Free with HRM Issue 14.8
Annual guide to
Compensation & Benefits 2014
Featuring:
Doing the Math Cash just isn’t enough
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NEWS
Compensation & Benefits SINGAPORE
SINGAPORE
Expats no longer on perks
Civil service medical benefits reviewed
From January 2015, civil servants on the Medisave-cum Subsidised Outpatient (MSO) scheme will get two per cent of their monthly salary (capped at $140 per month) as an additional Medisave contribution, with low-wage officers getting at least $50 a month extra. This contribution will help workers to buy MediShield or portable Medisave-approved insurance plans to cover inpatient needs. Almost all the officers on the MSO scheme now buy such MediShield or Medisave approved insurance plans. Currently, officers on the MSO scheme, introduced in 1994, do not get direct inpatient medical benefits from their civil service employer (the Government). Instead they receive an additional one per cent of their monthly salary (capped at $70 per month), on top of their normal Medisave contribution. In reviewing the MSO scheme, special consideration was given to low-wage officers. In support of the National Wages Council’s recommendation to boost low-wage employees’ ability to pay for MediShield Life premiums, these officers will receive additional help. Civil servants earning $2,500 and below, will receive a minimum additional Medisave contribution of $50 a month. About 85% of Singapore’s 82,000 civil servants are on the MSO scheme, with 15% on the older Comprehensive Co-payment scheme (CCS). Civil servants on the CCS will receive an additional one per cent civil service employer Medisave contribution.
Over half
of workers in Singapore would consider sacrificing friendships for a promotion Source: LinkedIn study – Relationships@ Work Study
Singapore is the
4th
most expensive city in the world Source: Mercer’s 2014 Cost of Living Survey
Salaries in Singapore are set to rise
4.3%
this year, down from a 4.5% increase in 2013 Source: Towers Watson 2013-14 Asia-Pacific Salary Budget Planning Report
Despite a wide belief that international financial services professionals are employed on expatriate packages, most in Singapore say they have never received one. Over two-thirds (69%) of Singaporean financial services professionals think their international counterparts are receiving expatriate packages but new research has revealed that perception is far from reality. An overwhelming 83% of overseas professionals based in Singapore say they have never been employed on an expatriate package, according to a recent survey from careers website eFinancialCareers. It polled over 1,000 Singapore-based bankers and finance professionals. “The vast majority of expats are now hired directly onto local packages while others have given up their prior existing perks to remain a part of Singapore’s thriving finance industry,” said George McFerran, Global Sales and Marketing Director, eFinancialCareers. “Financial services firms are becoming increasingly cost-conscious and Singapore’s status as an attractive
place to live and work has also been a key driver,” he explained. “It is a leading financial centre where professionals can develop their careers in a safe and enjoyable environment, meaning expat packages aren’t needed to attract talent. “The recent focus to proactively develop the Singaporean talent pool could mean we see the already small number of expat packages further diminish,” he added. The move away from the expatriate packages could have a positive impact on company culture. More than 60% of Singaporean financial services professionals think that excessive packages cause friction in the office, and 55% of them believe that foreigners are receiving preferential treatment in the work place. “There is a clear disconnect between perception and reality when it comes to the number of overseas professionals that are on expat packages,” McFerran concluded. “Employers that are transparent with their workforce and clearly communicate that expatriate packages are not the norm will stand to achieve greater office harmony.”
US
Pay to be displayed? Company salaries are rarely, if ever, shared knowledge. However, at one US supermarket chain, this is now a reality. Whole Foods has an open policy where staff can look up anyone’s salary or bonus from the previous year, all the way up to CEO level, Business Insider has reported. The idea behind the policy is to encourage conversations about salary among staff and to promote competition within the company. “The fact is this sort of initiative is not something that would succeed in isolation – it would have to be part of an overall culture of transparency and openness,” said Carolyn Dickason, regional director of Hays in the Australian state of New South Wales. “That culture would need to be carefully established and embedded into all of the company’s policies and operating style – for example, there would be no point in having transparency around salaries but not around performance benchmarks and targets.” ISSUE 14.8
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NEWS
Compensation & Benefits WORLD
WORLD
Seven out of 10 global or regional benefit managers at multinational companies have only limited or no access to timely financial information related to current employee benefit spending, according to Towers Watson’s 2014 Current and Emerging Global Benefit Themes research. “It is striking that global and regional benefit managers at many multinationals – sometimes spending hundreds of millions of dollars on employee benefits annually – do not have this vital information,” said Steven Yu, Asia-Pacific Director – International Consulting Group, Towers Watson. “Nowhere else within their businesses would such a lack of management information be acceptable. “However, we also see more advanced multinationals deploying solutions to address this issue so they can use information to identify risks and opportunities, make decisions, and prioritise their activities to increase return on their investment,” he added. The Towers Watson research also shows that two-thirds of multinationals are still at the early stages of developing their global benefit strategies and management approaches. This means they are either just getting started or narrowly focusing on a single global benefit management area. “The relentless corporate mandate – to do more with less – means the organisational and operating models of the benefits function must evolve to reflect and achieve this goal,” Yu said. “Traditional methods of decentralised benefit management are increasingly outdated, and even have the potential to hinder progress. “Review and refinement of the global benefit organisation and its processes, programmes and strategies lead to better outcomes for organisations and their employees. Multinationals that focus on answering the most business-relevant questions are typically the companies that achieve the greatest value from their employee benefit programmes and investment,” said Yu.
Two African cities have been named as the most expensive cities for expatriates. According to Mercer’s 2014 Cost of Living Survey, Luanda in Angola is the world’s most expensive city for the second year in a row, followed by N’Djamena in Chad. European and Asian cities are also ranked highly. Hong Kong made third place in the list, followed by Singapore. Zurich jumped three places in the annual survey to rank fifth, followed by Geneva in sixth. Tokyo dropped four spots to rank seventh. “Rankings in many regions were affected by recent world events, including economic and political upheavals, which resulted in currency fluctuations, cost inflation for goods and services, and volatility in accommodation prices,” said Ed Hannibal, partner and global leader for Mercer’s Mobility practice. “While Luanda and N’Djamena are relatively inexpensive cities, they are quite costly for expatriates since imported goods come at a premium,” he added. “In addition, finding secure living accommodations that meet the standards of expatriates can be challenging and quite costly as well.” Other cities appearing in the top 10 of Mercer’s costliest cities for expatriates are Bern, Moscow, and Shanghai. Karachi, ranked 211, was named the world’s least expensive city for expatriates. “While multinationals continue to recognise the importance of having a global workforce and corporate assignments remain prevalent, they must be able to monitor and balance the cost of their expatriate programmes,” Hannibal said. “Employers need to evaluate the impact of currency fluctuations, inflation, and political instability when sending employees on overseas assignments while ensuring they retain talented employees by offering competitive compensation packages.”
African most expensive for expatriates
Global benefit strategies evolve
20%
of Korean companies do not plan to hire new workers this year because of a change in labour laws to expand employee benefits Source: Korea Employers Federation
Switzerland
offers the most lucrative takehome pay for senior, junior and skilled professionals Source: Mercer’s International Geographic Salary Differentials 2014
CHINA
Coke pays employees to breathe air Expatriate employees of Coca-Cola are being paid a 15% bonus to breathe China’s polluted air, according to a report in the Australian Financial Review. Local Chinese are excluded from the bonus, despite working in the same environment. On some days, the air pollution in Beijing is 25 times worse than what’s considered safe in the US. Deaths from lung cancer have risen 465% over the last three decades, and a recent study showed that Beijing residents can expect to spend significant periods of their life infirm. Many Chinese residents have grown so pollution-aware that they check air-quality rating apps before they check the weather when they wake in the morning, and they converse knowledgeably about air 2
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purifiers and masks, Bloomberg View reported. For corporate HR managers, the pollution issue affects retention and attraction of quality new hires. Coca-Cola’s bonus is similar to the “hardship differential” pay increases that the US State Department awards to foreign-service officers serving in difficult environments, including “notably (unhealthy) conditions.” In China, the bonus rates vary from zero per cent in relatively clean Kunming, to 30% in heavily industrial Shenyang and Wuhan (making them equivalent, in hardship-differential terms, to Haiti). In Shanghai and Beijing, home to most expats (and US foreignservice officers in China), the rates are 10% and 15%, respectively.
PROFILE
The Spa Artisan
Rejuvenate in luxury The 3972 square feet spa destination – The Spa Artisan combines the oasis of a garden spa with the rich heritage of the iconic Fullerton Hotel Singapore. Winner of the World Luxury Spa Award 2014 and named the Best Luxury Boutique Spa and Best Luxury Emerging Spa (Singapore) in 2013, The Spa Artisan features beautifully landscaped interiors that introduce nature into an urban setting through unique architectural design and textures including a Green Feature Wall. Spa facilities includes a range of state-of-the-art PowerSlim machines – Studio, Gym and Medico – which provides modern spa treatments synergised with infrared and ionisation technology. The infrared filaments intensify the metabolism process for a more effective calorie burning spa or gym session. In addition the inclusion of ionised air also helps reduces the feeling of tiredness. All Powerslim treatments are targeted designed for busy professionals who expect a fast and extensive fitness boost. Other facilities includes two couple suites and four single suites that feature an en-suite rainforest shower, a nail spa on terraced steps, spa lounge and a retail bar featuring SkinCeuticals, the American leader in antioxidants. A multitude of massages are available at The Spa Artisan, which uses a combination of techniques including Acupressure, Swedish, Shiatsu, Lymphatic and rhythmic Hawaiian, all of which will leave you wonderfully relaxed and recharged. Spa therapies also include body scrubs, body wraps and detox treatments.
All these right in the heart of the city. We all know that constant stress in our lives is not healthy. It can create or exacerbate many physical and emotional conditions such as chronic fatigue, digestive problems, headaches, back pain, high blood pressure and risk of stroke. Massage is no longer available only through luxury spas and upscale health clubs. Today, massage therapy is offered in businesses, clinics, hospitals and even airports. By fighting stress on a number of fronts, the benefits of massage for stress relief include relaxation of muscles, an increase in circulation and a reduction in stress related pain. Once your stress level is reduced, you can reclaim the energy you once enjoyed, and experience a refreshed body and mind. The (re)Fresh Programme will offer access to three different spa destinations – Aramsa (Bishan Park), The Spa Artisan (The Fullerton Hotel) and Club Med Bintan Spa for your employee as well as their spouse. Spa benefits includes birthday 1-for- 1 offer as well as discounts off a la carte spa treatments and retail purchases. There is no signing up fee required. On site and off site spa services are also available – surprise your employee with a spa day in the office to boost motivation. The spas also host spa- parties, corporate functions and team building exercises upon request. With interesting packages such as “Knead & Snooze” which encourages power napping to boost productivity, creating customised treatments to suit your company’s needs is our pleasure.
For more information, kindly drop us an enquiry at marketing@asmaralifestyle.com
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ADVERTORIAL
Cabcharge Asia
CASHLESS CONVENIENCE
for your taxi travel needs With Cabcharge cards, you never need to worry about bothersome taxi reimbursement and petty cash issues again! Taxi travel is an integral part of almost any business today. The usually tedious claims process can be made more convenient using Cabcharge, a unique taxi charging account backed by 16,600 ComfortDelGro taxis! By issuing Cabcharge cards to your staff, they enjoy great convenience with cashless payment on board Singapore’s largest fleet of ComfortDelGro taxis. All Singapore-registered companies can start a corporate account and apply for individual (nontransferable) and departmental (transferable) cards which can be used on taxi trips by both taxi-booking and street-hire.
Staff-travel made accountable Cabcharge is unique in that it provides companies more accountability and transparency with their
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transport expenditure. Satellite-linked fleet of taxis track valuable details like Date/Time of Trip, Pick-up Location / Destination and Taxi fare when your staff use the Cabcharge card. The trip information is captured in a monthly invoice which includes a detailed itemised report on trips taken. This eliminates the need to administer transport claims and eases paper work. Using Cabcharge Cards and eVouchers will indeed give HR an overview of the company’s taxi expenditure and greater accountability of official trips
Billing options • One invoice with breakdown by card type/cardholder • Separate invoices by department/business unit/cost centre
ADVERTORIAL
as it provides the pickup and destination. This means less administrative work to manage taxi expenses per employee and petty cash reimbursement. To track travel expenditure, just log on to the Cabcharge Online Portal and gain access to your company’s online account statements for up to the past three months and monitor your taxi travel expenses. At times, the transparency and accountability that the online portal provides has even led to cost-savings as companies adopt smarter corporate travel policies.
A win-win solution Taxi expenditure for night shift employees of a cinema chain operator used to amount to rather large sums, making it hard for them to come up with payment up front. Furthermore, staff faced a one-month wait to be recompensed. The movie multiplex chain also had the hassle of petty cash claims for every single staff. After making the switch to Cabcharge cards and evouchers, payments were made to a single invoice, eliminating hassle for both staff and the company. For smaller organisations where operating a lean outfit is key, time is put to more productive use when the Cabcharge scheme is implemented, as company travel expenses are better managed and the need for taxi reimbursement is eliminated. With the ever increasing cost to own a car, HR can adopt this scheme as an alternative to providing company cars to key employees. Corporate Cabcharge card services also come in handy for sales personnel or field engineers who no longer own personal vehicles after their old cars are scrapped.
Pay with ease Cabcharge offers a secure way to pay, with customised payment modes. Firstly, HR can choose to receive one invoice with a breakdown by card type or cardholder.
Products and services available • Cabcharge Corporate Cards • Cabcharge eVouchers • Cabcharge Premier Service
Separate invoices categorised by department, business unit or cost centre be can also be arranged. With a dedicated account manager to look after your corporate travelling needs, you’ll never have to face the hassle of processing taxi claims again. More than 3,000 corporate customers use Cabcharge services across all industries, financial institutions, manufacturing companies, hotels and government institutions.
CORPORATE BENEFITS • Access to a 24-hour priority corporate hotline line to book a ComfortDelGro taxi • Reduce the hassle of petty cash claim • Online portal for tracking of trips taken, usage monitoring and access to past three-month invoice • Dedicated account manager to look after your corporate travelling needs • Secure way to pay through a monthly settlement with a 30-day credit term
Be rewarded with a S$5 taxi voucher when you set up a Cabcharge corporate account with us To qualify, please quote “HRM reward”. Email sales@cdgtaxi.com.sg or call 6550 8746 to enquire. *Only for the first 100 successful account set-ups
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FEATURE
Compensation and Benefits
Doing math the
The top 25 US firms for compensation and benefits were recently unveiled. HRM shares how local companies can incorporate these best practices and systems into their own programmes By Sham Majid
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From office culture to employee engagement to work-life balance: Google has long been regarded as being one of the best companies to work for globally. And it can now add another accolade to its ranks. According to the 2014 Top 25 Companies for Compensation and Benefits by Glassdoor, an online jobs and career portal, Google offers the best overall packages for its staff (See boxout). The technology conglomerate earned a 4.4 rating for compensation and benefits in the research. Besides its attractive compensation packages, some benefits afforded to Google employees include free meals and free transport services to get staff to and from the office. Coming in second on the list was Costco Wholesale, the largest wholesale club operator in the US (See boxout).
FEATURE
Not only about salary While the survey results indicate that salary is a key factor in employees rating their company highly, employees also look beyond pay. So says Hong Siu Ming, Head of Compensation and Benefits and Employee Engagement, Group Human Capital, Great Eastern Life Assurance. “A classic example of this is demonstrated when you ask a Google employee what keeps them in the organisation. More likely than not, while pay is a key consideration, it will not be the only or main consideration,” says Hong. “To develop creative and effective compensation plans, employers should consider their demographic make-up as well as their corporate brand and develop a holistic compensation framework which helps crystallise the Employer Value Proposition to the employee.” Hong says this can then encompass creative forms, in which salary is only one of many components. This is particularly useful for Generation Y staff and Millenials, who view salary in relative terms. “What’s more important is whether they have been recognised for what they do, rather than simply paying them,” Hong says. “Giving them very high pay but not giving them a holistic working and learning experience might work in the short term but it is not going to go down well over the medium to longer term.” Hong says there are many instances whereby Generation Y staff will resign a position, just to experience something different. “It’s pretty clear that employees know and have a sense of their market worth,” he says. Beyond a certain point in salary, organisations are effectively wasting money, as these salaries do not provide any added retention benefit. Hong’s assertion is also backed by Phan Yoke Fei, Group Head of HR at the Auric Pacific Group. Phan says a balance of internal equity and benchmarking against the market is appreciated by employees intending to build a career with an organisation, at least for a minimum period of two years.
“In the context of the new generation of employees coming into the workforce, it is internal and market equity in the initial stage, and a fair opportunity for a speedy climb up the corporate ladder that matter more than anything else.” Angelo Frangi, Vice President, Reward, Asia Middle East & Africa & Greater China, InterContinental Hotels Group (IHG), says that while being remunerated appropriately and having good compensation and benefits are important, there
Google’s sizzling C&B policies It’s official. Google has been recognised as the US’ best firm in terms of compensation and benefits programmes. According to Glassdoor’s 2014 Top 25 Companies for Compensation & Benefits, the tech giant sits at the summit of the list with a 4.4 star rating. Glassdoor utilised data that it collated from its 23 million members as the basis for the rankings through company review forms, with each firm getting reviews from at least 75 of its present or former workers over the past year. Here are the top 25 companies:
1 Google 2 Costco 3 Facebook 4 Adobe 5 Epic 6 Intuit 7 USAA 8 Chevron 9 Salesforce.com 10 Monsanto 11 Genentech 12 Kaiser Permanente 13 Qualcomm
14 Riverbed 15 Verizon 16 Vmware 17 T-Mobile 18 Microsoft 19 Amgen 20 Pfizer 21 Southern California Edison 22 Orbitz 23 Procter & Gamble 24 Union Pacific 25 eBay
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FEATURE
Compensation and Benefits
are also other critical elements at work. “Much of it boils down to the corporate culture,” says Frangi. “Work-life balance, a culture of skill and career development and a great work environment are all important factors which affect an employee’s perception of value over and above standard compensation and benefits.” Phan says the plethora of benefits offered to Google employees epitomise the notion that salary is not the be-all and end-all factor. “Full access to facilities such as a gym, laundromat, billiards, and even pet boarding; free meals all day in addition to free bus transportation services; free electric car usage, very generous health care plans and so much more have become the new utopia for employees to strive to reach,” he says.
Cultivating a compensation philosophy According to a recent survey by global consulting firm Mercer, close to half of all employers have not altered their employee compensation, benefits and other policies in the last few years. Tellingly, only one in four firms aimed to boost their spending in attracting and retaining the right talent over the next 12 months, whether for base salary increases, career development programmes or training opportunities.
Costco Wholesale usurps big guns Costco Wholesale muscled out some very established names on the list to assume second place behind Google. They attained an overall score of 4.4 out of 5 for satisfaction with compensation and benefits. Costco possesses comprehensive health benefits, a prescription drug plan, a vision plan for contact lenses and eyeglasses and a stock purchase plan, among others. Some of the review highlights of Costco included: • "You are able to grow within the company and the pay and benefits are wonderful." • "There are great benefits available for part-time and full-time employees." • "Good pay - The pay at Costco is great for the type of work being done." • "Great pay and benefits even for part time, plenty of ways to move up in the company." • "Offers its part-time employees more benefits than many other companies."
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In order for Singaporean firms to mitigate such issues and craft effective compensation and benefits plans, Hong says it is crucial to understand the workforce and what their company stands for. “It is a simple equation of seeking a balance between employee needs and wants versus what the company can and is prepared to do,” says Hong. “While the equation is simple, executing this is difficult and most companies would struggle with this due to the fact that employees are not homogenous, and companies do not have unlimited resources either.” IHG’s Frangi explains it is important to develop a compelling rewards philosophy and build a financially viable plan that also meets the needs of employees while fulfilling the requirements of the business. “In doing so, we need to listen and observe: being conscious and receptive not only to your employees, but also the environment and markets in which you operate and recruit from,” says Frangi. Phan firmly believes that an organisation must agree to a compensation philosophy that can be easily communicated to both new and existing employees. “They can start off by consciously pitching their positions against market peers in similar businesses in terms of their financial compensation and (then) up the ante on term benefits,” he explains. “These can be further detailed into a good ratio of guaranteed cash, variable cash (based on annual performance and deliverables), short term, and long term incentives that may keep employees interested in prolonging their career with one particular organisation.” Nevertheless, Phan adds that not every organisation can afford the utopian benefits offered by many of the biggest players. Hence, he says that organisations should seriously look at areas such as flexi-work arrangements, providing family-friendly work places, job competency enhancements and transparent progression methods to compliment a predominantly wages- driven environment.
Avoiding compensation pitfalls Focusing solely on remuneration should be averted as this may not necessarily help strike a balance between what is mutually beneficial for the individual and the company, says Frangi.
FEATURE
“It is essential that a company’s rewards strategy is aligned with its overall business and talent strategies, and ensure that there are no competing priorities,” adds Frangi. In addition, he says that in developing a compensation and benefits plan, it is also important to consider the long-term impact of the strategy. “For example, reducing spending on benefits may lower the initial costs incurred to the company, but this can cause lower employee engagement and higher turnover which would result in increased resourcing and training costs in the longer term," he adds. Frangi says that every company has a different DNA and employees with different needs and profiles that contribute to a unique company culture. “It is therefore critical for a company to develop a rewards strategy based on its own nuances rather than directly implementing one which works for another in the same industry,” he adds. While Hong says that compensation and benefits programmes should continue to stay relevant and dynamic to employees while also being aligned to organisational strategy, he adds that many firms formulate strategies based on “what the market is doing” without due consideration to whether this is what employees want or need. “This leads to what I would term as ‘organisational spillage’ or wastage since the resources pumped into keeping up with the market might not even be effective in delivering what the plan was meant to achieve,” says Hong. “This is why, despite spending heavily on compensation and benefits programmes, many companies still can’t find the sweet spot towards attracting, engaging and retaining their employees.” Phan also concurs with this notion. He says businesses often retain the urge of being on par with the market leaders in lifestyle offerings with insufficient consideration of the affordability of the strategies and whether they suit the values of the organisation. “Without taking those considerations into account, organisations may risk the long term sustainability of the strategies,” adds Phan. “In some cases, businesses may fail before they reach their pursuit of being an employer of choice.”
“Full access to facilities such as a gym, laundromat, billiards, and even pet boarding; free meals all day in addition to free bus transportation services; free electric car usage, very generous health care plans and so much more have become the new utopia for employees to strive to reach” – PHAN YOKE FEI, GROUP HEAD OF HR, THE AURIC PACIFIC GROUP
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PROFILE INTERNATIONAL HR
Dream Skin Beauty Wellness
Energise through nature Established in 2001, Dream Skin has more than 12 years of experience in providing quality services to our valued customers Dream Skin Beauty Wellness is an independent, family-run, beauty, grooming and therapeutic spa set in urban concept rooms located in the East and West of Singapore. Our team of friendly and professional therapists offers a wide range of treatments for men and women using quality products in relaxing surroundings. Dream Skin aims to succeed in providing every customer, perfection in their health and beauty. Since its inception, we have always adhered to the use of natural organic products to pamper our customers, while continuing to enhance the professional knowledge of our therapists. Dream Skin has a very professional, experienced and friendly team of staff who exude great chemistry. We also promise highly effective instruments, face to body integrity and quality service. Our customers can be assured of an all-round pampering experience that will leave them with beautiful skin.
The Dream Skin Spa experience is unique The experience from the moment you walk into a spa or salon is as important as the treatment you will receive – and we deliver personalised service and exceptional quality in both. We are specialists in beauty, holistic and therapeutic treatments delivering great quality at reasonable prices in a most friendly and professional environment.
Dream Skin Spa/Face/Slimming Sam Lee Marketing Manager Mobile: 93217035 Blk 638 #01-24/26, Bukit Batok Central, Singapore 650638 Tel: 65676390 Blk 201E #01-78 Tampines Street 23, Singapore 527201 Tel: 67889098 Facebook: www.facebook.com/ dreamskinspa 10
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Soothing music and natural scents greet you as you enter our spa. Our treatment areas are individually dressed, warm, inviting rooms where you can truly ease away your stresses. Be it a pampering couple’s spa session or a single treatment, you will find it difficult not to relax.
DreamSkin’s workplace massage Wellness activities make up a big part of such innovative, flexible benefits schemes. The advantages of providing staff with access to wellness packages range from improving the overall well-being of employees and rewarding staff, to providing relaxation and recreation for employees and sponsorship schemes. “Getting the right work, life and relaxation balance is becoming a bigger responsibility for companies today than it was in the past,” Dream Skin Management team says. “As employees tackle more work and longer hours in the office, their health and well-being slowly declines.” “Companies which have previously introduced a wellness programme experience a positive, happy, productive and more reliable work team,” the team adds. HR can work with Dream Skin to customise a wellness programmes for the company – be it on-site massage services or birthday and long service award gift vouchers for employees
PROFILE INTERNATIONAL HR
Pan Pacific Serviced Suites Beach Road, Singapore
Where heritage meets modernity Experience modern living in the heart of heritage at Pan Pacific Serviced Suites Beach Road, Singapore whether it’s in the state-of-the-art fitness centre with its floor to ceiling windows, or the refreshing rooftop pool with its spectacular views across the city. There is also a Residents’ Lounge where you can unwind with an array of entertainment offerings, including options ranging from an Xbox video game console and a pool table, to a mini library. Along with amenities to entertain you and help you relax, you can also enjoy complimentary fresh brews from the coffee machine. In the comfort of your spacious suite, your in-room entertainment experience includes a selection of local and cable channels, a Blu-ray DVD player and an iPod docking station with audio speakers.
Things that really matter One-Bedroom Deluxe Suite
Located within the vibrant enclave of Beach Road and Arab Street, bordering the city and Central Business District, Pan Pacific Serviced Suites Beach Road offers an excellent choice of extended stay accommodation.
More than just a room Each of the 180 stylish suites exudes a refreshing ambience with premium facilities and quality services, notably the 24-hour Personal Assistants service, complemented by an array of professional support services including housekeeping and a suite of technology to make your stay as effortless as possible. Residents have a choice of one-bedroom Deluxe, Executive and Premium Suites, which feature a living and dining area adjoining the bedroom. A variety of twobedroom Premium Suites provide an en suite bathroom with bathtub and rain shower. In all the suites, you will find a washer-cum-dryer, as well as a fully-equipped kitchenette with premium appliances. For more information, visit panpacific.com
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To help make your stay as effortless as possible, arrangements can be made for grocery delivery directly to your suite. Laundry and dry cleaning, as well as ironing services, are provided too. Our 24-hour Personal Assistants are also on hand to assist with packing or unpacking should you wish. Also, should you require it, there is a dedicated meeting room with state-of-the-art technology. For residents’ added convenience, there is a regular shuttle service to Suntec City, Shenton Way, Raffles City, HarbourFront Centre, Maple Tree Business City and Orchard Road. An on-site multi-storey car park is perfect for residents who have their own car. Whether you are staying for a week, a month or even longer, at Pan Pacific Serviced Suites Beach Road, Singapore you can guarantee that all your needs will be taken care of.
Relaxation aplenty here After a busy day of work or play, Pan Pacific Serviced Suites Beach Road offers the ideal place to relax and rejuvenate;
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Rooftop Pool
FEATURE
Compensation and Benefits
CA$H just isn’t enough 14
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FEATURE
Ask employees what they want as a reward, and they’ll invariably say more money. But guest contributor John Schaefer says there are far better ways to recognise staff doing a good job
When surveyed, employees consistently will ask for cash, but research shows that it’s the least effective form of recognition. How come? Steve is a loyal employee who enjoys his work, is productive and reliable – the model employee. He was surprised when his 10-year service award package offered him cash as an option. It wasn’t like he couldn’t use a few extra bucks, but the fact that his employer was able to put a price tag on ten years of his life, left him feeling a little cold and confused. Why is it that when the company offered the very thing that employees seemed to want, that it fell short of carrying the important message: “we care about you and are glad you’re on our team”? Maybe it has something to do with the question. Asking employees what they want tends to imply that you don’t know and really don’t care all that much. The moment they think that you are using recognition more out of obligation than desire, they will emotionally disengage, feel a bit insulted, and give you the answer they think you want to hear – “Aw, what the heck, just give me a gift card!” It actually has to do a lot more with perception than logic. Employees want so much to be genuinely appreciated, that the minute you give them the smallest hint that you’re attempting to manipulate them with carrots and sticks, you lose. It’s really just about doing a few very basic things right and in the correct order. This requires training supervisors to understand some straight forward principles. They should realise that it’s to their personal benefit to make recognition a powerful management tool, and learn to communicate more effectively, so their people believe they mean it. Once honest emotional engagement is achieved, you’ll be amazed at how quickly financial incentives can take you and your firm to another level of measurable, bankable ROI that will have everybody wanting more. It’s an educational challenge that too many companies ignore, but are paying for over and over again. Here are three thoughts to consider:
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No one disagrees that cash is important. The reality, however, is that you owe it to yourself and your stockholders to do what’s best with the company’s money. The data overwhelmingly supports the fact that well-designed incentives will out-perform cash by more than two to one, as well as carry far lower tax consequences. You can give a gift valued at 1% of an employee’s salary, and if done enthusiastically, they’ll feel the love. But, give them a 1% bonus or raise and they’re looking at the classifieds. Same dollars, totally different result . . . it’s all about perception!
2
Most companies use a variety of disjointed programmes to recognise and reward their people. Even if the programmes are working, it’s impossible to determine the level of participation and financial return. Imagine if you orchestrated all of the tools used to
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FEATURE
Compensation and Benefits
There’s a lot more to
recognition than just handing out awards and gifts
communicate with employees, so they could be properly measured, kept relevant to company goals and you could easily teach your supervisors the proper way to implement them. This is called an Umbrella Recognition Strategy and the benefits are numerous. However, there can be potential challenges involved in transitioning your organisation to this approach. Here are the three steps you should be willing to take to consider implementing an Umbrella Strategy: • You need to have upper management support. Only then will you be able to get all of the programme owners to open up and provide the information needed to analyse the current situation and begin to see opportunities for improvement; • Your team has to be open to new ideas and be willing to brainstorm all viable options. One of the few positives to this current economic downturn is that things are on the table today that would probably not be open to discussion during more robust financial times; and • The goal of your team needs to focus on developing the greatest ROI on your recognition investments, not protectionism or departmental isolationism. A macro-view of the situation, where everyone is considering programme initiatives from a broad perspective based on company culture, mission and long term objectives is the secret to getting the best overall programme and the ROI you deserve.
3
As you begin to evaluate your current recognition programmes, you’ll be surprised at both the amount of money leaking out of the organisation in various ways and why there may be
inherent confusion from the employees’ perspective. We recommend a Four Cornerstone approach: • Communications: People need to know how to give recognition, rather than just present awards; • Training: This focuses on the “how to do” and is an important element to overall performance improvement. Effective training avoids your best intentions being seen as nothing more than “throwing ‘em a bone”; • Reinforcement: Recognition is not an event, it’s a process. Employees need to “want to” achieve business goals, but how do we achieve this emotional engagement? It’s done by validating. Employees must feel important and appreciated when they go the extra mile. • Measurements: Things that are measured tend to improve. Measurements address the “how are we doing”. With the vision and strategy in place, the objectives and responsibilities of each employee to support the strategy must be determined. This is the most overlooked part of performance improvement programmes, because it requires responsibility and can often be uncomfortable. Outstanding employees want to be measured and ineffective employees want to remain invisible. There’s a lot more to recognition than just handing out awards and gifts, but therein lies the opportunity to turn accepted expenses into significant profits. Companies that take on the challenge of embracing this new view of employee engagement are seeing impressive improvements in productivity, profitability, morale and teamwork, along with significant reductions in turnover, recruiting and safety related costs.
ABOUT THE AUTHOR John Schaefer is one of the world’s leading expert on recognition. With more than 20 years of working with major corporations, he helps them succeed by optimising their most valuable asset – people. This Industrial Engineer with a degree from Arizona State University worked for a 6,000-employee manufacturer, then a small family business. Driven by his personal experiences of witnessing frustration and anxiety in the workplace, along with wit and a passion for helping people, he formed his own recognition awards company in 1989. Schaefer’s notable books include The Ten Levels of Workplace Disillusionment and The Vocational Shrink Game and Action Guide and Get More Productivity for Less Money . . . Your Employees Will Love You for It!
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DON’T MISS Join John Schaefer at the HRM Asia 8th Annual Compensation & Benefits Asia on 17-18 September for his exclusive workshop on how to turn your recognition expenses into profits!
al * 00 eci ST 014 $9 Sp + G g 2 ve rd 5 Au Sa Bi ,09 27 rly $1 ore Ea ly S bef r On iste
Re
g
8th Annual
COMPENSATION & BENEFITS ASIA 17-18 September 2014 | Mandarin Orchard Singapore
The No. 1 event dedicated to the latest in total rewards practices across Singapore and Asia Now in its eighth year, Compensation and Benefits Asia is evolving to bring more interactive learning, networking opportunities with peers and invaluable presentations to inspire innovative ideas on how to master the challenges experienced by leading compensation, rewards and HR professionals.
LIVE & EXCLUSIVE IN SINGAPORE!
Practical Workshop
Turn Your C&B Expenses Into Profits: The What, Why and How of Employee Recognition
Mayur Chaturvedi Regional Manager – Compensation and Benefits, Asia Pacific ZIMMER
Joydeep Bose HR President and Global Head OLAM Profile of Joydeep Bose INTERNATIONAL
Jayesh Menon
Joydeep Bose is the President and the Global Head of Human Resources for Olam International Limited. He is responsible for providing
leadership
to
the
human
resources function globally across more than 60 countries and 23000 employees. He has more than 20 years experience in the Human Resources field across industries such as chemical processing, telecom, information technology
John Schaefer International Speaker and Author
Jayesh Menon Regional HR Leader and Director, Asia Pacific ITRON
and supply chain management. His expertise is in the areas of organization performance
Sajjad Parmar Regional Reward Manager - Asia GLAXOSMITHKLINE
enhancement, transformational change, mergers & acquisitions. His earlier assignments included Human Resources consulting engagements with prestigious Fortune 100 companies in the US.
Joydeep is a member of the committee engaged in sponsoring research for the International Trading Institute which is a partnership initiative between International Enterprise, a Singapore
government organization and the Singapore Management University created with the objective of building talent for the trading industry in Singapore. He is also a member of the Singapore Workforce Development Agency’s committee on Human Resource Manpower Skills and Training Council (MSTC) to improve the level of capabilities of Human Resource professionals in the country.
REGIONAL HR LEADER AND DIRECTOR, ASIA PACIFIC.
Aveenash Tewari Regional Rewards Business Partner, Asia Pacific EBAY INC.
Carolyn Milligan Head of Global Mobility KANTAR GROUP
Prakash Satagopan Manager – Business Compensation, APJ HEWLETT-PACKARD
Rich Atkinson Regional Human Resources Director, Asia Pacific PAYPAL GLOBAL OPERATIONS
Joydeep has a bachelor’s degree in engineering and a master’s degree in human resources from XLRI, India, a premier business school specializing in human resources management.
Jayesh Menon is currently the HR leader managing all of the human resources function for 13 countries in the Asia pacific region including Japan and Australia for Itron. Itron is a global MNC in utility technology & services with its headquarters in Washington state, USA.
Khor Ling Ling Deputy Director Prior to this he was working with Flextronics managing HR in various Performance and countries including China, India and Malaysia with his last role with them Rewards being the HR director for south east asia region. EASTERN HEALTH He also has experience in managing HR functions in IT and Banking industry. ALLIANCE
Eudora Choo Vice President – Benefits Governance, APAC DEUTSCHE BANK AG
Dushyant Ajwani Manager – Compensation and Benefits, Southeast Asia AMERICAN EXPRESS
Phan Yoke Fei Group Head – HR AURIC GROUP
+PLUS! THINK TANK:
INTERACTIVE ROUNDTABLE DISCUSSION:
MASTERCLASS:
ON-STAGE INTERVIEW:
Is Your Investment in Your Compensation and Benefits Offerings Providing the Right Returns?
ROI of Compensation and Benefits: Translating Your Investment Into Measurable Business Result
Benefits Far Beyond Compensation – Innovative Total Rewards is the New Rocket Fuel to Power your Talent Engine
Straight From the Horse’s Mouth: Gen Y? Now It’s Time to Think About Gen Z
www.hrmcongress.com | +65 6423 4631
PROFILE INTERNATIONAL HR
David Allen Company (USA)
Getting Things Done Email inbox shows nearly a hundred unread emails. In-tray is full of pending papers to clear. Boss is hurling new instructions almost every other minute. Sounds familiar? Fret not, Getting Things Done is easier than you think! Your mind is for having ideas, not holding them. That’s why David Allen, a leading authority in the fields of organisational and personal productivity, created Getting Things Done®. GTD is the work-life management system that has helped countless individuals and organisations bring order to chaos with stress-free productivity. In a recent Productivity Scan research study conducted by Life Architect, David Allen’s GTD methodology shows a minimum of 20% improvement in personal productivity and effectiveness. After decades of in-the-field research and practice of his productivity methods, David wrote the international best-seller Getting Things Done. Published in over 28 languages, TIME magazine heralded it as “the defining self-help business book of its time.”
How does GTD really work? GTD® is a powerful method to manage commitments, information, and communication. It has earned a reputation as the gold standard in personal and organisational productivity. GTD® enables greater performance, capacity, and innovation. It alleviates the feeling of overwhelm, instilling focus, clarity, and confidence. Through programmes such as Mastering Workflow Training Workshops (see boxout) and Executive Coaching services, certified coaches help executives one-to-one and support their individual productivity improvement programme based on GTD principles of Email Management, Calendar Management, Weekly Planning and Prioritisation, Microsoft Outlook or Omnifocus set-up, amongst others. David Allen Company trains and certifies your experienced internal corporate trainers to deliver the engaging and powerful Level One – Fundamentals Course within your organisation – where and when it is needed. Today, GTD training and coaching services are offered to more than 40 countries worldwide. GTD clients include 40% of Fortune 500 companies such as Microsoft, HP, IBM, Starbucks, Novartis, Nike, Sony, KPMG, Accenture, etc. Ready to start your GTD journey to stress-free productivity? Contact: HPO International – David Allen Certified Franchisee Tel: +65 6701 8262 Email: gtd@hpoii.com Web: www.gettingthingsdone.com 18
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GTD Mastering Workflow 1-day workshop Participants learn how to: • Capture anything and everything that has their attention and concern • Define actionable things into concrete next steps and successful outcomes • Organise information in the most streamlined way, based on how and when you need to access it • Keep current and “ahead of the game” with appropriately frequent reviews • Keep track of the bigger picture while managing the small details • Make trusted choices about what to do in any given moment.
Upcoming GTD Singapore 2014 public programmes: 19 Aug 2014, 25 Sept 2014, 29 Oct 2014, 13 Nov 2014 Registration: www.hpoii.com
CLIENT EXPERIENCES “I am a devout, card-carrying GTD true believer. I got hooked 15 years ago… and the entire approach has boosted not only my productivity but also my wider well-being. But what amazes me just as much is how deeply GTD has taken hold around the world. Unlike the short-term, confected virality we often see in the digital age, this is a genuine movement… one that has already improved lives and will continue to improve many more” – DANIEL PINK, AUTHOR
“GTD allows me to be present and to show up fully in the moment” – LOUIS KIM, HEWLETT PACKARD
PROFILE
AsiaMedic Wellness Assessment Centre
Your one-stop health screening centre Strong establishment in the region Established in 1997, AsiaMedic Wellness Assessment Centre has consistently delivered high-quality care and a first-class experience for our patients in Singapore and around the region. Being a major player in health screening, AsiaMedic Wellness Assessment Centre has served many MNCs & SMEs over the years.
Strong Team, Strong Support Our clinical team led by Dr Wong Kae Thong (Medical Director, Wellness Division), has put together
an integrated process to provide a hassle-free and enjoyable health screening experience. All the services are rendered in-house on the same floor, which minimises waiting time. Supported by a dedicated team of account managers, we are always there to provide you with customised solutions, useful advice and a warm friendly smile.
One-Stop Health Screening Centre Designed as a one-stop hub, AsiaMedic Wellness Assessment Centre is a large, fully integrated Health Screening and Radiology
Centre in the heart of Orchard Road. Our services include: • Health screening and assessment • Travel clinic and vaccinations • Chronic disease management • Sleep apnea clinic • General and advanced imaging • PET/CT imaging for diagnosis, staging, localisation and monitoring progress of cancer
For more information, please contact us at: AsiaMedic Wellness Assessment Centre 350 Orchard Road, #08-00 Shaw House Singapore 238868 Tel: (65) 6505 6087 Email: corporate@asiamedic.com.sg Web: www.asiamedic.com.sg Facebook: www.facebook.com/AsiaMedic
ONE-STOP HEALTH SCREENING in The Heart of Orchard Road At AsiaMedic, patients always come first. Come experience our warm and friendly services. + Customised Health Screening Packages + Friendly and Dedicated Account Managers + Hassle-free Booking for Appointments + Cosy Environment and State-of-the-Art Facilities + One-stop Health Screening and Radiology Centre
For more information, contact us at:
AsiaMedic Limited 350 Orchard Road, #08-00 Shaw House Singapore 238868 Tel: (65) 6505 6087 | E-mail: corporate@asiamedic.com.sg | Website: www.asiamedic.com.sg
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PROFILE INTERNATIONAL HR
Daimler Fleet Management Singapore
Reward your corporate stars with a reason to drive Money alone is no longer sufficient in differentiating yourself as an Employer of Choice. Get creative with non-cash perks such as car benefits to stand out from the crowd! Singapore employers find it increasingly difficult to attract and retain key talent in today’s tight labour market despite already providing attractive remuneration packages to their employees. An attractive pay package is no longer sufficient to differentiate employers and more HR professionals are turning to employer branding and creative non-cash benefits to motivate and retain their most talented people. Unlike countries such as the United Kingdom and the Netherlands, the company provided car benefit remains underutilised in Singapore as the high capital costs of purchasing a car in Singapore can be a challenge for companies. As such, Singapore-based companies who offer an employee car benefit to key talent often turn to corporate car leasing programmes as a solution.
What’s leasing all about?
• No need to allocate huge sums of capital to purchase a fleet of cars or worry about its asset depreciation • No down-payment is required for a new car • Pay a fixed monthly sum for the
To find out more about how a corporate car lease programme can benefit your company, please contact: Daimler Fleet Management Singapore Tel: +65 6849 8118 Fax: +65 6849 8888 Email: dfm.sg@daimler.com Web: www.daimler-fleetmanagement.com.sg
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Daimler Fleet Management is a subsidiary of Daimler AG, the parent company of Mercedes-Benz, and is headquartered in Stuttgart, Germany. Established in Singapore for over 15 years, Daimler Fleet Management Singapore provides fleet management and vehicle leasing services for different makes and models, such as Mercedes-Benz, Mitsubishi, Kia and Toyota.
entire length of the car’s lease contract, covering: - Use of the car - Road tax - Comprehensive motor insurance - Wear and tear part replacements - Repairs and maintenance services even after warranty Companies can also choose to brand the cars they lease with their company logos for employer branding purposes. While providing key employees with a unique car benefit improves their employer satisfaction, having a personal mode of transport also empowers them with mobility. This
boosts their productivity by allowing them to commute between their office and external meetings efficiently without the hassles of hailing a taxi each time. Ultimately, a car lease programme gives companies greater flexibility and transparency to the use of their cars. Companies can decide how long they want to lease a car for and the car can be assigned to a different employee if the current driver leaves the company. The fixed monthly rate also means that companies can allocate their budget for fixed costs and frees up funds that can be channelled to other areas of the business.
Your corporate stars deserve the best. The new C-Class. The best knows no alternative.
A Daimler Brand
Masterful in appearance. Unique in detail. The new C-Class impresses with its driving performance and technical innovation that sets new benchmarks in its class. Just like your corporate stars. With the Mercedes-Benz Corporate Lease, you can now reward your key talent with a unique car benefit that keeps them at the top of their game. www.daimler-fleetmanagement.com.sg
C-Class – Fuel consumption: 5.5-5.9 l/100km; CO2 emission: 127-136 g/km Figures do not relate to the specific emissions or fuel consumption of any individual vehicle, do not form part of any offer and are intended solely to aid comparison between different types of vehicle. The vehicle shown features optional equipment.