《Industry Report - Global HR and Recruitment Services.pdf》由会员分享，可在线阅读，更多相关《Industry Report - Global HR and Recruitment Services.pdf（33页珍藏版）》请在三一文库上搜索。
1、CONTENTS Error! No text of specified style in document. August 2011 | .au | www.ibisworld.co.uk | IBISWorld Industry Report L6741-GL Global HR employee leasing; listing employment vacancies; and the outsourced management of personnel related administrative functions, such as payroll and employee b
2、enefit administration. Main Activities The primary activities of this industry are: Employee leasing Permanent staff appointment Temporary staff appointment The major products and services in this industry are: Temporary placement Permanent staffing Other services, including payroll and online activ
3、ities Employee leasing Similar Industries L6712-GL - Global Management Consultants Management consultants advise organizations on a wide range of issues and provide strategies regarding personnel management. L6713-GL - Global Accounting Services Some accounting firms offer outsourced payroll and emp
4、loyee benefits administration services. Additional Resources For additional information on this industry: www.ciett.org International Confederation of Private Employment Agencies www.imf.org International Monetary Fund www.oecd.org Organization for Economic Co-operation and Development www.mancheste
5、r.ac.uk University of Manchester www.flexworkresearch.org WWW.IBISWORLD.COM Global HR healthcare; and in many professional industries, especially accounting and engineering. Continued very strong revenue growth occurred in many emerging markets, especially Eastern Europe, China and India. However, t
6、he growth was from a low base. WWW.IBISWORLD.COM Global HR client organizations may not wish to broadcast the fact that they are recruiting, while applicants may wish to hide their job search from their current employer. Access to highly skilled workforce Employees skilled in dealing with clients, u
7、nderstanding their employment needs and finding suitable staff are necessary for success in this industry. WWW.IBISWORLD.COM Global HR and those of indirect employees who are on-hired to clients on a temporary or contract basis. The employment services provider pays the wages and associated costs of
8、 both direct and indirect employees. In the latter case, the fee paid by the client then covers the wages of the temporary employee, plus a margin. A significant proportion of temporary staff providers revenue therefore flows straight through to wages, boosting the wages share of the cost structure.
9、 As on-hired workers are only paid when they work, their wages are a variable cost, in contrast to the fixed costs of direct employees. Wages in this industry therefore fall relatively quickly when revenue drops, providing some protection to the industrys profit margin. However, the fixed portion of
10、 wages, along with the other largely fixed costs, means that the margin is still quite sensitive to changes in demand. IBISWorld estimates that the profit margin fell from 4.0% to 2.8% in 2009 as revenue plunged. While it recovered to 3.5% in 2010, the earthquake in Japan and increased international
11、 uncertainty have reduced profits to 3.3% in 2011. The fact that a significant proportion of revenue flows straight through to wages of indirect employees means that the other costs, along with the profit margin, are dwarfed by wages. Rent is a significant cost because firms tend to locate in the ma
12、in business district of cities in order to be close to clients and candidates. Costs under the other segment include communications, marketing and selling expenses, office and administrative costs, interest and insurance and professional services such as legal and accounting. WWW.IBISWORLD.COM Globa
13、l HR very large companies often undertake mass recruitment drives, such as graduate recruitment, which require significant manpower input that only a relatively large recruitment firm can provide. Firms are, however, not totally isolated from some fee-based competition, especially when economic grow
14、th deteriorates and unemployment increases. In times of recession, fee-based competition increases as associated demand for temporary placements declines. Fee-based competition is also related to the significant number of small industry operators, leading to low net income margins. Overall, firms th
15、at develop a close, personal relationship with clients, strive to understand their clients business and needs, maintain their quality of service, and have a high level of client satisfaction tend to outperform other players in this industry. The ability to offer web-based advertising of jobs and e-m
16、ail-based employment services is now essential. A key advantage to compete and have major international clients is to have a global network of offices. Other advantages result from having a large database of potential employees as well as having contacts in key industries to readily identify potenti
17、al headhunting opportunities for clients. External competition The industry competes against internal corporate and government HR divisions that do their own recruiting. Some governments through their own employment services also provide placement activities for unemployed and disadvantaged people.
18、This has become more common since the recession, as many companies have scaled back on recruiting-related costs. This industry must also compete with the rising number of professional networking websites and low-cost (or free) job boards. While these outlets represent companies doing their own recru
19、iting, they are also another avenue that potential candidates can explore during the job search. WWW.IBISWORLD.COM Global HR as soon as trust is established, clients can be reluctant to change providers. These existing relationships represent a competitive barrier for new companies looking to enter
20、the industry. From a practical standpoint, barriers such as scale requirements and start-up costs are relatively low. In this context, many players who choose to enter a new market choose to acquire existing firms rather than start their own from scratch in order to easily gain contacts, gain inside
21、 knowledge quickly and thus reduce risk of failure. Despite this concern, a combination of price, offering superior client service, having qualified and experienced personnel (particularly with an established reputation), operating within a niche market, and having a well established network or data
22、base of potential applicants and appointees can assist to overcome any initial disadvantage. In some 100 countries, there are still some restrictions on operation of this industry, particularly in employment of temporary staff into formerly permanent positions, but with these restrictions gradually
23、being lifted as labor market deregulation continues globally. While some business and counselor licenses may be required to operate in some countries, such as the US, these do not provide a significant barrier to entry. Overall, IBISWorld analysis indicates that any barrier to entry is low and decre
24、asing. WWW.IBISWORLD.COM Global HR skill shortages amid strong economic conditions in Western Europe, which created demand for professional and specialized staffing; the trend toward flexible workforces; and the liberalization of labor markets in many areas. After strong results over the four years
25、through 2007, conditions began to deteriorate in the later stages of 2008 as economies slowed around the world due to the global recession. Demand for labor plunged as unemployment rose, causing revenue to fall in many of Adeccos geographic markets. A full year of severely depressed demand in 2009 c
26、aused revenue to plummet by almost 30%. The company only just remained profitable after it was unable to cut costs fast enough to protect margins, despite reducing its workforce by 20% and closing 16% of its branches. WWW.IBISWORLD.COM Global HR Professional, Technical and Staffing Alternatives (PTS
27、A); and International. Each of these divisions is further segmented among industries or disciplines, including finance, healthcare, law and IT. Kelly Services also divides itself into three geographic regions: the Americas; Asia Pacific; and Europe, the Middle East and Africa (EMEA). Its strategy is
28、 based on investing in high-margin businesses, diversifying into emerging markets and expanding its outsourcing services. As with all operators in this industry, the recession had a negative impact on the companys performance. Kelly Services has become increasingly focused on large corporate account
29、s making it all the more sensitive to the needs of those clients. Its reliance on those clients has been a liability as many large corporations have cut back on temporary employees since the beginning of the recession. However, in 2010, Kellys revenue in its Americas segment increased 18.7% as the t
30、emporary labor market began to improve. Growth in 2010 was largely the result of an increase in the number of hours worked. However, more exuberant growth was hampered by a decline in hourly rates, a factor which has become more common due to pricing competition among industry operators. The company
31、 has also sought to expand into Asia by making a strategic partnership with Japanese company Temp Holdings in May 2010 towards this goal. USG People Estimated market share: 0.8% USG People, started in 1972, is a staffing service company that is based out of the Netherlands. While not global, it has
32、a strong presence throughout Europe, and is one of the largest players in the region. After seeing significant growth from 2005, the global financial crisis saw a 25% drop in revenue from 2008 to 2009 (in terms of Euros). In 2010 the company recovered 3% of its revenue, which saw growth occur in eve
33、ry country the company had a presence in. During 2010, however, a significant managerial change occurred after Herman van Campenhout left midyear after holding the job for only 4 months. WWW.IBISWORLD.COM Global HR from $4.6 billion to $3.0 billion respectively. 2010 saw some recovery for the compan
34、y, but not to pre-crisis levels. Temp Holdings Estimated market share: 0.4% Temp Holdings is Japans largest staffing services company. It was created in October 2008, when Japanese firms Tempstaff and People Staff merged. Since Japans economy has also been affected by the global financial crisis, gr
35、owth has been somewhat slow. In order to remove itself from being behest to companies requiring structural changes to take greater advantage of its services and avoid the bad reputation temporary jobs have in Japan, it has started to enhance its outsourcing services. It has also sought to cater its
36、services to niche markets better, with efforts related to location, job fields and gender. The company is also seeking to expand into Asia, and has made a strategic partnership with Kelly Services in May 2010 towards this goal. However, the effects of the earthquake in early 2011 have adversely affe
37、cted the companys revenue streams significantly, and is thus expected to be affected by its events for a significant period. Monster Estimated market share: 0.2% Formerly TMP Worldwide, the company was renamed Monster in 2003 after the success of its website. After spinning off TMPs e-resourcing and
38、 Executive Search units to form Hudson Highland, the remainder of TMP was bought out by management and private equity in 2006. Unlike the other major players, Monster operates in the internet domain and has very little physical presence. The company has operations in about 50 countries worldwide; ap
39、proximately 45.0% of Monsters revenue is derived from North America, 40.0% is from International and the remainder is from Internet Advertising and Fees. Like many players in the industry, the recession has caused some problems for the company. Although worldwide revenue was relatively flat in 2008,
40、 profit tumbled as unemployment climbed and it became more difficult to place applicants. The companys North America segment has been especially hard hit, with revenue declining 9.8% and 36.2% in 2008 and 2009, respectively. In response, the company reduced costs and invested in areas that provide b
41、etter potential for revenue growth. It also increased its US sales force and concentrated on improving customer service capabilities, as well as launching new products, including a totally new site, which was launched in January 2009. In spite of these changes, Monsters problems have continued into
42、2010. Although revenue for 2010 is expected to decrease once again, the decline is expected to be significantly less than the company experienced in 2009. WWW.IBISWORLD.COM Global HR in 2008 the US dollar depreciated, magnifying underlying growth, while the decline in 2009 was magnified an appreciat
43、ing US dollar. Regulation & Policy The level of regulation is heavy and the trend is decreasing. Nearly all regulation pertaining to Global Human Resource and Employment Services is nationally focused. Exceptions to this is regulation enacted by EU directives (for countries a part of the European Un
44、ion) or via trade agreements. Even when considering these exceptions, all regulation is modified and defined according to national governments. Thus, major regulation for the industry emerges from its largest markets. Outside of these regions, most countries have little to no legislative framework p
45、ertaining to the industry. This, however, is changing as labor markets deregulate. European Union The EU has been passing directives in order to harmonize the labor market throughout the European Union. Of particular note recently is the Temporary and Agency Workers Directive, the Sanctions Directiv
46、e and the Blue Card Directive. The Temporary and Agency Workers Directive was passed in 2008 and is due to be enacted by EU members by December 2011. This Directive allows for a grace period of 12 weeks before agency workers receive equal rights to permanent staff, regardless of working hours. The S
47、anctions Directive, passed in 2009 and implemented from July 2011 places employers as responsible for hiring legal third-country nationals (i.e. from outside the EU), penalizing them with sanctions if they fail to do so. The Blue Card Directive, passed in 2009, aims to attract third-country national
48、s by synchronizing the procedure for non-EU citizens to apply for a work permit, valid for up to two-years and renewable for up to four years in total. This Directive was supposed to have been implemented by June 2011. However, this has not been the case. United States WWW.IBISWORLD.COM Global HR &
49、Recruitment Services August 2011 30 The industry in the United States is largely self-regulating. The most notable aspect of regulation is the need for a counselors license that exists in most states for any person who interviews, counsels or advises employers or employees on any matter related to employment and contracts. This license allows agencies to charge for the provision of services. Outside of licensing, the industry association (American Staffing Association) has a general Code of Ethics and Good Pr