Reshaping strategy for

Attracting Talents and HR Management

Nicola Connolly, Adecco Vietnam

Times Have Changed!

Work Has Changed…

From Full Time Employment…

To Outsourced and Flexible

Workforce Solutions

Work Has Changed…

Work Has Changed…

From A Job For Life…

Work Has Changed…

From A Job For Life…

Work Has Changed…

To A Job For Now

Work Has Changed…

To A Job For Now

From People Moving To Where The Work Is…

Work Has Changed…

To The Work Moving To Where

The Talent Is

Work Has Changed…

From Big and Readily Available

Talent Pools…

Work Has Changed…

To Skills Shortages and a

Potential Talent Shortage

Work Has Changed…

Asia

Market Economy

• Global economy crisis restructures growth

• Inflation

• Cost of employment vs productivity

• Transactional HR to HR Board of Director – A SEAT AT THE TABLE

Talent Crunch

• Job seekers today are interested in far more than just „a job‟

• Leadership is important – people want to work for motivational and

inspirational leaders

• Generation X‟ers are considering different and often entrepreneurial work

options

• Generation X‟ers & Y‟ers have more of a loyalty to themselves and their

work options – than was demonstrated by the Baby Boomers

The challenges facing HR

Are You

Ready?

Market Economy – HR Strategic planning

In all economic climates, but

specifically during economic

volatility, the shelf life of a

strategic plan is less than one

year.

• In nonvolatile times, the “half-

life” of a strategic plan is

approximately ten months.

• In times of uncertainty and

volatility, a strategic plan can

abruptly expire as quickly as

two months after its

construction.

• HR must develop a close

relationship with the business

to stay on top of changing

business strategy to

understand what implications

the changes have on HR.

The Shelf Life of Strategic Plans Under Different Economic Scenarios

12

10

2

Forecasted Normal Economic

Conditions

Economic Volatility

Duration of Strategic Plan Value

(in Months)

Duration of Strategic

Plan Value

(in Months)

Strategic plans typically lose all of their

decision-making value within 10 months.

This requires that organizations revisit their

plans at least once during the year.

During economic uncertainty, the

shelf life of a strategic plan can be

less than 2 months, necessitating

frequent updates and revisions.

Implications of Shorter Shelf Life for HR Planning

Integration with the business is even more critical as economic conditions

change frequently

Increased need to monitor and revisit the HR plan more frequently

Current HR plans may be ineffective in meeting changing business goals

Of 20 key HR priorities,

one third of regional HR

executives' focus is on

extending HR's impact by

improving leadership and

strategic performance.

• As a consequence of

growth expectations

without significant staff

investments, HR strategic

planning will play an

important role in

identifying and responding

to the human capital risks

to business strategy.

Revenue Expectations Fall in Asia as Cost Pressures Remain

Percentage of Executives Expecting Higher Revenue and Cost Pressure, Asia

Percentage of Senior Executives Rating Specific Trend as One of Top

Three Impacting Business Over Next Five Years

2012

Source: CEB, Asia Business Barometer Survey; CEB, Asia HR Executive Board HR Priority Survey, 2012

Goal of HR Strategic

Planning:

To Meet Talent Challenges

HR strategic planning is the

process that enables the

organization to identify and

respond to the HR functional

and talent risks that inhibit

successful execution on

strategic priorities.

HR STRATEGIC PLANNING - A CRITICAL BUSINESS PRIORITY

Ineffective

42%

Effective

58%

HR‟s effectiveness at

conducting HR strategic

planning is mixed.

• The most common

reason HR strategic

plans fail is a lack of

integration with business

strategy.

• This lack of integration is

a result of the inability of

HR leaders to surface,

understand, and

translate business

strategy into HR strategy.

Inability to Justify

HR Investments

26%

Other

21%

Lack of Integration

w ith Business

Needs

53%

How Effective Is HR at Strategic Planning? What Is the Most Common Reason HR

Strategic Plans Fail at Your Organization?

Strategic plans

most frequently

fail due to lack of

integration with

business needs.

HR STRATEGIC PLANNING RESULTS MIXED DUE TO POOR INTEGRATION

WITH THE BUSINESS

There are four main

business integration-

related challenges that

reduce the effectiveness of

HR strategic planning.

• To overcome these

integration challenges, HR

should conduct strategic

planning across four

stages and eleven steps.

Common HR Strategy Challenges

Challenge 1: Understanding the Business

Strategy

HR fails to understand the short- and long-term

strategy of the business

HR fails to identify the critical HR capabilities

needed to support the business strategy

HR Strategic Planning Process Solutions

Stage 1: Gather Information from the Business

Step 1: Align HR and Business Planning Calendars

Step 2: Create Dialogue to Understand Business Strategy

Step 3: Translate Business Priorities into HR Capabilities

Step 4: Assess Current State of HR Effectiveness at HR

Capabilities

Challenge 2: Translating Business Strategy

into HR Strategy

HR fails to understand the HR success metrics

associated with business strategy

HR fails to identify the connectivity between

HR functions and programs

Stage 2: Prioritize and Define HR Strategy

Step 5: Prioritize HR Initiatives Based on Business

Strategy and Current HR Capability

Step 6: Unify HR Solutions into an Integrated Plan

Step 7: Ensure Strategic Plan Identifies Success Metrics

Challenge 3: Obtaining Buy-in from the

Business

HR lacks the framework to build a compelling

business case for their strategies and budget

HR infrequently communicates the strategic

plan to a limited group of stakeholders

Stage 3: Present Strategy to Stakeholders

Step 8: Gain Executive Approval for Strategic Plan

Investments

Step 9: Customize HR Communications Plan for All

Stakeholders

Stage 4: Monitor and Adapt HR Strategy

Step 10: Measure and Report Progress Toward Strategic

Goals

Step 11: Adapt HR Strategy as Business Conditions

Change

Challenge 4: Adapting Strategy as Business

Conditions Change

HR lacks the tools to measure the success of

the HR strategic plan over time

HR has no clear framework for adapting the

strategy as needed

CURRENT HR STRATEGIC PLANNING FALLS SHORT IN FOUR AREAS

HR - A SEAT AT THE BOARD OF DIRECTOR

1. Integrate Business – HR Strategic goals by aligning planning calendars

2. Create dialogue with the business to understand strategic objectives

3. Translate business priorities into critical HR capabilities

4. Assess current state of HR effectiveness at critical HR capabilities

5. Prioritize HR initiatives based on business strategy and current HR capability

6. Unify HR solutions into an integrated plan

7. Ensure strategic plan identifies success metrics

8. Gain executive approval for strategic plan investments

9. Customize HR communications plan for all stakeholders

10.Measure and report progress toward strategic goals

11.Adapt HR strategy as business conditions change

Generations In The Workplace

Are Their Needs Understood?

Women In The Workplace

Diversity In The Workplace

Generation Y in the Vietnam‟s workplace

Largest consumer group in most countries

Involved in charity and community work more than any other

generation was - or is

Often raised in relative comfort and on the internet

Work on their own terms – command of technology often puts

them in a position to negotiate with potential employers

They join an organisation because something is ‘happening

there’….not just to get a job

Hard-working – but often on their own terms!

Global Talent Competitiveness

Index 2013 - Main findings

1. The global war for talent is on, and is uneven

2. Fostering talent competitiveness is a complex task, especially in

poorer countries

3. Upcoming „talent champions‟ are emerging

4. Global Knowledge Skills are critical and strategically important

5. Expect more changes in the coming years

Source: The Global Talent Competitiveness Index 2013

TOP CHALLENGES FOR CEOS GLOBALLY AND ASIA

TOP CHALLENGES FOR CEOS GLOBALLY AND ASIA

Source: The Global Talent Competitiveness Index 2013

Pay salaries at market rate or above

Provide attractive bonus and benefits plans

Demonstrate strong leadership and that „something is going on!‟

Be perceived as an employer of choice

HR & Marketing need to work closely for external public relations & company positioning

HR needs to be highly strategic – and always think one step ahead

WHAT DO ORGANIZATIONS IN VIETNAM NEED TO DO TO ATTRACT THE

BEST TALENTS?

• Highly Strategic & Directly Supporting Business Needs

• More ‘Consultative’ Vs ‘Operational’

• Even if managing downsizing and retrenchment – nearly always on

the hunt for top talent

• Becoming increasingly familiar and adept at strategic outplacement

• Playing a major role in employee motivation and employee

communications

THE HUMAN RESOURCE FUNCTION

• Maintaining momentum and keeping the business in mind

• If in a international environment – working closely with head office

on revising compensation and benefits and supporting

aggressive cost savings initiatives

• Big focus on Training & Development – it REALLY matters

• Working closely with department heads to review workforce needs,

understand demand and to continually plan

THE HUMAN RESOURCE FUNCTION

Questions & Thank You