Tuesday, July 03, 2007

Global Differences, Cultural Understanding!

Today, attracting and retaining employees ranks high on executive agendas. It’s amidst the top 10 business critical issues in leadership, so forward-thinking leaders know that the key to the performance and growth of the organisation resides in the competency of its people.
With a multi-cultural presence on the rise in the workforce, businesses are increasingly aware of the cultural differences that exist. They are progressively and consciously opening a path of understanding in order to harness the competency of their people.

TALENT MANAGEMENT

This is one aspect of what HR professionals are tagging “Talent Management”.
In essence, it’s bridging the gap between the talent a staff member currently possesses and what will be required to succeed in the future. It’s vital to companies to effectively align their talent pool with the company’s objectives.
Cultural understanding is the catalyst for this change.
Let’s first understand the cross-cultural psychology but equally accept and respect the individual rather than lumping them together by national or ethnic category.
Without doubt, the background, life and work experiences of the individual are bound to lead to different types of receptiveness.
By example, as China expands a growth corridor and individuals are met with seeking additional skill sets and training, they have adopted a philosophy that I have used throughout my career.
You are born with the ‘Ratio of learning’, one mouth and two ears.
Listening more than speaking will enhance the process of learning.
Although it has worked for me as a learning discipline, Chinese culture has instinctively used it for decades.
It centers around the uncertainty of being wrong which may lead to a possible loss of face.
They instead study and research the subject before making comment.
As a result, it brings into the work environment, a thorough and dedicated approach to ensuring that the outcome is at the highest level of success.
Understanding the problem in greater detail, then applying an informed approach to the solution.
This is a model that is gaining global momentum.

RATIO OF LEARNING

Through it’s adaptation, the ‘Ratio of Learning’ has impacted on the work environment by use of evolving technology.
In the Czech Republic for example, some institutions are transforming the traditional lecture rooms into dedicated training rooms with interactive electronic whiteboards and the latest Microsoft applications on their PCs. This improves the learning absorption rate by the interactivity for the individual to contribute when they feel comfortable in doing so. With less human interaction, there is little influence on the potential ‘loss of face’.
As per the above example, a faceless interactive learning environment that is currently being employed in South East Asia overcomes one cultural aspect. Traditionally when there is the greatest respect for seniority, a younger individual is less willing to ask the first question. In a faceless interactive environment this is overcome.
In India, the world’s second-largest country, with 1.1 billion inhabitants, almost one-third of the population lives below the poverty line. However, residents with college degrees and who live in urban areas are experiencing unprecedented success. Universities struggle to prepare students for the changing business world, and national and multinational companies clamour for educated workers’ skills. In this case it’s because of the teaching shortage that a faceless interactive environment is evolving.
Similarly, in western civilization there has always been distance education for those unable to attend classes during the course of a normal day. The internet has certainly provided a platform to encourage this.
Now, I’m not advocating that we should all embrace a faceless interactive environment, but at least we should be aware of it, and in some circumstances promote it.

THINKING OUTSIDE THE BOX

Like, China and the Czech Republic, India has also the culture of retain and fix, rather than throw away and replace. In these countries, through the lack of infrastructure, individuals are naturally more creative as they have had to find out-of-the-box ways to get around the lack of roads, water and electricity—such as combining rickshaws and mobile phones.
It’s interesting that today’s workplace psychology reflects this example, particularly in western civilization.
Throughout the last few decades individuals have become specialists within their trade. However we are now witnessing a change back to a more multi-skilled challenged professional.
This is a trait we should continue to encourage.

COMMUNICATION

Communication is the culmination of understanding of the cultural respect for an individual.
In its use, we portray our understanding.
For example, if there was a mistake was made by someone from one of the fore mentioned cultures, you would not say “You goofed”. Instead, you might say, “Here’s the ideal way to do this”. Interactions are much more indirect. In communication, direct feedback might be perceived as far too harsh.
As we continue to grow multi-culturally the harshness within our sentences will soften and be more acceptable. Eventually our cultural spheres will overlap and eclipse one another, although there will always be an inherent pride of birthplace that will be retained by the individual.
What is evident however is that we should be conscious of an individual’s learning ability, be aware of how to challenge them with new skills and be able to communicate in such a way you inspire growth.

Update on WorkChoice in Australia!

On the 4th of May (2007), the Australian Government unveiled a stronger safety net for working Australians with the introduction of a Fairness Test that will guarantee that entitlements such as penalty rates and public holiday pay are not traded off without adequate compensation.Since the Australian Government introduced WorkChoices in March 2006, they claim to have created some 276,000 new jobs, with 96 per cent being full time positions. Coupled with unemployment at its lowest in 32 years and supported by the fact that strike actions are at its lowest, and wages continuing to rise, you can only assume all is just peachy.
Lets re-cap for a moment the fundamental changes introduced by the new workplace relations system in March 2006:

• fixing Labor’s job destroying unfair dismissal laws;
• creating for the first time a national system of workplace laws;
• simplifying the agreement making process;
• increasing the focus on workplace based arrangements rather than industry wide awards;
• legislating standard employment conditions for the first time;
• strengthening protections against wild cat industrial action by introducing secret ballots and other protections;
• creating a new independent minimum wage-setting body.

So why do we need a stronger safety net for working Australians?
In the main, the fundamental elements of the Government’s workplace reforms were flawless, however there were some components within it that were not. Although there are some faults with the current reforms the Government has committed to re-shaping it rather than turning back.For example, what was originally removed, such as the infamous “job destroying unfair dismissal laws” for small business, will not be replaced. Because of its removal, it apparently has increased flexibility in the workplace, and whilst Australian Workplace agreements are retained, it has also prohibited industry wide pattern bargaining. As a result inflation has been kept under control meaning less pressure on interest rates. It has allowed employees and employers to negotiate flexible workplace arrangements under AWAs (Australian Workplace Agreements). The fear that most Australians had, and was proven to be the case, was the exploitation of unprotected working conditions and penalty rates. Added to the confusion were numerous cases of inadequate compensation for what was traded off. In short, some employees were realizing that it was it going to affect their take home pay. In order to adequately represent and regain the confidence of working Australians WorkChoice needed to inject a degree of “Fairness” into the negotiation.


THE “FAIRNESS TEST” IS LAUNCHED!

What this means is that any employee who is entitled to award conditions and paid less than $75,000 AUD a year will be protected when their agreement is lodged after 7th May (2007).If, however, the award conditions are modified or removed they will be required to receive fair compensation.These protected award conditions are:
* penalty rates, including for working on public holidays and weekends;
* shift and overtime loadings;
* monetary allowances;
* annual leave loadings;
* public holidays;
* rest breaks; and
* incentive-based payments and bonuses.

If you are unaware of how an agreement is issued and adopted, it’s more involved that just drafting, implementing and issuing it from employer to employee.Drafted agreements are required to be submitted for approval with the (now renamed), Workplace Authority. Previously it was the Office of the Employment Advocate. In addition, the Workplace Authority conducts the Fairness Test by reviewing the monetary and non-monetary compensation that is offered to the employee in comparison to what would have been paid under the relevant award. What is now different in the assessment is that it will now take into consideration the employees work obligations in terms of shift and weekend work and even then type of industry, location and on the employer’s side of the equation, the economic circumstances of the employer’s business. For those who are familiar with the old no-disadvantage test there are some similarities, with the employee paid a higher rate of pay for each hour worked in compensation for trading off protected award conditions.

THE MAIN DIFFERENCE

If an agreement does not pass the fairness test, the relevant industrial instrument will apply until an agreement is formed that passes the test. Both the employer and employee have 14 days to make the agreement fair, with the employer expected to make up any back pay.One aspect of the Workplace Relations Act that has been strengthened prohibits any influence by the employer to force an existing employee to agree to remove or vary a protected award condition.This is supported by the backbone of the original Workplace Relations Act that it prohibits an employer forcing employees to accept a workplace agreement, whether individual or collective. The Workplace Authority will not be able to arbitrate an agreement, but they are able to provide a source of information in regards to your rights.However, this is also the place to conduct a Fairness test and provide a pre-lodgement facility to check agreements.Employees will now be able to access independent advice on their workplace agreements which provides them the ability to pre-check their agreements before signing. Plus a new Workplace Ombudsman will provide additional protection for employees, with enhanced powers to investigate employers who fail to meet their obligations under the workplace laws. (The Ombudsman will replace the Office of Workplace Services.)

So how many Australian Workplace Agreements are there?

By the end of this year there will be nearly one million AWAs in operation and more favored as the agreement of choice by key industry sectors such as mining. In conclusion, any safety net established for employees and employers with the aim for a “fair day’s pay for a fair days work” just has to be a positive step. It just has to be fair.
For more information, go to the Prime Minister’s website www.pm.gov.au where you will find more in-depth information and links.

Trends Evolving in 2007!

In the January/February (2007) edition of Content & Technology we last wrote about “Employment Predictions in 2007!”
Following on from the predictions we believe there are a number of trends that will evolve throughout the year.
One such trend that has continued to evolve and become a focal point for most employers is the pool of skilled labour that is decreasing in size. “Skilled labour” is the generic term used for all staff so don’t be alarmed when you’re considered to be skilled labour.
As mentioned in the previous article, through global growth within major corporations, planned mergers and acquisitions are more than likely to occur. Employers are expected to become more competitive and as a result we will experience a productivity plateau at various quarters in 2007.
Although the productivity plateaus are heavily influenced by the world economy we also know that due to the decreasing pool of skilled labour that it will in itself be the resulting “cycle of life” for some manufacturers and suppliers.

TOP PERFORMERS ARE VALUED

One trend that is evolving recognises top performers (TPs) in their field. They will be motivated to stay with their employers through lucrative compensation packages, whilst other employers will be desperately seeking to fill like positions.
The level of compensation is varied, and from our experience they are found to be in single digit percentages. Bear in mind the average, whilst executive level TPs may have other non-salaried based incentives injected into their packages.
In the broadcast community we have always been tracking a 24/7 existence, so it’s no surprise for employers to use this as an incentive by providing a more stable lifestyle particularly for TPs with a family.
In lieu of a monetary increase, family friendly working hours for some employees may be preferred, and in most cases, through family support it will cement a long term working relationship with the employer.
It is also starting to emerge that one in three organisations will provide more promotions and career advancement opportunities for their existing staff, and for some organisations it may continue into next year.
Travel is still seen as a value statement to most employees by their employers, particularly when they are invited to attend International Trade Shows as a worthy representative of the company.
Of course it’s coveted as a knowledge jaunt, but as not all staff are invited to attend, so it remains to be a value statement.
So too does the offer of additional training or new product launches at International sites, be it either an affiliate, manufacturer or your own corporate headquarters.

So where do employers find their top performers, if they don’t already have them on staff?
The obvious answer has always been from within the ranks of a competitor who maybe conveniently close to them, geographically.
We are finding that “Search” (headhunting) is more the norm than ever before. Usually, a Search is conducted within the region, then further a field. “Visas” and “sponsorships” are commonplace words used in the corridors of most broadcasters these days, regardless of their size.
There is an increased awareness and concern over the loss of intellectual capital from Baby Boomers as they retire and it appears that one-in-five retirees will be re-hired or hired by a competitor to take up the shortfall in skilled labour.
In light of these shortages of skilled workers within our community, the vast majority of employers appear to be willing to recruit staff who don't have experience in a particular field, but have transferable skills.
In most cases the employer is willing to provide training/certifications as needed.
However, look beyond the certifications and recognise the skills and experience of the individual.
There is one initiative by SMPTE Australia called MITC (Media Industry Technologist Certification) that provides a level of acknowledgement for all individuals seeking to be recognised for their industry skills and experience that may value them as a top performer.
John Maizels, chairman of SMPTE, explains that it provides a certification that ‘consolidates industry experience, personal learning and academic qualifications of all levels into a single industry-recognised yardstick’.
This is by far a worthy and timely initiative by the industry in arresting the potential productivity plateaus we are about to experience. I cannot stress the importance of supporting this initiative, and strongly suggest that you visit the MITC website at www.mitc.tv
However, in any organisation there will always be natural nutrition rates. It’s the movement of staff as a percentage of the company’s workforce that indicates the retention rate.
This is indicative of the overall success of the company to overcome productivity plateaus throughout the year.
With a higher retention rate, we are witnessing more seasoned programs within HR such as succession planning. This provides the necessary stability in any organisation particularly when a top performer has reached retirement, been searched by a competitor, or succumbed to internal or external pressures.
Succession Planning should be partnered to all positions of significance to the company, and be driven, if not championed by the current position holder.
Every employee should have the opportunity to explore their potential within an organisation, seek new projects, be available for promotions, rather than being shackled to a position of importance that few are able to do at short notice.
What may happen is the shackled position starts to feel like in reality, shackles, and so they move on … to external opportunities.
In closing, there continues to be is an evolving trend of a skilled labour shortage this year and its continuance will impact upon retention rates possibly into the next one or two decades.
Be aware of what can be done now to address the value of employees in your organisation and implement a strategy to increase your company’s retention rate.

Employment Predictions in 2007!

With the US employment rate at it’s lowest in several years, a competitive market is growing for both companies and candidates worldwide.Due to the world’s ageing population there is an increased need each year for physical, mental and spiritual health. 2007 is no different. It’s predicted that this trend will continue for the next three decades. Programming is reflecting this trend.By example, creative programming that targets a growing retirement market lead by “Baby Boomers” will lead a genre of professionals to a number of television series and projects in 2007. Like most emerging trends, networks will continue to address their needs by outsourcing staff and crew. This however, creates a by-product of increased employment contracts in the workplace.Another trend that is emerging is that in the 1960s CEO’s were compensated by up to 20 times that of the average worker. Today, it’s stated to be 400 times plus. However, with the number of full time employees reduced to that of contractual staff, it provides a greater bottom line from which to attract only the best staff in their field, hence pay them top dollar.

EXECUTIVES

For the last three years executive talent has been in high demand, and 2007 is shaping up as the fourth consecutive year for such growth. Now some may disagree, particularly if you have been seeking a career change in some parts of the world where few opportunities have surfaced.We can only predict that with a fourth consecutive year there will be a migration where such opportunities may start to present themselves as organizations grow globally. This is where it becomes interesting, because there is a bitter sweet prediction in global growth with most of the major players. Yes, there is global growth for major players in 2007!This will occur through planned mergers and acquisitions, and as a result of increased staff numbers it may bring also potential layoffs. Executive layoffs or executive re-deployment may be part of restructuring the company resources. Although this may be an unwelcome prediction, it appears there will be a steady growth pattern emerging from small to medium businesses creating new job opportunities across the board. This is the sector we believe most executive positions will surface, and could be rising in the vicinity of several percentage points in 2007.
Now, if you’re an executive over 50 and feeling somewhat insecure, don’t be alarmed because in 2006 over 70 percent of executives in your age group felt discriminated against, with more than half believed they were overlooked for advancement due to their age. Whether it was fact or an adopted mindset, the point is you need to combat this fear. How? You already have a lifetime of experience to bring to any role, and this is without doubt the most appealing attribute you possess. However, you need to ask yourself a couple of questions though.
* Are you techno-savvy with your younger colleagues?
* Are you in touch with market trends, competitors and advancements in technology?

Be truthful, if you answered ‘No’ to either question, you have some catching up to do in the short term. Enrol into additional out-of-hours classes or education by correspondence. Attend supplier training sessions, be an instigator of think tank sessions within your company and most importantly mix with the new assertive generation of younger colleagues.Keep track of those aggressive SMEs because they are poised to strike from within the growth corridor.

INTERNET/IT-BASED POSITIONS

Emerging technologies are influencing the growth of IT and internet based professionals.We believe that there will be an increase in targeted criminal attacks, compliance, software consolidation, mobility and SOA. In 2007 there will be a call for a strong focus on effective security governance. Cyber crime will be far more targeted and intentional with the security software market going through consolidation and change. Major vendors will be increasing their R&D, integration and acquisition efforts.Evolving compliance demands from inside corporations will drive the need for added security from based IT professionals, which will stimulate both permanent and contract employment.

NEW RECRUITS

We continually speak of an ageing population that will take with it valuable knowledge … well 2007 will be no different. It’s therefore important to recognize individuals in your organization who carry valuable life experiences and who are intentionally sharpening their retirement plans.This is the year to impart their knowledge to younger recruits.Foster a mentoring program and be actively involved in its development.Additionally, younger and pseudo-experienced recruits will be drawn to global opportunities from within the growth corridor. However, if you are an employer and value their contributions, you may wish to consider utilizing a global subsidiary or an alliance partner to provide that opportunity for them. Provide the travel and global opportunities they desire and bring them back with a fresh perspective. They will undoubtedly return with greater knowledge and experience that will only enhance their career opportunities within your organization.

MARKET SUMMARY OVERALL

Employment opportunities that are weighted against market predictions within Asia over the next three years within:
* Terrestrial digital market is estimated to increase by up to 755 percent*;
* Satellite digital broadcasting (BS, CS) market is estimated to increase by approximately 69 percent*; and
* Cable television market is estimated to increase by approximately 19 percent*.

Within the e-business market sector:
* On-line gaming with increase by 87 percent*;
* Internet advertising by 45 percent*;
* Web music distribution by 363 percent*; and
* Web video distribution by 320 percent*.
With 2007 being a year of increased awareness and opportunities, staff recognition will play a significant role in this calendar year. Don’t ignore it, simply embrace it and grow!

* Nomura Research Institute, Ltd. (2005)

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