Report: Talent Management Plan for HSBC Australia Banking Sector

This report provides a comprehensive talent management plan tailored for HSBC Bank Australia, addressing key challenges and opportunities within the banking sector. The introduction highlights the importance of aligning current practices with industry best practices. The report delves into the critical sub-factors impacting the banking industry, including the knowledge economy, globalization, and skill gaps, and structural unemployment. It further outlines a detailed talent management plan, including strategies to align employee performance with business strategies, create skilled internal talent pools, implement performance-linked payment structures, and enhance knowledge management. The plan aims to help HSBC Australia navigate the evolving landscape of the banking sector, improve talent acquisition and retention, and maintain a competitive edge in the market. The report emphasizes the need for continuous adaptation and alignment with the changing demographics and technological advancements within the banking industry.

Running head: TALENT MANAGEMENT PLAN FOR HSBC AUSTRALIA
Talent Management Plan for HSBC Bank Australia+
Name of the Student:
Name of the University:
Author Note:

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TALENT MANAGEMENT PLAN FOR HSBC AUSTRALIA
Table of Contents
Introduction:....................................................................................................................................1
The three most important sub factors pertaining to banking industry:............................................1
Knowledge economy:..................................................................................................................1
Globalisation:...............................................................................................................................2
Skill gaps and structural unemployment:....................................................................................3
Talent management plan at HSBC Bank Australia:........................................................................4
Align performances of employees with the business strategies and the industry practices:.......4
. Create highly skilled pools of internal talents:..........................................................................5
Create a performance linked payment(PLP) structure:...............................................................5
More efficient knowledge management:.....................................................................................6
Conclusion:......................................................................................................................................6
References:......................................................................................................................................7

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TALENT MANAGEMENT PLAN FOR HSBC AUSTRALIA
Introduction:
The aim of the assignment is to create a talent management plan for HSBC Bank
Australia to align their current practices with the best practices of the banking industry. The
assignment has two sections which delve into the banking sector of Australia and its best
practices in detail. The first section points out the three sub factors impacting the HSBC bank
while the second section contains steps of talent management. The talent management section
outline ways in which the international bank can acquire and manage talents to retain its position
in the banking industry.
The three most important sub factors pertaining to banking industry:
The three most important sub factors in the banking industry in the field o talent
management are the knowledge economy, globalisation and skill gaps and structural
employment. These three most important factors can be linked to key factors driving
organisational and economic changes like demographic factors, technological factors and
economic factors. These factors play a very significant role in talent acquisition and management
in international banking organisations like HSBC Bank Australia. The three important sub
factors and their relation to the key factors are discussed as follows:
Knowledge economy:
The developed knowledge economies like Australia and their international banking
institutions like HSBC Bank Australia consider knowledge as an important form of capital. They
emphasise on talent acquisition and retention to maintain their strategic position in the market.
HSBC Australia is a subsidiary of the leading British international bank chain, HSBC

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TALENT MANAGEMENT PLAN FOR HSBC AUSTRALIA
Bank(Globalconnections.hsbc.com. 2017). The banking industry is undergoing massive changes
owing to technological changes which have made it possible for banks to acquire, manage, share
and hold an almost endless body of knowledge. The demographical factors affecting the banking
industry particularly in Australia shows that as the standard of life and health care facilities allow
employees to postpone their retirement. They serve HSBC Bank for longer tenure which allow
the bank to form long term business strategies where it can utilise the talented senior employees.
Another factor which is strongly influencing knowledge management and talent retention is
technological advancements like telecommunication and digitization(Gungor et al. 2013). These
advanced technological help HSBC Bank to communicate with business partners all across
Australia, gain knowledge from and coordinate between employees stationed in geographically
dispersed location. This advanced technology and communication facilities help the banks to
integrate the talents of both on role and outsourced employees to attain greater business
excellence and business performance. Thus, factors like advancements in technology and
demographical factors like increasing working age among people have resulted in more
extensive knowledge management and talent acquisition at HSBC Bank Australia(Natek and
Zwilling 2014).
Globalisation:
The banking industry and its practices in Australia are influenced deeply by globalisation.
Globalisation has demographic, technological and economic implications on the working of
HSBC bank Australia. The demography of Australia toady consists of immigrants from all the
leading market nations in the world like the US, the UK, Canada, India, France and China. As a
result HSBC Australia can use human resources from these countries to attain high level of work
place diversity performances and organisational excellence(Mortimer et al. 2015). This diverse

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TALENT MANAGEMENT PLAN FOR HSBC AUSTRALIA
work culture and talent acquisition from various countries results in acquiring diverse knowledge
which encourages innovation in the banking practices followed by the international bank in
Australia. However, this availability of human resources from several host countries of HSBC
has its own challenge and impact on the bank’s operations. Its diverse groups of employees have
increasing expectations from the management which is compelling the take steps to control
issues like cultural bias and conflicts among different cultural groups of employees. The
advancements in technology has helped the bank to form virtual teams to which motivate
employees from diverse cultural backgrounds to achieve high level of performances(Akinnusi,
Sonubi and Oyewunmi 2017).
Skill gaps and structural unemployment:
The banking organisations of Australia like HSBC Bank Australia is experiencing gaps in
skills and structural unemployment which is the outcome of change in demographic,
technological and economic trends in Australia. The people in Australia owing to improve
standard of lives work till longer tenure which allows the organisations like NSBC Bank
Australia to utilise their talent for longer periods. Thus the organisation has huge talented
workforce whom it has to allocate in strategic job areas(Connell and Stanton 2014). This failure
to provide sufficient jobs to this growing population of employees creates large scale structural
unemployment. Technological factors like advancements in banking methods and advent of
online virtual banking in the banking sector requires the bank employees to have deep
knowledge about latest banking technology. This requires often renders senior employees of
HSBC Bank Australia without technical knowledge employed. The demographic factors of
Australia like longer work tenure of employees prevents the bank from conducting career
palknni8ng for the junior employees. The bank loses considerable portion of the work force due

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TALENT MANAGEMENT PLAN FOR HSBC AUSTRALIA
to this structural unemployment. The bank has resorted to re-skilling and peer to peer training to
bridge these increasing gaps between skills like technical skills among old employees and
strategic unemployment(Wright 2014).
Talent management plan at HSBC Bank Australia:
The above discussion shows that HSBC Bank in Australia suffers from three main issues,
namely, advent of Australia into a knowledge economy, globalisation and gaps in skills and
structural unemployment. The factors have significant impact on the talent acquisition and talent
management of the international bank in Australia. The following are the steps to talent
management for HSBC Bank Australia to solve these issues aligned with the best practices in the
banking industry:
Align performances of employees with the business strategies and the industry practices:
HSBC Bank should align its total work force according to the business needs and the
industry best practices. The bank is one of the best international banks in Australia and around
the world which is recognised for its acquisition and management of talented employees. The
increase in the tenure of the employment of employees will help the bank to use their knowledge
and talent for longer period of time. The apex management, the departmental heads and the
human department should align the employees according to their specialisation and area of
expertise(Jackson, Sibson and Riebe 2014). For example, the younger employees could be
allocated to sales and customer acquisition since they have knowledge about latest technology in
banking and can use it as unique selling proposition to attract customers. The experienced senior
employees can be allocated towards senior positions where they can utilise their knowledge and
experience to lead their subordinates. This would also give opportunity to the company to train

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TALENT MANAGEMENT PLAN FOR HSBC AUSTRALIA
its junior employees to fill in the gaps of the senior employees after the latter’s retirement and
minimise loss of knowledge due to resignation of experienced employees. This alignment of
employees towards business needs would bring about career development and retention of both
groups of employees(Basili et al. 2014)
. Create highly skilled pools of internal talents:
The senior managers and the human resource departments should create a pool of
talented employees who would contribute towards business development of the international
bank. The senior managers and the human resource department should provide training to the
employees to develop- their competencies and skills as bankers. There should be training
sessions which would develop the knowledge of the employees about the best practices of the
banking industry, law and customer relations. These trainings will enhance the competencies of
the employees and help them to serve the customers better. The banking industry is dependent on
the skills and competencies of the employees to offer financial services according to the
requirements and expectations of the customers. Training would enable the employees to serve
the customers better and yield high revenue for the bank. Thus creating a pool of talented
employees would enable the banking organisation to deal with issues like structural
unemployment(Silberman and Biech 2015).
Create a performance linked payment(PLP) structure:
HSBC bank should create a performance linked payment scheme which would recognise
the high performances of the employees and provide them with legitimate compensation
packages. The company should first provide training to the employees to upgrade their skills and
then apply the PLP scheme. The scheme would motivate the employees to over achieve their
target levels of performances to get higher salaries and recognitions. This will also help the

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TALENT MANAGEMENT PLAN FOR HSBC AUSTRALIA
human resource departments to judge the performances of the employees while considering their
appraisals and promotions. PLP would also help the bank to terminate poorly performing and
irresponsible employees. This will leave posts vacant giving scope to the bank to acquire talented
and highly skilled employees to maintain best practice standards prevalent in the banking
industry(Zaleha Abdul Rasid, Ruhana Isa and Khairuzzaman Wan Ismail 2014). Thus PLP
would help the bank to encourage the employees to increase their competencies, knowledge and
talents to achieve high performance levels. These high levels of performances would enable them
to gain promotion, career development and job satisfaction. This will help HSBC Bank Australia
to retain and manage talented employees to achieve high market performances in the competitive
bank industry.
More efficient knowledge management:
HSBC Bank Australia should exercise efficient management of knowledge within the
organisation. The employees of all levels of the organisation should have access to certain extent
with prior approval of the reporting managers. This would on one hand increase the level of
knowledge and expertise among employees and prevent unauthorised access and misuse of data
on the other hand.
Conclusion:
HSBC Bank should manage its human resources more efficiently to maintain its
dominance over Australia’s financial market. It should give emphasis on making policies to
ensure that the employees are motivated to perform and bring about their career growth. The
policies and parameters to measure the employee performances should be aligned with the
organisational goal.

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References:
Akinnusi, D.M., Sonubi, O.O. and Oyewunmi, A.E., 2017. Fostering Effective Workforce
Diversity Management in Nigerian Organizations: The Challenge of Human Resource
Management. International Review of Management and Marketing, 7(2), pp.108-116.
Al-Zahrani, A.A. and Almazari, A.A., 2014. The impact of affective human resources
management practices on the financial performance of the Saudi banks. Review of Integrative
Business and Economics Research, 3(1), p.327.
Basili, V., Heidrich, J., Lindvall, M., Münch, J., Regardie, M., Rombach, D., Seaman, C. and
Trendowicz, A., 2014. GQM+ Strategies: A comprehensive methodology for aligning business
strategies with software measurement. arXiv preprint arXiv:1402.0292.
Bassett‐Jones, N., 2005. The paradox of diversity management, creativity and
innovation. Creativity and innovation management, 14(2), pp.169-175.
Connell, J. and Stanton, P., 2014. Skills and the role of HRM: towards a research agenda for the
Asia Pacific region. Asia Pacific Journal of Human Resources, 52(1), pp.4-22.
Globalconnections.hsbc.com. (2017). Talent Management — HSBC Global Connections.
[online] Available at: https://globalconnections.hsbc.com/united-kingdom/en/topics/talent-
management [Accessed 31 Aug. 2017].
Gungor, V.C., Sahin, D., Kocak, T., Ergut, S., Buccella, C., Cecati, C. and Hancke, G.P., 2013.
A survey on smart grid potential applications and communication requirements. IEEE
Transactions on Industrial Informatics, 9(1), pp.28-42.

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TALENT MANAGEMENT PLAN FOR HSBC AUSTRALIA
Jackson, D., Sibson, R. and Riebe, L., 2014. Undergraduate perceptions of the development of
team-working skills. Education+ Training, 56(1), pp.7-20.
Mortimer, G., Neale, L., Hasan, S.F.E. and Dunphy, B., 2015. Investigating the factors
influencing the adoption of m-banking: a cross cultural study. International Journal of Bank
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related to higher education institutions. Expert systems with applications, 41(14), pp.6400-6407.
Silberman, M.L. and Biech, E., 2015. Active training: A handbook of techniques, designs, case
examples and tips. John Wiley & Sons.
Wright, C.F., 2014. How do states implement liberal immigration policies? Control signals and
skilled immigration reform in Australia. Governance, 27(3), pp.397-421.
Zaleha Abdul Rasid, S., Ruhana Isa, C. and Khairuzzaman Wan Ismail, W., 2014. Management
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