Emerging HR Hubs - Regional Trends in Internationalisation and HR Mobility.

Where is the next global destination for HR excellence?

1

Contents

2

S.No Topic Page (s)

1 Objectives 3

2 Target Market 4

3 Executive Summary 5-8

4 Demographics: Region of Employment and Sample Size 9

5 Industry of Employment 10

6 Organisation Type 11

7 Organisation Size 12

8 HR Department Size 13

9 The HR Organisation: Most Common HR Sub-Structure 14

10 The HR Organisation: Department Location & Decision Making Structure 15

11 HR Work Experience – Private vs Public Sector 16

12 Organisational Culture and Hiring Philosophy 17

13 Competencies Preferred for Hiring Senior HR Practitioners 18

14 Perception of HR as a Real* or Valuable Profession 19

15 Professional Development for Practicing HR 20

16 Factors Enabling HR to be More Relevant and Respected Profession 21

17 Professional HR Association Members` 22

18 Top Reasons for Being a Member of a Professional HR Association 23

19 Top Reasons for NOT Being a Member of a Professional HR Association 24

20 HR Hubs of Excellence: Contributing factors 25

21 Top 10 Countries Leading Innovative HR Practices 26

22 Trends: Major Global Trends Impacting HR in 2018 and Beyond 27

23 Future Impacts Due to Automation and Technology 28

24 Top 10 Countries / Regions Considered for Organisation’s Expansion 29

25 Top 5 Countries Believed to be the Next Emerging HR Hub 30

26 Barriers to Entry for International Organisation Set Up 31

27 Top 10 Countries / Regions that are the Easiest to set up an HR Organisation` 32

28 Countries Providing the Best Potential Networking Opportunities 33

29 Reasons Why Networking is Enhanced in Selected Countries 34

30 Top 10 Countries Professionals Prefer to Travel to for HR Events 35

31 Top Reasons Why Professionals Attend International Conferences 36

32 Emerging Markets for a Professional Delegation Tour 37

33 Key stakeholder responsibility to improve competencies of HR practitioners 38

34 Key Learnings and Next Steps 39 – 40

35 About DKP 41

36 About SHRM 42

37 End 43

Market Research Study Objectives

DKP and SHRM partnered to launch a market research study in 2017, focusing on regional trends in HR

mobility and internationalisation.

The study looked at the following:

A strong focus on professional organisations from the L&D, HRM, HRD, Training, SME’s and Vocational sectors.

Understand how working professionals view HR as an industry. Understand how working professionals view HR as a ‘profession’. Understand business expansion and risk appetites of HR organisations. Understand future perceived global HR trends and emerging HR hubs. Understand how HR professionals network and globalisation trends of working professionals within the HR

sector. Understand where working professionals believe the future of HR is heading and which new global HR

hubs are emerging. Understand how HR Professionals network and their appetites for HR events and travelling abroad. Compare and contrast responses and priorities of organisations situated in developed and emerging

markets.

3

Target Market for Study

To reach our sample, the combined resources of SHRM’s database of members and affiliate organisations, along with additional DKP clients, DKP and SHRM Linkedin Pages and other HR membership organisations, to reach companies representing HR, Training, Learning and Development and vocational studies.

• Sample space n = 835 working professionals employed within either HR departments or organisationswithin major HR sectors across the world.

• Surveys were taken from organisations in 27 countries including: USA, UK, UAE, Saudi Arabia, Oman, Bahrain, Qatar, Kuwait, Lebanon, Jordan, Egypt, Pakistan, India, Nigeria, Algeria, Tunisia, Morocco, Turkey, Ukraine, Poland, Bangladesh and more.

• Respondents were sent an email survey of 31 questions which featured rankings, selection questions and multiple choice questions.

• Professionals surveyed were from a mix of SME and larger organisations.

4

Executive Summary

Our Market Research Study on Emerging HR Hubs – Regional Trends in Internationalisation and HR Mobility looked to identify how working professionals from the HR sector view HR as a profession and an industry.

The survey, a partnership between Dubai Knowledge Park (DKP) and The Society of Human Resource Management (SHRM) MENA, seeked to identify global HR trends, emerging HR hubs and the expansion and risk appetites of HR organisations from 27 countries. A strong focus on professional organisations from the L&D, HRM, HRD, Training, SME’s and Vocational sectors.

• The sample size featured 835 working professionals employed within organisations or HR departments across the world.

• Surveys to be taken from organisations in 27 countries including: USA, UK, UAE, Saudi Arabia, Oman, Bahrain, Qatar, Kuwait, Lebanon, Jordan, Egypt, Pakistan, India, Nigeria, Algeria, Tunisia, Morocco, Turkey, Ukraine, Poland, Bangladesh and more.

• Respondents were sent an email survey of 31 questions which featured rankings, selection questions and multiple choice questions.

• A majority of respondents (20%) came from Education and HR related industries, with 22% working on Consultancy related organisations.

• 51% of respondents came from organisations with more than 500 employees.

• 80% of the professionals who responded to the survey are members of a professional HR organisation.

• 86% of the organisations surveyed had an embedded HR department.

• 72% of surveyed organisations had an HR department located at single centralised head office.

5

Executive Summary Part 2

• Private sector work experience favoured over the government sector by a margin of 9 to 1.

• Polycentric organisational culture and hiring philosophy was the most common in our surveyed respondents – with 36% of organisationshaving some diversity of leaders/decision makers however the head office/parent organisation nationality dominates the vast majority of senior roles.

• Technical HR skills and Experience seen as the highest sought after attributes when hiring for a senior HR practitioner. Academic Education ranked as least important by a significant margin.

• 90% of respondents felt that HR is a tier one profession on par with doctors and lawyers.

• 81% of respondents supported the need for passing a relevant competency based exam in order to practice HR. Overwhelming majority of respondents (91%) feel that a formal, ongoing professional development is necessary to maintain the right to work in and practice the profession of HR.

• Most of the respondents think that advanced degrees specialising in HR are essential to make HR more relevant, respected, and professional. Regular examinations again seen as adding more credibility to the profession.

• The respondents believe that the top reason for being a member of a professional HR Association is to share best practices with colleagues and associates. Enhancing professional status as well as networking opportunities / access to resources are the next important findings. 50% of respondents have stated that memberships can be too expensive.

• The number one factor which makes a particular market seen to be a human capital hub is the availability of talent and human capital. Organisations are looking for qualified and trade graduates/employees in order to develop a thriving HR hub. This is also emphasised by the importance of Universities producing world class graduates. 6

Executive Summary Part 3

• Market stability, reputation of organisation and cultural diversity are seen to be second, third and fourth most important when determining a Hub of HR Excellence. These factors will attract outside investors and organisations to come and set up. Ease of Setting up a Business and Cost are of lowest importance.

• By a significant margin, the United States of America is seen to be the world leader in innovative HR practices. In terms of emerging markets, UAE is the leading contender.

• The dominant trend and/or concern expressed by the respondents was automation due to technological innovation. The majority of respondents (45%)felt the net outcome of impacts due to automation and technology would be a loss in jobs.

• This was closely followed by an impact on HR due to competency/skills gap and aging workforce. Respondents share concern that future graduates and employees may not have the right skills or qualifications to fulfil future roles.

• Europe, Canada and the UK ranked the highest among respondents as region/country considered to expand their organisation’sinternational footprint, UAE scored a close 4th in this ranking, ahead of USA and Australia, both considered established major HR Hubs.

• UAE ranked 1st by an overwhelming margin, in the list of countries believed to be the next emerging HR Hub.

• Rules and regulations were noted as the topmost barrier of entry for organisations who were looking to expand their operations internationally and set up their presence abroad. High costs of setup were seen as the next most difficult perceived barrier to entry, followed by lack of familiarity with the region.

7

Executive Summary Part 4

• USA is the easiest country to set up or operate an HR organisation, with Canada and United Kingdom ranking 2nd and 3rd respectively. UAE ranked 4th – and the leading emerging market for ease of setting up a business, ahead of Australia, Europe and Singapore.

• USA ranked as the top destination for potential networking opportunities in HR, with the UAE ranked as the 2nd top destination, ahead of UK, Europe, Canada and Australia.

• USA was most preferred by professionals as a destination for attending international HR events, followed by the UK. UAE ranked 3rd in this list of preference out of a total 18 countries, ahead of Europe, Canada and Australia.

• UAE is the overwhelming favourite emerging market for a delegation tour as per the respondents, followed by China, India, South Africa and Malaysia.

• Education, knowledge and HR-related industries/companies stayed the most popular among the respondents if they considered a professional delegation tour in an emerging market. Hospitality & Tourism and the Healthcare/Medical sector also seen as major industry targets.

8

• 835 total respondents for the survey, from 27 countries.• A majority of our respondents (45%) came from the North America, and 24% from the UAE.

1. Demographics: Region of Employment and Sample Size

1%

1%

1%

1%

5%

6%

7%

10%

24%

45%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

AUSTRALIA

CHINA & SOUTH EAST ASIA

EUROPE

AFRICA

OTHERS MENA

ASIA

OTHERS

REST OF GCC

UAE

NORTH AMERICA

9

• A majority of our respondents (20%) came from Education, HR, and L&D related industries.• Organisations were mainly from the private sector.

2. Industry of Employment

20.0%

9.9% 9.7% 9.7%7.7% 7.0% 6.4%

5.5% 5.3% 4.9%3.7%

2.4% 2.0%0.4%

5.5%

10

• A majority of our respondents (22%) came from Consultancy related organisations.• Al large percentage of Others came from family / conglomerate business organisations.

3. Organisation Type

22%

10%9%

6% 6%5% 5% 4% 4% 4% 3% 3%

1%

17%

11

• A majority of our respondents (51%) came from mid to large-sized organisations with 501+ employees.

4. Organisation Size – No. of Employees

12%

6%9%

22%

51%

RESPONSES

0 - 20 employees 21 - 50 employees 51 - 100 employees 101 - 500 employees 501+ employees

12

• A majority of our respondents (49%) had HR departments of 16+ employees or 2-4 employees, inline withthe size of the organisation they came from.

5. HR Department Size – No. of Employees

14%

29%

19%

7%

30%

RESPONSES

0 - 1 employee 2 - 4 employees 5 - 10 employees 11 - 15 employees 16+ employees

13

• Majority of organisations have an embedded HR department (86%).• 49% of respondents stated they worked in a shared-service structure.

• Extremely low number of organisations outsource their HR departments.

6. The HR Organisation: Most Common HR Sub-Structure

Embedded86%

Outsourced4%

Hybrid10%

Follows shared-services

structure49%

Does not follow shared-

services structure

40%

Don't know11%

14

• Most respondent organisations (72%) are centrally organised, where the HR department is located ata regional or head office.

• 28% of HR Departments are decentralised, where the department is spread out over various offices.

7. The HR Organisation: Department Location & Decision Making Structure

Centralized72%

Decentralized28%

15

Government Sector11%

Private Sector89%

8. HR Work Experience – Private vs Public Sector

• Private sector work experience was favored over government work experience by a margin of 9-to-1.

16

• Respondents were asked who should be the leader in advocating for the profession of HR (i.e. should it be thegovernment, schools, industry etc)

• Most respondents (57%) felt that professional HR associations hold the greatest responsibility to enhance and improvethe competencies of HR practitioners. The Private sector (42%) were the seen as the 2nd top leader and advocate for theHR industry.

• Whereas, government and specialized training organisation were seen to hold the least responsibility in this regard.

9. Key stakeholder responsibility to improve competencies of HR practitioners

17

25%22%

42%

57%

22%

30%

3%

CONSULTING ORGANIZATIONS

GOVERNMENT PRIVATE SECTOR PROFESSIONAL ASSOCIATIONS

SPECIALIZED TRAINING INSTITUTES

UNIVERSITIES OTHER (PLEASE SPECIFY)

• Polycentric organisational culture was listed as the most common (36%) followed by ethnocentric. • Ethnocentric model is expected in emerging markets – there is a progression towards a more global

organisational culture within these markets. • Regiocentric and geocentric were roughly equal.

10. Organisational Culture and Hiring Philosophy

18%

19%

27%

36%

0% 5% 10% 15% 20% 25% 30% 35% 40%

REGIOCENTRIC (MORE RELIANCE ON LOCAL NATIONALS AND EXPATS WITHIN A REGION FOR LEADERSHIP/DECISION MAKING ROLES)

GEOCENTRIC (SINGULAR WORKFORCE GLOBALLY, DECISION MAKING IS GLOBAL BASED UPON COMPETENCE; INCLUSIONS & DIVERSITY IS ACTIVELY

SUPPORTED)

ETHNOCENTRIC (LEADERS/DECISION MAKERS COME ALMOST EXCLUSIVELY FROM THE SAME NATIONALITY/CULTURE AS THE PARENT ORGANIZATION)

POLYCENTRIC (SOME DIVERSITY OF LEADERS/DECISION MAKERS HOWEVER THE HEAD OFFICE/PARENT ORGANIZATION NATIONALITY DOMINATES THE

VAST MAJORITY OF SENIOR ROLES)

18

• Technical HR Skills and Experience seen as the highest sought after attributes when hiring for a seniorHR practitioner.

• Professional Qualifications and Attitude were closely ranked behind these.• Academic Education clearly ranked in last place by a significant margin.

3.3 3.23.1 3.0

2.5

TECHNICAL HR SKILLS YEARS OF SIMILAR EXPERIENCE

LEVEL OF PROFESSIONAL QUALIFICATION

ASSESSMENT OF BEHAVIORAL COMPETENCIES

LEVEL OF ACADEMIC EDUCATION

11. Competencies Preferred for Hiring Senior HR Practitioners

19

• A full 90% of respondents felt that HR is a tier one profession'on-par' with medical doctors and lawyers.

• If this is the case, should HR professionals have confidentialityagreements in place when dealing with employees akin tolawyers and doctors?

12. Perception of HR as a Real* or Highly Valued Profession

HR is a real profession

90%

Don't perceive HR

as a real profession

10%

HR professionals

should be required to

pass a relevant

competency exam81%

There is no need for HR

professionals to pass a

competency exam:19%

• 81% of respondents supported the need for passing a relevantcompetency-based exams in order to practice HR.

• Adding competency exams can add more credibility to the HRsector and this has been requested by a large percentage of ourrespondents.

*Real in this context means equal in breadth and depth of knowledge, behavior, and general professionalism (i.e. ethics, maturity, complexity, responsibility) as more traditionally recognised profession like medicine,

law, engineering, civil services.20

• Overwhelming majority of respondents (91%) feel that a formal, ongoing professional development isnecessary to maintain the right to work in and practice the profession of HR.

13. Professional Development for Practicing HR

Ongoing professional development is necessary

to maintain the right to practice HR profession

91%

No formal professional development is needed to maintain the right to work

as an HR professional9%

21

• Respondents were asked which additional services could be added to make HR more relevant orprofessional for its stakeholders.

• Most of the respondents think that advanced degrees specialising in HR are essential to make HR morerelevant, respected, and professional.

• Regular examinations again seen as adding more credibility to the profession.

14. Factors Enabling HR to be More Relevant and Respected Profession

7%

5%

11%

21%

27%

29%

OTHER (PLEASE SPECIFY)

VOLUNTARY APPRENTICESHIPS

MANDATORY APPRENTICESHIPS

VOLUNTARY, BUT PREFERENCE GIVEN TO, EXAM-BASED PROFESSIONAL QUALIFICATIONS

MANDATORY EXAM-BASED LICENSING

MORE ADVANCED DEGREES (MASTERS) SPECIALIZING IN HR

0% 10% 20% 30% 40% 50% 60%

22

• A majority of the professionals (80%) who responded to this survey are members of a professional HRsociety or association.

15. Professional HR Association Members

Members of professional HR association

80%

Do not hold any such memberships

20%

23

• Our respondents believe that the top reason for being a member of a professional HR Association isto share best practices with colleagues and associates.

• Enhancing professional status as well as networking opportunities / access to resources are the nextimportant findings.

• HR professionals tend to be self-motivated when selecting career enhancement opportunities.

16. Top Reasons for Being a Member of a Professional HR Association

1%

2%

2%

2%

10%

16%

16%

23%

28%

0% 5% 10% 15% 20% 25% 30%

OTHER (PLEASE SPECIFY)

MY ORGANISATION PAYS FOR IT

FUTURE PLANS TO EMIGRATE TO ANOTHER COUNTRY

DISCOUNTS ON SERVICES/BENEFITS

REQUIRED TO MAINTAIN MY PROFESSIONAL QUALIFICATION

NETWORKING OPPORTUNITIES

ACCESS TO THE SOCIETY'S MEMBER-ONLY RESOURCES

ENHANCING MY PROFESSIONAL STATUS

SHARING OF BEST PRACTICES

24

• 50% of respondents have stated that memberships can be too expensive.• 16% of respondents are not aware of any professional HR associations locally, which may indicate that

associations need to do more promotional activities.

17. Top Reasons for NOT Being a Member of a Professional HR Association

3%

3%

13%

15%

16%

50%

0% 10% 20% 30% 40% 50% 60%

OTHER (PLEASE SPECIFY)

RETIRED/NO LONGER WORKING IN HR

HR IS MY JOB, NOT MY CAREER

I DON’T SEE THE BENEFIT

NOT AWARE OF ANY ASSOCIATION ACTIVITIES LOCALLY

TOO EXPENSIVE

28%

• 28% of respondents are generally apathetic, where they don’t see the benefit or believe HR is just a joband not a career. 25

• The number one factor which makes a particular market seen to be a human capital hub is the availability of talent and human capital.Organisations are looking for qualified and trade graduates/employees in order to develop a thriving HR hub. This is also emphasisedby the importance of Universities producing world class graduates.

• Market stability, reputation of organisation and cultural diversity are seen to be second, third and fourth most important. Thesefactors will attract outside investors and organisations to come and set up.

• Surprisingly, Ease of Setting up a Business and Cost are of lowest importance.• Regions looking to attract international businesses or foreign investment should focus more on talent, stability of the region, cultural

diversity and the reputation of existing businesses in the region, rather than business factors such as cost and business infrastructure.

18. HR Hubs of Excellence: Contributing factors

2%

3.25%

3.5%

3.5%

4.5%

4.5%

4.75%

5%

6%

7%

11%

12%

13%

20%

COST OF SETTING UP A BUSINESS

EASE OF SETTING UP A BUSINESS

REGION’S RECORD OF PAST SUCCESSES

INNOVATIONS CLUSTERS/FREE ZONES

PUBLIC INFRASTRUCTURE (STANDARD OF LIVING)

LAWS PROTECTING STARTUPS/INNOVATION

AVAILABILITY OF FUNDING

ATTITUDE TOWARD RISK TAKING (AVERSION OR CALCULATED)

UNIVERSITIES PRODUCING WORLD-CLASS GRADUATES

SOCIAL INFRASTRUCTURE (COMMUNITY)

CULTURAL DIVERSITY

REPUTATION OF ORGANIZATIONS IN THE HUB REGION

STABILITY/CONFIDENCE IN GOVERNANCE/LEADERSHIP

AVAILABILITY OF TALENT

0% 10% 20% 30% 40% 50% 60% 70%

26

• Respondents were asked to rank their top 5 countries in terms of leading the world in HR Innovation in theHR Sector. 23 countries were listed and then ranked.

• By a significant margin, the United States of America is seen to be the world leader in innovative HRpractices.

• In terms of emerging markets, UAE is the leading contender.

19. Top 10 Countries Leading Innovative HR Practices

Score: 1 = least innovative to 6 = most innovative

1.05

1.09

1.12

1.23

1.3

2

2.24

2.81

3.25

6.19

0 1 2 3 4 5 6 7

FINLAND

JAPAN

INDIA

SINGAPORE

UNITED ARAB EMIRATES

GERMANY

AUSTRALIA

CANADA

UNITED KINGDOM

UNITED STATES OF AMERICA List of all countries

Australia Kuwait

Bahrain Malaysia

Canada Oman

China Pakistan

Egypt Qatar

Finland Russia

Germany Saudi Arabia

India Singapore

Ireland South Africa

Japan South Korea

United Kingdom United Arab Emirates

United States of America

27

• The dominant trend and/or concern expressed by the respondents was automation due to technological innovation.• This was closely followed by an impact on HR due to competency/skills gap and aging workforce. Respondents share concern that future

graduates and employees may not have the right skills or qualifications to fulfil future roles.• Empowering employees seen as a major trend to respondents, promoting a push towards a less hierarchical structure with removed

bureaucracy.

20. Trends: Major Global Trends Impacting HR in 2018 and Beyond

1%

2%

3%

4%

4%

4%

6%

6%

8%

8%

9%

9%

11%

12%

13%

FINTECH (REMITTANCE, BLOCKCHAIN, BITCOIN, ALTERNATIVE PAYMENT SYSTEM, TAX …

POPULISM / NATIONALISM (INWARD FOCUS ON A COUNTRY'S OWN SELF-INTERESTS)

YOUTH UNDEREMPLOYMENT

CORPORATE SOCIAL RESPONSIBILITY (CSR)

NATIONALIZATION (PREFERENTIAL HIRING BASED ON NATIONALITY OR CITIZENSHIP)

OUTSOURCING / OFFSHORING

GLOBALIZATION

HR METRICS / ANALYTICS

HR DISRUPTION / INNOVATION / TECHNOLOGY / APPS

HR TRANSFORMATION (SHARED SERVICES, RESTRUCTURING HR FROM GENERALIST TO …

THE EMPLOYEE EXPERIENCE (EMPOWERING EMPLOYEES; WAR FOR TALENT)

WORK-LIFE BALANCE

AGING WORKFORCE

COMPETENCY / SKILLS GAP

AUTOMATION (E.G. ARTIFICIAL INTELLIGENCE, SAAS, VIRTUAL REALITY, ETC.)

28

• Respondents were asked what implications in the job market can you foresee with the introduction of automation andtechnology.

• The majority (45%) felt the net outcome of impacts due to automation and technology would be a loss in jobs.• Nevertheless a strong percentage (32%) also felt technological automation would create new, specialised jobs requiring

human capital input.

21. Future Impacts Due to Automation and Technology

45%

32%

13%

7%

3%

NET JOB LOSSES IN TRADITIONAL AREAS OF

WORK

NET JOB INCREASES IN NEW, SPECIALIZED, OR NICHE AREAS

OF WORK

NET JOB LOSSES IN SPECIALIZED OR NICHE AREAS

OF WORK

NO MAJOR CHANGES IN WORK

NET JOB INCREASES

29

• Respondents were asked to rank 23 countries/regions in terms of the best chance for an organisation to expandinternationally.

• Europe, Canada and the UK ranked the highest among respondents as region/country considered to expand theirorganisation’s international footprint

• UAE scored a close 4th in this ranking, ahead of USA and Australia, both considered major HR Hubs.

22. Top 10 Countries / Regions Considered for Organisation’s Expansion

0.92

1.31

1.55

1.6

1.7

1.81

1.84

1.91

2.09

2.1

0 0.5 1 1.5 2 2.5

JAPAN

SINGAPORE

CHINA

INDIA

AUSTRALIA

UNITED STATES OF AMERICA

UNITED ARAB EMIRATES

UNITED KINGDOM

CANADA

EUROPE

Score: 0 = least sought to 3 = most sought

List of all countries

Australia Kuwait

Bahrain Malaysia

Canada Oman

China Pakistan

Egypt Qatar

Finland Russia

Germany Saudi Arabia

India Singapore

Ireland South Africa

Japan South Korea

United Kingdom United Arab Emirates

United States of America

30

• Respondents were asked to rank 16 emerging markets as to which will be the next HR hub of excellence.• UAE ranks 1st / highest by an overwhelming margin, in the list of countries believed to be the next emerging HR

Hub as per our respondents.• India also seen as potential growth market for HR excellence, ahead of established markets like Singapore.

23. Top 5 Countries Believed to be the Next Emerging HR Hub

Score: 0 = least desirable to 6 = most desirable

1.45

2.45

3.29

3.8

5.59

0 1 2 3 4 5 6

MALAYSIA

CHINA

SINGAPORE

INDIA

UNITED ARAB EMIRATES

List of all countries

Australia Bahrain

China Egypt

India Kuwait

Malaysia Oman

Pakistan Qatar

Russia Saudi Arabia

Singapore South Africa

South Korea UAE

Others

31

• The local rules and regulations were noted as the topmost barrier of entry for organisations who were looking to expand theiroperations internationally and set up their presence abroad.

• High costs of setup were seen as the next most difficult perceived barrier to entry, followed by lack of familiarity with the region.• Geographical distance not seen as a major barrier to entry, meaning organisations looking for international investment can expand their

catchment area for promotional activities.

24. Barriers to Entry for International Organisation Set Up

Score: 1 = least difficult barrier to 4 = more difficult barrier

3.8

2.4

21.8

1.6 1.51.2 1.1 1.1 1

32

• According to our respondents, United States of America is the easiest country to set up or operate an HR organisation.• Canada and United Kingdom rank 2nd and 3rd

• UAE ranks 4th – and the leading emerging market for ease of setting up a business, ahead of Australia, Europe andSingapore.

25. Top 10 Countries / Regions that are the Easiest to set up an HR Organisation

Score: 0 = less easy to 3 = easiest

0.2

0.3

0.6

0.7

0.8

0.9

1.2

1.3

1.6

2.2

0 0.5 1 1.5 2 2.5

CHINA

MALAYSIA

SINGAPORE

INDIA

EUROPE

AUSTRALIA

UNITED ARAB EMIRATES

UNITED KINGDOM

CANADA

UNITED STATES OF AMERICA

33

• USA ranked as the top destination for potential networking opportunities in HR.• UAE ranked as the 2nd top destination, ahead of UK, Europe, Canada and Australia.• UAEs reputation as an international trade hub is prominent in the mindset of international HR professionals.

26. Countries Providing the Best Potential Networking Opportunities

15%

13%12%

11%10%

7% 7%6%

5%4%

UNITED STATES OF AMERICA

UNITED ARAB EMIRATES

UNITED KINGDOM

EUROPE CANADA AUSTRALIA INDIA SINGAPORE CHINA SAUDI ARABIA

34

• We asked our respondents why is it easier to network in the countries from the previous slide.• The top-most reason (20%) of our respondents, for networking being enhanced in some countries, is the ease

of conducting business and the local rules and regulations.• Other important reasons emphasise multicultural and tolerance reasons, as well as centralized and convenient

locations.

27. Reasons Why Networking is Enhanced in Selected Countries

20%

18%

15%14%

12%

9%

7%5%

EASE OF CONDUCTING

BUSINESS/BUSINESS RULES AND

REGULATIONS

MULTI/TOLERANT CULTURE

LOCATION SIZE OF HR SECTOR/MARKET

LIFESTYLE SAFETY POPULATION SIZE SURPLUS OF RESOURCES

35

• USA was most preferred by professionals as a destination for attending international HR events, followed by the UK.• UAE ranked 3rd in this list of preference out of a total 18 countries, ahead of Europe, Canada and Australia.

28. Top 10 Countries Professionals Prefer to Travel to for HR Events

Score: 0 = least preferred to 5 = most preferred

36

4.2

3.3 3.2

2.9

2.3

1.9

1.3

0.80.6 0.6

UNITED STATES OF AMERICA

UNITED KINGDOM

UNITED ARAB

EMIRATES

EUROPE CANADA AUSTRALIA SINGAPORE INDIA JAPAN MALAYSIA

• Professional development stayed as the topmost reason among the respondents (63%) for attending international HRconferences/events.

• Networking opportunities was the second top reason to attend conferences.• Business Development opportunities rated quite low in terms of reasons for attending, indicating that most HR

professionals are less concerned with HR as a business, and more as an opportunity for networking and professionaldevelopment.

29. Top Reasons Why Professionals Attend International Conferences

0%

1%

5%

5%

5%

9%

13%

63%

0% 10% 20% 30% 40% 50% 60% 70%

VENDOR EXPO

OTHER (PLEASE SPECIFY)

TOURISM AT THE LOCATION

KEYNOTE PRESENTATIONS

BUSINESS DEVELOPMENT

WORKSHOPS (SPECIFICALLY TARGETED)

NETWORKING OPPORTUNITIES

PROFESSIONAL DEVELOPMENT (IN GENERAL)

37

• Respondents were asked to choose an emerging market for a delegation tour to visit organisations and tourism from achoice of 13 destinations.

• UAE is the overwhelming favourite emerging market for a delegation tour, and can be seen as an international tradehub for our respondents.

• The second popular is China closely followed by India, South Africa and Malaysia.

30. Emerging Markets for a Professional Delegation Tour

38

1.2%

1.5%

1.9%

2.3%

2.5%

3.5%

4.6%

5.6%

12.3%

12.7%

13.5%

15.4%

23.0%

0.0% 5.0% 10.0% 15.0% 20.0% 25.0%

KUWAIT

PAKISTAN

BAHRAIN

OMAN

SAUDI ARABIA

QATAR

RUSSIA

OTHER (PLEASE SPECIFY)

MALAYSIA

SOUTH AFRICA

INDIA

CHINA

UNITED ARAB EMIRATES

Key Learnings and Next Steps

Organisations and HR communities should be mindful of the following key messages from this study.

• Organisations are looking for working professionals with private sector experience when hiring.

• Organisations are looking for employment candidates with Technical HR Skills and relevant work experience when hiring for a senior HR position.

• Professional HR organisations should be promoting their certification courses, as an overwhelming majority of respondents felt that a formal, ongoing professional development is necessary to work in HR.

• Working professionals value memberships in HR organisations in order to share best practice amongst colleagues and associates.

• Organisations and Universities must work together to develop qualified human capital in order to maintain a thriving HR hub. Organisations are looking for world-class graduates, along with encouraging the development of human capital.

• HR Hubs need to emphasise to potential investors that the rules and regulations of their country are easy to understand and follow. Potential investors or organisations need to be educated on the region and also ensure that high setup costs are not a barrier to entry.

• Regions looking to attract international businesses or foreign investment should focus more on talent, stability of the region, cultural diversity and the reputation of existing businesses in the region, rather than business factors such as cost and business infrastructure.

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Key Learnings and Next Steps Part 2

The UAE and Dubai have ranked very highly in various sectors of this study – For UAE HR Organisations and events companies, the following should be promoted:

• UAE ranked 4th in regions where a company would consider expanding internationally, ahead of USA and Australia.

• UAE ranked 1st by an overwhelming margin, in the list of countries believed to be the next emerging HR Hub.

• UAE ranked 4th in the list of 18 countries in terms of regions that are the easiest to set up an HR organisation, this can be used to attract foreign investors or organisations.

• UAE ranked as the 2nd top destination for best networking opportunities for HR, ahead of UK, Europe, Canada and Australia

• UAE ranked 3rd as most preferred destination for International HR Events , ahead of Europe, Canada and Australia.

• UAE is the overwhelming favourite emerging market for a delegation tour as per the respondents, followed by China, India, South Africa and Malaysia.

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About Dubai Knowledge Park

Dubai Knowledge Park (DKP) is the world’s only free zone dedicated to human resource management and learning excellence. Launched in 2003 with the aim of strengthening Dubai’s position as a destination for professional development, DKP and its more than 500 business partners have helped introduce global best practices that have enabled Dubai’s transition into a knowledge-based economy while creating a talent pool in the UAE to drive that transformation.

DKP offers an ecosystem that enables empowerment through knowledge and the development of professionals, bringing together a unique blend of programmes encompassing human resource management (HRM), consultancy, training, and personal development.

Contact DetailsP.O. Box 73000Dubai, United Arab EmiratesPh: +971 4 390 1111Fax: +971 4 390 1110E-Mail: info@dkp.ae

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About Society for Human Resource Management – SHRM

The Society for Human Resource Management (SHRM) is the world’s largest HR professional society, representing 285,000 members in more than 165 countries. For nearly seven decades, the Society has been the leading provider of resources serving the needs of HR professionals and advancing the practice of human resource management. SHRM has more than 575 affiliated chapters within the United States and subsidiary offices in China, India and United Arab Emirates.

The Society for Human Resource Management Middle East & North Africa (MENA) office is located in Dubai Knowledge Park (DKP) United Arab Emirates. SHRM MENA provides support to our members and partners throughout the Gulf Cooperation Council (GCC), Levant and North Africa region via certification and professional development programs, conferences and in-house courses to both private and public-sector clients.

SHRM MENA | Dubai Knowledge Park, Dubai, UAESociety for Human Resource ManagementDipti.Rane@shrm.org | +971.4.364.9464https://www.shrm.org/about-shrm/pages/shrm-mena.aspx

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