When it comes to hiring C-level executives, the tables are slowly turning toward local candidates over expatriates, according to human resources experts.

Even though Hong Kong, being an international financial center, was not immune to the onslaught of the US subprime woes, the real economy of Asia has remained unscathed.

The stellar growth meant that the acute shortage of talents, especially for top jobs in both the mainland and Hong Kong, remains as pronounced as ever.

With more than two decades of experience sourcing top level executives, Brian Sullivan, the chairman of headhunting firm CTPartners, said employers are increasingly looking to hire locally rather than shipping someone from abroad.

"Earlier, the biggest problem in Asia was the lack of sophisticated talents," Suillivan said, "but now there are more and more qualified talents in the local talent pool." He said local professionals had become increasingly qualified, since the influx of expertise from overseas over the past seven to eight years. "Their qualifications are more on par with expatriates than ever before," he said.

With local talents becoming increasingly qualified, they become the preferred choice for companies looking for a person to head their operations in Asia, said Guy Day, the managing director of recruitment firm Ambition.

Distinct advantages

Apart from the familiarity with the language and cultural nuances, local candidates have other distinct advantages. "Localized candidates can start doing business right away, whereas it might take months if not years for a person overseas to adjust and be familiar to local practices," Day said. He said proficiency in Chinese had almost become a must when clients look for C-level executives, especially on the mainland.

"It is perceived that localization is the right thing to do," Day said.

By knowing the language, he said, the executives could actually have a better grasp over the daily happenings within the company because he or she could understand the native language that their staff converse in without the need for translations.

Also, Suillivan said hiring from the local pool eliminates the hassles of moving the candidate from overseas. "It is not only costly financially, but there is also a personal aspect," he said. The recruitment expert said candidates have to face the stress of changing jobs, in addition to moving their whole family to a new location. "So by hiring locally, you practically eliminate the wild card," he said.

However, localization of C-level executives might take a long time to become the prevalent trend.

CTPartner's Suillivan explained that expertise in certain fields remains strained, if not non-existent, at the local level. Take the pharmaceutical industry for instance, Suillivan said companies still rely primarily on expatriates to fill the top positions.

"There is a complete lack of talents with the technological know-how in the local labor pool," he said.

(HK Edition 05/27/2008 page2)