OUTLOOK The mismatch between demand and supply of talent looks set to only deepen in the foreseeable future. However, through the proactive investments we have made in enhancing the employee experience, we are confident that our companies will continue to present an attractive proposition in competitive labour markets. Studies indicate that, by 2030, there will be a shortage of 85 million workers around the world8. One of the chief reasons for this shortage is the COVID-19 pandemic9, which has not only reduced the available labour pool but led to a shift in employee expectations towards hybrid or remote work structures with increased work-life balance. As a result, many workers have decided to leave corporate employment completely and pursue opportunities in entrepreneurship or smaller work setups. Moreover, the shortage has been particularly apparent in specialised roles such as those in the technology sector, consequently having an outsized impact on our business divisions. MANPOWER SHORTAGE HOW WE RESPONDED • Undertaking a comprehensive human resource transformation plan in FY2022, driven across five pillars – System, Expertise, Organisation, Leadership and Culture • Introducing the Talent Management and Succession Planning Framework, which assists subsidiaries in developing and retaining talent • Enhancing salaries and benefits to remain competitive against key market players, including by rolling out a revised Employee Share Option Scheme (ESOS) Framework and offering an additional share grant to eligible employees • Introducing a new performance management system (PMS) that better aligns rewards to employee performance • Investing in additional employee activities, including town halls and role-specific trainings POTENTIAL IMPACT Risks: • The talent shortage will affect our ability to recruit high quality workers across our business divisions, and particularly to fill technology driven roles • The shortage in labour supply may drive up wages and impact our profitability • Evolving priorities may lead to an increased number of our employees leaving the company to pursue different opportunities • A shortage in high quality labour would impact our ability to innovate and develop impactful strategies Opportunities: • We have the opportunity to innovate our employer value proposition and stand out as a progressive and employeecentric organisation IMPACTING Capitals Strategic Thrusts M5 Material Matters M10 DAGANG NeXCHANGE BERHAD 54 KEY MARKET TRENDS A. STRATEGIC REVIEW
RkJQdWJsaXNoZXIy NDgzMzc=