly integrate employees into the company culture and create a sense of community. Companies that are reluctant to try social media may end up limiting their ability to attract, retain and motivate certain key groups of employees.” The Study confirms that companies highly effective at both communication and change management are 2.5 times as likely to outperform their peers. The Study includes responses from 604 organisations from around the world. The research identified the best communication and change management practices at top-performing companies. • More than half of companies that are highly effective communicators measure the communication function’s contribution to meeting strategic business goals, and 62% use their measurement findings to plan future initiatives or make business decisions. Across all participants, only 37% are measuring progress against

their change goals. The higheffectiveness change management organisations are six times as likely as low-effectiveness companies to be taking this important step. Yeo added, “Frequent evaluation and measurement not only help ensure that an organisation’s communication initiatives are both accessible and effective, they also provide the clarity required to build employee confidence in the direction that the company is heading.” • More than a third of highly effective companies have managers who are effective at promoting the employee value proposition (EVP), compared to relatively few (4%) of the low-effectiveness companies. The EVP, or “employment deal,” lets employees know what the company expects from them and what they can expect from the company. The survey notes that even among highly effective firms, there is room for improvement in this area. Yeo concluded, “Clearly articulating the EVP to employees before they join and while they are employed is another hallmark of effective communication programmes. Companies with managers who do this effectively will find themselves in a much stronger position to attract, retain and integrate top-performing employees.”

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Breaking bad news to your director Most of us do not bother to tell our bosses about the minor glitches that are part of the average workday. But every now and then, something happens that the boss just has to know about, for example, a

DO…

Be honest Be upfront about the scope of the situation, especially when the best solution will be costly in terms of time or money. It is never a good idea to downplay the seriousness of a problem or withhold information in the hope that the boss will be less upset. Deliver the message yourself If possible, arrange a face-to-face meeting to explain what has happened. This will allow for a faster, easier

major mistake or a missed deadline. Even if you and your manager are on good terms, there are some conversations you simply don’t want to have. While you may be tempted to conceal the problem until it

exchange of information and show that you take the situation seriously and you are willing to take the responsibility. Offer solutions Before you present bad news to your boss, think about potential ways to solve the problem. When you meet with the boss, discuss with him or her steps you have already taken and share your ideas for reaching a successful resolution to show your capability in crisis management.

blows over or gets resolved, it is better to be direct. Pallavi Anand, Director, Robert Half Hong Kong offers her guidance on some right and wrong ways to break bad news to your director.

DON’T…

Pass the buck Address the issue at hand without passing blame or pointing the finger at others. If the situation is due to an oversight or error on your part, admit your role immediately and accept responsibility. Drag your feet As upsetting or difficult as the news may be, it will be better in the end if you tell your manager right away. The last thing you want is for him or her to hear it through the grapevine or be the last to know.

Winter 2011

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Why HR should wear a sales hat

Five common afflictions of sales teams and what HR can do to mitigate them and help drive the bottom line. HR and sales don’t always go hand in hand, but John Treace founder of Treace Consulting, shows that much can be done in terms of staff management to help better engage them and enhance the bottom line while doing so. Through his experience he has noticed five common afflictions that affect sales teams—each reducing morale and sales performance. They can be found to some degree in almost every organisation. Smart HR managers are aware of these afflictions and work to avoid their potentially destructive impact. Any one occurrence of these problems will not necessary harm sales efforts, but if allowed to progress to extremes, or if multiple conditions exist at once, they can prove extremely harmful.

Affliction 1: wasting sales representatives’ time One of the prime afflictions of sales teams is forcing them to spend time on nonsales tasks, for example making account receivable collections, managing product recalls or filling out reports that do not directly relate to the sales process. ‘Nonsales’ management often requests that reps perform these tasks, but great care should be taken before delegating them to valuable salespeople. If you, for instance, divert 5% of a sales team’s time to managing customer collections, you effectively reduce the number of feet on the ground by the same

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amount—and the reverse is true as well. Sometimes it’s necessary to assign non-sales tasks to salespeople, but before this is done it’s worthwhile to audit your sales processes to determine whether they might be better assigned elsewhere. Finding as many ways as possible to remove unnecessary tasks from the sales team’s shoulders will result in sales increases that will more than pay for the adjustments in duties.

Affliction 2: poor sales meetings Another affliction of sales teams is poor or boring sales meetings. The objective of any sales meeting should be to increase sales— period. Every high-performing salesperson who attends a meeting will be thinking, “Is this meeting making me money, or is my time being wasted?” Powerful salespeople are self-motivated, and they intuitively know if their time is being wasted. If it is, management is hurting sales and morale. Wasteful or unnecessary meetings also send a clear message that management doesn’t know what needs to be accomplished to increase sales—and no good salesperson will have confidence in that type of leadership. The simple way to ensure effective sales meetings is to develop a statement of strategic intent that includes clear success metrics. This statement will define in specific terms what needs to be accomplished and the metrics needed to determine whether the goals set

in the meeting were accomplished. It takes a deep understanding of the business, the market, and the competition to write an effective statement of strategic intent, and managers who can’t write them need a better understanding of the business. The bottom line is that powerful sales meetings produce sales and keep morale high.

Affliction 3: poor strategy Ineffective marketing or sales strategies will always negatively impact the sales team, and this is especially true for teams selling commodity products or services. A player with small market share who enters a commodity market without a welldefined and well-implemented strategy can be assured of certain death. These types of companies usually say, “It’s a huge market, and we can grab some of it,” but it’s not that simple. The sales team will recognise ineffective strategy and will lose faith in the managers who developed it. If the players on a sports team lose faith in the coaching, the path to winning will be difficult, if not impossible; the same is true with sales teams. Don’t let lackluster or nonexistent strategy cause this lack of faith. To compound the error, companies often try special promotions to save sagging sales on products that are ill-conceived or supported by poor strategy. Special promotions can be very effective, but managers should never call for a pointless

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charge of the light brigade. Sending the sales team on a promotion in support of a poor product or service is a severe tactical error. A successful sales effort hinges on good strategy, and companies that fail in this regard severely handicap their sales teams.

Affliction 4: capping or reducing income Powerful companies have managers who do not get envious when large pay cheques go to the sales force. Managers who are resentful of this often respond to rising sales income by reducing commissions, capping earnings, reducing territories, or removing products. These are all practices to be avoided, as they destroy morale, which hurts sales. When it is absolutely necessary to cap or reduce reps’ earnings, it must be done carefully. If it’s done carelessly, management

will send the message that future earnings for the sales team have been limited. Powerful salespeople want to leverage today’s efforts into greater sales and income for tomorrow. If their commissions are reduced, earnings capped, or territory removed, they will feel like that ability has been taken away, and the high performers will quickly look for employment elsewhere.

Affliction 5: favouritism We all have favourites in life and that’s normal, but playing favourites with individuals on a sales team is very destructive. Salespeople want to work for companies that keep the playing field level for all. If select salespeople are given extra incentives, special attention, benefits, or favours not afforded others, management is sending a clear message that there is a

privileged class within the team. This is one of the best ways to lessen team spirit, as reps will spend their time trying to move into that special class and not trying to close sales. Managers can’t buy the loyalty of a team by strengthening a small political power base within a company. Playing favourites within a sales team causes problems for all team members (even the favoured ones), but keeping the playing field level will pay big dividends. Wasting time, poor sales meetings, poor strategy, capping income, and playing favourites are, with few exceptions, situations to be avoided. They are destructive to morale and they lead to poor performance. Effective managers will be careful to avoid these situations, and astute salespeople will bring these practices to the attention of management for correction.

HR and Government failing to capture creative talent Employers and the Government advised to pull their socks up if they want to retain creative talent in the region. Hong Kong is failing to fostering the correct climate to nurture and retain talent for the design industry. Hong Kong is amass with Business graduates well versed in the value of the marketing mix, but given its serviceled economy and market place hungry for designer labels, gadgets and gizmos; the key to differentiation lies in keeping talent who can help build strong brand identity. HR Magazine interviewed world-renowned jewellery designer Kai Yin Lo, who sits on the Board of Directors for the Hong Kong Design Centre at the kick off for the Business of Design Week (BODW) annual event, which Hong Kong is hosting this year. Despite the existence of an estimated 400 design-based education programmes across China and Hong Kong, Kai feels that the current approach adopted by educational establishments is not appropriate for students of these disciplines. The strong emphasis placed on traditional education leaves little

room for self-expression and non-lateral thinking. she explained, “Traditional design education is theoretical, learning design should be about exposure not theory. Creativity and individuality are to be applauded in industry as well as in education, I have no formal design training but I have been innovative. Industries should demand more. You have to provide the conditions to train and groom potential design employees.” In a climate already ripe with confusion generated by the average Gen-Y employee, creative talents tend to lie at the extreme end of the confusion spectrum. Kai explained, “Creative people do not just go where the money is—they need to have the desire to stay, in the right environment for them.” This year’s partner country for the BODW is Germany, renowned for its engineering brilliance and iconic design ability. Unlike most of its European counterparts the

German economy remains healthy, not least because it has retained a strong industrial base. According to Werner Hans Lauk, German Consul General for Hong Kong and Macau, almost 3% of GDP is spent on investment and research and development—a figure far above the European average. Referring to the excellent relations which exist between Hong Kong and Germany Lauk commended, “In terms of German products many are re-branded by Hong Kong people where language, culture and marketplace for German goods are understood—the countries come together operationally and create successful business models.” Despite this, creative industries account for only 4% of GDP compared to 7% and 8% in the UK and US respectively. Hong Kong must gather momentum and the Government needs to recognise the importance of design both culturally and economically.

Winter 2011

HR Technology technology

For the road warrior, is the end of the road up ahead? Utilising collaborative technologies to achieve better work and a better life By Paul Crighton, VP Sales, Asia-Pacific, Premiere Global

You see them in airline lounges and hotel lobbies around the world. Impeccably dressed, with a sense of purpose and an abundance of gadgets to stay in touch; these traits epitomise the road warriors who travel across the country and abroad to seal the deal and bring home the company bacon. In recent times, the state of the economy has been a driver in the adoption of collaboration technologies that could be a precursor to the death of the road warrior. Recent statistics certainly suggest so, with many organisations looking at online collaboration as the means of offering more options to retain valued staff or increase profit and productivity. The film Up in the Air, featuring George Clooney as the highflying corporate executive in the face of a relevancy-crisis, and the young upstart determined to replace the road warriors by putting everyone on video conferencing, certainly offered an introspective look into the issue.

The death of the road warrior

Is the death of the road warrior a good thing for global business? Many would argue the opposite: certainly there's nothing better than a good face-to-face meeting to gauge the reaction of your customer prospect, or employee, to take a litmus test of how your regional office is performing and identifying

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opportunities for growth. Face-to-face meetings will always have a place and a need in business, regardless of country or culture. But the power that collaborative technology yields in being able to enhance those relationships with clients and colleagues is too great to ignore. In recent years, cost and health impacts have played their role in driving a shift away from physical travel, putting online collaboration tools and the adoption of remote working opportunities on a steady rise. In Frost & Sullivan's unified communications user behaviour study, 50% of respondents planned to deploy teleconferencing or videoconferencing solutions in the timeframe. In the same study, 68% of the CIOs and IT managers surveyed found that cost savings were a driver to adopt conferencing solutions and 61% saw better employee collaboration and engagement as a driver to adopt. Meanwhile, a recent Sensis e-Business report revealed that almost one in four SMEs (24%) in Australia had someone who teleworks within their organisation. These businesses were also significantly more likely to feel confident about their business prospects than those that did not telework (net 42% compared to net 25%).

Having meaningful meetings These findings highlight the value that businesses are seeing from

collaboration tools, such as web and audio conferencing. The global financial crisis certainly made its effect felt too. Some of the largest organisations in the world, such as SAP, Symantec and IBM, had total travel bans in place that prevented staff from meeting face-to-face with colleagues or customers in another city. The economic contraction also prompted companies to answer the question of how they could provide customers with a better meeting environment that helps them to collaborate effectively during such challenging times. A task made even more challenging with the lack of physical, faceto-face interactions. The conclusion that Premiere Global came to was that collaborative technologies could not only reduce the overall cost and frequency of physical local and international meetings, they also helped professionals to have more meaningful and productive interactions. Collaborative technologies with video, web and audio conferencing provide feature-rich capabilities to record and playback sessions and transfer documents in real-time meant that businesses could engage more regularly with their partners, clients and prospects on an informal basis through virtual face-to-face meetings whenever they needed. They have also enabled businesses to build better relationships with overseas or regional contacts, instead of saving catch ups for once or twice a year due to the time and

HR HR Technology technology

cost associated with physical travel. By way of example, since 2005 collaborative technologies have helped Domino's Pizza collaborate with more than 400 stores across Australia. The company uses these technologies to announce results and connect with the store managers on the ground, to ensure that the business is aligned and working towards the same goal. Managers have regular opportunities to share insights with the CEO Don Meij. These virtual meetings are attended by franchise and store owners, as well as the managers in each state. Instead of doing multiple presentations in each state, the solutions have allowed simultaneous connection and communication with all staff members. As a result, the team benefited through a sense of connectedness and involvement in the business decision making process.

Evolution of collaborative technologies

While some of the conferencing technologies of yesteryear may not have met business needs, new web and audio conferencing facilities available today can really help give the impression of being in a meeting without physically being there. Solutions that integrate audio, web and notification technologies are now capable of managing pre-event communications, registrations, post-event reporting and the running of an online eventâ&#x20AC;&#x201D;putting the focus back on core business activity

and away from logistics. During an event, you can also receive instant, live feedback from participants who are attending, as well as conduct polls that let you see everyone's reactions to different parts of the briefing or presentation. This creates many new possibilities: from the ability for your human resources director to engage with employees across the region all at once; an executive board meeting to vote on funding for a new venture; or brainstorming different ideas in response to an advertising brief. Mobile solutions today also allow you to host and manage conference meetings on the go, directly from your iPhone or Blackberry. These tools give you the ability to launch a meeting with a single touch, instead of spending time searching for phone numbers and logins. Easy and accessible features such as recording, volume control and muting individual or all participants are just some of the things you can do directly from your handset. And with the launch of Apple's latest iPhone, we can be certain that video conferencing on your mobile is just around the corner. Collaborative technologies have matured to the point where businesses can utilise conferencing solutions as a reliable, secure and cost effective way to conduct business or even host events, whether it be across the suburb, or across the continent. When the recent volcanic ash eruptions occurred in

Iceland, collaborative technologies were well and truly put to the challenge of helping businesses stay connected and operable. While the eruption had stalled air travellers, tools such as web conferencing helped businesses and governments ride out the crisis and maintain their momentum with minimal disruptions to their productivity.

The road ahead

The perceived need to be able to communicate whenever and wherever is only getting stronger. Widespread adoption of smartphones and devices such as the Apple iPad is also helping to drive the possibility and expectation that communication is not bound to a desk or a computer screen. We will be seeing more and more collaborative tools make the leap to these platforms, making virtual face-to-face meetings with many people simultaneously on your phone or iPad possible. The evolution of collaborative technologies is continuing at a great pace. We can expect people to have richer and more meaningful virtual meetings now and in the future. With less time spent travelling and more time at home and in the office, the road warriors of today will experience a renaissance of greater work-life balance and higher productivity than ever before.

Winter 2011

HR community

Gen-Y

management strategies 20 October 2011 8:30am to 4:30pm Venue: Cliftons Central Facility, Level 33, 9 Queen’s Road, Central

‘Gen-Y is an attitude not an age-bracket’ was one of the key take-homes from our latest HR Conference held in Central, Hong Kong at the end of October. Over 200 HR professionals gathered to share ideas on what exactly ‘Gen-Y’ means, what makes them tick and, most importantly, how to attract, retain and engage them at in the workplace. We share practical advice from the nine keynotes of the day.

Mukta Arya Head—People and Talent Development, Societe Generale Corporate & Investment Banking (Asia-Pacific) Topic: Retaining Gen-Y. Gen-Y account for more than 40% of SG’s workforce in the Asia Pacific region. Arya described them as often being a bundle of contradictions; tech savvy yet creative, team players with a ‘me element’ and advocates of the easy life whilst hardworking when put to the test. Bearing those dichotomies in mind, she felt it necessary to look at what makes them tick. Of much greater concern than salary was career tracking, which is offered as far as

possible through identification of potential avenues and the provision of a company talent pool. Opportunity for mobility is expected by Gen-Y across both function and location and is actively encouraged by the company. Yet in keeping with their contradictory nature, Gen-Y feel entitled to reject opportunities should they perceive they will unduly affect their quality of life. They also desire recognition and SG offers a number of workplace award systems. Arya asserted, “The biggest hurdle to attraction and retention of Gen-Y is ensuring their attention.” SG consequently boost their presence in social media sites and the current YouTube advertisements are a conscious engagement strategy. The company has found Gen-Y to respond

HR Directors meet and share ideas at one of the four networking sessions during the whole-day event.

HR Magazine

better to e-learning than traditional training programmes and ultimately will provide training through a mobile platform. Gen-Y desire a matching of values without compromise and SG are working towards Ambition 2015 a common culture initiative that sees manager as ‘coach’. Company branding is therefore as important within the organisation as outside, and it is little surprise that 70% of participants in CSR activities are Gen-Y. Arya’s final point was that personable co-workers were high in the priorities of Gen-Y staff, many of whom have left employment simply because of a disassociation with their immediate manager. She concluded that Gen-Y, with all their idiosyncrasies, are to be embraced within the workforce of today.

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Mukta Arya Head—People and Talent Development, Société Générale Corporate & Investment Banking (Asia-Pacific)

Bruce Stinson Chairman, the alphaeight Institute Topic: The Gen-Y brain. Scientific insight into how the brain map of Gen-Y is different to that of other generations and what this means for HR. A qualified pharmacist with extensive leadership experience, Stinson explained some fundamental physical differences in the Gen-Y brain. Throughout a human being’s early development the brain creates thousands of new connections, then at approximately fifteen years old it prunes any such connections found to be excessive. The last part of the brain to develop is the pre-frontal cortex; its delayed development may be one of the reasons teenagers often take irresponsible risks. From here on in the brain develops as it is used. Societal factors in the digital age mean that Gen-Y have a smaller area devoted to reflection prior to making decisions. The rapid acceleration of technological advancement at a critical period of Gen-Y development has equipped them with a natural ability to shift attention at a phenomenally rapid rate. Gen-Y cannot be changed to Gen-X and Baby Boomer norms. It is necessary for other generations to consider them as they do themselves: technology savvy not obsessive, open rather than lacking in moral code, capable of making informed decisions as distinct from overly questioning and knowing their own worth

Bruce Stinson Chairman, the alphaeight Institute

verses feeling entitled. Equipped with insight into their cerebral environment we can tailor training to company objectives. Stinson makes the point that in the same way that out-dated technology would not be appropriate in today’s environment, neither would old style training programs be suitable for Gen-Y employees. He asserts that neuroscience also provides the key to motivating Gen-Y. Recognition of effort in the form of praise will produce dopamine, the chemical responsible for pleasurable emotions associated with reward. Dopamine is highly addictive—such that Gen-Y, once hit, will actively seek out other ways to receive their fix. Higher levels of dopamine are associated with increased clarity and improved performance overall. HR must learn to adapt its policies according to Gen-Y chemistry.

Emma Reynolds CEO, e3 Reloaded Topic: Employer branding, thinking of staff as customers to be serviced. Co-founder of ‘Ask Gen-Y’ research consultancy, Reynolds is a leading speaker on today’s social and business revolution. With attrition rates as one of the biggest problems facing organisations in Asia today Emma enlightened the audience on her findings. She encouraged HR to consider the way they interact globally and, not only in terms of huge

Emma Reynolds CEO, e3 Reloaded

technological advances over the last decade or so, but also as the pace of change has escalated citing, for example, the unprecedented Groupon revolution. Furthermore, she asserted that in relation to social media sites such as Foursquare and Facebook, “Self-expression, once private has become ubiquitous...and power now literally rests in the palm of our hands.” Pointing to the ‘Arab Spring’ of early 2011, she successfully presented her case. All this took place in the formative years of Gen-Y, such that Gen-Y can be considered ‘native’ and older generations ‘immigrants’ to this new age. She thereby defined the ‘4C DNA’ of Gen-Y: collaboration, co-creation, connection and control. Emma concluded that it is of little wonder there is such huge disengagement and offered five key considerations for HR: 1. Employees and candidates are thinking like customers: Gen-Y believes they are special with a vast number of choices available. 2. User-centric design needs to be brought from marketplace into the workplace: Most organisations to which Gen-Y have been exposed are fantastic at customer engagement. 3. Visibility no longer equals productivity: Gen-Y are not required to be at their desks as in an outdated production line workplace. This formula no longer stands in a knowledge-based economy.

Winter 2011

HR community HR Conference

Gary Luk Director of Human Resources Services, SAP ERP Human Capital Management

Albert Wong General Manager Personnel, Cathay Pacific Airways

4. Transfer of control: Reynolds cited an IBM case study where 140,000 people produced 37,000 innovation ideas, adding GBP 500 million to the bottom line. 5. Gen-Y is an attitude not an age group: HR must re-design the workplace to enable collaboration, co-creation, connection and control.

Gary Luk Director of Human Resources Services, SAP ERP Human Capital Management Topic: Technological approach to Gen-Y management Luk began with four home truths: • Baby boomers will retire and leave a resulting gap in the labour market • Diversity is demanded and celebrated by Gen-Y in terms of hours and variety • Competition is ripe for Gen-Y • Retention is difficult because Gen-Y are used to choice and variety so employers can be faced with high turnover. Luk asserted that we need to consider employees as talent. SAP proposes an integrated Talent Management system. Within a single platform lie the tools to understand the talent pool, identify skills gaps, provide training and development as well as performance, compensation and succession strategies to deliver

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corporate objectives. Talent can be classified in terms of individual employee profile comprising educational background and skill set. Training needs analysis can be performed and appropriate e-learning can take place. In terms of retention Gen-Y care considerably about worklife balance. As joint stakeholders in Human Capital Management, HR and frontline managers can work together through a single hub to identify, measure and provide appropriate compensation strategies whilst maximising productivity. Luk cited a government organisation delivering a round-the-clock service. They can analyse talent per working shift, see what training needs are required and when is best to carry this out. Out-dated HR systems hold a lot of disparate data. SAP’s Talent Management system will eliminate redundant processes, and allows data to be uploaded and successfully integrated. Not only does SAP provide a core HR solution but a built-in appraisal system, which is transparent and bidirectional to employee and management. Employees may prefer to communicate from a single secure channel with their peers or their supervisor. SAP’s solution is global and incorporates best practices from large multinationals to SMEs, ensuring proof of concept and significant return on investment.

Capt. Vikas Grewal Marine Manager—Business Division, Fleet Management Limited

Albert Wong, General Manager Personnel, Cathay Pacific Airways Topic: Gen-Y management advice from Cathay Pacific Gen-Y dominate Cathay Pacific’s front-line positions so Wong was perfectly placed to offer his expertise in terms of their behavior and its implications for organisations today. Wong expressed that understanding Gen-Y’s upbringing is essential. Gen-Y spring from an era in which both parents usually went to work and the parameters held tightly in place by earlier generations—restrictions on whereabouts and curfews simply did not exist. 30 years ago if we were to ask our mother for something, she would have replied with, “Go away or I’ll beat you up,” quipped Wong adding, “But now what Gen-Y want—they get.” Hierarchical ideologies that breed control-loving organisations do not sit well with those who have grown-up to become fiercely independent. Earning their respect is a difficult task because they are technology savvy and leave employers out in the cold in terms of communications. Wong continued, “Gen-Y hate high power distance as they do not want a manager but a mentor.” Ten years ago Cathay Pacific shifted their training focus to one of ‘learning.’ Those companies who do not grasp this fundamental difference encourage the trend of Gen-Y ‘company hopping’ in search of a lifestyle to which they feel entitled.

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Capt. Vikas Grewal Marine Manager —Business Division, Fleet Management Limited Topic: Gen-Y management strategies in Fleet Management Limited Almost half of the 8,000 seafarers within Fleet Management Limited (FM) are Gen-Y. It fell upon FM to develop transparent advertising, cutting-edge training and trust-based performance systems in order to deal with such a large percentage of alternative-minded employees. FM advertises clear career paths, openly displaying the salary awarded to each given rank. Capt. Grewal explained that FM allows an initial one year window for new recruits to reconsider their chosen career in shipping. Approximately 10% decide to leave after the first year but ‘mid-way casualties’ are thereby minimised. Training is needs-based and is available on demand through simulators in order that staff can, ‘feel the sea before they take the jump’. Training On Land And Sea (TOLAS) is now considered an industry best practice, that allows recruits to log onto the company’s training manuals which systematically cover all aspects of shipboard operations. Recruits can self-assess what they already know and decide upon what they need the most. The Planning and Reporting Infrastructure (PARIS) is a virtual office suite, allowing employees to gain complete insight into the ship’s controls. Grewel explained how FM’s SafeR+ behavioural change programme gives employees the chance to observe and assess one another. Rather than being pushed by management, employees are driven to think about what can be changed to make the ship a safer working environment. They are issued with safety cards with points rewarded or deducted, and money acting as incentive. Capt. Grewal concluded that as important as these strategies are, the social aspects of employees’ lives are not to be overlooked. FM holds four seminars each year with its employees and their families to address any personal issues.

Kam To Head of Human Resources, and Miss Sun Management Trainee Manulife (International) Limited Topic: Integrating Gen-Y in the workplace Miss Sun began by sharing a number of Gen-Y attributes and why they existed. Sun explained Gen-Y’s schooling had led them to believe that workplace rewards should be based on performance rather than age or seniority. Moreover, feedback is very important to them as a benchmarking tool. They are more receptive to change than their predecessors and tend to be more opportunistic. This generation have been encouraged to offer a point of view, which in the workplace, can make them appear headstrong. She argued that as a result they find rules to be stifling and prefer to find their own way to reach an objective— craving job satisfaction. Transparency and honesty were high in Miss Sun’s priorities and she found Gen-X place more emphasis on political correctness and formality. Kam explained that Gen-Y represents 25% of Manulife’s workforce and as such are still a minority. He feels therefore no need to change policies. The Gen-Y phenomenon is not yet a generalisation and he believes the real agenda is of HR dealing effectively with diversity. Treating Gen-Y as a sub-group he offered three tips to retention: 1. Address the following areas clearly as this is what Gen-Y will ask themselves: ▪▪ “Why am I here?”—Career and organisational choice ▪▪ “Why I am still here?” Compensation and benefits ▪▪ “What’s the reason I’m doing this?”— The work task ▪▪ “In what way are my efforts being rewarded?”—Recognition 2. Embrace, trust and involve Gen-Y rather than `manage’ them. Manulife now offer a CEO Award for Innovation. 3. Make Gen-Y responsible for their future. Management Trainees this year designed their own training under a programme entitled: Raise the Bar. Similarly in terms of career architecture the ‘My Career, My Choice’ focus group was launched within Manulife.

Kam To Head of Human Resources, Manulife (International) Limited

Miss Sun Management Trainee, Manulife (International) Limited

Kam ended the session with a pertinent tribute to Steve Jobs—as a genuine embodiment of the Gen-Y spirit.

Francis Wong, Cluster General Manager, Human Resources New Territories East Cluster (NTEC) of Hospital Authority, Hong Kong

Topic: Walk the talk? Gen-Y what do you want? The Hospital Authority employs 58,000 people, making it the second largest employer in Hong Kong. Wong has the HR of seven hospitals in his remit and asserts that there is no case for a Gen-Y. His opening

Winter 2011

HR community HR Conference

slide was a scene from Woodstock in 1969; a generation labelled hippies and layabouts, now termed post-war ‘Baby Boomers’ who are considered, ironically, to hold strong moral and work ethics. The hedonistic ‘yuppies’ and ‘dinkies’ of the 1980s duly followed. He concluded that every generation is subject to environmental factors that determine behaviour at any one time. Wong added, “The younger generation are more engaged with technology and in particular social media. They work with instantly accessible, up-to-date information.” He noted that a fourpage printed circular continues to be distributed by head office but his staff ignore it—assuming its redundancy by the time it arrives. Wong termed this the ‘Apple Daily mentality’. By way of solution he seeks to address the environment to which he caters. Each department is responsible for building their own webpage through the hospital intranet ‘i-hospital’ and can submit ideas through an ‘innovation powerhouse.’ Current topics are available to view at ‘i-novel’, and ‘i-tube’ provides information on video concerning hospital procedures. Wong sung the praises of ‘YouSay’ an in-house online platform through which employees wetre able to question management whilst remaining anonymous. Following a policy change in 2010 management was made aware of significant issues within two days. He noted that since October there had already been over 1,000 questions addressed through the platform—which also allows analysis of current work trends. In this way HR are able to address prominent issues with speed and visibility and resultant equality. Whilst senior management was initially resentful they ultimately realised these enormous benefits. Wong summarised that HR must participate, listen, respect, respond and be sincere to all employees irrespective of generation.

HR Magazine

Francis Wong Cluster General Manager, Human Resources New Territories East Cluster (NTEC) of Hospital Authority, Hong Kong

Bianca Wong, MD, HR Services—NPAC FedEx Express Topic: Gen-Y management advice from FedEx Express. Since FedEx’s inception twenty years ago they have held a philosophy of: people, service, profit. The belief is that engaged employees deliver an excellent customer experience that improves loyalty. Through brand alignment the value proposition is communicated from the employee to the customer and back to the employee again. It is a conviction that has helped them through two significant mergers in Asia, one of which necessitated immediate incorporation of 3,000 new employees. Wong pointed out a very strong parallel between HR and marketing principles. She suggested that HR Departments should segment their employee base as marketing departments do their customers; actively developing Gen-Yspecific attraction and retention plans. It becomes paramount that communication is transparent and consistent. This is a challenging position for traditional management for whom confidentiality

Bianca Wong MD, HR Services—NPAC, FedEx Express

has historically been essential. Furthermore information needs to be disseminated with immediate effect so as not to become secondary to what is already out there. Wong asserted that many consumers are looking beyond service and pricing to include company values when making their decisions. In the same way Gen-Y employees need to have a job they feel is meaningful; to live the brand. Management and employers must become brand ambassadors. FedEx is extremely active with CSR and even goes as far as publishing its green policies in the Global Citizen Report. Over 90% of employees in the APAC region say they can deliver the purple promise. ‘I will make every FedEx experience outstanding’. When asked how FedEx weathered the financial storm of 2008 Wong commented, “We knew we had to show commitment so we made sure we gave out a consistent message that our focus was still our people.” Wong pointed out that committed employees actually began to offer some incredibly innovative ideas. Subsequently, employee satisfaction was higher than before the crisis.

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Hong Kong -Mainland

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synergy and opportunities

Charles Li, Chief Executive, Hong Kong Exchanges and Clearing Limited

“After the markets open, I’m not looking forward to going back to my office later today.” This was the opening remark from Charles Li, Chief Executive, Hong Kong Exchanges and Clearing Limited, referring to the recent turmoil in global financial markets. Li questioned how much longer China could sustain the 8-9% growth figures it has managed in recent years. He explained, “All the easy decisions in China have already been made and now we’re left with only the difficult choices—perception, over all, runs everything in China.” Li advised business leaders to stop thinking of China’s benevolence to Hong Kong—as no gifts are free. He then sought inspiration from J F Kennedy’s famous inaugural address and added, “Let’s ask not what China can do for Hong Kong—ask what Hong Kong can do for China.”

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Hong Kong’s success

Li pointed to three key factors that had been instrumental in helping Hong Kong ensure China’s current success: trade, foreign direct investment in the ‘80s and ‘90s, and capital formation—raising capital for China. These factors, he argued, had played a key role in facilitating China to build up banking, telecommunication and insurance companies that were among, if not the, biggest in the world. He noted that Hong Kong was ranked tenth globally by trade volume, but boasted the largest ratio in the world of GDP to market capitalisation. He said Hong Kong, rather than sitting still and benefiting for a ‘trickle’ of revenue from mainland China, should instead look for ways of structuring itself into a growth engine to generate much greater returns. In relation to HR, he said,

“HR Directors need to keep their eyes and ears open as to what is going on in the market. Opportunities are fast passing in Hong Kong and easily missed. You need to ensure your people are properly equipped and trained for the future.” Li’ s speech set the tone for the HKMA’s Annual Conference on 22 November, which brought together a panel of exceptional speakers and business leaders to explore the synergy and opportunities the unique Hong KongMainland relationship has created.

China leapfrogs Japan

Mainland China has leapfrogged Japan to become the world's second-largest economy, a title that Japan previously held for over 40 years. Mainland China's rapid growth has presented Hong Kong with new

HR community

Jonathan Slone, Chairman and CEO, CLSA

opportunities as well as challenges. The Twelfth Five-Year Plan contains a chapter dedicated to Hong Kong which highlights the significant functions of Hong Kong in the country's overall development strategy.

Integrity management

Tse Man Shing, Director of Corruption Prevention, Independent Commission Against Corruption, later spoke on an Integrity Based Management System which sets ethical standards. Tse said, “We need to educate the next generation, we need to educate people to do the right thing.” This integrity management has now filtered down into various universities as the ICAC is running courses which reward undergraduates with one or two points. It aims to develop their minds before entering society. Tse added, “Each company should lay down their ethical standards and commit to corporate governance—all those involved should aim for zero corruption.”

SOE assistance platform

Captain Wei Jiafu, Chairman, COSCO Group provided an impassioned lunchtime speech highlighting the advantages of Hong Kong as a platform to assist SOEs entering the global market. He went on to emphasise the Central Government's strong support for maintaining the longterm prosperity and stability of Hong Kong and the key role that the SAR will play as SOEs in mainland Chain continue to become more sophisticated.

Livability of HK

During the day, HR Magazine stole a few moments to interview Jonathan Slone, Chairman and CEO of CLSA. He echoed sentiments about the incredibly strong people infrastructure that existed in Hong Kong and explained, “When hiring from Hong Kong, you are hiring the best globally. You really get a range of talent that’s quite unique.”

“

HR Directors need to keep their eyes and ears open as to what is going on in the market…You need to ensure your people are properly equipped and trained for the future.

”

On the topic of the ‘liveability’ aspect of Hong Kong, Slone asserted that it possesses great ‘liveability criteria’ and yet still poses great ‘liveability challenges’. On the one hand boasting a great education

system, clean and transparent government, rule of law, high per capita income and a wide variety of things for people to do. But, on the other hand there are the issues of the environment and the affordability of housing. Slone maintained that in particular in times of economic downturn issues such as air pollution take on a heavier significance to the workforce and could ultimately result in the dispersing of Hong Kong’s premium-rate talent pool. Given the emerging economy of China, its affordable housing programme and environmental policy, he cautioned that Hong Kong could miss out to its seemingly more attractive mainland neighbour. Whilst not afraid that Hong Kong will lose significant personnel and confident it can retain its attraction to high-caliber individuals, he does feel that the younger generation might opt out of the housing market which could potentially present significant long-term problems.

Greedy is good

Later in the day, Shih Wing Ching, Founder, Centaline Group, expressed that this is an ideal time for companies to re-position themselves in Hong Kong—get into China and spread further. He cautioned, however, that with out-ofdate HR strategies organisations would not be able to take full advantage of this integration. Shih said, “If leaders are too strong, subordinates can’t try new things…as a result an organisation will not grow.” He highlighted the need to co-evolve to develop and the importance of giving employees every opportunity to try new things. This self-autonomy is crucial to his minimal management strategy. Shih also advised business leaders to let staff share in business results— including profits—and to ensure that an employee’s development grows with the future of the company. Shih concluded, “Management is unethical…as bosses think they are leading the company by controlling, but employees need freewill to flourish…. Greedy is good—we need our staff to be greedy to have drive to do business. But of course you can’t just consider yourself when doing business.”

Winter 2011

HR community

Hebe Haven Yacht Club,

Benoy International 24 Hour Charity Dinghy Race 2011 Scenes from the Ninth Annual 24-hour Charity Dinghy Race, held in early October at Hebe Haven Yacht Club, Sai Kung. The event saw sailors and party goers of all ages raising money for children’s charities in Hong Kong including the Children’s Cancer Foundation, Enlighten—Action for Epilepsy, Ideal—the Intellectually Disabled Education & Advocacy League and TREATS.

HR Magazine

HR community

23 February 2012 Compensation & Benefit Strategies Leading HR Directors and HR practitioners tell you what you need to know about the latest compensation and benefit strategies to help get the best talent on board and keep them. Put all your questions to our experts.

C&B strategies:

HR professionals from across the region share advice from their organisations on: ● Innovative C&B strategies, total reward structures ● Comprehensive salary review & HR trends for 2012 and beyond ● Linking performance management to employee engagement ● Medical insurance & staff benefits ● Payroll, taxation & MPF strategies

Winter 2011

HR training

Just get it done! With so many tasks to get done and so little time to do them, we share a few pointers on what HR managers can do to avoid procrastination and actually get tasks finished.

“Never put off till tomorrow what you can do today." This quote originates from Thomas Jefferson who, himself, managed to write America’s Declaration of Independence and become the third President of the United States. But while Jefferson’s advice may be sound, it is often hard to follow in today’s multi-tasking, fast-paced world of HR. Many of us juggle numerous tasks simultaneously. Understandably, it is tempting to put things off until the last minute in an effort to keep up with new work that continually piles up in our in-trays. Procrastination, if it happens regularly, can itself bring on more unnecessary stress. In this issue, we share a few ways to help kick the procrastination habit.

Causes of procrastination

What is procrastination?

Tips to reduce procrastination

Procrastination is putting off the things that you should be doing now, and often filling the immediate time with lower priority—and often less challenging— tasks. It is something that happens to the best of us. How many times, with a huge pile in your in-tray, have you thought, “I’ll just file these papers/grab a coffee/shred these documents/check my e-mail/tidy up my desk/phone my friend…before I really get down and make a start on things?” The key is not so much completely avoiding, but at least having the ability to recognise, procrastination. It is important to look at the reasons behind procrastination, how this manifests itself—in ‘alternative’ tasks you take on—and how to keep these in check. Doing so can help create more opportunities and improve your career prospects at work, it can also increase your self-esteem and improve relationships with others outside the workplace. So immediately, after reading this article—you have to put down HR Magazine and get on and finish your next task!

HR Magazine

Procrastination may arise from simply waiting for the right mood or the right time to do something. It may also occur due to the way that you organise your work in terms of: ▪▪A lack of clear work objectives ▪▪Ambiguous tasks ▪▪Unclear standards for task outcomes ▪▪Underestimating the difficulty of tasks Not getting on with tasks in hand can also arise due to a lack of decision-making skills, a fear of failure or success, and constantly revising things in an attempt to achieve perfection.

tions 1. Minimise distrac d e-mails, phone in the real world, an

We all work rcel of office life. are all part and pa t calls and meetings ient excuses for no en nv o provide co sy However, they all als ea too comes task in hand. It be getting on with the n I’ll get straight the d an ail e-m s d thi to say, “I’ll just sen inevitable. onto it,” delaying the ing, you must ces of this happen an ch the To reduce you are using a minimum. When keep distractions to s you need to run the application your computer only you’re preparing a if , k. For example complete a given tas internet browsers tation then turn off PowerPoint presen finished. Also, try ons until you get it and e-mail applicati nversations, and from colleagues’ co and isolate yourself nts a little longer clie e . Yes, it will tak turn off your mobile your attention h you, but with all to get in contact wit get it done faster ly—you’re likely to g. focused on that rep when multi-taskin ly than you would and more effective

HR training

egg timer leasant off an unp 3. Use an ’ve all put .

2. Avoid multi-tasking

Yes, we know Gen-Y love to multi-task and on the surface it does seem much more time effective to be doing three or four things at the same time. But the truth is for most of us, our brains can only concentrate on one or two things simultaneously, if we attempt any more—things are just not going to get done properly. When you’re performing multiple tasks at once, it is also very easy to lose track of what you’re doing and end up with numerous tasks only partly completed. Try to focus on one task at a time until it is finished before moving on to the next. Also, don’t keep on refining the same project— looking for 100% perfection, because you’ll never get there. Obviously get it as good as you can, within a realistic timeframe, and once you get to 90% then leave it and move on to the next task. This way you will also have no excuse for leaving something unfinished that you would need to come back to later on.

em it, we n’t face th Let’s face just could e w sant a se u le p l and un task, beca ore menia m lf a e ke rs a u m o y To help table, set la a p re te o em to comple jobs a littl minutes— n te y to sa t — u wan time limit time, if yo After this ay find m u the task. Yo , you can. g in rk o ave given w stop now you h k u o y s a ng fter this that as lo ’ to stop a m ermission momentu r u o y yourself ‘p may find u o y. y a w n y e n ft ga time, o on workin u to keep carries yo

4. Treat yourself Go on...give yourself a treat. Allow yourself a bit of positive motivation to get things done. For larger projects that might take a half day, tell yourself that once you have completed a particular task, you can go for lunch with your colleagues. Alternatively, for smaller tasks you might establish one-hour time blocks throughout the day when you work on each of these tasks one-by-one, each followed by a quick tea break, or a potter over to the water cooler. The reward does not have to be particularly grand, just a little something to give yourself a boost.

5. Simplify

The most important part of gett ing any task done is starting it in the first place. Do not worry too muc h about the details of the task right at the beginnin g. Instead, just focus on getting it started—it is amazing how much of a task you can actually get done, before starting to look at the details. For example, when preparing a proposal, start by writing down the most important points first. Formatting, finding the most lucid vocabulary and making it as persuasive as possible can come later. At the beginning, just get something banged out on the computer, as this is a much less stressful and intimidating way to begin, especially for larger and more complex projects. When the first draft is done, and you’ve rewarded yourself with a coffee break, this also gives you some breathing space to review it, re-structure it and augment or delete content, as required.

While procrastination tends to be a habit and may be difficult to completely overcome, by adopting some or all of these strategies you should find it easier to focus and get things done. Remember, to be nice to yourself, and reward your hard work with some quality downtime too, so you don’t burn out. Work life balance or work life integration is something HR managers hear a lot about—common sense dictates that coming to work well rested and refreshed will also help you focus and reduce procrastination. Right, that’s that feature finished—I can now reward myself with a well-earned cup of tea!

Winter 2011

HR training

Importance of office relations Relationships in the workplace are an important aspect of your professional life. A pleasant and productive atmosphere provides the support that is needed to advance your career, as well as making your time in the office more enjoyable. To strengthen these bonds between you and your colleagues, offering a lending hand when needed does not go unnoticed. However, some actions that you make may have a detrimental effect on these relationships. Andrew Morris, Director, Robert Half Hong Kong highlights bad habits that could be affecting your relationship with your colleagues, and how to avoid them:

Sharing too much information— too often

Commenting on co-workers’ weaknesses When highlighting your skills and accomplishments, it is important not to emphasise others downfalls and shortcomings. Commenting on your co-workers will only create a negative atmosphere in your office and will earn you a negative reputation.

Taking an interest in your colleague’s personal lives is important when building relationships, however, revealing too much information, too often, will affect your reputation. Be sure not to divulge on the recent family spat or your marital issues to colleagues who asked about the weekend by the water cooler.

Favouritism

Personal internet usage at work

Coming to work sick

It is important to take a break from your work regularly, however, many companies monitor Internet and e-mail use and can quickly and easily spot unproductive employees. Surfing on non-work-related websites or making personal calls during office hours will attract the attention of not only your superiors, but also your co-workers, who may be taking on extra work as a result of your inefficiency.

Reliance on technology to communicate your every need Although technology is an extremely useful form of communication, excessive text or

e-mail messaging, particularly regarding trivial things, can be inefficient and disruptive to coworkers. Place a call or arrange an in-person discussion to resolve issues quickly and ensure that you are both in agreement.

HR Magazine

From the department Vice President to the intern, it is important to treat everyone with a level of respect and courtesy. The most respected and well-liked professionals treat everyone equally. Do not speak down to junior staff or favour your superiors.

Arriving at work when you are unwell is of no benefit to yourself or your colleagues. As well as affecting your productivity you may be at risk of infecting your colleagues. If you must attend to work-related tasks while ill, ask your boss about working from home or attend the work in an area of the office where you’ll be far removed from other employees. Sometimes it takes just one bad habit to spoil your professional standing with coworkers. Avoiding these actions will help prevent good relations from turning sour and will help maintain your professional image within the HR community.

HR training

Confucianism and HR leadership By Louisa Wong, Group MD, Bó Lè Associates

No matter whether you’re a Western multinational or a Chinese firm, you can take inspiration from the lessons and legend of Confucianism to build a successful business. Confucianism lends itself to a myriad of interpretations, but is at heart a philosophy about order, harmony, loyalty and justice. Applied to the workplace, it proves to have significant value in managing the workforce, recruiting talent and in business operations. Confucianism is rooted in the principles of ren (humanism), yi (justice) and li (propriety). The Confucianist ideal is the ‘jun-zi’, or noble-minded one, who is emblematic of all these virtues, and it advocates a society formed of the nobleminded rather than the noble of birth. Morality is situated entirely in a sense of collective community: the individual is never virtuous in isolation, and is always defined by his social role. A person who successfully fulfils his role brings harmony and order to the organisation. As we shall see, when ren, yi and li come into play in the workplace, it can transcend the moral and political to benefit both employers and employees.

Self cultivate

As a guide to leading a large corporation in a mature economy, Confucianism proves invaluable. Confucius’ idea of the ‘Great Learning’ is extremely applicable to business leadership; if a ruler has to selfcultivate before he can regulate his family and ultimately his state, then similarly a business leader has to start by being a good example himself before moving on to manage teams, divisions, departments, and finally, lead the whole company.

Harmony

Secondly, we come to the virtue of harmony, which is of great significance in the workplace. On the most basic

HR Magazine

level, people need to coexist in harmony for a firm to function; colleagues should therefore be kind and giving towards each other, and help each other out over small, everyday tasks, e.g. covering the phone for them when they are away. When the workforce is harmonious, it is productive. This has direct impact on a firm’s profits, and can also build the firm up into an ‘admired company’, which can attract talent. Likewise, maintaining harmony between firms can bring long-term rewards. If you maintain good ties with other companies, deal fairly and squarely in business, and treat even rival businessmen with respect, your firm will earn a good reputation and be able to attract rewards which are, if less instant, more enduring.

Loyalty

Thirdly, loyalty is seen as a bond between employers and employees—in exchange for their education, skills and potential, an employee gains money and prestige from their employer. The employer has a responsibility to maintain this bond by going the extra mile to make their workers feel valued— providing them with benefits and facilities, removing hierarchies in the company, and giving them opportunities to grow. When this bond is strong, employees will be able to resist financial offers from rival companies, and remain loyal out of a sense of belonging. Top talent can thus be retained.

Meritocracy

Finally, Confucius’ advocacy of a meritocracy is still extremely pertinent to recruitment practices today. For any economy which has ever experienced the evils of nepotism and corruption,

meritocracy is a clear solution. Hiring on merit ensures that each person is uniquely qualified for the job at hand, thus promoting efficiency. All these concepts work equally well whether you are a family-run business in China or a large corporation in the US. After all, discord in the workplace, corruption and talent loss are problems all companies across the globe have to deal with, and all companies work towards the common goal of expansion and profit. Confucianism offers harmony, loyalty and order as solutions. As a leadership strategy, it is universal and crosses many boundaries. In fact, by combining Western business principles with Confucianist virtues, we have the perfect recipe for success. Clearly, Confucianism cannot be dismissed as an outmoded moral code of conduct. It is only by looking towards the ethics of the East as well as the strategies of the West that companies can ensure they can capitalise on the economic recovery.

HR events

What’s coming up in the world of HR

When

Who

What

Where

Details

1-13 December 2011 (ThursTue) 09:00-18:00

Midland HR

Midland HR’s RTI seminar

Ruddington Hall Nottingham, Manchester Conference Centre, The Exchange Edinburgh, Scotland

Tel: (44) 0115 945 6000 learning@midlandhr.co.uk www.midlandhr.com/RTI-seminars

6 December 2011 (Tue) 19:30- 20:30

School of Business, Hong Kong Baptist University

Engaging and Motivating Employees through Corporate Social Responsibility

Room WLB 104, Padma & Hari Harilela Lecture Theatres, Shaw Campus, Hong Kong Baptist University, Renfrew Road, Kowloon Tong, Hong Kong

www.hkbu.edu.hk/~mscshrm/ seminar20111206/

7 December 2011 (Wed) 08:30-16:00

The American Chamber of Commerce in Hong Kong

20th AmCham Human Capital Conference – ASIA POWERING THE FUTURE OF THE GLOBAL ECONOMY: Preparing for business and people management challenges ahead

Renaissance Harbour View Hotel, Hong Kong

Member Fee: HK$1,280 Non-member Fee: HK$1,580

Developing an Effective Employer Brand Strategy Workshop

Novotel Atlantis, Shanghai, China

Tel: (86) 10 8571 1440-604 Fax: (86) 10 8571 1149 Mobile: (86) 13810796052 mordecai.bai@linlead.net www.linlead.net

13-14 December 2011 (Tue-Wed)

12 January 2012 (Thurs) 13:30-17:30

KORNERSTONE Institute

Talent Development Forum 2012

15/F, Hong Kong Club Building, Hong Kong

Catherine Chan Tel: (852) 2116 3328 Fax: (852) 2116 3571 www.kornerstone.com.hk

17-18 January 2012 (Tue-Wed)

IQPC Worldwide Pte Ltd.

10th Annual HR Delivery Models & Outsourcing Summit

Rendezvous Hotel, Singapore

Tel: (65) 6722 9388 www.iqpc.com.sg

24-25 January 2012 (Tue-Wed)

WTG Events

HR Directors Business Summit

The ICC Broad Street Birmingham B1 2EA England

Magdalena Musial Tel: (44) 207 202 7690 magdalena.musial@wtgevents.com www.hrevent.com

16 February 2012 (Thurs-Sat)

The Times of India / Ascent

20th Edition of World HRD Congress 2012

Taj Lands End – Bandra (West), Mumbai, India

Pre-congress starts at 15 February 2012 www.worldhrdcongress.com

23 February 2012 (Thurs) 08:30-15:10

HR Magazine

HR Magazine Conference— Compensation & Benefits HR professionals from across the region share advice from their organisations on: ● Innovative compensation & benefit strategies ● Total reward structures ● Comprehensive salary review & HR trends for 2012 and beyond ● Performance-based merit systems ● Linking performance management to employee engagement ● Medical insurance & staff benefits ● Payroll & taxation issues ● MPF strategies

Cliftons Central Facility Level 33, 9 Queen’s Road, Central, Hong Kong

Fees: FREE ENTRY to HR Magazine Subscribers Half day HK$800 Whole day HK$1,200 Full details at: www.hrmagazine.com.hk

28-29 March 2012 (Wed-Thurs)

HR Summit

The 10th annual HR Summit

Crystal Palace, Luna Park Sydney, Australia

http://sydney.hrsummit.com.au

1-4 April 2012 (Sun-Wed)

IQPC

Leaders of the Future: Bridging the Gender Gap in Oil and Gas. The impact of gender and generation gap in Oil and Gas

Abu Dhabi

Arzu Nagiyeva Conference Director IQPC Middle East

Throughout the year 2012

HKIHRM

An Overview of Human Resource Management in Hong Kong

HKIHRM Training Room Maximum class capacity: 35** * If the class size is over 35 attendants, an extra venue rental fee will be charged, or venue can be provided by the participating company

Putonghua / English / Cantonese Half-day program: HK$6,800 Full-day program: HK$11,000 (Standard class size: 10**) Tel: (852) 2881 5113 Fax: (852) 2881 6062 For more information: www.hkihrm.org

Winter 2011

HR classifieds

Index Business Process Outsourcing

| 58

Legal / Employment Law / Tax

| 61

Conference & Exhibition Venues

| 58

Pest Control & Environmental Services

| 61

Education and Corporate Training

| 59

Psychological / Assessment Tools

| 62

Employee Health & Wellbeing

| 60

Recruitment / Executive Search

| 62

HR Technology Solutions

| 60

Relocation & Logistics

| 62

Leadership Development

| 60-61

Staff Benefits

| 63

Business Process Outsourcing Innovative HR has developed a comprehensive outsourcing service and has provided all the power, features and flexibility without the drain on internal resources. Our services include: Payroll Outsourcing, Hong Kong Work Visa Application, Talent Recruitment, Employee Handbook Development and Business Licence Application for establishing representative offices in the PRC. For more information, please contact Ada Lai on 2555 8062, or visit our website. Special promotion on HR Library!

Innovative Human Resources Outsourcing Partners Limited 9/F, CLI Building, 313 Hennessy Road, Wanchai, Hong Kong

Tricor is a member of The Bank of East Asia Group. Tricor Business Services offers efficient, effective and professional advisory and outsourced support services to our clients. We deliver seamless solutions to address issues in accounting & financial reporting; cash, fund and payment administration; human resources and payroll administration; business advisory; trade services; and systems solutions to ensure the adoption of best practices in your business.

Tricor Services Limited Level 28, Three Pacific Place, 1 Queen’s Road East, Hong Kong

AsiaWorld-Expo is Hong Kong’s leading exhibitions, conventions, concerts and events venue, yet it is also an ideal venue for annual dinners, world-class conferences, cocktail receptions, media luncheons and sumptuous banquets. With Hong Kong’s largest indoor convention and hospitality hall, AsiaWorld-Summit which seats up to 5,000 persons, together with a full range of meeting and conference facilities, award-winning chefs and attentive hospitality staff, AsiaWorld-Expo is definitely your choice for an unforgettable event.

AsiaWorld-Expo Management Limited AsiaWorld-Expo, Hong Kong International Airport, Lantau, Hong Kong, China

Cliftons provides premium, purpose-built, training and event facilities and solutions, ensuring our clients’ programs are delivered seamlessly and successfully around the globe. Over the past 14 years, Cliftons has grown to provide clients with the largest network of dedicated computer and seminar training facilities across the Asia Pacific region. Encompassing over 150 state-of-the-art training and meeting rooms within 10 CBD locations in New Zealand, Australia, Singapore and Hong Kong, this footprint of proprietary venues is supplemented by a global affiliates network that allows clients to manage all of their training needs around the world with a single point of contact.

Cliftons Training Facility 33/F, 9 Queen’s Road, Central, Hong Kong

Tel: (852) 2555 8062 Fax: (852) 3003 0198 info@innovativehr.com.hk www.innovativehr.com.hk

Tel: (852) 2980 1888 Fax: (852) 2861 0285 info@hk.tricorglobal.com www.hk.tricorglobal.com

Conference & Exhibition Venues

HR Magazine

Tel: (852) 3606 8888 Fax: (852) 3606 8889 fnb@asiaworld-expo.com www.asiaworld-expo.com

Tel: (852) 2159 9999 enquiries@cliftons.com www.cliftons.com

HR classifieds

Education and Corporate Training Bite Sized Training High impact 90 minute workshops. Staff too busy to attend full day training, looking for better ROI for your training, need training delivered in your local language, want lunchand-learn or breakfast sessions, or just need training delivered across multiple locations? Bite Sized Training is the answer! With 25 topics to choose from, covering everything from Negotiation, Delivering Presentations, Managing Gen Y, Sales and Leadership, and delivered by expert, accredited trainers, Bite Sized Training is the learning and development system of choice for leading companies across the Asia Pacific. Visit www.bitesizedtraining.asia or email info@ bitesizedtraining.asia for more information.

Bite Sized Training Suite 1001 - 1002, Mass Mutual Tower, 38 Gloucester Road, Wanchai, Hong Kong

DSL/Evans & Peck (Hong Kong) Ltd. provides Business advisory services to improve the efficiency, effectiveness and success of our client’s core business and projects. Our services include: Change Management, Leadership Development; Agile Business Optimisation; Process Improvement; Building high performance teams using NASA 4-D and other methodologies; Executive Coaching and Training. Evans & Peck, part of the WorleyParsons Group, is an international infrastructure-based advisory company supporting major projects and change programs for private organisations and governments throughout Australia, Asia and the Middle East.

DSL/Evans & Peck (Hong Kong) Ltd. Level 14,Sun House, 181 Des Voeux Road, Central, Hong Kong

Tailor-made business training, testing and benchmarking solutions throughout Hong Kong, Macau and China. Corporate and individual programmes.

Excel Education Limited Unit 101, Fourseas Building, 208-212 Nathan Road, Jordan, Kowloon, Hong Kong

Excel’s renowned courses are tailored to the job nature, level and needs of the students. Our targeted, interactive approach in facilitation has allowed us to build an unrivalled reputation in the corporate training field. Clients include: the Airport Authority, American Express, Bausch and Lomb, Credit Agricole, KCRC, the Hong Kong Government, Swire Travel and United Airlines.

Tel: 800 903 210 Fax: (852) 2816 7150 info@bitesizedtraining.asia www.bitesizedtraining.asia

Contact person: Yvonne Hau Tel: (852) 2722 0986 Fax: (852) 2492 2127 www.evanspeck.com

Tel: (852) 2736 6339 Fax: (852) 2736 6369 info@excelhk.com www.excelhk.com

The Hong Kong Management Association was established in 1960. As a non profit making professional organization, its mission is to improve the effectiveness and efficiency of management in Hong Kong. Offering annually over 2,000 training programmes to more than 45,000 participants, ranging from work-oriented short courses, workshops, Certificates, Diplomas to Bachelor, Master and Doctoral Degrees, the HKMA is one of the largest providers of management training and education in the Territory.

Hong Kong Management Association 14th Floor, Fairmont House, 8 Cotton Tree Drive, Central, Hong Kong

macsimize is a leading training consultancy with a significant presence in the Asia Pacific region. Our solutions include: leadership and sales training; organisational development and teambuilding. macsimize capitalises on its diverse and visionary approach to developing human potential, potential that is measurable and results oriented. We aim to become your preferred global partner in developing your people and your business.

macsimize Pte. Ltd. Contact person: Ayesha Mathias Tel: (852) 9300 2390 ayesha.mathias@macsimize.biz www.macsimize.biz

reallyenglish works with major international publishers (Cambridge University Press, Pearson Longman, McGraw-Hill) to create costeffective and flexible world-class courseware that is tailored to local needs. We provide educational, fun and interactive online courses which are easy to use and hold learners’ interest. By controlling every aspect of the service, including hosting, support, coaching and reporting, we guarantee that over 80% of students will complete their course. All our energy is devoted on two service objectives—getting students to finish and showing managers and educators the results.

reallyenglish.com (Hong Kong) 51/F Hopewell Centre, 183 Queen’s Road East, Wanchai, Hong Kong

Tel: (852) 2526 6516 / 2774 8500 Fax: (852) 2365 1000 hkma@hkma.org.hk www.hkma.org.hk

Tel: (852) 3602 3090 Fax: (852) 3602 3111 Mobile: (852) 5165 2467 davida@reallyenglish.com www.reallyenglish.com

Winter 2011

HR classifieds

Employee Health & Wellbeing Matilda International Hospital offers newly developed facilities and stateof-the-art equipment for a comprehensive health assessment service and is committed to providing the best care and personal attention for both corporate and individual clients. Matilda Medical Centre has extended services to Central and Tsim Sha Tsui and provides full primary and preventative healthcare services. The combined expertise of the hospital and medical centres results in an entire suite of result-oriented health and wellness services to address specific medical and budgeting needs. The provision of inpatient services and advance surgical suites ensures seemless follow through care and access to a wide range of experienced specialist facilities and advanced treatment options.

Matilda International Hospital 41 Mount Kellett Road, The Peak, Hong Kong

Pacific Prime Insurance Brokers is a leading international health insurance brokerage specializing in providing comprehensive coverage options to individuals, families, and companies throughout the Asia-Pacific region. Working with over 80,000 clients in 150 countries, Pacific Prime can deliver advice in more than 15 major languages. With offices strategically located in Shanghai, Singapore, Dubai, and Hong Kong, Pacific Prime is able to provide immediate advice and assistance to policyholders located around the world. Pacific Prime works with 55 of the world’s leading health insurance providers, giving customers unprecedented access to the best medical insurance products currently on the market.

Pacific Prime Insurance Brokers Ltd. Unit 1-11, 35th Floor, One Hung To Road, Kwun Tong, Hong Kong

With a mission of providing and promoting primary and preventive eyecare to the public, PolyVision offers a pioneering eye healthcare plan fitting different staff benefit schemes, and provides eye care seminar and packages to help monitor and maintain the eye health of staff through companies.

PolyVision Eyecare Centres Room 4201, Hopewell Centre, 183 Queens’ Road East, Wanchai, Hong Kong

Their eye examination is one of the most comprehensive in Hong Kong. It covers: Case History, Vision & Refractive Status, Binocular Vision, Color Vision Screening, Intra-ocular Pressure, Ocular Health, Fundus Photography, Diagnosis & Treatment.

Contact person: Sireen Cheng Tel: (852) 2849 0389 www.matilda.org

Tel: (852) 3113 1331 Fax: (852) 2915 7770 info@pacificprime.com sam.cooper@kwiksure.com www.pacificprime.com

Tel: (852) 2861 0138 Fax: (852) 2861 0123 info@polyvision.com.hk www.polyvision.com.hk

HR Technology Solutions Lumesse is the only global company making talent management solutions work locally. We help customers around the world to implement successful local talent management initiatives that identify, nurture and develop the right people, in the right place, at the right time. Our multicultural background and presence means we understand how to deliver talent solutions that work the way our customers work, as individuals and as teams, because no two people, organisations or cultures are the same. We regard differences as strengths, not as obstacles. Our passion is developing intuitive talent management technology that people love to use. Our integrated talent management solutions—including talent acquisition, onboarding, performance management, succession management, compensation management, enterprise learning management and talent analytics—create fantastic outcomes and inspiring careers.

Lumesse Unit 1905, World Trade Centre, 280 Gloucester Road, Causeway Bay, Hong Kong Tel: (852) 2815 3456 Fax: (852) 2890 0399 hkinfo@lumesse.com www.lumesse.com

SilkRoad technology is a Talent Management software company providing solutions to enable companies to manage the entire career of your employees. We help you to bring in the best talent and keep it for the long term. From our offices in Hong Kong and throughout AsiaPacific we focus on the people, not the numbers, and pride ourselves in being the only HR technology vendor to centre our efforts around helping our clients provide truly positive talent experiences. Spread the smiles with SilkRoad’s talent management software. Work Happy!

SilkRoad technology Hong Kong Tai Yip Building, Floor 10-05, 141 Thompson Road, Wanchai, Hong Kong

The Center for Creative Leadership (CCL®) is a top-ranked, global provider of executive education that unlocks individual and organisational potential through its exclusive focus on leadership development and research. Ranked among the world’s top providers of executive education by BusinessWeek and No. 3 in the 2010 Financial Times executive education survey, CCL serves corporate, government and non-governmental clients through an array of programs, products and other services. CCL-APAC’s headquarters are based in Singapore. Other global locations include Brussels, Moscow and three campuses in the United States.

CCL® 89 Science Park Drive #03-07/08 The Rutherford Lobby B Singapore 118261

Contact person: Eric Choi Tel: (852) 9193 8573 eric.choi@silkroad.com www.silkroad.com

Leadership Development

HR Magazine

Tel: (65) 6854 6000 Fax: (65) 6854 6001 cclasia@ccl.org www.ccl.org/apac

HR classifieds With 98 years of experience, Dale Carnegie Training® is a world leader in performance-based training. With offices over 80 countries worldwide and courses in 27 languages, we produce measurable business result by improving the performance of employees with emphasis on: • Team member engagement • Leadership development • Customer services

• Sales effectiveness • Process improvement and • Presentation effectiveness

Dale Carnegie Training® Suite 1701, 17/F East Exchange Tower, 38 Leighton Road, Causeway Bay, Hong Kong Tel: (852) 2845 0218 Fax: (852) 2583 9629 info@dale-carnegie.com.hk www.dale-carnegie.com.hk

Over 425 corporations of Fortune 500 continue choosing us to be their partner.

Calling all HR Managers & Directors: • Are you looking for structured programmes to develop your staff? • Sponsor or part sponsor your staff to achieve MBA, Masters, Bachelor, Diploma or Certificate courses. • The spend is value for money • The return is measurable & tangible • Choose from 31 courses from 9 UK Universities (Bradford, Sunderland, Wales, Birmingham etc.) • 16 years in HK *All courses are registered

RDI Management Learning Ltd. 7/F South China Building 1-3 Wyndham Street Central, Hong Kong

Alphaeight specialises in behavioural-science research and people development. We utilise research to create individual and team development solutions—focused on business objectives—for leaders, managers and frontline workers. It’s all about research and evidence: solutions, built upon scientifically proven research on how the human mind works, are practical and easy to adopt and utilise exclusive tools and techniques developed by our research institute. It’s all about you: solutions tailored to your people’s specific needs and your business objectives—give you the results you want. It’s all about impact: measure changes before, during and after development.

the alphaeight institute 1906, 19/F., Miramar Tower, 132 Nathan Road, Tsimshatsui, Kowloon, Hong Kong

Baker & McKenzie defined the global law firm of the 20th century and is redefining it to meet the needs of the global economy of the 21st century. With a network of 69 offices across 41 countries, we have been building valuable insights into the different laws and distinctive business cultures around the world. What sets us apart is our uncompromising commitment to excellence, coupled with our deep local roots and the experienced global perspective that comes from helping companies navigate sophisticated legal and business issues at home and across borders. We are regularly involved in first-to-market transactions and are widely recognised as the leading law firm in Hong Kong and China.

Baker & McKenzie 14th Floor, Hutchison House, 10 Harcourt Road, Central, Hong Kong 23rd Floor, One Pacific Place 88 Queensway, Hong Kong

Tel: (852) 2992 0133 Fax: (852) 2992 0918 info@rdihongkong.com www.rdihongkong.com

Contact person: Mrs Stephanie Herd Tel: (852) 2302 0283 Fax: (852) 2302 0006 stephanie.herd@alphaeight.com www.alphaeight.com/

Legal / Employment Law / Tax

Contact person: Andreas Lauffs and Jennifer Van Dale Tel: (852) 2846 1888 Fax: (852) 2845 0476 hrlaw@bakermckenzie.com www.bakermckenzie.com

Pest Control & Environmental Services BioCycle is the first pest management company in Hong Kong to have acquired both the ISO 14001 and the ISO 9001 System Certifications. BioCycle was set up in 1991 to provide safe and environmentally friendly Pest Control, Termite Consulting, Sentricon Colony Elimination System for termite colony and Sanitation Services, and operates under European management.

BioCycle (Hong Kong) Limited Unit A G/F & 11/F, Lok Kui Industrial Building, 6-8 Hung To Road, Kwun Tong, Kowloon, Hong Kong

We are the exclusive user of our group’s insecticide, BioKill, which has been approved by the AFCD of HK Government not to carry the poison label.

Tel: (852) 3575 2575 Fax: (852) 3575 2570 info@biocycle.com.hk www.biocycle.com.hk

Only the professional carpet cleaning and pest-control services of Truly Care, Hong Kong’s specialists in occupational, industrial, environmental and domestic hygiene can give you a clean, safe and bug-free office and home.

Truly Care (HK) Ltd. Room 1522, Nan Fung Centre, 264-298 Castle Peak Road, Tsuen Wan, N.T., Hong Kong

Don’t put your staff’s health at risk!

Tel: (852) 2458 8378 Fax: (852) 2458 8487 info@trulycare.com.hk www.trulycare.com.hk

For a free, no obligation, inspection and quotation, please call us now on 2458 8378

Winter 2011

HR classifieds

Psychological / Assessment Tools PsyAsia International is Asia’s leading independent distributor of Psychometric Tests of Personality and Aptitude. PsyAsia International also offers employee screening and assessment services, personal development courses and human resource training and consultancy. Using highly qualified and experienced organisational psychologists, our solutions are World-Class. Our focus on scientific, evidence-based psychology at the core of our Human Resource Training and Consulting activities, as well as the employment of fully registered organisational psychologists, separates us from those providing similar services in the HR field.

PsyAsia International Level 8, Two Exchange Square 8 Connaught Place Central, Hong Kong Tel: (852) 8200 6005 www.psyasia.com/email www.psyasia.com

Recruitment / Executive Search AsiaNet Consultants, founded in 1988, has offices in Hong Kong, Shanghai, Beijing, Guangzhou and London providing International Executive Search and Business Start Up Services in China.

AsiaNet Consultants 15/F Onfem Tower 29 Wyndham St, Central, Hong Kong

AsiaNet is a member of the International Executive Search Federation— the largest executive search group both in Asia Pacific and worldwide.

Tel: (852) 2530 0130 info@asianetconsultants.com www.asianetconsultants.com

Established in 1997, ConnectedGroup is a privately owned enterprise and has developed from a pure executive search business into a full spectrum human capital consulting firm. With offices in Asia and the Middle East we are well placed to service two of the fastest growing regions in the world and our consultative and client driven approach has positioned us as a partner of choice for companies across a diverse range of functions and industries. We work to values of candid, creative and connected and our employees are constantly measured against these behaviours to deliver the highest levels of service quality.

ConnectedGroup 19/F, Silver Fortune Plaza, 1 Wellington Street, Central, Hong Kong

Silenus is certainly your partner of choice who specializes in recruiting talents in the Consumer and Retail sectors in Hong Kong. We provide customized solutions to meet your specific recruitment needs. Leveraging on our deep understanding of your manpower and business needs, coupled with an extensive candidate pool, we can help you recruit the right candidate who is able to drive your business to new heights. Our dedicated professional recruitment consultants possess superb recruitment skills. They can see the competency, personality, career aspirations and interests of candidates objectively and accurately, thus enhancing the efficiency and value of the recruitment process.

Silenus (Hong Kong) Limited 8/F., World Wide House, 19 Des Voeux Road, Central, Hong Kong

Tricor Executive Resources, the former search and selection practice of PricewaterhouseCoopers in Hong Kong, has over the last 25 years built an unrivalled reputation for integrity and professionalism. Through focused research and intense sourcing, we recruit management and top-level executives for positions in Hong Kong, Mainland China and the region.

Tricor Executive Resources Limited Level 28, Three Pacific Place, 1 Queen’s Road East, Hong Kong

We also offer related HR services such as recruitment outsourcing; compensation and benefit advice; outplacement and career counselling; and advisory services on grading structures and job descriptions.

Contact person: Adam Edwards Tel: (852) 3972 5888 Fax: (852) 3972 5897 adam.edwards@connectedgroup.com www.connectedgroup.com

Tel: (852) 2185 6300 Fax: (852) 2185 6303 info@silenus.com.hk www.silenus.com.hk

Tel: (852) 2980 1166 Fax: (852) 2869 4410 fiona.yung@hk.tricorglobal.com www.hk.tricorglobal.com

Relocation & Logistics Crown Relocations, a worldwide leader of global mobility, domestic and international transportation of household goods, and departure and destination services, has over 180 offices in more than 50 countries. From preview trip and, immigration assistance to home and school searches, orientation tours, intercultural training, partner career program, and ongoing assignment support, Crown offers the best relocation solutions to corporate clients and transferees across the world.

HR Magazine

Crown Relocations 9-11 Yuen On Street, Siu Lek Yuen, Sha Tin, New Territories Tel: (852) 2636 8388 hongkong@crownrelo.com www.crownrelo.com

Staff Benefits Nespresso, the worldwide pioneer and market leader in highestquality premium portioned coffee, introduces consumers to the world’s finest Grand Cru coffees to be enjoyed in the comfort of their own homes and savoured outside the home, in locations such as gourmet restaurants, upscale hotels, luxury outlets and offices. Nespresso is driven by core competencies that enable it to create highest quality Grand Cru coffees, long lasting consumer relationships, and sustainable business success. The Nespresso offer focuses on its unique Trilogy, the unmatched combination of exceptional coffee, smart and stylish coffee machines and personalised customer service. Together, these three elements deliver moments of pure indulgence – the Nespresso Ultimate Coffee Experiences.

Nespresso Division of Nestle Hong Kong Ltd. 7 Floor, Manhattan Place, 23 Wang Tai Road, Kowloon Bay, Hong Kong

Total Loyalty Company provides a staff social club outsourcing solution for Hong Kong companies. Offering a customized solution for each client, the staff social club program includes a company branded website, branded membership cards, a wide range of lifestyle benefits and privileges and a full calendar of social events. www.totalloyalty.hk

Total Loyalty Company Suite 2202, 22/F Manley Comm. Bldg. 367-375 Queen’s Road Central, HK

A staff social club can add immense value to a company’s culture, from generating greater employee engagement, assisting with staff retention, through to creating a better work life balance for employees.

Tel: 800 905 486 Fax: 800 968 822 club.asia@nespresso.com www.nespresso-pro.com

Contact person: Sam Lau Tel: (852) 2536 9010 Fax: (852) 2536 9008 sam@totalloyalty.hk www.totalloyalty.hk

To list your HR events and/or HR appointments here please contact Kollin Baskoro: Tel: (852) 2736 6362 or e-mail: kollin@hrmagazine.com.hk

HR Opportunities in AECOM Imagine working for a truly global company who share a singular passion: to make the world a better place. We enjoy what we do at AECOM. We bring projects to life in the cities and communities in which we work, and we’re driven by a set of values and a common purpose – to create, enhance and sustain the world’s built, natural and social environments. Innovation is built into every project we manage and every community we serve. We’ll provide you support in an environment that allows you to grow and succeed. We are currently seeking HR professionals in the following capacities to act as strategic partners to our business: – Shared Service Centre Manager, Asia – Organisation and Employee Development Manager, Asia – HRIS Officer, Asia – Talent Acquisition Specialist, Hong Kong – Asst HR Manager, Hong Kong – Senior HR Officer/HR Officer, Hong Kong The above positions are based in Hong Kong. Interested applicants please email your CV and salary expectations to Resume@aecom.com, quoting position applied for as your subject title. For more information on the above positions, please go to www.aecom.com/careers.

HR legal

China’s New Social Insurance Law: impact on HR Key changes

▪▪Foreign nationals in China who obtain a work permit “should” (yingdang) participate in the social insurance system; ▪▪Social insurance authorities have increased authority and additional tools to force employers to make back payments of amounts owed; and ▪▪The work insurance fund will now cover some of the costs previously borne by the employer in the event of an employee work injury.

Summary

China’s new Social Insurance Law (SIL) took effect on 1 July 2011. The new law both consolidates existing regulations and adds new substance to the social insurance regime. One of the main policy goals of the SIL is to establish a single nation-wide pension insurance system, while pooled funds for the other four types of social insurance: medical, unemployment, work injury, and maternity will be established at the provincial level. The Ministry of Human Resources and Social Security (MOHRSS) has also passed various implementing measures of the Law since June 2011, with the most prominent of these being the Provisional Measures for Foreigners Working in China to Participate in the Social Insurance System (the Measures).

Effect for companies with foreign employees Pursuant to the Measures, all foreigners who obtain a work permit “should” (yingdang) be enrolled in the social insurance system with effect from 15 October 2011—however, local enforcement of this deadline may vary. Contributions should be made not only for foreigners with a local employment contract in China, but also for those who are employed by an offshore company and assigned/seconded to work in China. If the foreign employee’s home country has signed a bilateral totalisation treaty/

HR Magazine

agreement with China, he/she may be exempted from contributing in China if the employee is participating in his/her home country’s social insurance or pension system. However, currently only Germany and South Korea have signed such treaties with the Chinese government. Therefore, in the absence of a treaty, foreigners may be subject to social insurance obligations both in their home country and in China. Both employers and employees should make contributions that are based on the individual employee’s average monthly salary. The employer contribution is approximately 37% in Shanghai and 32% in Beijing. However, the contributions are subject to a cap. The current cap on monthly employer contributions is approximately USD 680 (RMB 4,360) in Shanghai and USD 630 (RMB 4,033) in Beijing. The employee contributions are capped at a lower amount—currently, this ranges from USD 100-200.

the cap for employer contributions effective from 1 September 2011. Therefore, an employer potentially would have to contribute approximately 32% of the total payroll for its employees. This could represent a significant additional cost for a company that has many highly paid employees working in Dalian, though currently Dalian officials do not seem to have come to a consensus as to whether foreign nationals must participate in the system yet.

Key points for employers to consider •

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Implementation of Social Insurance for foreign employees The enforcement of the Measures currently varies by city. As of 7 November 2011, amongst the large cities, only Beijing has issued its local implementing rules. Summarised below are current policies in Beijing, Shanghai and Dalian. Beijing: The Beijing Municipal Labor Bureau has formulated implementing rules which state that all foreigners working in Beijing, whether directly hired or on secondment, should participate in the social insurance scheme. Shanghai: Currently, foreign national employees under local contracts can, but are not required to, participate in pension, medical insurance and workrelated injury insurance schemes. However, this will likely change if and when the Shanghai authorities issue their own implementing rules. Dalian: Dalian authorities have removed

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The Law may result in increased costs for employers, especially for those whose workforce are composed of many foreign employees who hold work permits. Employers who are noncompliant with the Law are subject to greater penalties than under the previous regime. Employers should pay particular attention to local variation in enforcement of the Law, especially when it comes to social insurance for foreign employees. Source: Baker & McKenzie

For more information, please contact: Andreas Lauffs (852) 2846 1964 Andreas.lauffs@bakermckenzie.com Jonathan Isaacs (852) 2846 1968 Jonathan.issacs@bakermckenzie.com

Randstad 2011/12 World of Work Report — it’s time to lead, and it’s available now!

The 2011/12 Randstad World of Work Report gathers the perceptions of both employees and employers to truly understand the human capital challenges that exist in Hong Kong, and the region, today. For employers, attracting new talent is this year’s biggest human capital challenge. Companies openly admit they face a shortage of skilled talent and are hindered by the challenge of finding talented leaders to drive much needed competitive advantage. This year’s report provides valuable guidance for business and HR managers planning strategies for the year ahead. Whether in large organisations or small-to-medium enterprises (SMEs), one message has become very clear — it’s time to lead. Make sure you are in the ‘know’. Request a copy of the Randstad 2011/12 World of Work Report through our website www.randstad.com.hk