FM Talent Recruitment Retention in Asia

689 views
629 views

Published on

The success of every business is only ever in the hands of its people.
Why then, do so many organisations continue to treat their employees as commodities rather than assets?
This PowerPoint discusses the challenges that the FM industry faces in recruiting and retaining staff across Asia, as presented at the IMFA World Workplace Conference in Hong Kong on 22nd June 2011.

0 Comments
1 Like
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total views
689
On SlideShare
0
From Embeds
0
Number of Embeds
37
Actions
Shares
0
Downloads
11
Comments
0
Likes
1
Embeds 0
No embeds

No notes for slide

FM Talent Recruitment Retention in Asia

  1. 1. The Challenges of <br />FM Talent Recruitment & Retention <br />in Asia <br />by<br />Victoria Evans<br />Divisional Head, FM<br />James Stephenson<br />Divisional Head, CRE<br />
  2. 2. <ul><li> Ability to identify and assess current recruitment and retention issues
  3. 3. Understand reasons for variations in recruitment and retention rates in FM across Asia
  4. 4. Apply knowledge of variations to improve present recruitment and retention rates
  5. 5. Integrate ideas at senior and middle management level as well as the general workforce, to align business and employee objectives</li></li></ul><li>Profit Making Organisations<br /><ul><li>Make Money
  6. 6. Save Money
  7. 7. Save Time
  8. 8. Enhance Reputation
  9. 9. Survive in the Marketplace</li></li></ul><li>FM Challenges<br />Employee expectations<br /><ul><li> In-House v Service Provider
  10. 10. International Brand v Local Enterprise
  11. 11. Talent War (China Jobs)
  12. 12. 60% : Chinese enterprise over multinational (Manpower)
  13. 13. 64% management offered last 18 months (MRI China)
  14. 14. Focus
  15. 15. Reputation
  16. 16. Status</li></li></ul><li>FM Challenges<br /><ul><li>FM skills shortage – Global / Regional / Local
  17. 17. Rapid expansion – demand v supply
  18. 18. 1.33bn China, 1.15bn India : < 20% skilled workforce
  19. 19. Technical
  20. 20. MEP, Workspace, Projects
  21. 21. Soft skills
  22. 22. Management, client facing, ability to challenge
  23. 23. Junior – localised, language, training & support required
  24. 24. Mid – need for internal movement “through the ranks”, competitive
  25. 25. Senior / Exec – comparatively fewer domiciles in RE within international brands, ex-pat packages costly but declining in frequency</li></li></ul><li>FM Challenges<br /><ul><li>Difference in Property Management & FM 物業管理
  26. 26. Education
  27. 27. Access to Facilities Management as a career choice
  28. 28. Comparatively young industry; publicity of FM relative to other industries within and outside of real estate
  29. 29. Changing thought process – “serve the customer” - a necessity, not just an expense </li></li></ul><li>FM Challenges<br />Employer expectations<br /><ul><li>International education / experience
  30. 30. Local language skills & cultural understanding
  31. 31. Bi- / Tri- Lingual
  32. 32. Polished, client-facing, professional, communicative
  33. 33. Technically strong
  34. 34. Stable work history
  35. 35. Strong people managers</li></ul>and above all…<br /> CHEAP!<br />
  36. 36. FM Challenges<br /><ul><li>Business v Conversational Language skills - FM has diverse mix of domicile employees and ex-pats (Western & Eastern)
  37. 37. Top international bank have a 15% uptake of language courses
  38. 38. Location – 1st, 2nd & 3rd tier cities
  39. 39. 2011 – 60% of companies in Tier 1 cities planning to hire
  40. 40. 70% of companies in 2nd & 3rd Tier cities planning to hire
  41. 41. Expectation to employ in India & China cheaply: but living costs rapidly rising
  42. 42. $ ¥ - Rapid title promotion & pay acceleration (faster than mature markets)
  43. 43. Average 5 % across Asia, but up to 15% in China pa
  44. 44. Counter offers (HK 20%, BJ 30%, SH 40% - short term fix)
  45. 45. FM not fee generating – can be difficult to justify headcount</li></li></ul><li>Cost to the business…<br />Ex-pat contracts extended at high costs<br />Delayed projects<br />High recruitment & induction costs<br />Service provider penalties<br />Demotivated, stressed staff<br />Higher attrition rates<br />Poor brand image<br />Unachievable workloads<br />
  46. 46. So, what can we do…<br /><ul><li> Increase productivity by realising aims & objectives of the business
  47. 47. Better align employee motivations and company goals
  48. 48. Personally benefit from company success
  49. 49. 4 year cycle</li></ul> Learning<br /> Become a success<br /> Boredom<br /> Move<br /><ul><li>Succession planning, offer variety & growth opportunity</li></li></ul><li>So, what can we do…<br /><ul><li>Salaries – in line with living costs, country averages and availability of skills
  50. 50. Recruit the best – Value v Cost
  51. 51. Start early – schools, colleges & universities
  52. 52. Share information
  53. 53. Take advantage of availability of European, US & ME talent pool whilst economy is recovering </li></li></ul><li>Employees Value…<br /><ul><li>Skills shortage in buoyant market
  54. 54. Candidate has control</li></ul>Reward not linked to performance related or individual input – US direction, employees feel unstable; no loyalty<br />M&C salary survey 2010 reports 24% of respondents looking to move within 12 months<br />In China, 40% of people born in the 80’s are considering starting their own business (China Europe Business School) – encourage entrepreneurialism culturally to retain the best<br />
  55. 55. RFL Comparison<br />Asia<br />UK<br />83%, 2010<br />77%, 2009<br />67%, 2010<br />64%, 2010<br />37%, 2010<br />
  56. 56. Employee Satisfaction<br /><ul><li> Employee Surveys – invasive?
  57. 57. Appraisals
  58. 58. Performance Management
  59. 59. Training & Development
  60. 60. Motivating Employees
  61. 61. Management Style – No. 1 reason for joining
  62. 62. Reward & Recognition
  63. 63. Workspace : 10-15% retention difference over 5 years: investment required (Ascendas)
  64. 64. Workplace investment increases productivity and retention rates</li></li></ul><li>Job Satisfaction<br />ASIA<br />UK<br />ME<br />
  65. 65. Regional Differences<br /><ul><li> Geography – languages, local cultural differences impact perceived “suitability”
  66. 66. Quality of life, cost of living, education vary
  67. 67. Competition heated between HK & Sg
  68. 68. Cheaper in HK: reversal of 2010
  69. 69. Shortage of quality housing
  70. 70. HK Govt slow response to air pollution affecting desirability to work, live and raise family
  71. 71. Candidate expectations can be much higher for less appealing locations
  72. 72. Non- Tier 1 often lower budgets; greater reliance on local talent pool</li></ul>AsianCorrespondent.com, ECA Int<br />
  73. 73. Regional DifferencesAverage Base Salary (USD $k pa) by Region<br />
  74. 74. Regional DifferencesHow important are each of the following in your job?<br />ASIA<br />UK<br />90% 2011<br />84% 2010<br />77% 2009<br />
  75. 75. Retention V Recruitment:the real cost to your business<br />Recruitment<br />Advertising no guarantee but good brand exposure<br />Recruiters / Head-Hunters % of salary (One top SP spends 33% rec. budget on HH in 2010)<br />Time – Line Management, recruitment not core function of their role (3-6 months to recruit)<br />Inductions & time to “bring up to speed”<br />Cost of not having the person in post<br />Retention<br />Training & Development<br />Annual pay increases (5-15%)<br />Satisfaction monitoring (survey)<br />Appraisals & performance review<br />Counter Offer – short term measure 20-40%<br />
  76. 76. Integration is key…<br />Top-to-bottom buy in<br />Employees as ambassadors <br />The caring company<br />People are assets<br /><ul><li>PPM for your employees!</li></ul>Salary is not a motivator, but is a de-motivator<br />
  77. 77. Summary <br /><ul><li>Recruiting & retaining FM skilled employees in Asia is tough!
  78. 78. Time to develop the industry in FM
  79. 79. Become an employer of choice now!
  80. 80. Appreciate your employees</li></li></ul><li>Macdonald & Company Salary Survey – September 2011Business card drop at the end of the session to participate and receive results summary<br />
  81. 81. OPEN DISCUSSION<br />
  82. 82. References<br />ECA Cost of Living Survey. Cited: Asiacorrespondent.com<br />Multinational companies losing the battle for local talent in China. Cited: China Jobs. http://www.linkedin.com/groupItem?view=&gid=2914122&type=news&item=583157678<br />Gupta, V. India's Skilled Labor Supply: Myth or Reality? Towers Watson Technical Paper No. IND8009. Towers Watson, December 01, 2007<br />Gilleard, J.D. PhD. Facility management in China: an emerging market. IFMA<br />Macdonald & Company Salary Survey (Asia, UK, Middle East). 2009, 2010, 2011.<br />Macdonald & Company www.macdonaldandcompany.com<br />

×