hr implications of covid-19 · 2020-03-10 · 3 1. key findings s 77% 167 senior level executives...
TRANSCRIPT
March 6, 2020
HR Implications of COVID-19 A Survey of Senior Leaders at MNCs in Korea
다국적기업
코로나 19 위기대응근무형태및인사정책조사결과
www.stantonchase.com
Copyright © 2020, Stanton Chase Korea
Contents
1. Key Findings & Implications
2. Survey Results
3. Participant Profiles
4. Survey Methodology
5. About Stanton Chase Korea
2HR Implications of COVID-19
HR
Imp
lica
tion
s o
f CO
VID
-19
3
1. Key Findings
Ke
y F
ind
ing
s &
Imp
lica
tion
s
77%
167 senior level executives of multinational companies in Korea were surveyed between
March 2 – 4 on HR related implications of COVID-19 outbreak in Korea.
Decreased
demand for
products and
services
42%Remote work
arrangement thought
to be less productive
Business Impact
Productivity
65%Provide work from
home/alternative work
arrangement options
Remote Work
64%Restrict face-to-
face meetings,
but on a case-
by-case basis
Restrictions on
Meetings
39%No change in
hiring plans
Hiring/Recruitment Plans 92%Provide personal
protective equipment
such as masks and
hand sanitizers
Company-Initiated
Health Measures
40% HR department
COVID 19
Internal Communications
39% Senior management 71% No change
Salary/Compensation Plans
30% Not determined
Future Changes in HR Policies
In Case of Prolonged Difficulty
1. Key Implications
The following inferences can be drawn and implications gleaned from the survey results:
Due to the sudden unprepared nature of
remote-work arrangements implemented by
the COVID 19 outbreak, organizations are
experiencing overall perceived decrease in
productivityOrganizations across industries and
geographic base are generally flexible
and accommodating to employee
needs during these uncertain and
challenging times
When it comes to recruitment and employee
compensation plans, most organizations are
taking a wait-and-see approach, not making
uninformed decisions
HR should consider the longer-term morale of
the employees in order to ensure further
decrease in motivation (thus productivity) doesn’t
occur due to prolonged lack of
social/organizational contact caused by remote-
work arrangements
Ke
y F
ind
ing
s &
Imp
lica
tion
s
Leaders should consider ways to optimize
organizational structure, technology
infrastructure and leadership capabilities in
order to maintain efficiency and drive
seamless business continuity in order to
minimize overall risk
4
5
Q1. How has your business in Korea been affected by the COVID 19 outbreak? (Check all that apply)
귀사의국내사업은코로나바이러스의확산으로인해어떤영향을받았습니까? (복수응답허용)
Q2. What types of alternative work arrangements have been made at your company? (Check all that apply)
귀사에도입한대체적인근무형태에는어떤것들이있습니까? (복수응답허용)
Su
rve
y R
esu
lts
77% Decreased demand
for products and services
28% Inability to make
important business decisions
6% Increased demand for
services and products
65% Implemented an
optional remote-work policy
56% Flexible arrangement
based on individual employee
28% Mandatory work-
from-home policy
7% Business as usual, with
no special guidelines for
employees on alternative work
arrangements
6%
11%
12%
15%
28%
77%
0% 10% 20% 30% 40% 50% 60% 70% 80%
Decreased demand for products / services
Inability to make business
and investment decisions
Cashflow challenges
Other
Inability to meet contractual delivery deadlines due to
disruption in decision making
Increased demand for products/services
7%
7%
8%
15%
28%
56%
65%
0% 10% 20% 30% 40% 50% 60% 70%
Work from home/remote work options
Flexible arrangement based on individual employee
Mandated work from home policy
Reduction in office hours
Temporary business/office shut-down
No changes / no special arrangements
other
The 6% who reported an increase in service/product demand consist of consumer
product and e-commerce related companies.
56% provided employees with the decision-making authority to determine whether
working from home/ remote work is suitable for individual work situations.
6
Q3. If your company has implemented a remote-work policy, what is your perception of its overall productivity?
재택근무정책을도입한경우, 그에따른전반적인업무생산성은어느정도라고생각하십니까?
Q4. Has your company implemented (face-to-face) business meeting restrictions?
귀사는대면업무를제한하는규정을도입했습니까?
Su
rve
y R
esu
lts
0%
10%
20%
30%
40%
50%
42%
34%
18%
4%2%
Less
productive
About
the same
Not sure More
productive
Other
64%
24%
10%2%
Yes,
but on a
case-by-
case
basis
Yes,
for all
employees
No
42% Less productive
18% Not sure
34% No difference
34% of those who have implemented remote-work policies feel that there is no perceived
difference between working from home and working at the office/being onsite. 2% report
increased productivity
Majority of respondents have implemented face-to-face meeting restrictions. 24% of
companies restrict all face to face meetings, while 64% have a flexible yet cautious
policy
64% Flexible, case-by-
case basis
24% Mandatory work
from home policy
10% No changes
7
Q5. Has your company made changes to its hiring/recruitment plans for 2020 due to the coronavirus outbreak?
귀사는코로나바이러스의확산으로인해2020년도채용계획을수정하였습니까?
Q6. Has your company made changes to its in salary/compensation plans for 2020 due to the COVID 19 outbreak?
귀사는코로나바이러스의확산으로인해2020년도급여/보상계획을개편하였습니까?
Su
rve
y R
esu
lts
1%3%10%
18%
29%
39%No change
Not yet
determined
Delayed
Decision-
making
Hiring
freeze
Reduced
headcount
for new
hires
1% 1%
28%
71%No
change
Not
determined
Nearly 1/3 of respondents report unpredictability in their hiring plans.
18% already saw a delay in the hiring plans that were already in progress. 3% have adjusted
down their headcount for new hires for 2020. Some have stated that all interviews are being
conducted through online methods
39% No change
29% Not yet determined
18% Delayed decision
making
10% Hiring freeze
71% No change in
salary/compensation
28% Not determined
0% Salary reduction
Over 2/3 of respondents reported that they have not made any changes to 2020
compensation/salary adjustment plans, while 28% seem to be uncertain about any
possible changes. 1% of companies reported a salary freeze, with no one reporting any
salary reductions.
8
Q7. What other measures has your company taken to ensure the health and safety of employees? (check all that apply)
직원의건강과안전을위하여귀사가취한조치가있다면무엇입니까? (복수응답허용)
Q8. Who within your company is in charge ofCOVID 19 related employee communications?
귀사에서코로나바이러스에관한사내커뮤니케이션은누가담당하고있습니까?
Su
rve
y R
esu
lts
40%
39%
8%
2% 11%
Korea-based
senior leadership
(CEO, Managing
Director, President)
Human
resources
Corporate
communications /
PR
Almost 80% of all employee communications related to COVID 19 is being delivered by the
local senior management team and human resources
92% Provide personal
protection products such as
masks and hand sanitizers
to employees
74% Require all
employees to wear masks
at all times in the office
2% Have not
implemented any special
measures2%
2…
4%
7%
55%
74%
92%
0% 20% 40% 60% 80% 100%
Personal protective product assistance
Mandatory mask-wearing policy in office
Temperature check
Mental health support (counseling, training)
Financial assistance to employees
No special measures
Others
Other
40% Human resources
department
39% Senior
management
11% Rely on corporate
headquarters and/or
functional leaders within
each business for COVID
19 related communications
Companies have been very active in providing support for the health and wellbeing of
employees. 92% of companies are providing personal protection product assistance, while
55% provide temperature checks for employees working in the office. 7% provide
mental health support including counseling and training
9
Q9. If the current situation worsens in the next 1-3 months, what are some additional HR policies your company may consider in order to ensure business continuity? (check all that apply)
향후1~3개월내, 상황이악화된다면업무연속성(Business Continuity)을위해귀사에서고려할추가적인HR정책으로는어떤 것들이있습니까? (복수응답허용)
Su
rve
y R
esu
lts
2%
3%
4%
15%
15%
30%
81%
0% 20% 40% 60% 80% 100%
Extended remote-work policy until situation stabilizes
Not sure
Additional paid-leave for employees
Non-paid leave for employees
Staff reduction
Changes in non-leave related benefits (such as special allowances,
mental health programs, etc)
others
81% Plan to extend
their current remote-work
policy until things stabilize
30% Unsure
15% are planning for
non-paid leave for
employees
4% Planning for
reduction in staff
While companies try to grapple with the best approach to business continuity, more than
80% of companies are willing to extend the current remote-work policy until the situation
stabilizes. 15% are prepared to provide additional paid-leave for employees.
9
3. Participant Profiles
Pa
rticip
an
t’ Pro
files
78%
17%
3% 2%
78%CEO, Managing director,
president, most senior
country manager in Korea17% Functional leaders for business
unit/department
Europe/UKUS/North
America
MNC
with HQ in
Korea
Asia outside Korea
Position
Corporate
Headquarters
28%
15%
14%
13%
11%
4%
3%
3%2%
1%7%
Industry
28% Industrial
15% Technology
14% Consumer Products/Services
13% Professional Services
11% Healthcare/Pharma
4% Financial Services
3% Travel/Hospitality
3% Government, education, non-profit
10
3. Survey Methodology
11
Su
rve
y M
eth
od
olo
gy
167 senior level executives consisting of CEOs/Managing Directors / Country General
Managers and senior functional leaders of Korean operations of multinational companies
participated in a flash survey conducted between March 2nd and March 4th, 2020.
The online questionnaire consisted of a total of 13 questions, 9 of which were directly
related to how companies are responding to the current COVID - 19 situation in the context
of employees and HR related practices.
Survey respondents represent large, medium and small sized enterprises including many
with global and regional operations.
We thank all those who participated in the survey.
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4. About Stanton Chase
Stanton Chase is ranked within the top 10 global retained
Leadership Solutions firms, delivering CEO & Board
Advisory, Executive Assessment, Executive Search, and
Executive Coaching services, to top performing
organizations across the globe.
With proven expertise in key sectors of the global economy,we have 9 specialist practice groups that operate as
international teams. Stanton Chase is owned by its partners
who take individual responsibility for delivering outstanding
quality for each assignment. Stanton Chase is a member of
the Association of Executive Search & Leadership
Consultants, and we hold ourselves to the highest of
standards of quality, confidentiality and engagement.
Founded in 1990, Stanton Chase is today one of the 10
largest Leadership Solutions firm in the world.
With 75 offices in 45 countries and more than 400
specialized consultants globally, we provide worldwide
reach, industry knowledge and local insight.
Founded in
1990
350+ Partners/Consultants
Top 10 in global rankings
EXECUTIVE ASSESSMENT
EXECUTIVE COACHING
CEO & BOARD ADVISORY
EXECUTIVE SEARCH
Our Leadership Solutions
Ab
ou
t Sta
nto
n C
ha
se
In addition to our extensive global experience and database of senior level candidates, we
have a wealth of experience in selecting and evaluating sales oriented senior managers
who can drive country level growth in the Korean market.
The Stanton Korea team has a track record of being a leader in the local market for over
22 years, with in-depth experience in partnering with global companies identify the most
suitable senior executives to lead the strategies in the local/regional market.
Our Experience in Korea
Stanton Chase KoreaExecutive Search
Leadership Assessment | Consulting
Suite 514, City Air Terminal 22,Teheran-ro 87 Gil, Gangnam-gu, Seoul 06164, Korea
www.stantonchase.com
Contact
Global Contact
Christina Ahn
Managing Partner
Leadership Assessment | Consulting
Korea Contact
Tony Kang
Managing Director Korea
Youjin Choi
Associate
Leadership Assessment | Consulting
Ab
ou
t Sta
nto
n C
ha
se
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