2. 1 redefining leadership: building tomorrow’s leaders today Nicole Pritchard Regional Manager, Talent Management, AXA Asia 4 June 2012

3. 2 Overview  AXA at a glance  Identifying, assessing, and developing AXA Asia’s future leaders  Few tips and building leadership team ownership  Lessons learnt and pointers

4. Before we begin... 3

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6. How do we plan for the future when the world changes so quickly? How do we build leaders for the unknown future? 5

7. AXA Group Leading Global Insurer and Wealth Manager 6 Our Mission

8. 7 AXA Asia Our Regional Footprint As of 31 December 2011

9. 8 Leadership at AXA Globally, AXA recognises leadership as a key business challenge Henri de Castries, Chairman and CEO, AXA “We must develop the leadership qualities needed to get the best from every staff in our organization. We need to capture their hearts and minds.” “ Leadership is critical to our success. Indeed, this is the only driver that will help us make the cultural transformation required to engage all of our employees” Redefining Leadership

10. 9 Leadership challenges at AXA Asia Young company High growth aspirations (organic & inorganic) High growth aspirations (organic & inorganic) Talent starved market Talent starved market The need to develop leaders at all levels The need to develop leaders at all levels Importance of having the right leaders Importance of having the right leaders Rapidly changing markets Rapidly changing markets Challenges Hence…

11. 10 The Top 20 Research and findings - an external perspective Three key differences emerged between Top 20 Companies and other survey participants  Leaders lead the way  Unrelenting focus on talent  Practical and Aligned Programs Source: Hewitt/RBL Survey The Top 20 Companies for Leaders Study

12. Leadership Development Journey 11 Business strategy Leadership skills/ attributes 3a. Quality of bench strength 3b. Quality/ quantity of pipeline 4a. Development planning 4b. Talent pipeline management Effective Business Leadership 1.Begins with deeply understandin g the businesses current and future requirements 2. The business analyses its leadership requirements… …. 3.Leadership requirements are reviewed against what exists both today and what is needed in the future ……….. 4. Actions are initiated to develop and source the right leadership …….. 5. The business is led effectively

13. 1 & 2. Business strategy translated into key attributes required by future leaders 12 Leadership success dimensions directly cascaded from business strategy  Embedded within all business processes  Regularly reviewed and updated to reflect business priorities  Expectations defined across the employee population

14. 3a. Quality of bench strength 13 Asia Leadership League Development Centres launched in 2010 to identify and build tomorrow’s leaders: i)Future country CEOs and Excom: three day Development Centre ii)Future country Leadership Team members: two day Development Centre iii)Key young talent: two day Development Centre Consistent framework defining potential at AXA Asia Custom designed development centres  Identification and development framework for key talent groups  Consistent across all countries

15. 14 3a. Quality of bench strength Assessing future leaders at AXA Asia Assessing the potential of future leaders to successfully lead AXA Asia is against a defined model and uses a robust, multifaceted approach

16. 3b. Quality/quantity of pipeline 15  Global standardised annual succession planning and talent review process  Review breadth and depth of talent within all companies in Asia  Critical leadership roles  Critical professional families  Regional Excom heavily involved  CEOs held accountable for conducting review within their company  Identify concrete development actions  Monitor and review Organisation and Talent Review (OTR) Redefining Leadership

17. 4a. Development Planning 16 AXA University campuses in Singapore and Paris Technical and behavioural skill planning & development Long-term career planningInternational mobility  Annual individual development planning  Regional Training Needs Analysis linked to strategic business plan  Managers and staff held accountable for development plan execution  Annual career development dialogues conducted with all staff  Short and long term assignments encouraged to develop capabilities  Dedicated facility and faculty designing and delivering customised programmes and forums

18. 4b. Talent pipeline management 17 Internal pipeline managementExternal talent mapping  Active monitoring and management of movement of talent within the organisation  Balance buy versus build CEO, x entity Candidate A Candidate B Candidate C Candidate D Candidate E Candidate F Candidate G  Review every six months the external pipeline of talent for key roles  Conduct in all countries  Proactive networking and relationship building

19. 18 Retaining future leaders at AXA Asia Targeted measures are used to retain future leaders Career Track Recognition Development dialogue Development plan execution Market positioning of fixed compensation Long Term Incentive Plans Senior executives actively manage any derailing / plateauing of future leaders Targeted actions to address concerns Role movement Coaching

20. 19 Building Executive ownership A common issue with developing future leaders is gaining CEO & Leadership team ownership At AXA Asia, engagement and ownership by the Leadership team has been gained by Annual Talent Sessions: Regional CEO along with Regional HR discusses with each country annually and reviews the health of future leader pipelines & development plans Quarterly reviews / Excom Off-sites: Along with the Business Quarterly Reviews, Regional CEO and Excom review the talent pipeline and development plans implementation with all countries Assessing and developing future leaders: Senior executives commit significant time to assess the suitability of identified future leaders, participate as facilitators in Development Centers along with partnering with them for their development.

21. 20 A quick Audit …  Do you know what your leaders of the future look like?  Do you know who your best talent is? Do they know?  Is there a significant difference between their total compensation and the average performers in their position?  What developmental opportunities do high potential leaders get compared to other leaders?

22. 21 Building tomorrow’s leaders A few tips on what we can do…  Initiate one on one CEO dialogue with the identified talent  Develop high-potential development programs  Create assignment-based development programs  Develop "on-boarding" programs to ensure success in new roles  Link high-potential status to total compensation review  Track high-potential growth to identify best growth paths Few Tips

23. 22 The Right Programs, Done Right Short-Term and Long-Term Opportunities What can we Do Today  Assess - Ask senior team for feedback on current processes for developing leaders  Prioritize - Identify the 3 things that the company absolutely must do this year to build leadership depth and quality  Compare - Understand how the programs compare to those of the Top 20  Audit - Determine the total dollars spent by the organisation on developing leaders; assess return Longer Term Actions  Leadership Strategy - Develop a holistic leadership strategy outlining how to source, align, develop and reward leaders  Implementation Audit - Assess capabilities to effectively implement leadership programs  Create the Practices – Create and implement those practices with the greatest leverage for building leaders Few Tips

24. 23 Lessons learnt at AXA  Gain leadership team ownership early on  Identify the “right” leaders  Give future leaders the job and resources they need to succeed  Support, develop and encourage future leaders  Reward and empower  Be prepared to “Let them soar high”

25. 24 Closing questions to ponder upon Based on our conversation today...  Where do you see the greatest areas for improvement in your approach to building leadership depth and quality?  How committed is your CEO and Leadership Team members to build strong leaders?  What barriers exist to implement new leadership practices or processes? Redefining Leadership