building a reward strategy in africa 2020...but still bringing key hr challenges to be addressed...
TRANSCRIPT
BUILDING A REWARD
STRATEGY IN AFRICA
FOR 2020
Africa R&B challenges and
Korn Ferry solutions
1 April 2020
MEET YOUR PRESENTERS…
John VASICEKRegional Commercial Leader –
South Africa & English-speaking Africa
Korn Ferry
Based in South Africa
Phone: +27 60 960 1843
Email: [email protected]
Koenraad CLAEYSRegional Head of Pay Digital Service
Korn Ferry
Based in Netherlands
Phone: +31 6 11 20 07 50
Email: [email protected]
Mehdi BOULARESRegional Commercial Leader – French-speaking Africa
Korn Ferry
Based in Algeria
Phone: +213 540 04 80 49
Email: [email protected]
AGENDA
ABOUT KORN FERRY
OUR GLOBAL PAY DATA
THE REWARD CHALLENGES IN AFRICA
OUR FOCUS ON THE AFRICA PAY DATA
OUR PAY SOLUTIONS
ABOUT
KORN FERRY
The synchronization
of strategy and talent
Organizational strategy
Rewards & benefits
Assessment & succession
Talent acquisition
Leadership development
Korn Ferry qualifications:
Unrivaled expertise delivered on a global scale
8,500highly qualified, diverse, and
customer-driven employees
150+countries throughout the Americas,
Europe, Asia Pacific, Africa &
the Middle East
88of world’s major
business centers
75+years of client excellence
Expertise in driving individual
and organization performance
through variable pay programs
Compensation data on 20M incumbents
in our global databases
Leading job evaluation methodology
used by thousands of companies
worldwide
A core focus on executing strategy
through people
Social scientists, researchers, and
PhDs committed to scientific rigor
and ongoing R&D
The world’s richest talent database
Solutions that equally weigh market
best practices and our client’s culture
and strategy
A client-centric and practical approach
to consulting
Deep understanding of the key drivers
of success in the professional services
sector and related talent implications
Work measurement
We design and evaluate jobs, put in place grade
structures and develop career frameworks so you
can match the right people to the right role, pay
them fairly and competitively and enable them
to progress.
Rewards and Benefits
Executive pay and governance
We develop executive pay frameworks that
attract the best talent and motivate them
to deliver on your business strategy.
Sales compensation and incentives
We develop game-changing sales incentive
programs, that help you attract and retain key
talent and build dynamic sales teams that
deliver on strategic objectives
and fill pipelines.
Korn Ferry Pay
We give you access to our comprehensive
rewards database and provide you with
insights and analytics to optimize your
rewards program and align it with your
organizational strategy
Reward benchmarking and
reward healthcheck
Our interactive reports, provide you with
focused insights on the effectiveness of your
rewards program so you can deliver more
impactful rewards strategies.
Employee rewards
We help you get the best ROI on your investment
by developing fair and competitive reward
programs that your employees value and that
encourage the behaviours and performance
your business needs.
Total reward diagnostic and
organizational benchmarking
We show you where your rewards program
stands in the market, how it aligns with employee
expectations, and how it supports business goals
OUR GLOBAL PAY
DATA COVERAGE
IN 2019
MILESTONE 15025,000 companies, 20M+ employees
North & Central America
16 countries
3100 companies
5,591,000 employees
South America
10 countries
1,900 companies
3,009,000 employees
Europe
46 countries
11,900 companies
8,566,000 employees
Africa
39 countries
11,500 companies
607,000 employees
Middle East
11 countries
2,100 companies
1,181,000 employees
Asia
26 countries
3,700 companies
2,451,000 employees
Pacific
5 countries
890 companies
472,000 employees
Our pay database is now available in 150+ countries
See where we’ve grown
THE REWARD
CHALLENGES
IN AFRICA
* UNCTAD’s World Investment Report 2019
Doing business in Africa: A complex reality,
though not discouraging investment …
Africa remains a popular
destination for multinationals
Global foreign direct investment
(FDI) flows rose by 11% in 2018
unlike a global slump*, resulting
in a growing employment offer
Financial services, distribution
and energy are the top 3 sectors
in terms of growth
Emergence of a pool of talented
local workforce taking over key
and management positions in
multinationals, thus reducing the
need for expatriate, high cost profiles
Population growth continues
to outstrip GDP growth
Security, political and
economic uncertainty (for e.g.
uncontrolled inflation levels in several
countries) remain a challenge
Low education levels
combined with low investment
in education, tertiary and
vocational training, result in a
shortage of skilled profiles
and a fierce war on talents
Corruption remains a major concern
for doing business in Africa
Corporate/regional pay strategies do not
necessarily fit with the African context:
need to adapt corporate pay strategies
to the market’s requirements
Talent shortage and pay
competitiveness challenge:
the fierce war on attracting and retaining
talents requires a solid mastery of the
market pay trends and evolutions
From a corporate/regional perspective,
lack of visibility on local economic context
and reward typical practices:
do the official figures (GDP growth/inflation,
etc.) reflect the market’s reality?
Poor pay data offer:
lack of local robust pay data, making it
challenging to build effective pay structures
and salary movement campaigns
… But still bringing key HR
challenges to be addressed
Building an effective reward strategy in Africa in 2020
requires understanding the local market practices diversity …
81%
78%
77%
75%
74%
74%
73%
72%
72%
71%
69%
69%
68%
68%
65%
65%
63%
62%
49%
12%
4%
9%
9%
11%
7%
14%
9%
4%
4%
3%
11%
6%
6%
11%
3%
2%
2%
6%
7%
18%
14%
16%
15%
19%
13%
19%
25%
25%
28%
20%
26%
26%
24%
31%
35%
36%
45%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Seychelles
Mozambique
Tunisia
South Africa
Algeria
Zimbabwe
Egypt
Kenya
Namibia
Tanzania
Angola
Madagascar
Morocco
Uganda
Mauritius
Zambia
Botswana
Ghana
Nigeria
Paymix per country
Base salary Variable pay Benefits and allowances
… And coping with the talent shortages,
including on managerial positions…
12.9 12.6
11.3 11.2
10 9.9 9.7 9.48.9
8.58.4
7.97.4
6.7 6.7
5.6 5.54.7
3.5
0
2
4
6
8
10
12
14
Mozam
biq
ue
Egypt
Ugand
a
Tanzania
Nig
eria
Cote
d‘Ivoire
Kenya
Ghana
Alg
eria
Zam
bia
Moro
cco
Tunis
ia
Mauritius
Seychelle
s
Madag
ascar
South
Afr
ica
Nam
ibia
Angola
Bots
wan
a
Base salary gap between
Managerial
VS.
Supervisory positions
Average gap, western countries (Western Europe/USA/Canada)
0% 10% 20% 30% 40% 50% 60% 70%
Measuring and improving the work efficiency of remote workers
Inadequate resources to aid the control and prevention of an outbreakwithin the premises
Difficulty in predicting the future workforce needs in response to theevolving economic landscape
Lack of relevant work regulations and practical rules during a pandemicoutbreak
To act as a trusted advisor to management in times of crisis
Maintain employee engagement levels and trust with the leadershipteam
Getting a consistent flow of information and updates out to employees
% respondents
Working from location (site,shop, office)
Working from home
Pulse survey, impact of COVID-19 on business and human capital management practices
18th to 26th March 2020, cut: Africa organizations only
… in an unprecedent context of global pandemic, with the
exceptional HR challenges it brings
Q: What is the biggest challenge for the HR department during this pandemic outbreak?
ZOOM ‘IN’ ON
AFRICA PAY
DATA COVERAGE
How our data can help you
addressing these challenges
Complete view of all your
pay and reward data and
analytics.
Interactive reporting by both internal
and external benchmark with options to
create your own analysis and market cuts
Jobs mapped to Korn
Ferry best-in-class
Success Profiles.
Access to our Pay
experts for additional
local insight
Always up to date information
about local economic indicators, salary
components, labor market practices, …
Market pay insights
by country, sector,
and job levels.
Subject to data availability
Our focus on the Africa pay dataAddressing pay data shortage in the region
Our pay database has
grown in Africa
39 countries
15,000 organizations
607,000 employees
Our focus on the Africa pay dataAfrica pay data coverage – We have data in the following countries:
Algeria Egypt Mauritania South Africa
Angola Ethiopia Mauritius South Sudan
Benin Gabon Morocco Sudan
Botswana Ghana Mozambique Tanzania
Burkina Faso Guinea Namibia Togo
Burundi Kenya Nigeria Tunisia
Cameroon Libya Rwanda Uganda
Chad Madagascar Senegal Zambia
Cote d'Ivoire Malawi Seychelles Zimbabwe
Democratic Republic
of CongoMali Sierra Leone
Our focus on the Africa pay dataAfrica pay data coverage – activity sectors
21© 2020 Korn Ferry. All rights reserved
Banks
FMCG
Industrial goods
Chemicals
Other financial
services
Oil & gas
OUR PAY
SOLUTIONS
The Reward function is perfectly placed to unlock
Success Profiles for organizational benefit
Pay
Benchmarking
Development
Planning
Job
Grading
Assessment
for
Development
Job
Descriptions
Career Path
Identification
Assessment
for
Recruitment
Career
Frameworks
Success
Profile
Already linked to Success Profiles, which
provide much more content than a normal pay
survey job matching guide
Survey data submission already involved
aligning to our job model
All Success Profiles then enable a wide range
of other uses, all in one platform
Creating links between HR functions
through Korn Ferry Success Profiles
Agile – Intelligent – Integrated
Our pay product solutions
KF Pay Participate – our free deliverable
Receive a complimentary
Korn Ferry Pay
participation offer
in exchange for your
payroll data submission
Korn Ferry Pay Participate
▪ Korn Ferry Insight – provides you with
an organizational and matrix view of
your job architecture
▪ Reward Health Check – focuses on key
internal areas of reward
▪ Online secured automated Organization
Data Submission
▪ Market Insights – Key trends and market
insights by country
▪ Invitations to our local seminars and online
conferences (R&B trends content)
Our pay product solutions
KF Pay Premium / KF Pay Basic
Korn Ferry Pay Basic
▪ Korn Ferry Insight
▪ Reward Benchmarking
▪ Reward Health Check
▪ Custom Grades functionality
▪ Korn Ferry Compensation & Benefits Report
▪ Market Insights
▪ Invitations to our local seminars and online
conferences (R&B trends content)
Korn Ferry Pay Premium
Our most comprehensive pay data package
▪ Talent Hub (KF Pay version)
▪ Reward Benchmarking Reports
▪ Korn Ferry Compensation & Benefits Report
▪ Reward Health Check Reports
▪ Custom Grades Functionality
▪ Self Service Peer Groups
▪ Korn Ferry Compensation & Benefits Report
▪ Organization Data Submission
▪ Market Insights
▪ Invitations to our local seminars and online
conferences (R&B trends content)
Q&A
THANK YOU
FOR JOINING OUR
WEBINAR !