Staffing SBU | Recruit Holdings Annual Report 2019
Total Page:16
File Type:pdf, Size:1020Kb
BUSINESS STRATEGIES Stafng SBU MESSAGE FROM OUR CFO / SBU PERFORMANCE SUMMARIES / HR TECHNOLOGY SBU / MEDIA & SOLUTIONS SBU / STAFFING SBU The Stafng SBU’s purpose is to contribute to society by providing mainly temporary job opportunities Mid-term strategy In the Stafng business, we will aim to improve adjusted EBITDA margins*1 to as many people as possible. The social value we provide is best described as ofering “Opportunities by continuing to focus on operational efciency. for Life” around the world to people from all walks of life. We do this by ofering them work and career Our Japan operations have high proftability in the global stafng industry, opportunities and at the same time helping enterprise clients establish an efective workforce to and we will focus on maintaining its proftability. We will further aim to improve continuously move them forward. adjusted EBITDA*1 margin in our operations in North America, Europe and Australia by further implementing the Unit Management System (see p60). Today our operations span the world: North America, Europe, Australia, and Japan. We provide stafng services in a wide range of markets, such as clerical, industrial, medical and technical. In addition to temporary stafng and permanent placement, we ofer solutions for professionals with highly specialized expertise, such as IT, engineering, finance, and legal. EBITDA and EBITDA margin Japan In Japan, our Stafng business provides a broad range Recruit Stafng is particularly strong in providing clerical EBITDA (billions of yen) Japan Overseas of stafng solutions across all industries and professions job opportunities, especially in metropolitan areas such EBITDA Margin 7.9% - e.g., clerical, industrial, engineering, and IT. With our as Tokyo, Osaka, and Nagoya. Staf Service Group brands, Recruit Stafng and Staf Service Group, we are provides a wide range of job opportunities, with 6.6% 6.3% 39.8 the leading player in the stafng market in Japan with a its strong relationships mainly with local companies 43.0 38.9 36.2 presence in all major cities. including those in smaller cities across Japan. 33.8 5.1% 5.3% 29.4 4.9% North In the North America region, our Stafng business is providing expertise, connections, and technology to America active with Stafmark Group and The CSI Companies. connect job seekers and enterprise clients. Stafmark Group is a family of stafng brands in the The CSI Companies designs stafng solutions for US and Canada, providing stafng solutions for small companies across a wide range of industries focusing businesses as well as large companies. Individual on professionals in IT, fnance, healthcare, pharmacy, brands include: Stafmark, Advantage Resourcing, and ofce. It has a leading position in the professionals FY2016 FY2017 FY2018 FY2016 FY2017 FY2018 Advantage xPO, and the Atterro companies. Each market in the Southeast region of the US. Revenue by region for FY2018 *2 Europe In Europe our Stafng business is positioned in the USG Professionals, and Advantage Resourcing as Northwestern region, with stafng activities in Belgium, our main brands, we have built strong local networks to France, Germany, the Netherlands, and in the United serve job seekers and enterprise clients across the Kingdom. With Start People, Unique, Secretary Plus, countries in virtually all market segments. Australia In Australia, our Stafng business is represented by region, including Australia, New Zealand, China and Europe Japan the Chandler Macleod Group. It ofers a broad range of Singapore. Chandler Macleod Group’s brands include: North America stafng services from various well established brands, AHS Hospitality, Aurion, Chandler Macleod, Peoplebank 388.2 542.5 billion yen and provides a variety of opportunities for job seekers. and Vivir Healthcare. 204.2 billion yen billion yen The Chandler Macleod Group spans the Asia Pacifc Australia 155.2 billion yen *1 Adjusted EBITDA = operating income + depreciation and amortization (excluding depreciation of right-of-use 57 assets) ± other operating income/expense. 58 *2 Sum of the individual companies sales before consolidation adjustments for North America, Europe and Australia. BUSINESS STRATEGIES The Stafng Leadership Message MESSAGE FROM OUR CFO / SBU PERFORMANCE SUMMARIES / HR TECHNOLOGY SBU / MEDIA & SOLUTIONS SBU / STAFFING SBU Creating a smart and agile organization Strategy execution within the to contribute to society Unit Management System A crucial element in the success of the Stafng SBU, This system is designed to enhance the sense of whose business spans many countries and regions, is ownership by the person responsible for each unit by the localization of products and services to ft the needs giving discretion to promote higher-quality decision of individual markets. To do this, we have introduced the making. Unit Management System, a style of management that provides individual businesses with the fexibility to In addition, common challenges and solutions in global make decisions based on their deep knowledge of markets are categorized and shared within SBUs in local client need and market situation. order to align each unit’s strategy to our overall strategy quickly and simply, and to maximize each unit’s ability The Unit Management System divides an organization to create value for their clients. into small units based on diferences in the markets they serve. Each unit is regarded as if they are a standalone As each unit implements this process, productivity and company and the Unit Manager is given authority to proftability will improve and contribute to productivity make decisions. This arrangement allows each unit to improvements for the entire SBU. devise and execute actions to implement our strategic priorities efectively for each market, with the aim of maximizing their local profts. Rob Zandbergen Head of Stafng SBU Unit Management System The Stafng SBU is uniquely positioned to meet the Our focus within our global network is to add value to needs of both job seekers and employers through society. This is also at the heart of our business as we leveraging decades of experience of relationship aim to provide opportunities to people from all walks of building. life by fnding a workplace where they are safe, happy, rewarded, trained, and developed. In line with this, we Investment in our employees and productivity consider respecting and advancing human rights an CEO improvements are key factors in delivering outstanding essential part of our daily business. Responsible for services for our agency workers on assignments and EBITDA margin • Each group is divided into units Results improvement of each • Authority is handed to each unit manager 1. Improvement in productivity enterprise clients. We will continue to improve upon Being aware of our responsibility, we take a proactive operating company in • Clear Task Prioritization our commercial and operational excellence and are approach to supporting and respecting the prosperity the Stafng SBU • Continuous efort to achieve committed to delivering meaningful added value to of people and the protection of their rights, independent goals our stakeholders and society in order to meet their of race, gender, religion, social status, or any other Unit • Increased motivation changing needs and expectations. characteristic, within the context of our activities and Manager 2. Human resources development & retention operations. Responsible for each Unit A Unit B Unit C Unit D 3. Ability to respond to environmental unit's EBITDA margin Our operational priority—productivity improvement—will changes improvement be realized through the leveraging of our strong local With our position, we have the opportunity to provide market positions with a clear focus on value over volume, a meaningful impact upon the lives of hundreds of driven by our Unit Management philosophy. This applies thousands of people who currently face barriers to High Business Transparency not only to our existing products and services, but also employment, and by extension, their families and • Each unit makes its own statement of proft and loss (PL) • PL/KPI of each unit are shared throughout the company will help guide us as we work to establish new revenue communities. Within our stafng business, we also have streams. This strategy, together with our empowered many initiatives that help improve the lives of people employees, will strengthen our competitiveness while who face barriers that leave them at a distance from supporting the transformation of the Stafng SBU into employment. Examples include activities and projects to an agile, technology-driven business to meet job seekers’ support immigrant populations, people with disabilities, and enterprise clients’ needs and to have an increasingly veterans, and minority groups in fnding jobs. meaningful impact on them. With this approach, our Stafng SBU is strategically positioned to deliver upon its commitment to society, while maintaining sustainable growth in the years ahead. 59 60 BUSINESS STRATEGIES MESSAGE FROM OUR CFO / SBU PERFORMANCE SUMMARIES / HR TECHNOLOGY SBU / MEDIA & SOLUTIONS SBU / STAFFING SBU Case studies Case Studies The Unit Management System Our people are the “Plus” in Secretary Plus With almost three decades in the industry, Peoplebank, a Chandler Macleod Group company, USG People Belgium’s “Secretary Plus” Brand is South East Asia and Oceania’s leading IT and digital talent solutions provider. Peoplebank joined Recruit Group in 2015, and its implementation of our Unit Management System (see