The CHRO Point of View: Asia Pacific · War for talent: A term coined by the McKinsey Institute that describes the competitive landscape for recruiting and retaining talented employees

The CHRO Point of View: Asia PacificEmployee Experiences Drive Business Value

Survey results: Top four takeaways.

1Three out of five CHROs say HR is now a driver of digital transformation.

Their position has evolved from delivering HR services and attracting top talent to organizational strategy, digitizing the employee experience, and contributing to corporate performance. Digitization will enable better employee experiences and help address challenges (limited budget, too many tasks, difficulty in retaining and retraining).

2Most CHROs expect success to be defined by consumer-like experiences.

They have adopted technologies to personalize HR interaction and predict employee needs, but 44% and 59%, respectively, say they are “ineffective” or just “somewhat effective” at applying these strategies.

3CHROs are looking to technology to overcome barriers to collaboration.

The biggest barriers are resistance to changing traditional ways of work (51%) and office politics (46%). CHROs (68%) want a platform that streamlines cross-functional collaboration, and expect (69%) this to increase employee engagement, retention, productivity, and reputation—just 40 out of 500 CHROs disagree.

4CHROs will use platform models to drive change.

In the next three years, 48% expect to use platform models to help bring consistency to HR operations and encourage cross-functional collaboration, up from just 14% today. Platforms do so by integrating data from multiple sources and delivering visibility into all processes and infrastructure. Among the many benefits, this will automate a much larger percentage of tasks, including career planning and continuing education, retention, benefits management, recruitment, and payroll, and help HR provide personalized service to employees.

The CHRO Point of View: Asia Pacific 2

Employee experience:The combination of organizational culture, technological environment, processes, and physical environment that determines how an employee performs and feels about their job.

War for talent:A term coined by the McKinsey Institute that describes the competitive landscape for recruiting and retaining talented employees.

ServiceNow surveyed 135 CHROs in four Asia Pacific countries about their changing roles, priorities, and strategies for transforming the employee experience and winning the war for talent.


The HR function is a driver of digital transformation at our company

My role has grown more strategic over the past three years

My role will become more strategic over the next three years

18%

13%

18%

23%

12%

12%

59%

75%

70%

Disagree Neither Agree

The CHRO is driving digital transformation in Asia Pacific.CHROs see digitization as a step toward improving employee experience.

To what extent do you agree with the following statements about your role?


CHROs in Asia Pacific are leading in strategic HR initiatives.More than any other region, employee experience in Asia Pacific is a key priority and benefits from digitization.

Asia Pacific Asia Pacific

Europe Europe

North America

24% 67%

21% 66%

North America 4% 54%

Digitizing parts of the employee experience three years ago.

As a result, today APAC CHROs lead the world in saying their employee experience is perceived as “significantly” or “somewhat” better than others.


Asia Pacific Asia Pacific Asia Pacific

Europe Europe Europe

North America N. America

60% 62% 43%

54% 60% 41%

44% 50% N. America 22%

Harnessing data and analytics to improve decision making.Attracting and retaining top talent.

Building a workforce for business needs.

Say they are “successful” or “very successful”

Say they are “successful” or “very successful”

Asia Pacific CHROs are setting new standards by building for business needs.CHROs say data-driven decision making is critical.


ANZ

Singapore

Japan 84%

71%

69%

“Agree” or “strongly agree”

In Asia Pacific, Japan is a model for HR transformation.CHROs based in Japan lead the region in strategic outlook and overall support for employee experience.

My role has grown more strategic over the past three years.


North America

Europe

Japan-based CHROs 87%

77%

56%

Japan: A model for HR transformation.

Japan Japan

Singapore Singapore

ANZ ANZ

84%

64% 64%

56%58%

89%

To what extent do you agree with the following statement: Creating seamless employee experiences drives engagement and productivity.

Saying they have the information they need to win the war for talent...

...and improve the employee experience.


North America

Singapore

North America

Europe

North America

EuropeANZ

Europe

Japan Japan Japan74% 80% 80%

71%60%

71%

70%

73%

70%

66%

62%

Focusing on employee engagement.Using platforms to streamline cross-functional collaboration.

Gaining support from senior management that talent is a strategic priority.

Say it’s a “core focus”



North America North America

North America

Europe Europe

Europe

Asia Pacific

Japan Japan Japan78% 78% 76%

63% 62%

62%

69%

50% 66%

65%

Saying HR is a competitive differentiator for the company.

Saying talent strategy is a competitive differentiator.

Building a healthy organizational culture.

“Agree” or “strongly agree”



Australia and New Zealand:CHROs have room to grow in creating a positive employee experience.

ANZ ANZ

Japan

Singapore

Japan 2%

Singapore 9%

16% 47%

64%

64%

Say they do not use technology in a meaningful way.Less likely to view the HR function as a driver of digital transformation.


Singapore:While one of most digitized in the region, CHROs still see opportunities in retention.

Singapore Singapore

ANZ ANZ

Japan Japan

38% 31%

29% 51%

18% 58%

More likely to say their core role three years ago was making HR workflows more digital and efficient. Less successful at retaining talent than competitors.


Who’s at Level 3 in Asia Pacific?

Level 1 organizations are primarily focused on the delivery of administrative HR tasks and processes.

Level 2 CHROs are driving corporate performance and beginning to deliver a stronger employee experience.

Level 3 CHROs are visionary leaders who are ahead in optimizing how the HR function operates.

CountryLevel 3

Respondants% of Country

CHROs on Level 3

Japan 6 13%

Austraila/New Zealand 3 6%

Singapore 2 5%

% of the Total

Level 1s Level 2s Level 3s

Globally 74% 18% 8%

Asia Pacific 73% 19% 8%


Japan leads the world in retaining talent and building healthy organizational culture.

Japan-based Japan-based

Australia/New Zealand Australia/New Zealand

Singapore Singapore

Europe Europe

North America North America

58% 76%

51% 71%

31% 60%

49% 62%

46% 65%

CHROs that say they’re “successful or highly successful.” Have built a culture to meet future business objectives.

“Agree or “strongly agree”


The values driving the modern CHRO:Making the journey to Level 3 status.

1 Viewing your role as driving corporate performance and increasing employee productivity

2 Committing to creating a digital, consumerized employee experience within the next three years

3 Contributing to organizational strategy as well as HR strategy

4 Using digital technology to deliver more personalized, seamless employee experiences

5 Facilitating collaboration with other departments to meet their HR needs

6 Adopting HR technology that improves the employee experience

7 Upgrading the onboarding process for new employees

8 Customizing the HR experience for individual workers

9 Making your HR function more effective at building a healthy organizational culture


servicenow.com/chro

Download the Global CHRO Point of ViewRead the full report detailing the CHRO’s journey to greater impact and a stronger employee experience.


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The CHRO Point of View: Asia Pacific · War for talent: A term coined by the McKinsey Institute that describes the competitive landscape for recruiting and retaining talented employees