asia
TRANSCRIPT
There is an increased demand for more skilled and multicultural talent Hiring the right talent is the primary source of competitive advantage Recruiting the right talent is a critical business priority Having a strong global EVP that is localized to each key market is essential Implementing a targeted and cost effective sourcing strategy is crucial
KEY TRENDS IN THE ASIAN TALENT MARKET
IN TODAY’S SCARCE TALENT MARKET:
Talent is often “not familiar” with Companies as employers.
They do not always know where to find their ideal talent or how to attract them
Their offers don’t get accepted
They lose talent to other companies
They spend a lot of money on advertising to attract people and fail to get them
They use language and images that students don’t understand
Engineering and IT students are in high demand across industries
Common trends among most fortune 500 companies…
SOURCE: NOVA GLOBAL TALENT STRATEGY INDICATOR 2011Based on a survey sent to Fortune 500 companies and 2010 Deloitte Technology fast 500 globally
66%Of global employerswill increase their hiring during 2012
92%Of Fortune 500 companieswill focus more on attracting the right talent during the next three years
1/3 Have few resources on the ground in Asia Pacific, which will experience the largest recruitment growth over the next three years
57%Say the economic downturn has led to re-evaluate efficiency of recruitment efforts
83%Say their current access to top students at schools where they don’t have campus presence is limited or non-existent
STATISTICS FROM SURVEY AMONG FORTUNE 500 COMPANIES
SOURCE: NOVA GLOBAL TALENT STRATEGY INDICATOR 2011Based on a survey sent to Fortune 500 companies and 2010 Deloitte Technology fast 500 globally
Over the next 3 years, employers are expecting significant recruitment growth in Asia Pacific, but many of them are not prepared and view those same markets as most challenging.
APAC – KEY SOURCE OF FUTURE TALENT
China, India, Hong Kong, Indonesia, and Singapore will experience the largest recruitment growth over the next 3 years
Asia Pacific will be the most challenging region with respect to sourcing ideal talents
1/3 of employers do not have strong recruiting presence in those markets at this time
Future Expectations per region/market
4
• INCREASING DIFFICULTY TO
RECRUIT TALENT ACROSS
APAC COUNTRIES – HIGH
DEMAND FOR SKILLED LABOUR,
EXPERIENCED PROFESSIONALS
AND MANAGERS
• QUALITY OF CANDIDATES STILL
A CHALLENGE – MAJORITY OF
EDUCATIONAL INSTITUTIONS OF
POOR QUALITY
• EXPLOSIVE GROWTH IN ASIAN
NATIONALS STUDYING IN THE
WEST – GLOBAL SOURCING
BECOMING CRUCIAL FOR
MULTINATIONALS
• Multinational companies lose
ground to national champions
• National as well as
multinational companies in
investment and growth mode
– increasing the pressure on
the talent market
• Millennial trends are seen in
Asian students and young
professionals influence
employer selection
• Retention a persistent
problem
• Concern over “Job Hoppers”
(2 year average tenure –
attrition rate 20-30%, up to
50% in China)
• Monetary reward and future
career opportunities the
main driver in employer
selection
Talent Sourcing Employer attractiveness Cultural differences
APAC MAIN CHALLENGES FOR EMPLOYERS
…to 7 companies in the Top 10 in 2011China: From 2 companies in the top 10 IDEAL™ Employer Rankings in 2006…Company Rank 2006Procter & Gamble 1
McKinsey 2
Citigroup 3
HSBC 4
China Mobile 5
Bank of China 6
PricewaterhouseCoopers 7
KPMG 8
Morgan Stanley 9
The Boston Consulting Group 10
Company Rank 2010
Bank of China 1
Procter & Gamle 2
China Mobile 3
China Development Bank 4
ICBC 5
CICC 6
Citi 7
SGCC 8
HSBC 9
PetroChina Company 10
What are the strong factors that domestic companies have? Financial strength and market success Secure employment and professional training and
development Offer a comfortable physical work environment and a
friendly work environment Good prospects for high future earnings and competitive
benefits
ASIA 2006 TO 2011 – THE RISE OF LOCAL FIRMS
Why aren’t international companies attractive to China’s top talent? I do not feel the career opportunities are
attractive enough The work environment is too competitive I do not perceive that I would develop at that
employer
Key conclusions…
SOURCE: NOVA GLOBAL TALENT STRATEGY INDICATOR 2011Based on a survey sent to Fortune 500 companies and 2010 Deloitte Technology fast 500 globally
Top 5 countries where employers recruit international students:
1. UK2. USA3. China4. Germany5. France
Primary employment markets for which employers recruit international students:
6. China7. India 8. France 9. UK
Do you recruit international students for roles in their home countries?
More and more organizations attempt to bring international students back to their home countries! 58% of employers say they recruit international students (occasionally or frequently) for roles in their
home countries
ASIAN STUDENTS STUDYING ABROAD IN HIGH DEMAND!
Never Occasionally Frequently
41%35%
23%
50%
26%
10%
5%
8%
I plan to work in my current country for 2-3 years before moving back to
my home country
I plan to work in my current country
I plan to work in my home country
I don't know
Other options
Plans for future employment – Asian students abroad
THE MAJORITY OF ASIAN STUDENTS ABROAD PLAN TO RETURN HOME
23%
77%
22%
78%
Asian students in US
Asian students in Europe
18%
82%
32%
68%
Do you have enough information about career opportunities available for you in Asia?
Have you been approached by employers based in home country?
ASIAN STUDENTS ABROAD NOT INFORMED ABOUT OPPORTUNITIES BACK HOME
Yes No
9
Communication
Technical competence
Practical experience
Business acumen
Team leadership
Adaptability
Sales
Management
Financial expertise
Theoretical knowledge
Administration/Organisation
61 %
59 %
52 %
50 %
49 %
48 %
39 %
36 %
26 %
25 %
19 %
21 %
22 %
32 %
28 %
24 %
15 %
18 %
19 %
9 %
4 %
4 %
Skills MissingSkills Desired
What type of skills are you looking for in new hires? What are the skills that your new hires lack the most?
THERE’S STILL A MISMATCH IN SKILLS DESIRED VS. CURRENT SKILLS
10
JapanHong Kong
China
Singapore
India
1. Banks2. Financial Services3. Auditing and Accounting4. Business services and operational consulting5. Travel and leisure
1. Banks2. Financial Services3. Auditing and Accounting4. Business services and operational
consulting5. Travel and leisure
1. Financial services2. Investment banking3. Accounting (public)4. Private banking5. Hotel/restaurant/tourism/hospitality
1. Banks2. Financial Services3. Auditing and Accounting4. Management consulting5. Public sector & Governmental Agencies
1. Banks2. Auditing and Accounting3. Financial Services4. Management consulting5. Business services and operational
consulting
THE MOST ATTRACTIVE INDUSTRIES TO BUSINESS STUDENTS
1. Engineering and manufacturing2. Automotive3. Telecommunication Services4. Aerospace and defense5. Hardware equipment
1. Engineering and manufacturing2. Banks3. Public sector and Governmental Agencies4. Educational and research institutions5. Construction and materials
1. Engineering and manufacturing2. Chemicals3. Aerospace and defense4. Industrial engineering5. Pharmaceuticals and biotech
1. Engineering/manufacturing2. Academic research3. Chemical/petroleum4. Engineering consulting5. Government/public service
Top Career Goal Trends in APAC
Local Differences – Business China: To be a leader or manager of people Japan: To be autonomous or independent Hong Kong: To be dedicated to a cause or to feel that I
am serving a greater good Singapore: To have work/life balance India: To be a technical or functional expert
-What career goals do you hope to attain within three years of graduation?
Local Differences – Engineering: China: To be a leader or manager of people Japan: To be a technical or functional expert Hong Kong: To be secure or stable in my job Singapore: To have work/life balance India: To be a technical or functional expert
Business1. To have work/life balance 2. To be secure or stable in my job3. To be a leader or manager of people4. To have an international career
Differences do occur on a country by country basis in the ordering of the above career goals and the addition of country-specific career goals.
Engineering1. To have work/life balance 2. To be secure or stable in my job3. To be a technical or functional expert4. To be a leader or manager of people
THE MOST IMPORTANT CAREER GOALS
The local differences are based on the biggest positive difference to the average among the career goals in each market.
Business1. Good prospects for high future earnings
(Remuneration & Advancement Opportunities)2. Will enable me to have good work/life balance (People
& Culture)3. Good reference for future career (Remuneration &
Advancement Opportunities)4. Professional training and development (Job
Characteristics)5. Offers a friendly work environment (People & Culture)
My IDEAL™ employer should offer. . .
This data excludes Singapore as the data due to differences in the methodology. The local difference is based on the biggest positive difference to the average among the Top 5 attributes in each market.
Engineering1. Challenging work (Job Characteristics)2. Will enable me to have good work/life balance
(People & Culture)3. Good prospects for high future earnings
(Remuneration & Advancement Opportunities)4. Offers a creative and dynamic work environment
(People & Culture)5. Secure employment (Job Characteristics)
Local Differences – Business: China: Competitive benefits (Remuneration & Advancement Opportunities)
Japan: Secure employment (Job Characteristics)Hong Kong: Professional training and development (Job Characteristics)
India: Financial strength (Employer Reputation & Image)
Local Differences – Engineering: China: Competitive benefits (Remuneration &
Advancement Opportunities) Japan: Challenging work (Job Characteristics) Hong Kong: Professional training and development (Job
Characteristics)
India: Leadership opportunities (Remuneration & Advancement Opportunities)
ASIAN STUDENTS’ IDEAL EMPLOYERS
13
EXPECTED ANNUAL SALARY
14
OUT OF ALL THE MAJOR ASIAN COUNTRIES, CHINA ACCOUNTS FOR THE MOST OVERSEAS STUDENTS IN US FOLLOWED BY INDIA AND SOUTH KOREA
Japan21K
South Korea73K
China158K
India103K
Vietn.14K
Taiwan25K
Number of Chinese born students in USA went up by 23,3% between 2010 and 2011
Number of undergraduate Chinese students in USA increased by 43% between 2010 and 2011
15
3. NY University1800
Total Chinese Students Undergraduate Level Graduate Level
1. UCLA
CHINESE STUDENTS ARE TO A LARGE EXTENT SPREAD OUT IN USA, MAKING IT DIFFICULT FOR COMPANIES TO FIND THEIR IDEAL TALENT
2. Univ. of Illinois
5. Columbia University
1800
Total USA158 00057 000 77 000
16001900
4. Purdue Univ.1600
16
77 000 Chinese study in US
on Graduate level10% plan to go back to China after graduation
50% consider to go back to China after graduation
20% study computer science
19% study engineering
Total potential sourcing base:
28% study business
62 370 46 970 21 560 2 156 12 936
THE ACTUAL SOURCING BASE IS MUCH SMALLER THAN MOST COMPANIES THINK AND THE COMPETITION FOR OVERSEAS TALENT IS FIERCE
17
2. USA104 00014 000 63 000
Total Indian Students Undergraduate Level Graduate Level
1. UK41 000
--
5. SWEDEN1900
3. FRANCE
17004. GERMANY
4000
--
--
--
WHERE AND WHAT DO INDIAN STUDENTS STUDY?
18
63 000 Indians study in US
on Graduate level10% plan to go back to India after graduation
50% consider to go back to India after graduation
20% study computer science
37% study engineering
HOW BIG IS YOUR TARGET GROUP?
Total potential sourcing base:
39 690
15% study business
27090 9 450 945 5670