Thu Apr 23, 2009 11:49pm EDT
By Susan Fenton* Some cost savings should be used to invest in key talent
* Redundancies should be completed in 4 weeks and in one go
* Soliciting staff for cost-cutting ideas boosts engagement
HONG KONG, April 24 (Reuters) - Companies slashing costs amid the economic downturn should use some of those savings to invest in staff development to keep their long-term goals on track and maintain employee engagement, human resources experts say.
A recent workforce study survey in Asia by management consultants Towers Perrin, shows that opportunities for career development and training is the No.1 driver of employee engagement. Yet 46 percent of survey respondents said they were likely to cut training costs this year as a result of the economic crisis.
HR managers say that risks undermining long-term staff development, and ultimately profitability.
"Don't sacrifice your longer-term goals," Ingrun Alsleben, Hong Kong chief financial officer of German pharmaceuticals group Bayer, told an HR conference in Hong Kong this week.
Instead of cancelling training, Bayer has started using in-house experts for training programmes instead of outsourcing, a switch that reduces costs and provides development opportunities for the company's own staff, Alsleben said.
U.S. investment bank Citigroup Inc says it has slashed costs by US$500 million in the Asia-Pacific in the wake of the global financial crisis, and axed more than 5,000 jobs here in the first quarter, but is maintaining investment in executive leadership and female executive programmes in Asia.
"You don't shut up shop when times are hard," Terry Endsor, Citi's Asia-Pacific head of HR, told the conference.
EXTRA WORKLOAD
Staff turnover rates typically fall during business downcycles as employees fear they will be the last in and first to be let go if they join a new company. That leaves a company with workers worried about job security and a pool of employees who are not engaged as they plan to leave when the economy rebounds.
"People are nervous," said Brian Walker, Asia vice-president of human resources at U.S. retailer Wal-Mart Stores Inc. "The economic crisis is the time to invest in the people who work for us."
Key talent needs to be reassured that the company is committed to its long-term career development while senior management needs support to be on top form during tough business conditions, HR experts say.
If a company is forced to make redundancies, it should weed out low performers but make sure the redundancy process is quick and done in one go. Walker, working on a redundancy programme a few years ago, insisted it be completed within a month, not three months as recommended by top management.
"It was tough but it was the fairest process," he said. "I believe it's best to move swiftly and surgically."
Middle management is often a good place to start when trimming headcount, said Citi's Endsor.
"Businesses tend to be very bulky in middle management," he said, adding that Citigroup strives to have just seven layers of staff between the CEO and the customer.
As lay-offs result in extra workload for employees, recruitment company Robert Half said hiring temporary staff to relieve the burden would pay off in the long run.
"When people are busy, mistakes are more likely to occur," the company said. "But don't let service levels slide because your team is swamped. You'll create a standard that will be difficult to break once workloads return to normal."
Bayer meanwhile has launched a cost-reduction suggestion scheme allowing employees to submit cost-cutting ideas. They are then discussed by a team of employees before being submitted to management.
"This is a good system because people like to be part of the solution to the problem. And it taps creativity," said Alsleben.
Staff cost-cutting proposals have been far more aggressive than top management would have recommended and have been pared down, she said. (Editing by Chris Lewis)
source: http://www.reuters.com/article/managementIssues/idUSHKG31296520090424
ref link: http://cn.reuters.com/article/CNMgtNews/idCNChina-4328620090424
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slash 指迅速、大幅度的削减（成本、开支）等，隐含有不谨慎的意思
Employee engagement is a concept that is generally viewed as managing discretionary effort, that is, when employees have choices, they will act in a way that furthers their organization's interests. An engaged employee is a person who is fully involved in, and enthusiastic about, his or her work.
In his book, Getting Engaged: The New Workplace Loyalty, author Tim Rutledge explains that truly engaged employees are attracted to, and inspired by, their work ("I want to do this"), committed ("I am dedicated to the success of what I am doing"), and fascinated ("I love what I am doing").
undermining 指破坏、损毁，隐含意思是从底部、根基处逐步破坏
令员工投入工作的驱动力通常是职业发展和培训，但往往在经济不景气的时候，员工方面的投资，如培训开发等支出会被企业大手笔的砍掉，以节约可见的成本。对此，人力资源专家认为这会制约组织长远期的人力开发，并最终导致利润受损。
针对短期成本和长远利益的矛盾，拜耳采取的应对方案是将原有培训项目由外包改为内训，花旗在亚太地区则一面裁员一面维持该地区其它方面的人力开发项目投入，如高管领导力培训和女性高管培训。花旗的这种做法被认为是不在艰难时期关上希望的大门（本句字面意思是歇业打烊, shut up有粗暴的无条件关闭的含意）
然而，在危机中，员工缺少安全感，工作不投入的员工(not engaged)在经济恢复时便很可能离职而去(leave when the economy rebounds)。组织在大浪淘沙时便可慧眼识真金，栽培那些与之共患难的员工(the people who work for us)，使组织渡过危机(during tough business conditions)。对于无法避免的裁员计划，必须1）在极短的时间内一次性完成(quick and done in one go)；2）优先辞去绩效不高者(low performers)；3）如花旗，从中层管理层开始裁撤，但依然要确立并保持工作质量方面的标准（尽管对剩余工作者来说，工作负担增加了）。
相比与花旗，拜耳的方案更加人性化一些。读者可自行从文章中分析和体会不同方式的运作环境和可能的结果。
另，本篇报道中需要关注的词汇主要是有关组织裁员的，如slash, axe, shut up, make redundancies, weed out, trim headcount, lay-offs。