Turning the Global Mobility Function On Its Head
"Ask any CEO of a globally focused company for the most critical influences in their growth and success and you'll certainly hear 'talent mobility' as a part of their answer"
Peggy Smith, Worldwide ERC, President and Chief Executive Officer.
The war for global talent is on. As companies develop their international reach, often into developing countries, so the demand will grow for international global talent to head and support those expansion plans. Several business trends and demographic factors will intensify the challenge they face.
- The predicted 50% growth in global mobility by 2020 (PWC 2013).
- An ageing population as 80 million baby boomers being replaced by only 40 million generation Xers. (PWC 2013)
- The changing nature of the employer/employee relationship. The new generation Y are often referred to as the "me" generation whose "goal is not to secure lifetime employment but lifetime employability, through the building of career skills that are not organisation or location specific." McNulty and Inkson.
- The changing nature of expatriation. The traditional expatriate who comes from the parent company with a fully expensed home-based assignment package is decreasing. PWC report predicted that the number of assignees originating from Head Offices of Multinational organisations will decrease from 80% to 40% by 2020.
The million dollar question (literally) becomes: How will organisations recruit and retain global talent?
This raises the urgency for clearly thought out strategic talent management policies that are aligned to international business development plans.This strategy will need to reflect the changing nature of the employer-employee relationship. There is a growing “dual dependency” between the employer and the employee, replacing the single one directional dependency of old (McNulty and Inkson). Reciprocity between employer and employee is key to developing an engaged and motivated global talent pool. The organization must focus not only on its own corporate strategic return on investment but it must also work to ensure that the employee sees a good return on their personal investment, so ensuring their engagement and loyalty. Whilst income is important it is not the only mediating factor. Employees will want to feel supported and that their intrinsic needs are also being met such as their need for personal development, a good standard of living and lifestyle. This extends to the support given to partners and families which will become even more important for global talent in developing countries.
At the HEART of this strategy is an engaged relationship between employer and employee.
However, as supporters of accompanying partners we often see that rather than well thought through strategic relocation policies and implementation, pressurized human resource professionals are often reacting to “emergency” requirements for assignees to be dispatched to locations around the world - yesterday.Consequently assignments often happen without adequate consideration being given to the fit of the employee or the accompanying partner and family, and with inadequate preparation for the family.
Of course some business needs are urgent, but many are not and the lack of planning leads to a game of Russian roulette with the lives of assigned families and the resources of the company.
When there is only limited focus on the rationale for and objectives of the assignment, the driving force all too often becomes one of cost cutting. We’re not saying that cost control is unimportant, but cutting costs without considering the strategic impact on the assignment objectives can mean companies shoot themselves in the foot before a relocation has even begun. Invest efficiently in assignments that have a clear purpose and are aligned to corporate goals instead of spending on more ad-hoc assignments while at the same time trying to cut costs at the margin. What may seem like a small cut in an assignment package can have an inordinately large effect on the assignee’s perception of the company (spoiler alert – anything that affects the family, particularly children, is especially toxic) and can send the employee to the door of the nearest head-hunter.
The challenge.
The challenge for the Global Mobility function will be to find a way to move from a reactive, cost-driven focus on tactical issues to a strategic focus where it is part of a global talent management sitting at a strategic level within an organization. For this to happen companies need to recognise that international assignments are an investment in the organisation’s human capital.By sourcing global talent with strategic intent, organisations can understand the costs AND the benefits of an assignment and appropriate support programmes become part of the relationship and the investment decision.
This brings us on to the subject of support for the partner and the family. These are not marginal issues, particularly for Gen Y who are known to have a dual focus on family and work and whose views about gender roles are significantly different from preceding generations (Families and Work Institute – Generation and Gender). If the goal of global talent management is the creation of an engaged mobile workforce, then understanding the intrinsic needs of the employee is fundamentally important. The welfare and happiness of partners and families will be critical to employee’s positive engagement in the assignment process and outcomes.
As our research “Career Choice and the Accompanying Partner” showed, the accompanying partner can be a huge asset in a relocation process when engaged and supported by the employer. Providing support that empowers the partner to be self-sufficient and find fulfillment in life abroad pays dividends to the organisation.
A strategy that incorporates the following support steps for partners will create a committed and engaged asset in the relocation process and in your global talent management strategy. It will also mitigate a potentially significant risk to assignment success.
- Encourage and engage the employee and their partner in the decision making process. They have a choice to make and it is better that they make it in a well-informed and non-pressurized way. Then they will be more committed and engaged and with realistic expectations of the assignment objectives, benefits, challenges and process.
- Support the assignee and their partner through the preparation process. Help them to prepare in an organized and informed way. Support them with the information they need to make the right plans and decisions about the relocation process.
- Remember that arrival is just the start of the transition process for the partner/family. This is when support is most needed, to cope with the new culture and its impact on the day-to-day life. Think about ways to support them to make friends and build critical important networks. Read this article for our low cost/no cost ideas.
- Provide on-going support for the partner that empowers them to create their fulfilled life abroad. This is especially important in developing countries where it is often difficult for partners to work in the traditional sense due to work permit restrictions.
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