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Document Sample
Recruitment and Retention
4th October 2000
Workshop Objective
• To understand more about the key
influences, from a company and an
employee perspective, within today’s
Market place for attracting and retaining
competent employees.
Recruitment and Retention
Workshop
• Introduction • Mary Ahmad
• Recruitment Survey • Kay McGregor
• Use of psychometric testing
and assessment centres in • Howard Widdecombe
recruitment
• Employee Recruitment • Mary Ahmad
Survey
• Employee Retention
• Andrew Strathdee
• Panel Session
• All
Employee Preferences
Mary Ahmad - Director,
Corporate HR Partners Ltd.
Key Questions
• What makes a company attractive as an
employer?
• What do they do that makes employees
dissatisfied?
• How do we get people to join us?
What are your competitors doing?
• Competitor Strategies - Towers Perrin Survey of
over 300 European Co's - Spring 1997 and 1999
– Reward and Retain Best Performers
– Link Pay to Organisations Key Success factors
– Achieve/Maintain Market Competitiveness
– Pay for Competence
– Reward High Productivity, Quality and Customer
Satisfaction
What was being done?
• Introduction of variable pay
• Reviewing Performance assessment and appraisal
and linking to pay and Career/skills development
• Reviewing pay and grading structures
• Extending Job/Role Evaluation
• Reviewing benefits, Terms and conditions/Perks
as part of Total Compensation
• Introduction of Share Schemes
Why the Change?
• Business Model is changing
– Globalisation of markets and technology
– Move to Customer and Quality Focus
– Address Performance Linkeage
– Linking pay to business performance
– Competition for Staff
– The demographic time bomb is still ticking.…
– Need for Flexibility
– Improve Competitiveness
Why the Change?
– Perceived Need for Better Pay differentiation based on
performance
– Reflect flatter organisation structures
– Respond more rapidly to organisational change
– Reflect broader employee roles
– Enhance ability to value individual skills and
competencies
– Increase flexibility of base pay
Employee's Value Perceptions
• Grow Up... Learn to grow the company without losing sight of the
core values that make us unique - not bureaucratic, delegate
decision -making
• Effective Management... ensure that managers are as skilled in
managing people as they are in doing business - Develop Managers
who have time to consult, coach, listen and lead - management is a
skill which needs time and training.
• Customer Connection... bridge the gap between what employees
know about satisfying customers and what the Company does to
effectively deliver that expertise to those customers – Be a Winning
Team... stay ahead of competitors and build a public image that
makes you proud to work for the Company
Source - Towers Perrin Lotus Opinion Survey
Employee's Value Perceptions
• Market Attention... stay ahead of competitors through smart
investments, aggressive marketing, and wise use of resources.
• Value the Individual... provide fair reviews and reward programs,
alternative training and career development options, inclusive
communication, and consistent administration of policies and
programs. and facilitate the integration of work and family.
Source - Towers Perrin Lotus Opinion Survey
Employer of Choice - Employee's
perceptions
Q? What would most likely help to retain good
performers?
% selected
Better career advancement opportunities 27%
More effective management of people 20%
Better pay and benefits 15%
Less work pressure and stress 10%
Access to the latest technology Technical
Source - Towers Perrin Lotus Opinion Survey
Employee’s Perceptions
Which one item would most likely result in retaining good performers at
your company? (Result in Percentages)
Share schemes 12
More role models for you 2
More resources and budget to do your job 6
More confidence in company’s plans / upper
36
management
Better career advancement opportunities 11
More interesting work 3
Less work pressure and stress 7
Better pay and benefits 10
More effective management of people 13
Source: CHRP/Hayward Survey - 1999
Employee’s perceptions
The following six items could motivate you to do your best work.
(Divide 100 points between the six elements, giving the most points to the items that motivate
you the most,
and the least points to those that do not. You may put all your points on one item, but your total
must = 100.)
Compensation and benefits
Access to best technologies
Recognition and respect
% in Range
Advancement opportunities
Quality of co-workers
Nature of the work
0 5 10 15 20 25 30
Percentag es
Source: CHRP/Hayward Survey - 1999
Employee’s Perceptions
How do you rate your pay compared to what you believe other companies offer
for similar work?
Your Pay vs Other Companies
60
50
Pe rcen tag e
40
30 % in range
20
10
0
Much Higher
About Same
Much Lower
Smwhat High
Smwht Lowe
Rating
Source: CHRP/Hayward Survey - 1999
Employee’s Perceptions
How would you rate your pay compared to what others in your location doing
similar work receive?
Your Pay vs Others in your company
60
50
Pe rcen tag e
40
30 % in range
20
10
0
Much Higher
About Same
Much Lower
Smwhat High
Smwht Lowe
Rating
Source: CHRP/Hayward Survey - 1999
Employee’s Perceptions
How would you rate your benefits package compared to what you believe
other companies offer?
Benefits Package vs Other Companies
40
Pe rcen tag e
30
20 % in Range
10
0
Much Be tter
About Same
Much Worse
Smwht Be tte
Smwht Wors
Rating
Source: CHRP/Hayward Survey - 1999
Employee’s Perceptions
To what extent do you agree that compared to other companies of the same size, your company
will provide good opportunities for you to advance your career and develop your potential?
35
30
25
Pe rcen tag e
20
% in range
15
10
5
0
1 2 3 4 5
1 = Strongly Agree, 5 = Strongly Disag ree
Source: CHRP/Hayward Survey - 1999
How effective is your Manager at......?
Communicating expect ations
Encouraging creativity
Allowing exercise of judgement
List ening to ideas/concerns
Making tough decisions
Tells me how to advance career
Enabling home/work balance
Factors
Giving honest feedback
Treat ing everybody fairly
Representing group upwards
Taking personal risks
Effectiveness score
Motivat ing you t o do your best
Planning and organising group
Integrat ing group's work in Co .
Serving as role model
Getting group to work as team
Communicating goals/roles
Ensuring t ime/resources for jo b
Overall Managerial effect iveness
-40 -20 0 20 40 60
-30 -10 10 30 50 70
Managerial Effectiveness
Low Neutral High
Source: CHRP/Hayward Survey - 1999
To be rewarded, work long hours....
50
Pe rcen tag e votin g for
40
30
W ork long hours
20
10
0
1 2 3 4 5 6 7 8
High Importance Low
Interesting?
Ac Percentage voting
hi
ev
e
10
20
30
40
50
60
70
80
0
gr
ou
p
Kn go
al
ow s
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Be
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Be r t
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Be
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W iv
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Work Factors
ng
ho
Ex ur
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e d
ow
Do n
go
hi al
gh s
pr
io
rit
y
w
or
k
To be rewarded, the most important thing is to......
Less important
More important
How effective was last Appraisal?
35
30
25
Pe rcen tag e
20
% in Range
15
10
5
0
1 2 3 4 5
1 = Very ineffective, 5 = Very Effective
Job assignments and promotions made f
35
30
25
Percentage
20
% in Range
15
10
5
0
1 2 3 4 5
1 = Strongly disagree, 5 = Strong ly agree
I get the work I want w hen I do balance wo
35
30
25
Percentage
20
% in Range
15
10
5
0
1 2 3 4 5
1 = Strongly disagree, 5 = Strong ly agree
When I need to, I can w ork from home/oth
40
30
Percentage
20 % in Range
10
0
1 2 3 4 5
1 = Strongly disagree, 5 = Strong ly agree
Work/home ba la nce difficult due to se lf a p
50
40
Percentage
30
% in Range
20
10
0
1 2 3 4 5
1 = Str ongly disagr ee, 5 = Strong ly agr ee
Company e ncoura ge s cre a tivity/innova tio
35
30
25
Percentage
20
% in Range
15
10
5
0
1 2 3 4 5
1 = Not at all, 5 = To a g reat extent
Training and Development to do the job?
35
30
25
Pe rcen tag e
20
% in Range
15
10
5
0
1 2 3 4 5
1 = Not at all, 5 = To a g reat extent
Adequate Management Training for job?
50
40
Pe rcen tag e
30
% in Range
20
10
0
1 2 3 4 5
1 = Not at all, 5 = To a g reat extent
Training enhanced career prospects?
35
30
25
Pe rcen tag e
20
% in Range
15
10
5
0
1 2 3 4 5
1 = Not at all, 5 = To a g reat extent
Company Goals and Objectives
40
30
Pe rcen tag e
20 % in Range
10
0
1 2 3 4 5
1 = Not very well informed, 5 = Very well informed
Employee Perceptions
In general, compared to other companies in your industry, how would you rate your company
as an employer?
40
30
Pe rcen tag e
20 % in range
10
0
1 2 3 4 5
1 = One of the worst, 5 = One of the best
Source: CHRP/Hayward Survey - 1999
30
25
20
Percentage
15 % in range
10
5
0
1 2 3 4 5
Clearly changing 1 = for the worst, 5 = for the better
Is your company changing for the better or worse?
60
50
40
Pe rcen tag e
30 % in range
20
10
0
1 2 3 4 5
1 = Very unlikely, 5 = Very likely
Are you likely to look for another job?
Re loca te for more inte resting work with c
70
60
50
Percentage
40
% in Range
30
20
10
0
1 2 3 4 5
1 = Ver y unlikely, 5 = Very likely
And Finally……..
Popularity of origins of employers
100
80
Percentage
60
% voting the country 1,2 or 3
40
20
0
British
German
Other Euro
French
American
Rest of Worl
Japanese
Country
Retaining and Motivating Staff
Andrew Strathdee - Director,
Corporate HR Partners Ltd.
Some Home Truths about…
• Recruiting
– First impressions about the Company
count….
– Companies sell, candidates buy
– “They wanted me….”
Some Home truths about….
• Motivating
– Managers really count
– Careers and learning opportunities count
– I count…..
Some Home Truths about….
• Retention
– It is a voluntary act - employees stay because
they want to
– People will leave…..the questions are when and
why
Employer of Choice
• However, whilst.....…
– Employee Commitment was seen as vital
– People were seen as the differentiating factor
– Winning Employee Commitment was the major reason for
introducing changes to reward
• There was
– Little consequent improvement reported in employee
commitment and morale
– Hardly any changes introduced with the benefit of employee
consultation - only 12% reported doing this...........
Are we surprised?
Being the Employer of
Choice........
• Employees need to be part of solution
– We need to listen to them
– We need the data - look at Opinion Survey Results
as well as
• Focus Groups
• Manager Reports
• HR Statistics
– They tell you the hot issues - we all need to address
them.
Key Questions
• What makes us attractive as an employer?
• What are we doing which makes employees
dissatisfied?
• How do we become and stay an employer
of choice?
• How do we hang on to our employees
……and longer?
Aligning a New Reward
Strategy ......The Deal
Business - The Strategic perspective
What the business requires to succeed
h
e
T
e
a
l
D
Organisation - The
Culture -The Employee
Systems Perspective
perspective
How the organisation
What employees
operates, implements
need and perceive
Source - Towers Perrin European Survey 1997
and manages
Building "line of sight" from
business strategy to the deal
Define Align HR
Define
Business Policies and
Business
Objectives The Deal practices
Strategies
ie
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Employer of Choice
The Deal - The a
Py
Employee's View Base
is Holistic - the elements a l
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Where do we go from here?
• It's not Rocket Science - most of us have the
right tools already....…
– We have the Vision and the Mission, what we lack is
the Delivery!
– Employees are taking the holistic view of Reward, it
is not just pay and benefits.
– To be the employer of choice we need to meet those
TOTAL reward needs.
So - how do we hang on to
them...... and longer?
• Know your Employee Profile - analyse the
population, age
• Review Market evidence internal and external
• Identify quickly fixable problems - what are your
employees thinking about……...
– Pay
– Grading
– Training Commitments?
Developing Innovative
Approaches
• Traditional base pay, incentives and benefits
won’t go away,
– they will be seen as the “wallpaper” to the job
• Individual Growth Opportunities
– emphasising the need for access to learning,
career development, mentoring, and promotional
opportunities, especially in a simple way such as
career ladders
Internetworked Companies Survey– Towers Perrin, 2000
Developing Innovative
Approaches
• Intrinsic Job Fulfilment
– which leads to companies developing
ideas to make the workplace exciting and
fulfilling, as well as enabling the addressing
of serious issues such as home/work
balance
Internetworked Companies Survey– Towers Perrin, 2000
Developing Innovative
Approaches
• Employer Branding
– Looking more carefully at the “way we do
things around here – why we are the best /
different / even unique employment
practices – essentially the package we call
the employer of choice
Internetworked Companies Survey– Towers Perrin, 2000
Recruitment
• Flexibility is key
• Tailor offers to individual needs as far
as possible
• Golden Hello's
• Recruitment Bonuses that really count
Manage Employees Better
• Employees perceive the need for Managers to
take responsibility for managing and
communicating, so…
– Conduct regular Managing People Training - make
an essential programme
– Increase profile of Managing people effectively
• Make a key element of a manager's objectives
• Introduce Good Management Awards -
nominated by staff
Managing Better in practice...…
• Better compliance with current procedures
• Get tough about objective setting and appraisals being
completed and appraisals conducted on time
• Salary reviews conducted and paid on time
• Consider 360 degree feedback, employee initiation
• Make sure "Line of sight" with business objectives is
maintained in better written individual objectives
• Ensure Manager is responsible for career development
planning
Performance Management
• Develop effective objective setting process
• Performance assessment and appraisal - link to
pay and career/skills development - 6 monthly
reviews
• Ensure pay review and appraisal run with the
business strategy and corporate objectives
People Development
• Develop Career ladders
• Involve Technical Management in the design and
completion
• Extend Technical ladders in all job families into dual
ladders
• Ensure recognition of technical contribution
eg: Appoint Chief Technical Officer
• Introduce a “Fellow Program”
• Complete development plans for individuals
• Improve employability
Training
• Contract and ensure delivery of agreed training
• Target training activities
• Identify training styles
• Set Learning Objectives before training
commences
• Monitor for improved performance after training
• Make learning an approved company activity
Training
• Offer training materials as broadly as possible and
encourage their use
• Develop Certification programmes either
Company eg MCSE or CLE or get external
validation of internal programmes
• Develop Learning Resources Centres
Training
• Get access to "guru's" - arrange for
technical external advisers to visit and
keep people up to date.
• Personal Trainers/Mentors
• Lunchtime and Breakfast Training
Updates on employee selected topics
Review Contracts
• Look at Family Friendly policies
– Flexible Working
– Extend use of Variable/staggered Hours
– Use the technology - remote working
– Develop new contracts
– Develop Home/Flexible working contracts
– Experiment with Weekly/Monthly Hours contracts
– Promote Job sharing
Home / Work Balance
• Look at Parenting leave
• Introduce Sabbaticals
(eg Extra four weeks after 6 and 15 years service
for a useful purpose)
• Take your holidays programme! (New Idea!!!)
• Keep an eye on hours worked.…
• Monitor Holiday carry-over
Family Friendly
• Child/elder care vouchers
• Creche support
• Employee Assistance and counselling
programme
• Employee/Family days (Summer Ball,
Winter Ball, Family Day)
• Open Office days for families
Pay
• Reviews Pay in line with business cycle (?6
monthly in technical areas)
• Reward performance fairly against the criteria
• Use Discretionary Bonuses (frequently budget
under-used)
• Variable pay - to link to business success
• Stock schemes to link reward to Business growth
• Incentives Schemes
Recognition
• Develop recognition mechanisms
– 100% and Achievers Clubs
– Awards - Wizard etc.
– Team and Individual Recognition - good and bad!
• Use more small awards
– Dinner for two etc
– Shopping Vouchers
– Events
– Bottle of champagne
Cars
• Improve choice
• Introduce Allowances
• Car leasing for all (Freeway scheme)
• Car valeting/Repairs on site
Benefits
• Review against total remuneration model
• Allow more flexibility within the model
• Retained Independent Financial Advisor
• On-site Financial Surgeries
• Pensions Investment choices
• Access to provider website etc
• Explore Salary sacrifice where appropriate
Healthcare
• Monitor working hours
• Onsite Massage
• Gym/Sports club memberships
• Onsite Eye Tests for VDU's
• First Aid training available to all
• Personal Safety lectures
Holidays and Time Off
• Holiday Buy outs
• Holiday Banking
• Sabbaticals
• "Sod-it Days!" (Permitted unannounced
days off - strictly limited!
Communications
• Make good use of the technology
• Develop overall communications
Shotgun mails, Company News Online, Company
Meetings via Video and Teleconferencing, etc
• Ensure Technical and other support staff not
treated as second class citizens to Sales and
Marketing - give them a kick-off meeting too….
Employee Facilities
• Company purchasing schemes
• Discounting
• Tesco/Sainsbury's Direct deliveries to office
• Other facilities on call
• Extend Marketing Give-aways T shirts etc
• Academic bursaries for employee's children
• Holiday Jobs for employee's kids
• Free or get a deal on advice - give people
access to company providers for advice (legal
etc)
Technology
• PC update policy
• Get deal on personal equipment
purchase for home use
• PC Training
• Use of Internet
• Webspaces
• Get an online banking deal with one of
them for employee's
Charitable Activities
• Charities programme - donate percentage of
profits to the fund - make employee's
responsible for allocation to charity
• Sabbaticals - encourage employees to give
blocks of time to charity
• Recognise charitable efforts by employees
• Specific Employee's Charity Support
– Disposal of surplus computer equipment
– Offering Company/Computer Training to
Charity workers
– Sponsor Employee's Kids charitable activities
For the Future?
• What about time management as a motivator?
• Encourage family responsibilities to be considered
in objectives - not just "work" based?
• Improve communication and report back and
involve at all levels - staff report back sessions
• Publicly recognise good work outside the
Company?
Conclusions
• The solutions are not simple or complete - they are
a complex mixture of doing many things better
• Reward is much more than pay and benefits
• Career development, skills development and
improving employability are crucial
• Know your employees and listen
• Retention is better than recruitment, even if only
an extension of length of stay
• Make sure leavers are friends of the organisation
