The smog, at least on the HR front, is beginning to clear – and this time it looks both sustainable and for real.
In fact, many recruitment resources have themselves been caught short with the size, speed and strength of the bounce. Perhaps we have all been kept slow by our own exposure to the wall-to-wall depressing TV news from home that we all experience, whether that is the US, UK or both.
However, in hindsight, this now seemingly sustained and substantial up-tick should not have been a surprise as most international companies installed across the board hiring freezes in China more than 1 year ago even as they experienced significant hiring demands. As a result of this powerful and latent demand kick-in, plus recovery itself, skills and leadership demands have been fuelled significantly.
Life Sciences and its closely related segments remain the hottest of the sectors with a high demand currently for short-term, interim assignments where the successful candidates with specific regulatory experience for example are sourced internationally, whether Western or Returnee Chinese.
On the same theme, many existing US-listed Chinese firms clearly understand where China is in the cycle and are gaining a quick advantage by taking the opportunity to tool-up senior leadership ahead of their international competitors – take note MNC’s! Again, candidates are often being sourced internationally. Hot on their heels are a number of Private Equity-backed industrial manufacturers who are taking the opportunity to improve on their leadership and functional skill-sets to better cope with the renewed challenges ahead. In addition:
- Food, food service and well-recognized international restaurant chains are entering, expanding or taking control of previously franchised operations ahead of the curve, as are their logistic and supply chain partners
- China outbound investment continues to ratchet up significantly, however, many HR challenges remain for these firms internationally, but this is for another blog
- Companies are clearly beginning to invest in existing and greenfield sites once again
With the start of a new cycle already upon us, leadership should be looking at the following realisms with urgency:
- Top staff are openly receptive to changing jobs once more. There will be a fall in retention numbers as a result of these alternative opportunities emerging in the marketplace.
- Human Resources organizations are again starting to find it hard to bring specifically skilled professionals on board.
- Candidates find that they once again have more than one competitive offer on the table.
- Candidates are already starting to play off one company against another again.
- Expected salaries, for a job change, are quickly heading back to the usual 25% and above of annual salary.
- Cycle times on assignments are reducing rapidly.
- Many HR leaders already have a renewed sense of urgency about hiring and are openly pushing line managers to speed up the process.
The battle for hearts and minds, otherwise known as the War for Talent, starts again – is your company prepared and ready?
About Foster Partners:
Foster Partners is a global retained executive search firm focused on senior level professionals for US, European and Chinese corporations. China headquarters are located in Shanghai, with operating offices in many of the other major cities in China mainland and Hong Kong. Additional Asia operating offices include Kuala Lumpur and Ho Chi Minh City. U.S. headquarters is located in New York, NY.
For more information regarding Foster Partners, visit our website www.fosterpartners.biz.