APAC companies giving emphasis on workforce development gives better financial results, according to a newly released global study from SAP SE and Oxford Economics.
The study "Workforce2020," indicates that high-performing APAC companies recruit and keep the best talent. 64% of high-performing Asia Pacific firms compared to 56% of firms with below-average profit margin are satisfied with the quality of job candidates.
One third of low-performing Asia Pacific companies said that difficulty in recruiting employees with base-level skills impact their workforce strategies.
More than a third of executives at high performing companies in Asia Pacific said HR will have no voice in decision-making in three years.
"Companies in Asia Pacific are undoubtedly growth-driven and Workforce2020 is a reminder that growth is tied to strong workforce development," said Jairo Fernandez, senior vice president, Human Resources, SAP Asia Pacific Japan (APJ). "Key to managing human resources well is finding, supporting and driving the right talent."
About half of higher-revenue companies in the Asia Pacific region are increasingly using contingent employees, compared to only a third of low performers.
77% of executives at high revenue growth companies versus 64% underperformers in Asia Pacific said that workforce issues are driving strategy at the board level.
40 % of low performers in APAC companies have ample budget and resources dedicated to develop talent, compared to only 23 % of high performers.
73 % of low profit-margin companies in Asia Pacific offer supplemental training versus 56 % of high performers.
35 % of low performers said that when a person with key skills leaves, they prefer to fill the role from within the organization, versus 23% of high performers, who more often recruit externally.
Sign up for CIO Asia eNewsletters.