IWS Documented News DAILY POSTINGS

IWS Documented News Service

_______________________________

Institute for Workplace Studies----------------- Professor Samuel B. Bacharach

School of Industrial & Labor Relations-------- Director, Institute for Workplace Studies

Cornell University

16 East 34th Street, 4th floor---------------------- Stuart Basefsky

New York, NY 10016 -------------------------------Director, IWS News Bureau

________________________________________________________________________

 

This service is supported, in part, by donations. Please consider making a donation by following the instructions at http://www.ilr.cornell.edu/iws/news-bureau/support.html

 

Towers Watson

 

2014 CURRENT AND EMERGING THEMES: CHINA REPORT [22 October 2014]

Employee Benefits: A Headquarters Perspective

http://www.towerswatson.com/en/Insights/IC-Types/Survey-Research-Results/2014/09/2014-Current-and-Emerging-Global-Themes-China-report

or

http://www.towerswatson.com/DownloadMedia.aspx?media={A8FD381C-B6F9-4F88-A1C9-16B0D6A5233C}

[full-text, 36 pages]

 

AT A GLANCE

·       As Chinese multinationals ramp up their global expansion, they are paying increasing attention to developing, managing and retaining global talent.

·       Half of Chinese multinationals are at the initial stages of their global benefit management journey.

·       Chinese multinationals need to consider taking steps to establish global approval processes, conduct benchmarking and maintain a structured benefit inventory.

 

Multinational companies’ annual benefit costs are often hundreds of millions of dollars, with past commitments of several billions of dollars. The seventh annual Current and Emerging Global Benefit Themes research provides insights into how leading companies seize the opportunities presented by benefit provision to add business value.

KEY INSIGHTS INCLUDE:

·       Chinese multinationals are paying increasing attention to global rewards and talent management. As Chinese companies expand further on the global stage, there is a greater need for varying rewards among different groups and benchmarking rewards across geographies. They are making efforts in both areas. Chinese multinationals also share the concerns of their global counterparts about bringing the right talent aboard to be successful, especially in overseas markets where companies typically do not have any experience. Compared with 2013, there has been a 15-percentage-point increase (from 50% to 65%) in interest among Chinese multinationals in developing, managing and retaining global talent.

 

·       Half of Chinese multinationals are at the initial stages of their global benefit management journey. Fifty percent of Chinese multinationals are getting started, either through initial data gathering to determine what they will need in order to expand, or learning by doing, by expanding for the first time into a market outside China.

 

·       Compared with U.S. and European multinationals, Chinese multinationals need to consider taking action steps to catch up in three areas: establishing global approval processes, conducting regular benefit benchmarking and maintaining a structured benefit inventory. Global approval processes are excellent, though not perfect, hedges to protect company interests. Benchmarking is a key management technique to ensure that reward objectives are being met. Maintaining a structured benefit inventory helps multinationals understand what benefit programs are provided globally and also helps in transaction situations.

Our research findings show that Chinese multinationals’ current and short-term priorities in 2014 and beyond are:

·       Maximising the employee experience while optimising benefit spending

·       Financing health and risk benefits more efficiently, and taking advantage of global scale

·       Getting a better grip on benefit costs around the world

 

________________________________________________________________________

This information is provided to subscribers, friends, faculty, students and alumni of the School of Industrial & Labor Relations (ILR). It is a service of the Institute for Workplace Studies (IWS) in New York City. Stuart Basefsky is responsible for the selection of the contents which is intended to keep researchers, companies, workers, and governments aware of the latest information related to ILR disciplines as it becomes available for the purposes of research, understanding and debate. The content does not reflect the opinions or positions of Cornell University, the School of Industrial & Labor Relations, or that of Mr. Basefsky and should not be construed as such. The service is unique in that it provides the original source documentation, via links, behind the news and research of the day. Use of the information provided is unrestricted. However, it is requested that users acknowledge that the information was found via the IWS Documented News Service.