27 July 2018

Author: Emma Holden Aligning people to business strategy

Schroders Employee Value Proposition

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Strategy & Challenges

PURPOSE & INSPIRATION

Values, behaviours, reputation & communication

– Employer brand & social media

– D&I strategy

– Building relationships with new search firms in line with our cultural values

REWARD

Remuneration, benefits & recognition

– Recognition is a primary driver

– Upper quartile for benefits in key locations

– Adaptable remuneration approach for key business areas

– Regulatory threat to remuneration strategy significant

QUALITY OF WORK & ENVIRONMENT

Interesting Work, autonomy, quality of work relationships,

office environment, equipment & processes, recognition of

work/life balance

– Flexible working policy

– Global review of D&I related policies

– Introduction of onboarding plans for senior hires / ‘buddies’ for those outside industry

GROWTH OPPORTUNITIES

Learning, career development and performance improvement

& feedback

– Focus on improving manager capabilities

– Simplifying approach to Performance management

– Continued focus on mobility, developing internal talent

Closing our Gaps

Current skills & capabilities vs future

needs

Building Leadership & manager Capabilities

Manager expectations

Programs for New managers & Experienced managers

Regular communication to all

managers & just in time learning opportunities / resources through learning portal

Skills for a Changing World

One of 8 categories in the new Learning Portal

Includes Code Academy, Digital Academy as well as Soft skills:

Emotional Intelligence, Complex problem solving, design thinking

External Recruitment

Bringing in new skills in Technology, e.g. Digital Skills, Data Analytics, Cyber Security

Hiring those with new skills in line with strategy e.g. Private

Assets

Managing Change Identified as a capabilities gap Sessions on ‘Leading through

Change’ Resources included in Learning

Portal

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Our Focus on People

Diversity & Inclusion

Career Development

Flexible Working

Diversity is about our people.

Who we bring into the firm and what makes them who they are – gender, race,

class, sexual orientation, personality, age, appearance, etc.

Inclusion is about our culture.

What we do to welcome diversity into the firm, creating the right conditions and experience in the workplace, so employees feel valued and included and are able to bring out their best

and achieve their full potential.

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What Diversity & Inclusion means to us

Diversity of thought means the best solutions for our clients

Inclusive Leadership

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Our approach to Diversity and Inclusion

OUR PEOPLE

Strength in diversity

– Increase supply of diverse talent: Increase applications and recruit from new audiences

– Diversify talent pipeline: increase senior management diversity and build a diverse talent pipeline

– Public targets linked to pay 33% of senior management to be female by end 2019

OUR CULTURE

Focus on inclusion

– Top down: Commitment to champion D&I to create a more inclusive workplace culture

– Bottom up: Create and empower Employee Resource Groups

– Retain diverse talent

OUR BUSINESS

Shifting our approach

– Review policies and procedures: foster a diverse and inclusive business

– Diversity makes us successful: diverse teams to clients to win new business

– Benchmark against competitors: Ensure we align with D&I best practice

OUR INDUSTRY

Leading our sector

– Transparency on gender pay – Work with Diversity Project:

Position Investment Management as an attractive industry for diverse talent

– Public commitments and disclose progress – Women in Finance Charter

– External recognition of the changes we are making

Career development at Schroders Our Development Philosophy

Personal and Team Skills

Leadership and Management

Skills

Professional Development

Early Careers

Compliance and

Regulation

Future Skills

Learning by Area

Our Learning Offering

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Schroder CareerCENTRE

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(Arthur, Claman and DeFillippi 1995)

Knowing why

Knowing how

Knowing whom

THE INTELLIGENT CAREER MODEL

The importance of mentoring to developing careers

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What do we mean by mentoring?

Mentoring is a relationship between an experienced person and a less experienced person – for the purpose of helping the individual with less experience

“ ”

A process in which one person actively encourages the development of another person outside of the normal line management relationship for the benefit of both individuals and the firm

“

” 9

Flexible Working

Different types of work arrangements

Offer broader scope on when, where and how

work is done.

Include informal flexible working, reduced working

hours, homeworking or other arrangements.

Employees contribution measured by business results and outcome.

Flexible Work Arrangements

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Employee considerations – Desired working pattern – Financial implications, if any – Impact on the business and team – Technology, equipment and home environment – Health, Safety and security

Assessment – Job characteristics – Business needs – Departmental and budget factors – Monitoring performance and standards – Remote management vs. line of sight challenges

Thank you