SlideShare a Scribd company logo
1 of 27
Download to read offline
NEGOTIATING EMPLOYMENT CONTRACTS
CONTENTS

           The Talent Landscape
           The Talent Acquisition
           Equation
           The Candidates’ Needs

           Your Company’s Leverage
The Talent

LANDSCAPE
“China costs more than
the average worker in
any other emerging
Asian economy,
excluding Malaysia and
Thailand, when
considering in terms of
combined salary and
welfare payment.”

- Chris Devonshire-Ellis , China Briefing
“
China has the lowest
engagement (17%) and
highest disengagement
(29%) of all regions
surveyed globally.
                              ”
    - BlessingWhite 2010/2011 Global
      Employee Engagement Research
“   Mexico ranked highest
    (75.8%) and China ranked
    equal third last (63%)

                                   ”
    alongside the UK.
     - Hay Group employee engagement index
Top 10 issues
      in China in 2011
1. Soaring commodity prices (59.5%)
2. Health care availability and prices (42.9%)
3. Income and wealth gap (31.6%)
4. Government corruption (29.3%)
5. Unemployment (24.2%)
6. House prices (24%)
7. Retirement pension for the elderly (16.6%)
8. Food safety (15.9%)
9. Education Costs (10.9%)
10. Environmental Pollution (10.3%)
                            Source: Chinese Academy of Social Sciences
The Talent Acquisition

EQUATION
Candidate        Your Company


   NEEDS + FEATURES = BENEFITS
GOODWILL + REPUTATION = TRUST
  You and your      Employer Brand
  line manage

   BENEFIT + TRUST = AGREEMENT
The Candidates’

NEEDS
“80% of employers admitted they
are worried about losing their top
performers.”
    - Hudson, Salary & Employment Insights 2012
MRI                  Aon
                     vs. Hewitt
  New Challenges      Learning & Development
Team Camaraderie        Company Reputation
 Work/Life Balance      Career Opportunities




                                     Source: Network HR
40% Tax
   In China



      8 – 15% Tax
      In Hong Kong & Singapore
Building your

EMPLOYER
BRAND
STRONG
EMPLOYER
                                              Evonik Degussa (China) Co. Ltd
                                              FAW-Volkswagen
BRANDS             Source: CRF                Goodyear Tire Management Company
                                              (Shanghai)
Amway (China) Co. Ltd                         HSBC Life Insurance Company Ltd
AstraZeneca (China)                           LANXESS Chemical (China) Company Ltd
Autodesk (China)                              Manulife TEDA Fund Management Co. Ltd
Bacardi Wines & Spirits Ltd.                  Roche Diagnostics (Shanghai) Limited
BASF                                          SAS Institute China Co. Ltd
Bayer Group in Greater China                  Saudi Basic Industries Corporation (SABIC)
Bekaert Management (Shanghai) Co. Ltd         Shanghai General Motors (SGM)
China Telecom Shanghai                        Shanghai Genius Advanced Material Group
Danisco (China) Co. Ltd                       Co. Ltd
Deloitte Touche Tohmatsu CPA Ltd              Shanghai Highly Group Co. Ltd
DHL-Sinotrans International Air Courier Ltd   Shanghai Tospur Real Estate Consulting Co.
Dow Chemical (China) Company Limited          Ltd
Dow Corning China                             Shanghai Volkswagen Automotive Co. Ltd
Element Fresh Food & Beverage                 Tenneco China
Management Co. Ltd                            Walmart (China) Investment Co. Ltd
China’s Most Desirable
                             Employer

                               www.networkhr.com



Antal International and Network HR magazine
What are internet zombies?
Antal International    RMG Selection
 Founded 1993          Founded 2010

1440 FANS             31,000 FANS
Case Study


             Norwegian Salmon
Norwegian Salmon
     Company
100,000+ FANS




   4 replies
Your Company’s

LEVERAGE
LEVERAGE

 NEEDINESS          BATNA

Emotion & Timing   Best Alternative to a
                       Negotiated
                       Agreement
NEEDINESS
“The employment
market is broadly
positive for
employees, with
salaries continuing to
rise as organisations
compete for the best
performers.”

- Hudson, Salary & Employment
Insights 2012
Industries under pressure
                                      95
        % Expected management hires




                                                         China
                                      90
                                                         AP Average

                                      85

                                      80

                                      75

                                      70




Antal International Q1 2012 Salary Snapshot
Topics most commented on
“The Chinese robot
market is currently
growing at an annual
rate of about 30%.
China will take the
lead among
industrialized
countries with
projected sales of
30.000 units in 2014.”

- Wolfgang Heller, Infonaut AB

More Related Content

Viewers also liked

Drafting Game Rules to Minimize Litigation
Drafting Game Rules to Minimize LitigationDrafting Game Rules to Minimize Litigation
Drafting Game Rules to Minimize LitigationEric Pesik
 
Cloud Computing - a legal view from Bird & Bird
Cloud Computing - a legal view from Bird & BirdCloud Computing - a legal view from Bird & Bird
Cloud Computing - a legal view from Bird & BirdEduserv
 
Negotiate Like a Pro - the Four Levers of a Sale by Lessonly
Negotiate Like a Pro - the Four Levers of a Sale by LessonlyNegotiate Like a Pro - the Four Levers of a Sale by Lessonly
Negotiate Like a Pro - the Four Levers of a Sale by LessonlyLessonly
 
Common Mistakes Attorneys [and Their Clients] Make Drafting and Negotating Co...
Common Mistakes Attorneys [and Their Clients] Make Drafting and Negotating Co...Common Mistakes Attorneys [and Their Clients] Make Drafting and Negotating Co...
Common Mistakes Attorneys [and Their Clients] Make Drafting and Negotating Co...ASpacone
 
Finance Vocabulary (ESL: Personal Finance)
Finance Vocabulary (ESL:  Personal Finance)Finance Vocabulary (ESL:  Personal Finance)
Finance Vocabulary (ESL: Personal Finance)KatieEnglishTutoring
 
How to Build, Deliver and Sell Online Courses (BESIG 2016)
How to Build, Deliver and Sell Online Courses (BESIG 2016)How to Build, Deliver and Sell Online Courses (BESIG 2016)
How to Build, Deliver and Sell Online Courses (BESIG 2016)Business English Pod
 
Gerunds ( ing form)
Gerunds ( ing form)Gerunds ( ing form)
Gerunds ( ing form)Jacorma06
 
When practice met kraljic 130814
When practice met kraljic 130814When practice met kraljic 130814
When practice met kraljic 130814Dr. Paul Davis
 
Supply market analysis
Supply market analysisSupply market analysis
Supply market analysissonictwinkler
 

Viewers also liked (16)

Drafting Game Rules to Minimize Litigation
Drafting Game Rules to Minimize LitigationDrafting Game Rules to Minimize Litigation
Drafting Game Rules to Minimize Litigation
 
Power Negotiation
Power NegotiationPower Negotiation
Power Negotiation
 
Cloud Computing - a legal view from Bird & Bird
Cloud Computing - a legal view from Bird & BirdCloud Computing - a legal view from Bird & Bird
Cloud Computing - a legal view from Bird & Bird
 
Contract drafting
Contract draftingContract drafting
Contract drafting
 
Negotiate Like a Pro - the Four Levers of a Sale by Lessonly
Negotiate Like a Pro - the Four Levers of a Sale by LessonlyNegotiate Like a Pro - the Four Levers of a Sale by Lessonly
Negotiate Like a Pro - the Four Levers of a Sale by Lessonly
 
Business meeting Vocab
Business meeting VocabBusiness meeting Vocab
Business meeting Vocab
 
English for Negotiations 2016
English for Negotiations 2016English for Negotiations 2016
English for Negotiations 2016
 
Common Mistakes Attorneys [and Their Clients] Make Drafting and Negotating Co...
Common Mistakes Attorneys [and Their Clients] Make Drafting and Negotating Co...Common Mistakes Attorneys [and Their Clients] Make Drafting and Negotating Co...
Common Mistakes Attorneys [and Their Clients] Make Drafting and Negotating Co...
 
Intercultural Negotiation Components Chapter 11
Intercultural Negotiation Components Chapter 11Intercultural Negotiation Components Chapter 11
Intercultural Negotiation Components Chapter 11
 
Finance Vocabulary (ESL: Personal Finance)
Finance Vocabulary (ESL:  Personal Finance)Finance Vocabulary (ESL:  Personal Finance)
Finance Vocabulary (ESL: Personal Finance)
 
How to Build, Deliver and Sell Online Courses (BESIG 2016)
How to Build, Deliver and Sell Online Courses (BESIG 2016)How to Build, Deliver and Sell Online Courses (BESIG 2016)
How to Build, Deliver and Sell Online Courses (BESIG 2016)
 
Gerunds ( ing form)
Gerunds ( ing form)Gerunds ( ing form)
Gerunds ( ing form)
 
When practice met kraljic 130814
When practice met kraljic 130814When practice met kraljic 130814
When practice met kraljic 130814
 
Intercultural Negotiation Process: Chapter10
Intercultural Negotiation Process: Chapter10Intercultural Negotiation Process: Chapter10
Intercultural Negotiation Process: Chapter10
 
Contract Drafting
Contract DraftingContract Drafting
Contract Drafting
 
Supply market analysis
Supply market analysisSupply market analysis
Supply market analysis
 

Similar to Negotiating Employment Contracts in the Year of the Dragon

What is your China strategy?
What is your China strategy?What is your China strategy?
What is your China strategy?Morry Morgan
 
Cn salary employment_insights
Cn salary employment_insightsCn salary employment_insights
Cn salary employment_insightsJennifer Yu
 
Finding Top Talent Rigzone-FINAL
Finding Top Talent Rigzone-FINALFinding Top Talent Rigzone-FINAL
Finding Top Talent Rigzone-FINALJeff Duncan, MBA
 
Chain Act 09 at ISB&M Pune
Chain Act 09 at ISB&M PuneChain Act 09 at ISB&M Pune
Chain Act 09 at ISB&M Punenilupassionate13
 
Why Talent Optimisation Must Be Your 2025 Imperative (Mark McKormack at Fuel5...
Why Talent Optimisation Must Be Your 2025 Imperative (Mark McKormack at Fuel5...Why Talent Optimisation Must Be Your 2025 Imperative (Mark McKormack at Fuel5...
Why Talent Optimisation Must Be Your 2025 Imperative (Mark McKormack at Fuel5...Executive Leaders Network
 
Building an internal executive search program | Talent Connect Anaheim
Building an internal executive search program | Talent Connect AnaheimBuilding an internal executive search program | Talent Connect Anaheim
Building an internal executive search program | Talent Connect AnaheimLinkedIn Talent Solutions
 
Accenture Saudi Arabia Innovation Maturity Index​
Accenture Saudi Arabia Innovation Maturity Index​Accenture Saudi Arabia Innovation Maturity Index​
Accenture Saudi Arabia Innovation Maturity Index​accenture
 
Breaking Through: Leadership Disciplines of Top Performing Staffing Firms - B...
Breaking Through: Leadership Disciplines of Top Performing Staffing Firms - B...Breaking Through: Leadership Disciplines of Top Performing Staffing Firms - B...
Breaking Through: Leadership Disciplines of Top Performing Staffing Firms - B...Jeremy Ott
 
Keynote NYC: Rise of the Super Recruiter
Keynote NYC: Rise of the Super RecruiterKeynote NYC: Rise of the Super Recruiter
Keynote NYC: Rise of the Super RecruiterJobvite
 
Global Labor Trends 2016
Global Labor Trends 2016Global Labor Trends 2016
Global Labor Trends 2016Indeed
 
Financial Services: Engaging Active and Passive Jobseekers in Europe and Asia
Financial Services: Engaging Active and Passive Jobseekers in Europe and AsiaFinancial Services: Engaging Active and Passive Jobseekers in Europe and Asia
Financial Services: Engaging Active and Passive Jobseekers in Europe and AsiaKelly Services
 
Assignment QuestionsIdentify a multinational company (MNC) wh
Assignment QuestionsIdentify a multinational company (MNC) whAssignment QuestionsIdentify a multinational company (MNC) wh
Assignment QuestionsIdentify a multinational company (MNC) wharleanemlerpj
 
The Hunt 100 - The Top Consumer Goods Companies - 2017 (Published List)
The Hunt 100 - The Top Consumer Goods Companies - 2017 (Published List)The Hunt 100 - The Top Consumer Goods Companies - 2017 (Published List)
The Hunt 100 - The Top Consumer Goods Companies - 2017 (Published List)Heather Whaley
 
Untapped Potential - Women in Manufacturing
Untapped Potential - Women in Manufacturing Untapped Potential - Women in Manufacturing
Untapped Potential - Women in Manufacturing Emma Street
 
Mankind corporate presentation
Mankind corporate presentationMankind corporate presentation
Mankind corporate presentationAnkit Khandelewal
 
3 Yrs. As #1 Company To Sell For
3 Yrs. As #1 Company To Sell For3 Yrs. As #1 Company To Sell For
3 Yrs. As #1 Company To Sell Foralexgrant
 

Similar to Negotiating Employment Contracts in the Year of the Dragon (20)

What is your China strategy?
What is your China strategy?What is your China strategy?
What is your China strategy?
 
Cn salary employment_insights
Cn salary employment_insightsCn salary employment_insights
Cn salary employment_insights
 
Finding Top Talent Rigzone-FINAL
Finding Top Talent Rigzone-FINALFinding Top Talent Rigzone-FINAL
Finding Top Talent Rigzone-FINAL
 
Chain Act 09 at ISB&M Pune
Chain Act 09 at ISB&M PuneChain Act 09 at ISB&M Pune
Chain Act 09 at ISB&M Pune
 
Why Talent Optimisation Must Be Your 2025 Imperative (Mark McKormack at Fuel5...
Why Talent Optimisation Must Be Your 2025 Imperative (Mark McKormack at Fuel5...Why Talent Optimisation Must Be Your 2025 Imperative (Mark McKormack at Fuel5...
Why Talent Optimisation Must Be Your 2025 Imperative (Mark McKormack at Fuel5...
 
Innovation Maturity Index 2018
Innovation Maturity Index 2018Innovation Maturity Index 2018
Innovation Maturity Index 2018
 
Building an internal executive search program | Talent Connect Anaheim
Building an internal executive search program | Talent Connect AnaheimBuilding an internal executive search program | Talent Connect Anaheim
Building an internal executive search program | Talent Connect Anaheim
 
Executive newswire 14
Executive newswire 14Executive newswire 14
Executive newswire 14
 
Accenture Saudi Arabia Innovation Maturity Index​
Accenture Saudi Arabia Innovation Maturity Index​Accenture Saudi Arabia Innovation Maturity Index​
Accenture Saudi Arabia Innovation Maturity Index​
 
Breaking Through: Leadership Disciplines of Top Performing Staffing Firms - B...
Breaking Through: Leadership Disciplines of Top Performing Staffing Firms - B...Breaking Through: Leadership Disciplines of Top Performing Staffing Firms - B...
Breaking Through: Leadership Disciplines of Top Performing Staffing Firms - B...
 
Keynote NYC: Rise of the Super Recruiter
Keynote NYC: Rise of the Super RecruiterKeynote NYC: Rise of the Super Recruiter
Keynote NYC: Rise of the Super Recruiter
 
Global Labor Trends 2016
Global Labor Trends 2016Global Labor Trends 2016
Global Labor Trends 2016
 
The Future of HR
The Future of HR The Future of HR
The Future of HR
 
Financial Services: Engaging Active and Passive Jobseekers in Europe and Asia
Financial Services: Engaging Active and Passive Jobseekers in Europe and AsiaFinancial Services: Engaging Active and Passive Jobseekers in Europe and Asia
Financial Services: Engaging Active and Passive Jobseekers in Europe and Asia
 
Assignment QuestionsIdentify a multinational company (MNC) wh
Assignment QuestionsIdentify a multinational company (MNC) whAssignment QuestionsIdentify a multinational company (MNC) wh
Assignment QuestionsIdentify a multinational company (MNC) wh
 
The Hunt 100 - The Top Consumer Goods Companies - 2017 (Published List)
The Hunt 100 - The Top Consumer Goods Companies - 2017 (Published List)The Hunt 100 - The Top Consumer Goods Companies - 2017 (Published List)
The Hunt 100 - The Top Consumer Goods Companies - 2017 (Published List)
 
Untapped Potential - Women in Manufacturing
Untapped Potential - Women in Manufacturing Untapped Potential - Women in Manufacturing
Untapped Potential - Women in Manufacturing
 
Mankind corporate presentation
Mankind corporate presentationMankind corporate presentation
Mankind corporate presentation
 
3 Yrs. As #1 Company To Sell For
3 Yrs. As #1 Company To Sell For3 Yrs. As #1 Company To Sell For
3 Yrs. As #1 Company To Sell For
 
10 recommandments kl magna
10 recommandments kl magna10 recommandments kl magna
10 recommandments kl magna
 

More from Morry Morgan

Australian SMEs in China - Innovation and Engagement Workshop
Australian SMEs in China - Innovation and Engagement WorkshopAustralian SMEs in China - Innovation and Engagement Workshop
Australian SMEs in China - Innovation and Engagement WorkshopMorry Morgan
 
China, Rethink - Why China needs to rethink its modern 'Journey to the West'
China, Rethink - Why China needs to rethink its modern 'Journey to the West'China, Rethink - Why China needs to rethink its modern 'Journey to the West'
China, Rethink - Why China needs to rethink its modern 'Journey to the West'Morry Morgan
 
A Brand Called You - Australian Chamber of Commerce Key Note
A Brand Called You - Australian Chamber of Commerce Key NoteA Brand Called You - Australian Chamber of Commerce Key Note
A Brand Called You - Australian Chamber of Commerce Key NoteMorry Morgan
 
Unveiling the Dragon - Hult University - TEDx - morry morgan
Unveiling the Dragon - Hult University - TEDx - morry morganUnveiling the Dragon - Hult University - TEDx - morry morgan
Unveiling the Dragon - Hult University - TEDx - morry morganMorry Morgan
 
Multi-touch approach to empower the pipeline - morry morgan
Multi-touch approach to empower the pipeline - morry morganMulti-touch approach to empower the pipeline - morry morgan
Multi-touch approach to empower the pipeline - morry morganMorry Morgan
 
Negotiating Principles for the World's Largest Market - UniSA
Negotiating Principles for the World's Largest Market - UniSANegotiating Principles for the World's Largest Market - UniSA
Negotiating Principles for the World's Largest Market - UniSAMorry Morgan
 
Network HR Magazine Marketing Opportunities in 2012
Network HR Magazine Marketing Opportunities in 2012Network HR Magazine Marketing Opportunities in 2012
Network HR Magazine Marketing Opportunities in 2012Morry Morgan
 
Selling Big to China - a brief introduction
Selling Big to China - a brief introductionSelling Big to China - a brief introduction
Selling Big to China - a brief introductionMorry Morgan
 
Creating and Developing a Strong Chinese Sales Team
Creating and Developing a Strong Chinese Sales TeamCreating and Developing a Strong Chinese Sales Team
Creating and Developing a Strong Chinese Sales TeamMorry Morgan
 
Spark09 'Ideas Conference'
Spark09 'Ideas Conference'Spark09 'Ideas Conference'
Spark09 'Ideas Conference'Morry Morgan
 

More from Morry Morgan (10)

Australian SMEs in China - Innovation and Engagement Workshop
Australian SMEs in China - Innovation and Engagement WorkshopAustralian SMEs in China - Innovation and Engagement Workshop
Australian SMEs in China - Innovation and Engagement Workshop
 
China, Rethink - Why China needs to rethink its modern 'Journey to the West'
China, Rethink - Why China needs to rethink its modern 'Journey to the West'China, Rethink - Why China needs to rethink its modern 'Journey to the West'
China, Rethink - Why China needs to rethink its modern 'Journey to the West'
 
A Brand Called You - Australian Chamber of Commerce Key Note
A Brand Called You - Australian Chamber of Commerce Key NoteA Brand Called You - Australian Chamber of Commerce Key Note
A Brand Called You - Australian Chamber of Commerce Key Note
 
Unveiling the Dragon - Hult University - TEDx - morry morgan
Unveiling the Dragon - Hult University - TEDx - morry morganUnveiling the Dragon - Hult University - TEDx - morry morgan
Unveiling the Dragon - Hult University - TEDx - morry morgan
 
Multi-touch approach to empower the pipeline - morry morgan
Multi-touch approach to empower the pipeline - morry morganMulti-touch approach to empower the pipeline - morry morgan
Multi-touch approach to empower the pipeline - morry morgan
 
Negotiating Principles for the World's Largest Market - UniSA
Negotiating Principles for the World's Largest Market - UniSANegotiating Principles for the World's Largest Market - UniSA
Negotiating Principles for the World's Largest Market - UniSA
 
Network HR Magazine Marketing Opportunities in 2012
Network HR Magazine Marketing Opportunities in 2012Network HR Magazine Marketing Opportunities in 2012
Network HR Magazine Marketing Opportunities in 2012
 
Selling Big to China - a brief introduction
Selling Big to China - a brief introductionSelling Big to China - a brief introduction
Selling Big to China - a brief introduction
 
Creating and Developing a Strong Chinese Sales Team
Creating and Developing a Strong Chinese Sales TeamCreating and Developing a Strong Chinese Sales Team
Creating and Developing a Strong Chinese Sales Team
 
Spark09 'Ideas Conference'
Spark09 'Ideas Conference'Spark09 'Ideas Conference'
Spark09 'Ideas Conference'
 

Recently uploaded

A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.mcshagufta46
 
Michael Vidyakin: Introduction to PMO (UA)
Michael Vidyakin: Introduction to PMO (UA)Michael Vidyakin: Introduction to PMO (UA)
Michael Vidyakin: Introduction to PMO (UA)Lviv Startup Club
 
Entrepreneurship & organisations: influences and organizations
Entrepreneurship & organisations: influences and organizationsEntrepreneurship & organisations: influences and organizations
Entrepreneurship & organisations: influences and organizationsP&CO
 
Intellectual Property Licensing Examples
Intellectual Property Licensing ExamplesIntellectual Property Licensing Examples
Intellectual Property Licensing Examplesamberjiles31
 
Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access
 
Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024Borderless Access
 
Fabric RFID Wristbands in Ireland for Events and Festivals
Fabric RFID Wristbands in Ireland for Events and FestivalsFabric RFID Wristbands in Ireland for Events and Festivals
Fabric RFID Wristbands in Ireland for Events and FestivalsWristbands Ireland
 
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003believeminhh
 
Team B Mind Map for Organizational Chg..
Team B Mind Map for Organizational Chg..Team B Mind Map for Organizational Chg..
Team B Mind Map for Organizational Chg..dlewis191
 
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdfGraham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdfAnhNguyen97152
 
Talent Management research intelligence_13 paradigm shifts_20 March 2024.pdf
Talent Management research intelligence_13 paradigm shifts_20 March 2024.pdfTalent Management research intelligence_13 paradigm shifts_20 March 2024.pdf
Talent Management research intelligence_13 paradigm shifts_20 March 2024.pdfCharles Cotter, PhD
 
Ethical stalking by Mark Williams. UpliftLive 2024
Ethical stalking by Mark Williams. UpliftLive 2024Ethical stalking by Mark Williams. UpliftLive 2024
Ethical stalking by Mark Williams. UpliftLive 2024Winbusinessin
 
Developing Coaching Skills: Mine, Yours, Ours
Developing Coaching Skills: Mine, Yours, OursDeveloping Coaching Skills: Mine, Yours, Ours
Developing Coaching Skills: Mine, Yours, OursKaiNexus
 
TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...
TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...
TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...TalentView
 
Slicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup BerlinSlicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup BerlinAnton Skornyakov
 
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...IMARC Group
 
Project Brief & Information Architecture Report
Project Brief & Information Architecture ReportProject Brief & Information Architecture Report
Project Brief & Information Architecture Reportamberjiles31
 
NewBase 25 March 2024 Energy News issue - 1710 by Khaled Al Awadi_compress...
NewBase  25 March  2024  Energy News issue - 1710 by Khaled Al Awadi_compress...NewBase  25 March  2024  Energy News issue - 1710 by Khaled Al Awadi_compress...
NewBase 25 March 2024 Energy News issue - 1710 by Khaled Al Awadi_compress...Khaled Al Awadi
 
PDT 89 - $1.4M - Seed - Plantee Innovations.pdf
PDT 89 - $1.4M - Seed - Plantee Innovations.pdfPDT 89 - $1.4M - Seed - Plantee Innovations.pdf
PDT 89 - $1.4M - Seed - Plantee Innovations.pdfHajeJanKamps
 
7movierulz.uk
7movierulz.uk7movierulz.uk
7movierulz.ukaroemirsr
 

Recently uploaded (20)

A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.
 
Michael Vidyakin: Introduction to PMO (UA)
Michael Vidyakin: Introduction to PMO (UA)Michael Vidyakin: Introduction to PMO (UA)
Michael Vidyakin: Introduction to PMO (UA)
 
Entrepreneurship & organisations: influences and organizations
Entrepreneurship & organisations: influences and organizationsEntrepreneurship & organisations: influences and organizations
Entrepreneurship & organisations: influences and organizations
 
Intellectual Property Licensing Examples
Intellectual Property Licensing ExamplesIntellectual Property Licensing Examples
Intellectual Property Licensing Examples
 
Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024
 
Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024
 
Fabric RFID Wristbands in Ireland for Events and Festivals
Fabric RFID Wristbands in Ireland for Events and FestivalsFabric RFID Wristbands in Ireland for Events and Festivals
Fabric RFID Wristbands in Ireland for Events and Festivals
 
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
 
Team B Mind Map for Organizational Chg..
Team B Mind Map for Organizational Chg..Team B Mind Map for Organizational Chg..
Team B Mind Map for Organizational Chg..
 
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdfGraham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdf
 
Talent Management research intelligence_13 paradigm shifts_20 March 2024.pdf
Talent Management research intelligence_13 paradigm shifts_20 March 2024.pdfTalent Management research intelligence_13 paradigm shifts_20 March 2024.pdf
Talent Management research intelligence_13 paradigm shifts_20 March 2024.pdf
 
Ethical stalking by Mark Williams. UpliftLive 2024
Ethical stalking by Mark Williams. UpliftLive 2024Ethical stalking by Mark Williams. UpliftLive 2024
Ethical stalking by Mark Williams. UpliftLive 2024
 
Developing Coaching Skills: Mine, Yours, Ours
Developing Coaching Skills: Mine, Yours, OursDeveloping Coaching Skills: Mine, Yours, Ours
Developing Coaching Skills: Mine, Yours, Ours
 
TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...
TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...
TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...
 
Slicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup BerlinSlicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup Berlin
 
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
 
Project Brief & Information Architecture Report
Project Brief & Information Architecture ReportProject Brief & Information Architecture Report
Project Brief & Information Architecture Report
 
NewBase 25 March 2024 Energy News issue - 1710 by Khaled Al Awadi_compress...
NewBase  25 March  2024  Energy News issue - 1710 by Khaled Al Awadi_compress...NewBase  25 March  2024  Energy News issue - 1710 by Khaled Al Awadi_compress...
NewBase 25 March 2024 Energy News issue - 1710 by Khaled Al Awadi_compress...
 
PDT 89 - $1.4M - Seed - Plantee Innovations.pdf
PDT 89 - $1.4M - Seed - Plantee Innovations.pdfPDT 89 - $1.4M - Seed - Plantee Innovations.pdf
PDT 89 - $1.4M - Seed - Plantee Innovations.pdf
 
7movierulz.uk
7movierulz.uk7movierulz.uk
7movierulz.uk
 

Negotiating Employment Contracts in the Year of the Dragon

  • 2. CONTENTS The Talent Landscape The Talent Acquisition Equation The Candidates’ Needs Your Company’s Leverage
  • 4. “China costs more than the average worker in any other emerging Asian economy, excluding Malaysia and Thailand, when considering in terms of combined salary and welfare payment.” - Chris Devonshire-Ellis , China Briefing
  • 5. “ China has the lowest engagement (17%) and highest disengagement (29%) of all regions surveyed globally. ” - BlessingWhite 2010/2011 Global Employee Engagement Research
  • 6. Mexico ranked highest (75.8%) and China ranked equal third last (63%) ” alongside the UK. - Hay Group employee engagement index
  • 7. Top 10 issues in China in 2011 1. Soaring commodity prices (59.5%) 2. Health care availability and prices (42.9%) 3. Income and wealth gap (31.6%) 4. Government corruption (29.3%) 5. Unemployment (24.2%) 6. House prices (24%) 7. Retirement pension for the elderly (16.6%) 8. Food safety (15.9%) 9. Education Costs (10.9%) 10. Environmental Pollution (10.3%) Source: Chinese Academy of Social Sciences
  • 9. Candidate Your Company NEEDS + FEATURES = BENEFITS GOODWILL + REPUTATION = TRUST You and your Employer Brand line manage BENEFIT + TRUST = AGREEMENT
  • 11. “80% of employers admitted they are worried about losing their top performers.” - Hudson, Salary & Employment Insights 2012
  • 12. MRI Aon vs. Hewitt New Challenges Learning & Development Team Camaraderie Company Reputation Work/Life Balance Career Opportunities Source: Network HR
  • 13. 40% Tax In China 8 – 15% Tax In Hong Kong & Singapore
  • 15. STRONG EMPLOYER Evonik Degussa (China) Co. Ltd FAW-Volkswagen BRANDS Source: CRF Goodyear Tire Management Company (Shanghai) Amway (China) Co. Ltd HSBC Life Insurance Company Ltd AstraZeneca (China) LANXESS Chemical (China) Company Ltd Autodesk (China) Manulife TEDA Fund Management Co. Ltd Bacardi Wines & Spirits Ltd. Roche Diagnostics (Shanghai) Limited BASF SAS Institute China Co. Ltd Bayer Group in Greater China Saudi Basic Industries Corporation (SABIC) Bekaert Management (Shanghai) Co. Ltd Shanghai General Motors (SGM) China Telecom Shanghai Shanghai Genius Advanced Material Group Danisco (China) Co. Ltd Co. Ltd Deloitte Touche Tohmatsu CPA Ltd Shanghai Highly Group Co. Ltd DHL-Sinotrans International Air Courier Ltd Shanghai Tospur Real Estate Consulting Co. Dow Chemical (China) Company Limited Ltd Dow Corning China Shanghai Volkswagen Automotive Co. Ltd Element Fresh Food & Beverage Tenneco China Management Co. Ltd Walmart (China) Investment Co. Ltd
  • 16. China’s Most Desirable Employer www.networkhr.com Antal International and Network HR magazine
  • 17. What are internet zombies?
  • 18. Antal International RMG Selection Founded 1993 Founded 2010 1440 FANS 31,000 FANS
  • 19. Case Study Norwegian Salmon
  • 20. Norwegian Salmon Company 100,000+ FANS 4 replies
  • 22. LEVERAGE NEEDINESS BATNA Emotion & Timing Best Alternative to a Negotiated Agreement
  • 24. “The employment market is broadly positive for employees, with salaries continuing to rise as organisations compete for the best performers.” - Hudson, Salary & Employment Insights 2012
  • 25. Industries under pressure 95 % Expected management hires China 90 AP Average 85 80 75 70 Antal International Q1 2012 Salary Snapshot
  • 27. “The Chinese robot market is currently growing at an annual rate of about 30%. China will take the lead among industrialized countries with projected sales of 30.000 units in 2014.” - Wolfgang Heller, Infonaut AB

Editor's Notes

  1.  Ted - ForDoing business in china (book by Ted)Can't manipulate the rules anymore - not a bad thing but less free.Establishing better rule of lawMoving towards a more predicatble business climate change Difficult to pull out. Chris Murphy - AgainstIncreasing taxation laws 32% and a half tax rate 10%holding tax, in reality 20%.Crazy import taxesCambodia has no export tax in to EEC. from China, 12% heavy protectionism Adrian LiTalent pool is getting betterDriven by market factors65 million empty apartments in China interesting business model from Adrian Biggest mobile internet population World bank 2030 report - damning for China Adrians figures show a housing bubble Buying up our brands on the cheap is not a business model Social, government and tax structure supports export over import - but selling into local market is an issue. 
  2. Approximately 46% of HR professionals who are involved in negotiations have never had negotiation training in any form. And yet, the need for more staff across China is going up, but the talent pool is not growing at the same rate.
  3. What is the difference between us, and emerging markets like China?‘Hardware’ and ‘software’. Rote learning Steven Hankin of McKinsey & Co, back in 1997670 executives in China 73% stated that it would still be tough to recruit top talent, citing ‘skills shortage’ One of the earliest reforms in the Deng Xiaoping era was the reopening of China’s universities, which had been closed during Mao’s Cultural Revolution; the World Bank’s first loan to Deng’s China was to support various aspects of higher education. So in the early 80s the universities reopened, but the Compulsive Thinking Disorder of the past survived the purge, and today rote learning continues on in classes as it has done for thousands of years. Unique Talent ChallengesThe War for Talent was first coined by Steven Hankin of McKinsey & Co, back in 1997. Hankin was originally referring to the demographic shift, primarily in Europe and the US, as retirees outstripped new, and qualified, recruits. However, while China is in a war of its own, it is not the ageing population that is the cause – most Chinese retiring today grew up when relationships, not computer skills, determined career advancement. Instead, it is enormous economic growth coupled to the mismatch of Chinese education and international business acumen. The cultural phenomenon of rote learning, a focus on grades before experience, and a society that is only now realising the importance of innovation has caused this mess. So much so, that while 6.6 million university graduates entered the workforce in 2011, Hudson reported that of 670 executives in China 73% stated that it would still be tough to recruit top talent, citing ‘skills shortage’ as the top challenge.This kind of news is terrifying for Australian and Asia-Pacific HR directors who have the mission to build a workforce linked to a China expansion strategy. But then again, nothing in China is easy, so why should recruitment be any different? Operation directors complain of poor quality, sales directors complain of corrupt buyers, and finance directors complain of erratic changes to taxation and reporting legislation. All this ‘ma fan’ (Chinese for ‘trouble’) is just the barrier to entry. The proverbial ‘toll you must pay’. Accept it, and focus on building a competitive edge – talent attraction.The steps to recruitment building a talent pipeline in ChinaSince you will probably be hiring a large bulk of your staff within the youth market, it’s important to understand how they tick. You might be surprised. In 2011 The MRI China Group conducted a survey, which included 2,265 Chinese aged between 25 and 37. One question that drew considerable attention was ‘Why do you choose to remain in your company?’ The top three answers were:Career developmentTeam camaraderieWork-life Balance‘Pay’ was not in the medal rankings.Asked what attracts them to a job, a separate study by Aon Hewitt on a similar Chinese demographic reported (as one, two, three):L&DCompany reputationCareer opportunities Again, no mention of salary within the top three motivators.This should come as a shook for anyone who has spent time in China over the past 10 to 15 years, since job hopping, over the barest of salary rises, were commonplace amongst white-collar workers. Unfortunately, those job-hoppers are still prevalent, only this time it’s less over pay and more over maintaining a 40 hour work week and being home for dinner.Aon Hewitt’s report, while supporting the research of MRI, is also a reminder that a strong employer brand is beneficial to increasing the access to talent – 20% more by some accounts. But what’s more interesting is the move away from multinational companies towards some unexpected benefactors. In 2010 the Chinese English language newspaper, Global Times, reported that while “just 10 years ago, only about 2,000 university students joined the People's Liberation Army (PLA) each year” that number in “last winter's intake was more than 130,000 university students”. To paraphrase, just ‘being foreign’ is no longer enough. Now, not only do Australian brands need to compete against the Global 1000 companies for top quality staff, but local government and State-Owned Enterprises are now taking a chunk of the talent.  But smart (and that means tech-savvy) companies need not fret. They understand that nowhere is there a bigger internet penetration than China, with 384 million active users – an irony, that is not lost on many, who complain of internet censorship. But while Facebook, Twitter and Youtube (amongst a growing list of around 2,600 sites) are blocked in China, there are home-grown SNSs (that’s ‘geek-speak’ for Social Networking Sites) that are ideal platforms to connect to your potential employees and build a strong employer brand. SinaWeibo and TencentWeibo are Twitter copies, and Kaixin and RenRen both mirror Facebook. While LinkedIn isn’t blocked (although it’s had its ups-and-downs in the past), it also has a decent Shanghai-born competitor called Ushi. LinkedIn boasts around 1.5 million active users in Mainland China, compared to Ushi’s 700,000. However, Ushi’s founder, Dominic Penaloza, boasts that half of LinkedIn’s China-based numbers are expatriates, and they are not growing. Ushi, by contrast is predicted to “hit three million users in China within a year”. That’s why Australian businesses are recommended to add ‘social media expert’ to all HR job descriptions.
  4. What is the difference between us, and emerging markets like China?‘Hardware’ and ‘software’. Rote learning Steven Hankin of McKinsey & Co, back in 1997670 executives in China 73% stated that it would still be tough to recruit top talent, citing ‘skills shortage’ One of the earliest reforms in the Deng Xiaoping era was the reopening of China’s universities, which had been closed during Mao’s Cultural Revolution; the World Bank’s first loan to Deng’s China was to support various aspects of higher education. So in the early 80s the universities reopened, but the Compulsive Thinking Disorder of the past survived the purge, and today rote learning continues on in classes as it has done for thousands of years. Unique Talent ChallengesThe War for Talent was first coined by Steven Hankin of McKinsey & Co, back in 1997. Hankin was originally referring to the demographic shift, primarily in Europe and the US, as retirees outstripped new, and qualified, recruits. However, while China is in a war of its own, it is not the ageing population that is the cause – most Chinese retiring today grew up when relationships, not computer skills, determined career advancement. Instead, it is enormous economic growth coupled to the mismatch of Chinese education and international business acumen. The cultural phenomenon of rote learning, a focus on grades before experience, and a society that is only now realising the importance of innovation has caused this mess. So much so, that while 6.6 million university graduates entered the workforce in 2011, Hudson reported that of 670 executives in China 73% stated that it would still be tough to recruit top talent, citing ‘skills shortage’ as the top challenge.This kind of news is terrifying for Australian and Asia-Pacific HR directors who have the mission to build a workforce linked to a China expansion strategy. But then again, nothing in China is easy, so why should recruitment be any different? Operation directors complain of poor quality, sales directors complain of corrupt buyers, and finance directors complain of erratic changes to taxation and reporting legislation. All this ‘ma fan’ (Chinese for ‘trouble’) is just the barrier to entry. The proverbial ‘toll you must pay’. Accept it, and focus on building a competitive edge – talent attraction.The steps to recruitment building a talent pipeline in ChinaSince you will probably be hiring a large bulk of your staff within the youth market, it’s important to understand how they tick. You might be surprised. In 2011 The MRI China Group conducted a survey, which included 2,265 Chinese aged between 25 and 37. One question that drew considerable attention was ‘Why do you choose to remain in your company?’ The top three answers were:Career developmentTeam camaraderieWork-life Balance‘Pay’ was not in the medal rankings.Asked what attracts them to a job, a separate study by Aon Hewitt on a similar Chinese demographic reported (as one, two, three):L&DCompany reputationCareer opportunities Again, no mention of salary within the top three motivators.This should come as a shook for anyone who has spent time in China over the past 10 to 15 years, since job hopping, over the barest of salary rises, were commonplace amongst white-collar workers. Unfortunately, those job-hoppers are still prevalent, only this time it’s less over pay and more over maintaining a 40 hour work week and being home for dinner.Aon Hewitt’s report, while supporting the research of MRI, is also a reminder that a strong employer brand is beneficial to increasing the access to talent – 20% more by some accounts. But what’s more interesting is the move away from multinational companies towards some unexpected benefactors. In 2010 the Chinese English language newspaper, Global Times, reported that while “just 10 years ago, only about 2,000 university students joined the People's Liberation Army (PLA) each year” that number in “last winter's intake was more than 130,000 university students”. To paraphrase, just ‘being foreign’ is no longer enough. Now, not only do Australian brands need to compete against the Global 1000 companies for top quality staff, but local government and State-Owned Enterprises are now taking a chunk of the talent.  But smart (and that means tech-savvy) companies need not fret. They understand that nowhere is there a bigger internet penetration than China, with 384 million active users – an irony, that is not lost on many, who complain of internet censorship. But while Facebook, Twitter and Youtube (amongst a growing list of around 2,600 sites) are blocked in China, there are home-grown SNSs (that’s ‘geek-speak’ for Social Networking Sites) that are ideal platforms to connect to your potential employees and build a strong employer brand. SinaWeibo and TencentWeibo are Twitter copies, and Kaixin and RenRen both mirror Facebook. While LinkedIn isn’t blocked (although it’s had its ups-and-downs in the past), it also has a decent Shanghai-born competitor called Ushi. LinkedIn boasts around 1.5 million active users in Mainland China, compared to Ushi’s 700,000. However, Ushi’s founder, Dominic Penaloza, boasts that half of LinkedIn’s China-based numbers are expatriates, and they are not growing. Ushi, by contrast is predicted to “hit three million users in China within a year”. That’s why Australian businesses are recommended to add ‘social media expert’ to all HR job descriptions.
  5. Wan might have a solution. “Many Asia-Pacific executives spend part of their work commitment in mainland China, and another part in, say, Singapore or Hong Kong. In this case, it is possible to split an employee’s salary across both countries, and therefore reduce the mainland China tax burden,” says Wan. “Personal income tax can be as low as 8 to 10 percent in Singapore, whereas in China it can be over 40 percent.”If this is the case, says Wan, a contract can be created that allows for two separate payments into two separate bank accounts in two separate countries. He adds that if an employee spends less than 183 days in a year in China, then they do not have to pay any tax to the PRC.
  6. What is the difference between us, and emerging markets like China?‘Hardware’ and ‘software’. Rote learning Steven Hankin of McKinsey & Co, back in 1997670 executives in China 73% stated that it would still be tough to recruit top talent, citing ‘skills shortage’ One of the earliest reforms in the Deng Xiaoping era was the reopening of China’s universities, which had been closed during Mao’s Cultural Revolution; the World Bank’s first loan to Deng’s China was to support various aspects of higher education. So in the early 80s the universities reopened, but the Compulsive Thinking Disorder of the past survived the purge, and today rote learning continues on in classes as it has done for thousands of years. Unique Talent ChallengesThe War for Talent was first coined by Steven Hankin of McKinsey & Co, back in 1997. Hankin was originally referring to the demographic shift, primarily in Europe and the US, as retirees outstripped new, and qualified, recruits. However, while China is in a war of its own, it is not the ageing population that is the cause – most Chinese retiring today grew up when relationships, not computer skills, determined career advancement. Instead, it is enormous economic growth coupled to the mismatch of Chinese education and international business acumen. The cultural phenomenon of rote learning, a focus on grades before experience, and a society that is only now realising the importance of innovation has caused this mess. So much so, that while 6.6 million university graduates entered the workforce in 2011, Hudson reported that of 670 executives in China 73% stated that it would still be tough to recruit top talent, citing ‘skills shortage’ as the top challenge.This kind of news is terrifying for Australian and Asia-Pacific HR directors who have the mission to build a workforce linked to a China expansion strategy. But then again, nothing in China is easy, so why should recruitment be any different? Operation directors complain of poor quality, sales directors complain of corrupt buyers, and finance directors complain of erratic changes to taxation and reporting legislation. All this ‘ma fan’ (Chinese for ‘trouble’) is just the barrier to entry. The proverbial ‘toll you must pay’. Accept it, and focus on building a competitive edge – talent attraction.The steps to recruitment building a talent pipeline in ChinaSince you will probably be hiring a large bulk of your staff within the youth market, it’s important to understand how they tick. You might be surprised. In 2011 The MRI China Group conducted a survey, which included 2,265 Chinese aged between 25 and 37. One question that drew considerable attention was ‘Why do you choose to remain in your company?’ The top three answers were:Career developmentTeam camaraderieWork-life Balance‘Pay’ was not in the medal rankings.Asked what attracts them to a job, a separate study by Aon Hewitt on a similar Chinese demographic reported (as one, two, three):L&DCompany reputationCareer opportunities Again, no mention of salary within the top three motivators.This should come as a shook for anyone who has spent time in China over the past 10 to 15 years, since job hopping, over the barest of salary rises, were commonplace amongst white-collar workers. Unfortunately, those job-hoppers are still prevalent, only this time it’s less over pay and more over maintaining a 40 hour work week and being home for dinner.Aon Hewitt’s report, while supporting the research of MRI, is also a reminder that a strong employer brand is beneficial to increasing the access to talent – 20% more by some accounts. But what’s more interesting is the move away from multinational companies towards some unexpected benefactors. In 2010 the Chinese English language newspaper, Global Times, reported that while “just 10 years ago, only about 2,000 university students joined the People's Liberation Army (PLA) each year” that number in “last winter's intake was more than 130,000 university students”. To paraphrase, just ‘being foreign’ is no longer enough. Now, not only do Australian brands need to compete against the Global 1000 companies for top quality staff, but local government and State-Owned Enterprises are now taking a chunk of the talent.  But smart (and that means tech-savvy) companies need not fret. They understand that nowhere is there a bigger internet penetration than China, with 384 million active users – an irony, that is not lost on many, who complain of internet censorship. But while Facebook, Twitter and Youtube (amongst a growing list of around 2,600 sites) are blocked in China, there are home-grown SNSs (that’s ‘geek-speak’ for Social Networking Sites) that are ideal platforms to connect to your potential employees and build a strong employer brand. SinaWeibo and TencentWeibo are Twitter copies, and Kaixin and RenRen both mirror Facebook. While LinkedIn isn’t blocked (although it’s had its ups-and-downs in the past), it also has a decent Shanghai-born competitor called Ushi. LinkedIn boasts around 1.5 million active users in Mainland China, compared to Ushi’s 700,000. However, Ushi’s founder, Dominic Penaloza, boasts that half of LinkedIn’s China-based numbers are expatriates, and they are not growing. Ushi, by contrast is predicted to “hit three million users in China within a year”. That’s why Australian businesses are recommended to add ‘social media expert’ to all HR job descriptions.
  7. In 2006 the Corporate Leadership Council found that “strong employer brands provided access to 20% more of the potential talent market than weak or unmanaged employer brands” which is supported by Aon Hewitt research (see graph 1) which found ‘company reputation’ to be a ‘selling point’ by 75 percent of respondents. And the better the reputation, the more candidates will apply for any vacant position. In negotiation terms this is a BATNA – or Best Alternative To a Negotiable Agreement – which will be covered later. But right now, understand that goodwill and reputation builds trust. And trust is why someone would consider leaving their safe job, and work for your company.
  8. I’m a Zombie fan.So much so, that back in my early 20s I wrote, directed and stared in my own movie – ‘The Dead Will Rise’. Pig brains and a VHS video camera were the only expense, and while the movie did run up to 45 minutes and receive an A+ for my co-producer’s high school project, it never saw the big screen. It never received an AFI, BAFTA or Oscar award, but it did instill a passion for the genre.Now I’ve learnt about another type of zombie. This time not on celluloid, but online. These zombies, or 僵尸粉, are more sinister because they are beginning to invade our real lives.Internet Zombies are fake Weibo accounts, the Chinese Twitter, used to boost egos and brand credibility. For as little as 5 RMB a Weibo account can gain 1,000 ‘fans’. For 120 RMB, 5,000 fans, equipped with personalities – followers, a history of posting, a profile photo and personal description – can adorn a user’s account. Deceit or simply a cry for cry for attention?One Beijing based recruitment firm, a recent start-up, has jumped from a few hundred fans in 2011 to boasting over 31,000 fans in March of 2012.  In comparison, the founder’s previous company, Antal International, which has been in the market since 1993 has only 1,400 fans.Of course a crowd draws a crowd, and this is probably the strategy for this start-up, who are in the recruitment business after all,  where volume is important and a looking ‘new’ wins no awards.  Innocent ego tripping, you might say. But when established brands hire the services of marketing and PR agencies in China, to help boost their brand’s awareness, not ego, internet zombies are useless, and may be detrimental to the brand.Take the case of a Norwegian Salmon company, which was pleasantly surprised when their contracted PR company was able to attract over 100,000 fans to its corporate Weibo account. Clearly, Chinese netizens who had ‘fanned’ the Norwegian Salmon company were passionate about their fish, and so it made sense to run a competition to further engage their fan base. This time, when they were surprised, it wasn’t pleasantly. Only 4 fans responded – a pathetic 0.004% response rate, and evidence that most of the fans had been bought.Domestic companies are also not immune to such deception.HaomenJipin Abalone Restaurant in Shuozhou, in Shanxi province, announced a promotion in cooperation with chinamil.com.cn, a website sponsored by the PLA Daily. In an advertisement posted on the company’s Weibo account in late September, the restaurant asked for fans to “Tell us your feelings about seeing the launch of the spacecraft Tiangong-1.” Whoever forwarded the message the most, the advertisement declared, would win an iPad or iPhone. The contest would end by October.Subsequent inquiries indicate spam software was employed to run up the numbers, so much so that by October 7th, the last day of the competition, the initial posting had been reposted or forwarded on SinaWeibo 13 million times. This was a Chinese record. Unfortunately it wasn’t marketing genius – it was simply a façade. SinaWeibo reported that only 3,000 participants in the online promotion were subscribers with real profiles. And the message was actually posted and reposted only 9,000 times, not 13 million. The suspect accounts have since been banned. All this deceit has damaged both the reputation and usefulness of microblogging as a marketing tool in China. In a country where loop holes are quickly exploited, it is also a reminder that without checks and balances between departments and suppliers zombies might infiltrate your best ethical barriers and run amok with your brand.
  9. I’m a Zombie fan.Aged barely in my teens, the organisers of the Scout bike hike inadvertently hired ‘Return of the Living Dead’for some 100 or so scouts who were camped out in a hall, surrounded by forest, not unlike the movie’s own setting. Needless to say, no kid snuck out for a smoke that night. This passion for zombie movies has continued, even culminating into my own B-grade movie – The Dead Will Rise – filmed in the suburbs of Glen Waverley, and utillising pig brains and a VHS video camera. It got an A+ for media studies, but was ignored by the AFI award judges.But that is where my love of Zombies stop.You see in China, there are a more sinister type – the internet Zombies. Internet Zombies are fake Weibo account, used to boost egos and brand credibility. For as little as 5 RMB a Weibo account can gain 1,000 ‘fans’. For 120 RMB, 5,000 fans with personalities – that is their own followers, a history of posting, a profile photo and personal description – can adourn your Weibo account.So which type of companies are engaged in this deceit.RMG Selection, is a start up in Beijing which went from 150 fans in 2011 to over 31,000 by March 2012. In comparison, the founder’s previous company, Antal International, from which he split, has currently 1400 fans. Of course a crowd draws a crowd, and this is probably the strategy for RMG, who are after all a recruitment firm, where volume is important, and a Start up wants to look anything but.But when established brands hire the services of marketing and PR agencies in China, to help boost their awareness, not ego, Zombies are useless, and often detrimental to the brand.Take the case of a Norwegian Salmon company, which was pleasantly surprised when their contracted PR company was able to attract over 100,000 fans to its corporate website. Clearly, Chinese netizens who had ‘fanned’ the Norwegian Salmon company were passionate about their fish, and so it made sense to run a competition to further engage their fan base. This time, when they were surprised, it wasn’t pleasantly. Only 4 fans responded - 0.004%. Domestic companies are not immune to such decption. HaomenJipin Abalone Restaurant in Shuozhou, in North China's Shanxi province, announced a promotion in cooperation with chinamil.com.cn, a website sponsored by the PLA Daily, a newspaperof the Chinese People's Liberation Army. In an advertisement posted on the company’s Weibo account in late September, the restaurant asked for fans to “Tell us your feelings about seeing the launch of the spacecraft Tiangong-1.”Whoever forwarded the message the most, the advertisement declared, would win an iPad or iPhone. The contest would end by October.Subsequent inquiries indicate spam software was employed to run up the numbers, so much so that by October 7th, the last day of the competition, the initial posting had been reposted or forwarded on SinaWeibo 13 million times. This was a Chinese record. Unfortunately it wasn’t marketing genius - it was simply a façade. SinaWeibo reported that only 3,000 participants in the online promotion were subscribers with real profiles. And the message was actually posted and reposted only 9,000 times, not 13 million. Sina has since banned the suspect accounts.So what can we learn from the Norwegian Salmon and Abolone Restaurant. Simply put, loop holes are quickly exploited in China, and you must maintain checks and balances, and promote transparency within and between your departments and suppliers.
  10. Business Challenge With numerous locations across the nine country region, Kimberly Clark needed visibility into each market’s recruiting activities as well as talent pooling capability. Kimberly Clark knew the solution would only work if we could ensure regional adoption and PageUp People gave them the flexibility to incorporate the local languages and hiring methodologies that each region needed Solution In just under eight weeks from contract to deployment, PageUp People activated the enterprise recruiting system across the nine countries, and six languages, including English, Thai, Vietnamese, Bahasa (Indonesean), Chinese and Korean. To alleviate the challenges generally faced by employers when operating in high-growth markets, PageUp People utilized its scalable global recruitment gateway interface that allows employers to configure the system to accommodate local process and language preferences while maintaining compliance with corporate policies and create localized talent pooling to rapidly fill positions.The new global recruitment gateway system provides Kimberly Clark with continuity of recruiting processes, data security and talent pooling while allowing the flexibility to map to the specific regional requirements used across nine Asia Pacific countries. Key Takeout PageUp People has a long-standing history of helping large multinational companies address their talent management challenges with relevant solutions such as global recruitment gateway that help them grow into emerging markets. This depth of experience makes PageUp People uniquely qualified to support leading employers like Kimberly Clark in these regions, and in particular high growth markets such as China About PageUp PeoplePageUp People helps multinational employers improve talent management practices across borders, business units, cultures and languages, to maximize the strategic value and business impact of their talent resources. With its comprehensive, SaaS-delivered solution for Talent Management, PageUp People unifies Recruiting, Performance, Compensation, Development, Career Planning, Succession Management and Workforce Analytics, to give employers company-wide visibility to talent resources and executive-level, predictive analytics for intelligent decision making. Underpinned by a comprehensive capabilities framework, PageUp People Talent Management supports more than 90,000 users in over 180 countries.PageUp People solutions support multinational organizations from a broad range of industries, including financial services, retail, mining and refining, transportation and telecommunications. PageUp People is headquartered in Melbourne, Australia with additional office locations in Sydney, London, Shanghai and Atlanta. Learn more about how PageUp People can help transform your organization’s multinational HR initiatives by visiting www.pageuppeople.com.
  11. What is the difference between us, and emerging markets like China?‘Hardware’ and ‘software’. Rote learning Steven Hankin of McKinsey & Co, back in 1997670 executives in China 73% stated that it would still be tough to recruit top talent, citing ‘skills shortage’ One of the earliest reforms in the Deng Xiaoping era was the reopening of China’s universities, which had been closed during Mao’s Cultural Revolution; the World Bank’s first loan to Deng’s China was to support various aspects of higher education. So in the early 80s the universities reopened, but the Compulsive Thinking Disorder of the past survived the purge, and today rote learning continues on in classes as it has done for thousands of years. Unique Talent ChallengesThe War for Talent was first coined by Steven Hankin of McKinsey & Co, back in 1997. Hankin was originally referring to the demographic shift, primarily in Europe and the US, as retirees outstripped new, and qualified, recruits. However, while China is in a war of its own, it is not the ageing population that is the cause – most Chinese retiring today grew up when relationships, not computer skills, determined career advancement. Instead, it is enormous economic growth coupled to the mismatch of Chinese education and international business acumen. The cultural phenomenon of rote learning, a focus on grades before experience, and a society that is only now realising the importance of innovation has caused this mess. So much so, that while 6.6 million university graduates entered the workforce in 2011, Hudson reported that of 670 executives in China 73% stated that it would still be tough to recruit top talent, citing ‘skills shortage’ as the top challenge.This kind of news is terrifying for Australian and Asia-Pacific HR directors who have the mission to build a workforce linked to a China expansion strategy. But then again, nothing in China is easy, so why should recruitment be any different? Operation directors complain of poor quality, sales directors complain of corrupt buyers, and finance directors complain of erratic changes to taxation and reporting legislation. All this ‘ma fan’ (Chinese for ‘trouble’) is just the barrier to entry. The proverbial ‘toll you must pay’. Accept it, and focus on building a competitive edge – talent attraction.The steps to recruitment building a talent pipeline in ChinaSince you will probably be hiring a large bulk of your staff within the youth market, it’s important to understand how they tick. You might be surprised. In 2011 The MRI China Group conducted a survey, which included 2,265 Chinese aged between 25 and 37. One question that drew considerable attention was ‘Why do you choose to remain in your company?’ The top three answers were:Career developmentTeam camaraderieWork-life Balance‘Pay’ was not in the medal rankings.Asked what attracts them to a job, a separate study by Aon Hewitt on a similar Chinese demographic reported (as one, two, three):L&DCompany reputationCareer opportunities Again, no mention of salary within the top three motivators.This should come as a shook for anyone who has spent time in China over the past 10 to 15 years, since job hopping, over the barest of salary rises, were commonplace amongst white-collar workers. Unfortunately, those job-hoppers are still prevalent, only this time it’s less over pay and more over maintaining a 40 hour work week and being home for dinner.Aon Hewitt’s report, while supporting the research of MRI, is also a reminder that a strong employer brand is beneficial to increasing the access to talent – 20% more by some accounts. But what’s more interesting is the move away from multinational companies towards some unexpected benefactors. In 2010 the Chinese English language newspaper, Global Times, reported that while “just 10 years ago, only about 2,000 university students joined the People's Liberation Army (PLA) each year” that number in “last winter's intake was more than 130,000 university students”. To paraphrase, just ‘being foreign’ is no longer enough. Now, not only do Australian brands need to compete against the Global 1000 companies for top quality staff, but local government and State-Owned Enterprises are now taking a chunk of the talent.  But smart (and that means tech-savvy) companies need not fret. They understand that nowhere is there a bigger internet penetration than China, with 384 million active users – an irony, that is not lost on many, who complain of internet censorship. But while Facebook, Twitter and Youtube (amongst a growing list of around 2,600 sites) are blocked in China, there are home-grown SNSs (that’s ‘geek-speak’ for Social Networking Sites) that are ideal platforms to connect to your potential employees and build a strong employer brand. SinaWeibo and TencentWeibo are Twitter copies, and Kaixin and RenRen both mirror Facebook. While LinkedIn isn’t blocked (although it’s had its ups-and-downs in the past), it also has a decent Shanghai-born competitor called Ushi. LinkedIn boasts around 1.5 million active users in Mainland China, compared to Ushi’s 700,000. However, Ushi’s founder, Dominic Penaloza, boasts that half of LinkedIn’s China-based numbers are expatriates, and they are not growing. Ushi, by contrast is predicted to “hit three million users in China within a year”. That’s why Australian businesses are recommended to add ‘social media expert’ to all HR job descriptions.
  12. Foreigners are now becoming cheaper than locals. Althought Yang Rui is creating a scandal with his inflammatory comments regarding “Foreign Scum” the vast majority of ‘BendiLaowai’ are great resources. Perception is also changing when it comes to hiring foreigners. Even as little as five years ago, foreign employees were unaffordable to consider for the middle ranks, but thanks to the Global Financial Crisis, the continued stagnation of economies in Europe and the United States, and the pull of China as the ‘place to be in business’, foreigners are eager to take up jobs at local wages.Says Chris Hughes of PIBB, “It’s possible to hire 20 foreign insurance experts for around 25K to 30K. But for every 20 experts there’s only one Chinese expert, and so the local talent expects 80K or more.” This opinion was also voiced by the COO of Bayer Healthcare, who stated that he was struggling to hire senior Chinese managers, as their wage requests were too high, and therefore, while Bayer wanted to hire locally, they still had to bring Europeans in to fill the senior positions.With this in mind, increase your BATNA by considering extending your talent search overseas.