Human Capital Training and Development

Human Capital Training and Development

SDGs

Career Development

SKFH regards employees as its important assets, and invests a substantial amount of education and training resources every year to strengthen the professional skills of employees and improve the Company's overall competitiveness. We provide five major principles for training: "improvement of trainings for new employees", "improvement of professional functions", "cultivation of digital talents", "encourage self-directed learning and innovation", and "learning of successful experience", and design related training programs, with the training contents closely associated with the medium- and long-term strategic goals for business management, with a view to improve corporate management efficiency.

To help employees to make preparation for the next step at their work, SKFH not only enhances employee’s functions through training programs, but also has a complete internal rotation mechanism, allowing employees to have the opportunity to try the businesses in different fields so as to become more comprehensive talents. We also attach importance to the succession of management, create a leadership team for succession, select and cultivate main business executives through scientific management tools, so as to achieve the sustainable development of talent pool.



 

Training Input and Effectiveness

In addition to providing all employees with legally required courses such as compliance with laws and regulations, as well as prevention of sexual harassment and money laundering, SKFH also invests a lot of resources in other training programs and provides optional courses for its staff of all ages, genders and levels. The courses link the mission, vision and operating strategies of the company to ensure that the training programs not only improve the functions of employees, but also bring benefits to the company's operating. We use Kirkpatrick Model (hereinafter referred to as “Kirkpatrick”) and Human Capital ROI to regularly track and evaluate the effectiveness of various talent training and development programs, and link training tracking indicators with business performance to measure the effectiveness of training plans and to adjust and plan for the company's overall medium- and long-term talent asset development plans. The overall human capital ROI for SKFH and its subsidiaries is 0.76 in 2023.




 

Employee Training Hours and Cost in 2023

Swipe to see the full table
Category Type of Training Age Level Gender Average
Compulsory Optional < 30 30-49 >= 50 Management
Jnnior-level
Management
Mid-level
Management
Senior-level
General Employees Male Female
Average training hours 50.97 47.09

142.82

97.14 81.67 83.89 72.02 104.58 98.09 93.48 100.29 98.06
Average training cost 2,888 3,432

7,578

6,914 4,916 14,420 11,821 7,544 5,761 7,117 5,932 6,320
 
  • Note 1: Note 1: The training hours specified in this table include internal training, external training, verseas training, online courses, and education and training for new recruits.
  • Note 2: Internal training is organized by the Human Resources Department; external training is conducted by external institutions (for both office and sales personnel); overseas training is training sponsored by the Company (for both office and sales personnel).



 

Human Capital ROI of the Past Four Years

Swipe to see the full table
2020 2021 2022 2023
Human Capital ROI 15.33 11.35 5.77 0.76
 
  • Note: Human Capital ROI = {Return - [Operating expense - (Salary cost + Benefits cost)]} / (salary cost + benefits cost)



 

Benefits of Major Training Programs in 2023

 
Swipe to see the full table
Name of the Program Overview of Program Business benefits Applicable Objects Benefits of Training (Kirkpatrick L1~L5)
SPARK Hero Digital Talent Academy Since 2021, SKFH has established the SPARK Hero digital talent cultivation platform to promote transformation thinking among all employees. Starting with AI research and data-driven approaches, the program complete recruitment, cultivation, training and retention mechanism and expanded in 2023 to encompass over 200 employees across 80 departments, making them pivotal in driving the Group's transformation. Through various courses, workshops, and Digital Day events, the initiative aims to consolidate the consensus goals of the Group's transformation and embed digital DNA into the corporate culture.
  • Employees from SKFH, SKL, SKB, MLS, and SKIT, who have digital business needs, are selected to become "digital seeds." These employees form cross-disciplinary teams, receiving professional technical development support from external consultants and guidance from senior executives. Training is closely tied to company products and services. Teams are encouraged to apply learned techniques, such as machine learning and computer vision, to quickly develop optimized solutions tailored to various companies and products.
  • In 2023, 12 digital technology training seminars covering AI trends, MarTech, GPT, and more were held. Workshops such as Javis Day for generative AI –Chat GPT application and the annual Digital Day event by Shin Kong, featuring the "Digital Reinvention: Leading the AI Game" trend forum and a digital experience area showcasing AI achievements, were conducted to engage all employees.
  1. SPARK Hero: Over 200 employees trained in 2023
  2. Javis Day AI workshop: 41 employees participated, producing 5 generative AI application scenarios
  3. Digital Day: 523 executives and employees attended
  4. Approximately 5%
  • 1.First SPARK Hero Digital Star Competition was hold in 2023, and attracted 40 proposals, with professional judges selecting 8 projects for awards. These winning projects have either been implemented or undergone conceptual validation.
  • 2.Award-winning projects include: An automated post-loan management monitoring mechanism for credit guarantee cases of SKB. This system achieved 100% monitoring coverage, saving over 500 person-days of work per month. Within six months, it preemptively addressed 59 defaults, preventing loan losses amounting to NT$600 million. "OU Wealth Investment": introduced by MLS, enabling the simultaneous opening of two accounts. The process achieved 100% automation, a 94% completion rate, the fastest review time of 2.5 minutes, a 37% YoY increase in online account openings, and a 53% increase among those under 30 years old.
  • Digital Day garnered over 40,000 views on digital media and received an overall satisfaction rating of 4.5 out of 5.
Corporate Finance Business Training Program By providing pre-employment and professional training courses for trainee of corporate finance Assistant Relationship Managers (ARMs), the training aims to shorten their learning curve, integrate them quickly into the corporate culture, and enable them to efficiently handle branch operations, becoming immediately productive.
Include courses on integrated corporate finance products, trust services, and financial products, complemented by group capital markets and securities distribution courses. Offer training in foreign exchange, credit guarantees, and macroeconomics for new ARMs, and on-the-job ARMs and RMs.
Increase business competitiveness and contribute to organizational revenue by enhancing the professional knowledge of corporate finance employees and managers. Corporate and financial colleagues and supervisors, Approximately 2%
  • L5 Compensation assessment: ROI 12.85
  • L4 Result assessment: 
    1. Overall branch revenue: Increased by NT$861,438,873 compared to 2021, a growth of 18.6%
    2. Per Capita Income: Decreased by NT$557,730 compared to 2021, a decrease of 2.8%.
    3. Fee Income: Increased by NT$42,622,530 compared to 2021, a growth of 3.18%.
  • L3 Behavior assessment:100% implementation rate for post-training outcome presentations.
  • Level 2 Learning assessment:100% completion rate for the annual training program
  • Level 1 reaction:88.3% of sales personnel in the corporate finance sector trained.
ESG and AI Hyper Evolution in Trading Training Camp Observing the rapidly changing trends in both domestic and international financial environments, MLS believes that effectively integrating ESG and AI with financial investment products can quickly drive investment performance. We have accordingly organized training courses on the latest trends and potential practical skills for our traders. 
  • "Identification of Sustainability Bonds and Sharing of Market Practices": Covers the global development of sustainable financial products, practical aspects of the sustainability bond market, and methods to identify green fraud/greenwashing in bonds.
  • "MLS Financial Investment X AI": Focuses on the execution and ideation of AI-human collaboration within the investment department.
  • "The Relationship between ESG and Investment Strategies: Theory and Practical Applications": Explores the scope of ESG evaluation indicators for financial investment products, their connection to investment strategies, stock selection criteria, and industry case studies.
Traders and relevant employees from the Bond Department, New Financial Products Department, Futures Proprietary Trading Department, and Proprietary Trading Department under the Investment Management Division
  • L5 Compensation Assessment: ROI 12.23
  • L4 Result assessment: 143.33%
  • L3 Behavioral assessment: training completion rate was 100%
  • L2 Learning Assessment: Test pass rate was 100%
  • L1 Response: Satisfaction rate for the course 87.07%



 

Smooth rotation mechanism

SKFH encourages employees to accept new challenges bravely, and provides them with cross-subsidiary and cross-department rotation opportunities in SKFH and its subsidiaries, including SKL, SKB, MLS and SKIT. with cross-subsidiary and cross-department rotation opportunities. Employees in the group may apply for rotation based on their personal will and career planning to increase diverse development opportunities and improve their personal cross-sector strength. In 2023, the replacement rate of the internal talents of SKFH and its subsidiaries was 83%, which was an increase as comparing with the past three years. In the future, we aim to maintain over 50% of internal talent replacement rate.




 

Internal Replacement Rate of the Past Four Years

Swipe to see the full table
2020 2021 2022 2023
Percentage of open positions filled by internal candidates 52% 59% 82% 83%



 

Internal Hiring Analysis in 2023

Swipe to see the full table
Category Male Female Management level Nationality Workplace Total
< 30 30-49 >= 50 Subtotal < 30 30-49 >= 50 Subtotal Junior Mid- level Senior- level Taiwanese Foreign national Taiwan Overseas
Number of employees 12 113 55 180 23 169 55 247 30 50 33 425 2 424 3 427