Networking is the best job search strategy for 41% of senior executives; the economy, not performance, is to blame for the majority of executive job losses; and many retrenched executives look to different industries and/or job functions for new employment options.
These findings are the highlights of a regional survey of retrenched executives conducted by human resource consultancy, Drake Beam Morin (DBM). The survey, the most comprehensive of its kind in the industry, incorporated data collected from 3,956 individuals in career transition in seven countries across Asia - Korea, Japan, Hong Kong, Malaysia, Vietnam, Thailand and Singapore.
The typical profile of executives who participated in the survey varied from country to country, indicating the changes occurring in the various economies and different workplace practices:
"The results of this year's survey are consistent with an uncertain economic situation in Asia and fluctuating markets," says DBM president Asia, Larry Cambron. "In the majority of cases, executives are being retrenched due to economic conditions versus performance issues.
In addition, the number of executives reporting industry and job function changes re-enforces the fact that in times of uncertainty it is essential that executives recognise their transferable skills and be open to look to alternative industries and job functions."
Networking is the best job search strategy for 41% of executives: Building a network of professional contacts and alliances is essential for career success. The strength of a circle of contacts allows individuals to gain access to the "hidden" job market - those roles that are never advertised and are filled by word of mouth. DBM's worldwide research spanning nearly a decade has consistently found networking to be the most effective career transition strategy. Supporting this trend, results from this year's annual survey reported that 41% of the individuals surveyed in Asia secured a new position through networking.
"For those people, finding themselves in career transition this year, it will be important to note the resounding success of networking as a job search tool," says Cambron. "The reality of job search is that fundamental skills such as networking and interviewing are critical to the job search process."
Most senior executives are retrenched through no fault of their own: Global mergers in 2000 reached a record US$3.41 trillion deals. As organisational change such as mergers continue in the workplace, redundancy is becoming commonplace. The majority of people DBM works with in Asia (89%) have been retrenched through no fault of their own, owing to restructures, downsizings, mergers and acquisitions.
Many switch industry and/or job function to find a new job: Today's workers are changing their careers up to nine times, and working in as many as 25 different jobs throughout their lifetime. As world economies fluctuate and change continues unabated, many industries are facing declining opportunities, and DBM's survey results show that many executives surveyed looked to different industries for job opportunities.
In Hong Kong, for example, as many as 69% of respondents reported an industry change. It is essential for executives to recognise their transferable skills and be prepared to look outside their previous industry or function for new opportunities.