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HR BAROMETER 2015 HRM TRENDS AND CHALLENGES IN BELGIAN ORGANISATIONS JUNE 2015
Dear HR professional,
In January 2015, Vlerick Business School and Hudson have launched an HR barometer on the trends and challenges in HRM in Belgian organisations. The barometer explores the HR priorities of leading companies operating in Belgium and shifts in these HR priorities over time.
The HR barometer will be a yearly initiative and each version will involve two parts. The first part focuses on the strategic importance of different HR practices and policies, and, over time, the shifts in these priorities will be explored. The second part will examine a hot topic in HR. For this edition of the HR barometer, we look into the effects of the implementation of the Unity Status on HR practices and policies
This report provides you with an overview of the most important findings of the study in 2015, based on a quantitative analysis of the HR priorities of leading Belgian organisations.
We hope this report provides you with interesting and useful insights,
Ellen Volckaert Dirk Buyens Manager Research & Development Head HRM Centre & Director Open Exec Ed Celine De Vliegher Ine Willemse Consultant Research & Development Senior Research Associate
1 METHODOLOGY
METHODOLOGY
Research design Investigate the trends and challenges in HRM in leading organisations operating in Belgium
Among the largest profit organisations in Belgium (Bel 20+ 200 largest profit organisations in terms of number of employees)
Through an online survey among HR Directors and Managers
Broad spectrum of industries
Timing
January 2015 to March 2015
Sample
58 organisations
4
SAMPLE CHARACTERISTICS
5
3,4%
22,4%
20,7%
17,2%
36,2%
< 500 employees
501-1000 employees
1001-1500 employees
1501-2000 employees
>2000 employees
A. NUMBER OF EMPLOYEES IN BELGIUM
SAMPLE CHARACTERISTICS
6
32,6%
23,9%
10,9%
10,9%
4,3%
17,4%
<5000 employees
5001-25000 employees
25001-50000 employees
50001-75000 employees
75001-100000 employees
> 100000 employees
B. NUMBER OF EMPLOYEES INTERNATIONAL (INCLUDING BELGIUM)
SAMPLE CHARACTERISTICS
7
C. NUMBER OF BLUE & WHITE COLLAR EMPLOYEES
29%
17% 17%
15%
21%
No employees
1-200 employees
201-500 employees
501-1000 employees
> 1000 employees
5% 18%
27%
50%
Blue collar White collar
SAMPLE CHARACTERISTICS
8
1,7% 1,7% 1,7%
5,2% 5,2% 5,2% 5,2%
6,9% 6,9%
8,6% 8,6%
10,4% 12,1%
15,5% 20,7%
Aerospace & Defence
Legal & Professional Services
Property & Real Estate
Fast Moving Consumer Goods
Retail
Media & Internet
Public Sector
Transport
Automotive
Energy & Utilities
Construction & Engineering
Telecommunications & IT
Chemical, Pharmaceutical & Healthcare
Financial Services & Insurance
Industry & Manufacturing
0% 10% 20%
D. COMPANY SECTOR
SAMPLE CHARACTERISTICS
9
E. RATIO OF HR STAFF TO EMPLOYEES
5% 6%
13%
28%
33%
15% 1/201 employees or more
1/151-1/200 employees
1/101-1/150 employees
1/76-1/100 employees
1/51-1/75 employees
1/50 employees or less
2 GENERAL RESULTS
I. PRIORITIES 2014
PRIORITIES 2014
Respondents were asked to look back at the priorities of their HR department in 2014 and to indicate the priority level of different HR practices:
On a scale from 0% (no priority) to 100% (top priority)
Priority = of strategic importance
12
Selection & recruitment
Employer branding
Prepare organisation for growth
Learning & development
Talent management
Competency management
Performance management
Leadership development
Teamwork
The new ways of working
Well-being
Engagement
Compensation & benefits
Diversity
Retention
Prepare organisation for stagnation/downsizing
HR Analytics
HR Operational excellence
Industrial relationships
PRIORITIES 2014
13
* Word size reflects average priority level across respondents
PRIORITIES 2014
14
50 50
25 49
61
30
50
53
72 60 60
50
25
25 69
68
50
50
50
0
10
20
30
40
50
60
70
80Compensation & benefits
Competency management
Diversity
Employer branding
Engagement
HR analytics
HR operational excellence
Industrial relationships
Leadership development
Learning & developmentPerformance management
Prepare organisation forgrowth
Prepare organisation forstagnation/ downsizing
Retention
Selection & recruitment
Talent management
Teamwork
The new ways of working
Well-being
PRIORITIES 2014: CONCLUSION
15
II. MASTERY 2014
© Vlerick Business School
MASTERY 2014
Respondents were asked how well they master these HR practices and policies in comparison to companies they consider to be role model:
On a scale from 0% (low mastery) to 100% (role model)
Role model = an organisation that you consider an expert in this domain in Belgium
17
Selection & recruitment
Employer branding
Prepare organisation for growth
Learning & development
Talent management
Competency management
Performance management
Leadership development
Teamwork
The new ways of working
Well-being
Engagement
Compensation & benefits
Diversity
Retention
Prepare organisation for stagnation/downsizing
HR Analytics
HR Operational excellence
Industrial relationships
MASTERY 2014
18
65
50
60
50
60
42
65
69 50
61 60
48
50
53
65
50
57 41
52
0
10
20
30
40
50
60
70
80Compensation & benefits
Competency management
Diversity
Employer branding
Engagement
HR analytics
HR operational excellence
Industrial relationships
Leadership development
Learning & developmentPerformance management
Prepare organisation for growth
Prepare organisation forstagnation/ downsizing
Retention
Selection & recruitment
Talent management
Teamwork
The new ways of working
Well-being
HR PRIORITY VERSUS HR MASTERY
19
Compensation & benefits
Competency management
Diversity
Employer branding
Engagement
HR analytics
HR operational excellence
Industrial relationships
Leadership development
Learning & development
Performance management
Prepare organisation for growth
Prepare organisation for stagnation/ downsizing
Retention
Selection & recruitment
Talent management
Teamwork
The new ways of working
Well-being
Mas
tery
20
14
Priority 2014
High
High Low
Low Area for improvement
Strength Good job
No priority
MASTERY 2014: CONCLUSION
Most HR practices score high in terms of priority Successful HR = juggling several balls at the same time
Areas for improvement
Basic HR functions (industrial relationships, compensation and benefits, learning and development, performance management, engagement, selection and recruitment, HR operational excellence) are mastered well, but remain very important
20
Most important • Leadership development • Talent management
Second in a row • The new ways of working • Prepare organisation for
growth • Employer branding • Competency management • Well-being
MASTERY 2014: CONCLUSION
Retention versus talent management Similar score in terms of mastery
Very different score in terms of priority
Focus on developing key talents rather than a focus on retention in itself
Diversity Despite the high societal relevance: not among the top priorities of organisations + high perceived mastery
HR Analytics Rather low score in terms of mastery
But is not perceived as a priority at the moment
Rather favourable economic situation in 2014
21
Prepare organisation for growth
Prepare organisation for stagnation/downsizing >
III. PRIORITIES 2015
PRIORITIES 2015
Respondents were asked to look ahead to the priorities of their HR department in 2015 and to indicate their top 5 priorities of the following list of HR practices:
23
Selection & recruitment
Employer branding
Prepare organisation for growth
Learning & development
Talent management
Competency management
Performance management
Leadership development
Teamwork
The new ways of working
Well-being
Engagement
Compensation & benefits
Diversity
Retention
Prepare organisation for stagnation/downsizing
HR Analytics
HR Operational excellence
Industrial relationships
PRIORITIES 2015
24
* Word size reflects average priority level across respondents
PRIORITIES 2015: CONCLUSION
25
Top 5 priorities 2014
1. Leadership development
2. Selection & recruitment
3. Talent Management
4. Engagement
5. Learning & Development
+ Performance Management
Top 5 priorities 2015
1. Leadership Development
2. Talent Management
3. Prepare organisation for growth
4. Engagement
5. Prepare organisation for stagnation/downsizing
IV. IMPACT UNITY STATUS
IMPACT UNITY STATUS
Respondents were asked: Whether the introduction of the Unity Status had an impact on their HR practices/policies (yes/no)
To what extent the Unity Status had an impact (more/no change/less) on:
27
Number of hires
Number of permanent employments
Number of temporary employments
The time to take the decision to hire a new employee
Absenteeism
Personnel budget
Voluntary turnover
Forced turnover
The time to take the decision to end the contract of an employee
IMPACT UNITY STATUS
28
29,3%
70,7%
YesNo
of organizations indicated that the Unity Status had an impact on their HR policies/practices
IMPACT UNITY STATUS
29
1
3 2
4 3
2
More
Less
Number of hires Number of temporary
employments
The time to take the decision to
hire a new employee
Absenteeism Personnel budget
The time to take the decision to
end the contract of an employee
1
A. BLUE COLLARS
* Graph shows the number of organisations that indicated that the Unity Status had an impact on the HR practice
IMPACT UNITY STATUS
30
1
B. WHITE COLLARS
2 2 2 1
2 2
More
Less
3
1
IMPACT UNITY STATUS: CONCLUSION
Rather limited impact of the unity status on specific HR parameters (± one third of organisations)
Blue collars No impact on:
Number of permanent employments
Voluntary turnover
Forced turnover
Highest (although limited) impact on: Absenteeism (higher)
Number of temporary employments (higher)
White collars No impact on:
The time to take the decision to hire a new employee
Highest (although limited) impact on: The time to take the decision to end the contract of an employee (less time)
31
V. TOPIC NEXT HR BAROMETER
TOPIC NEXT HR BAROMETER
Respondents were asked which topic they would like to see covered in the next edition of the HR barometer
They could choose 3 topics from the following topic list
33
Selection & recruitment
Employer branding
Use of social media
Job crafting
Prepare organisation for growth
Learning & development
Talent management
Competency management
Performance management
Leadership development
Teamwork
The new ways of working
Well-being
Engagement
Compensation & benefits
Diversity
Retention
Prepare organisation for stagnation/downsizing
HR Analytics
Industrial relationships
TOPIC NEXT HR BAROMETER
34
Leadership development
Job crafting
Use of social media
Talent management
HR analytics
VI. FINAL LESSONS LEARNED
FINAL LESSONS LEARNED
Successful HR = juggling several balls at the same time
Most important areas for improvement 2014 - Leadership development - Talent management
Only 29,3% of organisations indicated that the Unity Status had an impact on their HR
practices/policies
Top priorities 2015 - Leadership Development - Talent Management
3 MORE INFORMATION?
Ellen Volckaert Manager Research & Development
(+32) 9 242 53 68
Celine De Vliegher Consultant Research & Development
(+32) 9 242 54 28
MORE INFORMATION?
Dirk Buyens Head HRM Centre & Director Open Exec Ed
(+32) 475 83 68 83
Ine Willemse Senior Research Associate
(+32) 9 210 92 41