Quarterly Outlook : May 2015 - Harrier Human Capital

 
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Quarterly Outlook : May 2015 - Harrier Human Capital
RETAIL
INSIGHT PAPER

Quarterly Outlook :
          May 2015
This paper provides a high level insight
                                       into the current retail markets in Australia
                                       and the United Kingdom (UK), with a
                                       particular focus on the emerging trends in
                                       grocery and their likely impact on brand,
                                       both for employees and consumers.

                RETAIL INSIGHT PAPER

Quarterly Outlook : May 2015 01
Easter sales figures were down again in Australia this year,
                                           with a record 5% fall in spending across the retail sector
                                           as a whole, amid concerns about job security, the falling
                                           Australian dollar and in anticipation of interest rate changes.

      Snapshot of                          Falling Easter sales have
                                           been a recurring trend over
                                                                                     and has been ordered to display
                                                                                     notices in stores. Woolworths may
                                                                                     face a fine of $50,000 over its failure
                                                                                                                               Aldi will almost double its sales in
                                                                                                                               five years. It entered the Australian
                                                                                                                               market in 2001 and has a greater
                                                                                                                                                                       account traffic data, turnover and
                                                                                                                                                                       consultation with industry sources,
                                                                                                                                                                       and shows areas that could have
Retail in Australia
                                           the last three years.
                                                                                     to gain permission for the use of the     market share here than in the UK.       implications for the grocery market:
                                           Easter sales figures for 2015 have        word ‘Anzac’ as per the Protection
                                           fallen, with a record 5% drop in          of the Word Anzac Act 1920, in their      Department store Myer has been          Temple and Webster   Homewares                      $28 million
                                                                                                                                                                                                                           aiming for $
                                           spending across the retail sector         highly contentious bid to honour          asked to explain by the ASX why                              Various, but launched online
                                                                                                                                                                       Kogan                                               $300 millio
                                           as a whole amid concerns about            the Gallipoli landing. The campaign       it didn’t announce that its revised                          groceries in Feb 2015

                                           job security, the falling Australian      was withdrawn after complaints and        annual profit figure was downgraded     The Iconic           Fashion                        $31 million

                                           dollar and in anticipation of             pressure regarding the alignment          from $89.6 million to $75-80 million    Catch of the Day
                                                                                                                                                                                            Online deals and discounts,    Catch Grou
                                                                                                                                                                                            part of Catch Group            8 years old.
                                           interest rate changes.                    of their slogan ‘fresh food people’       when it announced its executive
                                                                                     with the campaign’s slogan of ‘fresh      movements earlier in the month.         Booktopia            Books                          $40 million

                                           Commentators on the Australian            in our memories’. Target also pulled      Myer claims the downgrade of the        JB-Hifi
                                                                                                                                                                                            Digital and physical
                                                                                                                                                                                            entertainment content          Online reve
                                           retail market are forecasting a price     products from their 26-item Camp          full-year results was only confirmed
                                                                                                                                                                       Red Balloon          Experiences                    $60 million
                                           war between Coles and Woolworths,         Gallipoli line, following advice from     the day before the results were
                                                                                                                                                                                                                           Contributor
                                           moving away from what has                 the Department of Veterans’ Affairs       announced and that there were a         Dan Murphy’s         Liquor                         Liquor Grou
                                           traditionally been a marketing-based      that they were inappropriate.             number of factors that supported        Lorna Jane           Activewear                     $200 millio
                                           rivalry. As Woolworths continues to                                                 its position would be in line with                                                          Using onlin
                                                                                                                                                                       Shoes of Prey        Shoes
                                           invest $500 million in prices, even       Aldi CEO Tom Daunt has said that          forecasts. The downgrade led to an                                                          in reverse o
                                                                                                                                                                                                                           $69.3 millio
                                           announcing 800 job cuts in May1, UBS      he expects the discounter’s WA            immediate 10% fall in share prices.     Dick Smith           Electronics                    just 5% of t
                                           expects to see a competitive reaction     and SA branches to match the 10%                                                  Appliances Online    Electrical appliances          $150 millio
                                           from Coles, triggering a price war akin   market share enjoyed on the east          Oroton has seen sales drop by
                                           to that in the UK, where the Big Four     coast, although he acknowledged           6%, and its pre-tax earnings fall       Showpo               Fashion                        $7 million t

                                           supermarkets in the UK have seen          that this is a long term goal. Aldi       to $4.5 million rather than the         Stylerunner          Activewear                     $2 million t

                                           margins fall by 50% in three years2.      Australia is planning to build two new    forecasted $5.5 – 6.5 million. Both
                                                                                                                                                                       Pet Circle           Pet products                   $12 million
                                                                                     distribution centres and up to 130        Oroton and Myer are blaming
                                           In the latest round of the ACCC’s         stores across the two states over the     consumer confidence and economic        Adore Beauty         Cosmetics                      $7 million a

                                           2013 legal action, Coles has been         next few years, at a projected cost of    conditions for their fall in revenue.   OzSale               Online deals and discounts     $180 millio
                                           fined $2.5 million for the way in         $400-450 million in WA, and $200 –                                                                                                    $15 million
                                                                                                                                                                       Klika                Home and outdoor
                                           which bakery products were being          300 million in SA. The first stores are   Sponsored by Australia Post and                                                             mid-50s in

                                           advertised. Coles has acknowledged        due in 2016 and will be self-funded       StarTrack, the Smart Company            Vinomofo             Wine                           $10 million

                                           the products could have been more         by the Australian business rather         has published a list of the top 20      Hard to Find         Curated marketplace            $10 million
                    RETAIL INSIGHT PAPER   clearly labelled and has already faced    than the German parent company.           online retailers in Australia for
                                           other fines, banned advertisements        Callout quote: UBS estimates that         2015. An unranked list, it takes into
    Quarterly Outlook : May 2015 02
“While supermarkets may be selling more,
                                         they are peddling hard to stand still”.3

    Snapshot of                          Sales for Asda, Sainsbury’s and Morrisons all slumped in the 12
                                         weeks to 1 March but Asda was the worst performer, a victim
                                                                                                                            emulating Netto’s partnership with
                                                                                                                            Sainsbury’s, though they have not
                                                                                                                            approached any potential partners
                                                                                                                                                                     later than the rest of the market)
                                                                                                                                                                     put them ahead of Morrisons but
                                                                                                                                                                     behind Tesco and Sainsbury’s. 2015’s
Retail in the UK
                                         of the ongoing price war and the resurgence of Tesco.
                                                                                                                            yet. Whether this goes ahead or          strategy will see Asda further invest
                                         In such a competitive market there       through ten new stores, and in            not, “the potential arrival of another   in driving prices down, as well as a
                                         is no room for all four big players to   London it is due to open nine new         discounter in to the UK market           refresh of its brand and slogan in
                                         grow, and when Tesco improves, the       stores. Lidl is creating 500 in the UK    won’t make [Dave Lewis’s (Tesco          line with parent company Walmart.
                                         others suffer4: Tesco is the only one    through new distribution centre,          CEO)] job any easier. And Aldi and
                                         who grew sales in that time period,      managerial and warehouse positions.       Lidl wont fancy it either”10 according   Tesco’s March “in-store management
                                         by 1.1%. Aldi’s sales increased by                                                 to commentary in The Grocer.             shake-up”12 saw thousands of team
                                         19.3% and Lidl’s by 13.6%, though        Recent figures have shown that                                                     leaders face pay reductions of
                                         the latter had faster sales growth       in the three of the ten UK towns          Variety discounter Poundland has         up to one-fifth according to The
                                         than the former for the first time       where Tesco has scrapped plans to         seen its sales exceed £1 billion for     Grocer. In an attempt to simplify
                                         since 2011, as Lidl attempts to win      build a superstore, Lidl is the biggest   the first time and is gaining 5,000      the structure and clarify lines of
                                         “affluent customers over with better     player in the local area that stands to   new customers each week, as it           responsibility, lead and line managers
                                         service and more luxury goods”.5         benefit, whereas Aldi is the biggest      continues to attract shoppers to         have been given the opportunity
                                                                                  player in two of the locations. This      the “strong value proposition of         of taking a pay reduction, opting
                                         The market share of the big four         follows news that Tesco is cancelling     the discount channel”.11 16% of          for redundancy or applying for a
                                         supermarkets is at its lowest level      plans to build 49 new stores, a           the total sales came from grocery        new role, either in their existing
                                         in a decade: Aldi has overtaken          decision that now looks set to give       which is likely to be a key strategy     store or a different one.
                                         Waitrose in terms of UK market           the discounters an advantage.             area this year. Poundland have 547
                                         share, meaning it is now the sixth                                                 stores in the UK and operate 41 in       Sainsbury’s brought in changes
                                         largest supermarket. The Telegraph       Waitrose remains one of only three        Ireland and 5 in Spain as Dealz.         to its loyalty cards in mid-April,
                                         reports that “Aldi’s leapfrogging of     players in the UK market to grow                                                   reducing the points offering
                                         upmarket Waitrose highlights the         its market share this year, alongside     Asda’s sales performance sunk to its     from two to one for every pound
                                         dramatic changes in the grocery          Aldi and Lidl. It has enjoyed six         lowest level since Kantar Worldpanel     spent. It is also no longer offering
                                         industry”.6 Aldi continues to have       years of “unbroken sales growth –         began its records in 1994 at the         points to those shoppers who
                                         “ambitious growth plans”7, as it         one of the star performers in the         beginning of the year: Like for like     reuse their bags, moves that are
                                         plans the opening of “more than          industry”9 since the start of the GFC.    sales dropped by 2.6% in established     unpopular with customers.
                                         five times the amount of shop space                                                stores in the 12 weeks to 4 January
                                         as Tesco in 2015 and more than           Europe’s third biggest discounter         2015, though Asda claims to have
                                         Tesco, Sainsbury’s and Morrisons         is reportedly considering entering        an 8% average price gap with the
                  RETAIL INSIGHT PAPER   combined”.8 Aldi is also expecting       the UK market: Spanish company            rest of the big four. Their Christmas
                                         to create 500 new jobs in Wales,         Dia is said to be looking at              sales (announced in February,
  Quarterly Outlook : May 2015 03
Movers and                         Dave Chambers, MD of
                                       Countdown in New Zealand
                                       is heading to Woolworths’
                                                                              Netherlands, while the supermarket
                                                                              begins an immediate external search
                                                                              for his replacement. This follows the
                                                                                                                      Marks and Spencer’s senior
                                                                                                                      independent director Jan du
                                                                                                                      Plessis has stepped down,
       shakers                         “underperforming supermarket
                                       operations” in Australia.13
                                                                              ousting of five senior directors and
                                                                              the redundancies of approximately
                                                                                                                      and new CFO Helen Weir has
                                                                                                                      started, following her move
                                                                              20 managers just below board level.     from John Lewis Partnership.
                                       In the UK, the new Morrisons
                                       CEO was announced in February:         There have also been several high       Independent retailer Nisa has
                                       Dave Potts is an ex-Tesco director     profile management changes at           appointed former Tesco and Aldi
                                       who started out as a teenaged          Asda and Sainsbury’s in recent          director, Nick Read, as its CEO. Read
                                       shelf stacker. Leaving his role in     months, with the latter streamlining    has previously worked at Thomas
                                       managing Tesco’s Asian business,       its central divisions and bringing      Cook, Lloyds Banking, Vodafone
                                       he replaces Dalton Philips at the      its supermarket and convenience         and Deloitte. In a move mirroring
                                       helm of Morrisons, alongside           businesses together. Asda has seen      his ex-colleague Potts’ shake-up
                                       another ex-Tesco director, chairman    a number of senior management           at Morrisons, Read has axed three
                                       Andrew Higginson. Ousted CEO           changes and the departure of            senior Nisa directors already.
                                       Dalton Philips had struggled to turn   company vice-presidents, and is
                                       Morrisons around, though his tenure    looking to replace Mark Ibbotson        The Co-Operative has brought
                                       at the top was in a tumultuous time    as COO, following his departure         in Allan Leighton as its new
                                       in the industry, which has “seen off   to the US to work for Walmart.          independent chairman.
                                       a number of other CEOs”.14 The         Ibbotson was tipped to be the
                                       biggest criticisms of Philips? His     successor for Andy Clarke, CEO.         Majestic Wine CEO Steve
                                       attempts at turning Morrisons in to                                            Lewis has stepped down after
                                       a ‘neo-Waitrose’ – “Taking Morrisons   Tesco Ireland welcomed Andrew           29 years in the business.
                                       upmarket at a time when family         Yaxley as its new CEO, from his
                                       budgets were under increasing          former position of Managing
                                       pressure”.15 Morrisons’ Group          Director for London, and John Allan
                                       Director Casper Meijer has also left   joined Tesco UK as Chairman.
                                       the company and returned to the

                RETAIL INSIGHT PAPER

Quarterly Outlook : May 2015 04
Emerging Trends                           Using Facebook as a Recruitment Tool

        in 2015
                                          Recruiting via social media is not a new phenomenon and recruiters
                                          around Australia are well versed in the benefits of using LinkedIn to
                                          help them fill their roles. Some even pay for premium access, leveraging
                                          the tools LinkedIn can offer, in an effort to differentiate themselves in
                                          the eyes of the 347 million registered users. Twitter has its fans in the
                                          recruitment world as well – using hashtags to advertise roles, retweeting
                                          ads or useful content, and the ability to respond to jobseekers’ questions
                                          quickly mean that Twitter isn’t just for celebrities to share their selfies.

                                          But what about the social media platform that has 1.44 billion users around
                                          the world? The site that appeals to CEOs, directors and shelf stackers
                                          alike? The site that has a new functionality that will assist recruiters
                                          in finding passive and active candidates? What about Facebook?

                   RETAIL INSIGHT PAPER

   Quarterly Outlook : May 2015 05
Emerging Trends                            Using Graph Search to
                                           Source Candidates
                                                                                     Facebook profile. This is especially
                                                                                     valuable when the recruiter is
                                                                                     targeting a demographic not usually
                                                                                                                                 including their profiles, photos,
                                                                                                                                 comments, likes, friends: All of which
                                                                                                                                 can be useful for TA when sourcing
                                                                                                                                                                          and reach out as a means of direct
                                                                                                                                                                          sourcing. But, as the CEO of Work4
                                                                                                                                                                          Labs wrote in a post on Forbes,
        in 2015                            Facebook Graph Search was released
                                           in March 2013 and its functionality
                                                                                     on LinkedIn, a traditionally white-
                                                                                     collar networking site: Within
                                                                                                                                 talent for a hard-to-fill vacancy.

                                                                                                                                 A contributor to the Forbes
                                                                                                                                                                          “Graph Search is about discovering
                                                                                                                                                                          people — their work history, their
                                           and reach has been evolving since         retail, butchers, bakers, nightfill                                                  education, their interests and
                                           then. It combines big data acquired       team leads, personal shoppers and           website describes “Facebook’s            their motivations — and using
                                           from its 1.44 billion users with          delivery truck drivers are unlikely         evolution towards a robust platform      that discovery to recruit better”.19
                                           external data into a search engine, to    to be in LinkedIn. But do you               for recruitment campaigns”,18            Facebook is not a professional
                                           provide user-specific search results.     think they will be on Facebook?             charted below, and asserts that          networking site and, although users
                                           It is free for everyone to use and is                                                 the social model is now “crucial”        are seemingly coming round to
                                           not specifically a recruitment tool. It   According to social recruitment             to the recruitment industry.             the notion of being contacted by
                                           can be used to find ‘Richmond fans        specialist Chris South, LinkedIn                                                     employers through their personal
                                           who live near Perth, WA’ or ‘guitar       is “still leaps and bounds ahead in         However, Facebook Graph Search is        profiles, TA need to be aware
                                           teachers who live near Hobart,            terms of the depth of content”              relatively new and is still evolving.    of the risks involved: Infringing
                                           Tasmania’ or ‘friends who have been       offered, but “Facebook has got the          Search results in North America          on people’s privacy, spamming
                                           to the Maldives’. The Graph Search        volume and engagement levels”17             are still far superior to those in the   passive candidates and ultimately
                                           algorithms are designed to present        to make it a viable source. Of              Philippines for example. It is not       turning people off their brand.
                                           results to natural language queries –     course LinkedIn is a site built on the      optimised for mobile technology
                                           no Boolean searching skills required.     concept of professional networking          yet. And your search results depend      Facebook Graph Search is a cheap
                                                                                     and will return a larger number             on who is in your extended network       and easy way of producing research
                                           Talent acquisition teams (TA) can         of search results for a while yet,          with certain items of their profile      lists of passive candidates who
                                           use this sophisticated functionality      but Facebook can provide a more             made public. But, it is a free tool      TA want to look in to further,
                                           as well, especially to target niche       rounded profile: Has a Woolworths           for recruitment to consider in           rather than a list of new contacts
                                           or candidate-short areas: Typing in       employee liked the Coles careers            complementing their existing             to add, stalk or spam. If used
                                           ‘butchers who live near Melbourne’        page? Has a qualified baker just            sourcing strategies and it does not      wisely, it can become a useful new
                                           returns a list of potential candidates    moved to Darwin? Is a digital               require a recruiter to magically         angle in the search for talent.
                                           to look into more closely, without        designer at Tesco leaving the UK for        become an expert in marketing.
                                           being cluttered by people with            Australia? Graph Search can quickly
                                           the last name Butcher, or every           index access all the information each       TA can pay a fee to send messages to
                                           butcher’s shop in the area with a         Facebook user has made available,           those they are not connected with

                                              FACEBOOK’S EVOLUTION TOWARDS ROBUST RECRUITMENT PLATFORM20
 If used wisely, Facebook
Graph Search can become                             FACEBOOK                                                                    PASSIVE                             ACTIVE
     a useful new angle in                                                            CONSUMERS                                                                                                      R
                                                      USERS                                                                   CANDIDATES                          CANDIDATES
     the search for talent.                                                                                                                                                                          E
                                                                                                                                                                                                     C
                                                          Like                           Targeted Ads                    Social Jobs Partnership                     Graph Search                    R
                                                                                                                                                                                                     U
                                                       “Publicly                       “Employers can                         Users can access                    “Recruiters will                   I
                                                   declaring their                     suggest jobs to                        “1.9 million jobs                  have a chance to                    T
                                                   affiliation with                      consumers”.                           related to their                 search within their                  S
                                                    companies”.                                                                 career goals”.                   own networks”.
                    RETAIL INSIGHT PAPER

    Quarterly Outlook : May 2015 06
Emerging Trends                             Talent Communities on Facebook

                                            Australian book retailer Dymocks “filled all its Christmas-casual roles
                                                                                                                              YOUR COMMUNITY FOR SHARING CONTENT— Facebook is a social
                                                                                                                              networking site, so TA needs to remember to keep talent communities
                                                                                                                              social but professional. For example, EY staff recently shared photos of
        in 2015                             in the space of a week”21 without advertising. How? By leveraging
                                            the way potential employees were engaging with its brand. Rather
                                            than forgetting about the multitude of paper CVs brought in by
                                                                                                                              the views from their offices, giving a ‘sneak peek’ to external followers.
                                                                                                                              CSR commitments and out-of-work achievements of members of staff are
                                                                                                                              also often interesting for those outside the organisation, and can promote
                                            book-loving customers as an expression of their interest to work                  positive messages about how an organisation celebrates its people.
                                            in-store, Dymocks built an online talent community to direct their
                                            walk-in applicants to, keeping them up to date with opportunities,                The content shared in any talent community should be interesting
                                            insights into company culture and focuses on individual stores.22                 and relevant, and not consist of the same material shared on a
                                                                                                                              static careers landing page: Share employee stories, data, news of
                                            Talent communities are a form of social recruiting, a virtual network of          successful hires through the community and write with authenticity.
                                            people who have a joint interest such as a particular organisation or a shared    Allow the community to interact with each other and ask you
                                            profession. By using social platforms such as Facebook (or LinkedIn) to host      questions, but always ensure the content is kept professional.
                                            these talent communities, TA are reaching their audience, via the channels
                                            that they are already engaged with, rather than waiting for the audience
                                            to apply via their job board ads or visit their company website. Internal
                                            talent communities can also be extremely useful to recruitment and HR
                                            throughout the employee lifecycle, segmented for alumni, new starters
                                            and top talent, to keep target groups engaged with the employer brand.

                                            YOUR COMMUNITY AS A DISCUSSION FORUM— Online communities
                                            can be a hub of technical discussion and, for niche roles, can highlight
                                            potential talent to TA or internal participants in them. TA can facilitate
                                            and establish these forums but if internal discipline experts can contribute
                                            to, lead and invest in making these discussions valuable, they are more
                                            likely to attract external SMEs to participate. These internal participants
                                            can even recommend individuals to TA for further investigation.

                                            YOUR COMMUNITY FOR CROWDSOURCING— Crowdsourcing is often
                                            used by well-known brands to generate solutions and innovation to their
                                            technical or marketing problems, but is also seen as the future of recruitment:
                                            Engaging members of a talent community to such an extent that they
                                            consistently refer high quality, untapped talent to vacancies. Crowdsourcing
                                            as a sourcing strategy can be complex but, as an introduction, could be a
 The content shared in any                  valuable by-product of effective and meaningful talent communities.
  talent community should
be interesting and relevant.

                     RETAIL INSIGHT PAPER

     Quarterly Outlook : May 2015 07
Emerging Trends                            To Consider Further

                                           When considering Facebook (or any social media platform) as a
                                                                                                                            As mentioned earlier, Facebook is not a professional networking site
                                                                                                                            though users may be becoming more accustomed to being contacted by
                                                                                                                            prospective employers. What about the TA perspective though? The better
        in 2015                            recruitment tool, TA and hiring managers will need to work within
                                           their company’s HR and social media policies. Training can also be key
                                           in ensuring everyone is using social media in an appropriate way and
                                                                                                                            connected the recruiter or sourcer, the better the search results are likely to
                                                                                                                            be on Graph Search, but how comfortable do they feel using their private
                                                                                                                            Facebook profile to approach people on behalf of work? Do their profiles
                                           actually understands what the company’s definition of “appropriate” is.          contain anything that is less than desirable for prospective candidates to
                                                                                                                            see? How much control do employers have over these considerations?
                                           UNLAWFUL DISCRIMINATION— ­Unlawful discrimination can occur
                                           in the recruitment process as well as in the workplace, and vetting              The IT and infrastructure that some organisations have in place can
                                           candidates on social media can get employers into hot water: Using it to         also be a limiting factor – many block Facebook in the workplace, so
                                           suss out an applicant’s sexuality or marital status as part of the recruitment   there may be a business case to be made for granting access to TA
                                           process for example is discriminatory. To be clear, the use of Facebook          and effectively managing their time spent on the site. Preparing your
                                           to source and perhaps even to reach out to candidates is fine until “an          IT partners for the increase that they’re about to see in TA’s time
                                           employer takes adverse action against a person who is an employee or             spent on Facebook may also be important in some organisations.
                                           prospective employee because of the following attributes of the person:
                                                                                                                            MONITORING NEGATIVE COMMENTS— How to monitor online
                                           •   race                                                                         communities is a must for any employer to consider. It may be someone’s
                                           •   colour                                                                       full time job to monitor comments, feedback and posts shared within the
                                           •   sex                                                                          community and respond to queries as they come in. In smaller organisations
                                                                                                                            it is likely that these tasks will be shared among a team or is something that is
                                           •   sexual preference                                                            looked at by one person on a daily basis. There are also tools on the market to
                                           •   age                                                                          assist with monitoring posts about brands, such as Google Alerts which emails
                                           •   physical or mental disability                                                you every time your brand (or other pre-selected keywords) is mentioned.
                                           •   marital status                                                               However you do it, make sure that someone is overseeing your
                                           •   family or carer’s responsibilities                                           talent community and understands what sort of posts might be
                                           •   pregnancy                                                                    inappropriate or unprofessional. Bad feedback can be dealt with
                                                                                                                            quickly and does not necessarily need to be deleted: It can help you
                                           •   religion
                                                                                                                            understand the need for improvement and adds to the authenticity
                                           •   political opinion                                                            of your community – members should not feel censored and be able
                                           •   national extraction or social origin”.23                                     to self-manage the messages they’re posting. If there’s more than one
                                                                                                                            person hosting or contributing to the talent community, make sure
                                                                                                                            there is a pre-agreed set of guidelines in place that everyone works
      How comfortable do                   SOCIAL MEDIA, PRIVACY AND IT POLICIES— Shortlist recently
                                           referenced employment lawyer Nicholas Duggal on the main purposes of
                                                                                                                            to, to ensure the content shared is meaningful and professional.

 recruiters feel using their               social media policies when it comes to recruitment: He describes them as
                                                                                                                            Which organisations are having success with Facebook Graph
                                                                                                                            Search remains untold – if it’s working well, employers are keeping
  private Facebook profile                 an obligation to candidates and an obligation to employees.24 Considering
                                           how best to collate and store candidate’s information in accordance with
                                                                                                                            their success close to their chests. It may take a while for TA to
       to approach people                  privacy laws is vital for TA using social media to attract and communicate
                                                                                                                            get to grips with but, according to Chris South, “few recruitment
                                                                                                                            companies are using Facebook which makes it an obvious choice for
        on behalf of work?                 with candidates. Privacy legislation comes into play again when considering
                                           how an employer regulates its employees’ social media use, such as client
                                                                                                                            businesses looking to get an edge in a talent short market”.25
                                           and candidate contact lists on Facebook and LinkedIn: Who owns that IP?

                    RETAIL INSIGHT PAPER

    Quarterly Outlook : May 2015 08
Harrier                           As unemployment rises to 6.2%,
                                       the mining boom comes to
                                                                        With falling Easter sales across retail
                                                                        as a whole, redundancies occurring
                                                                        in companies large and small,
                                                                                                                  for TA to have in their sourcing
                                                                                                                  toolkit. Working with marketing
                                                                                                                  to repurpose the material the
Observations
                                       an abrupt end and industries
                                       around the country feel the      consumer confidence dipping and           organisation already has, TA can
                                       pinch, concern over the state    a supermarket price war apparently        reach out to candidates and host
                                                                        looming, the focus for retail over the    talent communities providing
                                       of the Australian economy
                                                                        next quarter is sure to be on cost.       useful and meaningful insights in to
                                       has very much been the                                                     their employee value proposition,
                                       flavour of the last quarter.     Traditionally cost not profit centres     the opportunities available and
                                                                        for a business, TA and HR have            the culture of the organisation.
                                                                        an important role to play in this
                                                                        market of heightened cost focus.          Coupled with LinkedIn, Seek’s new
                                                                        The bums on seats approach just           premium talent search function
                                                                        doesn’t cut it anymore – if retailers     and employee referrals, Facebook
                                                                        are recruiting it’s because they’re       can make for a compelling sourcing
                                                                        looking for the right people in           strategy in a business that is focused
                                                                        the right roles. Sourcing needs to        on cost and a need to recruit for
                                                                        focus on the passive; it may not          non-white collar roles. With a
                                                                        be appropriate to advertise niche         well-thought out communications
                                                                        roles in times of redundancy and          plan and the strong foundation of
                                                                        it is certainly not ideal to spend        policies and social media training in
                                                                        hundreds of thousands of dollars          place, it’s time for TA to get creative
                                                                        on agencies and advertising when          and embrace Facebook in their
                                                                        the candidates are out there,             never ending search for top talent.
                                                                        waiting to be engaged with.

                                                                        Facebook Graph Search, along with
                                                                        other methods of talent mapping,
                                                                        is an important and innovative tool

                RETAIL INSIGHT PAPER

Quarterly Outlook : May 2015 09
References                        1. Heffernan M, 6 May 2015 , ‘Woolworths to axe 800 jobs
                                            as weak food, petrol lead to sales fall’, smh.com.au
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                                         2. Mitchell S, 7 April 2015, ‘Woolworths urged to prepare                             16. Gentle T, 14 December 2014, ‘Social media statistics 2014’, timgentle.com
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                                                                                                                               17. Chris South, quoted in ‘Obvious but untapped social media
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                                         5. Ibid.
                                                                                                                               20. Graphic prepared by Harrier Human Capital, based on Le
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                                         7. Ibid.                                                                              21. ‘Retailer fills Christmas intake in one week without
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                                         8. Ibid.
                                                                                                                               22. Ibid.
                                         9. Ibid.
                                                                                                                               23. Fair Work Ombudsman Unlawful workplace
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                                                                                                                               •
                                         14. Mitchell S, 7 April 2015, ‘Woolworths urged to prepare
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  Quarterly Outlook : May 2015 11
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