Talent in Insurance 2015 Finland in Focus. UK Financial Services Insight

Transcription

1 Talent in Insurance 2015 Finland in Focus UK Financial Services Insight

2 Report contents Finland in Focus Macroeconomic and industry context Survey findings 2

3 Macroeconomic and industry context 3

4 Youth unemployment in Finland has steadily risen since the crisis, even among the educated, and is significantly higher than in neighbouring Norway and Denmark Overall and youth unemployment, Finland, % 20.0% 15.0% 10.0% 5.0% 0.0% Overall Youth (Aged 15-24) 4 Source: OECD

5 Real wages in Finland grew by 4.5 per cent in the entire six years after the crisis, held back by weak demand for labour Growth in average real wages (US$), Finland, $4, % $4,000 $3,500 $3,000 $2, % 10.0% 8.0% 6.0% 4.0% $2, % $1,500 $1,000 $ % -2.0% -4.0% -6.0% $ % Average wages (monthly, US$) Growth in average wages (US$; % annual) Note: Average wages (monthly): average gross earnings per worker per month Growth in average wages (annual): percentage change in hourly wages in US$ over previous period Figures are converted to US$ using an average exchange rate 5 Source: Economist Intelligence Unit

6 After a sharp decline between 2010 and 2012, total Finnish GWP grew by almost 40 per cent in 2013, with life insurance recording especially strong growth 1 Total gross written premiums in millions US$ and as % of real GDP, Finland, $14, % $12, % $10, % $8, % $6, % $4, % $2, % $ % 6 Note: 2014 data is not available Source: OECD Gross Written Premium (millions US$) 1 Gross Written Premium as a % of real GDP

7 Survey findings 7

8 The Finnish insurance industry is one of the most popular in EMEA, beaten by only Poland and Switzerland Popularity of insurance as a career choice, EMEA, 2015 Czech Republic 8 Poland Switzerland Finland Italy South Africa Belgium Spain Germany France Norway Sweden Austria Denmark Netherlands UK Ireland Middle East UAE Turkey Russia 0.00% 0.00% 0.38% 0.37% 0.53% 0.51% 1.00% 0.94% 1.09% 1.05% 1.21% 1.31% 1.30% 1.29% Source: Universum Talent Survey 2015; Deloitte Analysis 1.40% Survey question: Choose the five employers you most want to work for [from the list of employers you would consider working for], your five ideal employers. Sector popularity is calculated as the number of times individual employers in specific industries are short-listed among the five ideal employers. 1.51% 1.71% 2.23% 2.67% 2.98% 2.93%

9 Insurance trails at 13 th out of 26 industries in Finland, with FMCG topping the poll Insurance and the eight most popular industries for business students, Finland, % 16.0% 14.0% 12.0% 10.0% 8.0% 6.0% 4.0% 2.0% Fast Moving Consumer Goods Banks Public Sector and Governmental Agencies Engineering and Manufacturing Retail Auditing and Accounting Software and computer services Media and Advertising Insurance 0.0% Survey question: Choose the five employers you most want to work for [from the list of employers you would consider working for], your five ideal employers. Sector popularity is calculated as the number of times individual employers in specific industries are short-listed among the five ideal employers. 9 Source: Universum Talent Survey 2015; Deloitte Analysis

10 Finnish business students prefer local champions, like KONE, Fazer and Finnair, to international employers; L Oreal is the only non-nordic group in the top five Most popular employers, Finnish business students, 2015 KONE 16.6% Nordea 15.2% Fazer 14.2% Finnair 13.9% L'Oreal 12.8% Survey question: Choose the five employers you most want to work for [from the list of employers you would consider working for], your five ideal employers. 10 Source: Universum Talent Survey 2015; Deloitte Analysis

11 Three banks and the central bank make the top five for the insurance-inclined, perhaps because of the prevalence of bancassurance in the market Most popular employers, Finnish insurance-inclined students, 2015 Nordea 43.7% OP Ryhmä 34.9% Suomen Pankki 27.0% Danske Bank 23.7% If 21.9% Survey question: Choose the five employers you most want to work for [from the list of employers you would consider working for], your five ideal employers. 11 Source: Universum Talent Survey 2015; Deloitte Analysis

12 Finnish insurance-inclined students rank creativity and innovation as the least important career goal, a worry given the tech disruption assailing the sector Career goals of Finnish insurance-inclined students, % 70% 60% 50% 40% To have work-life balance To be competitively or intellectually challenged To be secure or stable in my job To be dedicated to a cause or to feel that I am serving a greater good To be a leader or manager of people 30% To have an international career 20% 10% 0% To be a technical or functional expert To be autonomous or independent To be entrepreneurial or creative/innovative Survey question: Below is a list of nine possible career goals. Which are most important to you? Please select a maximum of 3 alternatives. Importance of goals is then calculated as the percentage of students choosing each career goal on their shortlist of top three goals. 12 Source: Universum Talent Survey 2015; Deloitte Analysis

13 Variety of assignments is Finnish insurance-inclined students top aspiration. They also aspire to, but don t expect, supportive leadership and high future pay Finnish insurance-inclined students' top 10 aspirations and expectations, 2015 Top ten aspirations Top ten expectations Variety of assignments 1st Prestige 1st Leaders who will support my development 2nd Client interaction 2nd Financial strength 3rd Challenging work 3rd Leadership opportunities 4th Financial strength 4th Good reference for future career 5th Good reference for future career 5th High future earnings 6th Leadership opportunities 6th A friendly work environment 7th Market success 7th Prestige 8th Variety of assignments 8th Secure employment Recognising performance (meritocracy) 9th 10th Recognising performance (meritocracy) Competitive base salary 9th 10th Students were asked to choose up to 12 attributes, out of a total of 40, that they most sought for their five shortlisted ideal employers. The ten attributes that scored most highly for insurance-inclined students are shown in the green bars aspirations. Deloitte extracted the extent to which insurance-inclined students expected to find each of these top ten aspirations in their shortlisted ideal insurers. Each blue bar represents the proportion of insurance-inclined students who expect to find this attribute at the insurer(s) that appears on their shortlist of five ideal employers. Please note that because the number of aspirations students can choose is capped at 12, while the expectations are uncapped up to 40, the proportions of students expecting a particular attribute is likely to be higher those recording an aspiration for that attribute. Survey question: Aspirations which of these are most important to you? Please select a maximum of three alternatives [in each of the following four categories: Employer Reputation and Image; Job Characteristics; People and Culture; and Remuneration and Advancement Opportunities. Expectations which of the following [40 attributes] do you associate with your chosen employer(s). 13 Source: Universum Talent Survey 2015; Deloitte Analysis

14 Despite aspirations for high future earnings, insurance-inclined students expect 2.4 per cent less pay than business students, and 5.5 per cent less than banking-inclined Expected annual salary (EUR), Finnish business students, 2015 Banking-inclined 36,448 All Business 35,286 Insurance-inclined 34,446 Survey question: What is your expected salary before taxes (excluding commission and bonus) at your first employment after graduation? 14 Source: Universum Talent Survey 2015; Deloitte Analysis

15 Finnish insurers are doing a better job at appealing to women than their global peers, giving insurers a wider and more diverse talent pool to choose from Student demographics, globally, 2015 Student demographics, Finland, 2015 All business (Global) 61.1% 38.9% All business (Finland) 65.8% 34.2% 11.1% drop off 9.1% drop off Insurance-inclined (Global) 54.3% 45.7% Insurance-inclined (Finland) 59.8% 40.2% Female Male Female Male 15 Source: Universum Talent Survey 2015; Deloitte Analysis

16 Appendix - methodology 16

17 Appendix Methodology This report is based on the Universum Talent Survey Universum has been researching students career intentions since In , it surveyed about 1.2 million students and professionals drawn from over 2,000 universities and institutes of higher education in 55 countries. Deloitte examined the survey results from 211,000 business students in 30 markets: in the Americas, Brazil, Canada, Mexico and the US; in APAC, Australia, China, Hong Kong, India and Singapore; and in EMEA, Austria, Belgium, the Czech Republic, Denmark, Finland, France, Germany, Ireland, Italy, the Middle East (defined by Universum as Egypt, Lebanon, Kuwait, Qatar and Saudi Arabia), the Netherlands, Norway, Poland, Russia, South Africa, Spain, Sweden, Switzerland, Turkey, the UAE and the UK. The number of markets included in global and regional averages varies between 23 and 30. Business students were presented with a list of employers from a range of industry sectors. Students selected ideal employers from the initial list in a three-stage process. First they chose an unlimited list of companies for which they might consider working. Next they narrowed the choice to a maximum of five ideal employers. Finally, they were asked to select companies they had applied to or were considering for an application. Using the rankings by business students of the companies they would most like to work for, their ideal employers, Deloitte analysed their preferences across different industries over the eight academic years from to For this survey, business students are defined as students of business-related subjects. Insurance-inclined students are a subset who put at least one insurer in their top five ideal employers. Using Universum s detailed questionnaire, Deloitte analysed the motivations, aspirations and expectations of insurance-inclined students in relation to a career in insurance. This analysis includes a comparison of what makes insurers attractive to students ( aspirations ) with what they associate with insurers as employers ( expectations ). 17

18 Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited ( DTTL ), a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see for a detailed description of the legal structure of DTTL and its member firms. Deloitte LLP is the United Kingdom member firm of DTTL. This publication has been written in general terms and therefore cannot be relied on to cover specific situations; application of the principles set out will depend upon the particular circumstances involved and we recommend that you obtain professional advice before acting or refraining from acting on any of the contents of this publication. Deloitte LLP would be pleased to advise readers on how to apply the principles set out in this publication to their specific circumstances. Deloitte LLP accepts no duty of care or liability for any loss occasioned to any person acting or refraining from action as a result of any material in this publication. Deloitte LLP is a limited liability partnership registered in England and Wales with registered number OC and its registered office at 2 New Street Square, London EC4A 3BZ, United Kingdom. Tel: +44 (0) Fax: +44 (0)