RCSA Journal March 2015 by RCSA

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RCSAJournal Australia & New Zealand | March 2015

RCSA Awards and Gala Ball celebrate excellence!

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Achieving career equality

IN THIS ISSUE • Tackling a critical issue: youth unemployment • New Zealand Update – another bumper year?

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Contents

REPORTS 4 President’s Report: Robert van Stokrom FRCSA 6 CEO’s Report: Steve Granland

RCSA GALA BALL 8 Major Event: 2015 RCSA Awards and Gala Ball

2015 FOCUS DIVERSITY 10 Opportunities for everyone? Achieving career equality - what makes an Employer of Choice? 14 Tackling a critical issue: youth unemployment 16 Making it work: RCSA Youth Jobs Forum

INTERNATIONAL OUTLOOK 18 Ciett Report: Breaking the human trafficking supply chain 20 Staffing markets share similarities and differences 22 New Zealand: another bumper year?

BUSINESS MANAGEMENT 24 The innovation update – creative strategies improving results

Opportunities for everyone?

34 Corporate Member survey results 35 Comparison: ISO9001:2015 and the RCSA Service Delivery Standard

ASSOCIATION NEWS 36 Member Groups: ANRA and AMRANZ 37 The RCSA Code and online Code training 38 Welcome to new RCSA Corporate Members 38 SMEs realise good staff are the key to growth 39 The Golden Era of Recruitment: Greg Savage Acumen Series 40 RCSA Partners and Premium Supporters 41 RCSA Board, Life Members and Fellows 42 2015 RCSA CPD & Events Calendar

25 Change enablers 26 Learning and development insights 28 Kinetic Super update

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RECRUITMENT & CONSULTING SERVICES ASSOCIATION LIMITED The RCSA Journal is published by the Recruitment and Consulting Services Association Limited.

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30 The Productivity Commission’s Review into the Workplace Relations Framework has flexible work in its sights 32 Don’t forget about corporate image 34 The RIB Report

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The Recruitment & Consulting Services Association (RCSA) is the leading industry body for talent management and workforce solutions in Australia and New Zealand. With approximately 3,300 members, Corporate and Individual, the Association sets professional standards, conducts research, educates and develops members’ skills, monitors industry developments and lobbies governments on issues directly affecting members.

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NOTE: All material published in the RCSA Journal is subject to copyright and no part may be republished, photocopied or transmitted electronically or in any form without written permission. Opinions expressed by contributors are their own and are not necessarily endorsed by the RCSA or the editor. Advertisers and contributors to the RCSA Journal should be aware of the provisions of the Anti-Discrimination Act 1977 and the Trade Practices Act 1974 in relation to false and misleading advertisements or statements and other unfair practices. The RCSA and the editor accept no responsibility for such breaches. While every effort has been made to ensure the accuracy of the information in this publication, no responsi bility is accepted for errors or omissions.

MARCH 2015

PRESID E N T’ S RE PO R T Robert van Stokrom FRCSA

ver the next two years, RCSA will embark on an important and challenging journey as the lead proponent of a prescribed industry code for the employment services industry. Many of you will be familiar with the voluntary codes that have operated through industry associations in the past – and which may continue to operate. RCSA is proposing something different. RCSA is proposing a code backed by Commonwealth regulations that apply to the entire employment services industry – and not just to members of RCSA. It’s an industry led initiative – focused on maintaining and improving standards of conduct and performance across the entire industry. There has never been anything like it in Australia before. While fair work laws, health and safety, fair-trading, electronic commerce, mutual recognition, skills and quality frameworks, privacy protections, and equal opportunity have all moved towards greater harmonisation in recognition of the needs of a national and trans-Tasman market for employment services, employment agency regulation has not. Each Australian state and territory has continued to hang on to regulatory responsibility for itself. This patchwork approach to governing an industry that plays a vital role in a well-functioning labour market is out of touch with the conduct of modern business and the needs of today’s job seekers. RCSA recognises that employment agencies, as well as the businesses and work seekers who have dealings with them, must have the assurance of a regulatory framework that is current, comprehensive and consistent. RCSA’s proposal for an industry-led prescribed code of conduct aims to provide precisely that! Already, RCSA has developed a working draft of what a code of conduct for the industry could look like. In coming months, that draft will be reviewed by a Code Development Committee. The committee is made up of industry participants as well as representatives from government. It will work alongside observers from New Zealand, who also have an interest in what we are doing. Later this year, the outcome of the Code Development Committee’s review will be made available for public comment. RCSA will then co-ordinate a wide-ranging consultation on the draft code – through face-to -face gatherings, as well as web-based presentations. RCSA wants to hear from all sectors of the

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employment services industry, as well as from business, government, industry associations, workers and work seekers, their representative bodies, and consumer groups and from the academic sector. Only once the views of all stakeholders have been gathered will it be possible to make a firm recommendation to government about the type of industry code that best suits contemporary needs and expectations. RCSA is proud to have the opportunity to initiate and lead what is undoubtedly the most significant and far-reaching step that has been taken within in the industry in recent times. As President of RCSA I am confident that our work over the coming months – undertaken with a strong sense of corporate and social responsibility – will make a lasting contribution to the maturing of our industry and the professionalism with which its members go about doing the valuable work that they do. I look forward to viewing the outcome of the Code Development Committee’s work and I wish them every success in their important undertaking. I want to commend my fellow Board, Regional Council and Task Group members for their unerring unity of purpose and determination to support this initiative of RCSA. I am grateful for the expert assistance provided by RCSA’s management and advisory team. I also want to recognise the valuable work that has already been done over many years by industry associations – internationally and domestically – and I strongly encourage them to join in the consultation. Lastly, and perhaps, most of all, I want to acknowledge the comments and contributions (both positive and sometimes not so positive) made by the many, many people who have had dealings with our industry that have caused us to think deeply about what we do, and to resolve now to do it even better. RCSA is the leading industry and professional body for the recruitment and human resources services sector in Australia and New Zealand. I encourage all members to provide your feedback about this proposal. Thank you. Robert van Stokrom FRCSA RCSA President, Australia and New Zealand

It’s an industry led initiative – focused on maintaining and improving standards of conduct and performance across the entire industry.

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CEO ’S RE PO RT Steve Granland

Welcome to the first issue of the RCSA Journal for 2015.

t is fair to say that 2015 has kicked off along similar lines to the last few years. Rumblings of political uncertainty in the corridors of power in early February federally in Australia combined with recent changes of government in Victoria and Queensland and the prospect of a change in NSW in March. At the same time, economic challenges continue to present themselves with little sign of a fundamental positive macroeconomic shift taking place. On the other hand, New Zealand moves forward with a returned government and positive signs of a strengthening economy. Regardless of the state of play politically or economically, front and centre of all governments today and tomorrow is employment. From job creation to migration to industrial relations to the future of work and everything in between, the employment space will continue to lead discussion and policy development. As a key and fundamental player in the employment landscape, recruitment and on-hire firms have an important and vital voice which must be heard. With this in mind I encourage all members of the RCSA to play a proactive role in 2015. Opportunities to contribute to the policy debate around employment will be presented to members. If you have an opinion, can provide information, data or advice, then I encourage you to get involved.

Shaping our profession At the November 2014 RCSA Board meeting, Robert van Stokrom FRCSA, Chief Executive Officer of DFP Recruitment Services, was re-elected as RCSA President. Under Robert’s leadership the RCSA Board will continue to pursue the RCSA vision of ‘Shaping our profession through standards, knowledge and influence’. The annual RCSA Strategic Plan review session will be undertaken with the Board in mid-March to ensure the current strategic outcomes remain valid and are supported by appropriate actions.

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As a reminder, the RCSA’s five strategic outcomes are:

Strategic Outcome 1 RCSA membership is highly valued.

Strategic Outcome 2 RCSA is the lead provider of marketrecognised Continuing Professional Development (CPD).

Strategic Outcome 3 RCSA is the centre of influence for member interests.

Strategic Outcome 4 RCSA members are recognised as setting the industry benchmark through adherence to RCSA Standards.

Strategic Outcome 5 RCSA’s future prosperity is ensured through the generation and responsible use of stakeholder funds. Key strategic activity at the RCSA over the last three months focused on the raising of the standard and the associated work with the RCSA Code and Industry Improvement Statements, the Youth Jobs Charter and associated forums, researching and preparing submissions for the Australian Productivity Commission review of Workplace Relations; and driving provision of high quality CPD via the Acumen series featuring Greg Savage FRCSA (Life) over February/March, the CEO panels to run in May, the PEARL Consultant Forums in Australia and New Zealand scheduled for mid-year and the PEARL Mentoring program kicking off in the first quarter. At the same time, the RCSA Learning Centre is working to put the finishing touches to an excellent Conference program for Hamilton Island in early September. It is an exciting year for your association, your profession and your industry and I encourage you to engage.

Board and Region changes I would like to welcome to the RCSA Board Ian McPherson FRCSA, Director Enterprise Recruitment, (as our New Zealand Region Council Representative). Ian has been on the New Zealand Region Council for a number of years and will bring to the Board a great mix of knowledge and experience. A special personal thank you to Jacqui

Barratt FRCSA who has left the RCSA Board after eight years of excellent and invaluable service. Jacqui has contributed a great deal to the RCSA at both national and regional levels and no doubt will continue to do so. Jacqui is passionate about our industry and the value it creates for clients, candidates and society. Our profession and our industry has benefited greatly from Jacqui’s support and service to the RCSA. We also welcome a number of new region council, ANRA and AMRANZ members across both Australia and New Zealand following elections in the last quarter of 2014. Please make yourself familiar with your local council or member group via the RCSA website and please contact them directly via the website if you would like to contribute or discuss local issues. Once again in April we will be undertaking a process of developing region specific strategic plans which flow through from the RCSA Strategic Plan. Working with region councils we will develop tailored local initiatives for the five outcomes. These locally owned initiatives when finalised will be communicated to you directly.

RCSA Awards Applications for the RCSA Awards program for 2015 closed late February and I am very pleased to confirm we have had a great response across the five Award categories. It is important that in order to continue to build professionalism that as an industry we recognise and celebrate excellence through this Awards program. The Awards will be presented at the RCSA Gala Ball being held on 21 May in Sydney. With limited places available, I recommend you visit the RCSA website and book today. In closing I would like to wish all RCSA Corporate and Individual Members and all RCSA Supporters a successful 2015. The one constant in our industry is change and with change comes opportunity. Steve Granland RCSA CEO, Australia and New Zealand

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Celebrating excellence is the theme of the 2015 RCSA Awards and Gala Ball on 21 May in Sydney. The Principal Awards Partner is Kinetic Super and the Awards for 2015 are: PEARL Professional Recruiter Award

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McLean Award for Workplace Safety

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Corporate Social Responsibility Award Demonstrate your commitment to CSR and its importance for the sector.

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Pre-dinner drinks sponsored by Key Factors

MARCH 2015

FO CUS: D I V E R S I T Y

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Opportunities for everyone? Only two recruitment organisations were listed in the 76 winners of the inaugural WGEA Employer of Choice for Gender Equality awards. The citation recognises that gender equality is increasingly critical to an organisation’s success and competitive advantage. The RCSA Journal asked the winners to share their ideas.

he journeys of the two recruitment companies that number among 2014 WGEA Employer of Choice for Gender Equality citation winners are as diverse as the workforces they have created. ‘We never really set out to become an employer of choice for gender equality,’ says Irene Saivanidis of Hays Specialist Recruitment (Australia) Pty Ltd. ‘We created a meritocratic culture where we reward people based on their merit and performance. Because our workforce is predominantly female – 64 per cent – and also highly talented, it’s been fantastic to have some really key senior females in the business as role models.’ Their Board, she adds, is very supportive of gender equality. ‘We’re all about performance, providing people with every opportunity to progress their careers and to reward them based on their achievements. We’re very proud of this. As a result, we have had some fantastic outcomes around gender equality in the workplace.’ Gender equality for Hays has been an organic long-term evolution rather than a formal program. ‘It’s simply the way we do business,’ Irene says. And this is evidenced in her promotion to Director of HR Training and Internal Recruitment for the APAC Region when she was 33 weeks pregnant. When we spoke with her, Irene was still on maternity leave, working five days a month so she could continue to attend Board meetings and keep in touch with the business. ‘The business has supported me and I want to support the business. It’s really worked for us,’ she says. Gender equality goes right to the top levels of management, with 50 per cent female representation at board level, something rare in Australian businesses. ‘We have fantastic female representation in all senior levels of our business as well as a very strong pipeline of female employees to continue this,’ says Irene.‘If you look at our succession-planning exercise, which we do annually, 70 per cent of the most senior roles in the business have a female as the primary successor, while a female is identified as a potential successor in 90 per cent of the ten most senior roles.’

Management, leadership and mentoring Hays prides itself on the training and development provided not only to the leadership team, but also from the entrylevel roles up into the very senior level roles. ‘We have an advanced management program, a leadership-development program, and a mentoring program,’ Irene says. ‘We conduct talkback surveys in which we collect information that allows us to identify issues very quickly,’ she continues. ‘Our Board of Directors is very active in ensuring they’re close to their senior leadership team and we report back if any issues arise. So this is an agenda item because it’s critical that we have the best talent in the right roles – something constantly on our radar.’ All these initiatives definitely help with staff retention. Career discussions are held on a regular basis, and directors have one-to-one coaching sessions with high-potential people. ‘This is the type of organisation we want to be, the type of culture we want to create: a high-performance culture where we reward the very best talent,’ Irene says. ‘Regardless of what that talent looks like – gender, age, ethnicity – we want to know that the best person is in that particular role. ‘I think it’s important to be able to identify what you look for in those particular roles and what you look for in those people and to develop your workforce and your high- potential talent to fit nicely into them. We provide them with every opportunity, but also hold them accountable, for it’s a two-way street.’

Balancing act Hays produced and sponsored a white paper on diversity called The Balancing Act: Creating a Diverse Workforce, which includes considerable detailed research on gender diversity. ‘It provides very practical strategies on how to create a diverse workforce, which includes references to WGEA’s gender target-setting toolkit,’ Irene explains. ‘We’ve basically used our marketleading position to provide clients with relevant information on issues affecting employment. This has been made available to our clients so they understand what they need to be MARCH 2015

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The Workplace Gender Equality Agency announced 76 organisations were awarded the inaugural WGEA Employer of Choice for Gender Equality (EOCGE) citation which recognises that ‘gender equality is increasingly critical to an organisation’s success and is viewed as a baseline feature of well-managed and leading organisations’. WGEA believe that being awarded the EOCGE citation will provide recipients with significant differentiation in a competitive marketplace. If your organisation would like to apply for the citation in 2015, download from their website the criteria and guide to citation to determine your eligibility. www.wgea.gov.au/lead/ employer-choice-gender-equality

doing to attract and retain the very best talent as well and why gender diversity should be on the agenda of every board.’

Program for equality Peoplebank Australia Limited, on the other hand, set up a specific program several years ago to achieve gender diversity. ‘How we went about it was an interesting journey,’ says Michelle Cooper, National Manager, People and Performance. ‘First we had to clearly identify why we are doing this. Then we had to clearly identify what we wanted to achieve and how we were going to measure it.’ Education was the key: one of the hardest components of any initiative, but critical to making it a success. ‘I would never introduce any projects or programs across any business unless the head of the company is on board – in our case the CEO,’ says Michelle. ‘Nor would I not implement anything without having the next level or all leaders really on board. We needed to educate every manager to ensure they truly understood the benefit to the business, and to them. The worst thing is having a room full of leaders all nodding their heads in agreement – then returning to their desk and doing the same as they were the previous day.’ She has found the saying, ‘What’s in it for me?’ to be very effective, especially in the recruitment arm of the business. ‘So we reinforced how important this issue of gender equality is to our clients as well,’ she says. ‘We service most of the major banks, state government, and large corporates. Diversity is important to these organisations, and so is a great driver when educating our leaders. As much as possible if you align it to the business needs then it is almost a no-brainer. But the other aspect here is you have to continue to reinforce it and keep it alive.’ The gender composition of the 185-person workforce is 55 per cent females, 45 per cent males. ‘Unfortunately, we still don’t have that true representation in the next level up, where it’s 21 per cent females and 79 per cent males,’ says Michelle.

Unconscious bias With the benefit of hindsight, Michelle says they possibly should have conducted unconscious bias training upfront with the CEO and – more importantly – the leaders who are going to support the program and make sure it succeeds. ‘And one thing I have learned in the last few years is to focus on your men as much as your women to ensure both genders know what is available to them, something we did not do well initially. ‘We are definitely making sure that the key message is gender equality rather than female diversity.’ Irene Saivanidis and Michelle Cooper were interviewed for the RCSA Journal by business writer Rosemary Ann Ogilvie.

Links WGEA Employer of Choice for Gender Equality www.wgea.gov.au/lead/employer-choice-gender-equality WGEA Employer of Choice for Gender Equality Citation Holders for 2014 www.wgea.gov.au/sites/default/files/WGEA%20 Employer%20of%20Choice%20for%20Gender%20Equality%20 citation%20holders%202014.pdf Australian Human Rights Commission Age and Discrimination Commissioner The Hon Susan Ryan AO www.humanrights.gov. au/about/commissioners/age-and-disability-discriminationcommissioner-hon-susan-ryan-ao The Balancing Act: Creating a Diverse Workforce www.hays.com.au/cs/groups/hays_common/@au/@content/ documents/digitalasset/hays_154080.pdf

Diversity: gender pay gap at record high The RCSA Journal’s focus for 2014-15 is “Diversity”, and in this issue we look at career opportunities. In the last issue we reviewed gender salary equity in the recruitment industry. Latest figures from the Australian Bureau of Statistics (27 February 2015) show that the gender pay gap has hit a record 18.8 per cent with men earning almost $300 per week more than women (based on average weekly earnings/full time workers). This has increased from 18.2 per cent reported in the article in the December RCSA Journal.

Irene Saivanidis, Director of HR, Training & Internal Recruitment - APAC, Hays Specialist Recruitment (Australia) Pty Ltd (left) and Michelle Cooper, National Manager, People and Performance, Peoplebank Australia Ltd

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MARCH 2015

FO CUS: D I V E R S I T Y

Jonas Prising, CEO of ManpowerGroup talks with the RCSA Journal about youth unemployment. RCSA has recently made a commitment to opening more pathways to meaningful employment for young people.

Tackling a critical issue: youth unemployment Y

outh unemployment, currently around 74 million globally, is a critical issue – and in the view of Jonas Prising, CEO of ManpowerGroup, the most critical issue as it relates to various sectors of unemployment. ‘Youth unemployment is really about future economic growth and prosperity, and ensuring we have the available talent in a world where demographics clearly indicate finding people with the right skills will become more difficult,’ he says. The youth unemployment rate tends to be higher than the average rate because the younger generation lacks experience and work-ready skills, and is competing against other population pools with more skills. But of considerable concern is the fact that for young people, the period of unemployment is getting longer. ‘It’s taking longer for younger people to get into the workforce – and this is a problem because if they stay out for an extended period they have what

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we call a ‘wage scar’,’ Jonas explains. ‘They’re permanently disadvantaged in terms of their earnings potential, which leads them to buy apartments later, form families later, and struggle to fully participate in the economy. ‘We need everyone with potential to participate in the workforce, contributing to their own wellbeing by enjoying great careers but also, of course, to the growth of the organisations and the countries in which they operate and live.’

Why longer unemployment? So the question is, why are young people staying unemployed for longer? ‘Economic cycles determine to some extent the health of labour markets,’ Jonas says. ‘Part of the challenge has been the depth and length of recessions in the economic cycles: the last one especially has been much longer than we’ve traditionally seen, so young people have stayed out of work for longer. Then as the economy picks up, they’re

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competing with graduates straight out of school and so they have a tough time getting back in.’ The other important aspect, Jonas adds, is that certain technology-driven structural changes are occurring in labour markets that ensure people with the right skills actually find work reasonably quickly. Unfortunately, those who lack skill sets, or have insufficient skill sets, cannot compete and have a much tougher time entering the workforce. ‘This combination of structural and cyclical change is making it more difficult today for policy makers and for organisations to build pipelines that encourage youth participation,’ Jonas says. ‘However, some countries are doing better with this than others. Austria, Denmark and Germany are notable examples where the close alignment of educational institutions, companies and government policies ensure young people leaving school are work-ready and not simply graduate-ready.’

Early advice In those countries, young people receive good advice very early in their school years about the potential path they should pursue, and also gain work experience through internships and apprenticeships to a much greater degree. ‘So at age 12 in Germany, for example, children are streamed onto the track that takes them through high school graduation and on to either two-year college to obtain trade skills or four-year college for professional skills.’ This earlier experience and exposure to the kinds of work the young person feel suits them means they can recognise much more quickly if it’s not for them, which allows them to change direction early on, rather than discovering after completing a four-year university degree that a two year degree in a trade would have been enough. ‘I believe the biggest change must be the realisation that the changes having the most impact on youth employment are structural, not cyclical,’ Jonas says. ‘Structural changes need to be approached in different ways from cyclical changes, so the solution is going to be a whole new way of working. ‘If you benchmark countries that have done well, you want organisations to be much more closely involved with educational institutions, participating in the classroom much earlier – and also being much more

open to having this sort of dialogue and interaction with future employers. The government’s role is to implement policies and support structures to enable this kind of exchange to occur early in a child’s education. We really believe the collaboration of governments, organisations and educational institutions is necessary to create a different approach with a better outcome.’

Global connections Countries tend to look at what they’ve done in the past to determine their direction for the future. ‘They don’t always recognise that we live in a globally connected world,’ Jonas points out. ‘Talent and skills are much more mobile today: whether people physically move between countries or whether work is done remotely by leveraging technology in different ways, organisations are in a global war for talent. Frankly, the success of organisations – and of countries – will be determined by their access to a skilled workforce. ‘So countries need to ensure they’re globally competitive by not just making changes within their own geography: they also have to look at this as it relates to what other countries are doing.’ Jonas comments that Australia’s availability of STEM skills – science, technology, engineering and mathematics – has really deteriorated over time. Concurrently, other countries are improving at a fast pace, which means young people from those countries are more apt to be involved in technology or engineering, careers with high skill levels that pay well. ‘It’s very important for countries to be aware of this,’ he stresses.

Industry’s role As for ManpowerGroup’s role, Jonas says its first mission is to ensure policy makers and organisations truly understand it has a very critical role in creating opportunities for many of the people on the periphery of the labour market by providing entry-level access to training and development. ‘The nature of our business means 25 to 40 per cent of the people who are placed by ManpowerGroup are young people who have had their first job experience with us. We know that anyone with a first job experience has a much lower likelihood of being unemployed for extended periods of time.

‘The temporary and permanent work opportunities we provide help shape careers for young people, returning mothers, older workers, veterans. This is confirmed by research that shows temporary work creates jobs that would otherwise not exist: 62 per cent of the companies we talk to would not have created the jobs that have been available had they not had access to the workers our industry provides. ‘We have a very important role to play, and a lot of the work we do is to make sure our client companies are aware of this – and by and large they are – and that policy makers also are aware of this.’ Jonas reiterates that access to skilled talent, the right talent, is the factor that will make countries and companies successful as they execute their labour-market strategies. ‘We believe the role of our industry is really important. We can facilitate and provide a lot of flexibility and entry points for many of the talent pools that have a tough time entering or returning. The demographics are clearly telling us we cannot afford to have young people on the sidelines. ‘As an industry, we need to ensure we have the highest level of professionalism and ethical behaviour,’ he stresses. ‘Many people struggling to get into the workforce are vulnerable. Our influence with policy makers to be seen as credible players in helping solve the problem – as opposed to being part of the problem – will depend on how we behave and how we act as we facilitate entry for those outside of the workforce. ‘Being seen as part of the solution will give us tremendous opportunities because I believe we have a tremendous function to fill in these labour markets. On the other hand, if we’re viewed as part of the problem, we’ll see more restrictive legislation, which will lower productivity, and a more difficult operating environment, which of course is not good for any companies in the industry. ‘As an industry, I believe we truly have an important role to play in solving these issues in many parts of the world.’ Jonas Prising was interviewed for the RCSA Journal by business writer Rosemary Ogilvie. Also read: RCSA Youth Jobs Forums – page 16.

MARCH 2015

FO CUS: D I V E R S I T Y

Making it work:

RCSA Youth Jobs Forum In February, more than 150 organisations participated in a RCSA Youth Jobs Forum. The Forums brought together a diverse community of organisations including RCSA Youth Jobs Charter signatories, youth, government, career advisors and youth program providers to discuss the challenges and issues facing youth as they seek to enter the labour market.

orums were held in Brisbane, Sydney, Melbourne and Auckland and while each presented a unique picture of the labour market for youth, several themes have come to the fore. Before we look further at these themes, first some facts. Participation by youth in the labour market is now recognised as an international issue and one that will have a profound effect on the future social and economic stock of many countries. Globally, 40 per cent of 16 to 24 year olds are unemployed, and in certain countries, almost one-quarter of young people aged 15 to 29 are not currently in education, employment or training1 (known as NEET: Not currently in Education, Employment or Training). The number of youth who are NEET is an indicator of both the status and prospects for youth in the labour market. Those who are NEET are more likely to experience substantially reduced prospects for employment which in turn may lead to

further disengagement from society. Increasing participation in the labour market, currently 63.5 per cent globally and 64 per cent and 69 per cent in Australia and New Zealand respectively, while encouraging, is also reducing the number of entry level opportunities for youth to enter the labour market. So while today there is greater mobility in the labour market, employers are also looking for the right mix of skills, attitude and aptitude which youth currently don’t always possess. Now back to the key themes that were identified during the forums: • Education attainment doesn’t necessarily translate into employable skills. This is reflected in the growing discussion around the world about the need for education to more adequately prepare youth for the changing world of work. Every day, RCSA members experience disconnect between the expectations of youth and the reality of work and finding a job. • Workplace Experiences (not the work

Participants at the RCSA Youth Jobs Forum in Melbourne discuss initiatives to open new employment opportunities for youth.

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F OCUS: DIVERSIT Y

experience many would remember from your schooldays) should become a part of searching for a job. These would see employers, recruiters and education providers collaborating so youth can learn about and experience different workplaces. As one youth participant explained: If you were buying a new car, of course you would go and test drive that car – shouldn’t we offer young people the same opportunity to test-drive work? • Employment is one of the most important ways for youth to engage in society. This situation requires a sustainable and long term view – not a flash in the pan.

These themes were discussed in working groups and have been put forward as initiatives in which Youth Jobs Charter (YJC) signatories and Forum participants can immediately collaborate. Over the coming weeks, several YJC signatories will speak to secondary school students about the world of work and finding a job. The first Workplace Experiences are also being planned with recruiters, educators and employers in Auckland and Brisbane as an important new opportunity for youth currently searching for a job. While these initiatives are a start, participants also recognised the need for closer collaboration

Kim Rokoloa (far right) from The Salvation Army Employment Plus at the Brisbane Youth Forum.

and sharing of resources across all sections of the employment pathway. The RCSA would like to thank the forum hosts: Chandler Macleod in Brisbane, ManpowerGroup in Sydney, Drake International in Melbourne and Randstad in Auckland. Without your support these forums would not have been possible. Learn more about or sign up to the RCSA Youth Jobs Charter, visit www.rcsa.com.au or contact the RCSA on +61 3 9663 0555. Simon Schweigert, RCSA Manager, Media and Government Relations. [1] ILO: Global Employment Trends 2014 | Risk of a jobless recovery?

Richard Ferrier, Kinetic Super with Jonjo O’Hara, Devlin Alliance.

(From left) Mary McMahon, CICA; Madeline Clark, Chandler Macleod, host of the Brisbane Youth Jobs Forum; youth panel member Amy; and Greg Moult CEO of The Salvation Army Employment Plus. The RCSA Youth Job Forums was buzzing with new ideas.

MARCH 2015

INTERNATIONAL COMMENT

Breaking the human trafficking supply chain RCSA Representative and Ciett Board member Steve Shepherd FRCSA (Life) comments.

Steve Shepherd FRCSA (Life), RCSA Past President, is the RCSA’s representative with Ciett and a member of the Ciett Board.

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few years ago if you had told me that the recruitment industry was involved in human trafficking and forced labour I would have laughed in your face … however, recently I have come to the sad understanding that it is true. And more and more in this age of globalisation, where talent is sourced across borders, the opportunity to become unwittingly intertwined in this insidious aspect of our society is increasing. In November, I participated in a Convention in Bangkok sponsored by the International Labour Organisation and the United Nations focused on eliminating human trafficking. During the meeting I led a working party looking at the appropriate regulation for the recruitment industry. We heard numerous examples from countries in the developed and developing world where recruiters are actively involved in human trafficking, bonded labour and worker exploitation. This included countries like the USA and Canada as well as countries in continental Europe. Examples that included skilled as well as unskilled workers.

I think it would be naive of us to assume these practices are not going on in Australia and New Zealand. They are. In fact recently, Fortescue Metals in Australia conducted an audit of their supply chain and found a number of examples of bonded labour, and while to date it appears that the incidences of worker exploitation that have been reported in Australia and New Zealand in the last twelve months have been perpetrated by ‘foreign recruitment companies’ the convention in Bangkok left me in no doubt of the risk to RCSA members of being inadvertently caught up in such practices if due care is not taken, is significant. At the convention we also heard examples from countries and corporations who are implementing change for good and while there was much debate about the role regulation can should play, there was also a strong view at the meeting that the opportunity for worker exploitation and human trafficking greatly increases when employers and recruiters seek to source talent without paying a fee to local recruiters. If your business is bringing overseas talent

business

into the country you cannot assume that because you run a reputable company, and live in a modern society, that there is no prospect of your business being caught in a recruitment web that may involve organised crime or is placing job seekers and workers in various circumstances of bonded servitude. Nor should you assume it only applies to unskilled workers. In Australia and New Zealand, RCSA members operate within the law and under a high industry code of conduct which has at its core the commitment not to charge fees to job seekers for securing them employment. However, just because that is the rule we operate under, don’t assume that all countries or even recruiters operate the same way. They don’t. It is not uncommon for recruiters in developing countries to charge job seekers a fee of several thousand dollars for a job. In some cases these fees are even regulated by the local government with the naive view that this will ensure the worker is not exploited. These fees can vary between one and three months wages for the worker. In addition, there are often additional non-negotiable fees imposed on workers to cover the so-called administrative aspects of getting them the job and to their destination country. Where is that money coming from? Often from money lenders who charge high rates of interest which can mean workers are working to pay off a debt incurred getting the job rather than providing for their family and themselves. We heard many examples of unscrupulous employers and agents in the

hiring chain intimidating workers, misleading candidates about the nature of the work in the host country, withholding travel documents and withholding wage payments and airline tickets in order to prevent workers from leaving the country until the debt is repaid and to act as a deterrent to prevent the worker from complaining to authorities. It is therefore important that Australian and New Zealand recruiters engaged in overseas recruitment with offshore partners to source skilled talent, take the time to fully understand and audit the entire length of their supply chain. If the offshore recruiters’ service is free to us then somewhere in the supply chain someone is paying and most likely it is the candidate. Our fees for offshore sourcing needs to take into account paying our overseas partners to ensure we prevent the exploitation of workers in their home countries and on our shores. We can not say that it is only ‘foreign agencies’ engaged in this kind of practice and ignore the problem because in the eyes of the public they see no differentiation between agencies. To them we all look the same and therefore we need to stand united and take a strong moral stance on this issue to protect our good name and ensure we eliminate this practice on our shores once and for all.

Ciett is currently working with the International Organisation on Migration (IOM) to develop a guide to Ethical Recruitment Practices. Information is also available via the RCSA.

INTERNATIONAL COMMENT

Staffing markets share similarities and differences The Australasian staffing industry shares many similarities with the North American staffing industry, but they have their differences, John Nurthen explains.

John Nurthen

he legal and business environments somewhat differ, but both markets rank among the more sophisticated and developed staffing markets in the world. Staffing Industry Analysts recently conducted a survey of Australian and New Zealand staffing organisations to learn more about this market. Questions covered management priorities, marketing tactics and more. Staffing Industry Analysts also did a similar survey last year of North American staffing organisations. The data from the two surveys isn’t necessarily directly comparable because of sample sizes, but it’s interesting to take a quick look at the differences between the markets. For example, staffing industry executives in both markets cited ‘growing revenue’ as a top management priority – more than other choices such as ‘improving gross margin’, ‘retaining existing clients’ and ‘reducing/ controlling costs’. Of Australian and New Zealand respondents, 22% cited growing revenue as their company’s top management priority. ‘Expanding/ diversifying numbers of clients’ and ‘growing market share’ tied for second at 20% each. In the North America survey, 30% of respondents – the highest percentage – cited ‘growing revenue’ as their company’s top management priority. ‘Expanding/ diversifying number of clients’ and ‘growing market share’ tied for second with 14% of respondents each.

Marketing differences, but both wrong

As far as marketing their services to staffing users, on the other hand, there were some differences. When asked ‘in your company’s sales and marketing efforts, which of the following is most emphasised?’, the most cited attribute in Australia was ‘knowledge of client industry’ with 36% of respondents citing this. It was followed by ‘individualised business relationship focus’ with 22% and ‘worker quality’ with 13%. North America’s top response was ‘individualised business relationship focus’ with 27% citing this. It was followed by

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‘general service quality’ at 19% and ‘worker quality’ at 18%. Although it ranked top in Australia and New Zealand, ‘knowledge of client industry’ ranked fourth in North America with 14% saying it was the attribute most emphasised in sales and marketing efforts. In this respect, the focus of staffing firms in both Australasia and North America may be somewhat misplaced. When, in a separate survey, we ask buyers of staffing services what they most value in their relationship with staffing suppliers, the very clear and consistent message is that it is all about the quality of the candidate. Any marketing message beyond that core attribute is entirely peripheral. Both markets also differed slightly when it came to marketing tactics. When asked ‘for your company, which marketing tactics would you say have the highest return on spend/effort?’, the top three most-cited responses in Australia and New Zealand were ‘other’, ‘company website’ and ‘social media’. North American respondents’ most cited answer was ‘company website’ followed by ‘attend/sponsor conferences’ and ‘other’.

Sales calls

Both markets were a little more similar in their take on sales. When asked ‘which sales tactics would you say have the higher return on spend/ effort’? both cited ‘existing account penetration/development’. Fifty-one percent of Australian and New Zealand respondents cited that as the highest bang-to-buck while 56% of North American respondents did. Sales tactics also ranking highly in both markets included ‘focus on recurring business’ and ‘person-to-person telephone sales cold calling’. Cold calling was a bit more popular in North America with 14% citing it as the sales tactic with highest return on spend/effort. In Australia and New Zealand, 10% said the same.

Time to fill, how long?

The survey asked about time to fill, a metric closely followed by large staffing users. Respondents were asked to estimate

INTERNATIONAL COMMENT

Executives in both markets cited ‘growing revenue’

the average number of days it took to fill a temporary job order. In the Australia and New Zealand survey, 37% of respondents said it took one day on average to fill a temporary job. That compares with only 16% of North American respondents who said it took only one day to fill a temporary job. Overall, a total of 75% of Australian and New Zealand respondents estimated it averaged seven days or less to fill a temporary job order and 66% of North American respondents estimated the same. Permanent placements, typically take much longer to fill as they often feature harder-to-find candidates and tougher recruiting requirements. However, only 17% of Australian and New Zealand firms estimated it took more than 30 days on average to fill a direct hire order. That compares with 26% in North America.

Data

As mentioned, some of the differences in responses may be due to the sample: the North American survey included a higher percentage of larger organisations in terms of revenue, so this is a bit speculative. However, it will be interesting to see how these metrics evolve over time in further research. John Nurthen is Executive Director Global Research for Staffing Industry Analysts, the global advisor on contingent work. For more information, visit www.staffingindustry.com.

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MARCH 2015

NEW ZE A LA N D CO M M EN T

Another bumper year? The RCSA Journal’s New Zealand commentators in this issue are Ian McPherson FRCSA, Nicola Colson MRCSA, with further input from Kerrie Gregory and Tania Evans, Workpro.

Nicola Colson MRCSA The year 2015 has certainly hit New Zealand with a bang. I am writing this in between the phone ringing and strings of emails coming in which I believe would certainly be comparable to any Nicola Colson MRCSA, other recruiter at the Branch Manager, Drake moment. At the risk New Zealand in Wellington. of being too overoptimistic and the fear of everything coming to a grinding halt (aka 2009), I will state that New Zealand is by all reports in full recovery and about to go boom. With the support of David Swift from TradeMe I am able to provide some statistics around this rather than the slightly subjective ‘my desk is flat out’ and ‘candidates are getting jobs as fast as I can register them’ along with the ‘skills shortage’ and ‘good talent is hard to find’ – although those statements are very true.

According to TradeMe, New Zealand advertising has had the busiest January on record. The two biggest areas of demand are currently Construction and IT with demand outstripping supply nationwide. The surprise in recent findings was Wellington, which has opened considerably slower than the other two major centres. This was made all the more surprising by the amount of government hiring which has kicked off in Auckland and Christchurch, which we’d traditionally expect to start in Wellington. From a nationwide economic point of view it’s great to see production and manufacturing roles coming back so strongly as we don’t usually see this until March, which bodes well for the rest of 2015. To summarise, New Zealand looks set to have another bumper year, which will hopefully mean the same for our industry and recruitment consultant’s bonus’ going skyrocket. Nicola Colson is in her second year as an RCSA Council member looking after the PEARL portfolio for New Zealand.

NZ Ministry of Justice Service set to hinder or enhance the NZ recruitment industry? Criminal conviction checks are becoming an increasingly important screening element, therefore the processing and prompt return of a result is crucial to ensure the timely employment of an individual.

raditionally a ‘standard’ check could take 20-plus business days to be returned, which meant recruiters were either presenting an individual to a client prior to the result being finalised or were not prepared to place the individual until the result was returned. The Ministry of Justice recognised that both

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scenarios were ineffective and presented a risk to business and introduced a new ‘priority’ service, a fee-for-service and five business day turnaround. While the initiative presents a significant process improvement that has the potential to enhance the reputation of the industry by enabling recruiters to quickly respond

Tania Evans, CEO, Workpro.

and present pre-screened applicants, it could actually be a proverbial ‘thorn in the side’ for business’ operations with the potential to impede some recruiters. The Ministry only allows a company to choose the

N EW ZEA L A N D COMMENT

Partnering for results Ian McPherson FRCSA

Ian McPherson FRCSA, Enterprise Recruitment Ltd

Christchurch’s rebuild and the Auckland housing market seem to indicate that New Zealand’s economy will continue to expand. The downside is the ever-tightening labour market, with the need for labour getting stronger in both Auckland and Christchurch. The only certainty we can bank on seems to be that of uncertainty. This will continue throughout the wider world and New Zealand in 2015

service they require for all of the checks. Choosing a ‘standard’ service may mean recruiters will be unable to compete for businesses whose clients require fast turnaround times for candidate placement, potentially positioning them out of the market. On the other hand, a company who decides to provide a ‘priority’ service for all MoJ checks is required to pay for all of their priority checks in advance. On high volumes of candidates, this may cause significant cashflow challenges to meet the Ministry’s advance payment terms. Being forced to choose from a priority or standard service for all checks, has paved the

and as such we need to build our brand, develop staff capability, sales and supply channels and get closer to our customers to support and improve innovation to further develop opportunities. One of the other big challenges this year will be the changes to health and safety and how companies manage the increased commitment and invariably costs and process associated with this. If you are not well into managing this change, then you will have a lot to do in a hurry before the middle of the year

way for accredited Ministry Third Parties like WorkPro to partner with the sector to implement a contemporary solution that offers recruiters the flexibility to select a service level check by check. From an industry perspective, the flexibility of the solution means recruiters can take advantage of both MoJ services. This will help maintain a competitive position, will not inhibit their operations and will ultimately enhance the industry’s reputation as being responsive and compliant. From a candidates perspective, the system’s simplicity and fast turnaround times for results means they can become and remain ‘work ready’.

Kerrie Gregory, General Manager, Madison believes it’s time to look at ‘partnering’ to achieve better outcomes. Having recently completed the first year review with a new client, it was pleasing to count them as a client that views us as true partners, a partnership crucial to the success of their business. This got me thinking: do all our clients view us that way? Are they reaping all of the benefits that a close partnership provides? Three key aspects of this business partnership stood out as contributing to successful outcomes: Disclose everything. Imagine emailing a GST return to an accountancy firm, requesting that they provide a full service including comprehensive fiscal advice for your business without additional information. Chances are the firm would have a few more questions to enable them to provide the right advice and deliver their best service. That’s not too dissimilar to recruitment. All too often recruiters are emailed not much more than a position description and asked to find the perfect candidate. Without spending time with the hiring manager, understanding the team culture and the company values and direction, we’re running a little blind. Strong partnerships however, are based on regular and transparent communication. The more we know about the client’s business, the higher the chance of us delivering the right person, the first time. Ditch a big panel of suppliers for closer relationships. This is a regularly debated topic, but after more than eight years in recruitment, I’ve seen some excellent partnerships which have resulted in many

Kerrie Gregory, General Manager, Madison

outstanding hires. The stats tell us fill rates are higher, the time to fill is faster and the hires stay longer. It’s a more enjoyable recruitment experience for the recruiter and the hiring manager when roles are not multi-listed with several recruitment suppliers. Finding top talent is getting harder and passive candidates don’t respond to any old advert. A quick database search or throwing an ad online just doesn’t cut the mustard anymore. Without an exclusive period to recruit, agencies don’t always have the time to be thorough with their database searching nor can they spend time tapping into online and offline communities where passive candidates may be. Give them a fair chance at delivering the right result. Get more than you asked for. Have you ever been on the receiving end when you’ve been good to someone? After spending just a few minutes asking a dairy owner how her day had been, my two scoop ice cream ended up far bigger than usual. Coincidence? No! There is often forgotten value in building relationships. When a strong relationship has been created, the client receives more time, resource and attention. With our new client, we shared the same thinking and learnt and grew from each other, creating a trustworthy business partnership, resulting in us delivering the right people for the right jobs. MARCH 2015

BUSINE S S M A N AGE M EN T

The innovation update – creative strategies improving results While innovation doesn’t happen in the blink of an eye, the evolution of our industry is continuing at a rapid pace. Scott Wintrip says that since speaking on this topic (The Innovation Sensation) at the RCSA Conference last year, several key innovative patterns have been gaining momentum.

Scott Wintrip, keynote speaker at the 2014 RCSA Conference, has helped thousands of companies across the globe increase revenue, improve profitability, expand market share, boost employee retention and decrease labor intensity. He has consulted for, coached and educated more than 40,000 staffing professionals, creating more than $1.2 billion in positive economic impact for his clients. For the fourth consecutive year, Scott has appeared on the Staffing 100, a list of the 100 most influential leaders in the industry as a result of his innovative leadership, development of cutting-edge training programs and offering staffing and recruiting executives a host of practical and sustainable solutions. You can learn more about Scott and his services at WintripConsultingGroup.com.

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Lean recruiting People are not the only ones getting on the scale as recruitment organisations are trimming the fat as a catalyst for growth. Lean Recruiting initiatives across the globe are focusing leaders to eliminate wasted time, resources, energy, and effort. The results benefit everyone as clients have talented people working more quickly, candidates land better opportunities with less effort, and their providers are rewarded for their efforts while also being able to serve more people. Patterned on some of the best attributes of Lean Manufacturing, a systematic method for eliminating waste within a manufacturing process, Lean Recruiting addresses some of the persistent challenges in our business, including those focused upon productivity and execution. To trim organisational fat, here are five questions to begin identifying the waste in your sales, recruiting, and leadership systems: • Which processes are taking longer today than two years ago? • In which aspects of the business are leaders having to constantly remind people to take action? • For which customers is time-to-fill staying the same or even increasing? • How often are recruiters recruiting ahead, acquiring talent before it’s needed, versus recruiting behind: looking for people after an order has been placed? • Which customers have committed to deadlines for responding to candidate submissions? What’s being done to enrol the rest of the customer base in this same, lean practice? While the first part of the year is a time when people shed the extra weight from all of the holiday fare, it can also be a time of leaner business by shedding waste, making the delivery and experience of our business better for everyone.

The Tesla approach to recruitment Car fanatic or not, there is a lot to like about a Tesla electric car and how it is a model for better business. Acceleration from zero to just under 100KPH in just 3.1 seconds, which the Model S can now

achieve, is the kind of rapid velocity recruitment customers can experience when organisations shift from reactive to proactive recruiting. Most buyers need that talented professional (such as a project manager, financial consultant, or engineer) yesterday, so speeding that individual to them to start work today is how a growing number of firms are zooming past their competitors. Even though automobile dealers have lots of power and sway (too much, if you ask me), Tesla powers its sales without caving in to the traditional, commoditised dealership model, choosing a customer-centric design, ordering, and delivery system. The best recruitment firms also avoid the commodity game by negotiating and delivering value, not price, while approaching buyers in ways that attract attention instead of repelling them from even answering the phone. When you look closely, you find that less is more when it comes to the components that allow Tesla’s to achieve rapid velocity. Unlike a gasoline engine with hundreds of moving parts, Tesla electric motors have only one moving piece: the rotor. It’s this lean simplicity that helps make it so fast and nimble. Simplifying processes in our business, especially by eliminating all the wasted time and effort (Lean Recruiting), speeds talent acquisition while reducing labor intensity and the cost of doing business. Acceleration, innovative selling, and lean simplicity: three components that make Tesla leading-edge and can make your organisation a leading provider.

Innovate to appreciate Whether it is becoming more efficient or designing and delivering a better experience, innovation and the ability to execute these strategies creates faster appreciation of profit. In a business that has been battling commoditisation for years, this is great news as we are filled with entrepreneurs who enjoy creating new businesses and ways of doing business. So, how will you innovate, and when will you start?

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Change enablers Working Australians are excited by the prospect of change but they need help. Excitement will only drive them so far and having the right tools and personal support is integral to helping someone go from aspiration to action.

he majority of Australian workers are open to change, however, based on the trend data we have seen since 2010, it is likely that in 2015, only one in four Australians will successfully do something about it.

Is there more that we, as an industry, can do to support candidates in changing jobs? On the surface, candidates today are well prepped to be changing jobs: three in four Australian workers are either actively looking for a new job or monitoring the job market and they have a wide range of tools and contacts they can access, often at the touch of a button. But something is holding them back. We see a range of factors influencing this desire for change with motivations and barriers to change often differing depending on the time of life. Our research suggests there is more we, as an industry, can do for candidates no matter what their age.

Ages 18-24 A considerably higher number of career starters (18-24 year olds) want to change jobs and do something they are proud of (43% compared to 25% for all). However, they are also the most likely to feel out of control in the job search process, citing a sense of uncertainty (48%), hopelessness (26%) and feeling overwhelmed (48%).

Change enablers: Encourage strong relationships with candidates from an early stage of their career to help them navigate their career path. Use compelling language in job ads that tap into a candidate’s need for fulfilment and a sense of purpose. Put the control literally back in their hands by making sure your clients’ job opportunities are mobile optimised.

Ages 35-44 In contrast, between the ages of 35-44, while the desire for change may be there, we see a dip (14%) in the willingness of workers to change careers, potentially putting family and job stability before career fulfilment.

Change enablers: Tap into the passive talent. They may not be actively applying for your roles but those with a SEEK profile for example, will allow you to contact them in a way that they are receptive to, no matter what is going on in their life. Combine this with efficient talent search that matches the right candidate with the right opportunity and you could find yourself having an honest and open dialogue with a 35-44 year old about job stability and family support in their next new role.

Ages 45+ Perhaps not surprisingly, the key challenge for workers over the age of 45 is their ability to keep up with a changing work environment. In fact, 37% of workers are concerned that their knowledge and application of technology will restrict their career as they age.

Change enablers: Encourage candidates to gain experience within work or look at study options outside of work. Technical skills can be learnt and there are increasing access points to upskilling. In addition help them look at the way their personal use or the use of their time volunteering for example has kept them up to date with changing environments and use of technology.

an effective communicator, negotiator and trusted advisor, leaving your client feeling confident stepping away from a narrowly defined field. In a lifetime, Australians will typically spend a total of 13 short years at work. SEEK is asking everyone to embrace change and consider their current situation, making their time at work count. Make your time at work count; for yourself, your clients and your candidates. At SEEK we have worked hard to put the tools into your hands, freeing you up to manage your personal interactions with candidates, clients and stakeholders. If you would like to know more about the SEEK Change Report, SEEK’s Talent Search Solutions, or get more access to SEEK insights through its training webinars and conferences please visit www.seek.com.au or go to the SEEK insights blog: www.insight.seek.com.au

All ages Finally, across the board, at all ages and stages of life there is an appetite for variety, with a desire for horizontal as well as vertical career change. The majority of Australians (74%) say their skills will be useful elsewhere and 2 in 3 would specifically like to work in an industry other than their current one.

Change enablers: Often clients want candidates who have trodden a similar path before. However a lot of value can be gained from placing a candidate with complimentary rather than direct industry experience. Find efficient ways to match candidates and opportunities across different industries. Ensure you and your team are up to date with the latest industry insights and supply and demand trends so you can be

Emma Phillips is SEEK Sales Director for the Recruiter market. She facilitates a high performance culture and is responsible for the leadership of the SME, large and enterprise recruiter sales teams. With nearly ten years’ at SEEK, Emma has been an integral part of its growth story and is uniquely positioned in her experience of managing and developing Sales teams and leaders, in this dynamic environment. Prior to joining SEEK Emma spent a number of years in the recruitment industry working with recruitment and HR services providers. About the SEEK Change Report: Independent research by GFK on behalf of SEEK (Oct 2013– Sept 2014). Study is run monthly, reaches 4k+ Australians (pa) and conducted using an independent online research panel. Data is weighted to be nationally representative of age, gender, location, employment status and income (combination of ABS stats). Base ~ 1000 – 4000 dependent on the time period

MARCH 2015

BUSINE S S M A N AGE M EN T

Learning & development insights Last year Learning Seat conducted its inaugural client survey to measure future trends in organisational learning and development (L&D), Lisa Coulson reports. Clients from a broad range of industries completed three hundred surveys. On top of this, Learning Seat regularly speak to our clients about their challenges in client engagement interviews.

hese activities have revealed interesting findings in the following areas: • leadership development • managing employee development • online compliance and induction training • technology and learning • measuring return on investment. Read on to discover the lessons gleaned from our close engagement with L&D professionals in organisations across Australia.

Leadership development The most immediate challenge currently being faced by businesses is leadership. This has been identified not only by our survey respondents but also by 95% of our clients in client engagement interviews. Many clients deemed leadership development to be their high priority, and an area in which they’d like to increase spending. These findings are backed up by a 2013 Australian Human Resource Institute (AHRI) Pulse Survey and the Chartered Institute of Personnel Development CIPD Learning and Development Report published in 2014. Leadership is such a broad topic, but what does it really mean? The key concerns we hear from our clients relate to fundamental people leadership competencies, such as coaching. The biggest competency gaps in Australian business are about having difficult conversations, coaching under-performers, having performance discussions and creating meaningful development plans. Feedback shows that there is a constant

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need to upskill people who are new to leadership roles. This is because people are often promoted into these roles because they have a strong functional skillset rather than strong people leadership skills. It has been recognised time and again that highly competent leaders have a significant impact on our businesses. In a Forbes magazine article published last year it was suggested that great leaders have a highly engaged workforce that contributes to the long-term success of the business, so it’s not surprising that businesses want to get their leadership right.

Managing employee development Generally, L&D responsibility will sit with either the manager of HR or an L&D Manager reporting to the HR Manager. It’s a 50/50 split. Organisations that have a dedicated L&D resource tend to focus more on development within the organisation. One interesting trend we are seeing right now is the way in which development needs are being identified within business. Based on the conversations we have had with our clients, 75% of employee development needs are being identified by the line manager and employee through the performance management cycle. This was also identified in the 2013 AHRI Pulse Survey. This once again highlights the need for leaders to have the skills and knowledge necessary to have strategic development discussions with their employees.

Online compliance and induction training Over 80% of our clients use e-learning to deliver compliance training. They often develop a compliance training program that includes an e-learning module and deployment of company policy via the learning management system. These statistics aren’t entirely surprising given that people come to us first and foremost for compliance training, but in my experience this is representational of businesses across Australia and New Zealand. In the past 15 years, every organisation I have worked for has used e-learning for compliance training. The one difference I have seen is when a new employee is asked to complete compliance training. From a risk point of view, you want compliance training completed as close to someone’s start date as possible.

I am starting to see a shift toward compliance being completed before the employee starts, but it isn’t the norm as yet. We are also now seeing inductions – both contractor and employee – being delivered online. The online induction doesn’t take the place of a face-to-face onboarding process, it complements it. What clients commonly want when they engage with us to create a course is a clear, consistent, engaging message that gets their new employees excited about their decision to move into the organisation. As I talk to our clients and attend various conferences, more and more businesses are having new employees complete their induction course before starting their employment. The norm is a blended approach to induction in which an online company induction is followed by a department induction delivered by the department heads or training department. I see this especially in large organisations such as Optus. Their contractor induction has been delivered pre-start as a standard for years. This information highlights the importance of great induction and compliance courses. After all, they often constitute an employee’s first impression of an organisation. Traditionally, compliance training has been long, dry and boring. Up until recently, the focus has been on risk mitigation for the business rather than learning and behavioural change. Induction training, although lighter, has often been a series of PowerPoint slides containing all the ‘mustknows’ about an organisation. We are all acutely aware of the amount of time and effort that goes into sourcing and placing the right candidate. The last thing we want to do is disengage them in their first week!

Technology and learning When surveyed, our clients told us they would like to deploy training via desktop, laptop and tablets. The data we have and the conversations we have had with clients and future clients tell us that although they would like to deploy across every possible platform, the reality is most organisations are focused on desktops and laptops, and tablets are only slowly coming into play. At a recent client focus group, our clients explained that although tablets are not used commonly in the office environment, where they do see these used is out in the field and in locations

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where the desktop computer is shared. It is also common, especially with this group of users, to have e-learning completed at home in the employee’s own time

Measuring return on investment When we asked our clients if they currently measure the return on investment (ROI) of development initiatives, 75% said ‘no’ or that they weren’t sure. This is interesting given the trends we see in countries such as the US and UK. This could be, in part, because these countries were much more heavily impacted by the global financial crisis. We often hear of businesses using a reactionary questionnaire (happy sheets) to gauge the success of training along with how many people attended and, when it comes to compliance, how many people completed the training. The challenge this presents is determining the value and worth of development initiatives. If the only reporting done against development is that

of ‘bums on seats’ and ‘biscuit likeability’, then that is what our decision-makers will think about when it comes time to justify budgets. Budget justification is happening a lot. At the HR Summit last year, when people were asked if they had had their budget cut in the past 12 months, over 90% of the people in the room said ‘yes’. This shows that to prove the worth of development activities, we need to implement ways to track their success. A 2014 CIPD survey of HR and learning professionals sheds light on how UK businesses measure ROI in L&D. The top three answers to the question: ‘How do you measure effectiveness of learning?’ were: • observation of behaviour change • general hr metrics such as absenteeism and engagement • business metrics such as market growth. ROI is not an easy topic. Every AITD conference in the past ten years has had at

least one presentation on ROI. It is a massively complicated topic which takes time and thought to get right. It’s worthwhile thinking about what the CIPD have identified and what learning professionals do to position themselves and their function in a business as an essential activity and not just a nice-to-have. The information we’ve gleaned from our clients shows that HR and L&D teams are increasingly focusing on leadership development, management of employee development, online compliance and induction training, technology-based learning and ways to measure ROI in L&D.

Lisa Coulson is the Product Manager - Client Engagement at Learning Seat, an e-learning company which provides online compliance and professional development training solutions to over 450 organisations across Australia, New Zealand and the Pacific. For more information about Learning Seat visit www.learningseat.com.au

Wish you had a secret weapon? TRIS gives your team what they need to be killer recruiters.

You recruit. TRIS does the rest.

Recruitment Systems Pty Ltd P: +61 2 6296 7777 E: info@recruitmentsystems.com MARCH 2015

BUSINE S S M A N AGE M EN T

Kinetic Super powerfully positioned for growth in 2015 Megan Bolton, CEO, Kinetic Super, reviews the fund’s progress.

Megan Bolton, CEO, Kinetic Super

t Kinetic Super we’re committed to maintaining a truly member-centric Fund and we’re continuing this journey through the recent appointments of three Executive Officers in the areas of Customer Experience, Customer Growth and Corporate Services. Chris Green, Cameron Doig and Kay Clancy commenced their Executive Officer roles in January 2015 and will join Paul Kessell, Chief Investment Officer as part of the executive team.

Chris joins the Kinetic Super team as Executive Officer, Customer Experience. He has more than 20 years’ experience in developing growth strategies, leading disruptive innovations and redesigning great customer experiences. Most recently Chris worked with Australian Unity where he successfully reshaped the business strategy to focus on creating outstanding brand aligned experiences for customers. Chris will oversee customer experience, marketing, product development, and the customer service team. Cameron has more than 20 years’ experience with NAB in a number of highlevel roles including his most recent as Director - Business Strategy and Performance, Corporate, Institutional and Specialised Banking. His new position as Executive Officer, Customer Growth will allow him to leverage his proven track record in leading sales teams in both buoyant and challenging market environments. Kay is our new Executive Officer, Corporate Services and has more than 20 years’ experience in both financial services and insurance with a proven track record in transformational leadership. Kay will be responsible for finance, administration

technology, risk and compliance, governance, people and culture and project management. These new appointments will only strengthen our promise to deliver our members and employers value through low fees, strong investment returns and comprehensive great value insurance. We’ve had a great start to the new year with Kinetic Super’s Growth (MySuper) investment option ranked number 1 based on performance over five years1. We also ranked fourth in balanced options in SuperRatings Balanced Index over one year for the year ended 31 December 2014. The number 1 ranking reinforces our position as one of Australia’s top performing super funds and cements our place in the Australian superannuation market with a solid and compelling offering to our members. This strong performance is a testament to our investment platform and our focus on delivering uncomplicated investment strategies. These results are a great win for our members. Super is a long-term investment, so achieving a number 1 status over a five-year investment period is key to delivering positive retirement outcomes. Adding to these recent rankings, Chant West also placed Kinetic Super sixth in its survey on the ten best performing super funds holding more than $1 billion for the 12 months to 31 December 20142. At Kinetic Super we have a busy year ahead to keep our members connected with their super, because it’s their money to grow for the future. 1 Source: SuperRatings. Based on balanced investment options with 60-76 per cent growth assets as at 31 December 2014. Further information about the rating scale of SuperRatings can be accessed at superratings. com.au. 2 Source: Chant West. Based on growth funds with 61-80 per cent allocated to growth assets as at 31 December 2014. Further information about the rating scale of Chant West can be accessed at chantwest.com.au. Ratings are only one factor to be taken into account when deciding to invest in Kinetic Super. Past performance is not necessarily indicative of future performance.

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BUS I N ES S M A N AGEMENT

Shaking up the image of superannuation Lynda Cavalera, Marketing Manager, Kinetic Super, explains creative strategy.

year after implementing our creative and visually striking Hero Brand Awareness Campaign, we have amplified our market exposure and increased our brand awareness, all while revolutionising the traditional perceptions of superannuation. Renowned for being a lethargic category among the younger market segment, superannuation was well overdue for a shakeup, and we’ve taken the lead. The aim was to create a campaign that stood out from the crowd and demanded attention. The overarching objectives were to drive brand awareness, salience and market share by creating a campaign that spoke to the heart of Kinetic Super’s purpose of inspiring Australians to take control of their financial futures. With creative help from Naked Communications, we executed a bold, energetic and distinctive integrated brand campaign, a campaign designed to break the lethargy felt towards super and to get Australians to bring some of the energy they approach other aspects of their lives to their super. Presenting the Kinetic Super brand as dynamic and energetic we were able to convey a strong message that challenged them directly to ‘get their super moving’, and they have started to. Our insights indicated that Australians typically demonstrate greater control over most aspects of their lives and they’re also moving more than ever before; they’re changing jobs more frequently, enjoying career breaks and career changes, travelling and exercising more. But when it comes to their super they don’t show the same energy or interest. We want people to bring some of the energy they have for everyday life, to their super – after all, it’s their money.

We implemented the integrated campaign across outdoor, digital, TV, social and direct mail and embraced a creative urban approach to showcase the Fund’s uniqueness, a contrast to the stereotypical depiction of grey nomads walking along the beach and sailing off into the sunset, that other super funds typically use. So far we have delivered on our intentions by increasing brand awareness and member engagement with the website. We received the highest online traffic ever, during the campaign period the average monthly online traffic was 43 per cent higher than the months preceding the campaign since the website launch in 2013. Membership levels lifted too, with the number of new accounts increasing by ten per cent during the campaign period. We’ve delivered exceptional results in a short period of time when brands are typically built over very long periods. We now need to maintain and build on the momentum from the current campaign and continue our approach of disrupting the superannuation category. There’s still a lot to be done to cut through the

negative perception that super is boring and doesn’t need to be thought about until later in life, and that it’s too complex to understand. We’re working hard to break down these barriers and to continue to drive brand awareness, salience and market share to become the super fund members have for life. We have a great story to tell, and our strong investments and awardwinning performance and customer service is backing up our brand promise. It’s an exciting time for the Fund, with plans to roll out another phase of the brand campaign in the coming months and with a website revamp on the cards, we look forward to sharing our progress over the coming months.

Lynda Cavalera, Marketing Manager, Kinetic Super

MARCH 2015

BUSINE S S M A N AGE M EN T

The Productivity Commission’s Review has flexible work in its sights Workplace relations have always been a dynamic and hotly contested area, with ardent participation from all stakeholders: employers, employees, unions, and governments alike. The rapidly changing needs of business and workers means that this review comes at a great time and there is no question that recruitment and on-hire has a big part to play, writes Charles Cameron.

ver the past two decades the seesawing of industrial relations regulation has created a degree of instability within the industrial relations landscape, with significant changes in the economy and the way we work. It is therefore no surprise that the Abbott Government has directed the Australian Government Productivity Commission (AGPC) to undertake an extensive review into the Workplace Relations Framework (WRF). The AGPC is currently calling for initial public submissions into the WRF review with a deadline which closed 13 March 2015. The final report is expected to be released in November 2015 and RCSA is keen to promote our leadership on the topic of flexible work and employment creation. The Australian Government has instructed the AGPC to consider issues including: • job creation • unemployment • engagement in the labour market • independent contracting • the ability for employers to flexibly engage with their employees • productivity and • employee pay and conditions.

As readers would appreciate, job creation, engagement in the labour market, independent contracting, productivity and the ability for employers to flexibly engage are all key elements of RCSA member service offerings. Therefore, this is a great opportunity for the industry to drive home its ongoing relevance to all stakeholders. One only needs to look at Departmental projections of changes in occupations over the next five years to realise that the workplace relations framework needs to accommodate a more independent and professional workforce (see Figure 1.2): A number of issues have been identified as flaws within the WR Framework, for example, it has been claimed that it ‘...lacks flexibility, and thus interferes with managers’ ability to manage’. And further, that ‘[The] existing system made it difficult for businesses to hire contractors and use labour hire businesses’. Creating a Workplace Relations Framework that best meets the interests of all parties is increasingly challenging due to pressures stemming from an increasingly competitive global economy and the growing necessity for a dynamic labour market to ensure competitive viability of Australian businesses.

Modern Awards, flexibility and coverage

Figure 1.2 The skill mix is shifting, 2013 to 2018 Professionals Community & Personal Service Workers Managers Technicians & Trades Workers 2013 2018

Clerical & Administrative Workers Sales Workers Labourers Machinery Operators & Drivers

Key questions

20 Per cent

Data source: Department of Employment (2014)

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The 2014 Modern Award Review process is currently underway and is expected to refine and address inconsistencies within the awards, including areas such as coverage, intra award-classification and application of penalty and overtime rates. However, with radical ACTU claims promoting automatic conversion of casuals to permanent employment in some awards, it is necessary to consider whether awards remain the right vehicle for addressing flexible work needs across the country. RCSA believes the union claims, which also include restricting additional work to existing employees, before employing new casuals, is fundamentally at odds with having an adaptive and responsive economy.

Issues Paper 5 put out by the commission is available at www.pc.gov.au and invites consideration of the forms of engagement that are required within the future

BUS I N ES S M A N AGEMENT

framework. RCSA has been engaging with the membership to discuss how we, as an industry, can provide good employment opportunities, protect vulnerable workers and allow the Australian economy to prosper when under increasing global pressure. I’d like to leave you with some of the key questions that need answering as we consider the way forward and I invite readers to respond to me directly at: cc@fcbgroup.com.au. • Should there be joint bargaining with both labour hire agency and host organisation i.e. both parties covered as considered by the Productivity Commission? • How should the Act cater for individual employee flexibility more effectively? • How well are the FWC and FWO working?

• What are the main sources of compliance costs (for recruitment and on-hire)? • How could compliance costs be reduced? • What should be done about sham contracting? • Should casual employment be changed or adapted to meet changing economic and worker needs, rather than rely upon definitions developed decades ago? The WRF review poses many challenging questions to the Australian workplace relations scheme and provides a real opportunity for interested parties to provide commentary on how best to improve the workplace relations system.

Charles Cameron, RCSA Issues and Policy Advisor, Partner and Executive Director of FCB HR

MARCH 2015

BUSINE S S M A N AGE M EN T

Don’t forget about corporate image You’ve probably seen a lot of articles on the trendy topic of ‘Personal Branding’, and while it is important in the appropriate sphere, corporate image is now more important than ever, writes Joslin Hartley.

Joslin Hartley, Looksfresh Photography

Expressing your business’s corporate image or personality effectively attracts more clients and wins more business, making your workplace a more successful and exciting place to be.

Elements of corporate image Every organisation has a corporate image, whether you specifically planned one, or not. It is the message expressed to everyone who has ever experienced your business directly and even indirectly. It is the feeling and concept people have when they hear your businesses name. How do you think the public perceives you and your business?

Bad image

Friendly, high quality headshots that are consistent on your website, LinkedIn and other business platforms.

No headshot, selfies, holding up a drink in the shot, phone photos, headshots that are too dark or just poor quality.

Consistency in website images. Friendly, engaging and helpful. Real life images of you, your staff and your office.

Stock photos.

Images expressing the areas you specialise in, e.g. technical, medical, engineering, construction, etc.

Generic items not targeted to your markets.

Excellent quality images that can be resized to fit a variety of purposes without losing image quality.

Low quality images that are pixelated or contain noise. Images that are not the proper size for the purpose.

Is your business a recognisable brand that already attracts a lot of attention? Does it have a dynamic logo? Does it use pre-defined fonts and colour palette consistently on and offline? Is the communication engaging or more detail driven? Is it what your audience wants? Does your team dress in corporate attire and is this reinforced on your website, LinkedIn, business cards and marketing? Corporate identity pertains to your business’s visual appearance, but plays a key role in creating your corporate image.

Expressing your image visually Successful businesses work with a photographer, graphic designer, web designer and branding expert to visually express their brand, their values and to engage their audiences – sending the right message to everyone they connect with. It is so important to get this message right on LinkedIn, on your website, in your marketing collateral and advertising.

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Everything your business does should reinforce its goals and values in a positive way. As a whole, this reflects your business’s identity and personality. Verbal and written communication, graphic elements (photographs, logos, symbols, fonts, colours), published material (marketing collateral, presentations and business cards), regularity of communication such as blog posts, and even the genre of topics discussed, should be consistent. Consistency in day-to-day operations is as important as consistency in your branding. A level of expectation is formed based on a

Good image

Corporate identity

Consistency is king

person’s experience with your business. Consistency helps everyone remember you, their awesome experience with your business and reinforces the foundation of the experience they can expect next time. Simple improvements are proven to attract more business, convert more leads and bring greater success to you and your business. Contact Joslin Hartley, Looksfresh Photography, 0418 947 183, joslin@looksfresh.com.au, www.looksfresh.com.au

BUS I N ES S M A N AGEMENT

Introducing your team at JLT – Recruit Insure The service team responsible for the successful delivery of services to the RCSA and its members comprises highly knowledgeable and dedicated individuals, selected for their knowledge, experience and capacity to deliver the services required. We have outlined their background and capabilities briefly below. Account Director – Anthony Gunn Anthony is Divisional Director of JLT’s Affinity business and will provide strategic guidance to your day-to-day service team and take a hands-on role with regards to strategy, program design and placement. Anthony has 20 years’ industry experience in both underwriting and broking functions, focusing on the insurance needs of professional associations and memberbased entities.

Client Relationship Manager – Lauren Malkin Lauren will manage all day-to-day service requirements relating to your insurance policy, in addition to the design, marketing and placement of insurance programs for the RCSA and its members. Lauren has more than 12 years’ industry experience, during which time she has delivered innovative insurance solutions to numerous professional associations. Lauren’s experience includes direct management of the RCSA’s insurance program during her time with a previous broker and she is excited by the opportunity to work with the RCSA again.

Account Manager – Givantha Karu As your Account Manager, Givantha will work closely with Lauren to manage the ongoing service requirements relating to your insurance program, ensuring JLT’s service delivery is responsive and personal. Givantha is a highly qualified insurance broker with more than seven years’ insurance industry experience, during which time his extensive portfolio has consisted of numerous professional services clients. He has a great understanding of the unique risks facing the recruitment and labour hire industry and can leverage a wide network of insurer relationships to ensure the optimum insurance programs are placed for the RCSA and its members.

Client Relationship Manager (New Zealand) – Deborah Fisher Deborah will work closely with the core service team to provide an additional layer of support to the RCSA and its members for New Zealandbased interests or operations. Deborah has more than 25 years’ insurance industry experience. Deborah will co-ordinate additional New Zealand resources as necessary to provide proactive service to the RCSA’s members and to assist with the promotion of scheme benefits to new potential participants.

Member Support (New Zealand) – Christina Dimock Based in New Zealand, Christina will manage the day-to-day service requirements for the RCSA and the RCSA’s members’ insurance programs. She will also work closely with Lauren in designing, marketing and placing the insurance programs for the RCSA and its members. Christina commenced her insurance career in 2005 as the Group Risk Insurance Analyst at AXA. At JLT, Christina provides full account management services for a diverse portfolio of accounts and is the client point of contact for all RCSA’s New Zealand Members. To find out more about Recruitment and Labour Hire Insurance, or to discuss your existing insurance needs, please contact Lauren Malkin, one of our most experienced insurance professionals, on 1300 884 093. You can also email us at: recruitinsure@jlta.com.au Our team at Recruit Insure look forward to assisting you.

MARCH 2015

BUSINE S S M A N AGE M EN T

The RIB Report Nigel Harse continues his recruitment industry predictions.

he cycle of monthly good news reported throughout 2014 continues with the RIB results for December 2014. Sales rose to produce the third-highest result of 2014, while the monthly result is 12% ahead of 2013 – and also registers the seventeenth month of sequential year-on-year growth. The December quarter nudged ahead of the Nigel Harse FRCSA, record September quarter to establish yet Director, The RIB Report another record quarter, up 18% on last year. ‘Sales in the first six months of FY15 surged ahead of any other year on record and reflect a 23% improvement on last year,’ Nigel Harse says. Healthy gains in the perm, temp and contract markets support top-line sales growth. Temp and contract sales improved slightly in December, continuing the 17-month trend of year-on-year growth, and were 14% ahead of December 2013. The six-month FY15 result represents 24% growth on FY14.

‘FY15 has started at pace with both quarters setting new records,’ Nigel notes. ‘The December quarter saw the RIB Average shatter the $4 million sales per participant per quarter for the first time on record.’ Temp and contract hours processed through the payroll is a major indicator of market demand, and the strong growth trend continued throughout 2014. RIB hours processed through the payroll in December improved on the previous month and achieved the highest monthly result in over three years. ‘This sets a new record high for any month, and shows a 24% increase on December 2013,’ says Nigel, adding that this is the twelfth consecutive month of year-on-year improvement. ‘FY15 results are 21% up on FY14 and represent the strongest result for this period on record – a great way to end 2014!’ Nigel Harse was interviewed for the RCSA Journal by business writer Rosemary Ann Ogilvie.

Why is your organisation a RCSA Corporate Member? Of the respondents in the recent RCSA Corporate survey, 80 per cent chose to align to an industry peak body and adhere to the RCSA Code for Professional Conduct. Members also wanted to demonstrate to clients (existing and prospective) their high professional standards (52 per cent). And 54 per cent wanted to access relevant industry information, tools and resources keeping up to date with developments/issues. Supporting an organisation that lobbies government on behalf of the industry was important to 26 per cent. And another 26 per cent thought access to industry education and training was key. Finding out about RCSA Corporate membership: People heard about Corporate Membership in many different ways, although

most heard about the RCSA through attending a RCSA event (14 per cent) or referral from a colleague or friend (18 per cent).

Rating RCSA performance Realistically, one can’t please everyone and all constructive feedback is good, so although not everyone was entirely satisfied with RCSA’s performance over the last 12 months, almost 90 per cent thought it was reasonable to excellent. The breakdown was “fair” 43 per cent, above average, 40 per cent and “excellent” six per cent.

Align to industry peak body and Code

Access to industry information & resources

Demonstrate commitment to high standards

39% Support professional recruitment community 37% Access education & training 26% Reasons for being Networking 16% a RCSA Corporate Keep up-to-date

Member

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52%

54%

80%

BUS I N ES S M A N AGEMENT

Comparison ISO9001:2015 and the RCSA Service Delivery Standard

t is relatively well known that the ISO9001:2008 Quality Management Standard (‘QMS’) is in the process of being modified. Set to be released in mid-2015, the standard is expected to align with the ISO 14001:2004 Environmental Management Standard to better facilitate the integration of management systems. What isn’t so well known is that much of the Standard’s proposed key features already align with the RCSA’s Service Delivery Standard (‘the SDS’). Indeed, in many ways, the SDS appears to have pre-empted changes in the 9001 Quality Management Standard.

Risk Management One of the key changes anticipated in the QMS update is an emphasis on the importance of effective risk management in businesses. Risk management is an important tool for business managers that often ends up being conducted internally – not written and not evaluated. However, the new Standard will require companies to formally identify, evaluate and address risks across the business and plan for the management of a risk if it eventuates. By identifying risks, you can identify areas of the business that require greater management effort and greater control. For example, you can decide whether a risk area could be better managed by training, written processes or by full re-engineering of the processes to reduce the risk to a manageable level. To this effect, the Standard will also require managers to take greater responsibility and have a more comprehensive understanding of the risks involved in all stages of a product or service delivery. Essentially, this will require companies to provide formal records that prove they have engaged in risk based thinking. The SDS, on the other hand, has already established the required parameters of risk-based thinking: it works with a comprehensive risk matrix that integrates evaluation and planning for risk management.

The ‘Process Approach’ Similarly, companies certified in the SDS are very familiar with the ‘Process Approach’ or process-based management. The SDS requires that key recruitment and financial processes are well defined and documented and supported by templates. Simply put, a ‘process approach’ focuses on the processes within your business. Often, we employ this without even realising it: processes are just what businesses do. Therefore, your business can often be described by the processes that you undertake. Consider, for example, what you teach people when they are starting a new job or new responsibility in your business: You are teaching them about the process that they will be following. The process approach has always been fundamental to quality management. Quality management seeks to implement quality into each of your business processes, by focusing on accuracy, consistency and reliability. While it has always been a requirement of the 9001 standard to use a process approach, the new version will make this mandatory. It is expected that the standard document itself cannot be taken to be a model for documentation of a business’ processes. Rather, the changes will require a business to focus on the activities of the business instead of the criteria for a quality audit. The upshot of this is that companies that are certified under the SDS’s process based approach have already laid out a strong foundation for compliance with the QMS update, and changes in that respect are likely to be minimal.

Combining preventive and corrective actions In 9001, ‘corrective action’ refers to a company’s approach for dealing with problems or issues that may occur. The main difference between corrective and preventive actions is straightforward –

one corrects problems that already exist, the other prevents them from occurring. The difference between corrective and preventive is subtle and many businesses consequently merge them into a single approach. The SDS recognises this and has always used a single approach known as ‘Issues Management’. It employs a non-judgmental term and can be used for a range of improvement actions from complaints to service gaps to upcoming legislative changes, etc. Last year marked the 10th anniversary of the RCSA Service Delivery Standard. Available to all RCSA members, the Standard is still going strong, and has been credited for the development of robust, high-quality management systems that cater to the specific needs of a recruitment business. The standard is clear, simple and straightforward because it employs language familiar to the recruitment industry instead of specialised quality jargon. The RCSA SDS continues to be managed by Certex International on behalf of the RCSA.

Dianne Gibert is the founder of Certex International and Fathom Business Architects, which has been the certification manager for the RCSA Service Delivery Standard since 2004. Certex International is accredited through JAS-ANZ to provide certification services in ISO 9001 and other international standards. www.certex.com.au.

MARCH 2015

ASSOCIATION NEWS

A MR ANZ

ANR A

AMRANZ has welcomed a review of DWS (District of Workforce Shortage) areas in metro centres following an announcement by Assistant Minister for Health, Hon Senator Fiona Nash. AMRANZ council continues to advocate on behalf of members for access by private recruitment agencies to funding and incentives available within the International Recruitment Strategy (IRS). The next AMRANZ Recruiters Forum will be held on Tuesday 28 April 2015 in Sydney. Information about this meeting, and all 2015 AMRANZ Council meetings and Forums, is now available on our website: www.rcsa.com.au. AMRANZ members are encouraged to contact Paula Way-James (pwayjames@rcsa.com.au) at the RCSA with suggestions for speakers and topics for future forums.

ANRA is pleased to announce a representative from the nursing and health sector has been invited to represent members on the Health Services Working Group set up under WorkSafe Victoriaâ&#x20AC;&#x2122;s Association of Nursing Safety and Risk Working Group. Recruitment Agencies Pam Dew from Austra Health Aged Care Services will represent members in the health sector and contribute to policy development and direction in this business critical area. ANRA Council meetings and Member Forum dates are now available on the RCSA website: www.rcsa.com.au.

More organisations are seeking to work with suppliers who have a commitment to an industry or professional association.

RCSA Corporate membership Decision makers value the expertise and commitment to professional standards that membership demonstrates. RCSA Corporate membership sets you apart.

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anra

In recent tenders the following organisations included a question related to membership of a professional or industry association: Origin Energy Brisbane City Council National Broadband Network GM Holden CSR Land Information New Zealand Regency Media LG Water Corporation WA Toshiba Edith Cowan University Westpac Deloitte City of Stirling Darwin City Council Australia Post AC & Worksafe Victoria Walga WA Government NSW Government NSW Health ATO

FAC T S AND FIGURES

The RCSA Code and Online Code Training Time is money, so I won’t beat around the bush … FACT: It is a mandatory requirement of RCSA membership that all Individual members and Corporate members and their staff agree to, and abide by, the RCSA Code for Professional Conduct (Code). This requires all members and their staff to read the Code and complete the online Code training on an annual basis. FACT: I have personally spoken with a number of individuals over the past two years (who will remain nameless) who had not heard about the Code or online Code training at that time. One of these individuals had been with his/her employer for over three years! FACT: Completion of online Code training should not come as a surprise to members as it is clearly stated on RCSA membership application forms and reiterated in renewal notices. Moreover, there have also been a number of articles written on the requirement for completing online Code training. I should know as I have written several articles for the RCSA Journal on this very topic over the past two years. Taking time out to read the Code and completing online Code training should never be seen as a chore or obligation. Members and prospective members have stated they choose to become an RCSA member because membership is highly valued and that they wish to belong to a professional body representing their industry. FACT: Initial online Code training is to be completed within six weeks of becoming a member, or joining an agency that is a corporate member. FACT: Completing online Code training takes approximately 40 minutes. There are 525,600 minutes each year (527,040 in leap years), so I am sure all of you are able to spare 40 minutes once a year. The RCSA Board Directors and RCSA volunteers who sit on Regional

Councils and Specialist Member Groups (ANRA/AMRANZ) certainly can! FACT: RCSA Code training is the very first step to completing Continuing Professional Development (CPD) points. Those of you who have read the Code will be aware of Principle 7 – Professional Knowledge. FACT: Not reading the Code or completing online Code training is non-compliance of the Code, and can result in members being suspended or expelled from RCSA membership. FACT: RCSA regularly reviews who has completed online Code training. Throughout 2015 the RCSA Compliance Team will be performing random checks to ensure members, and their staff, have completed online Code training within the last twelve months (1 January 2014 onwards). So without further ado, let’s cut to the chase and complete online Code training. ‘You have to learn the rules of the game. And then you have to play better than anyone else.’ ~ Albert Einstein

Martin Barnett, RCSA Ethics, Compliance & Risk Manager

MARCH 2015

ASSOCIATION NEWS

Welcome to new RCSA Corporate Members 1 January - 13 February 2015 • • • • • • • • • • • • • • • •

ACM Healthcare Add Staff Blomfield Consulting Chefs Direct Connected Resources Pty Ltd ERG Recruitment Group Limited Executive Talent Healthcare HQ Pty Ltd Inspired Management Pty Ltd Inspired Management Pty Ltd - QLD, SA and NSW JL Exec Pty Ltd Kings Recruitment Ltd Resourceful Recruitment Pty Ltd Voltage Recruitment Australia Pty Ltd Your People Ltd Your People Recruitment

SMEs realise good staff are the key to growth: Scottish Pacific SME Growth Index A majority of Australian SMEs are in growth mode, and almost 70 per cent of owners attribute this growth to a combination of ‘great people and a strong team’ and ‘anchor/core customers’. This is one of the key findings of the Scottish Pacific SME Growth Index, created from interviews with 1,253 SMEs from around Australia and in a diverse range of industries, with annual turnover of between $1-20 million. Of all the businesses forecasting growth, 36 per cent attributed their growth to anchor/core

customers, with 33.7 per cent putting this down to the talents of their staff and teams, proving that great staff help you keep a loyal customer base. Peter Langham, Chief Executive at Scottish Pacific, said it was refreshing to see SME owners and CEOs attributing their growth success to great people and strong teams. ‘SMEs by nature are entrepreneurial and sometimes the perception is that the business is all about the person at the top. It’s great to see SME owners acknowledge the importance of putting strong teams in place,’ he said. Information: www.debtorfinance.com.au 1300 332 867.

Set yourself apart RCSA Individual membership If you are an Accredited Professional Recruiter, Member or Fellow of the RCSA you should be promoting your commitment to your profession and ethical conduct. Display your post nominal (APRCSA, MRCSA or FRCSA) and individual member logo on your business cards, email footer and online profiles. You can download your logo, after logging on to the RCSA website at www.rcsa.com.au go to Membership > Individual > Icons to use. Need help? Contact Fleur Morales, Membership Manager on +61 3 9936 9414 or fmorales@rcsa.com.au

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A S S OCI AT ION NEW S

The Golden Era of Recruitment Greg Savage FRCSA (Life) presented a series of cutting edge half-day seminars around Australia and New Zealand in February/March and hundreds of recruiters flocked to find out how to ride the next recruitment wave for profit and growth. The RCSA was delighted to present Greg Savage in these seminars packed with totally new ideas for recruiters and managers alike. Greg explained to enthralled audiences around the country that the golden days for agency recruiters are about to re-emerge, but only for those who reinvent, retool, evolve and reboot. For the rest, the future is grim. The Acumen series was presented in Adelaide, Perth, Brisbane, Melbourne, Canberra and Sydney and in New Zealand in Christchurch, Wellington and Auckland.

2015 R Acum CSA Spea e ker S n e is a s ellou ries t!

Bronze Sponsor: Live Salary, Paul Quinn

Greg Savage FRCSA (Life)

Gold Sponsor: (Left) 2cloudnineâ&#x20AC;&#x2122;s Simon Bishop and Simon Edmondson (right) with JobScienceâ&#x20AC;&#x2122;s Ted Elliott (middle).

MARCH 2015

ASSOCIATION NEWS

RCSA PARTNERS & PREMIUM SUPPORTERS The RCSA Supporters Program provides a tangible and strong connection to the recruitment industry. Becoming a RCSA Supporter sends a message of commitment to the recruitment industry and to your existing and prospective clients. Service providers and suppliers to the industry can use the RCSA Supporter program to expand your

RCSA Premium Supporter & Principal Partner Kinetic Super

RCSA Premium Supporter & Business Partner Jardine Lloyd Thompson Pty Ltd

RCSA Premium Supporters 2cloudnine Adzuna APositive Cashflow Astute Payroll Bibby Financial Services Australia Pty Ltd FastTrack Pty Ltd Indeed Key Factors Pty Ltd Learning Seat Pty Ltd Recruitment Systems Pty Ltd Scottish Pacific Debtor Finance SEEK Limited Voyager Software (Australia) Pty Ltd

WorkDESK Recruitment Software

RCSA Supporters Advertiser Newspapers Pty Limited AHRI – Australian Human Resources Institute AltusQ Appoint Me Auditor Training Centre Ayers Management Pty Ltd Bendigo Bank Blue Connections Broadbean Technology Book Builders Pty Ltd BULLHORN carecareers (NDS) Certex Cloud Strategem CVCheck CXC Global Head Office Data Savvy Pty Ltd Ebit Services Pty Ltd Etz Timesheet Solutions Pty Ltd

profile, grow networks and improve business opportunities with the recruitment, on-hire and workforce consulting sector. The RCSA is proud to welcome the organisations listed below to the Supporters Program, led by Principal Partner Kinetic Super and Business Partner Jardine Lloyd Thompson Pty Ltd. Fathom Business Architects FCB Group GE Capital Geoffrey Nathan Consulting Inc GreenBizCheck HHMC Australia Pty Limited IProfile JobAdder JXT Consulting Lander & Rogers Lipman James LooksFresh Photography Matheson Publishing Melbourne Polytechnic (formerly NMIT) MemberBenefits Pty Ltd Mindset Group NPA Worldwide PAJE Business Solutions Pty Ltd Quinntessential Marketing Consulting Pty Ltd Rec Tech Solutions

Revelian Rewire Group Selectus Pty Ltd Skillcheck Pacific Pty Ltd Sovereign Private SpotJobs The RIB Report Verify Holdings Australia Pty Ltd Working Abroad Newcomers Network WorkPro

NZ RCSA Supporters Equal Opportunities Employment Trust Human Resources Institute of New Zealand Ministry of Social Development NZ, Work & Income Secured Signing Ltd The Dominion Post Trade Me Jobs

For information about joining the RCSA Supporters Program, contact Carly Fordred, RCSA Marketing & Communications Manager, Telephone +61 3 9663 0555 or email cfordred@rcsa.com.au

RCSA PREMIUM SUPPORTER PROFILES

FastTrack is the industry benchmark for recruitment software solutions. Our applications help you efficiently manage and ultimately operate a more profitable consultancy. Created by people who know and understand the industry. Over 600 consultancies in five countries, from large enterprise to one-office sites, in permanent, temporary, contract, labour hire or executive search, rely on our robust systems and team of business and technical specialists. Call 1800 063 555 or visit www.fasttrack. com.au to find out how we can help simplify and optimise your recruitment business processes and workflow.

RCSA JOURNAL

Key Factors turn your credit sales into immediate cash flow by advancing up to 80% on the face value of your invoices, in as quickly as 24 hours. For over 25 years, Key Factors have been providing SMEs from a wide range of industries with flexible working capital solutions to grow their business. The Key Factors difference: no locked in long-term contracts, no minimum volume, no ongoing monthly admin fees or annual fees, no quarterly audits, no application fees, fast 48 hours response. www.keyfactors.com.au or call 1300 884 100.

SEEK revolutionised the way people searched for jobs and found candidates. Today SEEK remains the leading employment site in Australia. Over the last 12 months SEEK helped facilitate 26% of job placements in Australia, making us the clear market leader. Compared to a combined total of online competitors, SEEK accounts for eight times the placements. We have more than 30 million monthly visits, approx. 70% of all online job ads and over 2.5million searchable candidate profiles. We are committed to continuously improving our role in facilitating matching and communicating job opportunities.

A S S OCI AT ION NEW S

RCSA BOARD, LIFE MEMBERS & FELLOWS * RCSA Board President Robert van Stokrom FRCSA

Vice Presidents Peter Langford FRCSA Sinead Hourigan MRCSA

Directors Robert Olivier FRCSA Lincoln Crawley FRCSA Steve Heather FRCSA Alan Bell FRCSA Matthew Hobby FRCSA Karen Colfer FRCSA Nina Mapson Bone FRCSA Ian McPherson FRCSA

RCSA Life Fellows Pauline Ashleigh-Marum FRCSA (Life) Jim Bailey FRCSA (Life) Robert Blanche FRCSA (Life) Dorothy Caldicott FRCSA (Life) Mike Carroll FRCSA (Life) Nanette Carroll FRCSA (Life) Jane Fanselow FRCSA (Life) Ross Fisher FRCSA (Life) Peter Gleeson FRCSA (Life) Larry Grima FRCSA (Life) Michael Hall FRCSA (Life) Sue Healy FRCSA (Life) Kris Hope-Cross FRCSA (Life) Malcolm Jackman FRCSA (Life) Graham Jenkins FRCSA (Life) Dawne Kelleher FRCSA (Life) Barry T Knight FRCSA (Life) Roger Lampen FRCSA (Life) Ruth Levinsohn FRCSA (Life) Debra Loveridge FRCSA (Life) Reg Maxwell FRCSA (Life) John McArthur FRCSA (Life) Matthew McArthur FRCSA (Life) Sylvia Moreno FRCSA (Life) Helen Olivier FRCSA (Life)

E. Leigh Olson FRCSA (Life) V John Plummer FRCSA (Life) John Plummer FRCSA (Life) Wendy Rae FRCSA (Life) Beryl Rowan FRCSA (Life) Julie Sattler OAM FRCSA (Life) Greg Savage FRCSA (Life) Rosemary Scott FRCSA (Life) David Shave FRCSA (Life) Kim Shearn FRCSA (Life) Stephen Shepherd FRCSA (Life) Geoff Slade FRCSA (Life) Jan Spriggs FRCSA (Life) Kaye Strain FRCSA (Life) Jean Tait FRCSA (Life) Rodney Troian FRCSA (Life) Janet Vallino FRCSA (Life) Paul Veith FRCSA (Life) Hugh Whan FRCSA (Life) John K Williams FRCSA (Life) George Zammit FRCSA (Life)

RCSA Fellows Julian Azzopardi FRCSA Jacqui Barratt FRCSA Nicholas Beames FRCSA Nikki Beaumont FRCSA Alan Bell FRCSA Kevin Blogg FRCSA Stephen Bott FRCSA Lisa Bousfield FRCSA Graham Bower FRCSA Nicky Brunning FRCSA Kevin Chandler FRCSA Sandra Chiles FRCSA Ross Clennett FRCSA Michael Close FRCSA Karen Colfer FRCSA John Cooper FRCSA Ron Crause FRCSA Lincoln Crawley FRCSA Christine Crowe FRCSA

Denis Dadds FRCSA Bill Dalby FRCSA Pam Dew FRCSA Rhonda Dunn FRCSA Jason Elias FRCSA Diane Epps FRCSA Ken Fowler FRCSA Stuart Freeman FRCSA Norm Geist FRCSA Angela Giacoumis FRCSA Tony Greaves FRCSA Mark Griffiths FRCSA Allison Guy-Ritchie FRCSA Ian Hamilton FRCSA Michael Hannaford FRCSA Andrea Hardy FRSCA John Harland FRCSA Nigel Harse FRCSA Nick Hays FRCSA Sam Hazledine FRCSA Steve Heather FRCSA Jennifer Hobbs FRCSA Matthew Hobby FRCSA Alison Hucks FRCSA Phil Isard FRCSA Tim James FRCSA Leigh Johnson FRCSA Tania Kapell FRCSA Giles Keay FRCSA Linda Kemp FRCSA Maria Kourtesis FRCSA Peter Langford FRCSA Colin Levander FRCSA Gaynor Lowndes FRCSA Laura Marbikafola FRCSA Nina Mapson-Bone FRCSA Andrew McComish FRCSA Fraser McKechnie FRCSA Ian McPherson FRCSA Annie Milne FRCSA Tracy Morgan FRCSA Gillian Mullins FRCSA

RCSA Premium Supporter & Principal Partner

Stephen Noble FRCSA Kathie Oâ&#x20AC;&#x2122;Malley FRCSA Robert Olivier FRCSA Penny Perkins FRCSA Stephen Porter FRCSA Bruce Ranken FRCSA Tony Ricketts FRCSA Scott Roberts FRCSA Sophie Robertson FRCSA Deborah Ross FRCSA Courtney Rowe FRCSA Mia Ryan FRCSA Michael Sacco FRCSA Lee-Martin Seymour FRCSA Alan Sherlock FRCSA Linda Simonsen FRCSA Paul Slezak FRCSA Ian R Stacy FRCSA David Stewart FRCSA David Styles FRCSA Lyn Tanner FRCSA Corrine Taylor FRCSA Scott Thomas FRCSA Vibeke Thomsen FRCSA Gayleen Toll FRCSA Nicole Underwood FRCSA Rosemary Urbon FRCSA Scott Van Heurck FRCSA Robert van Stokrom FRCSA Craig Watson FRCSA Paula Watts FRCSA John Wilson FRCSA

RCSA Honorary Fellows Julie Mills Hon FRCSA (Life) Joan Page Hon FRCSA (Life) Malcolm Riddell Hon FRCSA (Life) Reg Shields Hon FRCSA (Life) Jill Skafer Hon FRCSA (Life) Andrew Wood Hon FRCSA (Life) * Correct at time of printing.

RCSA Premium Supporter & Business Partner

RCSA RESEARCH CENTRE

RCSA Australia & New Zealand PO Box 18028, Collins Street East, VIC 8003 Australia Toll Free Aus: 1300 727 504 Toll Free NZ: 0800 448 299 RCSA IN-HOUSE TRAINING

Email: info@rcsa.com.au Aus Website: www.rcsa.com.au NZ Website: www.rcsa.com.au/imis15/newzealand

MARCH 2015

ASSOCIATION NEWS

RCSA CPD & Events Calendar 2015 AUSTRALIA

Breakfast Series sponsored by Kinetic Super Wednesday 24 June 2015 – Adelaide

APRIL 2015 Introduction to Recruitment Workshop

Thursday 25 June 2015 - Perth

NEW ZEALAND

Friday 17 April – Sydney, Brisbane, Melbourne

MAY 2015

JUNE 2015

Sydney, Melbourne and Brisbane Recruitment Consultant Certificate

PEARL Consultant Forum

Friday 1 May 2015 – Introduction to Recruitment

Wednesday 24 June 2015 – Auckland

Friday 8 May 2015 – Interviewing Essentials

CEO Panel Breakfast Series, Sponsored by Kinetic Super

Friday 15 May 2015 – Sales and Marketing from the Desk

Wednesday 10 June 2015 – Christchurch

Thursday 21 May 2015 – RCSA Gala Ball and Awards Night (Sydney)

Thursday 11 June 2015 – Wellington

JUNE 2015

Friday 12 June 2015 – Auckland

Sydney, Melbourne and Brisbane – Introduction to Recruitment Workshop Friday 19 June 2015 – Introduction to Recruitment Perth June Recruitment Consultant Certificate Friday 12 June 2015 – Introduction to Recruitment Friday 19 June 2015 – Interviewing Essentials Friday 26 June 2015 – Sales and Marketing from the Desk PEARL Consultant Forum Thursday 18 June 2015 – Melbourne CEO Panel Breakfast Series, Sponsored by Kinetic Super Wednesday 3 June 2015 – Melbourne Thursday 4 June 2015 – Sydney

Advertise in the RCSA Journal You can reach owners, managers and consultants in the recruitment industry across Australia and New Zealand through the RCSA Journal. Contact Carly Fordred, RCSA Marketing and Communications Manager for information: cfordred@rcsa.com.au or call +61 3 9663 0555

Friday 5 June 2015 – Brisbane

RCSA In-House Training Customised Training when and where you want! How does it work? RCSA offers cost effective training solutions for your team throughout Australia and New Zealand. The Learning Centre team and your dedicated specialist facilitator will work with you to determine your strategic and corporate needs for professional development and align these to your organisation’s business objectives. Customised targeted group training can be run at your own business facilities, at an external

RCSA JOURNAL

training venue or at RCSA Corporate Meeting Rooms. Talk to us about your CPD requirements – we have a facilitator and a course that will meet your needs! For all enquiries regarding RCSA In-House Training for your workplace, please email jwilliams@rcsa.com.au or phone +61 2 9922 3477.

RCSA IN-HOUSE TRAINING

2 015 R C S A I N T E R N AT I O N A L C O N F E R E N C E

STRATEGY TECHNOLOGY PEOPLE

2015 RCSA INTERNATIONAL CONFERENCE Platinum Sponsor

HAMILTON ISLAND, QLD 2-4 September 2015

Recruitment Software Looking for a software package to care for your Candidates and Clients, organise your Job Orders, with Payroll and Billing built in, able to do a lightning search, or scan, integrated with Outlook, that can send text messages, turn its hand to a marketing campaign and when it isn’t doing all that, run your General Ledger, handle your Debtors and Creditors and calculate your taxes? If you are, make sure you take a look at WorkDESK Recruitment Software. WorkDESK can operate in the Cloud, works with Office 365, will pay and bill temps and contractors for a start up or nationwide organisation. When you want to track profitability down to the Timesheet level, WorkDESK tracks Employees’ Superannuation, Annual Leave, Personal (Sick) Leave, paid or unpaid, Long Service Leave (including portable), plus Rostered Days Off and Parental Leave, in detail. And, in case you are wondering, WorkDESK puts no licensing limits on the number of people you can pay.

WorkDESK – for Management, for Consultants, for Payroll and Operational support staff

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Try WorkDESK yourself - order your free demo pack today. AU

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INDUSTR Y

FreeCall 1800 777 004 (in Australia)

30 YEARS

FreeCall 0800 445 885 (in New Zealand)

www.workdesk.com.au

Email sales@workdesk.com.au