AGENDA FOR TODAY

Welcome – Simon RogersThe economic forecast – Bryan Finn, Business Economics Ltd.

A comprehensive analysis of the macro economic factors currently affecting graduate recruitment.

The evolution of the candidate experience – Carl Gilleard, CEO, AGRCarl will highlight key changes that have occurred and identify best practice

The cost of bad hiring – Marcus Body, Head of Research & Susanna Wells, Principal Occupational Psychologist, Work Group

Why do selection processes go wrong – how do candidates feel about the process?

The Santander experience – Lorcan Seery, Graduate & Early Career Resourcing Manager, Santander Group

Lorcan will share the Santander process, their challenges and how they are trying to overcome them

Do you want to address a gender imbalance in your hiring profile? Are you struggling to attract female graduates to programmes in technology and engineering? If so, then join the growing number of graduate recruiters taking part in TARGETjobs Events' two flagship contact events for female students this autumn; IT's not just for the boys! focusing on careers in IT and Engineer your future focusing on careers in engineering.

IT's not just for the boys! is a live, multi - company, half day event in Central London designed exclusively for over 100 female IT students from all year groups to meet employers. The format involves presentations, networking forums, skills workshops, one to one coaching and live interaction; including debate and Q and A. The event is designed to inspire IT and wider STEM students about a range of technology based careers.

Engineer your future involves a similar programme also in Central London and brings together over 100 female students (studying engineering or STEM related degrees) with engineering employers / or employers trying to broaden their profile of female engineers. Just like the event above, the format also involves presentations, networking forums, skills workshops, one to one coaching and live interaction; including debate and Q and A.

Ahead of both of these events, female students take part in a robust screening process; including interviewing with the TARGETjobs Events delivery team, where they are measured against a number of academic and competency criteria before they are invited to attend.To find out more and to get involved as one of the participating employers, please contact Kathryn Callow at TARGETjobs Events kathryn.callow@targetjobs.co.uk, 020 7061 1932. Getting involved will be subject to availability as there is a limited capacity per event.

The best ATS just got better

The best ATS just got better

● Fully and properly caters for graduate and experienced hire ● Always the latest version – SaaS technology● Modern easy-to-use design● New unique functionality available – CV bank, Postcode

parameter search, X filters?● Expanded reporting functionality – reports directly into PDF,

Excel, Word, Powerpoint● Ability to personalise your dashboard

UK economy: GDP growth

Annual % change

-6%

-4%

-2%

0%

2%

4%

6%

UK economy: recruitment cycleAnnual % change

-60%

-50%

-40%

-30%

-20%

-10%

0%

10%

20%

-6%

-4%

-2%

0%

2%

4%

6% GDP

Recruit

World economy: growth rates

Annual % change

World economy: oil prices$ per barrel

0

10

20

30

40

50

60

70

80

90

100

110

120

130

UK economy: share pricesFTSE 100

3,500

4,000

4,500

5,000

5,500

6,000

6,500

7,000

UK economy: retail salesAnnual % change

UK economy: house prices

Annual % change

-25%

-20%

-15%

-10%

-5%

0%

5%

10%

15%

20%

25%

30%

UK economy: consumer confidenceBalance

-40

-35

-30

-25

-20

-15

-10

-5

0

5

10

UK economy: unemployment% of workforce

4.0

4.5

5.0

5.5

6.0

6.5

7.0

7.5

8.0

8.5

9.0

UK economy: graduate unemployment% of graduate workforce

World economy: youth unemployment% of youth workforce

UK economy: job vacancies000s

400

450

500

550

600

650

700

750

UK economy: job vacancies by sectorAnnual % change Jan–Apr 2012

-2.0%

-1.5%

-1.0%

-0.5%

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

2012

2013

Future prospects: GDP forecasts

Do unto others

Reflections on candidate management processes

What’s changed over the years?

• Much more diverse student body.• Many more applications to handle (AGR Survey).• Supply and demand has put the employers back in

charge.• Greater automation of the process.• Recruitment risks become a rejection machine.• Self-deselection tools widely used.• Time to hire has been reduced (AGR Survey).• Employer expectations are higher.• Use of internships in selection process (AGR Survey).

Best practice

• Ensure the EVP is clear and consistent throughout – reflecting the true values of the organisation.

• Give candidates time to decide (avoid exploding offers).

• Keep candidates warm.

• Look beyond the 2:1.

• Avoid ‘over-recruiting’.

• Review practice and selection criteria regularly to identify barriers.

• Ensure that recruitment practice does not cut across diversity policies.

• Ensure internships are open to all (and are paid).

• Offer feedback to all unsuccessful candidates.

What to watch out for

• Professor Sir Tim Wilson’s Review of Business-University Collaboration.

• Alan Milburn’s Report “Fair Access to Professional Careers”.

• Introduction of the HEAR (Higher Education Achievement Report).

• Impact that the candidate experience can have on your brand.

• Economic growth and demographic change leading to a change in the balance of power.

• The law.

Finally, remember

Today’s rejected candidate could be tomorrow’s most important potential customer.

Employ the wrong people.

Annoy everyone else.

The cost of a bad hire

Up to 5x salary to replace a bad hire

– Direct costs• Severance, advertising, recruitment, training,

administration

– Indirect costs• Lost productivity, low team morale, dissatisfied

customers, loss of market share

Are we getting it right?

With regard to retention…

46% retained 100% of last year’s recruits

“80% of turnover is caused by bad hiring decisions”Harvard Business Review study

Mistake #1:The ‘typical graduate’ effect

One size does not fit all:

– Understand your unique requirements– Identify critical knowledge, skills & behaviours– Consider current and future needs

Mistake #2:The ‘simply the best’ effect

When screening applications, consider:

– Screening out vs. selecting in– Screening for now vs. the future– The pros and cons of online ability testing

Mistake #3:The ‘desert island’ effect

Assessment centre exercises must be:

– Job relevant– Face valid– Designed to measure key skills– Up-to-date

Mistake #4:The ‘just like me’ effect

Untrained assessors could:

– Increase subjectivity & inconsistency– Introduce bias– Open you up to legal challenges

Mistake #5:The ‘we’ve got it right’ effect

The final (and first) stage is evaluation:

Review

Refine

Monitor

Beware the 5 hiring mistakes(and many more…)

Ensuring a quality hire

1. Define who you need: job analysis

2. Define how to pick them: assessment design

3. Check you’re getting it right: evaluation

Part II

The reputation cost of bad hiring

Why it matters

• Applicants still haven’t “bought” you.91% of applicants applied to more than one scheme

28% applied to more than 10

• People talk – even the ones you don’t hire.Average applicants per place is 83.2

98.8% of people experiencing your process don’t get the job

Rigour vs speed

Four options posed to those who haven’t yet applied

As many stages as it takes to be fair.

Several stages, but not too time consuming.

Faster processes are preferable, even if it’s less fair.

I’ll accept the first offer I get. Speed is everything.3%

12%

34%

50%

And the real reaction

Three options posed to those who did apply

They took up too much time and effort

They took up a reasonable amount of time

They were too short, and not thorough enough1%

56%

43%

Face validity

The validity of a test estimated or judged intuitively, without recourse to any objective evidence. Also called ‘a priori validity’.

The Oxford Dictionary of Psychology, 2003 edition

Face validity

Students are very “old school”… but wrong.

Communication

Those about to apply want to know…

Communicatioff

But those who’ve just been through say…

I don’t cheat…

93.1%

6.9%

The honesty box - part 1

Didn't cheat

Cheated.(a little)

…but everyone else does

27.7%

72.3%

The honesty box - part 2

Other peopledon't cheat

Other peoplecheat

How?

Bending the truth•“Optimistic” degree expectations•Exaggerating involvement in projects/teams

Cheating•Verbal reasoning tests•Numerical reasoning tests

And even…•Personality tests

And what do we do about it?

1. Ignore itFalse positives not a big problem in screening. They’ll get knocked out later on.

2. Re-test itMake it part of assessment centres. And tell them you will.

3. Explain why they shouldn’tCheating the test wastes their time too. Explain why you’re testing, and how results will be used.

They’re evaluating you too…

Big conclusion #1

You need a much clearer definition of exactly who you’re looking for…

…and then you need to explain that clearly to students to avoid wasting your time and their time.

Big conclusion #2

You need a process that actually finds those people, not just fits the pipeline…

…and then you need to show students what your process is, and why.

Big conclusion #3

Even if you’ve done all that, you need to check it actually worked…

…because a credible process doesn’t just help you recruit the best of your applicants; it will make you more attractive.

Aims for today

• Strategic approach for Santander UK for its Early in Career (EiC) population

• Objectives for Santander Early in Career for 2012/2013• Share how Santander manage the candidates through our

EiC process• Highlight some of the enhancements introduced into our 2012

EiC campaign• Discuss current impact of approach for San UK

Build a better Bank

Build a better Bank

… for our Shareholders

… for our Shareholders

Strategic Intent

Strategic Imperatives

Business Goals

… for our People

… for our People

Retain and attract the right people

Retain and attract the right people

Enable our people to do their best work

Enable our people to do their best work

Focus people to do the right things

Focus people to do the right things

… for our Customers

… for our Customers

San UK PEOPLE STRATEGY EiC STRATEGY

• Dedicated internal EiC team to attract, identify, retain and develop talented colleagues and equip them to perform effectively.

• Expanded EIC programmes to accelerate talent pipeline build-up.

• Create & deliver targeted interventions aligned to the business strategy that enable colleagues to do their best work.

• Internal mobility mechanisms to allow employees to pro-actively manage internal moves / career steps.

• Maximise the ability to rapidly deploy high potential colleagues into key roles.

• Assessment & selection focused on desired behaviours (values) with a view to building the required commercial & leadership skills through continuous professional development.

• Dedicated internal EiC team to attract, identify, retain and develop talented colleagues and equip them to perform effectively.

• Expanded EIC programmes to accelerate talent pipeline build-up.

• Create & deliver targeted interventions aligned to the business strategy that enable colleagues to do their best work.

• Internal mobility mechanisms to allow employees to pro-actively manage internal moves / career steps.

• Maximise the ability to rapidly deploy high potential colleagues into key roles.

• Assessment & selection focused on desired behaviours (values) with a view to building the required commercial & leadership skills through continuous professional development.

We need EiC populations that will provide a pipeline of future talent & potential across the

Bank, supporting our aim to Build a better Bank through coordinated People, Talent &

Resourcing strategies

Why recruit EiC/Talent?

The Santander Experience• 2012 focus on improving the candidate experience • With a target to:

– Attract and recruit highly engaged and ‘suitable’ graduates– Promote what Santander has to offer as a graduate employer– Achieve 95% offer acceptance– Increase Santander’s graduate Times Top 100 / Guardian UK300 ranking– Ensure optimum number of opportunities for suitable internal applicants to

apply to• End-to-end process reviewed and enhanced• Recruitment team grown to deliver excellence• New graduate EVP brand launched

Enhancing the Experience• Personalised communications

– Phone calls instead of emails– Pre-test and interview briefing calls– Recruiter phone numbers available to all– Mentoring to find best-fit programme – Full verbal feedback for all candidates (if requested)– Enhanced marketing campaigns to attract best

internal candidates

• Great candidate experience at AC– Relaxed and engaging environment– Fully trained business assessors

– Personalised candidate packs

Candidate Feedback‘The whole recruitment process is very fast and efficient. I was always very delighted that I was kept posted with the latest process by phone. And I really appreciate that Santander has paid attention to details such as putting the time length for each applicant on the folder at the assessment day.’

‘It was a unanimous feeling within the group that the Santander Graduate team were very welcoming and helpful. What I most enjoyed about the day was being able to interact with high quality assessors who allowed me to bring my ideas forward in an articulate manner.’

‘I was very impressed with the timely response from the Graduate Recruitment Team to any emails or questions that I had. I felt that I was considered as an individual rather than just a “candidate” and all correspondence was very personal. This has helped to put me at ease throughout the application process.’

‘The recruitment team at Santander have been more efficient than that at any other organisation I have applied to. It has been nice to know where I stand within the process, and to not have to wait long periods of time feeling unsure’.

Personalised Post-Offer Process

• Regular HTML emails and calls• Facebook page & on-boarding site• Manager & graduate buddies• Summer giveaways • Business events• Formal induction invite• Branded graduate induction

Current Impact of approach for San UK

• Fantastic candidate feedback• 95% offer acceptance• 1st time nomination for TARGETjobs Best Graduate Employer

Award• Climbed 27 places in Times Top 100• Increasing EiC hiring considerably for 2013• Continuing brand growth in 2013• Candidate experience remains key focus

• Any questions?