o.za ESOP’s : The Softer Side Sharon Nieuwoudt

Agenda Setting the Scene Golden Key Closure

Setting the Scene History of ESOP Implement Communicate ? Design Time Setting the Scene

Golden Key Sustainable Employee Engagement

Back to the drawing board….. Engagement is NOT….. Happiness Satisfied

What does the STATS say? External Environment Legislation Eskom Labour Unrest SA Economy Credit Ratings Fuel Prices World Economy

Bullseye ! Source: Marketing Innovators, ROSEMONT, IL, FEBRUARY 23, 2015

Let’s talk MONEY !! Source: BI Worldwide, The Global Engagement Agency, 2014

Engagement – understanding the myths Source: Michael C. Fina. Celebrate Success, White Paper, 2014

Creating a tail wind on current reality 2015 Economic Climate on Home Ground Economic growth has been reduced to 1.5% for 2015 (the weakest since the 2009 recession). electricity crises lack of capital projects weak rand Inflation Rate to be 5% and increase to 5.25% in Q Source: South African Reserve Bank

The secret of Sustainable Engagement Source: Towers Watson Global Talent Management and Rewards Survey. 1,637 companies worldwide, 32,000 employees selected from research panels that represent the populations of full-time employees working in large and midsize organizations across a range of industries in 26 markets around the world. 1 Leadership Effective and growing the business Sincere interest in employees’ well-being Behaves consistently with organisation’s core values Trust and confidence in job being done 2 Goals & Objectives Good understanding of organisation's business goals and steps needed to reach those goals Understanding of how job contributes to the organisation achieving its business goals 3 Workload & work/life Health balance between work and personal life Work arrangements are flexible Enough employees in work group to get job done right Amount of work required is reasonable 4 Image Organisation highly regarded by general public Organisation conducts its business with honesty and integrity 5 Empowerment Management involves employees in decisions that affect them Organisation seeks opinions / suggestions of employees Organisation acts on employee suggestions

What does the Hand do?

Our Fingerprint Opportunities Work Reward People Organisation Camaraderie Collegial Work Environment Co-worker Quality Manager Quality People Management Reputation Senior Leadership Reputation Base Pay (Compensation) Health Benefits Retirement Benefits Vacation Discretionary time off Performance bonus Ownership Professional Development Opportunities Future Career Opportunities Organisational Growth Rate Management Development Opportunities Organisational Stability Advancement through performance Company Reputation Diversity in the workplace Empowerment Professional ethics Informal Work Environment Market Position Respect Social Responsibility Technology level Environmental Responsibility Business Travel Innovation on projects Positive job impact Job interest alignment Location of office or projects Recognition of performance Schedule of flexibility Source: Corporate Leadership Council, 2015.

Let’s bring it home Implement Communicate Employee Value Proposition Design Time Closure