HR Corner Constant learning aids stability and expansion by Nicole Wong Emphasis on learning and teamwork helps growth of both company and employees Chinese herbal products are undoubtedly gaining popularity in Hong Kong, as evident in their increasing visibility on the shelves of supermarkets and in stores around town. However, in what is clearly a competitive market, establishing a recognised brand is no easy task. It requires not only quality products and the right strategies, but also a workforce dedicated to achieving the company's goals and promoting its business philosophy. In recent years, Hung Fook Tong Holdings Ltd has firmly established itself as a favourite local brand and continues to go from strength to strength. It is a manufacturer of bottled herbal tea drinks and has tea house chains and an international market reaching across China, the US and major European countries. Ricky Szeto, executive director, points out that the company's success has been built on a corporate culture that emphasises quality in the development of both new products and of employees. "We consider it our responsibility to offer the best possible products for our customers, as well as to provide real career prospects for our staff," he says. Nowadays, it is widely recognised that competition for high-calibre candidates is intense within the retail industry and that staff retention depends on much more than monetary rewards. According to Mr Szeto, Hung Fook Tong has clear priorities in this respect. It aims to maintain a strong culture of sharing and learning and to communicate its business objectives and expectations to staff as effectively as possible. "They know they will have chances for career and personal development as they progress. The company keeps an open mind and understands that people may make a few mistakes along the way," he notes. There is a particular emphasis on continuous learning and on-the-job training. New recruits for frontline positions undertake an initial one-week training programme which covers essentials such as product knowledge, customer service and daily operations. All trainees then receive coaching and supervision from crew leaders. Those who excel can expect regular promotions every three to six months. Our company treats staff and customers with equal respect Resources available Office-based staff also receive in-depth training in product knowledge, along with coaching from senior managers. Resources are made available to attend external training courses, so that staff at all levels are equipped to meet future challenges. "For example, some of our managers are completing certificate courses in Chinese medicine," Mr Szeto explains. "It is essential for them to be learning constantly from and about their work." He points out that the management team believes the company will proper if employees do, and that this relationship based on mutual benefit begins at the recruitment stage. For this reason, candidates for managerial positions go through a detailed series of interviews and are assessed thoroughly. Since teamwork is such a key part of the company's culture, applicants whose track record shows they will cooperate well with colleagues are preferred. "Once employees join us, we are fully committed to helping them succeed," Mr Szeto stresses. For example, the probation period, which lasts from three to six months depending on the position, is regarded as a time for coaching and adjustment rather than an extended trial. High achievers are recognised for good performance and marked out for faster promotion – an important consideration since the company is currently planning to open new outlets. Inter-departmental meetings are held every two weeks to facilitate communication, and issues of staff management and business strategy are openly discussed. Minutes of these meetings and other company news are posted on the Intranet for the information of all employees. Right support "Such open communication is crucial for maintaining team spirit," Mr Szeto adds. "It helps us see whether we are giving staff the right kind of support and to understand how managers can achieve better coordination." Hung Fook Tong's investment in talent has been rewarded by loyalty. Most of the current managers were promoted from within and the rate of staff turnover at managerial grade in the last five years has been zero. As they look ahead to future business expansion, the company will concentrate on grooming homegrown talent for most of the top positions, especially since such employees can be relied on to share a common vision and values. "Our success will only be sustained by long-term relationships between the company and staff," Mr Szeto says. "Despite limited resources, we have managed to complete several ambitious projects and expand our business in recent years thanks to the hard work of our employees. As the company heads towards exciting new developments, we will continue to invest substantially in staff development, so that we can make the most of future opportunities." Salient points A strong corporate culture of learning and sharing is the basis for staff development On-the-job training and teamwork underpin retention policies and are the foundation for continuous growth Business expansion results from a commitment to the concept of having a long-term relationship with staff A policy of promoting from within has led to great stability at managerial level in the last five years Corporate expansion will allow high achievers to progress more quickly Taken from Career Times 27 May 2005, p. 52 Your comments are welcome at [email protected]