A survey conducted by the human resources consulting firm, Mercer, has found that a majority of financial services companies around the world are taking significant steps towards adopting a sound risk culture amongst their workforce.
The ‘Global Financial Services Executive Compensation Snapshot Survey‘ demonstrates that 62 per cent of the 68 financial companies surveyed have carried out initiatives to penalise misconduct and non-compliance to a ‘great degree’; in addition to 58 per cent communicating clear (risk) culture objectives.
In regards to performance management, more than half responded that their performance management strategy works well, despite only a small proportion indicated that it delivers exceptional value, with 50 per cent of all banks planning to make changes to their performance management processes in the next 12 months; compared to just 16 per cent of insurers.
Senior partner and financial services talent leader at Mercer, Vicki Elliott, said: “It’s encouraging to see companies engaging senior leaders to set an example when it comes to risk taking and compliance behaviours. The best way to foster a sound risk culture and combat excessive risk taking is with strong, authentic leadership who are willing to manage consequences for good and bad behaviour.”
Employee value proposition (EVP) was also a prominent topic of conversation, as many stated that they are making, or have made, substantial changes to attract and retain talent; thus 47 per cent have introduced learning and development programmes and 43 per cent remote working programmes.
Read more on the research here
