Benchmarks for International HR - Kienbaum

» Benchmarks for International HR

2
The data for the present report is derived from the seventh survey of the
Cranfi eld Project on International Human Resource Management (Cranet).
Launched in 1989, the “Cranfield Network on International Strategic Human
Resource Management” is aimed at comparing international business practices
in the field of human resource management.
Today, the network is a collaboration between 41 universities across the globe,
each of them responsible for conducting the surveys in their particular country.
The Justus-Liebig-University in Giessen represents Germany within the project.
Due to our partnership with the University of Giessen, Kienbaum Management
Consultants had the chance to participate in the project.
The seventh survey period took place in 2009, for some specific countries in 2010.
In total, 6029 organisations from 30 countries have participated.
The report and the remainder of the data from the Cranet Project can be made
available on request.
Kienbaum Management Consultants GmbH, 2011
Paul M. Kötter

Content
1. Introduction ...........................................................................................
2. Basic Workforce Data ......................................................................... 6
2.1 HR Ratio ............................................................................................... 8
2.2 Labour Costs ....................................................................................... 9
2.3 Turnover ................................................................................................ 10
2.4 Age Structure ....................................................................................... 11
2.5 Absenteeism ........................................................................................ 12
2.6 Education Level & Management of Industrial Relations ....... 14
3. HR Core Processes
16
3.1 Source & Select ................................................................................... 18
3.2 Performance Management ............................................................. 20
3.3 Compensation & Benefits ................................................................ 21
3.4 Talent Management .......................................................................... 23
3.5 Learning Management ..................................................................... 24
4. HR Strategy & Organisation ........................................................... 26
4.1 HR Strategy .......................................................................................... 28
4.2 HR Controlling .................................................................................... 30
Kienbaum – Your Competent Partner ................................................. 32
Locations .................................................................................................... 34
5

Introduction
In this report, Kienbaum presents a selection of essential information
about current international HRM practices and processes, offering a
short and simple overview of major topics and selected data that is
of relevance for HR practitioners. To make accessing and using this
key data easier for the reader, we have chosen the form of a booklet
for our findings.
To summarize the complex data sourced from 30 countries
world-wide, we have decided to define 6 regional clusters:
Cluster
Germanic Europe
Nordic Europe
Eastern Europe
Latin Europe
Anglo
Confucian Asia
Germany
Austria
Switzerland
Denmark
Finland
Sweden
Iceland
Norway
Countries
Bulgaria
Czech Republic
Estonia
Greece
Hungary
Lithuania
Slovakia
Slovenia
Russia
Serbia
Belgium
Turkish Cypriotic Community
Cyprus
France
Israel
United Kingdom
USA
Australia
South Africa
Japan
Philippines
Taiwan
∑
722
1016
1417
661
1572
651
Anglo, Confucian Asia, Eastern Europe, Germanic Europe, Latin
Europe, and Nordic Europe.* However, it was necessary to break
down some of the data to the level of individual countries and
industries to illustrate a number of major differences in more detail.
The figure below presents the 6 clusters and the corresponding
countries.
* These clusters are based on the GLOBE
study (Global Leadership and Organizational
Behaviour Effectiveness Research Program),
which was aimed at finding support for
hypothesized differences in leadership
between cultures by comparing data from
62 countries. Compared to relying on
geographical regions alone, applying these
clusters promises a more intelligible and
empirically sound explanation of potential
differences in the HR practices presented
here.
5

Basic Workforce Data
2.1 HR Ratio
2.2 Labour Costs
2.3 Turnover
2.4 Age Structure
2.5 Absenteeism
2.6 Education Level & Management of Industrial Relations

8
2.1 HR Ratio
The HR ratio as well as the HR ratio per 100 employees both
show a wide spread of data in the participating countries. One
human resources manager in the Czech Republic, for instance,
is responsible for 125 employees, whereas one human resources
manager on the Philippines is in charge of only 45 employees.
In turn, the HR ratio per 100 employees shows that 2.2 human
resources managers on the Philippines, but only 0.8 human
resources managers in the Czech Republic are in charge of
100 employees.
HR Ratio*
Czech Republic
Lithuania
Slovenia
Sweden
Finland
Iceland
Australia
Bulgaria
Denmark
Israel
Japan
Serbia
Taiwan
Austria
Norway
France
Belgium
Cyprus
Estonia
Germany
Greece
Hungary
Russia
Slovakia
Switzerland
USA
United Kingdom
Turkish Cypriot Community
South Africa
Philippines
45
125
125
125
125
111
111
100
100
100
100
100
100
100
91
91
83
77
77
77
77
77
77
77
77
77
77
77
71
67
HR Ratio per 100 employees*
Philippines
South Africa
Turkish Cypriot Community
United Kingdom
USA
Switzerland
Slovakia
Russia
Hungary
Greece
Germany
Estonia
Cyprus
Belgium
France
Norway
Austria
Taiwan
Serbia
Japan
Israel
Denmark
Bulgaria
Australia
Iceland
Finland
Sweden
Slovenia
Lithuania
Czech Republic
1.5
1.4
1.3
1.3
1.3
1.3
1.3
1.3
1.3
1.3
1.3
1.3
1.3
1.2
1.1
1.1
1.0
1.0
1.0
1.0
1.0
1.0
1.0
0.9
0.9
0.8
0.8
0.8
0.8
* Analysis of the median. Practical meaning of median: 50 %
of all surveyed companies of the specific country present a
HR Ratio/HR Ratio per 100 employees smaller than the value
pointed by the median, 50 % present a higher value pointed
by the median.
2.2

Nordic Europe
Anglo
Latin Europe
Germanic Europe
Eastern Europe
Confucian Asia
Banking; finance; insurance;
business services
Other services
Personal, domestic,
recreational services
Transport and communication
Retail and distribution;
hotels; catering; repairs
Building and civil engineering
2.2 Labour Costs
Labour costs as part of operating costs by cluster (in %)
Labour costs related to operating costs
by industry sector (in %)
Education
Social services
Health services
Public administration
Other
Agriculture, hunting, forestry, fishing
Metal manufacturing; mechanical,
electrical and instrument engineering
Energy and water
Other manufacturing
Chemical products: extraction and
processing of non-energy minerals
26
41
39
36
35
31
31
31
27
24
37
44
44
53
50
49
48
56
55
66
65
62
With 55 % labour costs as part of operating costs in Nordic
Europe, nearly 30 percentage points separate this region from
Confucian Asia with 26 %. With the exception of Eastern Europe
(37 %), the other clusters in the middle of the range show almost
the same difference with results of over 40 %.
At 66 %, the educational sector shows the highest labour costs.
Comparing this result with the chemical products sector at the last
spot, the difference is 42 percentage points (24 %). The educational
sector is followed by social services (65 %) and health services
(62 %). The 8 highest industry sectors report labour costs of over
40 %, whereas the remaining sectors show lower costs, ranging
around 30 %.
9

10
2.3 Turnover
Turnover by cluster (in %)
Anglo
Eastern Europe
Nordic Europe
Latin Europe
Germanic Europe
Turnover by country (in %)
Lithuania
Australia
Russia
Czech Republic
Iceland
Israel
Denmark
Slovakia
United Kingdom
South Africa
Philippines
Estonia
Bulgaria
USA
Hungary
Taiwan
France
Switzerland
Turkish Cypriot Community
Cyprus
Austria
Belgium
Sweden
Slovenia
Serbia
Finland
Greece
Norway
Germany
Turnover by sector of industry (in %)
Retail and distribution;
hotels; catering; repairs
Personal, domestic,
recreational services
Other services
Building and civil engineering
Other
Banking; finance; insurance;
business services
Transport and communication
Other manufacturing
Social services
Metal manufacturing; mechanical,
electrical and instrument engineering
Health services
Education
Chemical products: extraction and
processing of non-energy minerals
Agriculture, hunting, forestry, fishing
Public administration
Energy and water
7
15
14
14
14
13
13
13
12
12
12
12
11
11
11
11
10
9
8
8
8
7
7
7
6
6
11
11
11
10
10
9
8
7
11
11
10
17
17
17
16
15
14
13
13
13
13
21
20
21
The Anglo region shows the highest turnover rate with 13 %
of employees switching jobs per year – six percentage points
more than Germanic Europe, which reports the lowest turnover.
On average, only 7 % of German, Austrian and Swiss employees
leave their employers per year. Nordic Europe – falling in the
middle of the range – also shows a turnover 4 percentage points
higher than Germanic Europe.
Considering the turnover rates by country, greater differences
can be found: Lithuania shows the by far highest turnover, with
21 % employees leaving their company per year on average.
This is a difference of 15 percentage points to Germany (6 %),
mirroring the results by cluster. For Australia, the results reveal
the second highest turnover rate of 20 %. This is also consistent
with the Anglo cluster holding the first rank within the general
comparison by cluster.
The turnover data by sector of industry reveals similar contrasts.
The sectors of retail and distribution/hotels/catering/repairs
represents the top rank (21 %) with a turnover nearly 14 percentage
points higher than in the energy and water sector (7 %).
The following sectors, such as personal, domestic, recreational
services, and other services, show turnover rates at 17 %
and 16 % respectively. Public administration and in particular,
the energy and water sector report the lowest turnover (8 %
and 7 % respectively).

2.4 Age Structure
Regarding the age structure within and between the clusters,
the most conspicuous findings can be found in Confucian Asia:
This is the only cluster with more than 40 % of the employees
under 25 years of age. Germanic Europe, with 33 % of its
employees under 25, and the remaining clusters follow at a
considerable distance, all showing similar proportions of young
workers. On the other hand, Confucian Asia reports a rather small
proportion of middle-aged employees between 25 and 45 (28 %).
Still, the clusters do not differ significantly regarding the proportions
of older workers: All of them report a rate of around 30 %.
Confucian Asia 41 28 31
Germanic Europe 33 34 33
Latin Europe 31 35 34
Nordic Eurpe 31 35 34
Anglo 31 34 35
Eastern Europe 31 35 34
Employees under 25 years Employees over 25 years and under 45 years Employees over 45 year
Israel
Serbia
Cyprus
United Kingdom
Bulgaria
Age structure by cluster (in %)
Oldest workforces by country –
employees over 45 years of age (in %)
Youngest workforces by country –
employees under 25 years of age (in %)
Estonia
Australia
Switzerland
Slovakia
Austria
36
36
35
35
35
35
34
34
33
33
Israel and Serbia report the oldest workforces in the sample, with
36 % of the employees in these countries over 45 years of age.
The other 3 countries among the top 5 oldest workforces show
almost the same results. All of these report that 35 % of their
employees are over 45 years of age.
By contrast, the youngest workforces were found in Estonia,
with 35 % employees under 25 years of age. This is followed
by Australia and Switzerland, who both show results of 34 %
employees under 25, while Slovakia and Austria report 33 %
employees under 25 years of age.
11

Germanic Europe
Latin Europe
Nordic Europe
Eastern Europe
Anglo
12
2.5 Absenteeism
Absenteeism by cluster*
(days per employee per year on average)
Social services
Other services
Health services
Retail and distribution;
hotels; catering; repairs
Absenteeism by sector – top 5
(days per employee per year on average)
Public administration
Lithuania
Cyprus
Czech Republic
Finland
Sweden
* Excluding Confucian Asia
Absenteeism by country – top 5
(days per employee per year on average)
7
14
13
12
10
10
10
11
14
13
13
12
12
19
18
The results on absenteeism show that the average employee in
Germanic Europe is absent for 11 days per year – almost one and
a half times the amount of days employees in the Anglo region
are absent (7 days per year on average). The absenteeism rate per
sector seems to be fairly equally distributed, except for the sector
of social services, which shows 14 days per year. Looking at some
countries in more detail, Lithuania reports the highest degree of
absenteeism, with 19 days per year, reminiscent of the results on
turnover.

14
2.6 Education Level & Management
of Industrial Relations
Concerning the level of education, Confucian Asia was found
to have the highest proportion of employees with a higher
education/university degree (49 %). This represents a significantly
more educated workforce than in Eastern Europe (35 %), Nordic
Europe (32 %) and, in particular, Germanic Europe. At 26 %,
the latter cluster reports the lowest ratio of highly educated
workers of all regions.
Level of higher education/university qualification
in workforce by cluster (in %)
Confucian Asia
Anglo
Latin Europe
Eastern Europe
Nordic Europe
Germanic Europe
Anglo 70 20 10
Eastern Europe 65 24 11
Germanic Europe 64 27 9
Confucian Asia 59 18 23
Latin Europe 55 20 25
Nordic Europe 8 38 54
0 % - 25 % 26 % - 75 % 76 % - 100 %
35
32
The respondents from the USA, Australia, South Africa, and the
UK (representing the Anglo cluster) show the lowest proportion of
trade union members in their workforces. Almost three quarters
report a ratio of less than 26 %. The other clusters show similar
proportions, although a quarter of the respondents from Confucian
Asia and Latin Europe report that their workforce contain at least
76 % trade union members. However, the Nordic European
respondents report the most unionised workforce. More than half
of them report that at least 76 % of their employees are trade
union members.
26
Proportion of trade union members in the workforce
by cluster (in %)
43
49
47

Respondents from Nordic Europe report the greatest extent
of influence of trade unions within their organisations.
35 % describe the trade union’s influence as great or very great
respectively. This result differs by more than 30 percentage points
from the data for Confucian Asia, where only 5 % of respondents
report a great influence of trade unions. Thus, 67 % in Confucian
Asia do not notice any significant influence, followed by respondents
from the Anglo region (50 %) and Eastern Europe (45 %).
Considering the results by sectors of industry, public administration
as well as energy and water hold the top rank at about 35 % of
respondents recording great influence – almost 25 percentage
points higher than in sectors like personal, domestic, recreational
services, engineering, or banking and finance.
Extent of influence of trade unions within the organisation by cluster (in %)
Nordic Europe 35 56 9
Latin Europe 27 54 19
Anglo 14 35 51
Germanic Europe 14 53 33
Eastern Europe 11 44 45
Confucian Asia 5 28 67
To a very great/great extent To a small/some extent Not at all
Extent of influence of trade unions within the organisation by sector (in %)
Public administration
Energy and water
Education
Transport and communication
Health services
Social services
Chemical products: extraction and
processing of non-energy minerals
Agriculture, hunting, forestry, fishing
Other manufacturing
Other services
Metal manufacturing; mechanical,
electrical and instrument engineering
Other
Retail and distribution;
hotels; catering; repairs
Personal, domestic,
recreational services
Building and civil engineering
Banking; finance; insurance;
business services
35 50 15
34 53 13
26 44 30
23 45 32
23 51 26
20 46 34
18 64 18
18 48 34
17 52 31
14 37 49
14 51 35
12 36 52
10 39 51
9 35 56
9 43 48
8 39 53
To a very great/great extent To a small/some extent Not at all
15

HR Core Processes
3.1 Source & Select
3.2 Performance Management
3.3 Compensation & Benefits
3.4 Talent Management
3.5 Learning Management
17

18
3.1 Source & Select
Recruitment methods (in %)
Internally
Advertisement
Vacancy page on company website
Word of mouth
Recruitment agencies/consultancies
Vacancies on commercial websites
Unsolicited application/walk-ins
Job centres/public recruitment agencies
Direct from educational institution
Other
Recruitment methods by cluster – top 3 (in %)
Anglo
Anglo
Confucian
Asia
Eastern
Europe
Germanic
Europe
Latin
Europe
Nordic
Europe
Internally
14.7
16.1
15.1
15.1
14.6
12.6
Recruitment
agencies/
consultancies
11.9
Rank 1 Rank 2 Rank 3
1
8
11
11
11
10
10
9
Advertisement
13.5
14.6
13.8
11.9
14.4
Word of
mouth
12.7
12.4
15
14
In general, the data concerning the recruitment methods show
that 15 % of the participating organisations recruit internally.
14 % use advertisements, whereas the other methods, such as
word of mouth, websites, or unsolicited applications/walk-ins,
show a similar degree of representation at about 10 %. The
break-down by clusters mirrors this finding: Internal recruitment
is again ranked first at about 15 % in nearly every cluster,
followed mostly by advertisements, except for Nordic Europe.
15.4 % of the respondents here report direct recruitment from
educational institutions as the primary recruitment method,
thus indicating a weaker internal labour market.
Vacancy
page on
company
website
12.8
13.6
Vacancies on
commercial
job websites
13.0
Direct from
educational
institution
15.4
Unsolicited
application/
walk-ins
Job centres/
public
recruitment
agencies
Other

Selection methods (in %)
One-to-one interviews
References
Application forms
Interview panel
Ability tests
Technical tests
Psychometric forms
Assessment centre
Graphology
Other
1
1
Selection methods by cluster – top 3 (in %)
Anglo
Anglo
Confucian
Asia
Eastern
Europe
Germanic
Europe
Latin
Europe
Nordic
Europe
One-to-one
interviews
15.6
24.4
23.2
21.0
20.8
18.5
References
25.5
24.0
20.9
18.1
18.5
Rank 1 Rank 2 Rank 3
5
9
8
Application
forms
17.0
20.9
14.6
13.9
15.1
29.6
16
15
14
One-to-one interviews are the most popular selection method
(19 %) in the given sample, followed by references (16 %),
application forms (15 %), and interview panels (14 %). By contrast,
the least popular method seems to be the use of assessment
centres (5 %) or graphology (1 %). Certain differences can be
made out in the regional clusters: Confucian Asia, Germanic,
11
Interview
panel
Psychometric
tests
19
Assessment
centres
Ability tests
19.1
Technical
tests
Graphology
and Latin Europe report one-to-one interviews as the most
common selection method, while references are mentioned
by respondents from the Anglo region and Eastern Europe.
Only Nordic Europe records application forms as the most
frequently used method (29.6 %).
Other
19

20
3.2 Performance Management
Formal appraisal system for workforce groups by cluster (in %)
Anglo 38 38 14 10
Confucian Asia 25 25 25 25
Eastern Europe 26 26 25 23
Germanic Europe 20 22 26 32
Latin Europe 20 20 24 36
Nordic Europe 29 28 26 17
Management Professional/Technical Clerical Manual
Concerning the existence of formal appraisal systems in the
workforce, the results point at a rather even distribution across
the clusters. The respondents from all clusters report the existence
of a formal appraisal system mostly for managers or professionals,
while there seems to be a more narrow use of formal appraisals
for manual workers – with the exception for Latin Europe.
The Anglo region in particular seems to have this focus on
managers and professionals in its formal appraisals (76 %).
Regarding the purpose appraisal data are used for, some differences
appear between the regions: while the respondents from Confucian
Asia record a primary use in the context of pay decisions
as well as in training and development activities, Nordic Europe
and Latin Europe use this data more in the context of career
decisions and workforce planning. The Anglo region instead
seems to focus primarily on using the data for pay decisions.
Appraisal data used to inform pay decisions
by cluster (in %)
Confucian Asia
Anglo
47
Eastern Europe
43
Nordic Europe
35
Germanic Europe
32
Latin Europe 26
Appraisal data used to inform career moves
by cluster (in %)
Nordic Europe
Confucian Asia
Germanic Europe
Eastern Europe
70
Latin Europe
66
Anglo 66
Appraisal data used to inform workforce
planning by cluster (in %)
Latin Europe
Germanic Europe
Eastern Europe
Nordic Europe
Anglo
Confucian Asia
54
53
49
47
49
84
81
78
66
62

3.3 Compensation & Benefits
Bonus based on team
goals/performance
Bonus based on
individual goals/
performance
Offerings in terms of compensation and benefits (in %)
24
17
21
8
Performance-related pay
Employee share schemes
11
6
13
Profit sharing
Stock options
Flexible benefits
Offerings in terms of compensation and benefits by cluster – top 3 (in %)
Anglo
Anglo
Confucian
Asia
Eastern
Europe
Germanic
Europe
Latin
Europe
Nordic
Europe
Employee
share
schemes
18.3
Profit
sharing
17.4
Rank 1 Rank 2 Rank 3
Stock
options
Flexible
benefits
16.6
17.9
In general, the most popular offering within compensation and
benefits is a bonus based on individual goals and performance
(24 %), followed by performance-related pay (21 %), and a bonus
based on team goals/performance (17 %). By contrast, employee
share schemes (8 %) and stock options (6 %) are the least common
offerings. Regarding the regional clusters, no great differences can
be identified in these results: 5 out of the 6 clusters report a bonus
based on individual goals and performance as the most common
offering within compensation and benefits, with all scores ranging
above 22 %. However, Confucian Asia reports performancerelated
pay as the most used offering at a level of 25.1 %.
Performancerelated
pay
22.0
25.1
24.3
21.6
17.7
Bonus based
on individual
goals/
performance
22.1
24.9
23.3
24.2
23.2
Bonus based
on team
goals/
performance
16.0
18.5
17.0
21.5
21

22
Offerings in excess of statutory requirements (in %)
Maternity leave 17
Pension schemes 15
Paternity leave 14
Parental leave 14
Education/training break 14
Private health care schemes 13
Career break schemes 7
Childcare allowances 3
Workplace childcare 3
Offerings in excess of statutory requirements by cluster – top 3 (in %)
Anglo
Anglo
Confucian
Asia
Eastern
Europe
Germanic
Europe
Latin
Europe
Nordic
Europe
Workplace
childcare
Childcare
allowances
Rank 1 Rank 2 Rank 3
Career break
schemes
Maternity
leave
18.6
16.3
17.7
16.3
15.0
15.4
For the whole sample, career break schemes (7 %), childcare
allowances (3 %), and workplace childcare (3 %) are the
least common offerings exceeding the statutory requirements.
By contrast, maternity leave is used in 17 % of cases.
Other offerings, such as pension schemes (15 %) or paternity
or parental leave (14 % each), show similar results.
Paternity
leave
15.8
16.9
Parental
leave
14.3
15.2
Pension
schemes
16.1
17.1
16.6
17.4
Education/
training
break
18.0
19.2
14.9
Private
health care
schemes
19.6
Concerning the clusters, significantly more differences can be
found: While Eastern Europe and Germanic Europe predominantly
seem to offer education/training breaks (18 % and 19.2 %
respectively), respondents from the Anglo cluster report more
use of maternity leave (18.6 %). At the same time, Confucian
Asia seems to focus more on paternity leave (16.9 %), whereas
respondents from Nordic Europe and Latin Europe primarily
report pension schemes (17.4 %) and private health care schemes
(19.6 %).

3.4 Talent Management
Methods used for career development (in %)
Project team work 10
Special tasks/projects 9
Cross-organisational/disciplinary tasks 9
Coaching 8
Mentoring 8
Networking 8
Experience schemes 7
Succession plans 7
Formal career plans 7
Planned job rotation 7
E-learning 6
High flyer schemes 5
Secondments to other organisations 5
Development centres 4
Other 0
Methods used for career development by cluster – top 3 (in %)
Anglo
Anglo
Confucian
Asia
Eastern
Europe
Germanic
Europe
Latin
Europe
Nordic
Europe
Special
tasks/
projects
9.6
8.5
9.4
8.9
8.4
9.5
Cross-organisational/
disciplinary
tasks
8.5
8.2
9.3
9.8
Project
team work
9.7
9.6
9.9
9.1
10.3
Rank 1 Rank 2 Rank 3
Networking
Formal
career plans
Development
centres
Succession
plans
The methods used for career development show similar proportions
and thus an even distribution for both the international sample as
a whole and the specific regional clusters. In general, project team
work (10 %), the assignment to special tasks/projects (9 %), and
cross-organisational/disciplinary tasks (9 %) in particular are used
mostly for career development. Correspondingly, all clusters mirror
these results and report that project team work is most common,
excluding Confucian Asia, whose respondents describe planned
job rotation as the predominant method.
Planned
job rotation
9.8
High flyer
schemes
Experience
schemes
Secondments
to other
organisations
Coaching Mentoring E-learning
9.6
Other
23

24
3.5 Learning Management
Training of employee groups by cluster (days per year)*
Anglo
Eastern Europe
Germanic Europe
Latin Europe
Nordic Europe
Days per year training for manual
Days per year training for clerical
Days per year training for professional
Days per year training for management
* Excluding Confucian Asia
2
3
4
4
4
5
5
6
6
6
6
6
6
7
7
7
8
9
10
Above all, the differences in the days per year spent on training
are the highest in Germany, Austria, and Switzerland. Professionals
in these countries spend twice the number of days on training than
managers (14 days and 7 days respectively). The other clusters
show more evenly distributed results, although managers and
professionals in particular again seem to receive the most intensive
training.
14

Systematic evaluation of training effectiveness by country (in %)
Philippines
Czech Republic
United Kingdom
Greece
Australia
Germany
Cyprus
Slovakia
Taiwan
South Africa
France
Turkish Cypriot Community
Switzerland
Slovenia
Estonia
Belgium
Austria
Bulgaria
Hungary
Russia
Denmark
USA
Serbia
Sweden
Lithuania
Israel
Finland
Norway
Iceland
Japan
72
70
69
66
62
60
60
60
59
57
55
55
53
52
49
47
43
42
42
41
38
36
35
31
30
29
25
22
17
78
Few countries seem to invest efforts into a systematic evaluation
of their training activities: At 78 %, the Philippines show the most
intensive evaluation of such training. They are followed by the
Czech Republic (72 %), the UK (70 %), and Greece, where 69 %
of respondents report training evaluations. By contrast, only
limited evaluations seem to take place in Norway (25 %), Iceland
(22 %) and, above all, in Japan. In this region, only 17 % of the
respondents report of a systematic evaluation of the effectiveness
of their training.
25

HR Strategy & Organisation
4.1 HR Strategy
4.2 HR Controlling

28
4.1 HR Strategy
Representation of HR on the board or its equivalent by cluster (in %)
Latin Europe 79
Nordic Europe 76
Confucian Asia 67
Anglo 66
Eastern Europe 62
Germanic Europe 54
The representation of HR on the board or an equivalent is most
common in Latin Europe. 79 % of the respondents from this region
report that HR is represented on the board or its equivalent in
their organisations. Latin Europe is followed by Nordic Europe at
76 %. At a level of 54 %, Germanic Europe, however, shows the
lowest level of representation of HR on the board level or an equal
committee. Thus, 25 percentage points lie between the top and
the bottom ranks.
Recruitment source for the person responsible for HR by country (in %)
Anglo 24 13 50 13
Confucian Asia 38 39 16 7
Eastern Europe 30 31 27 12
Germanic Eurpe 26 22 39 13
Latin Eurpe 31 21 43 5
Nordic Europe 19 22 46 13
From within the HR department From non-HR specialists within your organisation
From HR specialists outside of your organisation From non-HR specialists outside of the organisation
Four out of six clusters report that the most common recruitment
source (39-50 %) for the person responsible for HR are HR
specialists from outside of the given organisation. Confucian Asia
and Eastern Europe report more internal recruitment, focusing
on their HR department or on non-HR specialists from within
their organisation. However, non-HR specialists from outside the
organisation represent the least used source for recruiting leading
managers in HR.

Existence of diversity statements by cluster (in %)
Anglo 79
Nordic Europe 63
Confucian Asia 50
Latin Europe 50
Eastern Europe 47
Germanic Europe 37
The existence of a diversity statement is most common in the
Anglo region, where 79 % of the respondent organisations have
formulated such a statement. This cluster is followed by Nordic
Europe (63 %) and – at some distance – Confucian Asia and Latin
Europe (50 % respectively). Germanic Europe seems to have the
fewest diversity statements: Only 37 % of the respondents from
Germany, Austria, and Switzerland record the presence of an
explicit statement within their company.
Involvement of HR in the organisational strategy by cluster (in %)
60
25
9
6
Nordic Europe
48
31
9
12
48
28
16
8
46
23
20
Anglo Latin Europe Eastern Europe Germanic Europe Confucian Asia
From the outset Through subsequent consultation On implementation Not consulted
Most of the organisations from all clusters report that their HR
is involved in the organisational strategy from the outset. Above
all, 60 % of the respondents in Nordic Europe describe such a
high degree involvement, followed at some distance by the Anglo
region (48 %) and Latin Europe (48 %). In sum, these results point
to a rather intensive involvement of HR in strategic organisational
issues across all countries.
11
45
28
11
16
43
33
17
7
29

30
4.2 HR Controlling
Extent of the evaluation of the HR department by cluster (in %)
43
Anglo 50
7
40
Confucian Asia 57
3
35
Eastern Europe 45
20
17
Germanic Europe 67
16
40
Latin Europe 50
10
24
Nordic Europe 64
12
To a great/very great extent To a small/some extent Not at all
The results regarding the extent to which the HR department is
evaluated present a rather heterogeneous picture: All clusters
show that the HR department in the organisation is only evaluated
to a small or limited extent. While around 40 % of the respondents
in the Anglo, Confucian Asia, Eastern Europe and Latin Europe
regions describe the extent of the evaluation of their HR
department as great or very great respectively, the majority of
the participating organisations in Nordic Europe and Germanic
Europe report only a smaller degree of a systematic evaluation.

Views of top management considered when evaluating
the performance of the HR department by cluster (in %)
Eastern Europe 35
Anglo 34
Confucian Asia 33
Germanic Europe 32
Latin Europe 31
Nordic Europe 31
Views of line management considered when evaluating
the performance of the HR department by cluster (in %)
Eastern Europe 29
Nordic Europe 29
Latin Europe 28
Germanic Europe 26
Anglo 26
Confucian Asia 24
Views of employees considered when evaluating
the performance of the HR department by cluster (in %)
Germanic Europe 20
Nordic Europe 19
Anglo 19
Latin Europe 18
Eastern Europe 18
Confucian Asia 17
Views of personnel/HR function itself considered when evalua-
ting the performance of the HR department by cluster (in %)
Confucian Asia 26
Latin Europe 23
Germanic Europe 22
Anglo 22
Nordic Europe 21
Eastern Europe 18
Asked about the views considered in the evaluation process of the
HR department, the results reveal certain differences: Across all
clusters, the views of the top management are considered most
frequently (all over 30 %), followed by the views of line managers
and those of the personnel/HR function itself (mostly over 20 %).
The views of employees are considered least in all clusters (mostly
under 20 %). Eastern Europe in particular seems to rely on the
views of top management and line management while considering
the views of employees or the personnel/HR function itself only
to a very moderate degree.
31

32
Kienbaum – Your Competent Partner
Executive Consultants (KEC)
» Recruitment of
» Supervisory board members
» Advisory board members
» Executive board members
» Management board members
» Executive positions
» Specialists positions
» Interim Management
» Career Consulting
» Management Audits
» NewPlacement
» Sectors of Industry
» Automotive
» Chemicals / Pharmaceuticals
» Energy & Utilities
» Financial Services & Real Estate
» Locations domestic
» Berlin
» Dresden
» Düsseldorf
» Frankfurt
» Freiburg
» Gummersbach
» Hamburg
» Hanover
» Karlsruhe
» Cologne
» Munich
» Rostock
» Stuttgart
Management Consultants (KMC)
» Asset Management
» Business Technology Management
» Change Management
» Compensation & Benefi ts
» Corporate Finance
» Corporate Performance
» HR Strategy & Organisation
» Human Resource Development
» Marketing/Sales
» Organisational Effectiveness
» Post-Merger Integration
» Process Excellence
» Revenue Growth
» Strategy
» Oil & Gas
» Professional Services
» Telecommunications / IT
» Transport & Logistics
» Trading
» Locations international
» Austria
» Brazil
» China
» Croatia
» Czech Republic
» Finland
» France
» Hungary
» Japan
» Luxembourg
» Netherlands
» Poland
» Romania
Communications (KC)
» Employer Branding & HR Marketing
» Analysing and developing employer brands
» HR marketing & recruitment strategies
» Integration in external and internal activities
» Online & Interactive
» Online strategies and services for recruitment
and employer branding
» Career homepages
» Board Services » Compensation
» Job Profiles
» Communications
» Efficiency Reviews
» Recruitment
» Web 2.0 activities and social media strategies
» Management of Job Postings
» Advising and supporting central and decentralised
job advertising budgets
» Media planning and its realisation in print
and online media
» Health Care
» Industry / Mechanical & Plant Engineering
» Consumer
» Public / Non-Profit Sector
» Russia
» Singapore
» Sweden
» Switzerland
» Thailand
» USA

Kienbaum advises companies, institutions, and other organisations
along the entire management value chain:
Executive Search | Management Consulting | Communications
Kienbaum combines substantial expertise in all aspects of HR with
comprehensive competence in traditional management consulting.
This unique combination allows us to find the right answers for
the current challenges of our clients. We are one of the leading
consultancy firms in Europe. In Germany, we are the market leader
for the search and selection of experts and managers (Executive
Search), as well as in the fields of human resource development
and compensation consulting (Human Resource Management).
We are one of Germany’s leading management consultancies.
As a competent and innovative partner committed to a cooperative
approach to consulting, we integrate the employees of
our clients into our consulting processes and instruments. We let
them participate in the development of solutions for identified
problems and bring their creative potential to bear. This human
resource orientation is the essential factor for our consulting
success. We support companies on a holistic front and thus
increase the value of our clients’ organisations in a measurable
and sustainable way.
Editorial Responsibility
Paul M. Kötter
Director & Partner
HR Strategy & Organisation
Kienbaum Management Consultants
Phone +49 30 88 01 98-25
Fax +49 30 88 01 98-66
paul.koetter@kienbaum.de
Author
Simone Kurz
Senior Consultant
HR Strategy & Organisation/Talent Management
Kienbaum Management Consultants
Phone +49 30 88 01 98-48
Fax +49 30 88 01 98-66
simone.kurz@kienbaum.de
33

34
Kienbaum – Your Competent Partner
Locations – Global
Amsterdam
Teleport Towers
Kingsfordweg 151
1043 GR Amsterdam
Phone: +31 20 697 14 10
Fax: +31 20 491 90 90
amsterdam@kienbaum.com
Bangkok
14th Floor Abdulrahim Place
990 Rama IV Road
Bangkok 10500
Phone: +66 2 63 62 360
Fax: +66 2 63 63 944
bangkok@kienbaum.com
Bucharest
Calea Floreasca 169 A
corp A, etaj 4, sector 1
Bucharest 014472
Phone: +40 31 86 02 195
Fax: +40 31 86 02 100
bucharest@kienbaum.com
Budapest
Andrássy út 100
1062 Budapest
Phone: +36 1 267 09 44
Fax: +36 1 267 09 43
budapest@kienbaum.com
Helsinki
Mannerheimintie 12 B, 5th floor
00100 Helsinki
Phone: +358 9 25 16 63 54
Fax: +358 9 25 16 61 00
helsinki@kienbaum.com
London
83 Baker Street
London W1U 6AG
Phone: +44 20 70 34 70 80
Fax: +44 20 70 34 71 00
london@kienbaum.com
Luxembourg
9, rue Joseph Biwer
1239 Senningerberg
Phone: +352 26 44 10 36
Fax: +352 26 44 18 31
luxembourg@kienbaum.com
Moscow
Metropolis Business Center
Leningradskoe Shosse 16 A
Building 1, floor 8
125171 Moscow
Phone: +7 495 228 4551
Fax: +7 495 777 0086
moscow@kienbaum.com
New York City
245 Park Avenue, 24th and 39th floor
New York City, 10167 United States
Phone: +1 212 803 81 27
Fax: +1 212 792 40 01
newyork@kienbaum.com
Paris
6, rue de Lisbonne
75008 Paris
Phone: +33 1 56 59 12 00
Fax: +33 1 56 59 12 10
paris@kienbaum.com
Porto Alegre
Rua Padre Chagas, 185, cj 807
90570-080 - Porto Alegre/RS
Phone: +55 51 33 11 04 44
portoalegre@kienbaum.com
Prague
Lazarská 5
110 00 Prague 1
Phone: +420 224 94 81 68
Fax: +420 224 94 81 66
prague@kienbaum.com
São Paulo
Rua Alexandre Dumas 2220
7th floor
04717-004 São Paulo
Phone: +55 11 51 86 83 66
Fax: +55 11 51 81 83 06
saopaulo@kienbaum.com
Shanghai
Unit 1606-1607 Ocean Towers
550 Yan An Road East
Shanghai 200001
Phone: +86 21 51 03 53 51
Fax: +86 21 63 61 39 30
shanghai@kienbaum.com
Singapore
350 Orchard Road
#13-07 Shaw House
Singapore 238868
Phone: +65 64 35 28 00
Fax: +65 67 32 59 52
singapore@kienbaum.com
Stockholm
Mäster Samuelsgatan 60
11121 Stockholm
Phone: +46 8 50 51 67 64
Fax: +46 8 50 51 64 10
stockholm@kienbaum.com
Tokyo
14F Kamiyacho MT Bldg
4-3-20, Toranomon, Minato-ku
Tokyo 105-0001 Japan
Phone: +81 3 5404 3806
tokyo@kienbaum.com
Warsaw
Pl. Pilsudskiego 1
00-078 Warsaw
Phone: +48 22 521 21 00
Fax: +48 22 521 21 01
warsaw@kienbaum.com
Vienna
Tuchlauben 8
1010 Vienna
Phone: +43 1 533 51 88
Fax: +43 1 533 32 65
vienna@kienbaum.com
Zagreb
A. Hebranga 28
10000 Zagreb
Phone: +385 1 48 54 310
Fax: +385 1 48 54 313
zagreb@kienbaum.com
Zurich
Leutschenbachstrasse 95
8050 Zurich
Phone: +41 44 386 40 40
Fax: +41 44 386 40 49
zurich@kienbaum.com

Locations – Germany
Berlin
Potsdamer Platz 8
10117 Berlin
berlin@kienbaum.de
Executive Search
Phone: +49 30 88 01 99-0
Fax: +49 30 88 01 99-26
Management Consulting
Phone: +49 30 88 01 98-0
Fax: +49 30 88 01 98-66
Cologne
Kap am Südkai
Agrippinawerft 30
50678 Cologne
Phone: +49 221 80 14 01-0
Fax: +49 221 80 14 01-30
koeln@kienbaum.de
Dresden
An der Frauenkirche 12
01067 Dresden
Phone: +49 351 866 81-0
Fax: +49 351 866 81-22
dresden@kienbaum.de
Dusseldorf
duesseldorf@kienbaum.de
Speditionstraße 21
40221 Düsseldorf
Executive Search
Phone: +49 211 300 89-0
Fax: +49 211 300 89-400
Management Consulting
Phone: +49 211 96 59-0
Fax: +49 211 96 59-267
Frankfurt
Beethovenstraße 12-16
60325 Frankfurt a. M.
Phone: +49 69 96 36 44-0
Fax: +49 69 96 36 44-44
frankfurt@kienbaum.de
Freiburg
Rehlingstraße 16a
79100 Freiburg
Phone: +49 761 45 98 88-0
Fax: +49 761 45 98 88-29
freiburg@kienbaum.de
Headquarters
Gummersbach
Ahlefelder Straße 47
51645 Gummersbach
Phone: +49 2261 703-0
Fax: +49 2261 703-538
kienbaum@kienbaum.de
Hamburg
Hohe Bleichen 19
20354 Hamburg
Phone: +49 40 32 57 79-0
Fax: +49 40 32 57 79-20
hamburg@kienbaum.de
Hanover
Luisenstraße 9
30159 Hanover
Phone: +49 511 302 69-0
Fax: +49 511 302 69-99
hannover@kienbaum.de
Karlsruhe
Karl-Friedrich-Straße 14-18
76133 Karlsruhe
Phone: +49 721 920 59-0
Fax: +49 721 920 59-40
karlsruhe@kienbaum.de
Munich
Arnulfstraße 58
80335 Munich
Phone: +49 89 45 87 78-0
Fax: +49 89 45 87 78-10
muenchen@kienbaum.de
Rostock
Warnowufer 60
18057 Rostock
Phone: +49 381 49 73 93-0
Fax: +49 381 49 73 93-19
rostock@kienbaum.de
Stuttgart
Zettachring 8a
70567 Stuttgart
Phone: +49 711 72 72 17-0
Fax: +49 711 72 72 17-20
stuttgart@kienbaum.de
35

Kienbaum Management Consultants