The future CEOs of China and the impact of Covid 19 on the next generation: Executive Search Insights

There is an everlasting debate on the importance of age when hiring in China, a debate which, since COVID19, has gained importance. Future executives of the new generation are victims of social distance work, contact through a screen and their formative years, post-diploma, being affected by the world coming to a halt.

The generation an executive belongs to can have an effect on how they lead a team, the way they build relationships in the workplace and the way they create a safe and effective work environment. Reflecting upon the phenomenon of ageism after COVID specifically in China, the global phenomenon can go both ways, older executives esteem the younger candidates to be lazy, too sensitive and lack routine. Zeng Xiangquan, head of the China Institute for Employment Research in Beijing stated that these lowered expectations have “damaged the utilisation of the young labor force,”. The question is, how has this been accentuated by COVID?

The human factor and generation in executive search

Executive search relies on persistence, younger people have been told they lack the motivation, and can be considered unfit for the role especially after being kept inside during the most important years of their lives pre- career. On the other hand, after a rise in reliance on technology brought by the pandemic, “Generation Z” are equally up and coming in a world in which technology such as AI is the future. This therefore means they consider older executives to not be capable of understanding the products being sold, or to be too traditional in several fields such as leadership and even in their customer relationship management.

In China, this subject has been discussed a lot but in particular when speaking of executive search in the sector of technology,  “Let some older members of management retire from their positions,” Tencent Holdings President Martin Lau said. “Their jobs will be taken up by younger people, new colleagues who may be more passionate.” It is argued that, when properly motivated by a world they understand, such as the sector of technology, they are better, and more “passionate” for the 996 system in China, where you start at 9 am and finish at 9pm everyday, 6 days a week.

Most important competencies in executive search in China

The IBM Institute for Business Value (IBV) Trending Insights reports that there was a shift amongst CEOs in China as few executives prioritised  “competencies in crisis management, enterprise agility, cost management, workforce resiliency, innovation, or cash-flow”management as vital to the company. Nowadays, after COVID, executive search must have a different way of filtering for their clients in the same ways executives themselves must shift their way of handling their business, thinking more towards the human factor than they used to. Moreover, IBV also noted that  more than 75% of  executives in China are waiting for changed customer behaviour to remain post COVID-19, exchanging face-to-face contact for online interactions. As a consequence of this, 89% of executives in China state that customer experience management will gain importance over the next two years, as opposed to only 35% before COVID.

The importance of customer experience management stated by executives in China

executive search curve
The importance of customer experience management stated by executives in China
IBV (Institute for Business Value)
 

The effects of the pandemic on executive search have made it clear that there needs to be a restructuring of the traditional system as society leans more toward a future in AI. Younger generations are entering the business world with a different vision and training than those before them, which has been accentuated by the pandemic. This has not only had a detrimental effect on ageism claims within China’s executive world but created a fear that the next generation of CEOs may not be up to the task.

This new obstacle needs not only a new take on executive search but equally a team that knows the ins and outs of the up and coming challenges of organisational alignment, helping with leadership development, tackling management assessment, CEO & Board advisory and outlining talent mapping post-pandemic, these fields are what Zavala Civitas prioritise in the services they offer.

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Executive Search in Mexico: Leading Sectors Shaping Demand 

Over the last few years, Mexico swiftly garnered international investment, earning it the title of one of the fastest-growing countries in capturing global foreign direct investments.   This scenario creates new talent opportunities.  Most Executive Search firms in Mexico have modified their approach from simply filling highest roles in an organization to competing for the extremely limited pool of qualified executive talent for all roles in all sectors.  The demand isn’t even  It is very much concentrated.  Where Demand is Actually Growing  Mexico’s hiring executive pressure is unequal across all sectors. Some sectors are faster and are pulling talent from other sectors. Manufacturing is the clearest example.  With nearshoring, Mexico is becoming a strategically important center for the supply chain for North America. This is due to the fact that international companies are relocating and/or expanding their operations in Mexico. This is supported by McKinsey & Company.  The growth of a business is dependent on its leadership. Companies are in need of quickly scalable plant directors, operations managers, and supply chain executives. Such profiles are deficit.  Executive Search Energy and Infrastructure: Complexity at Scale  There is the highest demand for executive talent within the energy and infrastructure sectors.  Major projects and regulatory complexities, as well as lengthy investments, require leaders who are comfortable with uncertainty in all the essential domains, not just the technical. This includes stakeholder

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Executive Search in Spain: Talent Gaps and Leadership Trends 

The Spanish talent market is perceived to be mature and easy to operate in. This makes some sense from afar. There is a solid network of business centers, a developing international business presence, and a considerable pool of experienced talent.  Problems arise when businesses attempt to recruit senior executives.  In Spain, executive search is shifting from talent arbitrage to understanding the true gaps and the reasons behind their expansion.  Where the Talent Gaps Are Actually Emerging  Spain may appear to have many senior professionals, but the issues here are more complex.  The problem is not the experience, but the type of experience that is most required by the different companies.  As per McKinsey & Company, the nature of change of senior leadership roles in Europe is at a much quicker pace than the nature of change in the senior leadership roles in the talent pool. Executives are required who are able to be strategic, also have the ability to execute, and be the change agent.  That blend is still too little. This is especially the case in Spain in the industries that are shifting the fastest—energy transition, infrastructure, and technology. There are many executives who have strong functional experience, but far fewer who have held positions to manage large, complex transformations, or to operate internationally in complex situations.  This results in the mismatch between the hopes of the companies and the actual situation in the labor market.  The Shift from Stability to Transformation Leadership  For many years, leadership in Spain emphasized operational stability and incremental change.  This is not enough anymore.  At present, companies expect executives to manage change and uncertainty, and lead in multiple dimensions simultaneously, including at the same time digital transformation, new business models, and the increased need for operational efficiency. 

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Executive Search in the United States: Private Equity and Portfolio Leadership  

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Executive Search in Mexico: Leading Sectors Shaping Demand 

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