1. Changing nature of work, workforce, and workplace – Challenges and opportunities for our profession Peter Cheese CEO, CIPD FAHR Conference 12 th November 2014

2. An inflection point for business and HR? We live in interesting times!

3. A fast changing context for people and skills Economic Social Political Technological Globalisation Regulatory change Education and skills Recession and outlook Economic constraints Labour markets Demographics Changing values and attitudes CSR and environment Web 2.0 New ways of working and learning New skills

4. Traditionalist Boomer Generation X Generation Y Born 1928-1945Born 1946-1964Born 1965-1979 Each generation with different assumptions about how the world works Born 1980-~2000 Workforce - new levels of diversity

5. Changing demand for skills and skills mismatches Jobs in OECD Countries appear to be increasingly for high skill workers Source: OECD, McKinsey analysis

6. 6 World demographic trends and labour supplies -17 5 3 -2 0 -3 -2 4 19 47 -3 2 2 3 -6 -10 1 5 7 4 5 -9 -0.5 Japan China Russia Czech Vietnam Philippines Australia Indonesia Malaysia Bangladesh India Pakistan Iraq Turkey Egypt Italy Germany UK Ireland France Spain US Mexico Surplus or shortfall is calculated keeping the ratio of working population (age group 15-59) to total population constant Source: U.S. Census Bureau; IBM US and EU now produce less than 30% of the world’s science, technology and engineering graduates About 97% of the 438 million people to be added to the global workforce by 2050 will come from developing countries Brazil

7. Skills challenges in the Middle East Almost 50% of businesses in the region, including Qatar and the UAE, seeing difficulties in finding and retaining skilled manpower to deliver big projects (eg 2022 Fifa World Cup and World Expo 2020) (PwC survey 2014) UAE world's most popular work destination for expats; India most popular source country – (LinkedIn study) UAE employees expect double digit pay hikes in 2014 – (Bayt.com and YouGov study) Number of job vacancies in the Gulf's hospitality sector went from 18,000 in 2009 to 61,000 in 2013 (Catererglobal.com)

8. Almost 82 Million Arab users UAE Leads in LinkedIn penetration The rise of social media… Almost 82 million Arab users Egypt constitutes 24% of users in Region Qatar highest Facebook penetration 5.8 million active Arab users Kingdom of Saudi Arabia (KSA) accounts for 40% Kuwait has highest penetration Over 17 Million tweets produced daily in Arab world

9. Need for new ways of thinking

10. Source Attract Select Orient Train Develop Reward Move through the Organization Welcome to our Company Orientation begins here So are our People Management practices good enough? Where are your biggest challenges today? Where will they be tomorrow?

11. The business case for effective Talent Management A.Focused recruitment B.Onboarding and training C.Development and performance management D.Maintaining Engagement E.Career development Value to the organisation Time B A Time to competence Longer retention Greater effectiveness C D E 11 + more cost effective employee compensation

12. Importance of having a talent strategy Rightsourcing What skills are needed ? How well are we positioned to attract and retain? What are the best options, channels? Talent supply chains Employee talent sources Full or part time employees Third party talent sources Partnership and outsourcing Remote talent sources Nearshore, offshore, homeshore Contingent talent sources Temporary or contract labour Virtual talent sources ‘Open’ or ‘Crowd’ sourcing Business strategy Future capabilities Growth areas

13. IQEQ TQ CQ Critical attributes in todays world

14. Focusing on Engagement Voice Empowerment Recognition Support Playing to strengths Meaning Purpose Well-being Energy! The extra mile Passion Alignment Collaboration Shared values Commitment Trust

15. Reinventing learning – renaissance eLearning PedagogyAndragogyHeutagogy Teacher drivenParticipants as co-owners of the learning Learner self-directed (Discovery) Passive ‘bystanders’TransformationalDisruptive Cognitive/theoreticalFacilitative learningNon-linear process SafeExperiential and immersiveImproving learning skills themselves Content drivenWhite space/reflection time Teacher directedStudent/self determinedStudent directed Source: LBS

16. HR a key enabler, but developing managers is critical

17. SHOW ME THE NUMBERS! What gets measured gets done But not everything that can be counted counts Too much data, too little insight The importance of measurement and insight

18. Framework for Future of HR and People Development Work Workforce Workplace HC metrics Bus language of HR Data analytics Behavioural science Psychology Neuroscience Values and ethics Systems thinking Economy Political and regulatory Technologies HR operating models HR capabilities Insight on Changing Context Science of human and organisational behaviour HR & Learning Processes, Practices, Policies Business, Commercial Insight, and Analytics

19. Professionalising HR Having the right skills across the core areas Lead through insight Importance of business, organisational and contextual savvy Thinking strategically working collaboratively with the business Partnering with Finance and other support functions HR professional areas CIPD Profession Map

20. HR leadership behaviours Confident with ability to lead, challenge and influence Inquisitive and questioning Synthesisers and provocateurs Business understanding and orientation

21. Strategic focus and direction