HR Magazine Summer 2012 by HR Magazine

Publisher’s note

What’s news in HR? Summer is well and truly upon us, and as the mercury is rising so too are salaries across the APAC region. Numerous surveys are pointing towards hiring sprees and a return to the war for talent—if we ever actually left it in the first place. Salaries in HR have been up by as much as 40% in Singapore, and with the market looking more buoyant again, there are no signs that hiring will get any easier as we progress through the year. Challenges for HR don’t stop there, and there have been a few HR headaches in the news recently. Walmart is in hot water again over staff losses following their recent merger with Massmart in South Africa. DHL also received heavy criticism in Europe from global trade unions over how it treats its workers. Difficult though HR might be, even the current monarch of the United Kingdom is taking an interest in HR. Just prior to the celebrations for the Queen’s diamond jubilee in London, Her Majesty gave her annual address to Parliament which this year focused heavily on HR issues.

Our Team

Publisher & Editor-in-Chief

Bringing HR back from extinction

Layout Editor

In our cover story we grabbed the last chance to interview outgoing CEO of WWF-Hong Kong, Eric Bohm shortly before he retires. Bohm shares candidly how he brought HR back from the brink of extinction and turned it into the backbone of the organisation. And he reveals how he did all this on a shoestring budget.

Staff Writers

Nautical HR

Paul Arkwright Copy Editors

Sarah Purcell Zoe Wong

Philippa Edwards, Lily Heyland, Drew McNeill Designer

Toby Lam Advertising & Sales

Kollin Baskoro Tracy Poon

Photographers

Malou Ko Graham Uden

Enquiries

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We get HR out on the water with Alex Thomson from the UK, to gain leadership insight from the youngest ever skipper to win a round-the-world yacht race. New: HR moves & HR life This issue features two brand new sections in HR Magazine. HR moves (page 33)— which looks at the increasingly mobile nature of the global workforce and provides tips and solutions for HR managers needing to move staff around the world. HR life (page 35)—which takes us out of the back office for a while and looks at ideas to help those in HR, and their staff, achieve a slightly better work-life balance. Strategic HR: how-to guide We report on the SHL LINK Greater China Conference 2012 in Shanghai which revealed how properly designed staff assessment techniques can help HR add literally millions of dollars to the bottom line. We also share what HR can do—instead of simply paying lip service to the notion of ‘aligning with company directives’—to really drive their organisations strategically. And if that whets your appetite then make sure you register for our next HR Conference in Hong Kong on 23 July which will showcase international HR practitioners who’ll share candid advice and best practices on how to get HR more strategic. This, and pages more of practical HR tips…read on

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Summer 2012

Contents

Inside this issue 04

HR news

Cover story

Walmart in hot water again over merger, Queen speaks on HR, Shared services save Scotland GBP12m.

HR features

Learning the ropes of HR, Motivational mushrooms, Work-life balance global issue, CSR getaway to Cambodia, Relocating for work: what would it take?, Spa treatments & diet tips.

HR community

HR Magazine Conference: Staff learning & development strategies, HRO Summit Summary.

HR training

Annual appraisals, MTR: non-stop learning.

Planet HR

HR moves

In 2004 the WWF-Hong Kong was almost bankrupt, heavily reliant on fundraising and charitable donations, HR was practically non-existent and there was little, if any, room for manoeuvre when it came to staff policies.

HR classifieds

Relocating staff around the world, Services apartments that don’t break the bank.

HR life Work-life balance global issue, Time for HR to put your feet up.

HR events

Learning the ropes of HR

HR service providers throughout Asia.

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 Magazine went along to welcome the Hugo Boss yacht as it moored off Tsim Sha Tsui pier on the Hong Kong leg of its 2012 Asia tour.

HR legal update

National Government considers major restrictions on labour dispatch arrangements.

Gender income Gap

China’s captains of industry have expressed caution that glowing sales forecasts for their companies may be exaggerated puffs of smoke in the Year of the Dragon.

MTR: non-stop learning

Established in 1975, MTR Corporation develops and manages Hong Kong’s railway network together with property and community development projects.

Summer 2012

HR news

Queen speaks on HR

New law stops China double taxation of staff in HK & Macau PwC Hong Kong recently broke the news of The State Administration of Taxation of China’s move to stop double taxing HK and Macao tax resident employees working in China. The Administration has issued Public Notice [2012] No.16 (PN16) regarding the timeapportionment treatment which now allows employment income, including bonuses, to be time apportioned on a

physical presence basis. Coming into effect on 1 June 2012, PN16 will further eliminate the problem of double taxation for HK and Macau tax residents working in China. As a result, employees and their employers may revisit their employment and work arrangements as well as their current China and Hong Kong tax filing positions.

Headhunter heaven China offers US$160,000 bounty for each Foreign Talent. The 2012 Queen’s Speech at the State Opening of Parliament in early May was unusual not only in its brevity, but also in that it touched on a number of important HR issues in the UK. The somewhat controversial Enterprise and Regulatory Reform Bill has been designed to give employers greater confidence when hiring new staff—making it easier to dismiss them. The idea being that this would encourage ‘settlement agreements’ so workers could be paid off by consent, rather than everything going through labour tribunals. All claims to employment tribunals would now have to be lodged with the UK Advisory, Conciliation and Arbitration Service (ACAS) to help increase the chances of a mediated agreement. Just prior to thousands of public sector union members being set to strike over their pensions, the Queen also confirmed that legislation would be introduced to reform public service pensions. She added that this would be done in line with the recommendations of the independent commission on public service pensions. Greater flexibility is also planned regarding maternity and paternity leave to allow both mothers and fathers to share in the care of newborn children. The Queen said, “Measures will be proposed to make parental leave more flexible, so both parents may share parenting responsibilities and balance work and family commitments.”

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Competition for ‘Foreign Talent’ in the region has a new player, and this time it’s a big boy—the PRC. The intent to entice foreign talent to China for key roles is a National Development Strategy and was outlined in 2010 in the Central Government’s announcement together with a scheme that will pay a bounty of US$160,000 to each ‘Foreign Talent’ taking up an approved role in a China-operated business. Administered by the State Administration of Foreign Affairs the scheme intends to recruit tens of thousands of overseas talent via international headhunting and recruitment agencies. These agencies will be given the briefs by the China Association for International Exchange of Personnel (CAIEP). The Association

has already set up 28 separate talent markets across the country to funnel ‘Foreign Talent’ requests from state-owned enterprises and private businesses in China wishing to take advantage of the scheme. As part of its engagement with international headhunting companies the Chief of Bureau of the CAIEP and the relevant government agencies will be hosting a joint seminar with SilkRoad Technology to introduce the scheme in Beijing on the 18 June. This invitation only event will be the first in an annual series that will give the regional heads of recruitment agencies access to the Government sector. HR Magazine is an official media partner for the event.

Can’t get no satisfaction Only a third of Hong Kong workers find their current job satisfying, according to a study conducted in March 2012 by Ipsos—formerly Synovate. The study aimed to gauge public awareness of job satisfaction and their expectation of an ideal job. With only 36% of those surveyed currently happy in their jobs

indicating that both their salaries and job nature were not what they had originally anticipated. Those surveyed said that competitive salary, clear promotion path and the potential to develop a lifelong career were the three most important criteria in determine job satisfaction.

HR news

Walmart in hot water again over merger Walmart once more faced heavy criticism in the wake of its recent Walmart-Massmart merger in South Africa, which resulted in the loss of over 500 Massmart staff. In the ensuing court battle, the global giant failed to convince the Appeal Court in South Africa regarding issues raised by unions surrounding collective bargaining and working with local suppliers. The Appeal Court endorsed the previous decision that there should be no retrenchments resulting from the merger for two years after the transaction and that the existing labour agreements and collective bargaining positions should be respected. UNI Global Union, the global union for skills and services that represents 20 million members in 900 unions worldwide, hailed the court decision as a victory for the 503 workers who

lost their jobs due to the merger—and who must now be reinstated. Philip Jennings, General Secretary, UNI Global Union said, “The struggle for fair play is far from over. We welcome the decision by the Appeal Court that the 503 Massmart workers who lost their jobs should be reinstated. The Court’s call for a study to find ways to protect South Africa’s small and medium sized suppliers in light of the merger and to consider new conditions is the right one.” The fact that the Appeal Court has decided to commission the study indicates that Walmart may not have been forthcoming in the process. Jennings is demanding that Walmart collaborate fully with the study and— bearing in mind that its global supply chain is run from China—be open and honest about how it intends to include South Africa’s SMEs into its system.

Steady hiring in HK According to findings in the latest Michael Page Employment Index report, the outlook for Hong Kong’s employment market looks stable with 37% of surveyed companies planning to increase staff numbers in the first quarter of 2012 and a further 56% keeping headcount level. Whilst employers are mindful of events in Europe and the US, there is a general confidence in the domestic market with 65% of companies expecting recruitment activity to be in revenue generating roles such as sales and account management. This figure represents an increase of 21% from the previous quarter and is a significant indicator of optimistic anticipation of future growth. “Demand is expected to be seen within the commercial sector given the sense of nervousness that still exists within the banking and financial

services markets,” said Anthony Thompson, Managing Director, Michael Page, Hong Kong and Southern China. Certainly some recruitment caution remains with 38% of surveyed employers planning to increase their contract and temporary headcount in Q1, balancing the need for additional resources and the fluctuating global economic environment with a flexible workforce. “Companies are indicating they are likely to take a conservative approach with their hiring intentions,” added Thompson. Staff retention is also considered to be a continuing issue in Hong Kong into the new year based on the report findings, with 31% of surveyed employers expecting staff turnover to rise and 37% indicating that talent attraction and retention will be the key business challenge for their business— an increase from 20% last quarter.

He added, “What [we] are calling for is local investment in local suppliers to grow local jobs, not halfbaked promises and loose financial commitments. The study provides a new opportunity for partnership and represents a new approach by Walmart. The story is not over.”

Digital recruitment expansion Evenbase recently acquired Jobrapido—the second largest international job search engine in the world. The acquisition provides Evenbase with access to one of the world’s largest candidate audiences and puts them among the top five digital recruitment brands globally. Commenting on the deal, Vito Lomele, CE, Jobrapido said, “Our short and intense history has seen us grow from a self-funded local operation to a successful international business ready for its next stage of growth.” Just prior to going to press, the Group also announced the appointment of John Frith as HR Director, which coincides with the latest acquisition.

Summer 2012

HR news

Healthy HK employment figures challenge for employers LinkedIn

Assessing the assessors Talent management provider SHL has been named HR Assessment Company of the Year by Human Capital Management at the Annual Human Resources Awards 2011 – 2012 in Greater China. The Awards, currently in their fifth year, selected the winner based on proven results, positive impact and customer feedback. Mike Tims, Vice President, Asia, Middle East and Africa, SHL commented, “Winning HR Assessment Company of the Year is a significant accomplishment, and great recognition of SHL as the leader in talent measurement and a global authority on the science of people in the workplace. We will remain committed to transforming the way talent is assessed, hired and managed.” China has made economic transformation a national strategy from 2011. As a key step of transformation, national talent strategy provides a huge growth potential for the talent assessment sector, and also brings the talent assessment sector under the spotlight. According to the National Program for Medium and Longterm Talent Development (20102020), there will be 42 million business management talents by 2020. The enormous demand for developing business management talents is gradually promoting talent assessment from being a branch of HR development and putting it back into the mainstream.

HR Magazine

According to the latest labour force statistics released today by the HKSAR Government Census and Statistics Department, the seasonally adjusted unemployment rate decreased from 3.4% in January – March 2012 to 3.3% in February – April 2012. The underemployment rate decreased from 1.6% in January – March 2012 to 1.5% in February – April 2012. Brien Keegan, Director, Randstad—Hong Kong commented, “There is a general sentiment that the Hong Kong economy will pick up this quarter with a much improved picture by the end of Q4. The retail sector— especially the luxury segment—remains

very healthy. This is borne out by many global chains establishing a presence for the first time in Hong Kong or expanding through the opening of additional branches.” However, while Hong Kong’s employment figures paint a very rosy picture when compared to other countries in the region and globally, this presents a whole new set of issues and challenges. According to Randstad’s World of Work Report 2011/2012, 65% of Hong Kong companies are already saying they face skill shortages and 51% rate their ability to meet human capital challenges as average or poor.

Singapore, Kobe & HK most liveable Asian cities Of the 49 Asian cities assessed in the latest Location Ratings for expatriate living conditions published by ECA International: Singapore, the Japanese city of Kobe, and Hong Kong rank as the top three cities in Asia in terms of liveability. Kobe has overtaken Tokyo and Yokohama, which both dropped one place in the regional ranking as a consequence of fallout from last year’s devastating earthquake and tsunami in north-east Japan. Hong Kong has jumped from fifth to third place, more as a result of changed circumstances in other cities in the region, rather than any significant improvement in its own liveability score. Updated annually, the International Location Ratings system helps companies establish appropriate expatriate allowances to compensate for the level of adjustment required to complete an assignment. It objectively evaluates a host of factors to form an assessment of the overall quality of living in over 400 locations worldwide. These factors include: climate; availability of health services; housing and utilities;

Top 10 most liveable Asian locations Asia rank

Location

Global rank

Singapore

Kobe

Hong Kong

Tokyo

Yokohama

Taipei

Macau

George Town

Seoul

Kuala Lumpur

Source: ECA International Location Ratings 2012

isolation; access to social networks and leisure facilities; infrastructure; personal safety; political tensions and air quality. The system recognises that where an employee is going from and to can affect the level of adaptation required on the part of the assignee for some of these factors.

HR news

More foreign execs in local Eastern organisations More and more Western executives can be found in local Eastern organisations according to new research conducted by Dr Frithjof Arp from Monash University. The phenomenon of foreign executives in local organisations (FELOs) not only concerns aspiring multinationals, as expected, but also local organisations with an exclusively domestic market focus. FELO appointments are not to be confused with expatriate assignments. The cultural distance is implicitly greater. They are typically the only foreigners in their workplace and need to demonstrate their loyalty to local interests. FELOs have found themselves the subject of intense

Mercer-Mitsubishi UFJ pension alliance Mercer Japan and Mitsubishi UFJ Trust and Banking Corporation recently announced a strategic alliance to deliver global pension consulting services to multinational clients in Japan. The announcement comes at a time when Japanese multinationals, already expanding their operations across many borders, are becoming increasingly aware of significant exposure to overseas pension risks, as well as trying to ensure competitiveness of their benefits packages to attract and retain high-performing talent. Shintaro Kitano, Principal and Chief Actuary, Mercer Japan’s Retirement, Risk and Finance Division commented, “Traditionally, Japanese companies delegated decisions around overseas pension plans to the local subsidiaries, mainly due to the language barrier. The business environment, however, has become far too global and volatile to allow that to continue. There is a growing demand at Japanese headquarters to search for ways to manage their overseas pension plans more effectively, in order to fulfil their accountabilities.”

local scrutiny. Dr Arp explained, “Not unexpectedly, FELO appointments were initially aimed at temporary roles and the grooming of local successors.” Initial appointment reasons include a variety of hard skills. Firstly, the soft skills of FELOs, their people-management style, hostcountry involvement, and progress with the internationalisation of the local organisation often make the ‘successor issue’ redundant. The ‘graduation date’ is postponed while awareness grows of the need for long-term capability building. Secondly, while the study does not suggest that FELOs are better managers

than their local peers, their unique in/ out group status has given them a range of options that local colleagues do not have. Thirdly, appointments of foreign executives could bring an image—or reputation—gain to local organisations in both domestic and foreign markets. With more international experience and ostensibly better formal qualifications than their local peers, FELOs are seen as aiding local organisations in their portrayal of being ‘internationalised’—adopting international standards of corporate governance and business practice.

Shared services save Scotland £12M The Convention of Scottish Local Authorities (COSLA) has won the award for ‘Best example of shared services in practice’ at the UK Public Sector Digital Awards through the creation of its www.myjobscotland.gov.uk career site. COSLA estimates that the site, which receives around 2.5 million visits from jobseekers each year, saves over GBP12 million in advertising costs alone annually. Today all 32 Councils and all 8 Fire and Rescue Services in Scotland use the site for their vacancies. Lumesse has worked with COSLA to build a site that not only saves a great deal of money, but also improves the candidate experience, raises the profile of public sector employers and expands the available pool of jobseekers. Myjobscotland has transformed the market in Scotland, reducing annual advertising spends from £16 million plus prior to 2006/7 to less than £4 million in 2009/10. From its launch in

2008, usage of the site has grown massively. Projected annual savings of 50% in press advertising have been scaled up to 80% and are rising. At present, an average of 1,500 jobs are posted each month. Counsellor Michael Cook, COSLA’s Spokesperson for Human Resource Management, who has responsibility for strategic HR across the entire Scottish local government workforce, said, “I am delighted that myjobscotland has been recognised in this way. The way that councils recruit their workforce has been completely transformed. We have had councils and government departments from across the UK and indeed from Europe coming to see how we have achieved this success. There is immense scope for other partners in the public sector, from NHS to higher education, the Civil Service to the Police, to make really substantial savings while providing an improved service.”

Summer 2012

HR news

HK employeesâ&#x20AC;&#x2122; English lags behind Philippines, India & Singapore

BEI (1-10)

average global English proficiency (4.15%)

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Graph showing ranking of employees in terms of English proficiency

A new international index released by GlobalEnglishâ&#x20AC;&#x201D;which ranks over 100,000 employee test takers around the worldâ&#x20AC;&#x201D;revealed a lack of English skills is undermining staff performance in many countries. Hong Kong employees, although showing the best English competency skills in Greater China, still have poorer English skills than their Filipino, Indian

and Singaporean counterparts. The Business English Index (BEI) ranks business English competencies of employees from beginner to advanced skills based on a scale of 1â&#x20AC;&#x201C;10. A BEI score of 1 indicates the basic ability to read and communicate in English while a score of 10 represents an ability to communicate like a native English speaker. The average 2012 BEI score is

4.15, reflecting a 7% decrease from the index recorded in 2011. Despite the growing popularity of Mandarin for conducting business in Hong Kong, English is still essential for career advancement, as leadership positions for Hong Kong and China based employees require communication with business partners from around the world.

First job search App linked to LinkedIn Professionals can now search and apply for thousands of jobs quickly and easily with this just-released job search app. The app released by Robert Walters, is currently the only one that provides global job search capabilities and allows users to register and apply for jobs directly using their LinkedIn profile. Designed for professional jobseekers, the App gives access to thousands of jobs across almost all professional sectors. The Job Search App is linked directly to Robert Waltersâ&#x20AC;&#x2122; online job search

Â HR Magazine

function. Users can choose to register with Robert Walters as a potential candidate to search for jobs or log in using their LinkedIn account to search/apply for jobs directly. Jobs can be searched for by country, region or city; skills; salary or by keywords. Users can also save favourite jobs and job searches and keep track of applications via the history function. Search for â&#x20AC;&#x153;Robert Walters Job Search Appâ&#x20AC;? via the iTunes App Store to download.

HR news

High flyers missing out on bonuses Survey shows mixed picture on bonus front

The eFinancialCareers 2011 APAC Bonus Survey, encompassing the views of over 1,200 finance professionals from the region including 343 from Hong Kong and China, revealed this year’s bonus trends and it’s a mixed picture. Whilst a third of surveyed finance professionals in APAC experienced a decrease in bonuses in 2011, a similar proportion enjoyed an increase and those surveyed in Hong Kong and China fared slightly better than their counterparts in Singapore. Top earners across the region saw the highest decrease. Those in the highest salary quintile—with the top 20% salary levels—were much more likely to report a decline in bonus, 47%, than those in the bottom salary quintile, 29%. ‘Personal performance’ was mostly cited as the reason for increased bonuses and ‘firm performance’ was cited by those who experienced a decrease in their bonus amount in 2011. Respondents were asked about ‘satisfaction’ with their bonus and also how it compared to their expectations. Across the region, satisfaction levels

BUPA’S Dr Sneh Khemka on JCR board Joint Commission Resources (JCR) recently announced the appointment of Dr Sneh Khemka, Medical Director at BUPA International, to its Board of Directors. JCR is a not-for-profit affiliate of The Joint Commission, which seeks to continuously improve public healthcare by evaluating healthcare organisations and inspiring them to excel in providing safe and effective care of the highest quality and value. Sneh’s term on the Board runs to December 2014.

with bonus payments were at their highest in Australia, where nearly half said they were either very satisfied or somewhat satisfied. This compared to four in ten respondents in both Singapore, and Hong Kong and China. The highest 2011 mean bonus in the region was also paid in Australia, and the lowest in Singapore. In Hong Kong and China, 37% of respondents reported their bonus ‘was beneath expectations’. Only 11% of financial employees in Hong Kong and China said their 2011 bonus ‘exceeded expectations’. “Considering the results from the investment banks in the second half of 2011 these figures should be of no surprise. Disappointment among finance professionals, however, should not be ignored, as it is a legitimate source of concern. Firms may not fear retention reprisals this season, given the targeted layoffs and moderation in recruitment activity, but top performers may consider moving on if a better opportunity comes along,” commented George McFerran, Managing Director, Asia Pacific, eFinancialCareers.

Mobile healthcare for mobile employees

HR now have a little less to worry about when members of staff are overseas as ihi Bupa has launched a free iPhone and Android app enabling customers to access their policy information wherever they are. Called ‘myCard’, the app conveniently stores the customer’s policy information on their mobile device and offers a PIN protection system for enhanced security. Customers have access to the company’s dedicated emergency medical centre, staffed by a team of multi-lingual doctors and advisers, who arrange hundreds of emergency evacuations and repatriations each year and offer medical advice and guidance 24 hours a day. The app will provide a direct link to this emergency helpline and can translate vital authorisation information into over 50 languages—meaning customers can get access to the treatment they need as soon as possible. Jan Madsen, Managing Director, ihi Bupa said, “Being ill when you’re away from home, in a foreign country with a language you don’t necessarily speak, can be a really distressing time. Being able to instantly show your doctor what is needed so Bupa can authorise payment for treatment means unnecessary delays will be a thing of the past.”

Summer 2012

HR news

Agriculture leadership programme Dr Pearse Lyons, President, Alltech recently announced the launch of the Alltech Graduate Development Program which will recruit up to 20 applicants annually from around the world and prepare them for future managerial and leadership positions in the agribusiness company. Lyons said, “As an entrepreneur I come up with new ideas for my business daily. As Alltech continues to grow, towards a $4 billion company, I need the right people in my organisation to implement and add value to these ideas.” The graduates will work with top specialists in the fields of science, aquaculture, marketing, veterinary science, IT, business and biotechnology.

Employee volunteer month

Give & Gain Day 2012 was celebrated on 18 May 2012. The event organised by Community Business was an important milestone in the month-long international employee volunteering campaign held throughout May. The programme provides an international platform for companies to demonstrate both their commitment to employee volunteering and their community ethos. Companies of all sizes and from all industries were invited to take part and HR managers encouraged

to motivate staff to volunteer to help those less privileged than themselves during May. Companies should support their employees’ efforts by affording them the appropriate resources, and, if need be, time away from the workplace. They may simply support individual volunteering or organise company volunteering events either during employees’ free time with compensation leave granted or during working hours.

HK talent acquisition sprees planned American Express/CFO Global Business & Spending Monitor forecasts modest business expansion, R&D, M&A and increased headcounts. Big plans for hiring are afoot in Hong Kong, with 60% of Hong Kong-based CFOs planning to increase headcount over the next twelve months. Senior finance executives worldwide are also expressing moderate optimism about the prospects for economic growth over the next twelve months. This according to the fifth annual American Express/CFO Research Global Business & Spending Monitor: a survey of over 500 senior finance executives from the US, Europe, Canada, Latin America, Australia and Asia.

‘substantial’ expansion over the next twelve months. This figure is, however, significantly lower than the 79% recorded in 2011. In terms of when the global economy will gain strength, nearly half of the world’s finance executives believe that ‘robust’ economic growth will return in their countries by the end of this year. Hong Kong’s finance executives are most bullish, with 83% of them expecting the local economy to return to robust growth by the fourth quarter of 2012.

Optimistic outlook

With expected improvement in economic conditions, the majority of Hong Kong CFOs say that they plan to increase headcount over the next twelve months with only 26% saying they plan to reduce jobs. This is slightly more

Finance executives continue to be optimistic about the economy. This year, 57% of Hong Kong executives— compared to 64% of all respondents— report expectations for ‘modest’ or

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positive than the situation in other countries surveyed, where 53% of all respondents express intention to hire while 30% plan to decrease headcounts, likely because of persistent economic uncertainty in some other markets.

More Specialists

A majority of companies that are hiring will be looking to acquire specialised skills, expertise or experience: 60% for Hong Kong and 53% of companies overall. This motivation for hiring comes in well ahead of ‘adding jobs in order to expand production capacity’: 17% for Hong Kong; 20% of companies overall or ‘restoring capabilities that were reduced in recent years’: 20% for Hong Kong and 17% of companies overall.

HR news

Incentives & economic confidence down in APAC STI trends indicate declining business confidence in Asia Pacific, Latin America and North America, although there is cautious optimism in EEMEA, Australia, New Zealand Pay data just released by Mercer on the use of Short-Term Incentives (STIs) has highlighted surprising indications of nascent business confidence in Western and Eastern Europe, Australia, New Zealand and the Middle East. The data, taken from 21,000 companies in 62 countries also indicates a weakening in confidence for companies in Asia Pacific, Latin America and North America. The data from the report: Short-Term Incentives around the World draws on annual incentive information from over 7.6 million employees across the globe. Hans Kothuis, Asia Pacific Rewards Leader, Mercer explained, “A key criterion for the funding of bonus awards is successful company performance. So, if a company is

predicting that it will pay out less to executives in 2012 than it did in 2011— as our data shows is happening in certain regions—it indicates that companies expect their financial performance to be worse in 2012 than in 2011. The reverse is also true.” He added, “STI predictions for 2012 are a good reflection of business confidence…Based on our data, there is better confidence in Western and Eastern Europe but evidence of a weakening in confidence in the Americas and Asia Pacific. Business sentiment and economic conditions can change rapidly so we’d anticipate seeing some difference in the actual amounts distributed.” The percentage of executives receiving STIs is increasing in New Zealand and Australia from 56% of executives in 2009 to 67% in 2011. The longer, three-year

trend from 2009 to 2012 on STIs as a percentage of base salary across APAC and Australia/New Zealand is moving upwards, with awards increasing by 2.3% and 2.6% respectively. However, the data suggests that in the short-term confidence is dipping. In 2010, companies in APAC predicted STI payouts for 2011 to be 22.2%, yet actual payments were higher at 23.3%, reflecting the economic confidence of the region. In contrast, payouts in 2012 are expected to be 22.1% suggesting a more cautious outlook. Employers in New Zealand and Australia are an exception here, anticipating a marginal increase in 2012—from 21.6% paid out in 2011 to 21.9% expected this year.

Lack of local leaders Asia’s future leaders missing out on promotion Finding the ‘right’ people with the right skill sets to be successful, both in the Asian context and internationally, is notoriously hard. The rapid rate of development coupled with competition between western multinational companies and successful large Asian companies ensure that this is ever more difficult. A new report, entitled: Adopting an Asian Lens to Talent Development calls for companies to develop a more targeted approach to talent development in the region. Carried out by Community Business’ Diversity & Inclusion in Asia Network (DIAN), it found that the current management level demographic heavily underrepresents Asian talent in the region. In fact, leadership roles are often held by highly skilled and experienced executives transferred from the corporate headquarters of western multinationals to manage and drive operations in emerging markets in Asia, as has been established

practice for many years. As a result management positions in the markets of Hong Kong, China, Singapore—and to a lesser extent India—contain a glaring lack of local talent. In addition, many multinational companies admit that within their Asian branches leadership and advancement opportunities that should be presenting themselves in due course to Asian employees are not materialising; Asian leaders are not only inadequately represented in leadership roles at a regional level but also at a global level. Kate Vernon, Managing Director of Community Business and co-author of the report remarked, “There is a concern that approaches towards talent development may not be truly inclusive and that companies are potentially overlooking key Asian talent in the pipeline.” The premise of the research was that many of the obstacles are rooted in traditional ways of operating, and an over-

reliance on ‘Western approaches’ that may no longer be appropriate to the expanding global context. The study sought to challenge that, calling for companies to ‘adopt an Asian lens’ by examining the strengths that Asian talent can bring to organisational success, scrutinising talent assessment processes to ensure they are not inherently biased and developing targeted approaches to development that meet the needs of talent in this region. Leading companies are beginning to examine their approach to talent development—taking steps to better understand their Asian workforces and scrutinising their talent assessment processes to ensure they are appropriate to the local context. Vernon noted, “As more companies understand the significance of Asia to their market strategies, they are recognising the urgency of attracting and retaining top talent and building a strong pipeline of future Asian leaders.”

Summer 2012

HR news

numbers

72% The percentage of employers who are planning to award salary increases in 2012 based on performance.

70%

The percentage of companies in mainland China who plan to hire fresh graduates in 2012. And with over 6 million fresh graduates coming out of universities in China each year, they’ll have plenty to choose from. Source: 2012 research on 335 business decision-makers in mainland China carried out for Regus.

25 million

Source: Michael Page Salary and Employment Forecast 2012

50%

The percentage of employers in APAC—including SMEs, midsize companies and MNCs—who plan to enhance their employee health programmes in the next two years through an expanded use of health risk assessments. Many will also launch intervention programmes to better manage stress and chronic disease among their employees. Source: Mercer Marsh Benefits Survey

2,423 12

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The number of LinkedIn users in APAC Source: LinkedIn

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. 2,423 2,000

The average number of job postings in APAC in Q1, 2012

1,000

Source: eFinancialsCareers Q1 2102 Job Barometer 0

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62% 85%

The percentage of Asian companies that are likely to send their staff on international assignments within Asia from now until 2014.

The percentage of employers who believe salaries will rise above inflation rate due to a skills shortage over the next 12 months. Source: Michael Page Salary and Employment Forecast 2012

42%

The percentage of employers who will award salary increases in the range of 4-6% in 2012. A further 26% of employers are planning to offer increases between 3-4%. Source: Michael Page Salary

Source: 2011 Talent Mobility Study by

and Employment Forecast 2012

Towers Watson

43% 33.3% The percentage of Hong Kong professionals who accept their first job offer.

The percentage of Asian companies who project an increase in international assignments from now until 2014.

60% The percentage of companies planning to increase headcount in the next 12 months.

Source: Fifth Annual American Express/CFO Research Global Business & Spending Monitor

Source: 2011 Talent Mobility Study by Towers Watson

62%

The percentage of organisations that reengineered key HR processes within the last 18 months.

90% The salary hike recent junior HR candidates in Beijing have received to move company. Source: Profile Salary Survey, Human Resourcesâ&#x20AC;&#x201D;Hong Kong,

Source: Robert Walters Global

Source: 2011-2012 HR Service Delivery and Technology

Singapore, Shanghai,

Web Poll 2012

Survey by Towers Watson

Beijingâ&#x20AC;&#x201C;April 2012

Summer 2012

HR news

Report shatters DHL’s good conduct claims Global trade unions recently unveiled a report into how Deutsche Post DHL treats its workers, at the company’s AGM in Frankfurt, Germany in early May. They launched a white paper entitled: Corporate Irresponsibility, Deutsche Post DHL’s Global Labour Practices Exposed, which exposed alleged records of union avoidance outside of Europe and overuse of temporary or agency workers. Shareholders were urged to help clean up the logistics multinational and ensure that high standards were met throughout its operations. The research carried out by UNI Global Union and the ITF (International Transport Workers’ Federation) purports widespread and systematic abuses regarding freedom of association and precarious work. It alleges that in many countries— including Malaysia, Indonesia and India—subcontracted workers have been paid substantially less than regular workers while doing exactly the same work. In Colombia, Costa Rica and South Africa, the company is also said to have forced workers to submit to lie detector tests, in spite of the company’s initial position that it did not tolerate the use of such tests. The company has also been fined substantial amounts of money for health and safety violations, notably earlier this year in the US where DP-DHL subsidiary Exel was fined almost USD300,000. The report provides evidence holding the company to account and demanding it meet its aspirations as a responsible enterprise in every country where it operates, not just in its home base, Germany. The campaign is being supported by the 175-million member International Trade Union Confederation (ITUC). As well as targeting the company’s

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leadership, the unions will also seek to persuade shareholders that this is an issue for them too, and have written to them to say: ‘We find it unbelievable that a company of Deutsche Post DHL’s size and aspirations can find itself unable to put a figure to the number of agency workers it uses, even though many of them are on poverty wages and are being put at risk of injury and death. We find it unacceptable that DHL workers have suffered intimidation, bullying and worse, and that the company can’t even get its facts straight on the use of lie detectors against staff.’ Philip Jennings, General Secretary, UNI Global Union commented, “If I were a shareholder, I would be asking some serious questions. DHL’s global practices are a definite risk to the company’s ethics, reputation and image. This new report shows a shopping list of labour violations. DHL clearly needs to address these concerns if it is to be seen as an ethical and responsible global operator.” David Cockroft, General Secretary, ITF added, “At its best this company is very good indeed. At its worst it is racking up fines, allowing shameful abuses such as the use of lie detector tests and intimidation against innocent workers and using workers employed on the cheap and with inadequate protection. Yet the high corporate responsibility ideals it aspires to are almost within its reach. It just needs to guarantee a decent standard of treatment for all its workers, not just some.” UNI Global Union and the ITF are continuing to encourage DHL to sign a global framework agreement to help ensure that the company respects the same core rights of its employees in every country in which it operates.

MPF changes leave some staff short changed

With effect from 1 June 2012, the maximum relevant income (RI) level for the purpose of determining contributions to the Mandatory Provident Fund (MPF) in Hong Kong will be increased from HKD20,000 per month to HKD25,000 per month. The move follows the previous change, effective 1 November 2011 which increased the minimum RI from HKD5,000 per month to HKD6,500 per month. These changes have several implications for employers. Firstly, this will result in higher employer contributions for basic MPF plans, and may also mean a lower takehome pay for certain employees. For MPF top-up plans, a higher proportion of the benefits will be immediately vested. This may bring a potentially higher net employer cost and, according to Tower’s Watson, the need for HR to review the Occupational Retirement Schemes Ordinance (ORSO) vesting scale. Changes in the maximum RI may also increase the MPF preservation amount for ORSO members. Looking longer-term, the higher MPF levels may lead to lower longservice and severance payments and bring higher tax relief for contributing members. In any event, with the changes afoot, it is a prudent time for HR to review plan documentation, internal processes and systems related to their MPF scheme(s).

Cover story

Eric Bohm, CEO, WWF-HK reveals how he brought HR back from the brink of extinction and transformed it into the backbone of the organisation. Summer 2012

Cover story

Scoping out the world’s best talent on a shoestring budget In 2004 the WWF-Hong Kong was almost bankrupt, HR policies were practically non-existent and there was little, if any, room for manoeuvre when it came to staff. Eric Bohm, CEO of the WWF in Hong Kong explains how he helped establish a set of integrated HR policies alongside a strategic business model to help the organisation navigate through these troubled waters. We look at strategic HR functions under the NGO umbrella and how HR can start with almost nothing and yet quickly become the backbone of an organisation’s survival.

Stage 1: crisis mode

By 2004 the WWF in Hong Kong had shrunk to a shade over 53 employees— primarily focused on education. Bohm quipped, “You can tell times are tough when ‘Directors’ become ‘Directors of various business functions’. These multiple titles can include Director of Finance and Administration, Director of Conservation and Education, Director of Marketing, Fundraising and Communication— effectively fewer people covering more ground.” He added, “There were disaffected donors, a disaffected public and the Government was also ticked off with us. It was a difficult time and the staff were very demoralized. A decision was made not to reduce the headcount but instead to cut the salary burden.” Bohm explained that, at that time, there was no plan, nor was there any concrete HR policy. The organisation lacked a strategic plan to develop employees and he conceded the modus operandi was very much: let’s survive day by day. The top priority was simply to get enough cash to meet the payroll and keep the organisation afloat. The HR function that existed at this time was tasked with basic back-office functions such as ensuring MPF contributions were being paid and that medical insurance policies were in order. However, there was little—if any— focus on career development or training programmes which could enable staff to enhance or learn new skills.

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Photo courtesy of WWF-Hong Kong

Cover story

Earth Hour 2009—WWF, Hong Kong.

Stage 2: metamorphosis

Implementing new ideas to build a more strategic HR function did not phase Bohm. As he put it, “No matter what you did, it was bound to be better.” It was time for a HR shakedown of epic proportions and Bohm came up with a series of five key goals to help lift WWFHong Kong back on its feet again. Bohm’s primary goal was to re-establish WWF as the premiere conservation organisation in Hong Kong, South China and indeed the whole Asia Pacific region. Employees were told to step back and take a broader view of what they wanted

to achieve. Number two on the wish list was to morph the organisation into the NGO employer of choice—attuning the organisation’s HR to the business model and turning HR into a strategic tool. The HR function set a KPI which revolved around reaching the point at which somebody, who WWF had not advertised for, would come knocking on their door saying that they’d heard of WWF and would like to work for them. Bohm predicted that this would occur in two years, in reality it took three, but the thing that was most important was that it actually happened.

Eric Bohm, CEO, WWF-Hong Kong shares HR insights and reveals how he brought WWF’s HR back the brink of extinction and turned it into the organisation’s backbone.

Stage 3: performance management

A performance review system was installed to help understand where learning gaps existed. Bohm pointed out that it was important for the organisation to question: what do we have to offer our employees for them to be able to fulfil their function and to get that sense of achievement? The missing link was training, and several programmes were established alongside a two-way appraisal system. In this way, it became much easier to establish what managers felt employees needed and what employees felt they needed to fill skills gaps. Performance appraisals were designed to consider both short-term training needs and long-term strategic objectives. Bohm noted that introducing appraisal forms can be worrying for employees— with many hitting the panic button, and conceded that some managers might be tempted to use them as a tool of intimidation. Bohm worked for the Bank of Montreal in Canada when they first introduced Mckinsey & Co’s performance appraisals and at that time they came with a rating system which panicked many employees. He cautioned against simply handing appraisals to employees without explaining anything to them. Bohm advised HR to ensure that appraisal objectives are always outlined and that it is always made clear to staff how the appraisal and its rating system fits into the corporate culture and how

Summer 2012

Cover story Planet HR

they will help the employee achieve their own objectives. Bohm added that the NGO and corporate worlds are driven by completely different ethos—the NGO is driven by consensus while corporation tend to be driven by market forces and shareholders. In the NGO world, the biggest fear is often not that employees have their performances appraised, but rather where is the box that allows the employees to appraise their boss. A 360-degree appraisal won’t work in a consensus-driven organisation. Bohm explained, “This frequently means that the ‘perceived threat’ is simply moving upwards. I didn’t want to do that as it’s premature when you’re trying to bring an organisation along.” The fact that WWF-Hong Kong now has over 100 members of staff is evidence enough that the goal of becoming an NGO employer of choice is now a reality— largely due to these HR practices. When asked why the Hong Kong talent pool was special, Bohm asserted that the SAR has a huge pool of well-trained

what he believes in and yet still be able to step back and laugh at himself has allowed Bohm to stand up to corporations who he felt needed to develop a more mature approach to corporate social responsibility. In terms of what HR can do to help, in this regard he advised, “Be aware of your footprint. Corporations need to take the consequences of their actions into account.” Bohm cited an example where, at a recent international conference, delegates were complaining about the steep airline taxes required to fly into the EU, he asked the audience how many had flown into Hong Kong to be there— around 60 out of 100 had done so. However, when asked if they had purchased carbon offsets—less than five raised their hands. The name of the conference: Greener skies. Q.E.D.

Stage 5: succession planning talent with a wide stream of skills and people who are driven to succeed. WWF-Hong Kong’s new-found ability to attract such people is cause alone for celebration among the HR team. Bohm commented, “I’m the luckiest CEO in Hong Kong and the reason is I have the best staff. I don’t have to spend a penny on making my employees brand passionate—it’s a given.”

Stage 4: beyond the workplace…CSR Bohm clearly has at least one thing in common with the people of Hong Kong—he is driven to succeed. CEO of WWF-Hong Kong was clearly not an easy job as there was a revolving door of CEOs in and out of the organisation around the start of the millennium. Bohm was the fourth CEO in three years—but his battle plan was clear cut—he stated, “I love a good fight and the most under-rated thing in management today is a keen sense of humour.” The ability to fight for

Unless your personal evolution has left you under a rock for the last 20 years, it is hard not to have noticed the revolution currently occurring with social media and how HR teams are beginning to harness this as a means of leveraging talent pools both within and outside their organisations. Bohm stressed the importance of investing in people who know how to communicate using these tools. Social media platforms such as Facebook and YouTube can now merge as one and HR needs to invest resources in training people on how to make the most of these dual-message pathways. Bohm concluded, “One of the greatest flaws an organisation can have is to treat staff costs as an expense. Investing creates longer relationships, changes mindsets and makes people feel that they’re an asset. If you fail to invest— don’t sit around and wonder why your competitors are beating you—it’s a huge missed opportunity.”

HR Magazine Photographer—Adam Photographer - Adam Minu Minu

er dam - Adam Minu Minu

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HR salaries up 40% Competition hots up as HR returns to war for talent

The latest Salary Survey—Human Resources conducted by Profile Human Resources sheds light on shrinking talent pools in Hong Kong, Singapore and China with some salaries up by as much as 40%. China

Hong Kong

Singapore

Hong Kong at war

In Hong Kong, Regional HR Director roles have been scarcer across all sectors and junior roles have been more abundant— there is a lower cost and risk attached to them which make them easier for an organisation to justify. Learning & Development as well as Organisational Development are two areas which are seeing growth. Some organisations foresee a return to the War for Talent in Asia in the coming months and are getting their houses in order to retain top talent. Hong Kong’s local talent pool is set to shrink from 2017, due to its falling birth rate, and the supply of skilled candidates is set to become tighter; employees who are being looked after in terms of development and career planning are likely to be more loyal in future. For HR professionals moving between companies, salary hikes have been and will be subdued. Over the last six months, salary increases of 5 – 10% were typical with 15 – 20% hikes for very specialist, hard-to-find skill sets—these types of increases will most probably continue to be seen for the next three to four months.

Singapore salaries soar

Singapore has witnessed a marked increase in the number of Learning & Development and Organisation Development roles in the HR field. This seems to be, for the most part, a move by forward-looking organisations looking to retain top performers as Singapore heads into, it is hoped, another upcycle later this year. In line with this, Diversity & Inclusion roles have also been in vogue. Top performers were looked after in many organisations with the smaller amount available within bonus pools going to them. Companies have been very keen to hang on to their employees who add the most value to the organisation. 2011 saw a much more polarised pay-out strategy when it came to base salary increases and bonuses. In Industry & Commerce bonuses of 10-15% were common for junior to mid-level HR staff and 15-25% was the norm for more senior roles, with 30-40% being seen for very senior Regional HR Directors who had performed above and beyond. For HR professionals moving between companies over the last 6 months, base salary hikes of 5-10% have been the norm, with 15% being seen, on occasion, for very specialist roles.

China, finders keepers

The twin issues of finding and keeping talent are currently still the two largest problems facing HR in China. Finding strong HR leaders who have been exposed to best practice and can think strategically has become crucial for organisations looking to survive and grow in China. As such, HR is increasingly earning a bigger seat at the table and this bodes well for HR generally within China. Expatriates, many of whom are not fluent Mandarin speakers, will remain in some key HR posts but their numbers have started to, and will continue to, dwindle. A quarter of HR professionals across all sectors and levels received a salary increment of 8% or more. Still, three quarters received an increase of under 8% and when offers of 15% or more are presented to candidates to move companies, job hopping will continue to be an issue. As a retention tool, companies with less brand recognition have been found to be far more generous with bonuses. Big brands have paid out less in bonuses, perceiving that employees are retained via the loyalty to the brand as well as through receiving an enhanced learning and developmental experience working for a company which is usually more progressive in its HR practices.

Summer 2012

Learning the ropes of HR HR features

HR Magazine went along to welcome the Hugo Boss yacht crew as they moored off Tsim Sha Tsui pier on the Hong Kong leg of its 2012 Asia. We took the opportunity to corner its skipper Alex Thomson of Alex Thomson Racing team to find out why he has the best job in the world and what he thinks other team leaders are doing wrong. Alex Thomson, who became the youngest ever skipper to win around-the-world yacht race, aged 25.

Challenges

With a yachting career that has been dealt its fair share of drama, we asked Thomson what was the most challenging moment he had endured on his travels. There were two events which came to mind, he said, firstly in 2006; racing solo halfway between Africa and Antarctica, the keel of his boat broke and it capsized. Fortunately, another sailor diverted his course to come to his aid. Thomson laments not so much missing out on the race but rather the loss of his boat with which he had accomplished many firsts in his sailing career and had had many great experiences: “It was like losing a good friend.” Secondly, he recalled the Vendée globe race in 2008, a fishing boat crashed into his boat shortly before the race began. Despite the determination, effort and support of his crew and even other competitors to get the vessel sea-ready again, the damage dictated that the team had to retire from the race. Thomson asserted, “To do this type of job you need to be the sort of person that is focused and loves challenges and surprises—when you’ve decided to do a

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race you’re almost prepared to do and put up with anything to get there.” He credited the support of Hugo Boss and his on- and off-land ‘family’ with keeping him going, the responsibility they feel towards one another translating into an obligation not to let each other down.

Crew checklist

When recruiting members to join his team, Thomson considers it most important to be honest about the effort required, “We tell them just how much commitment they will need to make—it’s better to scare them off then than later!” Team members must have good communication skills, a faultless attention to detail and the ability to work under stress. Anyone with a big ego need not apply as, for a team working in such conditions, it does not bode well. Thomson revealed that sailing is a profession he fell into after previous plans to follow his father’s footsteps in becoming a pilot fell through due to bad eyesight, this made him start to think of the potential in his at-that-time hobby: sailing. Fortunately, he was able to make it his career. He shared,

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Paul Arkwright, Publisher, HR Magazine gets AlexThomson’s take on managing staff teams in adversity.

“

When you’re doing something you love—then you want to run to work. It’s so important to be passionate about what you do.

Advice to leaders

Alex Thomson has become infamous in the yachting community and a hit on YouTube thanks to his keel-walking stunts dressed top-to-tail in his Hugo Boss best.

Thomson advises other leaders to identify their team’s skills and use them, “I am a sailor, but when I’m on the boat I’m a people manager first.” Some crew come onto the boat with little to no sailing experience, having paid for the opportunity. “It is important to realise that each and every one of them will have something valuable to bring to the table, whether it be looking after other crew or navigation.” The experienced skipper then reminisced about a time he was second guessed by a crew member with little more than basic training who had been on board for only five days, the junior suggested that the route Thomson had proposed was no good and

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that they should follow an alternative route. The junior was right, “It just goes to show, you should have open communication with your team to be able to use them to full advantage.” Another vital part of leadership is coping with stress, as a leader you are responsible for managing the whole team and making sure everything goes to plan so you must be sure to keep control of on-board stress levels, “Not only your own but your team’s too.” The biggest mistake Thomson feels leaders make is micromanaging, “You need to share the responsibility, let people make mistakes. Then you, as the leader, will have time to take a step back observe, consider strategy and truly lead.”

Summer 2012

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David Thorpe, Chairman, SHL addresses over 500 HR practioners at the SHL LINK Greater China Conference in Shanghai

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Watch out China ...SHL is coming Not an organisation to do things by half, SHL are making their presence known in China, and how. The SHL LINK Greater China Conference 2012 was held in Shanghai in May, and gave an international line up of HR professionals the chance to share latest best practices on talent acquisition and management. Highlighting what HR needs to consider for the future of strategic staff assessments, speakers revealed what smiling, Viagra and putting airplane engines into air conditioners had to do with performance assessment and innovation in HR.

Strategic assessment

Mike Tims, President, Asia, Africa and Middle East, SHL, kicked off the conference by explaining what strategic assessment actually means and how without it an organisation may often lose some of the best potential candidates by the time they arrive at the office for their first day of work. Previously, assessments of individuals were compared but now HR has become more sophisticated and compares ‘groups of talent’ to gain better strategic insights into the effectiveness and capabilities of discrete talent pools. Tims cited an organisation which previously had to look outside its own talent pool 90% of the time to recruit for senior marketing positions. More recently, following quantitative assessment of their own talent pools, the organisation can now identify top performing talent early in their careers, and plot a career path for them that helps not only keep them within the organisation, but also significantly reduces costs associated with bringing in external hires. When looking into the future, Tims said HR needs to consider three factors: 1. diversity—thinking internationally and working out where the organisation can get the best people; 2. candidate experience—what does it feel like for the candidate as the recruitment process will be their first impression of the organisation; and 3. social networks—as a point of contact with international talent pools

Panel Discussion: Moving HR into the Driver’s Seat— David Hanna, Eddie Ng, Robert Morgan, Angela Xu, Erik Schmit

Referring to social media, Tims predicted, “This is probably going to dis-intermediate the recruitment industry within the next 2 – 4 years.”

Revenue maximisation through talent data

HR professionals are not known for their love of spreadsheets but HR data and key metrics are becoming more and more important to push orgnisations in the right direction strategically. Jeremy Shapiro, HR Executive, Morgan Stanley

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asked, “Should we only ask to be aligned?” Simply aligning HR with an organisation’s business strategy is not enough—HR helps to shape the business. Shapiro cited the case of Caesars Entertainment in Las Vegas, USA—a business which wanted to keep customers in casinos for longer. The Casino measured ‘smile frequency’ among its frontline staff and it was discovered that if a customer was not smiled at, at least once every 10 minutes, they were much more likely to leave the casino. From a training perspective this was a ‘good behaviour’ that

This is probably going to dis-intermediate the recruitment industry within the next 2 – 4 years. Summer 2012

”

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understanding of the local culture by GMs is crucial if a business wishes to successfully run an office there. With this in mind, their succession strategy began to involve the use of ‘feeder roles’ whereby for example, a GM in Hong Kong may be favoured for a move into China, over a European GM, as the sensitivity and culture fit of Hong Kong GMs is more aligned with that in mainland China. Internally, Wong expects 20% of each organisational level to have the potential to move up. She asserted, “Succession planning is an insurance plan.” She advised that organisations cannot afford to overlook it.

Buy before you try

Eugene Burke, Chief Science & Analytics Officer, SHL.

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could be inculcated fairly easily. The result was that, by virtue of analaysing and modifying employee behaviours, HR was able to add millions of dollars in revenue. Another way HR was able to turn data into a competitive advantage came from a recruitment perspective. The casino relied heavily on assessments to find the right people for the right job and so built in a workforce forecast to the recruitment campaigns. This allowed them to look 14 weeks ahead at staffing needs for the future—and allowed them to maintain optimum staffing levels at all times. Again, HR was able to save the organisation millions in revenue.

Putting airplane engines into air cons

Shapiro highlighted the importance, and financial benefits, of HR fostering a culture of innovation within their organisations. Citing a case study from United Technologies where one group of engineers working in the refrigeration and air conditioning section were looking for ways to reduce the heat created by air conditioners. Meanwhile, another group of engineers in the aerospace division had already developed heatexchange technologies to help dissipate heat generated in jet engines. When the two groups of engineers met by chance in a relaxed setting on a cross-departmental

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People grow their careers at the pace they desire.

corporate function, and got talking the realisation dawned that the jet-engine technology could be applied to the air conditioning units. By allowing information transfer, and subsequent technology transfer across business units, the organisation was able to create the number one selling heat exchanger in the market. This innovation happened by chance and such were the financial benefits it brought about, that United Technologies began mapping social interactions of employees to see where ‘more accidents’ could be created.

Star people attract and recruit star people

Elisa Wong, Vice President Human Resources, Hilti Asia Pacific explained that having the right leaders in place at GM team levels allowed everything else to fall into place. In 2004, being a European business the GMs at Hilti were originally all expatriates. As the company grew to better understand the importance of ‘cultural fit’, they knew that in places in which this sensitivity is high, such as Japan, a deeper

Unilaterally dictating the direction in which an employee’s career develops will inevitably help you lose that employee, especially if they have very different ideas on how their career should develop. Christoph Bonert, Head of Global Talent Acquisition, Philips International suggested that talent pools which derive from an exclusive approach are something of the past. An inclusive mindset which avoids looking at talent pools and a move away from standardised global processes will produce more effective succession planning. Bonert said, “People grow their careers at the pace they desire.” He noted that he is still trying to answer the elusive question as to how to attract talent without exclusive pools, but he believes that interaction between employees and external candidates is key. He called this ‘Pre-purchase behaviour’ through which external candidates can find out from internal employees if the organisation is for them. Typically a vacancy is posted, employees react and then the position is filled. Employees, however, can be passive and hence don’t step forward for a position. Bonert exerted that social media is now developing to assist with internal headhunting, in that employees no longer ‘apply for posted positions’ but are rather made aware of potential opportunities before a position is actually available so that they are better prepared for future career moves. Bonert quipped, “Line managers are somewhat dubious as they may now believe: talent management is now hunting my people.”

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Mike Tims, President, Asia, Africa and Middle East, SHL

Elisa Wong, Vice President Human Resources, Hilti Asia Pacific

Arthur Wang, Recruitment Director, Deloitte China

Jeremy Shapiro, HR Executive, Morgan Stanley

Find your fit

Arthur Wang, Recruitment Director, Deloitte China demonstrated how his organisation had developed the concept of ‘Pre-purchase behaviour’. Wang showed delegates Deloitte’s ‘Find Your Fit’ online quiz which offers prospective employees the opportunity to see how well they fit into the organisation’s culture. On prospective employees, Wang commented, “The more they know, the stronger their desire is to get closer to us.” He added that many fresh graduates are not very down to earth and may lack practical experience—and that the company’s website gives them a real scenario to better understand Deloitte’s real working environment.

What should HR be doing?

Anson Tang, Chief Editor, Human Capital Management Magazine rounded off the day with advice to those in HR on what they should be doing now to attract and retain the best talent: 1. Upgrading employment branding 2. Reinvigorating referral programmes 3. Renewing the focus on quality of hire 4. Utilising social networks 5. Utilising video 6. Upgrading succession planning 7. Utilising employee blogs for recruiting 8. Utilising mobile phone recruiting 9. Revitalising corporate pages 10. Hiring innovators 11. Recruiting globally

Stuart Hedley, Managing Director, Hong Kong, SHL

Summer 2012

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Gender income gap Over half of surveyed finance professionals in Greater China agree there is a gender income gap in the financial services industry according to a recent survey from eFinancialCareers. Results were based on a sample of 1,355 finance professionals employed in accounting, compliance/legal, corporate finance, equity capital markets and investment banking. The overall study comprised 54% male respondents and 46% female, from Hong Kong and China, Singapore and Australia. It was also discovered that the gap widens as professionals climb the career ladder. One in five respondents believe that remuneration is not equal for men and

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women in entry level positions, while more than half believe that inequality exists in top managerial positions. Yet, according to Kay McArdle, Board Chair of The Women’s Foundation—a not-for-profit organisation dedicated to improving the lives of women and girls in Hong Kong, “A company which has some women in its highest leadership ranks will have higher earnings per share, a greater return on equity and higher stock prices than competitors with fewer or no senior female leaders.” McArdle demonstrated the glaring gender gap in senior roles at a recent Hong Kong press conference by highlighting the USD1.9 trillion global hedge fund industry— a market familiar to much of the local audience, where women manage only 3% of hedge fund assets, only 10% of regional funds and are employed in only 9% of senior management roles. Over four in ten respondents believe that being male makes it easier to succeed in the finance industry, and almost four in ten believe they have been discriminated against or are aware of others having been

discriminated against due to gender, at some stage. The survey attempts to make sense of this gender disparity. It was revealed that well over half of all respondents believe that men are more likely to put themselves forward for promotion opportunities. Men, it seems, still strive harder to advance their careers because they continue to carry the ‘greater half’ of the family’s financial burden. Yet gender equality amounts to equal rights, opportunities and obligations in all areas of life. If the playing field were even, men and women would be empowered to take equal responsibility for matters outside and within the workplace. Indeed, only 32% believe there is an explicit gender diversity programme in their organisation and 27% did not know such a programme existed. According to McArdle, HR’s role is to bridge this expectation gap by implementing policies to make equality reality and at the same time offer the added advantage of developing female talent to the same extent they that they do for men. Respondents cited various potential strategies as beneficial in increasing the participation rates of women in financial services, of which an overwhelming 78% of interviewees listed flexible scheduling. It was discovered that only 30% of organisations in the financial sector actually offer this facility against a national average of 85%, 57% in and 50% of organisations generally in Australia, China and Singapore, respectively.

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Ranking of strategies cited as beneficial in increasing the participation rates of women in financial services

Strategies/policies Flexible work Options

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Second top in the proposed strategies was provision of child-care. McArdle pointed to the success of the day care centres provided in many European companies. In Norway the cost of parenting leave is split evenly between the employing organisations of the mother and the father, allowing true parity on both sides of the parenting equation.

What types of flexible work options are available at your company

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Paternity leave is yet to exist in Hong Kong compared with up to 18 weeks in Australia and a maximum of 20 weeks in the UK. Even the average maternity leave, of 10 weeks at 80% of full salary, lags behind the global average of the top ten developed nations which stands at 13 weeks at full pay. In a region where high turnover remains a key concern, perhaps HR is missing an invaluable trick by not taking the necessary steps to retain its female workers.

Summer 2012

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M tivati nal mushr ms With a plethora of employee engagement strategies, and shelves of optical and people management awards, eyewear service provider OKIA’s success story certainly adds weight to the adage that a happy workforce is a productive one. Back in 2006 staff attrition stood at almost 62%, causing HR to make radical changes to boost staff morale. And it seems to have paid off, with the result that now an average of only 6% of staff leave the organisation voluntarily.

Maintaining the family

Orwell Wan, Human Resources and Administration Manager, considers the quest for a continually contented workforce to be a task equivalent to the maintenance of harmonious family relationships. Taking this analogy further, OKIA staff are termed ‘Okian’, and seem, with this common title bestowed upon them, to share the company’s values with strengthened conviction. Since its inception in 1999, OKIA has boasted a variety of HR accolades including winning the double prize of the Hong Kong Family Friendly Employers’ Award, alongside corporate giants such as household name Microsoft, and receiving the ERB Manpower Developer Award in 2011. The company was also a finalist in the HRM Awards for Best HR Team and Best Work Life Balance Practices 2010 and was granted the HKIHRM/SCMP People Management Award in the category of medium enterprise. According to Wan, success is due to nurturing the following four conditions: Continuous Learning Communication and Trust Care and Satisfaction Sharing and Self-Actualization

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The first of these is delivered through a number of in-house ‘institutions’. Through The Mindset Institute for example, Okian are taught relaxation techniques by a psychologist, increasing their resilience so as to optimise performance in training and in work tasks.

Management by eating

In terms of communication strategy, as well as the regular departmental meetings, the company sports a unique take on informal interaction through a philosophy entitled ‘Management by Eating.’ For example, there is a daily tea time break during which fruit and snacks are provided—a tactic which encourages casual communication and holds the added advantage of refreshing employees so that they are able to continue working for longer in the day. Additionally, new joiners are invited to a welcome lunch and an annual dinner for all Okian and their families.

Mushroom planting

Under the heading ‘Care and Satisfaction’ there lies a whole host of social programmes; sports and games, orienteering, funky dance and kick-boxing sessions are in the offering, and for the less outward-bound employee there are on-site activities including massages, seasonal cooking sessions, tie-dying, photo frame making and even mushroom planting classes. Sundays respectfully remain a day for true blood relatives although regular outings take place on Saturdays for Okia staff and families should they wish to attend. In addition, there are workshops to address any family issues and brush up on parenting skills. Throughout the long summer holiday the children of Okian are encouraged to work as interns, where they are instilled with an understanding of company

operations and values, spare labour is made use of and free and novel childcare is provided.

CSR

Given the nature of its internal culture it is hardly surprising that OKIA excels in CSR accomplishments and it is here that the final point of sharing and self-actualization is achieved. Via an incentive named Vision Friendly, many Okian volunteer to test the eyesight of the more needy members of society. For example, OKIA’s staff have carried out assessments for Christian Zheng Sheng College on Lantau island for child drug offenders. The company has raised money for this and many other worthwhile causes through a variety of means including sales of products made from their group activities. Little wonder that OKIA has also been awarded the title of ‘Caring Company 2011’ and the ‘Gold Hong Kong Corporate Citizen Award’ in recognition of the company’s conscience and the value of its civic responsibility and contribution to corporate social responsibility. Through all these undertakings OKIA claims to provide a centre of excellence for talent development where the best designers, engineers and creative thinkers can flourish. It cites this environment as the reason for the company becoming recognised as a pioneering eyewear provider who is well ahead of the competition in terms of both innovation and time to market. OKIA are a novice organisation, by their own admittance, and with something in the region of 3% of salary spent on motivational strategies, only time will tell whether the Return on Investment will be worth the company’s long term efforts. Certainly its ethos is to be applauded and OKIA is one to watch with eyes wide open!

HR features

China grows up Recruiting and managing talent are still the biggest operational challenges for companies in China and they have been a barrier to how far their international scope can reach. The HR market, however, is gradually maturing by realising that sharing best practices is essential if it desires international success and so financial growth. The 10th Conference on International Exchange of Professionals in China cohosted by Lumesse and the European Chamber of Commerce was held in Shenzhen to allow local HR executives to hear from industry leaders and share experiences with one another on how best to ensure their talent is sufficient for their needs. The conference attracted 3,000 local and overseas organisations from over 70 countries and regions. It was undoubtedly one of the largest high-end professional exchanges to have occurred in Asia. It shows that China no longer wants to lag behind on HR development and it wants to address the talent shortage crisis. Francis Chan, Country Manager—Hong Kong, Lumesse noted, “Although China’s

HR market is gradually maturing; its talent management knowledge is still insufficient compared with that of the rest of Asia.” The turnout proved that Chinese business executives are in agreement with Chan’s comment and that to move forward businesses now must step up a level and take HR development seriously. The joint exhibition provided networking opportunities between Chinese business executive delegates and it was an opportunity for them to gain a better understanding of best practices of talent management such as running performance management, learning management, and career and succession management via an automated, integrated and borderless platform. Delegates had the chance to speak to consultants about the latest strategies, specific best practices, and cutting-edge products and services to improve and instigate changes in clients’ business. Erik Schmit, Managing Director—APAC, Lumesse said, “The conference has given us an opportunity to establish business networks with local talents to speed up

business development processes.” Gradual development is better than no development at all but the steps now being taken show that Chinese businesses realise they could be more mature in their approach to talent management and that by gaining expertise in this field via learning from leaders as well as each other will allow them to achieve their potential.

Summer 2012

HR features

CSR getaway to Cambodia

CityTelecom took a different approach when arranging their last annual management trip.

In December 2011, instead of a more traditional luxurious relaxing break, the destination was set as Cambodia; a trip to engage the mind rather than switch it off. Not only management personnel were invited, the trip was open to every employee who had been with the firm for over one year. Hong Kong staff joined up with those from the Guangzhou branch to try and make a difference to the lives of disadvantaged children in two primary schools in Sambok Cham and Toul Ampul, Siem Reap, Cambodia. During two trips employees took part in games sessions, painting workshops and dream visualising seminars with young students at the schools. The company was blown away by the number wishing to participate, assuming that a trip to Cambodia was not an ideal destination for a break. In fact, they had over 300 applications and had to whittle this number down to a total of 94, of which 52 were non-management level. The participants worked with the school children to create vast, colourful murals and discover each others’ goals for the future. Despite the day-to-day hardships experienced by the local children due to the tough reality of life in Cambodia, the colleagues were humbled by the optimism and enthusiasm they witnessed. Participants reported that the experience had changed their perspectives; they, like everyone else, had heard of the deprivation in Cambodia, but now they understood the reality of the situation and returned to Hong Kong with a heightened sense of empathy and a keenness to see what they can do and how they can help society. One staff member was so impressed by the level of English spoken by the Cambodian school pupils, and that she vowed to undertake private tutoring upon returning. On a strictly professional note, staff members were able to develop their communication and leadership skills through team exercises; carrying out roles requiring them to ‘manage’ their management. One employee in particular, employed before the trip as a management trainee, confided in his boss during the trip of his aspirations to pursue roles related to TV projects. Upon his return the boss

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HR features

made him his personal PA and also Area Manager for CityTelecom’s Pay TV. This is an example not only of the barriers lowering between managers and their subordinates, but also of the increased confidence given to those subordinates to discuss issues honestly with, and make suggestions to, their bosses. When the trip had ended the relationship between the levels remained changed. Unexpected events forced participants to think on their feet and required a certain amount of contingency planning, the area and groups being previously unknown to them and throwing up numerous surprises. Keeping the children interested and engaged in activities required the employees to put their communication, organisation, leadership and time management skills to the test at the same time, skills which will serve them well back in Hong Kong but especially so due to the shared challenges experienced when developing them. As a Corporate Social Responsibility exercise it was remarkably successful, according to Ivy Lau, Director, Talent Development. She commented, “Before the trip the company strived to have a very flat

organisational structure, following the trip the gap has close further.” The trip was fully subsidised by the company although many participants decided to dig into their own pockets to make charitable donations. The charities supported—Happy Tree Social Services, Cambodian Children’s Fund and Siem Reap Catholic Church—were chosen due to their focus on the pursuit of universal access to better living conditions, healthcare and opportunities for the disadvantaged in Cambodia, especially for the young poor not only by feeding them but by investing in their families, communities and futures. The trip has changed the model for future CityTelecom charitable ventures; while previously one-off events were organised, the group is now looking to more continuous projects. Upon returning, CityTelecom encouraged their ‘talents’ to share their experiences with colleagues, such sharing sessions proved popular with participants keen to highlight the many positives they had retained from the experience. They were also able to submit any photos they had taken during the trip which were then compiled to create a very personal photo scrapbook. For each of these scrapbooks sold, HKD50 will be donated to the Cambodian Children’s Fund. The latest scheme—a three-year mentoring programme—sees participants from the company commit themselves to give

three years of their time to be mentors of underprivileged children in Hong Kong. The Hong Kong government vows to match funds if an organisation can raise $4,800 per mentee. In order to reach this the mentors, management and supporters have thought of various fund-raising plans; for example, RUN for the Mentees. Participants run to the house of a senior manager in the city, asking friends, family or colleagues to sponsor them. When they arrive, the senior manager donates funds towards the project. On one occasion, over 100 staff members ran to the house of the CEO who then donated over HKD25,000. The Vice-Chairman has also given his support, pledging to match any donations received. Thanks to such offerings of money and time the group has managed to exceed its HKD140,000 target, but this isn’t where they pat themselves on the back and head home. As a three-year project there are sure to be more fund-raising schemes in the future to help the lives of Hong Kong’s underprivileged youths. For those organisations who have not yet taken CSR seriously, Lau offers this advice, “CSR exercises nurture a sense of community within the company, it is a privilege that allows us to contribute more to society together than the sum of our individual efforts. Don’t focus too much on profits and numbers; this isn’t what it’s about. CSR is common sense—would you wonder if it was the right thing to do to teach your child to care for society and encourage him or her to make a contribution? So, in the workplace, should you hesitate to spread goodwill among your employees and beyond?”

HR features

HR marries the designer The Chief Executive of the Hong Kong SAR, Mr Donald Tsang, designated 2012 as ‘Hong Kong Design Year’ and HR Magazine met with Dr Edmund Lee, Executive Director, Hong Kong Design Centre; Jason Chiu, CEO, Cherrypicks and Tommy Li, Creative Director, Tommy Li Design Workshop to talk about all things design and HR. The Government has greatly increased the prolific output of design in Hong Kong. A shift in organisational perceptions of designers is expected thanks to the campaign, Lee asserted, “Corporate leaders will view designers as an investment and not an expenditure.” Often, however, when an organisation decides to hire a designer, retaining them can be problematic, Chiu advised, “my job is to give them the environment and the sense of achievement.” He added, “When a designer comes up with and develops an idea for cherrypicks, the designer is

part-owner of the product and can own part of the patent.” Li’s response was similar in that he advised employees need satisfaction, pride and happiness. He suggested, “Many people will earn a lot but without these they’ll leave.” To retain, you must nurture—Chiu’s design team’s time is divided into client projects, such as those for the Hong Kong tourism board or Jockey Club, and own products where the designer works on their own apps. Chiu expressed that this enhances staff engagement as the designers get the best of both worlds. Li highlighted the importance of making sure all those involved feel as though they’re part of the organisation, “We all have the same mindsets, the same values,” he said. Another problem faced by HR is the question—how do I interview designers and choose the right one? Chiu agreed that it was very difficult to test a designer in an interview but he does initially ask three

questions: what is a good design, how do you work in a team environment and in your opinion what’s a good app. These three questions are to see which angle the designer will take and to find out which soft skills they possess as hard skills are easy to lay out on the table. Then he advised, “Put them into action.” A probation period is essential to see whether or not a designer can fit into your organisation. Li quipped, “It’s like a love affair—if you don’t know the person, how will you marry her.” He explained that when recruiting a designer he isn’t looking for an employee but a partner—Li wants a threehour conversation with the new designer to discuss everything from family to politics. “After three hours of conversation we know the real person,” he added. Similarly, Li focused in on soft skills and said, “You need to have good communication skills and good salesmanship—if you can’t sell your idea, you’re finished.”

26 July 2012 Strategic HR—how HR can captain the ship Share advice on Strategic HR and how to captain the ship so you get greater buy-in from the board, atract and retain the best talent, leverage key strengths, develop your organisation and add value to the bottom line.

Strategic HR—how HR can captain the ship

HR professionals from across the region share advice from their organisations on: ● Getting the best on board & keeping them ● EVPs for Gen-Y ● Screening strategics ● Executive recruitment strategics ● Getting board buy-in

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HR features

Acheiving HR objectives just got easier Alliance launches staff benefits service.

May at Alliance saw the launch of its new, fully-subsidised online staff benefits platform: Mybenefits. With some prestigious clients already signed up, they must be doing something right. HR Magazine met with Pauline Mei Ling Williams, Director of the initiative, to find out what features the service provides that make it stand out from the rest.

Communication

Using various functions, such as Mychatroom, online surveys and contact with a dedicated Engagement Manager, staff can communicate their needs, ideas and suggestions for improvement to senior management. With the Mychatroom forum, they can even do this anonymously; a great way for employees to engage and interact with employers without feeling under pressure. The Alliance Mybenefits team can be contacted online and within 24 hours staff can receive a response to insurance queries from qualified insurance experts. Mybenefits is not simply an intranet system; a centralised platform of information—though this function it performs well—rather it is a tool designed for staff engagement maximisation in addition to staff benefits provision. For staff at companies with flexi- or voluntary benefits arrangements, the ease of selection, range of choice and up-to-the-minute deals and options will ensure that they are getting exactly what they want or need, Williams said, “The system is designed to heighten staff satisfaction, so you can tailor your provisions to their requirements.”

Efficiency

The time saved for HR staff by being able to offload many processes to the platform will, according to Williams, “Allow them to spend more time concentrating their

efforts on strategic processes.” The Mybenefits team updates management teams regularly on the latest market trends, procedures and practices, with an in-depth breakdown each quarter. In addition, firms are constantly informed of insurance deals so that they can get the best value for their money. Success and efficiency of benefit plans, business policies and campaigns can be monitored by means of questionnaires put to staff on the platform—fully customisable, with the advantage of giving firms the opportunity to revise and gather suggestions directly from its employees. To encourage candid feedback, these surveys can be completed anonymously.

options for benefits packages. From discounts on fine dining and spa treatments to nutrition and lifestyle advice, Alliance aims to respond to feedback and deliver what people will actually use. Sometimes it involves thinking outside of the box, Williams enthused, “It can be as simple as allowing employees to use their medical cover to visit traditional Chinese medical practitioners.” And, did we mention—it’s free!

Satisfaction

The platform currently serves approximately 40,000 members based in 24 large corporates—companies with fewer than 250 staff while currently not included are hoped to be incorporated within the next year. The next projected innovation is planned to be a smartphone app allowing all members to be truly connected to their services; able to make use of them wherever and whenever they wish. As a part of the service, a dedicated Engagement Manager will visit your office for performance reviews and feedback sessions with staff, in addition to attending team building events to be the ‘eye and ears’ for the company in order for employees to be able to give ideas and feedback in a relaxed atmosphere. The group is continuously striving to expand the range of

Summer 2012

HR technology

trends shape up HR services Nearly 450 organisations participated in the 14th Annual Towers Watson 2011 – 2012 HR Service Delivery and Technology Survey. The results show respondents are well positioned to take advantage of enhanced

The key findings from the survey include: •

HR is looking at new ways to address enduring talent management issues. While the top HR service delivery issues have not changed over the last five years, the approaches now available to companies are innovative and varied, as well as supported by agile and more integrated new technologies.

•

HR organisations have shifted their primary focus from cost efficiency to once again putting strategic goals first. Taken as a group, we see the initiatives undertaken by survey respondents in the last 18 months as enabling the HR function to rethink its own role in the business.

•

Software-as-a-service (SaaS) is growing in acceptance. More than half of respondents are either using or planning to implement a SaaS solution, with more still evaluating new options and yet to make a selection.

•

HR shared services organisations (HRSSOs) have proven both effective and efficient. A majority of respondents now use internal or external HRSSOs. Organisations for which long-term cost was the primary driver for implementing an HRSSO most frequently reported savings between 10% and 40%, with 42% realising savings within two years of implementation.

talent management strategies, including integrated SaaS-based solutions, HR shared services organisations (HRSSOs) and new outsourcing opportunities. •

Technology spending is holding steady or on the rise for most organisations, and new technologies are available. One in five respondents implemented a new HRMS in the last 18 months, and another 20% cite upgrading an existing HRMS as a top service delivery goal this year.

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HR technology

43%

of respondents refocused the role of the HR business partners.

17%

sought to increase alignment in the delivery of HR with other selling, general and administrative functions.

37%

implemented and leveraged self-service.

21%

outsourced activities previously handled internally.

Over 60% reengineered key HR processes.

HR facelift

The survey analysed what HR has been getting up to in the last 18 months. Out of the 450 organisations that participated in the survey, more than half were MNCs. The industries covered were wide-ranging and included financial, healthcare, manufacturing, high tech, utilities and energy, public sector, NGO and media. It appears that HR facelifts are becoming an integral part of organisational behavior, with the majority of respondents reporting they were currently reengineering key HR processes.

7% 14% brought back services previously outsourced.

20%

implemented a new HRMS.

16%

developed standard global data architecture for HR data.

19% implemented a shared services model.

did not do any of the initiatives above.

Summer 2012

HR training

MTR: non-stop learning How fostering a culture of continuous learning and innovation has allowed the MTR to create a Learning Organisation Established in 1975, MTR Corporation develops and manages Hong Kong’s railway network together with property and community development projects. Already carrying an average of 4 million passengers every weekday, plans are afoot for continued major expansion, and between 2014 and 2020 five new lines will be opened, enlarging the existing network by 25%. This expansion, coupled with a loss of expertise due to the generation shift of the workforce, has raised a number of challenges for the HR team in the MTR.

Key HR challenges

HR has to ensure that staff have ready access to key project information together with relevant plans and documents, and at the same time has to ensure that staff are equipped with the tools they need to cope with ever-rising customer expectations. To overcome these challenges the MTR is seeking to inculcate a corporate-wide culture of learning and innovation across different business functions by creating what they term a Learning Organisation (LO).

Implementing LO cultural change

To keep the MTR abreast of the changing labour landscape a ‘Four-A’ strategic approach was utilised to implement the LO concept and facilitate cultural change. Integrating LO into daily work practices

Seeking top management alignment and steering the LO vision

Phase IV

Absorption

Phase I

Alignment

Phase III

Phase II

Alliance

Acquistion

Fostering and sustaining a continuous learning, sharing & innovating culture

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Senior management alignment to steer the LO vision Senior management have formulated MTR’s corporate training and development strategy to ensure alignment with business plans and needs. They also make a point of getting personally involved in leading the programmes—sharing their knowledge with staff through blogs and mentorship. Morris Cheung, Human Resources Director Designate, MTR shared the visions of LO, “We aim to provide continuous learning, skills development and renewal opportunities for people to grow. Everyone in the MTR is encouraged to share knowledge and expertise openly and seek creative ways of working.”

Phase II: Acquisition

Acquiring LO mindset through learning and development initiatives The MTR designed and launched various learning and development interventions to support staff development, innovation and collaboration.

Staff Development Acquiring LO mindset through different L&D initiatives

MTR’s ‘Four A’ strategic approach

Phase I: Alignment

A multi-tier staff development curriculum was designed in line with business needs and rolled out to all levels of staff. The Management Training and Development Department continues to work closely with all relevant stakeholders in order to tailor-make the best training solutions for specific staff groups.

HR training

Additionally, to help meet long-term manpower needs in supporting business growth, the corporation deploys their Integrated Staff Development Programme. This aims to nurture a potential pool of talent by equipping staff with supervisory skills and knowledge to help enhance their competencies and readiness to take up greater job accountability at the next level in their careers.

Four Clicks to Teamnovation

As part of the LO concept, a series of learning and development interventions, named ‘4 Clicks to Teamnovation’ were launched. The programme forms a comprehensive learning package to help hone staff members’ innovative thinking skills. The package includes a creativity assessment, a mobile learning portal and a ‘Teamnovation Kit’ with innovation tools. Additionally, materials include an innovation and creativity video that uses a drama—featuring corporate-wide management and staff participation—to introduce innovation tools and share some of the MTR’s creative best practices. Staff also attend weekly CPD seminars to broaden their knowledge in the general railway domain. Learning and sharing sessions have also been organised on a variety of topics including: innovative thinking, safety, advanced building technology, health and leisure.

‘4 Clicks to Teamnovation’ creative learning materials

New Joiner (1) Corporate induction

Senior Manager

Manager

Senior Junior Supervisor Supervisor

Gemeral Staff

(2) Curriculum Managerial curriculum Supervisory and professional curriculum

Non-supervisory curriculum

Customer service

Language

VMV reinforcement

Learning Organisation

(3) Cultural change

(4) Work Improvement Team

(5)Healthy living programme

(6)Self-learning

(7) External training and further education

(8) Executive continuous learning programme

MTR’s multi-tier staff development curriculum

Jam enhances stickiness

A corporate-wide 72-hour raiLOvation Jam was held to encourage colleagues to generate innovative ideas through an online discussion platform. Over 4,600 posts were logged and the organisation plans to implement many of the innovative ideas suggested to further enhance service quality. Jacob Kam, Operations Director, MTR said, “We are dedicated to encouraging our staff to embrace an innovative mindset to attain business excellence, which closely aligns with the Operations team’s Leading for Excellence, Actions for Pride Programme (LEAP) by getting staff to LEAP out of their comfort zone.” LEAP is an innovative transformation programme launched in the Operations Division to help address upcoming challenges and aims to transform existing operation modes.

Sparking new ideas

The MTR has adopted a knowledge sharing strategy to improve communication and collaboration among colleagues through establishing face-to-face sharing forums. These take the form of regular management communication meetings and online systems that have attracted participation by over 10,000 staff and have significantly expanded connectivity and knowledge sharing throughout the organisation. The online system enables the capture and sharing of critical knowledge from project experience, and with staff working collaboratively this has sparked innovative ideas including a nextgeneration green roof. TC Chew, Projects Director, MTR highlighted the obvious benefits of such knowledge sharing, “We have a fast-growing organisation to meet the aggressive challenges of delivering on our

Summer 2012

HR training

Letting the grass grow beneath your feet…can be a good thing Staff from the MTR’s Projects Division inspect a trial of ‘Next Generation Green Roofs’.

railway expansion programme. We believe knowledge sharing is critical for us to create a more cohesive team across our multi-project environment and to leverage best practices and lessons learnt for the benefit of our current and future projects.”

Phase III: Alliance

development and an ambassador network to promoting innovation. Furthermore, Work Improvement Teams (WITs), each with 8 – 10 staff members, have been set up where members voluntarily initiate work improvement projects throughout the organisation.

Continuous learning, sharing & innovating culture

Impact on corporation, employees, customers and community

The organisation has adopted an holistic communication approach to cascade important messages to staff at all levels and highlight key benefits. To facilitate this information transfer, line communicators and ‘LO Champions’ have been appointed as change agents. The Corporation has also customised a Learning Organisation Champion Certification Programme to further boost staff skills in knowledge management, innovation and facilitation.

The innovative and holistic training strategy of the corporation—blending empowerment, partnering, coaching and sustainability with contemporary e-learning solutions—has brought significant advantages to the corporation, customers and the wider community through enhancing equipment reliability and safety,

improving customer services and saving energy. These initiatives have brought organisational success through cultivation of talents—speeding up their development while at the same time respecting their individualism and engaging them. This strategy has, in turn, paid dividends in terms of staff feeding creative ideas back to the Corporation. It would appear that pursuit of LO is much more a journey than a destination and the MTR will continue to strive for innovation as it continues its LO journey. David Tang, Property Director, MTR summarised, “The MTR fully recognises the interrelationship between its growth as a company and the wellbeing of the communities it serves, we aim to make use of our assets and knowledge to contribute to society.”

Phase IV: Absorption

Integrating LO into daily work practices Corporate and divisional innovation programmes have been established to help integrate learning, innovating and sharing into daily work practices. Initiatives include idea-submission tools, an innovation fund for research and

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Creative group idea generation workshops help engage staff and enhance creativity at the MTR.

HR training

Annual appraisals

1 2 7 3 6 5 4

When handled correctly, annual appraisals can be a positive experience for both HR and employee alike. Pallavi Anand, Director, Robert Half—Hong Kong offers seven tips to turn what has become for many a yearly ordeal, into a win-win situation:

Avoid surprises

Talk about compensation another time

If employees have been told your expectations and whether they are meeting them throughout the evaluation period there is less fear of the unknown when review time arrives.

Gather input from others

No matter what the size of the organisation, it is important to seek feedback from others. Other members of staff may uncover unique insights into a person’s work.

Be consistent

The fact is that most people will be so eager to learn about a pay adjustment that they may not focus sufficiently on the appraisal discussion. Furthermore, an employee’s feedback may also cause you to reconsider your compensation plans.

You’ll need to develop criteria that include the same general factors for all staff and ideally use company standard templates for documenting performance.

Look ahead

Use the appraisal meeting not just to reflect upon past performance but also to establish future objectives. Push employees to challenge their skills and potential, but also be realistic by providing sufficient support for the individual to actually achieve them.

HR Magazine

Handle criticism with tact

Listen as well as talk

Make sure you allow enough time to listen to your employees’ perspectives. You may learn more about why a person did not meet expectations with a specific task and receive ideas on ways he/she can improve in the future.

When telling staff that aspects of their work are sub-standard try to address points for improvement, and encourage them by commenting how confident you are that they will be successful in making the necessary changes.

Summer 2012

HR features

Relocating for work: what would it take? By Pallavi Anand, Director, Robert Half Hong Kong

HR Magazine

HR moves Uprooting your life for a position in a new city is a huge endeavour. Whether you have accepted a job offer with a new company, or a position within your current organisation, it is important to consider what factors would make a move worth the effort.

1. Compensation for the new position

What should professionals consider before making a move for their career? Start by looking at the big picture. Make sure you are aware of all factors involved in relocating, rather than focusing on a single element of the job. For example, will you receive any housing allowance? Will your company cover relocation expenses? Will you need a car or does the city have a good public transportation system? If you do need a car, will your company cover parking expenses?

Quality of life

Though a company may provide a solid benefits and compensation package according to the cost of living in the new city, would you be comfortable living in the new city? 31% of executives polled in a survey by Robert Half recently said the quality of life in a new city would be the most influential factor in their decision to move. You may want to examine elements of the proposed geographic area, such as weather conditions, school system and cultural events. If possible, try to arrange a short trip to the new city ahead of the move, or talk to friends and colleagues already living in the new city. In addition, you should take into consideration any potential tax implications of working in the new country.

Status

Are there opportunities for further growth with the firm? Will you be able to work on the types of projects you enjoy? Will you be given the resources you need to succeed? Are you prepared for a different working culture in

a new country? The excitement of moving to a new city will soon subside. It is important to have a good understanding of your new position and ensure you are positive about the opportunity, as you are going to spend the majority of your time at work.

4. Distance of move

In addition to moving assistance, you should also ask your company if it is possible to arrange job-placement services for your spouse, and whether they will provide return tickets for you to visit friends and families back home. Your spouse may not be allowed to work in the new country due to visa restrictions. If you are moving to a city far away from your hometown, you will not be able to catch up with your friends and families easily due to different time zones. You will have to make efforts to make new friends and build up

a new life elsewhere. You should think carefully if the opportunities presented by the new job are likely to outweigh the risks you are taking for the move.

5. Family considerations

Even if relocating is a smart professional move, you also must determine if it is right for you personally. Does relocating come at a good time for you and your family? Are family members going to enjoy the new location, or will they resent losing friends, changing schools or having to find new employment? Can you afford the move and the cost of living in the new location? Relocation can be a beneficial career move, as long as you examine all the factors associated with pulling up roots. While a move to a new city can be exciting, itâ&#x20AC;&#x2122;s important to remember that for some the best choice is to stay put and wait for the next opportunity.

Summer 2012

HR moves

Cost-effective staff housing With workforces becoming increasingly mobile and globalised, HR departments are finding themselves increasingly having to look at relocation options for staff. This encompasses a wide range of considerations, not the least of which is finding suitable accommodation for staff. Now, Hong Kong is not short of serviced apartments, and luxurious apartments… but what it is short of is affordable accommodation options for mid-level overseas staff.

Fundamentals

One serviced apartment provider, Cityloft, seems to have hit the nail right on the head with their range of serviced suites in Hong Kong. Established over a decade ago, the group now offers over 250 services apartments in 15 buildings at four key locations in the city: Central, Causeway Bay, Sheung Wan and Wanchai. A quick step inside one of the properties in Sheung Wan revealed the down-toearth approach that the company has with its serviced apartments. The feeling was much more akin to coming home to a typical Hong Kong apartment than it was a ‘hotel-type experience’ and that speaks volumes about the company’s ethos. Resources have been focused where residents need them most—inside their apartments where they will spend all their time, rather than on extravagant entrances that they might pass through for a few seconds each day. Anita Lee from the leasing team at Cityloft explained, “Around 80% of our residents are expatriates—mainly from the UK, France, USA and Singapore. What their companies are looking for is affordable accommodation that is clean, wellappointed and next to an MTR station.”

Surge in uptake

Lee has seen a 40-50% increase in the use of serviced apartments over the

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last two years, which she attributes to the comparatively astronomical costs of long-stay hotel options, and the greater flexibility, in terms of contract, that serviced apartments offer over long-term leases. The minimum stay in a Cityloft apartment is one month, which offers great flexibility for HR when planning resources. Apartments are modest in size and range from 150 – 300 square feet and come fully equipped with en-suite, internet connection, pantry facilities and access to laundry facilities for guests wishing to wash their own clothes. The apartments are cleaned and linen changed once a week by a team of in-house cleaners, while the maintenance team handle any repairs that might arise. Lee added, “Residents really don’t need to worry about anything, as all bills, utilities, cleaning, repairs and maintenance are all included in the rental fee.” The HKD2,000 deposit, is also significantly lower than would be required if the company decided to sign a long-term lease with an independent landlord. And it’s a combination which seems to be working. The average length of stay for staff in the serviced apartments is from three to six months, although some resident have stayed for up to three years.

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k for should loo Things HR rviced cting a se le e s n e h w t for staff apartmen MTR? ¨ Close to y located? ¨ Centrall earby? B outlets n & F f o e g ¨ Ran g service? ¨ Cleanin facilities? ¨ Laundry on? t connecti ¨ Interne able? ¨ Comfort ? g facilities ¨ Cookin t? vironmen ¨ Safe en

budget? ¨ Within

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HR life

Work-life balance global issue A report published by the International Bar Association Global Employment Institute (IBA GEI) identified worklife balance as a key concern of HR management and HR lawyers from more than 40 countries. The IBA GEI Balancing Report: Strategic Trends in National Laws and Multinationals Policies on Work-Life Balance and the Implications for Human Resources Law reveals divergent views between what work-life balance might help to achieve—including the promotion and integration of women in the workplace, the reduction of absenteeism and what it is actually achieving. The report also identifies a gap between the perspectives of senior HR managers and HR lawyers on the issue, with HR managers unanimously defending work-life balance as a tool to attract and retain talent, and lawyers not recognising a clear correlation. The report is the second from the IBA GEI and researchers polled the opinions of HR directors across 153 large multinationals with headquarters in 32 countries, and 45 lawyers from 45 countries. Participants in each group were asked to rate the importance of

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certain issues on work-life balance in their company policy or national law. Almost 64% of HR managers surveyed said they did not have a policy on work-life balance although a significant majority considered the issue of work-life balance ‘somewhat’ or ‘very’ important within the company’s policies. Furthermore, 60% believed that in the next 10 years the issue will be ‘very important’ with most of the remaining respondents considering it ‘somewhat important’. Of the polled lawyers, 85% considered the issue of work-life balance to be a ‘somewhat’ or ‘very’ relevant issue in current national laws, and almost unanimously foresee that it will become more relevant in their national law in the next 10 years. Multinationals show little hesitation recognising the positive effects that work-life balance could have on reducing absenteeism. With a high percentage of multinationals admitting that they still lack a sufficient specific policy on work-life balance there appears to be a gap between recognition of the issue as important and the necessary implementation of policy. There also

appears to be a reluctance to introduce work-life balance policy into national laws. In addition, there is a gap between the perspectives of senior HR managers and HR lawyers in relation to the positive effects that multinationals see in work-life balance as a means to promote and better integrate women in the workforce, with HR lawyers not considering this potential in their laws. The report concludes that the relationship between national legislation and multinationals policy is, and will continue to be of a collaborative nature with each influencing the other. Salvador del Rey, Chair of the IBA GEI, remarked: “It is generally recognised that adapting to the needs and wants of a changing workforce is of increasing global importance. However, the 2012 report highlights achieving equilibrium between an employee’s work life and his or her family/private life as a specific area demanding particular attention. The issue of work-life balance is of strategic importance in HR planning because it affects the recruiting and retaining of employees, which is increasingly important for multinationals dealing with the international mobility of employees.”

HR features HR life

Time for HR to put your feet up Let’s face it, life in the HR team is hectic and we all need a coffee break from time to time. We’ve come an awfully long way from my first ‘pre-coffee-culture’ working days. Getting the coffees in meant a trip a few floors down to a ground-to-ceiling vending machine. Then waiting two minutes for it to spit out a plastic cup of a hot brown liquid that vaguely looked like—although it didn’t taste anything like—coffee. Nowadays, it’s not much better and you find yourself either traipsing to the nearest coffee house or having to negotiate coffee granules—with an amazing capacity to deliquesce—and sugar spills in the pantry. Fear not, we’ve discovered a new workplace coffee machine from Nespresso that seems to hit the mark when it comes to making fast, and more importantly decent tasting, cups of coffee for staff with zero mess or fuss.

Pop and press simplicity If you’re new to NESPRESSO, basically you pop a little coffee capsule in the top of the machine, pull down the handle and press a button…half a minute later you have a great cup of coffee. The coffees come complete with a creamy foam on the top, by virtue of the machine’s patented high pressure, 19 Bar, filtration system. There are plenty of varieties and strengths of coffee to choose from, ranging from mild and aromatic

to full-bodied and intense, so everyone in the office can be catered for. The coffee capsules also come in several decaf options for those looking for a flavour fix rather than a caffeine one.

Test drive Recently, we’ve been test driving the latest Zenius model from NESPRESSO in the HR Magazine pantry. If you saw how tiny our pantry is—it is just as well that machine is pretty slimline at around 7.5 (W) x 12 (H) x 16 (D) inches. But, behind the sleek exterior of this mini barista lies some pretty mighty technology. The Zenius model is more efficient than many of its predecessors with a much faster warm up time—ready to use in just 35 seconds. The first generation

model we used to use at the office had an annoying habit of spitting used coffee capsules on the floor when you pulled up the lever to try and discard them in the waste container below. Thankfully, the new Zenius, however has been much better designed and features a simple drop-in and drop-through design for the coffee capsules, which has eliminated this glitch seen in some earlier models. Now, once you pop in the coffee capsule and press the button you never see the capsule again as it drops into the used capsule container, that holds up to 25 used capsules. The removable water container has also been beefed up and with a 2.3 litre capacity you don’t need to fill it up as often. The only slight drawback is that at nearly 11 inches tall, you need a good bit of clearance below your taps to fit it under when filling, or use a jug. One new feature I really like with the Zenius is the two-tier stainless steel cup rack, of which the top tier can be swung aside so you can fit a huge mug underneath it, instead of having to limit yourself to a polite mini-cup each time. Now there’s something that will certainly enhance employee efficiency: one pantry trip… two coffees.

Summer 2012

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HR Magazine’s April conference shed insight on staff learning and development strategies from eight international experts. Our international speakers shared their experience and advice on best practices to help businesses in attracting, training and retaining talent in the face of competition from China’s growing MNCs and, in the case of NGOs—in spite of better-paid positions elsewhere. HR Magazine’s most recent conference looked beyond what courses should be offered to employees and took a step back to examine L&D as a holistic process. Speakers shared ideas on how HR can recognise staff members as unique and how leveraging their past experiences can help shape the way they learn new concepts, work with other people and cultures, and help them better retain acquired skills.

Tony Dickel Founder, Chairman, Transcend International Group Topic: Lessons on leadership in China The business world is rapidly transforming thanks to China Inc., Dickel noted, “The influence of the emerging super-powered multinationals is bringing Chinese ways, traditions and values to international attention.” Not only this but also it is putting more pressure on the already stretched global talent pool, with Eastern and Western corporations vying for the same everdiminishing pool of talented individuals. As for the outcome Dickel said, “The situation can be compared to a drought in the Serengeti; do the lions get slimmer? No.

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You will end up with a few well-fed lions and the others simply will not survive.” Some may argue that investment in your employees could prove futile; an effort that must be repeated ad infinitum. Some also believe that the benefits of training are fleeting. Dickel asserts, however, that these doubts should be disregarded; that training and coaching provide a platform for innovation and allow a company to maximise the resources at its disposal. In order to implement changes that will stand the test of time actions must be traced back to three sources; an individual’s ‘ways of doing’; their manifest behaviour, their ‘ways of thinking’; their attitudes, perceptions and the assumptions they make based on experience, and their ‘ways of being’; the deep-set beliefs and values ingrained in an individual since childhood. A good coach can train workers to see why they come to certain conclusions and therefore help harmonise workplaces containing employees from a variety of backgrounds. Leaders must learn to override genetic pre-dispositions, observe, learn and become self-aware in order to relate to people in far more suitable ways. Those who can embrace these processes can achieve alchemic success.

Hew Evans Sony, Director, Regional Human Resources Topic: Learning and development strategies from Sony A truly global business Evans clarified that from its Japanese heritage, contemporary Sony is hungry to accelerate globalisation. He highlighted the systematic approach it had taken to identify the next generation of global leaders. It was agreed that those with the greatest talent would succeed, irrespective of their present location. In the first instance regional MDs and HR departments had been asked to identify the top 10% of performers. This cohort had undertaken a two-hour on-line assessment which had produced talent profiles. From this information, together with performance ratings and 360º evaluations, the final contenders were selected, leading to conception of the term ‘Hybrid Leaders.’ Evans elucidated that Senior Management had agreed upon a competency framework to be shared across the organisation for business critical positions. Gaps had been highlighted in the organisational capability and talent nominated accordingly. Those not classified as future leaders were nonetheless issued with a personal

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Morning session 09:10

Tony Dickel

CEO & Master Coach, Hong Kong & China Based, Transcend International Group (Formerly IECL)

09:50

Hew Evans

Director, Regional Human Resources, Sony Electronics Asia Pacific Pte Limited

11:00

Andrew J. Warneck

Managing Principal, Leadership and Talent Consulting, Korn/Ferry International

11:40

Ana Zysko

Manager, Operations Training, City of Dreams, Macau

12:20

Matthew Longmore General Manager, Cliftons

Afternoon session 14:00

Clare Allum

Asia Pacific Learning and Development Leader, Ernst & Young

14:40

Eric Bohm

Cheif Executive Officer, WWF

15:50

Nigel Banister

Chief Executive Officer, Manchester Business School Worldwide

development plan, and were told that they would be on the talent radar for programmes in the following year. Coaching Culture In terms of succession planning the global Board meets with Senior Management every six months to discuss the future of key roles. Three levels of leader have been identified for the talent pipeline. Those

classified as senior level were encouraged to coach those in the middle, the middle level coached the juniors and the juniors were encouraged to coach university students. Holistic Learning Although candidates were sent to a base in Singapore their true journey was a holistic one on the premise that unless an individual can manage him or herself they are not

capable of managing others. Here they took part in yoga and meditative practise with any tendencies towards PowerPoint-type presentations forbidden. Indeed, the Senior Leadership programme involved placing people in a circle for five consecutive days, placing candidates and trainers acutely into their discomfort zone, but facilitating the sort of innovation that modern-day Sony desires.

Summer 2012

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Andrew Warneck Managing Principal of Leadership and Talent Consulting at Korn/Ferry International (HK) Ltd Topic: Learning agility as a strategic capability—The X Factor in developing leaders Warneck urged employers to focus their recruitment searches on finding candidates with ‘The X Factor’; that ‘indefinable something that makes for star quality’, according to Simon Cowell. Warneck, however, argued that whilst we cannot define it we can go some way to mapping it. Korn/Ferry has named the quality ‘Learning Agility’—the factor that, for the lucky few, makes them naturally blessed with a capability and an eagerness to learn new skills and view situations from different angles. And those judged to possess this ability (about 15% of the population) are said to be more likely to get promoted as their capability to adapt and better themselves, coupled with marked growth from feedback and trials, makes them a great asset to a company. All is not lost for those without this disposition as there are ways for individuals to hone their own learning agility such as harnessing their ambitions and motivations, throwing themselves into new situations, and trying to learn as much as possible from each experience. Learning agility For employers, Warneck advised looking to employ people with ‘Learning Agility’ during the hiring process by identifying those with a greater self-awareness,

proven positive reaction and adaptability to change, with good communication skills and with great insight. Warneck referred to the Paul Principle; an improvement on the Peter Principle, “People don’t have to be promoted anymore to become incompetent”—with talent ever more scarce and job roles encompassing ever more tasks and skills, companies need employees that embrace and initiate change.

Ana Zysko Manager, Operations Training, City of Dreams– Macau Topic: Training is not an event —it’s a process! Zysko opened with the captioned statement, aimed at management who overlook this fact, expecting training to ‘fix’ employees’ shortcomings, or provide them with a perfectly polished set of new skills. Her message was that training should be the on-going responsibility of all staff. Ana admitted to being initially perplexed as to why the techniques she had so successfully deployed in the US were having such little impact here in Asia. When she took up post in Hotel Operations—Food and Beverages, at Macau’s City of Dreams she had, eventually, uncovered the reasons. Firstly, tips did not act as incentive, and secondly the Western manner of service was not suitable in a predominantly Asian environment. She asked the audience to consider whether their organisations had a process to tap into the incredible capacity of the local employees for self-reflection.

Hew Evans, Director, Regional Human Resources, Song—gives an insight into the importance of looking for and developing learning agility in staff.

HR Magazine

Effective training strategies: 1. Needs analysis • • •

Document desired outcomes and management expectations. Issue anonymous questionnaires and surveys and host group discussions. From the gaps identify who needs training, the logistical implications and the medium of instruction.

2. Development phase Allocate trainers and develop exercises. • Run a prototype for managers so that they can understand the training, suggest any improvements and provide on-going support. • Agree with management on how to introduce and sell the training. 3. Implementation Phase •

•

Set the expectation that skills should be incorporated into the workplace and clarify the consequences if they are not. Implement training and ensure that engagement levels are communicated to management.

4. Evaluation phase Test the service • Assess the effectiveness and ROI of the programme. Zysko ended with a cartoon anecdote, starring fictitious waiter: Johnny B Good. The story went that having desired to develop his skills he was duly sent for training, returning to work as a fulfilled and productive worker. Yet the strip’s comical ending featured Johnny waking from his night-time slumber to discover that this had all been a dream. Given the success of

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the organisation’s 20 restaurants through applying the outlined training model Zysko quipped, “From the City of Dreams, where dreams do come true.”

Matthew Longmore General Manager, Cliftons

HR Newsflash: Maximising attendance for L&D events—location preferences. Cliftons’s survey results showed us where people preferred to hold corporate events in the city. Not surprisingly, Central Business District (CBD) is the preferred location as chosen by 75% of the surveyed participants; however, both Admiralty and Wan Chai were not nearly as popular as expected. Longmore explained, “A reason for this may be that there is no good building stock around Wan Chai MTR.” Nearly 90% gave convenience of location a ‘very’ or ‘extremely important’ ranking. 73% of participants said that it took less than 45 minutes to get to Cliftons’s location—public transport is still the preferred choice by busy professionals. The CBDs of Singapore, Sydney and Melbourne all earned top spots scoring 82%, 85% and 69% respectively. Just over 50% of courses held in the city were only one or half a day in duration. “This shows how people are designing courses,” explained Longmore. Organisations are designing shorter courses than ever for their staff and, to maximise attendance—hold it in a CBD location.

Networking break

Clare Allum Asia-Pacific Learning and Development Leader Michele Lam Director—Learning & Development Emily Tang Senior Manager—Learning & Development Ernst & Young

Topic: Building cultural integration through learning.

Delegates put the speakers through their paces.

Allum spoke about learning and cultural integration. She stressed the importance of aligning the L&D policies with their organisation’s strategy and the required consistency to achieve this. They have policies which must be consistent, such as the number of training hours you have to do as a professional. Work is being moved to their shared service centre in Dalian and the company is in the process of building consistent processes and policies. This ensures that it makes the most of its local presence and global scope. This also builds local teams who build relationships on a local level by reporting on best practices and they take what’s coming from global teams to

deliver culturally integrated learning. Allum added, “You get the benefits of consistency with the benefits of local knowledge and relationships.” Tang spoke about their talent management programme, Global NextGen (GNO), and its role in developing leaders from the next generation. They understand that you can’t wait for leaders to walk through the door. Emily Tang, Senior Manager—Learning & Development expressed, “We want our future leaders to have the ability to work across cultures.” When training talent, Tang considers that it might be their first time working in a diverse team; hence they have created smaller ‘geographic’ groups so that the trainees experience smaller geographic differences but different work cultures. Michele Lam, Director—Learning & Development spoke about their transition programmes, preparing someone with the knowledge and content—already in the company—to move onto the next level. Lam, like Allum, told us about consistency, “We share our knowledge from a global perspective.” She explained that organising training events isn’t easy because Westerners like to start early but Chinese people prefer to start later—coming up with a compromise is recognised as crucial to an event’s success.

Summer 2012

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Eric Bohm CEO, WWF-Hong Kong

Topic: Learning and development insights from NGO perspectives Bohm repeated a question that he has heard many times throughout his career: why does a charity need a HR department? Communities, he lamented, expect that all charity organisations should be able to carry out great acts and achieve great outcomes with all donated funds going directly to the cause. Charities are berated for having HR, I.T, administrative and fund-raising departments when without these the work would be impossible. When people look at the organisation and see 50% of its expenditure going on salaries and related costs they think that their donations are not going to their desired outcomes. Bohm stressed, “The only way to deliver these outcomes is with people— and that’s what we invest in.” Donors want to decide where their money goes, be it to conservation or education, and for a fabled ‘someone else’ to pay for the ‘non-essentials’. Bohm stressed that to continue doing their work these ‘non essentials’ need to be covered. For NGOs, he said, the challenge is to get the support of talented people, who possess the skills and experience they need, whilst being unable to compete with the private sector on salaries. As a result, the WWF has to rely on brand passion to keep its employees enthusiastic since they are paid well below the market rate for their expertise. They also rely on time donated by people dedicated to the cause. Keeping the motivation can be troublesome when projects have traditionally been completed in 5 – 7 year cycles. To counter this, the HK chapter introduced short-term goals so that staff can see the difference they are helping to make in society.

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Informal sharing over a cup of coffee.

Nigel Banister CEO, Manchester Business School Worldwide

Topic: Transforming talent—building leadership and management excellence— creating original thinkers. Banister explained the connection between innovation, leadership and creativity. The difference between a leader and a manager is the ability to innovate. A recent surves of C-suite executives PwC showed a third of them believe the lack of awareness and experience in innovation and creativity is something that is slowing down growth in their companies. Banister highlighted the importance for HR to look for a ROI regarding staff training and said, “That training course may change the behaviour of that person in a positive way, which will then lead to beneficial changes in terms of performance in the workplace.” Banister gave an overview of the ‘Manchester Method’, a form of learning-by-doing in which students learn to put theory into practice leading

to knock-on positive results such as students engaging in self-directed learning. The Method puts students into project groups and aims to develop reflective practitioners—those who can take their learning forward. The first project the students undertake is a not-for-profit project, normally working for a charity and less complicated than what the students will work on in the future, to teach them how to work in teams. It culminates in their International Business Project—groups of four or five students who go to work for large MNCs as consultants. The finished project is an internationaltravelling consultant who will become very expensive to hire. The way that the faculty engages with the students develops over the 18-month long MBA course, Banister said, “To start with, our faculty is very hands-on in terms of ensuring they learn everything about working in teams, moving through to the end of 18 months where really they’re just acting like a mentor.”

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HRO Forum Summary HR Magazine attended the HRO Today Forum, Singapore to find out about HR efforts across the APAC region The APAC HRO Today Forum attracted forward-thinkers to a uniquely collaborative environment of HR, consultancy and technology professionals. The event was held in Singapore on 16 and 17 May and proved a fruitful forum for consideration of the future of HR with a newly-globalised workforce. Hosted by SharedXpertise the programme was held in conjunction with HROA, the industry association for HR decision makers and providers of HRO related services. Day one was devoted to buyers’ and providers’ forums in which both parties could freely share experiences across the region. Since Asia remains relatively inexperienced in the provision of outsourcing some unique challenges would doubtless present themselves whilst some lessons can be successfully learnt from Western counterparts. Inconsistencies between decision-maker

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and budget-holder will be commonplace as HR evolves from a transactional to strategic sphere of the business.

HR as ‘Agents of Change’

The official full-day forum comprised a number of sessions introduced by a welcome address from Elliot Clarke, CEO, SharedXpertise and Publisher of HRO Today Global. He opened with a hearsay take on the region’s reputation by citing Randstad’s current ‘Work Monitor Global Press Report’ which showed that 80% of employees in India and China had expected a pay rise in 2012 through either salary or bonus. In fact, he added, 20% were in the process of leaving as they filled out the forms. The conclusion—that 100% of workers in Asia actually expect a pay rise. Clark quipped that workers in the APAC region demanded payment merely for the inconvenience of filling

in the survey. His point, of course, that salaries in Asia are inflating continually with resulting implications for HR professionals in terms of recruitment and retention. Couple this with further policy demands for mobility, family-friendliness, gender equality and flexi-hours and HR is challenged like never before. HRO, he considers, can provide the engines to drive change since it offers existing infrastructure and the latest technology. Furthermore outsourcing will reduce costs, increase technical capability and lower language and cultural barriers. Until 2010, Clark continued, APAC companies could claim only 6% of all HR outsourcing projects. In the last two years this figure has risen to 19%, demonstrating rapid growth from recruitment, payroll and other outsourced services. He reasoned that APAC can show leadership to the rest of the globe

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through highly sophisticated systems. Unlike in more developed economies there is little or no existing infrastructure to destroy. An HRO solution can more easily be implemented on the blank canvas of APAC’s growing businesses. Furthermore, Gen-Y with their unorthodox set of requirements will seek to fulfill them in Asia first. It could well be in HR’s interest to understand their outlook. Clark relayed a conversation from the night prior to the conference when an acquaintance had declared that sometimes, in order to expand horizons, it is advisable not to visit new places in the world but to see the world with fresh eyes. Global web access has increased in APAC by 190% since 2010 demonstrating the demand for anytimeanywhere access which will change the rules of engagement for HR and employees. HR, he suggests, can act as the agent of this change initiative.

Success in a changing landscape

The first speaker was Thorsten Barth, Director People and Change, PricewaterhouseCoopers Services LLP, Singapore, who provided a picture of the new-HRO. According to PwC’s Global CEO Survey, CEO’s are two and a half times

Thorsten Barth, Director People and Change, PwC Services LLP, Singapore.

more likely to believe that emerging markets are more important to growth than developed ones and 90% of them anticipated the biggest growth to be from Asia. He delivered a set of factors to consider by asserting that the CEO wants: ▪▪An agile and innovative workforce ▪▪Leadership efficiency—ability to leverage growth ▪▪Strategic expertise ▪▪Transformational skills—from commodity to strategic thinking Emerging markets have shown a 150% increase in capital production over the last eight years leading to growth in both the workforce and consumer base. As the trend in capital manpower production shifts to Asia so too does the decision making process. HR analytics and best practices should be shared amongst practitioners.

Barth left the audience with three questions for consideration:

▪▪Are you a thought leader and pushing your organisation? ▪▪Does your HRO strategy match your business plans for Asia? ▪▪Are you prepared for the next HR?

Recruitment outsourcing

Next to the stand was Latifah Daud, Staffing Director, Honeywell Asia Pacific who provided an overview of Honeywell’s co-outsourcing within China in order to improve quality of service of the HR function whilst reducing cost. This resulted in consistent quality of hire results and better trained recruiters with longevity in retention and the provision of a more flexible workforce arrangement. She highlighted the challenges in undertaking this process by dividing the audience into five groups, each to consider one of the following: ▪▪When/why would you consider outsourcing? ▪▪Who are the internal stakeholders? ▪▪Who are the external stakeholders? ▪▪What will you measure? ▪▪What will be the likely show stopper? Daud pointed to the necessity of transparent, clear and consistent communications to HR Generalists and

Summer 2012

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from Asia operations back to the parent company. Since China was the first of eight countries to undergo the process the methodology was rolled-out to the remainder. Richardson kindly conveyed those pitfalls to be avoided and success factors that underpin a successful HR outsourcing partnership.

Think global, act local

Anthony Raja Devadoss, Vice President, APAC, Kelly Outsourcing and Consulting Group looked at how Asian businesses can tackle barriers to future growth. Much of the manufacturing boom, he explained, has been built on low-cost, disposable, short-term goods. Skills shortages are a constraint on most firms in the region, and are one of the major drivers of higher costs. Cost advantage is eroding and a culture is now developing in the East that values quality. Devadoss emphasised the importance of obtaining the right talent to shift from a cost focus to a quality focus and of providing a global culture whilst maintaining a local mindset.

Diving deep—economic and organisational transformation Latifah Daud, Staffing Director, Honeywell Asia Pacfic.

business leaders on the co-sourcing model. Any concerns raised by HRGs and business leaders must be addressed since the ability to work with each other and flexibility are critical competencies for a successful roll-out. The partner must be managed, experienced recruiters must be used and talents chosen should be known to be able to deliver.

A step-by-step guide to HRO Calvin Richardson, Director HR Service Delivery, Corning International— APAC walked the audience through its outsourcing process with partner organisation Talent2. Corning has moved beyond RPO and is transitioning to a fully integrated and scalable talent acquisition model. Richardson drilled down from initial building of a business case to the eventual transfer of resulting knowledge

HR Magazine

The first Keynote Speaker was Johan Mahmood Merican, CEO, Talent Corporation Malaysia Berhad who led a session entitled ‘Addressing the Talent Needs of Economic Transformation’ since highlyskilled human capital is needed to drive the transformation to achieve advanced economy status by 2020. This was followed by a ‘deep dive’ panel discussion on the

management of change implementation projects involving representatives from Mercer, PageUp People, Futurestep and Oracle Corporation and hosted by Think8.

Systems of change

Joint major sponsors Oracle demonstrated the latest cloud technology that integrates the HR key practices: recruiting, compensation, performance management and talent/succession coupled with powerful dashboards and analytics. Co-sponsors Adecco introduced key challenges and then accurate and compliant solutions to support regional payroll initiatives, wiht an emphasis on legislative change and regional tax office audit activity. An overview was provided of the award-winning, data-driven approach for competitive intelligent mapping within the talent acquisition industry from Six Degrees.

Riding the T.I.D.E.S. of change

The final session consisted of the second keynote speaker Dr Graeme Codrington, Futurist, TomorrowToday with an analysis of the five disruptive forces to the world of work, bundled into the acronym T.I.D.E.S. • Technology • Institutional Change • Demographics • Environment • Shifting societal values Codrington claimed that riding on these tides of change would set a strategic agenda set to ensure organisational success in the next decade.

HR events

What’s coming up in the world of HR

When

Who

What

Where

Details

4-5 June 2012 (Mon-Tue)

Crown Leadership International Group

Public Sector Procurement Asia Masterclass

Singapore

6 June (Wed)

The American Chamber of Commerce in Hong kong

Companies and Women: A Lucrative Leadership Partnership

Hong Kong

Member: HKD150 Non-members:HKD250 Please visit our Event Calendar on HR Magazine website.

13 June (Wed)

The American Chamber of Commerce in Hong Kong

Training, Hiring, and Aspiring in China’s Financial Industry

Hong Kong

Member: HKD150 Non-members:HKD250 Please visit our Event Calendar on HR Magazine website.

14-15 June 2012 (Thu-Fri)

Leadership Architect 101

Take charge and tap into a world-class and validated competency library to create impact on your own.

Hong Kong

Please visit our Event Calendar on HR Magazine website.

19 June (Tue)

The American Chamber of Commerce in Hong Kong

Ensuring Organizations have the Right Talent to Drive Business Results

Hong Kong

Member: HKD150 Non-members:HKD250 Please visit our Event Calendar on HR Magazine website.

27 June 2012 (Wed)

The Enneagram in Business

Certificate Program: Coaching With The Enneagram Based on Bringing Out The Best In Everyone You Coach

Sydney, Australia

Details: http://goo.gl/g1NCl Register: http://goo.gl/pI0JA Fee: AUD1,950

29 June (Fri)

The American Chamber of Commerce in Hong Kong

From Stress to Success

Hong Kong

Member: HKD250 Non-members:HKD350 Please visit our Event Calendar on HR Magazine website.

9 July 2012 (Mon)

Employment Law & HR Management Masterclass

Employment law is constantly evolving and it is a challenge to keep up with the changes.

Singapore

Details: http://goo.gl/g1NCl Register: http://goo.gl/pI0JA Fee: AUD1,950

26 Jul 2012 (Thu) 08:30-16:30

HR Magazine

HR Magazine Conference— Staff learning & development strategies • Getting the best on board & keeping them • EVPs for Gen-Y • Screening strategies • General recruitment strategies • Executive recruitment strategies • Getting board buy-in • Staff management strategies • Organisational design • Risk management

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

Fees: FREE ENTRY to HR Magazine Subscribers Half day HKD800 Whole day HKD1,200 Full details at: www.hrmagazine.com.hk

Summer 2012

HR classifieds

Index Business Process Outsourcing

| 57

Legal / Employment Law / Tax

| 60

Conference & Exhibition Venues

| 57

Pest Control & Environmental Services

| 60

Education and Corporate Training

| 58

Psychological / Assessment Tools

| 61

Employee Wellbeing & Insurance

| 59

Recruitment / Executive Search

| 61

HR Technology Solutions

| 59

Relocation & Logistics

| 62

Leadership Development

| 59-60

Staff Benefits

| 62

Business Process Outsourcing Dynamic Resources has been established since 1997 with direct offices in Hong Kong, Shanghai, Guangzhou and Vancouver. We provide Outsourcing Services in Employment, Payroll & Fringe Benefits Administration; Project Recruitment & Mapping; Executive Coaching; Business Entity (Representative Office, WOFE) & HR Management System Establishment in the PRC.

Dynamic Resources Asia Limited 904, Tower B 14 Science Museum Road Tsim Sha Tsui East, Hong Kong Tel: (852) 2135 8038 kcliu@dynamic-resource.com www.dynamic-resource.com

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

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

HR classifieds 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) 2159 9999 enquiries@cliftons.com www.cliftons.com

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

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

Summer 2012

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

Employee Wellbeing & Insurance 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 4406-4410, 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.

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!

HR Magazine

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 Hong Kong Tai Yip Building, Floor 10-05, 141 Thompson Road, Wanchai, Hong Kong Contact person: Eric Choi Tel: (852) 9193 8573 eric.choi@silkroad.com www.silkroad.com

HR classifieds

Leadership Development 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

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:

Dale Carnegie Training® Suite 1701, 17/F East Exchange Tower, 38 Leighton Road, Causeway Bay, Hong Kong

• Team member engagement • Leadership development • Customer services

• Sales effectiveness • Process improvement and • Presentation effectiveness

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

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. 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.

BioCycle (Hong Kong) Limited Unit A G/F & 11/F, Lok Kui Industrial Building, 6-8 Hung To Road, Kwun Tong, Kowloon, Hong Kong Tel: (852) 3575 2575 Fax: (852) 3575 2570 info@biocycle.com.hk www.biocycle.com.hk

Summer 2012

HR classifieds 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. Don’t put your staff’s health at risk!

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

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

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

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

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 C

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.

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

CMY

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.

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

HR Magazine

HR classifieds

Staff Benefits As the most comprehensive and strategically focused employee benefits specialist, Mybenefits provides international companies with a onestop solution to achieving employee benefit objectives and has quickly become the preferred partner of Human Resource professionals in Asia.

Mybenefits 14/F, Grand Millennium Plaza 181 Queen’s Road Central Hong Kong

100% proven track record at helping companies: Reduce employee benefit costs, Reduce HR workload, Increase employee satisfaction

Contact person: Pauline Williams Tel: (852) 2891 8915 info@welcometoalliance.com www.welcometoalliance.com

Nespresso, the worldwide pioneer and market leader in highest-quality 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. Nespresso 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 HR Free Half page Ad June (BS) ol.ai 1 10/05/2012 16:45:58

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

Have you considered outsourcing your human resources management? We enable you to focus on growing your business Let Tricor take care of your non-core corporate activities more cost-effectively than you can.

HR administration

Payroll processing

CMY

Employer’s tax return

Tricor is a global provider of integrated Business, Corporate and Investor Services. As a business enabler, Tricor provides outsourced expertise in corporate administration, compliance and business support functions that allows you to concentrate on what you do best - Building Business.

Our services include: • Accounting & Financial Reporting • Cash, Fund & Payment Administration • Human Resources & Payroll Administration • Business Advisory • Trade Services • Systems Solutions

www.tricorglobal.com Member of BEA Group

Summer 2012

BARBADOS • BRITISH VIRGIN ISLANDS • BRUNEI • DUBAI UAE • HONG KONG • INDIA • INDONESIA • JAPAN • LABUAN • MACAU • MAINLAND CHINA • MALAYSIA • SINGAPORE • THAILAND • UNITED KINGDOM

HR legal

National Government considers major restrictions on use of labour dispatch arrangements

According to Chinese media reports, the National People’s Congress (NPC) is currently drafting amendments to the Employment Contract Law (ECL) in order to further restrict the use of labour dispatch hiring arrangements—where employees are hired through staffing agencies and dispatched/seconded to a host company; this is similar to temp agency hiring arrangements in other jurisdictions. According to such reports, the NPC has completed a draft set of amendments and circulated the draft to various governmental departments and legal experts for comment, though the draft has not been issued to the public for comment. In particular, the reported amendments would: 1. more strictly limit the use of labour dispatch arrangements to only temporary, auxiliary and substitute job positions—the current ECL only states that labour dispatch should “generally” be used for such positions; 2. provide definitions for the terms “temporary, auxiliary and substitute job positions”—the current ECL provides no definition for these terms; and 3. impose fines on host entities of up to RMB 10,000 for each dispatched staff hired beyond the allowable scope.

HR Magazine

It remains to be seen, whether and in what form the amendments will be passed. However, companies that rely heavily on the use of dispatched labour should be prepared for legislative restrictions.

National regulations push for ‘Democratic Management’ of all enterprises

The Regulations on the Democratic Management of Enterprises (Democratic Management Regulations), issued in February 2012, provide that employee representative councils (ERCs) shall (yingdang) be established in enterprises to carry out democratic management of the enterprise. While in the past, ERCs were mandatory only in state-owned enterprises, this is the first time national regulations expand this requirement to all enterprises, presumably also foreign-invested enterprises (FIEs). However, the Democratic Management Regulations do not appear to put the burden of establishment of ERCs on enterprise management, nor do they stipulate any penalty for the failure to form an ERC. An ERC has the right to be informed on various management matters and to be consulted on employee-related matters. Further, collective contract drafts must be approved by the ERC.

The Democratic Management Regulations were issued by six high-level government, Communist Party and quasi-governmental bodies. However, they were not endorsed by the State Council, nor by the Ministry of Commerce or the Ministry of Human Resources and Social Security. This may be the reason why the Democratic Management Regulations call for implementation at the local level. Some cities, such as Shanghai, have already enacted ERC-related legislation, and it remains to be seen whether they will now start to enforce them. Until national or local implementing regulations are passed and in the absence of court rulings on whether decisions taken without proper involvement of the ERC can be legally challenged, it is unlikely that the Democratic Management Regulations will have a significant impact on the operations of FIEs. However, companies that have established an ERC already should consider closer collaboration with the ERC. Companies without an ERC should consider the pros and cons of ERCs, as long as they are not forced to establish ERCs. Procedures for the establishment and operation of ERCs, recently published in an All-China Federation of Trade Unions document, should be followed, even though they may not be strictly binding.

For more information, please contact: Andreas Lauffs (852) 2846 1964 andreas.lauffs@bakermckenzie.com Jonathan Isaacs (852) 2846 2411 jonathan.isaacs@bakermckenzie.com

CMY

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AWARD FOR EXCELLENCE IN TRAINING AND DEVELOPMENT 2012 SEMINAR ON “BENCHMARK YOUR TRAINING AND DEVELOPMENT PRACTICES WITH SOME OF THE EXCELLENT COMPANIES” WHAT IS THE SEMINAR ABOUT?

This year, the Campaign Awards of the Award have been enhanced to include two categories, namely Skills Training Category and Development Category. Finalists of each category will present at the Final Judging which will be held at the Seminar on “Benchmark Your Training and Development Practices with some of the Excellent Companies”. They will share with you details of their training and development programmes and practices. Finalists of each category are as follows: SKILLS TRAINING CATEGORY

DEVELOPMENT CATEGORY

“’Energize’ Performance Management” CLP Power Hong Kong Limited

“Leadership Development in the Civil Service - Transforming Professional into Leaders” Civil Service Training and Development Institute, Civil Service Bureau

"Professional Courier Training - Total Revamp” DHL Express (HK) Ltd “Customer Focus Service (CFS) Training Programme” Shanghai Feng Cheng Property Management Co Ltd - Subsidiary of Shui On Land (HK and China)

“Personal Leadership Development Programme (PLD)” The Dow Chemical Company “Hip Hing Project Manager Development Programme” Hip Hing Construction Co Ltd

“COSAC-Plus Training” Hong Kong Air Cargo Terminals Limited

"Development of Person-centred Care Culture” The Hong Kong Society for the Aged

“AppleXpert Journey” Hong Kong Broadband Network Limited

“’Be a Service Buddy’ Service Campaign” HSBC

“Cashbet Leadership People Development Programme” The Hong Kong Jockey Club

“Career-Link Supervisory Development Programme (CLSDP) - Embracing Leadership Horizon” MTR Corporation Limited

KEYNOTE SPEAKER

Mr Y K Pang SBS JP, Chief Executive, Hongkong Land will be the keynote speaker of the event.

DATE Tuesday, 26 June 2012

CMY

VENUE Room N101 (Keynote Speech and Seminar) Room N201 (Lunch) Hong Kong Convention and Exhibition Centre 1 Expo Drive Wanchai HONG KONG This programme qualifies for

16 CPD Hours in the Professional Manager Scheme.

WEBSITE

www.hkma.org.hk/trainingaward

TIME 8:30 am (Registration) Morning Session 9:00 am - 1:00 pm (Keynote Speech and Skills Training Category Final Judging) Lunch 1:00 pm - 2:00 pm (Lunch) Afternoon Session 2:00 pm - 5:30 pm (Development Category Final Judging) FEE Whole-day Seminar with lunch HKMA Members: HK$2,600 / person Non-members: HK$2,900 / person without lunch HKMA Members: HK$2,300 / person Non-members: HK$2,600 / person

ORGANIZER

Half-day Seminar (Morning Session Only) with lunch HKMA Members: HK$1,600 / person Non-members: HK$1,900 / person without lunch HKMA Members: HK$1,300 / person Non-members: HK$1,600 / person

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