CHALENGES OF HUMAN CHALENGES OF HUMAN RESOURCES IN CHANGING RESOURCES IN CHANGING LANDSCAPE OF AFTALANDSCAPE OF AFTA

THE CHALLENGE THE CHALLENGE

Cultural Adaptation Talent War Compensation & Benefit Talent Acquisition / Recruitment Talent Retention

Talent Acquisition / Talent Acquisition / RecruitmentRecruitment

Hospitality and Hospitality and Catering TalentCatering Talent

Realities :

High education does not necessary stand for talent

Talent is hard to attract due to competition with other industries

Demand increases due to the rapid growth of the Hospitality & Catering industry in Asia

Loyalty is portable – Talent can move because money and spare time matters

Young talent aim for short term objectives

Most Productive Talent Most Productive Talent Sourcing MethodsSourcing Methods

Employee referrals

Hire for attitude – Train for skills

Campus visits

Networking trough industry association

Hotel School Trainee and Graduates

Hotel / Group Promotion and Transfer

Internal SourcesInternal Sources

Job Postings on Job Postings on notice board notice board (Employee referrals)(Employee referrals)

Create TalentCreate TalentInventories for new Inventories for new employeeemployee(DW Potential, Trainee, (DW Potential, Trainee, Internship)Internship)

Hotel Internal Hotel Internal PromotionsPromotions

Group TransfersGroup Transfers

Recruitment Methods Recruitment Methods and Sourcesand Sources

External Labor MarketExternal Labor Market

Walk-in applicantsWalk-in applicants

Traditional MediaTraditional Media

Local Employment Local Employment AgenciesAgencies

InternetInternet

School placement / School placement / Internship Internship

Trough related Trough related associationsassociations

Job FairJob Fair

International International Executive Search Executive Search CompaniesCompanies

Recruitment Methods and Sources

THAILANDTHAILAND

• Low business flow due to unstable political situation causes high fluctuation of labor demand

• Cost managed situation due to low business flow

• Salary budget limitation for the position / talent required

• Lack of local skilled talent requires recruitment out of other provinces which result in higher labor costs

THAILANDTHAILAND

• Low business flow due to unstable political situation causes high fluctuation of labor demand

• Cost managed situation due to low business flow

• Salary budget limitation for the position / talent required

• Lack of local skilled talent requires recruitment out of other provinces which result in higher labor costs

Regional ChallengesRegional Challenges

INDONESIAINDONESIA

• Local staff with qualification and education prefers to work overseas or on cruise ships

• Few professional qualified hotel schools available

INDONESIAINDONESIA

• Local staff with qualification and education prefers to work overseas or on cruise ships

• Few professional qualified hotel schools available

MYANMARMYANMAR

• Remuneration issueRemuneration issue

• Local staff with qualification and education prefers to work overseas or on cruise ships

• No reputable hotel school available

MYANMARMYANMAR

• Remuneration issueRemuneration issue

• Local staff with qualification and education prefers to work overseas or on cruise ships

• No reputable hotel school available

Impact on Hotel Impact on Hotel PerformancePerformance Invest into the future

Company trained employees which can be instantly effective

Support structured succession planning

Stabilization of service standards

Improved guest satisfaction

Long term lower recruitment costs

Talent RetentionTalent RetentionContinues Struggle Continues Struggle

DiscussionDiscussion

Present landscapeRetaining Gen X and Gen YRetention Strategies and its Challenges

Current landscapeCurrent landscape

Reasons they leaveReasons they leave

Current landscape

The 7 Hidden Reasons Employees Leave: How To Recognize The Subtle Signs and Act Before It’s Too Late, by Leigh Branham, 2005

Current landscapeCurrent landscape

Why some works, some doesn’t?

An engage employee are those whose needs are met

Current landscape

By measuring how By measuring how engaged our employees engaged our employees are to the company will are to the company will allow us to view what allow us to view what matters most to the matters most to the employees – employees – Tailor Fit the Tailor Fit the Retention Retention

Current landscape

Engagement for RetentionEngagement for Retention

Current landscape

Q12: Gallup Employee Engagement Q12: Gallup Employee Engagement MetricMetric

1. I know what is expected of me at work2. I have the material and equipment to do my job right3. At work, I have the opportunity to do what I do best everyday4. In the last seven day, I have received recognition or praise for doing

a good work5. My supervisor, or someone at work, seems to care about me as a

person6. There is someone at work who encourages my development 7. At work, my opinion seems to count8. The mission/ purpose of my company makes me feel my job is

important9. My coworkers are committed to doing quality work10. I have a best friend at work11. In the last 6 months, someone has talked to me about my progress12. The last year, I have had opportunities at work to learn and grow.

Copyright 1998 Gallup, Inc.

Current landscape

Every one of the twelve questions was linked to at least one of the four

business outcomes :

1. Productivity

2. Profitability

3. (Employee) Retention

4. Customer Satisfaction

Current landscape

1. Do I know what is expected of me at work ?

2. Do I have the materials and equipment I need to do my work right ?

3. Do I have the opportunity to do what I do best every day ?

4. Does my supervisor, or someone at work, seem to care about me as a person ?

5. At work, do my opinions seem to count ?

Five of the twelve questions revealed a link to staff retention :

Understanding the Understanding the different generation helps different generation helps in Tailor fitting the in Tailor fitting the Retention Retention

Retaining Gen X and Gen Y

A hands-off approach often works best when mentoring, supervising or working with this

generation.

Frequent meetings and reassurance will assist in keeping Generation Y keen and

engaged.

Retaining Gen X and Gen Y

HR and Leaders are expected to:

Understand the diversity of expectation

Have the skills to effectively communicate crucial concerns

Human Resources and leaders should become Agent of Change and stay up to date with today’s trends in business.

Retaining Gen X and Gen Y

Retaining Gen X and Gen Y

They will be ideally suited to take up the high-tech occupations for which they are better accomplished

than either the X and Y Generations.

Employee retention has as much to do with who you hire as what you do

after he or she is hired

Retention Strategies

Retention Strategies

80% of turnover can be attributed to

mistakes during the hiring process(Harvard Business Review)

Retention Strategies

39% of workers said their supervisor failed to keep promises

37% indicated their supervisor failed to give credit when due

31% said their supervisor gave them the "silent treatment" during the past year

27% report their supervisor made negative comments about them to other employees or managers

24% indicated their supervisor invaded their privacy

23% said their supervisor blamed other to cover up personal mistakes or minimize embarrassment

Study conducted by FSU professor Wayne Hochwarter and two doctoral students - Paul Harvey and Jason Stoner

Retention Strategies

Survey Fact

Retention Strategies

No longer can leaders lead by fearNobody’s afraid anymore

Retention Strategies Coaches/

Mentors

The talented employee may join a company because of its charismatic leaders, its generous benefits, and its world-class training programs.

Retention Strategies

But how long that employee stays and how productive he is while he is there is determined by his relationship with his

immediate Leader.

Thank You