It has been said that globalization is the process by which all human activities on every part of the planet are increasingly interconnected and interdependent. Whether you are linked to mobility with a domestic focus, or your workplace is the entire world, there is no denying that our industry is—more than ever—reliant on a broader and higher knowledge about global workforce mobility issues.
And although there are many issues of which we must be aware, at present, there are five distinct and significant areas that all of us must recognize and appreciate, wherever we are positioned on the globe.
1. Mobility is a key business strategy. Regardless of the headlines about downsizing and hiring freezes, talent management still reigns supreme as one of the principal strategies for businesses today. Effective global workforce mobility programs recognize these truths: a company’s most crucial asset is its people, mobility is crucial to the strategies of attracting and retaining talent, and successful companies are building and aligning their talent and leadership development programs to business strategy for greater business results.
2. Mobility processes and practices are more sophisticated. Companies recognize the changing face of the assignee, and are continually evolving their mobility practices into more targeted and sophisticated methods. They are striking an intelligent balance between cost and the need to tailor mobility benefit packages to fit the current employee or new hire, and, in the case of international assignments, have found that the traditional “fully loaded expat” is not necessarily the only way to accomplish a mobile workforce. Other mobility models such as short-term, localized, local plus, commuter, and hybrid structures have enabled companies to address specific employee needs, reduce costs, efficiently target mobility benefits, and add flexibility in deploying talent across borders.
Just as most challenges bring a parallel benefit, there have been a number of tools developed to help manage mobility: HRIS systems to identify, target, and track high potentials; mobility software to facilitate monitoring the mobility process and associated costs; and, for international assignments, assessment and selection instruments to help ensure the candidate is suitable for the intended position. As the mobility function experiences more integration with company talent programs, its place as a necessary part of business strategy is further cemented.
3. Family matters. Family concerns are more impactful in today’s workforce mobility environment. The increase in the number of accompanying spouses with careers influences the total family income, lifestyle, housing, and a range of other variables. Identifying appropriate schools for accompanying children is daunting and, in some geographies, suitable schooling is sparse and expensive. The ability of the spouse or partner to continue their career in a different state, region, or country can be affected. In general, companies are more mindful of the fact that unresolved family issues can lead, directly or indirectly, to assignment failure... and, conversely, that managing the assignment with the entire family in mind can increase success.
4. The world of global mobility is complex… and always changing. Global mobility is no longer primarily a west-to-east experience. The economic balance of power has shifted from the West to the eastern economic powerhouses of China; India; Brazil; Russia and other eastern European countries; and Africa… creating an infinite mixture of departure and destination locations. As more companies send their employees into emerging markets, there are more incidences of areas which may not have current infrastructure to support such needs as housing, schooling, and medical requirements. The logistics of workforce mobility must be managed, along with a range of issues that include tax, pension, labor law, security, global compensation, global medical, culture, and language issues. Security concerns require anticipation, planning, and agility to address the potential of natural disasters, political threats or the rapid spread of global pandemics by locating, educating, evacuating, and at all times protecting one’s workforce. Immigration and labor laws are in a constant state of flux; and unstable currencies and varying costs for housing and living expenses add to the intricacy of our work. We must have expert support and current data to adequately assess and address risk to both the assignee and the company.
5. Globalization is both old and new. We must shed the concept that globalization is only recently coming into focus. For indeed, from the moment our ancestors first set foot on lands beyond their home countries, globalization was set in motion. As humans, we explore and expand, share our cultures, seek challenge and opportunities, adjust our expectations, and grow our horizons. We are increasingly interdependent… and increasingly aware of how wonderfully interconnected we are.
Dr. Santrupt B Misra Chairman, Worldwide ERC® Global Advisory Council Aditya Birla Management Corporation Pvt. Ltd.
Reprinted with permission of Worldwide ERC(r), MOBILITY Magazine, March 2010.
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