Banker S.A. January 2014 | Page 43

y? ure Ethics and corporate responsibility are low priorities for wouldbe bankers Despite the call for banking to demonstrate its social utility and to reform its culture, ethics and corporate social responsibility are low on the priority list for banking-oriented students, ranking 32nd and 33rd respectively out of 40 desirable job attributes. Environmental sustainability comes in at 39th. These three also appear in the bottom ten attributes that banking students associate with banks. Given the new regulatory model, banks may need to emphasise ethics, culture and social role more in their recruitment. priorities vely if ir career nted portant. ciate with ’s slew of r plan, with lowed by an Focus on South Africa Out of all the countries surveyed, banking is most popular with students in South Africa Even though banking is not seen as the most popular of all employers in any of the surveyed countries, business students in South Africa ranked banking 23rd out of 100 employers, which is the highest ranking given in this survey to banking as a preferred employer. At the lower end of the rating scale, Japan ranked the popularity of banking as an employer 50th, while Germany ranked it 64th. Banking has lost out to a recent surge in the popularity of accounting careers Looking at the attractiveness of employment across industries over the last year or two, the results of the survey show that business students’ interest in auditing and accounting careers has been rising steeply, while their interest in banking careers has been declining. on from Like their international counterparts, South African bankingoriented students care most about their training and development Out of the 10 job attributes that banking-oriented students associate with banks and the top ten attributes they find most attractive, respondents from South Africa and the other surveyed countries concur that professional training and development is at the top of their list. from their to remain in upport ds minorities Addressing the talent challenges that lie ahead The survey is a wake-up call for banks, whose popularity has fallen sharply, following the global financial crisis. There is also a growing gap between their image as employers and their needs in the new highly regulated environment. 48% of ies of ployers, g urrent Nonetheless, there are a number of ways in which banks could respond to attract the best talent: r banks, d friendliness nt banking g. money and lack, such as Casting the net wider From a South African perspective, the banking industry’s position on transformation needs to be effectively communicated to prospective employees to ensure attraction of diverse talent. Banking is an international and cosmopolitan profession, and banks should emphasise this in their recruitment. They should also work towards becoming truly meritocratic employers. _To Check_fcp.indd 3 Defining your purpose and recruiting on fit Banks need to articulate a new vision and purpose and the business model that underpins it. Given higher capital requirements and restrictions on activities, the new business model will tend more towards a utility than in the past. With higher levels of regulatory scrutiny, there will be a greater focus on culture. It is therefore a concern for banks that banking-oriented students neither associate banks with ethics, corporate social responsibility or environmental sustainability, nor care much for them. As banks articulate their new vision, they need to define what this means for their employees, and recruit accordingly. Identifying key requirements in the bank of the future Banking-oriented students still associate banks with prestige and financial success – the attributes on which banks traded pre-crisis. However, banks are more likely to need innovation, creativity and dynamism as they cope with the implications of new technology. They need to adapt their employer branding and explicitly project, seek and reward these attributes. Emphasising training and development over pay The Culture in Banking Survey by Deloitte revealed that senior bankers view pay as the key lever for cultural change. But compensation practices are under pressure, thanks to falling returns. Moreover, banking-oriented students rank training and development ahead of pay as a key aspiration. Banks do offer great training, and they should highlight this rather than the more ephemeral attraction of money. Developing long-term career strategies In view of more than half of banking-oriented students expecting to stay in their first job for a maximum of three years, banks need to offer students a clear career path and a more amenable lifestyle. With the students’ top career goal being work–life balance, banks may be rewarded with greater loyalty if they offer greater flexibility. Thinking global, hiring local Business students’ priorities vary widely across countries. South African banks need to tailor their approach to each market when hiring graduates, so that their brand aligns with local aspirations. Planning for the transition Thanks to regulation and technology, the bank of the future will look very different from what we see today. Yet, culture – and staffing – will not change overnight. Banks need to plan carefully to manage the transition from the profit-oriented, highly leveraged models of the past to adapt to a much more heavily regulated environment. For more information contact: Jack Sellschop, Director - Consulting/Human Capital, Human Capital FSI Leader Direct: +27 (0)11 517 4223 Mobile: +27 (0)83 680 0539 Email: [email protected] 2013/12/11 3:46 PM