The Financial Services (FS) industry which comprises of Retail Banking, B2B Banking, Insurance and innumerable consumer financial services is one of the largest and most organized industries in the world, often treated as the barometer of a countryâ€™s progress. According to the OECD, Financial Services make up 20-30% of total service market revenue globally; about 20% of the total GDP in developed economies and amounts to around 16% of the total, global economy.
HR Challenges in the BFSI Industry
1. Hiring the right staff: While adequate resources are available at entry and middle-management levels, the real differentiation comes from senior management, where star performers are hard to find.
2. Attrition and Retention: As the industry grows steadily, there are innumerable opportunities making talent retention a huge challenge.
3. Staff development: Re-skilling FS employees is a perennial need as FS processes are constantly updated. Inadequate training can cause skill and performance gaps.
4. Compensation: With inflation and periodic recession becoming a norm globally, arriving at the right compensation structure is a perennial challenge.
5. Regressive competition: Given the fact that salary structures vary from one FS company to another, poaching and other regressive practices are commonplace.
6. Changing working conditions: As FS companies embrace a globally dispersed customer-base, work timings and working conditions have changed enormously with time.
7. Technology training: Given the high rate of adoption of automation technologies by FS companies, employees must be trained all the time in order to stay productive.
8. Creating an effective HR policy: Managing such a dynamic industry requires having a clear HR policy in place, which is rarely the case with most FS companies.
Globelead HCM Solution for the BFSI Industry
1. Automates recruitment for ease during volume hiring.
2. Centralises employee data control to ensure data security.
3. Makes it easy to engage employees constantly, thereby curtailing attrition and low morale.
4. Makes it easy to create and sustain an effective HR Policy.