3 rd annual gcc regulators summit culture change management
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3 rd Annual GCC Regulators Summit Culture Change Management . Kit Stevenson Head of Human Resources 2 March 2009. 1What is Corporate Culture. Corporate culture is : the way we do things around here the grease between the gears that makes the gears work in unison with one another - PowerPoint PPT PresentationTRANSCRIPT
3rd Annual GCC Regulators Summit Culture Change Management
Kit StevensonHead of Human Resources
2 March 2009
1 What is Corporate Culture
• Corporate culture is:– the way we do things around here– the grease between the gears that makes
the gears work in unison with one another- if you don't have culture, the gears come grinding to a halt. -MERCER
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2 Context for Culture Change
• Current Environment
– Relationship of financial crisis to a culture of short-term profit / risk taking
– Nationalisation of firms and popular calls for changing the way business is done
– Re-evaluation of regulatory approaches (rules based / principles based) Basel II?
– Multicultural GCC environment (QFCRA 23 nationalities)
– Tough times - deliver value (increased performance) through culture
– Manage risk
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3 Current Trends / Guidelines
• Trends / Guidelines
– Culture of compliance and effective risk management is critical
– The culture of short term annual bonuses in financial services is over. Incentive pay is being structured toward longer-term arrangements (deferred compensation) ie over a period of 3 years, where longer term risks and company performance can be assessed, and claw back measures implemented. (Reuters)
– Institute of International Finance (IIF) The Principles of Conduct for Compensation: Lists 7 principles to follow in remuneration
• Performance based incentives with long-term focus• Incentives should not induce excessive risk taking• Payout should relate to timeline of risks undertaken• Incentives should be at risk and be linked to firm performance
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4 Culture Change Process
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THANK YOUKit Stevenson Chartered FCIPD
Head of Human ResourcesQatar Financial Centre Regulatory [email protected]