HAYS JOURNAL/media/Files/H/Hays/annual...HAYS JOURNAL GLOBAL INSIGHT FOR EXPERTS IN THE WORLD OF HR...

HAYSJOURNAL GLOBAL INSIGHT FOR EXPERTS IN THE

WORLD OF HR AND RECRUITMENT

ISSUE 1 2011

TECHNOLOGY IN RECRUITMENT: USEFUL TOOLS, BUT NO PANACEAEMPLOYER BRANDING: TEN ISSUES YOU CANNOT AFFORD TO IGNOREBOARDROOM DIVERSITY: AUSTRALIA SPURS DEBATE ON GENDER QUOTAS ONBOARDING: HOW TO ENGAGE NEW HIRES BEFORE THEY START

THE PACE OF MOBILITYHOW TO MANAGE A GLOBAL WORKFORCE

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CONTRIBUTORSNic Paton specialises in global HR, employment and workplace issues. He is a regular contributor to the Guardian and efinancialcareers.com

Alison Coleman writes for a range of international business titles including Financial Times, Director and Employee Benefits

Elliot Davis is former Editor of Growthbusiness.com and a regular contributor to Ernst & Young’s international Exceptional magazine

Andrew Don is an experienced business journalist who writes regularly for national and trade press on global business matters

Scott Beagrie is former Features Editor of Personnel Today and a specialist in employment issues and recruitment technology

Editor James Cash Consulting Editor Nic Paton Design Director Ben BarrettArt Editor Steven Gregor Picture Editor Johanna WardDesign Production Manager Gary Chambers Publisher David Poulton Production Director John Faulkner

Hays Journal is published on behalf of

Hays by Wardour, Walmar House,

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WELCOME to the first issue of the Hays Journal. The world we live and work in is changing at an ever-increasing rate. The issues we deal with are growing in complexity as we see the advent of new technologies, mounting legislative and regulatory pressure, changing requirements from consumers and employees and the demand for more flexible working practices and workforces. Overlay this with the vagaries of the business cycle and the globalisation of many markets and we have a complicated set of challenges to deal with, day in and day out in the world of work. One thing remains crucial, however: an organisation’s ability to recruit and retain the very best people, wherever they are in the world or whichever industry they operate in.

As industries globalise, pools of talent are constantly shifting. Whether you are based in Asia, Europe, Latin America or North America, the need to anticipate and manage this long-term flux in talent on an international basis has never been greater. And as you search for your own solution, you can guarantee that your competitors likewise are looking for ways to tap into the right resources to build their own advantage. We hear this every day in our business when our clients across the 30 countries in which we operate tell us the challenges they are facing to find the right skills for their organisation. The war for talent is leading to greater skills shortages despite the growing number of unemployed people across the world.

We will explore these issues in the Hays Journal, and examine a number of other challenges businesses are dealing with today.

We believe that the right person in the right role can help transform an organisation. It takes experience, dedication, time and inspiration to ensure we get it right each time. However, the recruitment process doesn’t stop when the right person is found: managers must continually engage and motivate their teams if they are to achieve the best results for themselves and their business.

We are keen to examine the issues that are important to you and your business. Please send any thoughts or opinions to our dedicated editorial team at [email protected]

People issues are some of the hardest that any organisation must deal with. Every year, we help almost half a million people find the right role, so we see these issues in action every day, all across the world. I hope this publication provides an opportunity to share some of our experience of the world of work and succeeds in generating wider debate about the challenges facing HR and recruiting professionals worldwide.

— ALISTAIR COX, CEO, HAYS

HAYSJOURNAL

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3HAYS JOURNAL ISSUE 1

REGULARS FEATURES04 BRIEFINGS Digest of the world of work, including:

American restlessness, Generation Y, cloud computing, succession planning and more

16 STATISTICAL SNAPSHOT Slow growth in global monthly wages.

Separate surveys suggest skills shortages could hamper growth this year

31 INSIDE TRACK New Hays research examines future

developments in the skilled labour market, bridging the skills gap in Australia

48 TRICKS OF THE TRADE Well-managed onboarding and

induction programmes can help make new recruits stay the course

50 MY BEST HIRE Mark Dybell, Acting General Manager

of Procurement at BOC Gases, talks about his finest recruit

10 THE BIG IDEA: On the move Employers who fail to think strategically

will be seriously challenged by workforce mobility and subsequent talent shortages over the next two decades

18 ANALYSIS: In good company From rewards and benefits to company

culture, global businesses discuss ten areas of employer branding that will help you build a talent base for the future

26 LEADERSHIP: Commercially minded Alex Wilson, Group HR Director at BT,

discusses the role of the HR function in business and the need for it to be more commercially driven

34 FOCUS: Net work Technology is increasingly assisting

both recruiters and candidates, but face-to-face recruitment is still at the heart of the hiring process

39 RISING TO THE CHALLENGE: Balance on the board Australia’s ‘name and shame’ approach

to board diversity comes into effect, while France is set to adopt enforced gender quotas by 2016

42 IN THE WORKPLACE: Striking a blow for conciliation We ask if it is ever right for unions

to strike during times of economic hardship. British union the TUC and UK business body CBI discuss the issues

45 REGIONAL SNAPSHOT: Big in Brazil Organisations in Brazil are showing

a growing appetite for recruitment specialists while demand for good quality managers is high

CONTACT US To contribute, provide feedback or to comment on any of the articles in this publication please email: [email protected]

CONTENTS

3926ALEX WILSON, GROUP HR

DIRECTOR AT BT BELIEVES HR CAN BECOME A TRUE

STRATEGIC BUSINESS PARTNER

18SIEMENS’ LEARNING AND

DEVELOPMENT PROGRAMME IS A KEY PART OF ITS

EMPLOYER BRANDING

GAIL KELLY, CEO OF WESTPAC, IS A LEADING

FIGURE FOR BOARDROOM DIVERSITY IN AUSTRALIA

NORTH AMERICAN BUSINESSES PREPARE FOR EXODUS

TOPICAL SNAPSHOTS

BRIEFINGS

EMPLOYERS SHOULD BRACE themselves for a mass exodus of workers during 2011, a poll by a US recruitment and career consultancy has warned.

The survey of 1,400 North American workers by Right Management found 84 per cent intended actively to seek a new position during this year.

This compared with 60 per cent reported at the same point at the end of 2009.

Douglas J. Matthews, President and Chief Operating officer for Right Management, said the finding spoke volumes about the fall-out from the downturn in terms of employee dissatisfaction and distrust in management.

“Just as people are questioning their elected leaders in government, workers are wondering if their management is up to the challenge of renewed growth or developing a sound strategy,” he said.

“Clearly, if the job market picks up a lot next year many employees are going to take advantage of it, and organisations could stand to lose some of their top

contributors. So this is a wake-up call to management,” he added.

Organisations should identify star performers and have open and constructive career discussions with them. Matthews suggested that career restlessness could also be alleviated by managers being honest and positive with employees.

“Provide them with feedback on what they are doing really well and offer ways to help them improve. A mentoring relationship between the manager and employee will build mutual trust and hopefully limit future defections,” he advised.

The survey also indicated a hardening of employee attitudes towards whether or not they would move jobs. Whereas a fifth in 2009 said they would be happy to network and see what came up, this had dropped to eight per cent in the 2010 poll.

In 2009, 13 per cent were adamant they would be staying put during the coming year, but this had fallen to five per cent in the 2010 survey.

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BRIEFINGS

COMPANIES SHOULD HAVE to measure their progress in improving board-level diversity in order to increase female representation, the Confederation of British Industry (CBI) has argued.

In a submission to former Trade Minister Lord Davies’ review, the CBI suggested that the UK Corporate Governance Code should require listed companies to report on diversity on a ‘comply or explain’ basis. Firms would have to set internal targets based on their particular circumstances, and would have to justify any failure to meet these targets.

The CBI’s proposal is based on the success of a similar scheme in Australia, which helped to increase the proportion of new female board appointments from five per cent in 2009 to 27 per cent in the first half of 2010.

In the UK, while schemes such as flexible working, mentoring and networking have helped to boost women’s chances of progressing to the top ranks, women are still under-represented at board level, with most high-level female appointments made in non-executive roles.

CBI President Helen Alexander said: “What is needed is cultural change, not quotas, ratios or tokenism. That is why we are calling for a flexible system that will allow firms to set targets that reflect the realities of their business.”For more, see Balance on the board, page 39

‘COMPLY OR EXPLAIN’CBI’S SUGGESTED APPROACH TO DIVERSITY

RETIRING WAYSSCRAPPING THE DEFAULT RETIREMENT AGE COULD RAISE HEADACHES FOR EMPLOYERS

BRITISH EMPLOYERS HAVE warned that their government’s decision in January to scrap the country’s default retirement age (DRA) of 65 later this year will add a significant extra administrative burden to them at what is already a tough economic time.

Yet, internationally, the move appears to be harmonising the UK’s position with its global competitors and bringing it more into sync with other countries.

The UK government first said last summer that it intended to scrap the DRA, which allows employers to force workers to retire at 65, and in January confirmed it intended to press ahead with the move from this October, phasing in the change from as early as April.

The CBI warned the very tight timeframe could potentially cause headaches for many employers, as well as raising the prospect of increased tribunal claims.

CBI Director-General John Cridland said: “Employers accept that more people will want to work beyond 65 as the population ages, but the government has not recognised the fundamental question, which is how employers should manage retirement on the basis of a performance appraisal. This will be particularly acute in physically demanding sectors.”

But Dr Helen Barnes, Principal Research Fellow at think-tank the Institute for Employment Studies, suggested the reality was that abolition of the DRA would cause few problems, as most employers had already de facto scrapped it anyway.

“Those who do struggle are those which are poor at managing performance and hope to ‘retire out’ problem employees,” she said.

In the US, by comparison, the ‘normal’ retirement age is 67, though many in fact retire early, at around the age of 62, according to the Organisation for Economic Cooperation and Development. It’s a similar picture in Germany, though ‘early’ retirement there is a little later at 65, falling substantially – to 57 – in Italy and Greece.

Another economic factor too often overlooked, according to Barnes, was the percentage of those aged 50-64 already economically inactive.

A quarter of men and 39 per cent of women fell into this category, with male unemployment among the over-50s now at 6.7 per cent in the UK, with almost half of these men not having worked for more than a year.

5%

Australia increased the numbers of new female board appointments to 27% in 2010 from 5% in 2009

73%

95%

2010

27%

2009


OVER THE NEXT four years technological innovations such as cloud computing could change the way businesses run and operate their systems and software, a leading IT consultancy has said.

Gartner, in a range of ‘crystal ball’ predictions has argued that, as cloud computing becomes commonplace, the way organisations and employees use, access and even resource their software and hardware will change profoundly.

By 2015 the widespread use of touch-screen technology and automation could cut the time employees spend wrestling with IT issues by a quarter, while “information-smart” businesses will have increased IT spending per head by 60 per cent.

“Cloud computing will hasten the use of tools and automation in IT services as the new paradigm brings with it self-service, automated provisioning and metering to deliver industrialised services with the potential to transform the industry from a high-touch custom environment to one characterised by automated delivery of IT services,” the report said.

By 2014, 90 per cent of organisations will be supporting corporate applications on personal devices – changing where and how employees work – with 80 per cent offering working ‘tablet’ computers such as the iPad by 2013.

The use of cloud computing could also reduce the need for internal IT staffing. Hewlett-Packard, for example, announced it was to cut 9,000 jobs from its IT services division in May last year, in part because its transition to cloud computing meant it was increasingly able to automate its data centre operations.

Late last year, academics and entrepreneurs at a debate at Oxford’s Saïd Business School concluded that the impact of the internet on society and business was “only just beginning”.

While the internet has already had a profound effect on parts of our lives such as shopping, its effect will become more pronounced in areas such as government, academia, healthcare, financial services and energy, as well as its impact within developing economies.

EMPLOYEES MAY UNDERSTAND the purpose of their organisation, but how many share it?

New research from the Chartered Institute of Personnel and Development (CIPD) in the UK highlights the importance of having a sense of shared purpose to improving organisational performance.

Yet the YouGov survey of more than 2,000 employees also found that while three quarters (76 per cent) of employees claimed to know clearly the core purpose of their organisation, only 28 per cent believe that the purpose is shared throughout the entire company.

There are implications for productivity; 37 per cent of those working for public and third-sector organisations with a whole sense of shared purpose said delivery of services was timely and efficient compared with 11 per cent of respondents whose organisations had no sense of shared purpose.

A common purpose will also boost levels of employee engagement. They stand at 84 per cent where people said they felt ‘in sync’ with their employer, compared with 32 per cent of staff whose organisations lacked a common purpose.

The survey highlights the importance of alignment between an organisation’s purpose, its values and its goals, so why do employers still get it wrong? Leadership styles and communication are often to blame, according to organisational psychologist Professor Cary Cooper of Lancaster University.

Cooper says: “You need a senior executive team that is focused on getting people on board, building trust and being more open, and managers who can ensure this message reaches everyone in the organisation. Making people feel individually involved builds internal morale, creates a culture of inclusion, and results in a true sense of shared purpose.”

UP IN THE CLOUDSTHE LATEST IT SOLUTION COULD CHANGE THE WAY WE WORK FOREVER

SHARED SENSE OF PURPOSE IN AN ORGANISATION CAN BE KEY TO SUCCESS

PURPOSEFUL BUSINESS

76%OF EMPLOYEES CLAIMED TO KNOW CLEARLY THE CORE PURPOSE OF THEIR ORGANISATION

28%SAID THAT THIS CORE PURPOSE WAS SHARED THROUGHOUT THE ENTIRE COMPANY

84%OF EMPLOYEES ENGAGE WITH THEIR EMPLOYER AT ORGANISATIONS WITH A SHARED SENSE OF PURPOSE


BRIEFINGSBRIEFINGS

AHEAD OF THE GAMEPLANNING IS CRUCIAL IF YOUR SUCCESSION IS TO BE A SUCCESS

AN EFFECTIVE SUCCESSION plan depends on a clear understanding of the company’s strategy and proper investment in internal talent, according to new guidance published by the Korn/Ferry Institute.

Studies carried out by the National Association of Corporate Directors in the US (2007 and 2009) show that 42 per cent of publicly traded companies lack an effective succession planning process. Korn/Ferry’s new publication, The corporate director and succession planning, aims to give firms advice about how to prepare better for the future. This is particularly important in the light of the October 2009 US Securities and Exchange Commission bulletin, which strongly recommends that boards of directors provide comprehensive succession plans to shareholders.

The new guidance emphasises the need for company directors to set out the key competencies that a future CEO will require, and to identify executives within the company who possess these characteristics, or who have potential to develop them. Companies should invest in the training and development of these promising candidates, with a particular focus on young, emerging executives, and should monitor and measure talent management plans carefully.

Finally, the guidance advises company boards to consider macro-succession planning. This means preparing for a situation in which the firm does not have time to develop internal talent and has to hire an external recruit.

POLICYMAKERS MUST BE prepared to invest in improvements to HR management if new proposals to transform public services are to succeed, according to a report from the UK’s CIPD and the Public Sector People Managers’ Association (PPMA).

The report, Boosting HR performance in the public sector, argues that the UK government’s ‘Big Society’ vision can only become a reality if frontline public-sector managers have the leadership skills to engage with and empower their staff. HR plays a vital role in ensuring that frontline employees are trained to adapt their behaviour and working practices as they gear up for an estimated £81 billion-worth of spending cuts.

In the CIPD’s HR Outlook survey, published late last year, two in five HR professionals working in the public sector said that the size of their team had decreased over the preceding 12 months – a sign of the pressure on the government to cut costs. Yet the new report highlights numerous opportunities for HR to help the government deliver better value for money in the public sector.

HR can help develop the skills of new general practitioner consortia in the UK National Health Service, or introduce more effective workforce planning for staff at emergency services. Graham Smith, Director of Human Resources at Dorset Police, said: “HR is about ensuring the service is fit for purpose tomorrow, not just capable of delivering on today’s operational need.”

According to PPMA President Dean Shoesmith, the public service reform agenda provides both an opportunity and a challenge. “If HR is preoccupied by its traditional activities, such as hand-holding line managers, then it will be left behind,” he warned.

WHY THE PUBLIC SECTOR NEEDS HRBUT HR NEEDS TO BE DIFFERENT

42%OF PUBLICLY TRADED COMPANIES LACK AN EFFECTIVE SUCCESSION PLANNING PROCESS


BRIEFINGS

JOBLESS YOUTHUNEMPLOYMENT RATES AMONG YOUNG PEOPLE UNLIKELY TO IMPROVE

THE WORLD ECONOMY may be starting to recover but youth unemployment is getting worse – something that could in turn lead to employers being put under increasing pressure when it comes to managing global talent and mobility, according to two new reports.

A study by the OECD has calculated that young people are more than twice as likely to be unemployed than the average worker. Yet few governments are taking proactive steps to boost youth employment.

Its Off to a good start? Jobs for youth study has predicted that youth unemployment rates in the OECD area will remain at around 18 per cent in 2011 and 17 per cent in 2012. This is more than double the total unemployment rate, which stood at 8.6 per cent in October 2010.

Meanwhile, a separate study by Hays and Oxford Economics has predicted the global distribution of people of working age will change markedly between now and 2030.

The Creating jobs in a global economy: 2011 to 2030 study argued that the size of the working-age population will increase dramatically in developing nations but contract equally hard in the developed world, putting pressure on organisational talent pipelines, local labour market flexibility and the issue of skills mismatches.

“Investing in young people is vital to avoid a scarred generation at risk of long-term exclusion,” said OECD Secretary-General Angel Gurría.

“We can learn from countries that have made it easier for young people to find jobs. It will help us strengthen the economic recovery while taking care of the most precious asset our countries have,” he added.For more, see survey in inside track, page 31

AFTER YEARS OF being stereotyped as cynical, tech-savvy, ambitious and egocentric, Generation Y – those born between 1980 and 1993 – are learning that the business psychologists may not have got it right.

A new study by Rouen Business School debunks the

very concept of a Generation Y by dismissing the notion of generational differences between the attitudes of people in the workplace.

After surveying 400 people with similar educational backgrounds, ranging from students to salaried workers in their 60s, Professor Jean Pralong insists there are more similarities in workplace attitudes and approaches between workers in Generation Y and Generation X than there are between students and salaried workers in Generation Y.

He said: “There is no attitude difference between 25 and 45-year-olds in the workplace, which shows on a scientific level that Generation Y doesn’t exist.”

But that’s not to say that it never did. One explanation for the survey’s results could be that Generation Y is simply evolving to become more like Generation X.

While largely supporting the findings of the Rouen study, Sue Honoré, an Associate at Ashridge Business School, argues that belonging to a so-called generation is only part of the story.

She said: “Generation Y has had some distinct advantages: growing up with emerging technology, a very supportive childhood, and a more tolerant society, as well as some disadvantages: a relatively lower educational standard in some subjects, and less exposure to risk and criticism.

“However, once they are integrated in the work environment, adaptation and adjustments take place on the part of both the Generation Y employee and the organisation. Those that don’t adapt move on. Ultimately businesses have to be managed: regulations followed, profits made and employees supported. They may be starting from a different place, but ten years from now Generation Y could be very similar to the current middle managers of Generation X.”

IS GENERATION Y A MYTH?EVERYONE’S THE SAME IN THE WORKPLACE, SAYS A NEW SURVEY

“ INVESTING IN YOUNG PEOPLE IS VITAL TO AVOID A SCARRED GENERATION AT RISK OF LONG-TERM EXCLUSION” — ANGEL GURRÍA, OECD SECRETARY-GENERAL


THROUGH THE LENS

10%International Data Corporation analysts in 2010 found that CIO and IT directors anticipated that spend on data centre staff will increase by ten per cent over 12 months. Meanwhile, the European Data Centre Management Survey 2010 found that 31 per cent of CIO and IT directors surveyed were most concerned about how to integrate server, storage and network management.

A MAN WALKS INSIDE THE PIONEN HIGH-SECURITY COMPUTER STORAGE FACILITY OF SWEDISH BAHNHOF, STOCKHOLM, SWEDEN. THE PIONEN WHITE MOUNTAIN DATA CENTRE, ONCE A COLD-WAR ERA BUNKER AND NUCLEAR SHELTER, IS NOW HOME TO ONE OF THE MOST SECURE DATA CENTRES IN THE WORLD JO

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“ WHOLE REGIONS AS WELL AS INDIVIDUAL ORGANISATIONS WILL HAVE TO WORK HARDER TO ATTRACT INTERNATIONAL PROFESSIONALS”


THE BIG IDEA — WORKFORCE MOBILITY

WE LIVE IN an age when corporations and industry sectors are becoming ever more globalised and borderless – when there is an increasing need for talent to move not only from city to city but also from country to country. This makes it easier to source, attract and recruit key skills across a much wider geography – probably more than at any time in human history. But the fact that talent and talent pipelines are now that much more global also creates serious new challenges.

The increasingly global flow of skills means it is even more important that HR and recruitment professionals actively manage, model and plan for the pressure points they are likely to face now and in the future. The challenge may be to manage or stem a flow away from an economy or region, meaning that there is inevitably a focus on retention and attraction. Or it may mean managing inward flows, where the priority is to attract the right talent rather than to deliver the raw numbers. It may also involve navigating within or around increasingly protectionist political climates, whether this involves legislation to limit inward skilled migration or more robust laws to protect ‘local’ jobs or prevent the outward migration of local skilled labour.

In the future, whole regions, sectors or industries, as well as individual organisations within them, can expect to have to work harder to position themselves as attractive destinations for international professionals. After all, if you’re relocating across continents, you’re going to want to make sure you’re where the power, influence and potential career progression is most concentrated. That may mean,

for example, a financial services professional making Geneva their destination rather than London, or deciding to avoid Detroit because it is no longer seen as a ‘go to’ destination for those who want to make their mark in the automotive sector.

Whatever your sector or specific local, regional or national challenges, when it comes to managing international mobility or specific human capital shortages successfully, the key is to ‘go global’, not just in how you recruit but also in how you think about your recruitment. It is important to have a strategic, globally focused recruitment service backed up by access to extensive international networks.

Over the top? An extravagance given that several advanced economies remain in the doldrums? Just look at what the latest Hays-commissioned research is saying and you’ll see that talent shortages are set to become one of the biggest challenges for organisations over the next two decades. The payoff for being ahead of the curve could be substantial.

The Hays/Oxford Economics study Creating jobs in a global economy 2011-2030 has predicted that the global distribution of people of working age will change markedly between now and 2030. The size of the working-age population of developing nations is predicted to increase by nearly a quarter – the equivalent of 931 million people. Conversely, the working-age population of developed nations will contract by one million in the same timeframe, the obvious corollary being that the ‘muscle’ of developing nations (in all senses) will increase significantly.

ON THE MOVEBUSINESSES THAT FAIL TO THINK STRATEGICALLY ABOUT WORKFORCE MOBILITY WILL FACE SERIOUS CHALLENGES OVER THE NEXT TWO DECADES

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4MILLIONTHE PROJECTED SHORTFALL OF GLOBAL HEALTH WORKERS

“ COMPANIES NEED TO UNDERSTAND REGIONAL DIFFERENCES”

Inevitably, this will mean that the management of talent pipelines globally will become even more pressing.

There will also be a structural shift in some developing nations away from agriculture and towards more highly skilled manufacturing and service industries. This will see countries that have traditionally provided cheap labour developing more sophisticated labour markets. In turn, this will create more demand for skilled workers, both homegrown and imported. The increasing importance of such skilled labour markets will be given a further stimulus by growing numbers of developing-nation workers with higher-level qualifications, plus short-term shortages of experienced skilled workers. This has the potential to make labour protectionism a real issue in the future. On top of this, there will be a

growing proportion of older workers in developed, industrialised nations. This trend could serve to decrease local labour market flexibility and generate yet more mismatches in skills. Conversely, it could also be an opportunity to export talent if you are working with someone who truly understands human capital on a global scale.

Another significant trend predicted by the Hays/ Oxford Economics report is the likely acceleration in the share of world exports produced by developing countries, which rose from 27 per cent in 1980 to 41 per cent in 2007, according to the report. This, compounded by increased globalisation over the next 20 years, will expose more markets and products to competition, leading to more jobs being displaced from high-wage to low-wage economies. Skilled


JOHN FARAGUNA

THE BIG IDEA — WORKFORCE MOBILITY

TO SEE JUST how challenging the global mobility issue might become in future years, you need look no further than the international healthcare industry.

The widely respected Global Health Council has warned that, while there are an estimated 100 million healthcare workers worldwide, there is a projected shortfall of more than four million. The deficit will be exacerbated by ageing Western populations, growing demands on, and costs of, healthcare systems and talent drains from developing nations.

This bleak picture is supported by internal research from Hays, which has pointed out that, within the UK alone, there is a chronic shortage of clinical workers in most skill or specialty groups. The country’s National Health Service is already a large market for EU, sub-Saharan and Organisation for Economic Cooperation and Development workers, among others. International demand for nurses alone will be strong for at least the next three years, the research suggests.

“The demographics are moving in such a way that demand for healthcare staff is increasing, which creates shortages in most or all developed nations,” says John Faraguna, Managing Director of Hays Health and Social Care. “This is typically seen at senior levels and in specialty positions. It is a very difficult challenge for many health services, as well as at an individual hospital or service provider level.

“In countries such as the US, we also find that people often want to go into specialties where there is not such a great demand. So, for example, there is high demand for GPs but low take-up, while many people want to go into cosmetic surgery for financial reasons,” says Faraguna.

Another challenge is that, in the healthcare sector, it can take between ten and 15 years for people to become fully qualified, meaning that workforce planners can struggle to respond quickly to changes in need, skill sets and advances in technology.

“In the cardiac arena, for example, the technology, with the greater use of stents and laparoscopic surgery, has shifted so that many more surgical procedures are now much less intrusive. But you still have a whole cohort of cardiothoracic surgeons who have spent 15

years training to do open-heart surgery and who now have much less to do,” says Faraguna.

What will increasingly be needed, he asserts, are more creative, strategically focused solutions that may require a significant shift in mindset.

“Health services are not necessarily used to thinking very strategically about mobility,” he says. “And health delivery tends to be a relatively risk-averse place, so the idea of shifting work to differently skilled people may not be an option.

“There may be some mileage in the greater use of technology and more flexible structures. For example, radiology imagery can be interpreted anywhere. Healthcare is rapidly becoming a global market,” Faraguna adds. “But no matter how well you plan it, you will probably have too many people somewhere and too few somewhere else.”

“ HEALTH SERVICES ARE NOT NECESSARILY USED TO THINKING STRATEGICALLY ABOUT MOBILITY”

CLINICAL WORKERS DEFICITFLEXIBLE LABOUR IS THE LIFEBLOOD OF GLOBAL HEALTH SERVICES

HEALTHCARE


financial centres in currently competitive-wage economies, such as Singapore and Tokyo, could capitalise on this trend.

Finally, technological change and digitisation will have the potential to create what the research describes as an ‘hourglass’ labour market. Demand for high and low-skilled occupations, at the top and bottom respectively of the hourglass, will expand, but semi-skilled jobs in the middle will be increasingly squeezed and eventually lost altogether. This change has the potential to radically change ‘conventional’ career expectations, including how, where and in what sort of way we work, as well as how we progress our careers in the course of our working lives.

So, what are the answers? In a borderless hiring environment, understanding what matters most to staff in different parts of the world is vital. You need to understand the flow of your talent pipeline and ascertain why it is that your people move or are moving, as well as what, broadly speaking, is driving the flow of your industry’s talent around the globe.

You also need regionally tailored approaches,

GLOBAL SPREADINTERNATIONAL BUSINESSES SHOULD KEEP A LOCAL FOCUS WHEREVER THEY OPERATE

JAPAN

THE KEY TO managing global talent, particularly when you are working across a large geographical area, is to employ a ‘multi-local’ approach, says Ken Cogger, Global Head of Talent Management at Tokyo-based Nikko Asset Management. The company, which employs 531 people worldwide, recently expanded in Asia-Pacific through the acquisitions of Sydney- and Auckland-based Tyndall Investment Management and Singapore-based DBS Asset Management. Through these acquisition, Nikko AM becomes a leading asset management franchise in Asia.

“We take a local approach wherever we are operating, rather than a blanket one-size-fits-all solution,” says Cogger. “Trying to manage from 3,000 miles away is difficult. Every market is a little bit different, so you need to be flexible and understand how each one work.” In Hong Kong or Singapore, for example, where changing jobs based on incentives is considered a matter of course, retention strategies for key workers will be the priority. But a different approach will be necessary, for example, in Japan, where employees tend to be more loyal to employers.

The ‘multi-local’ approach also manifests itself in Nikko AM’s approach to languages. For example, the company has made Japanese its common language in Japan, even though most of the senior managers are non-Japanese.

“There are certain positions where English is a requirement but this is not the case throughout the whole company. This flexibility gives us a real competitive advantage in allowing us to pick up people with different skill sets and outlooks,” explains Cogger.

The point, he says, is to allow local and regional managers a high degree of autonomy, in order to capture the growth and investment potential of each region and satisfy the unique requirements of the local investor base. “It is imperative to have a feel for the nuances and the culture of the market,” he adds. “If you have someone come in from overseas into a position of general management and they don’t understand or appreciate the differences between, say, Shanghai and Tokyo, then it’s just not going to work, however good they may be at the technicalities of their particular job.” Cogger stresses that, given Nikko AM’s high-touch approach to talent selection and performance management, the firm is well positioned to become the leading asset management firm in Asia.


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whether this means a focus on compensation and benefits in one area or clear career development opportunities in another. HR leaders and their organisations need to ensure that they have much greater knowledge of people’s mobility and personal circumstances. Moreover, companies need to understand regional differences in staff motivation and should review their organisational levers for attracting, recruiting and retaining talent.

DAY-TO-DAY ADJUSTMENTSAt a practical level, we are seeing more and more organisations appointing global mobility managers to liaise between HR and line and senior managers to coordinate and smooth the flow of talent between global business areas. Such professionals will normally be responsible for ensuring that all boxes are ticked when it comes to practicalities such as tax, regulatory, relocation or immigration barriers. They will also be expected to have a strategic overview of the talent pipelines in a business and its future needs. Often, too, unless you are part of an international

team already, there is no reason why you might not consider an international placement. The first and most important thing can sometimes be simply to have those conversations.

Perhaps more important, however, is the wider, more strategic question. What you need to be looking for, creating and encouraging as an organisational leader all the way through is local, regional, national and global cooperation, collaboration and execution. Yes, the world is getting smaller and talent more mobile, but ensuring that the right talent is flowing globally to the right places can be a much more complex business than it appears on the surface, encompassing as it does systems, compensation and cultural issues, among other factors.

But the way in which the global demographics are developing means that this issue will become impossible to ignore if HR teams, recruitment professionals and their clients want to ensure that their organisations retain their hard-won competitive edge in the decades to come.

“ YOU NEED LOCAL, REGIONAL, NATIONAL AND GLOBAL COOPERATION AND COLLABORATION”


A REPORT BY the International Labour Organisation (ILO) showed that the financial and economic crisis cut global wage growth by nearly half between 2007 and 2009. The Global Wage Report 2010/11 – Wage policies in times of crisis analysed data from 115 countries and territories covering 94 per cent of the approximately 1.4 billion wage earners worldwide. Growth in monthly wages slowed from 2.8 per cent in 2007, on the eve of the crisis, to 1.5 per cent in 2008 and 1.6 per cent in 2009.

Excluding China from the aggregate, the global average wage growth drops to 0.8 per cent in 2008 and 0.7 per cent in 2009.

GLOBAL WAGE GROWTH HALVES

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The report also found considerable variations in wage growth rates across regions, showing that wage growth remained consistently positive in Asia and Latin America, while other regions such as Eastern Europe and Central Asia experienced a dramatic fall. Large economies including Germany, Japan, Korea and the UK have been experiencing significant decline in wage growth.

Fifty per cent of countries have adjusted their minimum wages either as part of the regular minimum wage review process or with the aim of protecting the purchasing power of the most vulnerable workers.

SLOW GROWTH IN MONTHLY WAGES, 2007 TO 2009

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THE WORLD OF WORK IN NUMBERS

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FIGURE 2.1 MAIN SKILL SETS THAT MANAGERS PLAN TO DEVELOP IN 2011, ACCORDING TO THE CMI SURVEY

STRATEGIC DECISION MAKING

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A GLOBAL SURVEY of more than 700 companies by professional services firm Towers Watson found that businesses were concerned that their ability to attract and retain essential talent or plan for an orderly replacement of key people could affect future growth (see figure 2.2).

The study found that 51 per cent of respondents worldwide cited the loss of talent in skilled areas as an employee challenge which could hinder growth. Lack of succession planning was cited as a top challenge by 49 per cent, while 38 per cent were concerned about attracting necessary talent.

Meanwhile, a survey by the Chartered Management Institute (CMI) in the UK suggests that a lack of skills is the biggest threat to businesses this year. The survey, which questioned 809 managers, found that 43 per cent of them were worried that their organisation didn’t have the ‘right people’ to fulfil its targets in 2011 – and almost six in ten of them believe the reason for this is a lack of skills.

The survey went on to outline which area of skills that managers wanted to see developed this year (see figure 2.1). The report found that strategic decision making, networking, coaching, mentoring and project management training were most in demand. SO

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SKILL SHORTAGES COULD HAMPER GROWTH THIS YEAR

51% BELIEVE A LACK OF TALENT IN KEY SKILL AREAS COULD HINDER GROWTH

49% BELIEVE A LACK OF SUCCESSION PLANNING IS A TOP CHALLENGE

38% CONCERNED ABOUT ATTRACTING NECESSARY TALENT 38%

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FIGURE 2.2 GLOBAL BUSINESSES’ MAIN PITFALLS TO ACHIEVING GROWTH IN 2011


“ IN A COMPETITIVE SECTOR, PROMOTING CAREER OPPORTUNITIES IS IMPERATIVE” — JAMES ELLIOTT

NATIONAL RECRUITMENT DIRECTOR DELOITTE AUSTRALIA


ANALYSIS — EMPLOYER BRANDING

IN GOOD COMPANYGLOBAL BUSINESSES TALK TO HAYS JOURNAL ABOUT TEN EMPLOYER BRAND ISSUES YOU CANNOT AFFORD TO IGNORE

IF WINNING THE war for talent is crucial to business success, then the employer brand holds the key to victory.

And given the increasingly global talent pool, those companies that are deemed employers of choice are working harder than ever to gain and retain their competitive edge by ensuring that they have a strong and well-defined employer brand.

In order to build and maintain a winning brand, companies need to identify the core brand issues, from careers and rewards to culture and leadership, and manage them in the most intelligent and effective way.

Get all of the issues right and communicate them effectively to current and prospective employees, and the result will be a powerful and compelling employer brand, central to building a talent base for the future.

1 CAREER STRUCTURE AND DEVELOPMENTDELOITTE AUSTRALIA

Employees are clearly influenced by corporate values and policies, but they will be more engaged by opportunities to be challenged, fulfilled and rewarded, and to make their own mark as an individual. This makes the career offer – a challenging job, competitive remuneration package and opportunities for lateral and vertical career development – integral to the employer brand.

Having escaped from the global financial crisis comparatively unscathed, Australia’s most dynamic companies could feel they have an advantage in the employer branding stakes. But far from being complacent, professional services firm Deloitte in Australia knows that, in a competitive recruitment market, a standout career development programme is a deal breaker.

National Recruitment Director James Elliott says: “Deloitte has a robust talent identification programme and we are constantly reviewing performance and potential; it is key to our employer brand and something we actively promote.”

The firm employs 5,000 people, recruits about 500 graduates and makes 1,200 lateral hires every year. Recruitment from overseas, including many expat Australians returning home, has remained buoyant over the last two years of the global financial crisis.

Elliott adds: “In a competitive sector, when you are chasing the number two position within the ‘Big Four’ accountancy firms, promoting and accelerating career opportunities is imperative.

“We will continue to be innovative in our career development strategies to ensure that talented people always have diverse and challenging work and opportunities to fulfil their potential. In terms of employer brand, that is our USP.”

2 REWARDS AND BENEFITSCABLE & WIRELESS WORLDWIDE

Employer brand and rewards are closely linked. Research by the Chartered Institute of Personnel and Development and HR consultancy Mercer shows that, in the absence of large salary increases, organisations can reinforce their employer brand by offering a range of non-financial benefits and rewards.

Global telecommunications company Cable & Wireless Worldwide operates a comprehensive flexible benefits scheme that reflects the diversity of its 6,300-strong global workforce. Alongside issues such as CSR and personal development, it is a key element of the employer brand, says Wayne Searle, Head of Organisational Development and Talent Acquisition.

He explains: “The scheme offers a vast amount of choice, including healthcare benefits, options to buy and sell annual leave, retail discounts and several salary sacrifice benefits, which are very popular because of A

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“ STUDENTS AND GRADUATES SEE SOCIALLY RESPONSIBLE ORGANISATIONS AS EMPLOYERS OF CHOICE” — LUDMILA TSATSKINA

HEAD OF LEARNING AND DEVELOPMENT UNILEVER, RUSSIA

the savings they offer. They include a pension plan and a new green car initiative, which we are one of only a few organisations to offer.”

The real beauty of flex schemes lies not in the quantity of benefits offered, but their value to the individual at any and every stage of the employee lifecycle.

Searle adds: “The challenge, from an employer branding perspective, is communicating the full value of the rewards and the choice and control that you have over your benefits at various stages of your career, and ensuring that a flex scheme such as ours continues to differentiate our brand in the marketplace.”

3 LEARNING AND DEVELOPMENTSIEMENS BRAZIL

Opportunities for training and career development equip employees with the skills and expertise to do their job well and are highly valued by staff.

According to the 2010 Kingston Smith employee benefit survey, 80 per cent of employees saw learning and development as important in their organisation, making them an effective tool for retention and engagement and, as such, one of the leading issues in terms of employer brand.

The sheer size and diversity of global electronics giant Siemens means that it lends itself to one of the broadest learning and development strategies offered by any employer, facilitating career diversity on a massive scale at all levels of the workforce.

This has aided recruitment and retention across a number of key target groups, says Daniela Cardim, HR Manager – Talent Acquisition, Siemens Brazil.

She says: “We can offer individuals tremendous scope for learning and development and, most importantly, opportunities to experience multiple roles and career paths, all within the same organisation. Our target groups include blue collar, graduate and management candidates.

“Our message to them, and to those already in the organisation is, yes, there are global opportunities, but when you join Siemens you can enjoy exceptional career prospects without leaving the company or the country.”

4 WORK ENVIRONMENTGOLDEN GATES HOUSING TRUST UK

Opportunities to work flexible hours or from home are highly prized by many employees, especially those with families and other personal commitments.

A recent PricewaterhouseCoopers (PwC) survey ranked it one of the most valued benefits for employees, ahead of material perks such as bonuses.

With employment legislation leaning increasingly towards family-friendly policies, and the fact that workforces are ageing, an employer brand that reflects


A SIEMENS EMPLOYEE WORKS ON THE CENTRAL COIL FOR A DYNAMO UNIT AT THE COMPANY’S BERLIN FACTORY. SIEMENS PROVIDES ONE OF THE BROADEST LEARNING AND DEVELOPMENT PROGRAMMES OFFERED BY ANY EMPLOYER

a flexible work environment will reap the rewards of workforce diversity and longevity.

Being recognised as a safe and solid organisation is a mainstay of the employer brand at Golden Gates Housing Trust, and one of the reasons for its high level of employee engagement and low staff turnover.

This has been particularly important during the recent transition from public-sector status to private sector and Trust status, explains Gary Cookson, Head of HR and Organisational Development.

He says: “As the economy recovers, we don’t want to risk losing people because new opportunities are emerging elsewhere. One of the strengths of our employer brand is that we can offer employees the type of working environment and practices that really motivate and engage them.”

This is underpinned by a robust flexible working policy, which currently sees about 20 per cent of the 350 staff working from home. Cookson adds: “Flexible working is valued by the staff, who enjoy a better work–life balance, and by management, because it maintains productivity and encourages engagement.

“Along with our attractive pay and benefits packages, we anticipate that a flexible work environment will appeal to new recruits as the organisation grows.”

5 CORPORATE SOCIAL RESPONSIBILITYUNILEVER RUSSIA

If poor leadership and an absence of corporate social responsibility (CSR) really are, as many people believe, to blame for the global economic crisis, it should come as no surprise to employers that their stance on CSR will have a major impact on their employer brand when they are recruiting.

In an employer of choice, today’s candidates, notably graduates, look for an authentic corporate social conscience and are particularly savvy at spotting fakes. Those organisations that simply pay lip service to issues of sustainability, education and local community engagement will be identified.

If they want to attract top talent, companies must be able to demonstrate a tangible and sustained commitment to social responsibility. At Unilever in

20%OF GOLDEN GATES HOUSING TRUST’S 350 EMPLOYEES WORK FROM HOME

500GRADUATES ARE RECRUITED BY DELOITTE EVERY YEAR

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Moscow, it is considered fundamental to internal and external perceptions of the employer brand, says Ludmila Tsatskina, Head of Learning and Development.

She says: “We encourage our employees to engage in a variety of environmental and social projects, including annual ‘Ecological Saturdays’ where employees and their children spend time together working on projects that benefit their city and engage with their colleagues in a mutually enjoyable social activity. This is a chance for them to contribute to improving the world around them, which they value both as individuals and on behalf of the organisation.”

Just as important is effective communication of the company’s CSR projects to all members of staff and to the outside world, including prospective recruits. Tsatskina adds: “Details of our CSR activities are published on the company website and promoted widely through the mass media to reach a much larger audience. This has a positive impact on people in our target groups, such as students and graduates, who increasingly see socially responsible organisations as employers of choice.”

6 ORGANISATIONAL CULTUREPAUL UK

A company’s culture is said to be the essence of its corporate brand, reflecting the core business values, customer relationship policies and people management strategies. It is also inherently linked to the employer brand, employee engagement and, ultimately, customer loyalty.

The culture at global bakery and pâtisserie firm Paul can be traced back to its roots as a small family business founded in Lille, in northern France, more than 120 years ago. The company, which today employs 5,000 people worldwide, has created an employer brand that encapsulates the history, the charm and the nostalgia of its original culture in a contemporary way.

Esther O’Halloran, HR Director at Paul UK, says: “It is the personal touch, such as giving cards and cakes for birthdays and other special occasions, that really defines the family business culture and engages employees with the brand, the instantly recognisable displays, the high-quality products, the uniforms, the music; that feeling

BBC WORLDWIDE HEADQUARTERS IN WHITE CITY, LONDON.THE ORGANISATION VIEWS THE CALIBRE AND VISIBILITY OF ITS LEADERSHIP AS AN IMPORTANT MEANS OF ATTRACTING TALENT

2,500THE NUMBER OF PEOPLE WHO WORK FOR BBC WORLDWIDE


that, when you step into a Paul shop, you have stepped into France. And these are the same things that create returning customers, people who choose to shop with us over our competitors.”

This, coupled with a progressive career development policy and salary increments at each stage, has seen job applications increase steadily year on year. O’Halloran adds: “Many of these have come through our staff referral scheme, which speaks volumes about the way our people feel about working for Paul.”

7 LEADERSHIP STYLES AND BEHAVIOURSBBC WORLDWIDE

Effective employer branding has nothing to do with clever marketing, but everything to do with strong leadership. That’s according to a survey of 2,000 organisations worldwide carried out last year by the Employer Brand Institute in which 15 per cent cited “building a leadership development programme to equip leaders with the capabilities to better manage the employment experience” as the most effective branding activity a company could undertake.

It takes exceptional leadership to meet the challenges facing BBC Worldwide, an organisation that must commercially exploit the value of the BBC’s assets while maintaining a close fit with its very public purposes. High-profile brand recognition aside, part of BBC Worldwide’s attraction as an employer, currently to 2,500 people globally, is the calibre and, significantly, the visibility of its leadership.

Kirstin Furber, Head of HR, says: “Strong leadership is essential to business success, but if leaders are to influence, motivate and engage the organisation as a whole, they must also be visible and accessible. In an international business, that is always a challenge, but we have achieved this through excellent communication strategies and our very open culture.”

The imminent launch of a leadership development programme underlines the importance of high-quality management and succession planning to the organisation, which is reflected in the employer brand.

Furber adds: “The brand embodies the open culture – the opportunity to flourish, influence and inspire others – and drives the business forward. This links directly to the values of the leadership development strategy.”

8 TECHNOLOGY AND INTERNAL COMMUNICATIONS 02

From web-based ‘cloud computing’ platforms to mobile phone communications and data storage solutions, for most companies, technology is simply the function that drives their day-to-day operations.

But as it plays an increasingly central part in people’s lives, organisations are recognising IT and

“ IT IS THE PERSONAL TOUCH THAT DEFINES THE FAMILY BUSINESS CULTURE AND ENGAGES EMPLOYEES WITH THE BRAND” — ESTHER O’HALLORAN

HR DIRECTOR PAUL UK

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ANALYSIS — EMPLOYER BRANDING

communications as a highly effective engagement tool and a key feature of their employer brand.

For telecoms giant 02, technology is one of the defining features of the employer brand, one that resonates with its young, tech-savvy, 13,000-strong UK workforce. HR Director Ann Pickering says: “Our aim is to make fans of our customers and, in order to do that, we have to make fans of our employees. We work very hard at being tech-smart; our CEO has a blog and we use online media channels to open up communication, recognition and reward to everyone in the organisation.”

Initiatives have included the launch of 02’s own social networking site FanBook, where employees can create and update their own profile and appl aud their colleagues when they have done something well.

One of the high points is an employee recognition and award ceremony that is broadcast live online and watched by 900 members of staff.

“Technology is an integral part of our employer brand. It is effective, it engages people and it connects them with our customers, and we are planning more of the same for 2011,” says Pickering.

9 GLOBAL MOBILITYROYAL BANK OF SCOTLAND

As the barriers to international mobility are lifted, the search for talent has become a global challenge (see On the move, page ten). Multinational companies enjoy global recognition and are largely seen as attractive employers by candidates from all over the world. If reality is going to live up to perception, however, the message the employer brand must convey is that the door to relocation, training and development, and international experience is always open.

At the Royal Bank of Scotland, mobility is a major factor in the strategic management of its employer brand.

Nimai Swaroop, Group Head of Employer Branding and Marketing, says: “As more countries and regions become accessible, we are seeing a sharp rise in the level of talent being mobilised around the globe.

“The emergence of the BRIC (Brazil, Russia, India and China) countries puts them in a leading position in the global labour market, so we need to be able to identify highly skilled, motivated people in countries such as India and China and ensure that this talent can be mobilised. We also have to be proactive. Instead of waiting for a vacancy to arise, we need to be out there attracting talent on an ongoing basis. In the current climate, a proactive recruitment and retention strategy requires a change of mindset at all levels of management and across the business.”

10 DIVERSITYDELL

It is taken as read that diversity is part and parcel of the modern workplace, yet some employers still treat it as a yardstick for monitoring their compliance with discrimination laws, rather than a beacon for talent that should be embedded in their employer brand.

They are missing a trick, because, as countless studies have shown, companies that take a progressive stance on diversity and inclusion – looking beyond the criteria covered by employment law, such as gender, race, age, faith and disability, and extending it to include different values, ideas and personalities – have access to the widest possible talent pool and stand to reap the greatest business benefits.

Computer giant Dell has put diversity and inclusion at the core of its employer brand and business culture. The company’s Global Diversity Council is chaired by the CEO, Michael Dell, underlining its commitment to diversity at the highest level and acknowledging it as a business imperative.

The strategy has enabled the company, which employs an estimated 100,000 people worldwide, to tap into additional talent and create a talent base that reflects a diverse global marketplace, while enabling individual employees’ strengths and perspectives to be valued as assets to the company.

An employer brand that truly reflects an organisation’s core values and a sound management of the critical brand issues, will deliver clear business benefits, including wider access to target talent groups, cost savings due to higher retention levels, and increased levels of employee commitment, engagement and productivity, which can only be good news for a company’s long-term plans for growth.

THE PROSPECT OF TRAVEL AND RELOCATION IS APPEALING TO MANY CANDIDATES AND ANTICIPATING TALENT FLOW FROM EMERGING ECONOMIES MAKES GOOD SENSE TO RBS

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$34.6bnChina spent US$34.6bn in 2009 to propel its low-carbon economy, more than any other nation and almost double that of the US. Total ‘green collar’ jobs worldwide surpassed three million in 2009, of which China accounted for 700,000 (Clean Tech Job Trends 2009)

A TECHNICIAN WALKS BETWEEN WIND ENERGY GENERATORS IN A FACTORY OF MANUFACTURER GOLDWIND SCIENCE AND TECHNOLOGY. GOLDWIND IS CHINA’S LARGEST WIND TURBINE GENERATOR, DEVELOPER AND MANUFACTURER AND A MAJOR GLOBAL WIND TURBINE SUPPLIERCO

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COMMERCIALLY MINDEDGROUP HR DIRECTOR OF BRITISH TELECOM (BT) ALEX WILSON SAYS THE WORLD OF HR NEEDS TO BE BETTER ALIGNED TO THE COMMERCIAL NEEDS OF BUSINESS. MEANWHILE THE SECTOR NEEDS TO ATTRACT BETTER CANDIDATES

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LEADERSHIP — ALEX WILSON

ALEX WILSON COULD be described as an HR evangelist. He believes fervently that the discipline is fundamental to organisational success, not just within his own role at one of the world’s foremost communications providers but also throughout the industry. The 57-year-old Scotsman, who is a Fellow of the Chartered Institute of Personnel and Development (CIPD), is passionate about making sure that HR is perceived as a key commercial engine of business. He has had no shortage of success at the £21 billion turnover organisation in which he works, a global group that directly employs 95,000 people.

Wilson has a blue-chip CV that gives him substantial credibility in the HR world (see panel on page 29). At BT, he is responsible for what he describes as “all generic people aspects of the business plan”. This encompasses a vast gamut of roles, including workforce reshaping, hiring, training, downsizing, rewarding, resourcing, developing talent and ‘inspirational leadership’, succession planning, trade union negotiations and dealing with the European Works Councils.

The views expressed by Wilson’s peers and colleagues are evidence of his success. In a recent poll of BT senior managers, some 96 per cent thought that HR was critical to the organisation’s transformation and 86 per cent said that the HR function understood the

“ [HR] DEPARTMENTS NEED TO ATTRACT MORE, AND BETTER, RECRUITS AND DEVELOP THEM IN A SYSTEMATIC FASHION TO CREATE A MORE COMMERCIAL BEAST”

business well. These are numbers in which Wilson takes pride, although he adds the caveat that he would like to see the second of the two figures edge higher. He can take comfort, however, in the fact that perceptions of HR within BT would not have been close to such levels when he first arrived in 2002.

Such figures are testament to Wilson’s own commitment to ensuring that his team continues to be plugged into BT’s commercial demands, or what Wilson frequently refers to as ‘commercial connectivity’. This is about maintaining commercial awareness, putting business performance at the heart of what the team does and communicating that to the wider business.

Wilson has nurtured this commercial approach by ensuring that HR people at various levels are properly trained and gain experience of working in different parts of the organisation. This gives them a sense of the broader context in which they perform their respective roles. Meanwhile, the HR mantra at BT is ‘people experts at the heart of change’. By putting the right individuals in the right jobs, the group is bound to increase its chances of fulfilling business objectives.

By instilling commercial acumen in his team, Wilson has won the support of his board colleagues, who are now more likely to understand and acknowledge HR’s contribution to business success. But he cautions:


“The appreciation of HR’s pivotal commercial role is not universally understood in business. Some boards see HR as a crucial, value-adding function, while some see it as nothing more than an administrative operation.”

Indeed, HR still has some way to go if it is to fulfil its potential on a global scale. Having managed business operations across North America, Asia and Europe, as well as having lived and worked in the US for five years, Wilson understands both the opportunities and the challenges ahead.

“It will be a long haul for many international HR teams to rise to the commercial challenges,” he says, “because many businesses do not grasp the fact that HR can become a true strategic business partner in a performance-based culture.” In his view, Diageo and Shell – as well as BT – are examples of businesses that are doing it well, while others have yet to complete the learning curve.

Wilson believes that HR has a relatively positive reputation in Britain. This is also the case in the US, Australia, New Zealand, France and Italy, where many large companies have evolved their HR functions in recent years. Although departments in Asian and emerging economies are seen as important, Wilson says that they tend to be “regarded as functional departments rather than performing a strategic role”.

Wilson believes that this kind of division between strategy and operations is unhelpful, both in boom times and in times of austerity. Companies such as BT, which have already integrated their HR function into the wider business, are well placed to meet new challenges, although the ability to adapt to a changing economic climate is still essential. As Wilson points out:

“ THE APPRECIATION OF HR’S PIVOTAL COMMERCIAL ROLE IS NOT UNIVERSALLY UNDERSTOOD IN BUSINESS”


CVALEX WILSON AT A GLANCE Studied economic history at the University of Strathclyde Worked in various HR, development and communications roles at ICI, Guinness, Diageo, Grand Metropolitan and Ford Joined BT in 2002 Mentors young and aspiring HR directors Supports the charity KidsOut and The Living Paintings Trust in his capacity as Chairman of the BT Benevolent Fund Non-Executive Director of Savile Advisory Board Member of the advisory board of the HR Masters Programme at Bocconi University in Milan, Italy Member of the foundation board of leading international business school IMD in Lausanne, Switzerland Lives in South Oxfordshire and is married with five children.

“You always have to make sure that what you are doing is relevant to the economic environment and the position the company is in.”

He argues, for example, that continued investment in the workforce in times of economic austerity is critical: “Businesses should never cut that out completely, because once you come out of the lean times, you have to make sure that you have people who are capable of pushing the business forward again.”

Unusually, BT did not shrink in the recession and continued to develop its talent. “If you look back at previous recessions, there was more propensity – among the top blue-chip companies – to cancel training for short periods of time,” recalls Wilson. “That thinking seems to have changed.”

Wilson is somewhat circumspect about the calibre of commercial candidates coming into the HR and recruitment arena, however. He says: “Departments need to attract more, and better, recruits and develop them in a systematic fashion to create a more commercial beast.”

Wilson believes that schools, universities and career advisers need to understand HR’s position as a strategic partner to commercial success much better than they currently do. If the sector is to attract ambitious and commercially minded candidates, it needs to be more evangelical, telling its story better whenever the opportunity presents itself. Part of the problem, says Wilson, is that there are very few commercial HR role models, and HR directors are rarely profiled in the business pages of national newspapers.

He adds: “Underpinning that, we need the right quality and capability going into the function. You need to change the mindset in some of the business schools and career fairs. There’s no silver bullet, but the CIPD is one of my main hopes for this.”

With an eye to the future, Wilson believes that HR and recruitment will become more sophisticated. This development will take place within the broad framework of understanding organisational effectiveness, increasing the quality of new recruits and identifying exactly what is needed to meet business objectives.




Technology will play an ever-greater role in successful businesses and in HR generally, removing much of the day-to-day administration and revolutionising the front end of recruitment. Wilson is keen to emphasise, however, that there will still be a need for professional recruitment companies. “The need to do face-to-face individual evaluations when you get down to a much shorter list will not disappear,” he says. “You can’t totally mechanise a key people process.” Some CVs can look phenomenal, but candidates often do not live up to their credentials. They also might not fit into a particular company culture, which is something that only a human could ascertain.

Wilson’s own HR team at BT is recognised as being at the top of its game, and has shared its experiences and thoughts with government departments and the CIPD. Wilson is proud of the initiatives that the team

has led, such as a recent campaign on mental health and wellbeing. As part of this, line managers received training in how to support employees suffering from personal problems.

Wilson’s specialist credentials cover many areas of expertise, including organisational transformation, change management, industrial relations, people development and compensation and benefits. He can also be credited with the redeployment of 10,000 BT staff in the past two years.

What gets Wilson up in the morning, however, is being in a position to make a difference. His goal, he says, is to feel at the end of each week that he has helped to put the business in better shape. “My interest has always been in the way the company might want to be seen,” he explains. “Being in a role where everything goes smoothly with little variety and no real challenge would frustrate me.”

96%OF BT SENIOR MANAGERS THINK THAT HR IS CRITICAL TO THE ORGANISATION’S TRANSFORMATION

86%OF BT SENIOR MANAGERS SAID THAT THE HR FUNCTION UNDERSTOOD THE BUSINESS WELL


A REPORT BY HAYS AND OXFORD ECONOMICS EXPLORES THE CHANGING NATURE OF THE GLOBAL SKILLED LABOUR FORCE AND INVESTIGATES HOW LABOUR MARKETS WILL BE AFFECTED BY CHANGES IN TECHNOLOGY

The report, published in April 2011, shows potential changes in the global distribution of labour over the next 20 years and predicts that their impact on the skilled labour force will soon be felt.

Population forecasts suggest that the global distribution of people of working age is likely to shift towards the developing economies and away from the developed ones. This will increase developing countries’ economic importance while reinforcing a structural shift in employment in those economies away from agriculture and towards manufacturing and service industries. Developing economies will therefore benefit from the growth in their working populations, the switch to more productive sectors and an increase in the number of graduates. They may, however, be hindered by a lack of experienced workers, at least in the short term.

The second part of the research shows how globalisation offers challenges and opportunities to both developed and developing economies. It also shows how technological change and digitisation in developed economies may result in the creation of an ‘hourglass’ labour market in which demand for high and low-skilled occupations is likely to expand, while semi-skilled jobs will be lost.

The report also finds that businesses in the developed world will have to compete with developing countries, as well as overcome the competitive disadvantage of higher wages in the West. While developed economies are currently market leaders in industries such as financial services and pharmaceutical research, they will need to work harder to retain their competitive

CREATING JOBS IN A GLOBAL ECONOMY: 2011–2030

edge. This means investing in the latest technologies and employing workers with high levels of skill. An increased focus on education and vocational training will offer workers the opportunity to acquire the right skills for dynamic changing economies.

FOR MORE INFORMATION To receive a copy of the full report, email: [email protected]

The three countries forecast to experience the fastest growth in the working age population between 2011 and 2030

24%The size of developing countries’ working-age population is forecast to increase by 24% (931 million people) between 2011 and 2030

India up 241 million

Pakistan up 62 million

Nigeria up 54 million

The ten countries shown above in the left-hand column are forecast to experience the fastest growth in working-age population between 2011 and 2030. Conversely the ten countries shown in the right-hand column are forecast to experience the sharpest falls

People (000s) People (000s)

62.930

54.330

34.850

34.591

31.770

19.774

20.675

23.648

28.953

Tanzania

Egypt

Philippines

DR of Congo

Indonesia

Ethiopia

Bangladesh

Nigeria

Pakistan

India 241.116

Russian Fed.

Japan

Germany

Ukraine

Poland

Korea

Italy

Romania

Belarus

France

-13.037

-8.124

-6.071

-3.967

-3.723

-1.061

-1.154

-1.677

-3.014

-16.997

INSIDE TRACK — INSIGHT FROM HAYS’ RESEARCH

70% OF ORGANISATIONS IN AUSTRALIA ARE EXPERIENCING SKILL SHORTAGES


A HAYS WHITE PAPER, BRIDGING THE SKILLS GAP, FOUND THAT SKILL SHORTAGES HAD BEGUN TO HIT AUSTRALIAN BUSINESSES BY THE END OF 2010 AND ARE EXPECTED TO HAVE A GREATER IMPACT ON FIRMS IN 2011

IN SUMMARY, TEN STRATEGIES THAT COULD BE USED TO DEAL WITH SKILL SHORTAGES ARE:1 Creating an employment brand

and employee value proposition

2 Having a compelling training and development offering

3 Considering how to attract and deploy mature-age workers

4 Ensuring that women are encouraged to return to the workplace after maternity

5 Looking overseas for particular skills gaps

6 Offering flexible working practices

7 Putting in place financial and non-financial retention mechanisms

8 Talking to former employees to attract them back

9 Maintaining a list of ‘dormant’ candidates which is tracked and activated appropriately

10 Ensuring your recruitment and onboarding process is second to none

The largest skill shortages were found in accountancy and finance positions in small businesses (50 per cent), technical positions in large organisations (38 per cent) and engineering positions in the public sector (32 per cent).

Following a survey of more than 230 employers conducted in late 2010, the

white paper presents ten recommendations to Hays’ clients to help bridge the skills gap in a highly competitive market.

FOR MORE INFORMATION To receive a full copy of Bridging the skills gap, email: [email protected]

Research found that across all sectors, overall, 70% of Australian organisations are experiencing skills shortages:

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INSIDE TRACK — INSIGHT FROM HAYS’ RESEARCH


HAYS’ RESEARCH SHOWS THAT UK PUBLIC SECTOR WORKERS NEED HELP MAKING THE TRANSITION TO THE PRIVATE SECTOR, WHILE PRIVATE EMPLOYERS MUST WORK HARDER TO UNDERSTAND THE SKILLS OF EX-PUBLIC SECTOR EMPLOYEES

The survey of 1,435 employees and 348 employers found that 85 per cent of candidates coming from the public sector are considering seeking work in the private sector, but need professional help if they are to find work in what remains a very challenging environment.

More than 90 per cent of employers go as far as to say that public sector experience is “not very important” or “not important at all” when hiring. The vast majority (87 per cent) of private sector employers believe that candidates from the public sector need to better identify and convey their skills to potential employers. They say that candidates lack sufficient market insight and are unrealistic about the differences between the two sectors. They also struggle to assess candidates coming from the public sector, with more than half reporting difficulties in identifying potential employees because of different job titles.

While 60 per cent of public sector staff believe that a move to the private sector will enhance their career progression, they also expect that they will have to improve before finding the right job, with more than two-thirds looking to develop new skills or gain qualifications. Only 20 per cent are not planning to undertake such measures to help them secure a new job.

Mark Staniland, Managing Director of Hays Career Transition Services, says that it is crucial for ex-public sector workers to communicate clearly the value they bring. He warns: “There is a lot of stereotyping about working life in both sectors, which both sides will have to overcome.”

PUBLIC SECTOR WORKERS NEED TO BE MORE REALISTIC ABOUT MOVING TO THE PRIVATE SECTOR

85%

46%

22%

“ THERE IS A LOT OF STEREOTYPING ABOUT WORKING IN BOTH SECTORS”

85% of candidates from the public sector are considering working in the private sector

46% of all employers say that private sector experience is very important when hiring, limiting the attractiveness of long-term public sector workers

22% of those surveyed fear that their public sector background will put them at a distinct disadvantage in the private sector

HAYS JOURNAL ISSUE 134

NET WORKTECHNOLOGY OFFERS RECRUITERS POWERFUL NEW TOOLS, BUT THE PACE OF CHANGE CAN BE AN OBSTACLE TO EFFECTIVE PLANNING. FACE-TO-FACE METHODS SHOULD REMAIN CENTRAL TO THE PROCESS

FIVE YEARS AGO, pretty much no one outside a US college had heard of Facebook. By 2010, it had 500 million users worldwide, up from just 5.5 million in 2005.

The rise in popularity of Web 2.0 tools and technologies such as Facebook, wikis and blogs meant that suddenly every organisation felt it needed to have a social media strategy. Recruiters were among those seduced by the Web 2.0 wave, even if they weren’t sure how to put their new tools to effective use. All the talk was about how these online spaces could help firms find those elusive passive candidates, and many recruiters rushed to establish a presence on LinkedIn or start a blog.

When the recession hit, the focus on reducing costs meant that many more recruiters started to turn to these channels. Here was a medium that provided free access to thousands of potential candidates. “Many firms didn’t have good customer relationship management, an effective website or a good online referral scheme in place, yet they launched themselves on Twitter,” says Paul Harrison, Managing Partner of social media strategy house Carve Consulting. “Too many companies rushed into the social media space before developing a proper strategy.”

Those who remember the introduction of the early online job boards in the mid-1990s may recall a similar pattern, although back then it was the candidate who rushed in. The ease with which a job board and digital CV allowed candidates to apply for jobs led to many being less than discriminating in terms of what they applied for. Soon the job boards were accused of delivering quantity over quality, an image that took some time to live down.

Technology has an important part to play in the recruitment process, but this should not be wholly at the expense of proven face-to-face methods. “Technology is part of the modern world and people expect you to be there, but at the same time it is not a panacea,” says Sholto Douglas-Home, Group Marketing Director, Hays, who helped to create the business’s social media policy. “Our starting point was that social media is very broad and includes everything from social networks, such as Facebook, to blogs and forums. We felt that the way it was being used across the organisation needed careful consideration.”

Consultants use LinkedIn to establish contact and network with potential candidates, and this is recorded in a database as any other contact would be. Hays has a presence on Facebook, but Douglas-Home points


FOCUS — TECHNOLOGY IN RECRUITMENTC

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out that this requires a different approach than is used on LinkedIn because it is an online space occupied by candidates in their personal, rather than professional, time. Similarly, the recruitment firm is considering its strategy regarding Twitter. “At the moment, we do tweet some of our jobs, but we are looking at how we can do this more consistently,” says Douglas-Home. “It is more relevant to some parts of the business than others and, obviously, there is search engine optimisation value in it.”

Underpinning everything, however, is the belief that technology and social media must be used to add value to the process, rather than be the sole recruiting tool. “It’s a bit like using email,” he says. “Used at the right time and in the right way, it’s a highly effective way of communicating. Used exclusively, at the expense of speaking to people, it becomes counterproductive. Nobody uses only one method of communication or interaction – it’s about using the

right method at the right time in the right way.” When establishing a social media strategy for

recruitment, it is essential to carry out some spadework first. The starting point, Harrison reckons, is to find out what is being said – and where – in the online space. “Audit what has been done to date,” he says. “Then start to identify potential audiences and develop a strategy based on listening and peered advocacy.”

Jon Ingham, social media expert and Executive Consultant at Strategic Dynamics Consultancy Services, says that many make the mistake of forgetting that listening is of paramount importance. What you learn can then be used as a basis for conversations with potential recruits. He adds that another common oversight is to confine social media to the recruitment department. “Candidates will be grateful to have conversations with recruiters if it is going to help them land the job, but they are going to be more engaged by talking to people in the areas of

By its own admission, PricewaterhouseCoopers’ (PwC) approach to using social media as a recruitment tool has been a cautious one. “Just because the channel is out there, it doesn’t always mean that it is right for recruitment. That’s the question we ask ourselves,” says Sammie Stapleton, Head of Talent Channels at the professional services firm.

She adds that there are plenty of routes PwC could take, but that it intends to remain focused and targeted with its social media activity. “What we do, we want to do really well,” she explains.

PwC uses social media as part of its recruitment strategy in three main ways: Facebook for onboarding of new graduate employees, LinkedIn to find experienced candidates and in-house

blogging to give a feel of what it’s like to work at the company. According to Stapleton, the company’s onboarding programme is particularly effective (see Welcome Aboard on page 48 to learn more about onboarding). The company has developed a Facebook app that is only available to students who have accepted a job offer, and this allows them to access a specific area on the site. “Before joining us and having their welcome event, they are likely to know a handful of people with whom they couldn’t have engaged without Facebook,” Stapleton explains.

PwC regularly reviews its social media strategy and knows it cannot stand still, adds Sonja Stockton (pictured), Director of Talent Acquisition. “Whatever is current today, we need to be thinking

about the channel of the future because technology is outstripping people’s capacity to learn and use it,” she says. “It’s a dynamic environment and organisations need to be not only very selective, but also aware of what is on the horizon.”

CASE STUDY:

PRICEWATERHOUSECOOPERSA USEFUL TOOL FOR ONBOARDING

“ SOCIAL MEDIA IS CHANGING SO RAPIDLY THAT IT IS ALMOST IMPOSSIBLE TO PLAN MORE THAN 12 MONTHS IN ADVANCE”


FOCUS — TECHNOLOGY IN RECRUITMENT

the business they are interested in,” he says. “So social media works best when recruiters are the enablers of the conversation.”

But allowing employees to blog is not without its risks and employees must remember that they are representing the company. “What is said on a forum lasts forever,” Douglas-Home warns. Protecting the brand is one of the biggest challenges of being in the online space. Employers have to accept, though, that they no longer totally own their brand. If they want to be active in online communities, they have to carefully manage and monitor their image and reputation and act quickly if anything is done to damage it.

The combined effects of the recession and technology have made many in the recruitment industry believe it is time to reinvent ways of working. While it is necessary for all industries to evolve, recruiters should not simply adapt at the expense of proven techniques. They also need to be mindful that, with the pace of technological change, they can ill afford to become preoccupied with a single area of technology. Many organisations were still developing their presences on Facebook when Twitter emerged and became the platform du jour. As Ingham says: “Social media is changing so rapidly that it is almost impossible to plan beyond 12 months.”

Using social media is about more than just engaging with potential future employees. Those who are finding the most success are empowering people outside the recruitment function to be social media ambassadors. Many companies have social stars where advocates are trained and have compelling online profiles. The ultimate power of social media comes from authentic peer-to-peer connections.

Such individuals are assigned to be credible sources of information about the organisation and provide ‘unique compelling content’ that will engage potential candidates.

At a time when there is considerable cynicism about corporate life, candidates are looking for organisations to live up to the values they espouse. Good social ambassadors can help to demonstrate that working at the company is how it is actually advertised.

Alongside this, there is the emerging role of community manager. Social media shouldn’t be owned by one part of the organisation because its relevance runs throughout. Community managers typically monitor an organisation’s online or ‘e-reputation’ and provide a focal point for social media activities inside the organisation.

Yann Bell (pictured), Senior Manager, Multimedia, IT & Telecoms, Hays France, has appointed community managers at a number of companies. He stresses that, typically, the community manager is not an IT specialist, but rather a business school graduate who perhaps has some experience of working in a communications or marketing role.

“So far, it is at FMCG companies and fashion businesses that there has been most demand for them,” he explains. “They want to bring loyalty to their brand. If there is a bad buzz about the company in a forum, for instance, it’s up to them to find and police it.”

CASE STUDY:

ONLINE AMBASSADORSSOCIAL STARS AND COMMUNITY MANAGERS ARE INCREASINGLY SOUGHT AFTER

TECH TOOLS OF THE TRADESMARTPHONESMobile recruiting arrived properly in 2010 with a proliferation of recruiting apps for the Apple iPhone. These are more likely to increase this year, along with those for platforms such as Android.

SMSText messaging is proving an invaluable way of communicating with candidates on the move. Its use may grow alongside the rise of mobile recruiting. Hays sends texts to temps relating to their time sheets and bank account payments.

BARCODESRecruiting has already seen some innovative uses of 2D barcodes and there’s more to come. Codes can be swiped in a print ad, for instance, which then take the candidate to a microsite dedicated to a particular campaign.

JOB BOARDSFacing competition from the emerging social media channels, many job boards are working hard to adapt and bring new features to add value for recruiters and candidates. Expect more improvements in search-and-match technology.

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THROUGH THE LENS

60%Sixty per cent of pharma CEOs are somewhat or extremely concerned about the availability of key skills in their industry according to PricewaterhouseCoopers’ 13th Annual Global CEO Survey, 2010

A RESEARCHER AT THE NOVARTIS INSTITUTE FOR TROPICAL DISEASES DISPLAYS A PETRI DISH BEING USED IN THE SINGAPORE INSTITUTE’S QUEST TO DEVELOP AN ANTI-VIRAL DRUG TO FIGHT DENGUE FEVER JO

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RISING TO THE CHALLENGE — BOARDROOM DIVERSITY

WESTPAC CHIEF EXECUTIVE OFFICER GAIL KELLY IS SEEN WITH OTHER BOARD MEMBERS AT THE WESTPAC BANKING CORP ANNUAL GENERAL MEETING IN MELBOURNE

BALANCE ON THE BOARD

FEW WOULD DISPUTE that a more representative number of women sitting on boards is a good thing. The dilemma, however, is whether management teams should be forced to bring in more women through imposed quotas or let encouragement, time and good sense take its course.

A recent survey by corporate governance analysis firm Governance International Metrics reported that, among Australia’s leading companies, only 8.3 per cent of board members are women. While this total is similar to that seen in the UK (8.5 per cent), it is dwarfed by the figures noted in other countries, such as Norway (34.3 per cent) and Sweden (23.9 per cent).

However, there is hope that the situation is about to change. Inspired by a recent legislative overhaul in Norway (which obliged companies with more than nine board members to include at least 40 per cent of each

CAN AUSTRALIA’S NEW ‘NAME AND SHAME’ APPROACH TO BOARD DIVERSITY SUCCEED, OR SHOULD QUOTAS BE MANDATORY?

gender), the Australian Securities Exchange (ASX) announced in its own subtle change last year.

The recommendations, which came into effect in January, encourage firms to “establish measurable objectives” for achieving gender diversity at board level. In practice, this means that, although specific targets won’t be imposed on companies, management teams will be required to set their own goals. They will then be urged to disclose the progress made in achieving these objectives. Companies will also be encouraged to disclose, annually, the proportion of women they employ throughout their whole organisation, in senior executive positions and at board level. Although not a legal obligation, this new principle will operate on an ‘if not, why not’ basis. Companies failing to comply won’t face draconian punishment, but they will, after a number of warnings, be publicly named and shamed.

To Claire Braund, Chair of Australian pressure group Women on Boards, the changes represent a significant step in the right direction. Moreover, by avoiding rigid Norwegian-style quotas and instead M

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opting to encourage businesses to devise their own gender diversity policies, Braund hopes Australian regulators will be able to win hearts and minds.

The results thus far suggest that this gentler approach, which was first announced in December 2009, is working. “In 2010, ASX 200 companies [Australia’s largest publicly listed firms] appointed 46 women to their boards,” states Braund. “In 2009, the total was only nine. We’re really pleased that companies are starting to broaden their search.”

The number of women on ASX 200 boards has increased from 8.7 per cent at the end of 2009 to 10.2 per cent now. However, Braund is quick to say that progress must extend beyond Australia’s biggest companies. “When you look at the ASX 300,” she says, “the number of female directors drops to just 4.2 per cent. And beyond that, they are rare.”

Braund’s belief that Australia can move quickly in resolving the gender inequality gap stems from her view of the national psyche. “The blokey culture still dominates here,” she notes. “But we’re also a maverick nation and that means, if the environment is right, we are capable of making a huge change very quickly. Institutional investors are starting to focus on this issue

and, along with the general public, they’re saying that the current situation just isn’t good enough.”

The implication is that Australia might be on the cusp of a perfect storm. Indeed, there have been several recent AGMs during which investor unrest has resulted in director appointments and remuneration packages being vetoed. “Unless management teams tackle this issue head-on and make rapid progress, the reality is that they will soon face swathes of new gender equality legislation – perhaps even specific quotas,” adds Braund. “I don’t think any business in Australia wants to go down that route. Smart CEOs and chairs are realising the need to make changes while they still have some control over the situation.”

But this view is not shared by everyone. In the UK, former Business Minister Lord Davies, who is currently investigating why there are so few women in directorship roles in the UK, recently hinted in The Sunday Times that a set ratio of male to female directors could be imposed, and may stipulate that as many as four in ten must be women. This would be a bold move. The Norwegian experience certainly suggests it could make a dramatic and immediate impact on board composition. Yet it remains to be seen

EMPLOYER OF CHOICE FOR WOMEN AWARDSOverseen by the Australian Equal Opportunity for Women in the Workplace Agency (EOWA), the Employer of Choice for Women Awards recognises organisations at the forefront of gender equality. To receive the award, these companies have to meet exacting criteria, which include offering reasonable levels of paid maternity leave, access to flexible working solutions and equity of pay with male colleagues.

In 2010, only 95 organisations across Australia were granted the award, with American Express Australia, BUPA Australia and the University of Canberra among those honoured. Hays was the sole recruitment company to make the list.

FRANCE’S PRESIDENT NICOLAS SARKOZY POSES WITH FEMALE MEMBERS OF HIS FIRST CABINET, MEETING IN PARIS MAY 2007 B

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RISING TO THE CHALLENGE — BOARDROOM DIVERSITY

CASE STUDY:

WESTPACKEEPING THINGS SIMPLE CAN IMPROVE DIVERSITY

Led by Gail Kelly, one of only seven women ASX 200 CEOs, Australian financial services business Westpac has forged a strong reputation for supporting workplace diversity. Three out of ten of its current board members are female, while Australia’s oldest bank has been awarded Blue Ribbon status by the country’s Equal Opportunity for Women in the Workplace Agency (EOWA) three consecutive times.

In October 2010, Westpac hit the headlines once again as it announced plans to significantly increase the proportion of women it employs in senior management positions over the next four years. “We currently employ about 40,000 people and roughly 33 per cent of our top 4,000 roles are occupied by women,” says Dimity Hodge, Westpac’s

Head of Women in Leadership. “Our aim now is to increase that figure to 40 per cent by 2014. That’s a target we are confident we can achieve.”

Given Westpac’s ongoing reputation for encouraging diversity in the workplace, the upcoming ASX regulatory overhaul is unlikely to pose any significant challenges. Nevertheless, Hodge welcomes the changes, explaining: “I do think they’ll have a positive effect, particularly if supported by company policies to help bring those changes about. These changes have brought the issue of gender diversity to the fore. There’s certainly going be a lot more transparency in future.”

As for specific policies that can help improve gender equality in the workplace, it seems that the secret is to keep things simple. Westpac offers progressive

parental leave packages, it was the first private sector company in Australia to pay superannuation on unpaid parental leave for up to 39 weeks and flexible working options (including home working and job-sharing) to employees of each gender. When it comes to recruitment, meanwhile, Hodge notes that “for every male candidate we interview, we also ensure we interview one woman”.

The drive for diversity doesn’t end there, either. “What works for us is to combine all of these policies with firm targets that we can aim for,” continues Hodge. “We’ve already set the 40 per cent target for women in senior positions. But our ultimate aim is to ensure that all employees – regardless of gender, age, ethnicity or whatever else – feel fully engaged in our business.”

whether the UK government would be brave enough to impose such a significant legislative change on the already disgruntled and vociferous business sector during these difficult economic times.

One obvious knock-on effect of the move towards greater gender diversity at board and senior management level is that recruitment firms have to be primed to respond.

“Search firms need to increase the quantity of high-quality female candidates in their databases,” ventures Braund. “Women are less used to pushing themselves forward than men. But that does mean there’s an untapped mine of high-quality female candidates waiting to be discovered. Sensible firms in Australia are now asking recruitment firms to ensure that candidate lists are at least 30 per cent women. That’s giving a lot more women a chance to appear on the radar of those companies.”

Such measures will help Australian firms to increase the proportion of women directors on their boards in the short to medium term. Yet to really guarantee long-term gender equality, a more holistic view is required. And that means reducing gender inequalities at all levels of business.

As for the adage that jobs are already awarded to the strongest candidates purely on merit, Braund has a simple rebuttal. “I think that argument only serves to maintain the status quo and deprive women of the opportunities,” she says. “If jobs were awarded purely on merit up until now, does anyone really believe that only ten per cent of all directors would be women?” ENFORCED QUOTAS Meanwhile, in Europe the mood for enforced quotas is gaining ground. In January the lower house of France’s parliament approved a new law which will force companies to increase the proportion of women on their boards to 40 per cent by 2016. Spain has also introduced a quota of 40 per cent to be achieved by 2015. The questions remain, then, what effect does boardroom diversity have on performance and how harmful to businesses is imposing gender quotas with tight deadlines?

HAVE YOUR SAYHays Journal will explore these debates in the next issue. Let us know your views, email [email protected]


STRIKING A BLOW FOR CONCILIATIONIS IT EVER RIGHT FOR UNIONS TO STRIKE DURING TIMES OF ECONOMIC UNCERTAINTY? WE EXPLORE SOME OF THE ISSUES

FEARS REMAIN THAT the continuing slow pace of the UK recovery, coupled with severe public belt tightening, could unleash a wave of strikes not seen since the unions hobbled successive governments in the 1970s, when industrial disputes brought the country to the brink of default. Yet, during the worst recession in a generation, UK firms have largely prevented disgruntled employees from striking.

Few suggest a return to a ‘winter of discontent’ scale of disruption, but both sides – employers and unions – acknowledge that 2011 will test industrial relations as companies continue to hold down costs and put a squeeze on employee benefits.

At their most extreme, strikes can induce mass public alarm. Transport for London recently accused Bob Crow, General Secretary of the National Union of Rail, Maritime and Transport Workers (RMT), of public “scaremongering” after he attacked the “lethal cocktail of jobs and maintenance cuts” due to take place at London Underground.

But Crow’s stance does not necessarily reflect broader trends in the relationship between employers

and unions. Jim Bligh, Principal Policy Adviser on Employment at the Confederation of British Industry (CBI), the UK’s principal business group, believes that the current environment is encouraging to those worried about more strikes.

“We’ve seen really good examples during the recession of employers and unions working together to come to agreement over hours or pay, or pensions that satisfy employee needs,” he says. “In our view, that’s the attitude that unions and employers should be adopting: aiming to work together to get through difficult times.”

However, in its recent report, Keeping the wheels turning: Modernising the legal framework of industrial relations, the CBI outlined measures to modernise employment relations legislation and make sure that the economic recovery is not threatened by strikes.

The report called for changes in the law and proposed that the threshold for industrial action be raised so that strikes can only go ahead if 40 per cent of balloted members vote in favour of action, as well as a majority of those voting. Currently, strikes can take place provided that a majority of those voting support them, irrespective of the turnout.

The first line of defence in avoiding widespread strikes is the Advisory, Conciliation and Arbitration C

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Service (ACAS), which enjoys widespread support as an entirely impartial conciliatory service. In addition to this, the UK already has a legal system that limits the scope of strike action and demands that employee organisations go through a rigorous process of balloting members before any action can be taken.

Bligh is keen to point out the advantage enjoyed by the UK as a result of its labour laws. “If you look at Spain, by contrast, the unions are allowed to call a general strike overnight. UK laws recognise that strikes cause massive disruption and cost so there needs to be a period of time allowed for negotiation first. Also, the attitude to economic change here seems to have been a lot better.”

But UK employers can be rightly lauded for the innovative approach to negotiating with employees about temporary measures to stave off job losses. Workers have accepted short-term reductions in hours and pay freezes as a price worth paying. This is proof, Bligh believes, of the UK’s increasingly mature attitude to industrial relations.

Despite that, strikes have occurred and there is certainly a fear from employers that the economy’s slow recovery could lead to greater action. This begs the question: in such a difficult environment, can unions really justify taking strike action?

“ THERE CAN BE NO DEFINITIVE MORAL POSITION ON STRIKES” — SARAH VEALE,

HEAD OF EQUALITIES AND EMPLOYMENT RIGHTS, TUC

HOW BUSINESSES CAN AVOID UNREST DURING HARD TIMES

Many UK companies under pressure during the recession were able to avoid mass redundancies – and, as a consequence, mass walkouts – by reducing working hours and introducing unpaid holidays to cut costs. Managers keeping in regular contact with union representatives helped to prevent negative sentiment among the workforce from escalating. Unison, the UK public services trade union, and the TUC underlined the importance of managers keeping the workforce informed of their organisations’ financial situation during times of economic uncertainty.

FROM LEFT:AUGUST 2010 – UNITE UNION’S OFFICER FOR CIVIL AVIATION, BRENDAN GOLD, ANNOUNCES THE RESULT OF A STRIKE BALLOT BY BAA STAFF

SEPTEMBER 2010 – BOB CROW, GENERAL SECRETARY OF THE RMT UNION, AT THE TRADES UNION CONGRESS (TUC). CENTRAL UNIONS WERE VOTING ON ‘JOINT INDUSTRIAL ACTION’

MARCH 2010 – ARMBAND OF A PICKETER OUTSIDE A LONDON POLICE STATION


IN THE WORKPLACE — INDUSTRIAL RELATIONS

CBI Director-General John Cridland is unequivocal. “Industrial action is never inevitable. In most cases, common sense prevails and negotiation wins the day.

“When a legitimate strike threatens to disrupt the services on which the public depends, it is only right that it should require a higher bar of support. That is why no strike should go ahead unless 40 per cent of the balloted workforce has voted for it.

“While workers have the legal right to withdraw their labour, employers have a responsibility to run their businesses. The public increasingly expects it to be business as usual, even during a strike, so firms must be allowed to hire temps from an agency to provide emergency cover for striking workers.”

Sarah Veale, Head of Equalities and Employment Rights at the Trades Union Congress (TUC), says: “There can be no definitive moral position on strikes. If an employer is getting rid of jobs in an unfair way, then striking may be a way of bringing them up short. On the other hand, just going on strike because you’re worried about things isn’t the best way to resolve it.”

Veale adds that a strike’s justification depends on the sector and public opinion. “Nothing will pull an employer up quicker than a strike that halts production, hits them in the pocket and does serious reputational damage,” she says. “That’s doubly true if it is popular,

and a strike can work quickly in that situation. At the same time, if it is less popular and the action is affecting a lot of innocent people and not just the employer’s profit margin, it’s easier for the employer to stand firm and say, ‘You’ve got no popular support for this; we’ll brazen it out’. There’s no general answer. Some strikes have been highly effective, others less so.”

The CBI, for its part, places great faith in its members’ commitment to avoiding disputes in the first place. “We’ve seen a lot more proficiency in companies’ HR and industrial relations policies in recent years,” says Bligh. “That involves good negotiating skills, conceding points, listening and winning people over with the aim of arriving at a conciliated settlement.”

While it is an encouraging note that the TUC and CBI take a sensible stance, with the public sector experiencing such broad cuts it is inevitable that more militant unions will be deaf to the economic circumstances that caused them.

FRANCE FRANCE WAS HIT BY STRIKES FROM BOTH THE PRIVATE AND PUBLIC SECTORS, LEADING TO REDUCED PUBLIC TRANSPORT SERVICES, MOTORWAY BLOCKAGES AND EVEN FUEL SHORTAGES

UK STRIKES AT BRITISH AIRWAYS AND THE LONDON UNDERGROUND CAME IN THE WAKE OF DISPUTES BETWEEN MANAGEMENT AND SOME POCKETS OF WORKERS

SPAIN WILDCAT STRIKES BY SPANISH

AIR TRAFFIC CONTROLLERS DISRUPTED THE TRAVEL

PLANS OF 250,000 PEOPLE ACROSS EUROPE IN DECEMBER

PORTUGAL MANY OF PORTUGAL’S PUBLIC SERVICES GROUND TO A HALT WHEN WORKERS WALKED OUT IN A BID TO WEAKEN THE GOVERNMENT’S RESOLVE TO MAKE DEEP BUDGET CUTS

EUROPE’S DISCONTENTWhile the UK has seen relatively few strikes, with the exception of several high-profile cases such as British Airways and London Underground, 2010 saw more strikes than any year in the previous decade in continental Europe.

France was convulsed by industrial action towards the end of 2010, largely centred on plans to raise the retirement age and reform pensions. Private and public strikes in France involving both workers and students were reported to have cost its economy €400 million a day, according to the French finance minister.

Meanwhile, Spain has seen widespread general strikes in sectors across transport, air traffic control and public administration. And Portugal saw the biggest strike in its history when three million workers downed tools at the end of November.

“ INDUSTRIAL ACTION IS NEVER INEVITABLE” — JOHN CRIDLAND,

DIRECTOR-GENERAL OF THE CBI


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REGIONAL SNAPSHOT

SKILLED PROFESSIONALS ARE AN INCREASINGLY PRECIOUS RESOURCE IN BRAZIL, WHERE THE SIZE OF THE EDUCATED POPULATION IS STRUGGLING TO KEEP PACE WITH MARKET DEMAND

BIG IN BRAZIL

A BOOMING DOMESTIC market and a huge supply of natural resources have put Brazil firmly on the investment world’s radar. But as the nation continues on its trajectory to economic stardom, there are questions about whether the domestic market alone can deliver enough talented workers to sustain that momentum.

With moderately free markets and diverse industries ranging from automobiles, steel and petrochemicals to computers, aircraft and consumer durables, Brazil is a vibrant nation that has been far more adept at pulling itself out of recession than Europe. New President Dilma Rousseff, the country’s first woman leader, has promised to safeguard the nation’s macroeconomic stability. This is crucial if Brazil is to achieve the strongly hoped-for position of a top-five world economy.

Mark Bowden, Managing Director of Hays Southern Europe and Latin America, says: “Many Brazilians are buying their first TVs, cars and washing machines. This is a tremendous internal engine for Brazil’s growth that has got it through the recession.” Gross domestic product (GDP) was forecast to grow by 7.6 per cent in 2010 and between four and five per cent in 2011. This would be a relatively healthy performance.

CHALLENGES AND SKILLSStrong demand among Brazilian companies for staff members such as directors and functional heads accompanies this economic success story. Flexibility and a positive attitude among candidates are also valued. The right etiquette is crucial, as is enthusiasm for the job in a culture that prizes face-to-face dealings more than do the UK and Europe.

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BIG IN BRAZIL

clients in its first three weeks. Meanwhile, Brazilian construction firm Gafisa expanded from its São Paulo base in 2005 and the north-east area now accounts for 17 per cent of sales. Despite these developments, Valente says that at least half of the recruitment business is likely to remain in São Paulo.

Recruitment specialists in Brazil find that companies require large numbers of staff – yet such specialists currently fill only four per cent of vacancies. “Even at established multinationals in Brazil, internal staff are accustomed to recruiting across a broad spectrum of profiles, without a specialist approach,” Valente says. “Many lack the technology and databases that independent recruiters have.”

INCREASING APPETITE FOR SPECIALISTSThe tendency to rely on large human resources departments is gradually changing, however, and

Everyone is looking for the same skill set in their new recruits, whether they will be managing IT or sales forces or working in pharmaceuticals or industrials.

“What the market requires are good-quality, experienced managers,” says Luiz Valente, Managing Director, Hays Brazil. “Hays’ challenge is to match the adherence of these professionals’ profiles and career movements with the phase, culture and values of our clients.”

A lack of education can also prove problematic. On average, Brazilians receive five years of schooling, compared with 12 years for Americans and 11 years for Japanese. This means that there is a limited number of new graduates each year.

On the other hand, digital literacy is booming in Brazil. According to Monocle magazine, Brazilians spend more time on the internet than any other nationality, with about 60 million going online regularly.This is due in part to the Brazilian government’s policies to promote connectivity among the country’s urban poor and young.

Yet, economists question whether the essential innovators who must sustain Brazil’s growth in the future will materialise. Brazil currently spends less than 1.1 per cent of GDP on research and development, compared with 1.4 per cent in China and 3.4 per cent in Japan.

“I think you can miss out by not recruiting overseas,” Valente says. While there are language issues and strict visa restrictions to contend with, he adds that “if you have good reasons to bring someone in for specific skills that are lacking in Brazil, you will probably get your visa without major problems”.

GROWING DEMAND FROM THE REGIONSIt is against this backdrop that Hays Brazil hopes to expand from three to eight cities in three years to help meet recruitment demands.

Valente believes that the regions will play a large part in the future of this vast nation. A number of big local and multinational companies are beginning to find customers in the urban favelas of the north and north-east, which are the poorest regions in the country, but also the fastest growing. In Rio de Janeiro, international banking giant Banco Santander opened a branch in a favela in 2010 and signed up 100


REGIONAL SNAPSHOT

HAYS COVERS 13 SPECIALIST SECTORS IN BRAZIL:• ACCOUNTANCY AND FINANCE • BANKING• ENGINEERING• EXECUTIVE• HUMAN RESOURCES• INFORMATION TECHNOLOGY• LEGAL• LOGISTICS• OIL AND GAS• PHARMA• PROCUREMENT• SALES AND MARKETING• TAXATION

SERVICES OFFERED: • DIRECT SEARCH• ADVERTISED SEARCH AND

SELECTION• BUSINESS INTELLIGENCE

BRAZIL IN STATS

201MILLIONTOTAL POPULATION OF BRAZIL

BBBSTANDARD & POOR’S INVESTMENT GRADE

5%GDP AVERAGE GROWTH IN THE PAST SIX YEARS

10.6%PERCENTAGE OF GRADUATES IN THE WORKFORCE, ALTHOUGH THIS FIGURE IS INCREASING

8.6MILLIONUNEMPLOYED

4.5%AVERAGE ECONOMIC GROWTH OF BETWEEN FOUR AND A HALF PER CENT AND FIVE PER CENT IS FORECAST IN THE NEXT FIVE YEARS

“ WHAT THE MARKET REQUIRES ARE GOOD-QUALITY, EXPERIENCED MANAGERS” — LUIZ VALENTE

MANAGING DIRECTOR HAYS BRAZIL

HAYS IN BRAZILHays covers 13 specialist industry sectors (see sidebar, right) and has built up a wide portfolio of clients. Its ten largest clients account for less than 15 per cent of its fees, which demonstrates how broadly the team has expanded in the four and a half years since opening in São Paulo.

Accountancy and finance have the most growth potential because they are essential to every company’s operations. Sales and marketing and IT tell similar stories. Recruitment for the pharmaceutical sector is another growth area.

Brazil is strategically crucial for Hays. The group has recently launched its business in Mexico and intends to roll out into other South American countries during the next two and a half years. Hays Brazil typically recruits people on between €45,000 and €150,000 a year.

FOR MORE INFORMATION Contact: [email protected]

Valente says that it is not difficult for specialists to get a foot in the door.

Many companies are looking for people and finding it hard to get the right candidates; they are recognising that specialist recruiters can provide more independent advice and spend more time on each job. Valente adds: “We would also argue that we have access to more and better-quality candidates.”

Local relationships cannot be underestimated, he says: “Brazilians like to meet people and do business face to face, not on the phone or via the internet. They want to see the eyes of the people they deal with. It is always worth explaining in person why companies should use a specialist recruitment business and what the benefits are over in-house resources.”


WELCOME ABOARDMANY ORGANISATIONS HAVE A BLIND SPOT IN THE POST-HIRING PROCESS, BUT WELL-CONSIDERED ONBOARDING AND INDUCTION PROGRAMMES CAN HELP MAKE SURE YOUR NEW EMPLOYEE STAYS THE COURSE

DESPITE THE IMMENSE time, effort and cost that can go into identifying and landing the right senior-level appointment, Hays’ research has found that just three out of ten businesses back up what will normally be critically important hiring decisions with a formal onboarding process.

Onboarding is the process of helping a new employee make the transition to a new organisation, from the point where an offer has been made to his or her first day. This is different to an induction process, which generally starts from day one onwards, although the two will often be used interchangeably.

The Hays-commissioned research found that, while half of employers said they retained ‘some’ contact throughout a new senior hire’s notice period, more than a fifth admitted to ‘little’ contact and a minority – 39 per cent – got full marks for “frequent” contact.

What this appears to suggest is that, while firms may mean well, too few make the best use of this key time between offer and arrival in the lobby. The message is: “You’ve signed on the line, you’re ours anyway, so get on with it.”

Induction after day one is often sadly lacking, too. A recent survey of British HR professionals by personnel website XpertHR found that nine out of ten felt their induction processes were not up to scratch, and a quarter conceded that this was something low on their organisation’s list of priorities. Moreover, while it was mostly left to line managers to carry out inductions, only a fifth were given prior training.

The research painted a similarly uncaring picture. More than three quarters of those polled said a single

day was spent helping people make the transition, with a tenth spending just half a day, one per cent devoting an hour and only 13 per cent recognising the value of making induction a much longer process.

Perhaps it’s not surprising, therefore, that one in four senior appointments fail due to poor induction.

Whether this is because of the employee being unwilling to bend to new organisational values, organisational failure around the transition or even blind indifference before a new person starts, the net result is a wasted investment in talent.

“For a lot of organisations, that elusive quality of cultural fit – your values, what drives you as a human being, how you might be aligned with the organisation’s goals – is now an important part of the hiring,” agrees John Hemingway, a director of consultancy Nov8, which is working with Hays to ensure that newly appointed senior IT professionals are successfully embedded within a business.

“A lot of the time, organisations forget that a probationary period is a two-way thing; it’s also about the employee deciding whether they want to stay.

“Our own research suggests that, while 90 per cent of organisations agree that onboarding and induction are important, only 30 per cent do anything about it,” Hemingway adds. “Yet your first three to six months in an organisation are vital. It is really about making those first impressions count, as they may play a key part in determining how long you commit to an organisation and the sort of contribution you make.”

In mid-2010, Hays launched a new web-based onboarding tool designed specifically to encourage C

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HOW TO GET IT RIGHT Here is what Hays Journal recommends should be on your onboarding and induction watch list: Offer online “starter packs” for candidates to download during their notice period that help them get to know their new employer and save time on their first day. Ensure you cover things such as health and safety guidelines and basic company policies in advance so as not to waste time once a candidate arrives, and place any company and corporate induction videos online for the same reason. Give new hires access to employee or team profiles, especially of people they will be working with; consider giving them access to chat facilities too. Set them up with a diary for their first fortnight, that they and you can amend and develop. Maintain regular contact with the new hire throughout the notice period.

firms to develop and maintain a conversation with candidates during the pre-start notice period.

Hays Onboarding allows candidates to download information about their prospective new employer, and starter packs that include health and safety guidelines, company policies and so on can be viewed in advance.

It also allows candidates to download induction videos and look at profiles of future team members, or set up a diary for their first two weeks in the job.

“This is a useful way for employers to engage and keep in contact with people who are set to join their business, whatever level they are coming in at,” explains Senior Business Development Manager Tom Barlow. “We already have a number of clients who have been testing it out.

“We are now looking to move it to the next stage, where it could offer wider information about an area’s local amenities and schools to help people who are relocating.”

FOR MORE INFORMATION Contact: [email protected]

“ ORGANISATIONS FORGET THAT PROBATIONARY PERIODS ARE A TWO-WAY THING”

DAY 1 – MONDAY, 8:57AM


MY BEST HIRE

MARK DYBELL, ACTING GENERAL MANAGER OF PROCUREMENT AT BOC LIMITED, AUSTRALIA, TALKS ABOUT LEE VICKERS, 34, PLACED AS CATEGORY AND CONTRACTS MANAGER BY HAYS FOUR MONTHS AGO

Q. WHAT WERE THE INITIAL SKILLS YOU WERE LOOKING FOR IN THE ROLE OF PROCUREMENT MANAGER?

We were looking for someone who could demonstrate an understanding of the procurement process and not just talk about it. BOC is transitioning to category management so we wanted someone with the confidence to sell procurement and its value to the business to enable the change. We wanted someone who was looking to develop their skills and who was positive and determined to see the project through. The candidates needed to be able to take data and build fact-based decisions. They also needed to understand how the business consumes the product or service we are procuring and be able to make recommendations based on that information rather than just negotiating on cost. We needed someone who would think about why we need that product and question whether there is a better way to consume it or get it. Most importantly, we needed someone who could fit in and work well with the team.

Q. HOW WERE THOSE NEEDS FULFILLED BY LEE VICKERS?

Lee has a good understanding of procurement combined with a desire for continuous learning. He has also been good at understanding why stakeholders are using the suppliers, which has enabled him to make the necessary recommendations. He’s been able to balance the needs of the business with the needs of procurement. We have our own tough targets and the business has its own objectives. It’s a fine balancing act between the two and he’s made sure that balance is covered off.

Q. WHAT WERE YOUR FIRST IMPRESSIONS OF HIM?

That he was a friendly and approachable guy but he also came across as focused on what he needs to achieve and driven to hit targets. This is rare to see: either a person is very approachable but gets distracted easily or they are so driven by goals that they end up isolating people. Lee has got a good balance of both.

Q. HOW WELL DID HE FIT INTO THE ROLE AND WHAT HAS HE BROUGHT TO THE BUSINESS?

He works well with the rest of the team. He builds relationships quickly and has maintained procurement’s credibility through the whole change management process. Previously we’ve been seen as the guys with the big sticks beating suppliers down on costs, but over the past year we’ve started to change that perception and the way Lee works has helped to achieve that. He has good communication skills and keeps people across the projects he’s working on informed.

Q. HOW HAS HE PROGRESSED IN HIS ROLE?

He’s done very well and displays all the attributes required to make a good category manager. He has a commitment to learning in the role and he’s already completed Six Sigma Green Belt and will start Black Belt training soon. He’s making the most of the opportunity and getting involved in it, which is what we like to see. I believe he’ll progress and do well.

FOR MORE INFORMATION If you would like to discuss your best hire, please contact: [email protected]

“ HE HAS ALL THE ATTRIBUTES REQUIRED TO MAKE A GOOD CATEGORY MANAGER”

A WINNING CANDIDATE

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CONTRIBUTORSNic Paton specialises in global HR, employment and workplace issues. He is a regular contributor to the Guardian and efinancialcareers.com

Alison Coleman writes for a range of international business titles including Financial Times, Director and Employee Benefits

Elliot Davis is former Editor of Growthbusiness.com and a regular contributor to Ernst & Young’s international Exceptional magazine

Andrew Don is an experienced business journalist who writes regularly for national and trade press on global business matters

Scott Beagrie is former Features Editor of Personnel Today and a specialist in employment issues and recruitment technology

Editor James Cash Consulting Editor Nic Paton Design Director Ben BarrettArt Editor Steven Gregor Picture Editor Johanna WardDesign Production Manager Gary Chambers Publisher David Poulton Production Director John Faulkner

Hays Journal is published on behalf of

Hays by Wardour, Walmar House,

296 Regent Street, London W1B 3AW

Tel +44 (0)20 7016 2555,

www.wardour.co.uk

WELCOME to the first issue of the Hays Journal. The world we live and work in is changing at an ever-increasing rate. The issues we deal with are growing in complexity as we see the advent of new technologies, mounting legislative and regulatory pressure, changing requirements from consumers and employees and the demand for more flexible working practices and workforces. Overlay this with the vagaries of the business cycle and the globalisation of many markets and we have a complicated set of challenges to deal with, day in and day out in the world of work. One thing remains crucial, however: an organisation’s ability to recruit and retain the very best people, wherever they are in the world or whichever industry they operate in.

As industries globalise, pools of talent are constantly shifting. Whether you are based in Asia, Europe, Latin America or North America, the need to anticipate and manage this long-term flux in talent on an international basis has never been greater. And as you search for your own solution, you can guarantee that your competitors likewise are looking for ways to tap into the right resources to build their own advantage. We hear this every day in our business when our clients across the 30 countries in which we operate tell us the challenges they are facing to find the right skills for their organisation. The war for talent is leading to greater skills shortages despite the growing number of unemployed people across the world.

We will explore these issues in the Hays Journal, and examine a number of other challenges businesses are dealing with today.

We believe that the right person in the right role can help transform an organisation. It takes experience, dedication, time and inspiration to ensure we get it right each time. However, the recruitment process doesn’t stop when the right person is found: managers must continually engage and motivate their teams if they are to achieve the best results for themselves and their business.

We are keen to examine the issues that are important to you and your business. Please send any thoughts or opinions to our dedicated editorial team at [email protected]

People issues are some of the hardest that any organisation must deal with. Every year, we help almost half a million people find the right role, so we see these issues in action every day, all across the world. I hope this publication provides an opportunity to share some of our experience of the world of work and succeeds in generating wider debate about the challenges facing HR and recruiting professionals worldwide.

— ALISTAIR COX, CEO, HAYS

HAYSJOURNAL

HAYS and the H device are protected by trade mark and design laws in many jurisdictions. Copyright © Hays plc 2011. The reproduction or transmission of all or part of this work, whether by photocopying or storing in any medium by electronic means or otherwise, without the written permission of the owner, is prohibited. The commission of any unauthorised act in relation to the work may result in civil or criminal actions.

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