A quarterly newsletter published by PwC Namibia providing informed commentary on current developments in the People & Organisation arena.

Compiled by:

elria.van.der.merwe@na.pwc.com

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You have mail – far too much of it!

We have a love-hate relationship with email. Its ubiquity has made it the most used form of business-to-business communication. But it isn’t always the most effective means of communicating or working collaboratively. At some point in the dim and distant future we’ll probably look back and wonder why we allowed email to consume so much of our valuable time; although the average worker spends around 13 hours each week just managing, writing and replying to emails, some of the most urgent and important internal emails can still fail to attract their attention – as many of those in HR are all too aware. So how can HR help the rest of the organisation to minimise its email overload prob-lems and improve internal communications? Should workers keep their email inbox open every minute of the day and almost constantly monitor the endless flow of mes-sage? Should they check only periodically throughout the day? “We assume people can deal with these decisions but how many people have actually been educated to do so? These same questions are being asked about the social media and instant messaging tools that workers are increasingly using to communicate. Numerous surveys and research by employers indicate that workers can spend as much as five working hours each week on Facebook, Twitter, Linked In and other social networking sites. Organisations are split on whether this is a threat to productivity or a sign of chang-ing communication preferences that should be embraced; by banning Facebook and Twitter from the workplace, some argue, you’re effectively blocking the preferred communication tool for an entire generation. Some organisations are exploring the middle ground between fully embracing social media and banning them entirely by introducing their own enterprise social tools. The role of technology, digital transformation, big data and social networks will have a huge impact on how organisations and the workplaces of the future will function.

HR Matters

Namibia Newsletter

October 2015

Email overload is becoming a common complaint and threatens to have an impact on employees’ productivity, but is there a better option waiting in the wings? What’s the future of workplace communication?

HR and the benefits of social intranets:

Connecting home and remote workers so they can collaborate – understanding what is happening in the organisation contributes their ambient knowledge.

Engaging the Millennial generation – more used to sharing information and find traditional business communication tools closed and cumbersome.

Rewarding and retaining workers – HR can see who’s contributing to conversations, ideas and innova-tions; identify rising stars and influencers; improve re-sourcing.

Assisting with on-boarding – new starters can access targeted information and get up to speed quicker; other employees can spend less time showing them the ropes.

Learning and development – ability to ask ques-tions and get quick responses – often from unlikely sources – allows information to be found more readily.

Improving employee recognition – a public pat on the back can have an enormous effect and can be pro-vided as evidence in appraisals.

Endorsing company values – HR can decide what it wants to achieve by using a collaborative social intranet and then build the structure to achieve this.

Source of information:

PwC Remchannel & HR Quarterly

Don’t forget to view our

training calendar on the PwC

Business School link

www.pwc.com/na/en/

business-school.html

There is a very close correlation between CPI and the annual increases granted. How-ever the reality is that staff needs to consider the increases in the cost of living, the real increases not CPI. To maintain a certain lifestyle and provide for a family re-quires careful budgeting Although most organisations granted cost of living increases across the board to all employees in the past, most organisations now consider a vari-ety of elements, either combined or on their own, when determining their increases. These elements include:

Union negotiations;

Individual & company performance;

Economic forecasts & affordability;

Historic increases;

Industry comparisons; and

Market benchmarks through salary surveys such as REMchannel® The use of salary surveys remains common in the current economic climate. One would expect things to be different when organisations can pick and choose from a talent pool – or so we would like to think. The reality is that the employees’ disposa-ble cash becomes less with each passing year. This means that key talent, especially with scarcer skills, can and will explore the market opportunities if it means that their lifestyle can be maintained or improved. Loyalty to one organisation, even with a great employee value proposition is no longer as important as survival. The usage of salary survey information is one method to as-certain whether your organisation is at risk of lagging the market in particular jobs or grades. The PwC REMchannel® on-line internet based salary survey continues to be the most comprehensive source of well validated information.

The drive behind annual increases

Introducing Namibia’s first National Benefit

Survey: looking specifically at the practices

and procedures applied to various benefits

in the market. Publication early 2016.

Contact: elria.van.der.merwe@na.pwc.com

Driving Strategy through

sustainable performance

Run E-Perform Demo: Log into

http://www.eperform3.co.za/

Alignment of your business through

strong leadership, an engaged workforce, and

sound business practices are essential for suc-

cess.

Attracting, retaining and identifying

top talent is a key ingredient to remain

competitive. Tightened labor markets and

global shifts in demographic, ethnic and cul-

tural compositions have increased the level of

competition for the best people.

Another key ingredient for success is the abil-

ity to proactively identify drivers for

growth. Often, individual divisions or func-

tional areas have their own agendas and pri-

orities—it can be a considerable challenge to

have all these areas aligned to one common

goal.

Align performance manage-

ment interventions with or-

ganizational strategies and

plans.

Understanding organization’s

goals, aspirations and growth

opportunities.

Work with management team

to develop and understanding

of your growth and perfor-

mance challenges, which

gives us an appreciation for

the issues that are preventing

your organization from real-

izing its goals and objectives.

Determine how the “pain

points” align with other rele-

vant elements of the Perfor-

mance Management frame-

work.

Monitor achievement of the

targeted benefits and out-

comes. Guarantee full partici-

pation of all critical stake-

holders and employees.

Pe

rfo

rm

an

ce

Im

pr

ov

em

en

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More often than not there are certain perceptions about pay in various industry sectors. As an example the Fi-nancial Services Sector has always been deemed to be a premium payer from a guaranteed pay perspective. Alt-hough this may have been true many years ago, it is certainly no longer the case. From the graphical illustration (extracted from REM-channel® as at Sept 2015) it is evident that the Mining industry in Namibia is the definite market leader on all employee levels. When considering a professionally qualified position the Mining industry is willing to pay up to 50% more than the Financial Services Sector and even double that of Retail. On the same level the difference between Fi-nance and Retail is about 25% with Retail lagging the Financial Services Sector. On the senior management and executive level one can actually see the Retail in-dustry overtaking the Financial Services Sector. It is however important to note that the reward philos-ophy and pay mix of these industry sectors may be very different to the other industry sectors. It may also be attributed to supply and demand of skills and in partic-ular technical skills, in the Mining Industry Sector. The major challenges faced by reward professionals are that line management does not necessarily understand the differences in the various pay philosophies and how it is applied in the market. To manage payroll costs ef-fectively and still attract and retain the best performing talent it is imperative that line management reward educational programmes are conducted on a regular basis. The full employee value proposition of each or-ganisation must also be communicated to all staff regu-larly. Understanding the value of benefits and the re-ward environment from a Total Reward perspective in-creases employee engagement, and ultimately retention of skills.

Managing perceptions about pay...

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500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

Namibia Industry comparisons - Market Median Annual Total Guaranteed N$

Fin Serv Retail Mining

Expon. (Fin Serv) Expon. (Retail ) Expon. (Mining)

Windhoek

344 Independence Ave

Telephone Number: +264 (61) 284 1000

© 2015 PricewaterhouseCoopers (“PwC”), the Namibian Firm. All rights reserved. In this document, “PwC” refers to PricewaterhouseCoopers Namibia, which is a member firm of Pricewater-

houseCoopers International Limited (PwCIL), each member firm of which is a separate legal entity and does not act as an agent of PwCIL.

Stefan Hugo Talita Horn

stefan.hugo@na.pwc.com talita.horn@na.pwc.com

Telephone Number: +264 (61) 284 1102 Telephone Number: +264 (61) 284 1172

Elria van der Merwe Yulanda Marais

elria.van.der.merwe@na.pwc.com yulanda.marais@na.pwc.com

Telephone Number: +264 (61) 284 1201 Telephone Number: +264 (61) 284 1328

Refer to the PwC Tax First

Newsletter www.pwc.com/

na/en/publications/tax-

first.html for the latest on

proposed tax Amendment

Bills for 2016