2016 Morgan Philips Talent Report

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Human Plus Recruiting in Greater China
Morgan Philips
Talent Report2016

Talent Report2016 1
EXECUTIVE SUMMARY
Part1 HIRING EXECUTIVE TALENT IN 2016
Part2 CHANGING JOB IN 2016: EMPLOYEES’ INTENTIONS
Part3 UNDERSTANDING EMPLOYEES’ MOTIVATIONS
METHODOLOGY
ABOUT MORGAN PHILIPS EXECUTIVE SEARCH
The New Normal: Hiring Challenges for Employers in 2016
Competitiveness and Productivity
Shortage of Skilled Talent
Selection rather than Sourcing
Company Attractiveness and Cultural Fit
Human Plus Recruiting: Digital Sourcing + Human
Job Changes and Salary Increases in 2015
Job Changes and Salary Expectations for 2016
Job Finding: Digital Sourcing + Human
Demographics of Survey Respondents
Change Drivers
Cultural Differences
Gender Differences
Generational Differences
Morgan Philips
Talent Report2016
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EXECUTIVE SUMMARY
Introduction
Employers’ Challenges
Morgan Philips Executive Search (formerly MRIC)
surveyed some 2,000 junior to senior Greater China
executives at the end of December 2015 and early
January 2016. The survey explored employers’ key
hiring challenges in 2016 and employees’ intentions
and motivations. This proprietary industry-leading
barometer for the talent sector is now in its sixth
year. This year included probing perceptions into
how digital platforms are currently supporting the
challenges of hiring or securing new positions.
After years of increasing headcount to match fast
paced growth, employers’ primary focus in 2016
is to find a new breed of talent which is adaptable
to change, competitive and productive – not
necessarily through pay hikes alone. This "new
normal", unsurprisingly, poses fresh challenges for
employers and their businesses. It likely explains
why, in 2015, an increasing percentage of survey
respondents changed jobs without any salary
increase (27% in Mainland China, 28% in Hong Kong
and 24% in Taiwan).
However, competitive and productive does not
always mean cheaper. It means being more creative
and adaptable to new markets and business
models. Thus business and HR leaders face the
challenge of scarcity of skilled talent. As such, proven
professionals will continue to attract meaningful
salary increases.
It also means that employers need to remain
focused on their company’s “attractiveness”-
meaning the overall appeal of a company in the
minds of potential or targeted talent. It places
stronger emphasis on the selection and cultural fit
of candidates.
These challenges are normal in mature economies
with a talent market that has settled for limited
salary increases, longer promotion lead time and
fewer job opportunities. They are a ‘new normal’ for
business leaders and HR practitioners in Greater
China, where the pace of economic development
has slowed, yet markets are not saturated and
continue to present huge development potential.
Managing that transition is complex.

Talent Report2016 3
Employees’ Intentions and Motivations Human Plus Recruiting
In 2015, employees appeared more stable than in
previous years and, even those who did change
jobs, averaged lower salary increases. However, that
does not seem to have caused any anxiety about
a potential hard landing in 2016. Their intentions
to change job are only slightly below the moves
declared in 2015 and salary increase expectations
remain higher.
Across the board, priorities have not changed much
since 2011. For the majority, motivation to change
job continues to be driven by money, especially
in Taiwan and Hong Kong, as has always been the
case.
In the absence of an improved economy, there will
be some alignment between salary expectations
and opportunities for actual salary increase. Also,
more people will likely stay put at their company.
Besides maximising their financial interests,
employees gravitate towards those non-
monetary advantages that matter to them - career
progression, learning opportunities, work-life
balance, company culture and so on.
Our research provides useful insights on
employees’ motivations. There is no single solution
for enhancing company attractiveness, since it
primarily derives from its own DNA. Nevertheless it
is interesting to see the nuances in what drives the
different segments of the talent market.
Over 75% of survey respondents believe digital
channels improve their ability to explore a new
career opportunity.
Yet, in 2015, the overwhelming majority of
executives, who declared a job change, had secured
their new position offline by direct approach from a
recruitment firm or a talent acquisition professional
at an employer organisation or through their
personal networks.
Employers see digital as a gateway to a broad source
of talent that allows cheaper and faster recruiting.
They also think that digital is useful to help them
build their company attractiveness, especially but
not exclusively, with younger generations.
However, employers do not regard digital as an
effective solution in selecting skilled talent or the
right talent that fits their company culture.
Undoubtedly, in 2016, digital lowers the cost and
increases the speed of finding talent. Yet, on its own,
it does not disrupt the means by which employers
and employees secure the right candidate or ideal
position. As such, there needs to be a shift towards
the careful selection and use of the now abundant
sources created through digital channels.
The recruitment process may be initiated through
digital platforms but it is brought to fruition through
human interaction – something we are terming
‘Human Plus Recruiting’. Attracting and hiring talent
will be a ‘Human Plus’ challenge in 2016 in Greater
China. This combines hi-tech sourcing with ‘hi-touch’
human interaction from valued professionals and
advisors.

The "new normal" for employers is acquiring talent that is competitive, productive and adaptable to
business change and fits the company culture.
The "New Normal"
HIRING EXECUTIVE TALENT IN 2016
Part 1HIRING EXECUTIVE
TALENT IN 2016
Top hiring challenges
*percentage of respondents describing themselves as employers/decision makers and who classified a challenge
among their top 10
Mainland China Hong Kong Taiwan
＃1
＃2
＃3
＃4
＃5
＃6
＃7
＃8
＃9
＃10
Finding competitive/productive talent Finding competitive/productive talentFinding competitive/productive talent
Finding talent with culture fit
Selecting the best candidates
Sourcing talent adapting to change
Shortage of skilled talent
Attracting younger generations
62.1 %
44.3 %
38.7 %
33.7 %
32.4 %
57.1 %
47.7 %
44.4 %
38.1 %
30.8 %
64.5 %
54.7 %
45.3 %
32.4 %
31.8 %
Good employer brand
Good employer brand Sourcing enough candidates Sourcing enough candidates
Sourcing enough candidates
Meeting hiring targets in budget
Improving hiring speed
Culturally diversified management team
Good employer brand
27.4 %
26.3 %
26.3 %
24.6 %
29.7 %
26.0 %
23.7 %
23.5 %
29.7 %
27.7 %
25.3 %
22.0 %
19.0 %
22.6 %
Culturally diversified management team
20.7 %

Talent Report2016 5
“This market requires smart people.”
“We look for candidates who are passionate and
try to challenge the status quo.”
“Young people in Taiwan are not competitive.”
“As the overall market is impacted, we need to
focus on building a good employee brand for the
long term.”
“There is a gap on talents ability with what we
require – People have been changing jobs too fast
and did not build proven track record.”
“The gap is too big between the resume and the
salary expectation.”
Competitiveness and Productivity Shortage of Skilled Talent
Based on survey respondents, employers do
not automatically associate competitiveness and
productivity with paying lower salaries in absolute
terms. However, as their own businesses tackle
the challenge of stalled growth, they have become
more selective and are only willing to pay more for
specific talent with a proven track record.
Slower growth in absolute terms also means less
middle management jobs due to less expansion.
Regaining productivity in a slowdown also means
addressing non-contributive management layers
and the related compensation costs.
On the other hand, those companies, which had
previously experienced huge growth - fueled by
Greater China’s low cost export resources and
rapid development - e.g. luxury companies in
Hong Kong, electronics companies in Taiwan,
international consumer companies in Mainland
China, need to rethink and adapt their product
and market strategies and so require talent that
is adaptable and competitive in a new market
environment.
The challenge is that many candidates do not stay
long enough in their previous companies and so
it is difficult to evaluate their track record and real
potential.
The economic environment gives some relief to
employers with ‘Meeting hiring targets to meet
2016 budget’ ranking 8 out of 19 in importance in
Mainland China, 10 in Hong Kong and 13 in Taiwan
respectively. But the shortage of skilled talent still
ranks 4 or 5 on employers’ hiring challenge list in
Hong Kong and in Mainland China.
In recent years, vocational skilled education
could not cope with the volume demanded by
many Greater China sectors. In addition, the
transformation of Mainland China, Hong Kong
and Taiwan economies towards the higher end
of the global value chain - higher added value
product content, automation in manufacturing,
growing share of services industries, digitalisation
and e-commerce - pose talent shortages as
every employer struggles to find the required
competencies.
Mainland China companies also emerge as credible
competitors for top skilled talent in the region
and globally. Together with Chinese government
support, they even go out to attract foreign talent
to meet their R&D and hi-tech needs.

Selection rather than Sourcing Company Attractiveness and Cultural Fit
It is interesting to note that sourcing enough
candidates remains a relatively important
concern, but less so, than selecting the best and
right ones. Historically, staff turnover has been
extremely high in Greater China fueled by many
job opportunities and a less disciplined approach
to qualified recruitment; inexperienced candidates
willing to try out on the job and hiring managers/
HR departments willing to recruit them under
pressure of meeting hiring numbers.
In 2015, among those who declared a job change,
16% of men and 22.5% of women changed jobs
after less than one year. Reasons given were higher
salary and clearer career path for both groups, as
well as better work-life balance for women, and
company direction for men. Taken together with
complex labor laws and high severance costs in
Mainland China, this represents significant wastage
in human resource management.
As businesses now adapt to slower growth,
employers are being forced to look for more
sustainability in their talent pool.
Company attractiveness remains a top eight
concern of employers, irrespective of generation
in Mainland China and Hong Kong, more so for
younger generations in Taiwan. This particular
challenge was a hot issue during the boom years
with its hyperactive job market when in reality
recruitment was driven by speed of hiring and
money.
In a more stable environment, increasing
company attractiveness may represent a genuine
opportunity for employers to meet their other top
challenge of a better cultural fit. Hence, employers
should pay increased attention to articulating their
company’s culture and direction more clearly when
seeking to attract good talent in 2016.
As highlighted in Part 3, changing job for a better
company culture is equally an important motivator
for potential candidates. However, younger
professionals and women seem to be more
driven by specific culture issues. That suggests an
attractive company culture must be both holistic
and open to consider the specific needs of each
part of its workforce.

Talent Report2016 7
*percentage of respondents describing themselves as employers/decision makers who evaluated digital as very useful
or somehow useful in resolving their hiring challenge
In all markets, respondents see sourcing as a top
benefit of digital. Digital helps to increase the reach
of candidates ("sourcing enough candidates"). It is,
probably for that reason, also seen as providing a
solution to one of the employers’ top challenges -
to find competitive and productive talent.
Digital, and in particular social media, opens
up a world of possible prospective candidates
to employers and recruiters. An increased and
broader reach gives alternatives to a limited
network of local referrals and databases.
Digital and hiring challenges in 2016
Human Plus Recruiting: Digital Sourcing + Human
＃1
＃2
＃3
＃4
＃5
＃6
＃7
＃8
＃9
＃10
Sourcing enough candidates
Finding competitive/productive talent
49.6%
44.4 %
44.2 %
41.5 %
41.5 %
48.6 %
44.4 %
44.1 %
42.1 %
41.3 %
54.9 %
53.5 %
49.2 %
46.5 %
46.1 %
39.8 %
39.8 %
37.8 %
36.4 %
38.5 %
38.5 %
36.8 %
34.3 %
43.4 %
43.1 %
40.7 %
40.4 %
39.7 %33.4 %34.0 %
Sourcing enough candidates Sourcing enough candidates
Finding competitive/productive talent
Finding competitive/productive talentRecruiting cost
Recruiting cost
Better third-party recruitment service
Good employer brand
Lacking time to recruit
Good employer brand
Lacking time to recruit
Finding talent fit company culture
Selecting best candidates
Recruiting cost
Better third-party recruitment service
Good employer brand
Strengthen talent acquisition team
Sourcing is the top benefit of digital in recruiting

Applying jobs via Mobile App
below 3536-4545+
64.3%
48.9%
33.9%
Already doneConsider
48.9%
36.7%
18.8%
13.0%
21.8%
below 3536-4545+
56.0%56.1%
32.0%
34.7%33.8%
21.4%
29.2%
below 3536-4545+
49.4%
44.0%
47.1%
33.8%
43.1%
25.9%
11.2%
13.5%
16.2%
Mainland China Hong Kong
All All All
Taiwan
Sourcing Skilled Talent
Company Attractiveness
Although digital helps with cheaper and faster
sourcing, in Greater China, employers view digital
as not particularly useful in solving the challenge
of a shortage of skilled talent. The main reason
is due to the ‘passive’ nature of skilled talent (as
defined by the HR profession). Therefore, while it
is relatively easy to identify those suitably qualified
via social media networks, it does not necessarily
help to attract that desired talent pool to another
employer.
Employers see their company attractiveness as
one of their top challenges. In Mainland China
and Hong Kong this relates to all employees, while
in Taiwan it is mainly a challenge for the younger
generation probably due to the unique overseas
relocation appetite of young Taiwanese that has
created supply issues at home. Employers believe
that digital can help solve this challenge, especially
with young generations. Our results show the
following: 68% of survey respondents aged below
35 years see digital as generally improving their
ability to secure a new role, with 63% aged 36-45
years and 57% aged above 45 years.
So, while the younger generation is more
accustomed to digital also as evidenced, for
example, by the much larger number of those aged
below 35 years who applied for a job through a
mobile device (34% versus 18%/16% for the older
groups), digital now permeates the entire society.
Employers should, therefore, consider it as an
employer brand-building tool for all generations.
*percentage of respondents who would consider applying jobs via mobile App and who have already done it.

Talent Report2016 9
Selection and Cultural Fit
Employers are not confident that digital alone
can help them select the right people. Qualifying
technical skills is the simpler part in recruiting for
expert recruiters. Successful hiring depends on
another key factor called ‘chemistry’ i.e. will we
approach situations and problems, when they
arise, with a similar point of view driven not only by
knowledge and experience, but also by behavioural
principles and values (such as inclination for risk,
result orientation, compliance mindset and so on).
Although the future may bring technological
advancements in data analytics and artificial
intelligence, offline and online assessment tools,
have only been partially predictive of fit with a
role and a company, and, as such, they remain
a helpful tool in decision-making rather than an
independent decision-making tool.
As such, in addition to being low cost, it is likely
why recruiters continue to prefer networks and
referrals, as the trusted source of finding talent.
Those who refer usually know more intimately who
is hiring and who could fit. Ultimately, it is the art of
identifying motivational and cultural fit that is the
best way to select and retain long-term talent.
In 2015, among those who changed job, 5% (Hong
Kong) to 6.45% (Taiwan) declared relocating to a
different country. In Mainland China (19%) and
in Taiwan (5%) declared a move to a different
part of the country. This is a meaningful number,
especially in Mainland China. Without having
any data prior to the digital age, we can assume
that digital sourcing facilitated such national and
international moves. There is still a lot of untapped
potential in international and national talent
mobility that digital could help facilitate since
the vast majority of respondents would consider
relocating for the right opportunity.
The untapped benefit of digital in
international and national relocation?
Declared relocation in 2015 Consider to relocate in 2016
71.2%25.1%
Mainland China
57.0%4.9%
Hong Kong
82.5%11.8%
Taiwan
relocation to another province or market
relocation to another market relocation to another region or market

11-20%
21-30%
2013 2014 2015 2013 2014 2015 2013 2014 2015
No change
1-10%
31%+
20.7 20.0
8.5
15.0
24.3
27.7
13.3 14.9
12.8
31.7
20.3
18.3
27.9
15.1
26.9
10.7
11.0
11.9
23.4
20.6
23.2
29.0
15.1
10.8
14.6
21.3
13.3
20.319.5
22.9
16.3
18.5
18.3
29.8
26.7
20.3
25.5
22.3
18.630.822.0
22.1
20.026.8
17.5
Salary increases declared on changing job
Job changes against intentions in 2015
Changed Intentions
21.0%17.0% 26.0%21.0% 20.0%19.0%
The 2015 job changes declared were slightly
below the intentions stated in our previous year’s
survey. Yet, in Hong Kong, 21% of the respondents
still changed jobs. In Mainland China, 17% of the
Significantly, there were increases in the
proportion of those changing jobs without any pay
rise – 6 percentage points increase in Mainland
China, 8 percentage points more in Hong Kong
respondents actually moved, a decrease from
the intended 21% in 2014. Taiwan actually closely
matched actual moves (19%) compared to their
stated intentions (20%).
and 9 percentage points higher in Taiwan. Notably
in Mainland China, there was also a significant
decrease in the higher salary brackets of hikes of
31% or more.
CHANGING JOB IN 2016: EMPLOYEES’ INTENTIONS
Mild deceleration in job changes and salary
increases in 2015
Part 2CHANGING JOB IN 2016:
EMPLOYEES’ INTENTIONS

Talent Report2016 11
MaybeNoYes
58.8%
20.5%
20.7%
60.6%
21.1%
18.3%
67.0%
17.1%
15.9%
11-20%21-30% No change1-10%31%+
6.8%
9.0%
19.5%
30.2%
34.5%
11-20%21-30% No change1-10%31%+
3.1%
17.7%
34.9%
30.9%
13.4%
11-20%21-30% No change1-10%31%+
4.2%
10.0%
33.1%
30.7%
21.9%
0
5
10
15
20
25
30
35
Job change intentions in 2016
Salary increase expectations when changing job in 2016
Salary Expectations remain high for 2016
Move intentions continue to decelerate in 2016.
Unsurprising, only a small minority would change
jobs voluntarily for no salary increase. Economic
realities will determine lay-offs and restructuring
and the ability of such employees to bounce back
at a higher level.
On voluntary moves, while new employers will be
selective and cautious, it is to be expected ‘small
salary increases’ may not be enough to lure top
talent out of their current employer and therefore
more talent may stay put. Even so, it would still be
advisable for employers to identify and invest in
their proven top performers.
“Economic slowdown
will facilitate retention
but will make talent
attraction more difficult.”

59.4%
69.0%
70.9%
45.0%
50.7%
69.3%
73.0%
78.4%
58.8%
52.5%
Yes
70.7%
Yes
66.5%
Yes
73.4%
79.6%
79.6%
68.7%
77.0%
86.7%
83.8%
84.3%
80.0%
Useful
to
Explore
Useful
to
Secure
75.8%
Yes
82.5%
Yes
77.7%
Yes
45+36-45below 35
Professional talent view of digital to improve job exploration and securing
Job Finding: Digital + Human
Digital is widely perceived by over 75% of
respondents as a very useful tool to explore a
career change.
The opinion is slightly more balanced on the ability
of digital to help secure a role with just over 50% of
respondents in Hong Kong replying positively.
It is interesting that all age groups are
overwhelmingly positive on better exploring
a career change through digital. The lowest
percentage being 68% for those aged above 45
years in Hong Kong.
On securing a role with the help of digital, Mainland
China and Taiwan respondents are the most
confident overall with, in Mainland China, 71% for

those aged below 35 years, 69% for those aged
36-45 years and still 59% for those aged above
45 giving positive responses. In Hong Kong, there
is a big difference between those aged below 35
years (69%) and those aged 36-45 years (51%) and
those aged above 45 years (45%). In Taiwan, there
is a lower confidence rate among the younger
professionals (58%) versus over 72% for the other
groups that we cannot explain well.
Overall, employers’ views that digital can help
increase their attractiveness is validated by
candidates who see this tool as a way to explore
career opportunities.
This means not only are candidates using digital to
find out about general corporate information on
a company and its openings, but also on its plans,
culture, and style as well as checking leadership
and employees backgrounds, and potentially
connecting for referrals or information.
Job finding channels in 2015
Digital can help prospective candidates to explore
career opportunities, but human intervention is
required to find the right job.
A key finding among our respondents who
changed jobs in 2015, (235 respondents to this
question), the top channels to land that job relied
on ‘human intervention’, from a recruitment
company, or a talent acquisition specialist of an
employer company, or from a personal network of
friends. These three channels represent over 80%
of job sources for employees.
Job boards helped 12% of employees to change
jobs in Mainland China and Hong Kong but
they seem less effective in Taiwan (5% only).
Social media, as direct application engine, seem
ineffective helping less than 2%.
Social media per se is not the ‘new competitor’ of
recruitment firms but another sourcing tool similar
to job boards. However, it is the evolution of easy
internet/digital tools that has meant in-house
HR professionals (mentioned by 18% to 24% of
respondents) can now directly source talent on
social platforms.
Job boards
12.7 %
Recruitment firm
38.0 %
Introduced by a friend
27.8 %
Recruitment firm
41.1 %
Job boards
12.2 %
24.4 % Recruitment firm
32.0 %
Job boards
5.3 %
33.3 %
＃1
＃2
＃3
＃4
＃5
＃6
＃7
Other
1.9 %
Other
2.2 %
Other
2.7 %
Corporate website
1.1 %
Newspaper/print
1.1 %
Newspaper/print
1.3 %
Social network/
Social media job
0.6 % 1.3 %
Social network/
Social media job
Talent acquisition/HR
19.0 %
17.8 %
24.0 %

Job boards
10.2 %
Recruitment companies
56.1 %
Social networks / Social media
4.4 %
Company career sites
4.3 %
Friends, word of mouth
25.0 %
Job boards
13.4 %
37.0 %
4.7 %
6.1 %
38.2 %
Job boards
9.7 %
35.6 %
9.0 %
6.4 %
30.6 %
＃1
＃2
＃3
＃4
＃5
Perception of most effective channels to secure a job in 2016
Direct referrals and introductions by friends
represent a major source of opportunity in
people’s perceptions. Hong Kong respondents rely
the most on their network although this method
has the lowest success rate of the markets in
2015. Direct approach by recruitment specialists
(which could, in this question, also include talent
acquisition specialists and RPOs) is seen as the
most effective channel to secure a job in Mainland
China and in Taiwan.
Young and senior professionals alike rely more on
networks whereas the middle age group seems to
rely more on recruitment firms.
Young professionals rate job boards and corporate
career sites higher than their seniors; all age
groups rate social media similarly.
Age differences

Demographics of Survey Respondents Suggest
Growing Female Representation
Our database of talent from which we drew the
survey respondents is a good reflection of the
executive workforce due to the consistent types
of role hiring we have performed over the past 18
years. Our demographic analysis of respondents
showed the following.
The younger professional workforce has
a higher female proportion but still in the
minority.
Male respondents are 79% (Mainland China), 72%
(Taiwan) and 62% (Hong Kong).
In Mainland China, women represent 39% of
below 35-year old respondents and represent
only 10% of above 45-year olds.
In Hong Kong, women represent 45% of below
35’s survey respondents and in Taiwan 35%.
These percentages are higher, especially in
Mainland China, than the overall gender mix of
survey respondents in total.
In this section, an employer will find valuable
information on the similarities and nuances
in motivations of the different talent groups
in Greater China when changing jobs. It also
shows how they define a good employer.
These findings may prove useful when working
on company attractiveness - not only for
Under representation of women in senior
management but over representation in
middle management.
22% of female Greater China respondents versus
41.5% all respondents declare being in a senior
management role.
39% of women who completed the survey declare
being in a middle management role versus the
average of 35% from all respondents.
The under representation of women in the
professional and management workforce overall
and senior management in particular, is not new.
Their active presence in middle management ranks
is interesting. Taken together with other findings
in this survey on motivations, our findings contend
that women’s needs and management style will
grow in influence within the corporate sphere in
the future - provided that women also take on
senior roles.
recruitment but also for retention as there
are many similarities. Furthermore, important
differences in priorities between men and
women, the generations, markets and culture
demonstrate the complexity of building a
company culture and employer brand promise
that will satisfy each and every one.
Part 3UNDERSTANDING EMPLOYEES’
MOTIVATIONS

14
14 14
10
11
13
15
151512
12
12
4
6
6
11
1110 10
13 13
8 84
4
7
4
4
2
9 9
9
1 1 1
62
2
2
2
8
5
5
3
6
Responsibility/challenge
Clear career path
Job security
Basic salary
Benefits
Work life balance
Company brand image
Company culture
Leadership
Convenient location
Direct manager
Relocation
Training/learning opportunity
Company direction
Variable compensation
3
1
9
2
10
7
14
5
8
13
12
15
11
6
4
2
3
7
1
10
4
12
6
7
15
5
14
13
10
7
2
3
9
1
7
5
14
6
13
15
9
12
11
8
3
Mainland China
2015 2011 2015 2011 2015 2011
Hong Kong Taiwan
Top reasons to change job
*ranking of first two motivators combined
The comparison of talent motivations changing
job late 2011 and 2015 is not like for like since
two criteria have been added in this survey:
compensation was split into two clearer elements
of base salary and variable compensation. Also,
leadership/strategic direction was divided into
leadership and company’s direction. Taking this
change into account, the top, mid and low reasons
to change job in late 2015 remain broadly the
same as in late 2011 with the following worth
noting.
Base salary, is at the forefront of employees’
preoccupations with relatively less appetite
for variable compensation. This is probably a
Immediate career advancement ("bigger
responsibility") was the number one change driver
in 2011 in all markets. That now gives way to a
longer-term view of a career path with employees
result of shrinking bonuses due to lower profit
performances while employees are trying to plug
the gap with higher base income to cover their cost
of living and, in particular, mortgages and children’s
education costs.
Benefits seem to drop in importance, especially
in Mainland China. This could be due to an aging
respondents demographic and their access to
more benefits in recent years with senior roles and
also employers' more generous policies in the war
for talent.
Compensation - base salary first and
foremost
Career progression
UNDERSTANDING EMPLOYEES’ MOTIVATIONS
Change drivers : money, advancement but also career
path, culture and more security

recognising that many organisations no longer
offer inflated titles as a talent attraction tool if the
job specification or experience does not justify it.
Notwithstanding the fact that the division of
this category may have led to result dilution, we
note lower rankings overall for such motivators.
Leadership/strategic direction scored higher in
all survey rankings since 2012. In 2011, it was
Over the years, company culture remains an
important motivation for employees seeking a
change. Employers highlight cultural fit as one of
their key hiring (and probably retention) challenges.
Looking at the nuances by age and gender,
however, those who ranked this criteria pretty high
(Top 5 or 6) are, especially in Mainland China and
Hong Kong, the professionals above 35 and more
so above 45.
This could point to disconnect between what
older professionals, the majority of which are
male, interpret as ‘company culture’ (hard work
versus work life balance; business direction) and
what younger professionals, with more female
representation, expect to see in a company culture.
Generational and gender motivational differences
below are quite telling in this respect.
suggested that the importance placed on better
leadership and direction in changing job could
be linked to the personal appetite for career
advancement.
Given this year’s results in the new economic
context, that assumption seems to have been
validated. A key challenge for employers,
therefore, will be to stimulate long-term employee
engagement around a vision and direction that
does not necessarily mean fast promotion with
more focus on company culture.
Leadership and company direction
Company culture
Work-life balance
Back in 2010, work-life balance was identified as
a key retention driver. In subsequent years, it also
grew as an attraction driver. Two key elements of
better work-life balance were identified in former
surveys - the flexibility of working hours (especially
among women), and the need to address high
stress among all levels (especially senior/middle
management and equally between men and
women).
Hong Kong has always ranked work-life balance
the highest in the region which can be associated
to having a higher mix of women respondents, the
highest stress levels (MRIC Talent Reports 2013
and 2014) as well as a more Westernised mix of
respondents.
Taiwan has always been most polarised on this
dimension. It may be attributed to the existence
of two groups of people; those who seek to go
overseas to work for more money and those who
make the choice of a more balanced life in Taiwan.
Mainland China professionals discovered in recent
years the pressures of long commuting due to
traffic jams, of travel due to broader responsibility,
and of long hours due to conference calls at night
with US headquarters. This triggered new choices
for some, especially women reaching young
mother stage, a critical care period in Mainland
China due to the former one child policy. However,
overall, Mainland China respondents seem to place
work-life balance a bit lower on their priority scale.
But as we will see later, not in all age groups.
We note that job security increases in importance
when compared with 2011, a peak economic
year and this is the probable reflection of the
slowing economy. We note that men, more than
women, are sensitive to job security. This could be
influenced by the relatively higher mix of men in
senior management roles and, of course, the social
notion they continue to be the key ‘bread winner’
in the family.
Job security

Cultural Differences
PRC Born Asia Born Western Born
1
6
5
9
4
2
7
8
14
15
11
3
10
13
16
12
1
4
5
13
6
3
7
8
14
15
9
2
9
12
16
11
2
3
5
10
8
1
6
13
15
14
7
4
11
9
15
12
Integrity leadership
Capable leadership
Ethics, corporate governance
Company image/reputation
Company values
Company vision & direction
Clearer organization structure
Fair promotion process
Community commitment
Environment commitment
Culture of innovation
Trust/respect for employees
Good benefits
Good work environment
Great social activities
Transparent communication
What defines a good employer
The key observation is that all respondents,
regardless of origin, rate similarly what makes a
good employer: good leadership, primarily with
high integrity, clear vision and business direction
and a culture of trust and respect for employees;
also good company values and corporate
governance.
Westerners tend to be slightly less humanistic and
more systematic. Clear business direction is more
important for them as well as a capable leadership
and a clearer organisation and management
structure.
Interestingly Westerners also tend to rate
innovation and recognition for new ideas higher.
Is this a reflection of a less hierarchical way of
working and exchanging in Western companies?
Mainland China and Asia respondents seem
to place, comparatively, greater importance on
human dimensions of company values and care for
employees.
In terms of leadership, capability is less important
than integrity and a paternalistic view of leading
for Mainland China respondents. Please refer to
MRIC Talent Report 2014 for more research on
this matter. This may prove a talent management
challenge for Chinese companies when seeking to
internationalize.
*ranking of first two factors combined

Top priorities for men and women are the same:
base salary and career advancement.
But, Mainland China women tend to be more
pragmatic on "what else": they rate benefits,
location, training and a good relationship with their
manager more than the corporate dimensions
of company culture, leadership and company
direction. Some of these traits, such as training
or more interest in their direct manager, could be
a younger generation trait, though, more than a
female one given the larger proportion of female in
the below 35 group.
In Hong Kong and Taiwan too, women put a very
high priority on work life balance and lesser priority
on variable compensation. Some trade off seems
to be taking place.
In Mainland China, they rank these criteria similarly
to men, mid-range for work life balance and top 5
for variable compensation.
Gender Differences
Clear career path
Job security
Basic salary
Benefits
Work life balance
Company brand image
Company culture
Leadership
Convenient location
Direct manager
Relocation
Company direction
1
2
9
3
10
7
13
5
8
14
12
15
11
6
4
3
1
13
2
5
7
14
10
11
5
7
15
7
12
4
2
3
5
1
10
8
13
6
8
15
7
13
12
11
4
4
5
11
1
9
2
12
5
7
15
3
13
13
8
10
2
3
9
1
7
6
14
5
13
15
10
12
11
8
3
2
3
12
1
6
3
15
6
10
14
5
9
12
10
6

In 2015, among those who declared a job change
in the past 12 months, 16% of men had been in
their job for less than a year and 22.5% of women;
39% of men had been in their former job for 1
to 3 years and 41% of women; and 26% of men
declared being in their former job for 3 to 5 years
and 22.5% of women.
One important reason but not the only one
(higher salary and career advancement were also
mentioned) given by women who had left their job
last year was work-life balance.
Men are more stable than women in Greater China
Generational Differences
Clear career path
Job security
Basic salary
Benefits
Work life balance
Company brand image
Company culture
Leadership
Convenient location
Direct manager
Relocation
Company direction
45+ 36-45 below 35
1
8
6
5
10
4
12
3
7
12
11
14
15
2
9
1
2
10
3
8
7
14
5
8
12
11
15
13
5
4
4
1
14
2
6
11
13
11
8
9
9
15
4
6
3
2
3
8
1
9
5
12
3
5
14
9
13
14
7
11
3
2
8
1
10
5
14
6
7
14
4
13
12
8
10
5
2
9
1
9
4
12
9
12
14
7
6
7
14
3
1
8
5
4
8
8
12
2
12
15
11
7
12
3
5
2
4
10
1
6
4
13
6
12
14
8
15
10
9
3
3
2
13
1
7
4
15
5
12
14
9
8
9
9
5
7.1%
12.8%
9.3%
9.8%
39.4%
41.2%
26.1%
22.6%
18.1%
13.7%
Less than 6 month 5 years+3-5 years1-3 years6-12 months

45+ 36-45 below 35
Integrity leadership
Capable leadership
Ethics, corporate governance
Company image/reputation
Company values
Company vision & direction
Clearer organization structure
Fair promotion process
Community commitment
Environment commitment
Culture of innovation
Trust/respect for employees
Good benefits
Good work environment
Great social activities
Transparent communication
1
6
4
8
3
2
6
11
14
14
9
5
11
11
16
10
1
6
4
10
4
2
8
7
15
14
12
3
9
11
16
13
1
5
8
8
4
3
6
7
16
15
11
2
10
12
14
12
1
3
4
10
6
4
7
10
15
14
9
2
8
13
15
10
2
3
7
10
5
4
9
8
14
15
10
1
6
10
16
13
3
1
5
8
7
6
12
2
14
15
8
4
11
10
15
12
1
6
3
5
7
2
10
11
15
15
9
3
12
12
12
7
1
5
4
10
6
3
12
7
15
14
10
2
9
13
15
7
2
5
13
11
8
4
5
11
15
14
5
1
8
10
15
3
What defines a good employer
A leadership that displays high integrity, a culture of
trust and respect for employees, and a clear vision
for the business are the common denominators
that define a good employer across Greater China.
These transcend both geography and generations.
When asked about their motivations for changing
jobs, young professionals display relatively low
interest for concepts such as company culture,
leadership and company’s direction. However, in
their assessment of what is a good employer, they
rank highly leadership and clear vision of business
direction almost similarly to their seniors.
They also show us some elements that matters
more in their definition of a good employer namely
a fair promotion process and comparatively a
culture of trust and respect for all employees. In
Mainland China they also voice their appreciation
of better benefits as an important main reason to
change job.
In Taiwan, young professionals seem to voice more
strongly their need to be more recognized for their
ideas, a more transparent communication and a
clearer organisation structure.
It is worth noting that, in all markets, similarly to
their seniors, young professionals are not that
sensitive to work environment, social activities and
company’s brand image. Meaning they also know
to make the difference between the fundamentals
and good to have in an employer.
Unfortunately all age groups continue to show
lack of priority, relatively speaking to other factors,
in a company’s commitment to community,
environment or social responsibilities. These barely
make it into the category ‘good to have’ and rank
among the lowest of the low at any age.
*ranking of first two factors combined

Young Hong Kong professionals are notably higher
on relocation than their seniors. While Mainland
China professionals of all ages are notably low, a
surprising finding after much coverage in the media
these past years on the appetite for emigration of
people from Mainland China.
Relocation in Taiwan is weighted relatively high
in the younger and older age group. Salary levels
in Taiwan are still comparatively lower as is cost
of living. Many young professionals try to find a
job overseas, also for international or regional
exposure. Older Taiwanese professionals, with
grown up children, continue to be available for
senior full time or project assignments in Mainland
China.
One intriguing finding in these comparative
rankings is about work-life balance in Mainland
China. We saw that women and men tend to rate
work life balance similarly, at mid-range of their
preoccupations. Looking at age differences, we
note that the importance of work life balance
seems to grow higher in China together with age
to reach a similar higher ranking to Hong Kong and
Taiwan. We may conclude that work life balance is
a demand that grows with wealth overall and does
not represent - as assumed by many - a younger
generation appetite for less work.
Instead, young professionals’ focus is more on
training and learning opportunities as well as a
good relation with their direct manager that we
may qualify of good work life blend rather than
work life balance.
Work-life balance versus work-life blend Relocation
For those below 35 years 19% had been in their
job for one year before changing job versus 17%
for 36-45 year old and 20% for 45+ year olds.
The critical retention period for young
professionals is 1 to 3 years: 47.5% who changed
job last year had been in their former job for 1 to 3
years, versus 33% for 36-45 year olds and 28% for
45+ year olds.
Overall, the turnover rate in the first year, across all
ages is high at 17% to 20%.
In year one, Greater China young professionals are
no more un-stable than their seniors
1.2% 1.8% 0.8%
6.0%
3.6%
11.5% 11.6%
6.6%
28.6%
33.0%
47.5%
26.2%25.0% 25.4% 25.0% 25.0%
8.2%
Less than 1 month 1-6 months 5 years+3-5 years1-3 years6-12 months
13.0%
45+ 36-45 below 35
Tenure in previous job for respondents declaring job change in 2015

rounded to one decimal point. The aggregate
percentage may not always add up to 100%.
Some respondents’ sub-groups have a lower base
sample (below 80 but no less than 50) so it should
be noted that figures and rankings may be only
indicative of market trends. In certain instances,
respondents did not complete all questions this is
why the sum of sub-segments may not reach 100%
of total respondents.
Morgan Philips Executive Search (formerly MRIC)
surveyed 2,935 professionals at the end of
December 2015 and early January 2016, among
which 1860 respondents were from Greater China,
who comprise the primary focus of this report.
Participants were junior to senior executives and
managers across a wide range of industry groups
and functions.
The percentages in the report have been
Gender Sector
Female
Male
Industrial/Manufacturing
Chemicals&MaterialsICT&Electronics
LifeSciences
Consumer&RetailBanking&FinancialServices
ProfessionalConsultancyServices
Other
45+
Total
Total
Total
36-45
Below35
Top&Senior
Middle
Junior
DecisionMakerDepartmentHiringManager
HRProfessional
25.9
26.9
20.9
38.2
27.7
74.1
73.1
79.1
61.8
72.3
23.8
24.1
34.0
10.0
15.5
10.2
11.0
15.9
1.5
9.0
12.8
13.3
12.2
12.2
17.5
8.5
8.2
6.4
5.5
15.8
12.8
14.2
9.2
15.3
25.8
9.6
9.6
4.4
26.8
3.3
9.3
9.6
9.0
13.1
7.5
13.0
10.0
9.1
15.7
5.5
2,935
1,860
983
452
399
Total
Greater China
Mainland
Hong Kong
Taiwan
34.4
31.8
30.2
38.3
27.9
43.0
40.6
41.2
39.8
40.0
22.5
27.6
28.6
21.9
32.1
41.5
41.5
44.2
45.2
30.3
36.8
35.4
36.5
36.1
32.2
21.7
23.1
19.2
18.6
37.5
47.0
46.7
48.5
42.0
51.0
36.7
35.3
34.1
38.5
31.5
16.3
18.0
17.5
19.5
17.4
2,935
1,860
983
452
399
1,521
1,040
613
215
200
Total
Greater China
Mainland
Hong Kong
Taiwan
Age Level Hiring Authority
(Prespective Employer)
% in numerals

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2016 Morgan Philips Talent Report

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