H E A L T H W E A L T H C A R E E R

M E R C E R W E B C A S TG L O B A L I S A T I O N S E R I E S

T H I N K G L O B A L L Y , E N G A G EL O C A L L Y : M A N A G I N GE N G A G E M E N T A C R O S S AD I V E R S E O R G A N I S A T I O N

Finn KeoughKimmo Parkki

27 OCTOBER 2015

© MERCER 2015 2

G L O B A L I S A T I O N W E B C A S T S E R I E SW H E R E W E A R E

Title Date Speakers

1 Globalisation: The Mega-Trend Changing the HR Function 30 SeptemberChris CharmanMark HobleAnna Tweed

2 One Size Fitting All? The Impact of Globalisation on Executive andWorkforce Compensation and its Management. 14 October

Chris CharmanMark Hoble

3 Think Globally, Engage Locally: Managing Engagement Acrossa Diverse Organisation 27 October

Finn KeoughKimmo Parkki

4 Building the global skills for the future 11 NovemberMichael GroverTegwen MorganAnna Tweed

5 Rewriting the Rule Book for Managing Performance Globally 25 NovemberJen SaundersAnna Tweed

6 From Barriers to Borders: Developing Diverse Global Talent 8 December Michael Grover

© MERCER 2015 3

T O D AY ’ S S P E A K E R S

Finn KeoughPrincipal

Kimmo ParkkiPrincipal

© MERCER 2015 4© MERCER 2015 4

WHAT DO WE MEANBY ENGAGEMENT?

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T H E E V O L U T I O N

S AT I S FA C T I O N

C O M M I T M E N T

O R G A N I S AT I O N A LE N G AG E M E N T

I N D I V I D U ALE N G AG E M E N T

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W H A T I S E N G A G E M E N T

EMPLOYER PERSPECTIVE

The connections that an employee has to the company

EMPLOYEE PERSPECTIVE

How the company enables me to thrive

B E N E F I T S D E V E L O P M E N T PAY P R ID E

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E N G A G E M E N T : W H Y D O E S I T M A T T E R ?

Companies in the top quartile vs companies in the bottom quartile

T W I C ET H E N E TP R O F I T

2 . 5T I M E S

H I G H E RR E V E N U EG R O W T H

1 8 %H I G H E R

P R O D U C -T I V I T Y

Statistics for UKSource: Engage for Success

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E N G A G E M E N T A S T H E E M P L O Y M E N T D E A L

Employee gives• time• knowledge• engagement• passion

Employee wants• respect• material rewards• meaningful work• personal development

P E R S O N A LV A L U E

E C O N O M I CV A L U E

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E M P L O Y M E N T V A L U E P R O P O S I T I O N

P R I D E A F F I N I T Y

C A R E E R

W O R K P L A C E

C A S HB E N E F I T S

M E A N I N G F U LW O R K

© MERCER 2015 10© MERCER 2015 10

THE CHALLENGE

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T H E E F F E C T O F G L O B A L I S A T I O N

TechnologyCustomers/clientsCompetitionJobsPeople

CentralisationGovernanceCore principlesVirtual teamsBrandmanagement

Changes

bringingchallenges R

espo

nses

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C H A N G I N G T A L E N T L A N D S C A P E

2003 Best EmployersHaierIBMMicrosoftLenovoP&GGeneral ElectricMotorolaHuaweiChina MobileSiemens

2014 Best EmployersChina MobileBank of ChinaHuaweiMicrosoftBaiduICBCP&GQQAlibabaDalian Wanda Group

Source: 2003/2014 HR Best Employers Survey

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E M P L O Y E E S D O N ’ T F I T N E A T L Y I N AC E N T R A L I S E D A P P R O A C H

Source: Mercer’s Inside Employees’ Minds Survey

USAUKChina

Rank 1

Rank 2

Rank 3

Brazi lGermanyIndia

Rank 4

Rank 5

Rank 6

Base pay

Reti rementsavings/

pension plan

Type of work

Careeradvancement

Base pay

Trainingopportuni ties

Base pay

Type of work

Bonus / otherincent ives

Base pay

Type of work

Bonus / otherincent ives

Careeradvancement

Base pay

Supplementalreti rement

sav ings p lan

Careeradvancement

Base pay

Trainingopportuni ties

Trainingopportuni ties Type of work Flexib le work

scheduleReti rement

savings/pension plan

Type of work Low healthcare costs

Bonus / otherincent ives

W orking forrespectableorganizat ion

W orking forrespectableorganizat ion

Flexib le workschedule

Healthinsurancewith broadcoverage

Bonus / otherincent ives

Supplementalmedical

insurancecoverage

Bonus / otherincent ives

Trainingopportuni ties Paid time of f Flexib le work

scheduleW orking forrespectableorganizat ion

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F I V E G E N E R A T I O N S I N T H E W O R K F O R C E

Source: Barclays, University of Liverpool

Generation Z(1995+)

Generation X(1961-1980)

Generation Y(1981-1995)

Baby Boomers(1945-1960)

Matur ists(pre-1945)

Economicdownturn

GlobalwarmingMobi ledev icesCloud

comput ingW ikiLeaks

Mult i taskers –mov e

seamlesslybetween

organisat ions

Google Glass,3D print ing

9/11 at tacksSocial mediaInv asion of

I raqReal i ty TV

Google Earth

Digi talentrepreneurs– work “wi th”organisat ions

Tablet ,smartphone

Fal l of Berl inW al l

Reagan/Gorbachev /Thatcher ism

Liv e AidEarly mobi letechnology

Div orce raterises

Port fol iocareers –loyal to

profession,not employer

Personalcomputer

Cold war‘Swinging

six t ies’Moon landingsYouth cul ture

W oodstockFami ly

orientated

Organisat ional– careers are

def ined byemployees

Telev ision

Formativeexperiences

Attitude towardcareer

Signatureproduct

W art imerat ioning

Rock n rol lNuclearfami l iesDef ined

gender roles

Jobs for l i f e

Automobi le

Communicationmedia Formal let ter Telephone Emai l and tex t

messageText or social

mediaHandhelddev ices

Preferencewhen makingfinancialdecisions

Face-to-facemeet ings

Face-to-faceideal ly but

increasinglywi l l go online

Onl ine –would prefer

face-to-f ace i ft ime

permi t t ing

Face-to-face Crowd-sourced

© MERCER 2015 15© MERCER 2015 15

ADDRESSINGTHE CHALLENGE

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E N G A G E E X I S T I N G T A L E N T

Four enablers of engagement

S T R O N GS T R A T E G I CN A R R A T I V E

E N G A G I N GM A N A G E R S

E M P L O Y E EV O I C E

I N T E G R I T Y –N O “ S A Y - D O ”

G A P

Source: Engage for Success

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A T T R A C T T O P T A L E N T

Localise to compete in the market

E N H A N C EB R A N D

R E C O G N I T I O N

S H O WP R O S P E C T S A

F U T U R E

A C C E L E R A T ER E C R U I T M E N T

P R O C E S S

R E G U L A R L YA S S E S SM A R K E T

© MERCER 2015 18

E Q U I P A N D E N A B L E L O C A L H R

Support your frontline HR professionals

S T R E A M L I N EP R O G R A M M E S

M I N I M I S EG L O B A L

I N I T I A T I V E S

R E S O U R C E H RE F F E C T I V E L Y

P R O V I D ET O O L S A N D

D E V E L O P M E N T

© MERCER 2015 19

M A K I N G I T H A P P E N T H R O U G H O U T T H EO R G A N I S AT I O N

COLLEAGUES

LEADERS

MANAGERS

• Provide continuouslyhonest and directfeedback

• Highlight areas forimprovement andcontribute to actionplanning

• Participate inimplementation ofactivities and changes

• Champion engagement on local level• Take local ownership of and encourage

others to participate in agreedengagement initiatives

• Include engagement as a naturalcomponent of your day-to-dayoperations

• Ensure alignment betweenstrategic goals and engagement

• Take ownership of engagement• Act as engagement champions

and role models

• Enable leaders,managers andcolleaguesH R

© MERCER 2015 20

C A S E S T U D Y – S U P P O R T I N G L O C A LI M P L E M E N T A T I O N

Challenge

Introduce new global Total Rewards policyand provide HR professionals in each market

with the tools and resources needed toimplement the policy

Company

Global FMCG company

ApproachEmbed the policy

• Introduced through campaign: interactive flipbook, leadership videos

Provide tools and support• Total rewards toolkit to that included tools to:

• Conduct research of employees and the market• Involve leaders throughout the process

• Communicate effectively with employees

© MERCER 2015 21

G L O B A L I S A T I O N W E B C A S T S E R I E SS T I L L T O C O M E

Title Date Speakers

1 Globalisation: The Mega-Trend Changing the HR Function 30 SeptemberChris CharmanMark HobleAnna Tweed

2 One Size Fitting All? The Impact of Globalisation on Executive andWorkforce Compensation and its Management 14 October

Chris CharmanMark Hoble

3 Think Globally, Engage Locally: Managing Engagement Across aDiverse Organisation 27 October

Finn KeoughKimmo Parkki

4 Building the global skills for the future 11 NovemberMichael GroverTegwen MorganAnna Tweed

5 Rewriting the Rule Book for Managing Performance Globally 25 NovemberJen SaundersAnna Tweed

6 From Barriers to Borders: Developing Diverse Global Talent 8 December Michael Grover

© MERCER 2015 22

Q U E S T I O N S

Finn KeoughPrincipal

Kimmo ParkkiPrincipal

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© MERCER 2015 23