The number of corporations that send transferees on both short- and long-term global relocation assignments is expected to increase in 2013, as evidenced by the results of a new study.

Global consulting firm Mercer released the results of its most recent Worldwide International Assignments Policies and Practices report, which revealed that 55 percent of companies plan to increase long-term assignments. Further, these companies noted that over the span of the last two years, the overall number of global assignments has also ticked upward. Approximately 52 percent of companies said they have increased long-term assignments between 2010 and 2011, and 53 percent said short-term assignments were also more prevalent during this time period. The leading destinations for both short- and long-term posts include China, United States, Brazil, United Kingdom and Australia.

Companies that participated in the survey also listed the primary reasons for relocating employees. Approximately 47 percent said global assignment programs provide technical skills that are not available in the company’s homegrown talent base, and 43 percent said these assignments facilitate career and leadership development. Thirty-nine percent said sending transferees to a foreign subsidiary is necessary for completing international projects, and 38 percent said the programs provide managerial skills that are not available locally.

“International assignments have become diverse in order to meet evolving business and global workforce needs,” said Anne Rossier-Renaud, principal in Mercer’s global mobility business. “Relatively low pay increases in some regions and pressure on companies to attract and retain talent, have spurred many to embrace a wider range of global mobility strategies to incentivize high performers. Mobility and HR directors now face great complexity in the number and type of international assignments that need managing.”

Meeting global challenges
As more companies focus on meeting global demands and devising new talent strategies, it may be pertinent to work closely with a relocation management company to help HR professionals navigate short- and long-term assignments. Working with a relocation management company can assist companies with the finer details of a global assignment or relocation such as pre-decision cost estimates, immigration matters and global compensation.

Global mobility is becoming a more dominant aspect of business across a variety of industries, and employing strategies to attract and retain talent and provide clear channels for relocating transferees will become more crucial in maintaining a global presence.

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Relocating an employee to an international location can provide value to corporations, whether the assignment lasts from a few weeks to several years. However, the process of relocating a worker and their families requires a great deal of precision to ensure all the necessary aspects of moving are covered. One of the most crucial areas companies must keep in mind is making sure their transferees are properly protected from diseases, viruses and infections that may have been eradicated in their home country.

International expatriate insurance provider William Russell recently interviewed with Re:locate magazine and highlighted the care corporations must take to ensure their transferees are immunized prior to their departure. Immunizations remain a core strategy for disease elimination and containing certain ailments in areas where it is not yet complete. William Russell noted that many people worldwide still lack protection that comes from routine vaccinations, and given recent epidemic outbreaks in several countries where international business is popular, there are several steps companies can take to protect its employees from harm.

First and foremost, companies must ensure transferees are informed of the vaccinations they must obtain prior to relocating, as well as where these vaccines can be obtained. In some countries, such as the United States, certain vaccines – such as the flu virus – are seasonal, meaning that transferees may also be required to undergo additional immunizations after moving to their new location.

Planning before the trip
Some vaccines or immunizations may be available in the country that will host an employee. However, attempting to get vaccinated before traveling may be the best option for individuals. The Travel and Immunization Clinic of Portland notes that limited health resources in certain parts of the world make vaccines scarce and raises the risk of complications from becoming ill with a disease. This possibility underscores the need for transferees and their loved ones to seek immunizations before leaving the country and knowing which medical centers exist in their location to treat them should medical emergency occur.

It’s also vital that companies have a candid discussion with employees about whether their insurance will cover them during the course of their global relocation assignment and, if not, other alternatives that may assist them.

Keeping transferees healthy and productive is of paramount importance in global assignments so ensuring proper immunizations can lower the risk of transferees falling victim to a serious ailment.

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Many companies across the globe have made hiring new talent a priority, while others still lack a comprehensive talent management plan. However, the results of a new report demonstrate that Western economies are in danger of experiencing severe talent shortages by 2030.

British company Esselte Corporation recently commissioned a whitepaper, entitled “The Future of Work,” which highlights the need for Western economies to add tens of millions of employees to its ranks by 2030 or risk falling behind in the international community. The report found that talent shortages in the U.S. and Western Europe will be particularly impactful and will require the addition of 25 million and 45 million employees, respectively, in order for these areas to sustain economic growth.

Key findings of the report reveal that the approach toward work will evolve as employees become more mobile and technologically savvy, which may drive a gap between older employees and new talent. In Europe alone, individuals over age 65 will represent more than 50 percent of the working population. Meanwhile, new technology and mobile capabilities will result in a more mobile workforce that is able to work from a variety of locations. The report projects that as the workplace becomes more mobile, employers should prepare for changes to the “traditional” office environment.

The new workforce will be multicultural
The study also found that in order to adapt, companies must branch out and import talent, if necessary. This will result in a higher volume of global relocation assignments which should include intercultural training as well as an overall emphasis on diversity as companies become more multicultural. In addition to expanding recruiting efforts to other countries, corporate leaders are expected to extend more executive level roles to women than in previous years. Citing data from Goldman Sachs, the report showed that closing the gap between male and female employment would boost GDP by 9 percent in the U.S., 13 percent in Europe and 16 percent in Japan.

As companies manage new global challenges, investments in their workforce will help them remain more competitive with other nations. Some corporations – such as Starwood Hotels and Resorts – who recently relocated its entire headquarters staff to Dubai for a short-term assignment, are building strong international and cross cultural training policies into their talent management initiatives to expand their staff’s global mindset, and establish a better understanding of cultures outside of their own. Companies that recognize the importance of a multicultural workforce now and take creative steps toward building a diverse corporate family may have a competitive edge in the future.

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Multinationals are seeking out a variety of ways to better understand the global market in an effort to refine their global mindset and expand the skill set of key executives. A crucial aspect to understanding global markets is to understand and appreciate the culture of certain regions. Some companies are taking proactive steps to better understand emerging markets, the markets they currently work in and those they hope to enter by sending executives and managers on short-term global relocation assignments.

For example, Starwood Hotels and Resorts recently made the announcement that it is relocating its global headquarters to Dubai for a month-long immersion program in order for executives to broaden their “global mindset.” Dubai has emerged as one of the leading markets in the world, and is currently a key business hub for multinationals from around the world. The decision of Starwood to send executives on a short-term relocation assignment is not the first of its kind. In 2011, the company made a similar move to Shanghai to better understand the business opportunities in the Asia-Pacific region. The company’s choice to cultivate a more culturally-aware executive team may spark a trend among competitors and corporations in different industries.

The company highlighted a number of benefits that this type of short-term corporate relocation program can yield to both individuals and the business as a whole.

1. A greater understanding of potential business markets
Market research can go a long way in helping a company understand a region’s business outlook and opportunities at face value. However, the cultural details of a country’s workforce and business practices can also be telling and can influence a corporation’s decision to participate in the market. For example, executives sent on short-term assignments can report back on compliance practices, cost structures and other critical business issues.

2. A more tolerant, global-minded workforce
Employees that have been exposed to different cultures may develop a stronger level of tolerance and respect for beliefs and practices that are different from their own. A company run by employees that embody these attributes is more likely to be successful and productive in different markets, which in turn positively impacts the bottom line. Further, a more diverse workforce often results in a free flow of ideas that could yield greater innovation for the company.

3. Higher levels of satisfaction, morale
Global opportunities are often cited by workers as an attractive benefit that keeps employees engaged, motivated and loyal to a company. Sending staff members on assignments demonstrates they are a valuable part of the team, and offering travel opportunities often encourages employees to work harder for the chance to be chosen for a relocation opportunity.

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The emergence of the “virtual” workplace has been a growing trend for some time, and many companies and employees value the convenience, cost-savings and quality of life benefits that virtual networks provide. For all the benefits that virtual portals have to offer, however, these are not always ideal methods of communication for workers and employers.

A new workplace study conducted by TrackVia found that face-to-face communication was preferred by workers in a number of circumstances. For example, in-person communication is the preferred method when employers are giving both good and bad news to employees. According to the study results, 69 percent of respondents preferred sharing “positive” feedback face-to-face versus 63 percent who prefer sharing “negative” feedback face-to-face. This may include information about promotions, raises, performance reviews or negative feedback about projects.

In addition, in-person collaboration is sometimes a necessity on large projects, especially in an increasingly global environment. More companies are recognizing this fact, and rescinding or setting new parameters on telecommute programs. For example, Yahoo recently ended its work-from-home option, and Best Buy followed suit by placing restrictions on its telecommute policy, according to CNN Money. Rather than allowing employees to make decision about working remotely, workers must now require permission to do so from a manager. The companies noted that the cancelation of telecommute options were not designed to punish workers, but to keep employees engaged and facilitate the free flow of ideas.

“In the context of a business transformation, it makes sense to consider not just what the results are but how the work gets done,” Best Buy spokesperson Matt Furman said in an emailed statement to CNN. “It’s ‘all hands on deck’ at Best Buy, and that means having employees in the office as much as possible to collaborate and connect on ways to improve our business.”

Relocation may facilitate collaborative efforts

As corporations begin to conduct more business in an international environment, managers should avoid relying too heavily on virtual technology in the midst of projects and managing new account relationships. Given the importance of in-person communication on pitching ideas, working out issues and carrying out new tasks, short-term domestic of global relocation assignments can play an increasingly important role in helping companies secure new business contracts and become a heavier player in the global economy. Sending transferees on these assignments helps to ensure that important details don’t fall through the cracks and instructions are not misunderstood or lost in the shuffle of email transmissions or chat sessions.

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As the economy continues to slowly repair itself and talent shortages remain problematic, many companies are seeking out new strategies to optimize employee motivation, productivity, work satisfaction and retention. A recent study found that some companies are focusing on making radical shifts to company policies, rather than focusing on a single aspect that drives positive work sentiment – company culture.

Jones Lang LaSalle reports many corporations have attempted to force motivation and productivity, rather than take small steps to build a company culture that leaves workers feeling fulfilled and attracts new hires.

“The real workplace debate is all about driving culture as a key driver of business performance,” asserts Susan Lim, a member of the Jones Lang LaSalle global workplace strategy board. “To drive the global economy, you’ve got to create a shared culture aligned with CEO vision. You can’t mandate motivation. We should be debating how companies create and sustain culture, community and experience.”

Creating a unified and positive company culture
One of the first steps many companies should be taking to boost motivation and productivity is demonstrate to workers that there are opportunities open to them. By incorporating relocation within the talent management strategy of an organization, companies can improve the way they attract and then retain key talent. Offering global relocation opportunities, providing competitive benefits and instituting a comprehensive rewards system for employees can help to foster the idea that they work for a company that is invested in their career development.

The study noted that it is also important for employers to build a sense of community and group cohesion among workers. This can be accomplished through team building and offering opportunities for social interaction outside of the office confines. Workers who get to know each other personally may have a better attitude and be more motivated toward their positions when working among colleagues with whom they feel a connection.

Lastly, the authors found companies that improving the collaborative atmosphere may develop a more motivated and productive workforce. This includes not only providing flexible work arrangements, but also creating an inviting work environment. When workers are uninspired to come to the office, they may begin avoiding face-to-face contact and seeking out more virtual means of communication, which can inhibit group cohesion.

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Most companies warmly welcome transferees back to their country of origin following a long global relocation assignment. However, this may not be sufficient to keep employees from leaving the company.

A 2012 study found that nearly 38 percent of employees returning from a global relocation post voluntarily leave the company within a few months of returning home. This is up from 25 percent of repatriated workers who moved to another corporation in 2005. Corporations should keep in mind that returning home after working internationally can be challenging for workers. This may be the case for several reasons, ranging from feeling unappreciated following a long-term assignment to experiencing isolation or frustration within the company culture. The latter is particularly true because as years pass, workers may return home to find their old colleagues in new departments or with other companies.

Offering repatriation services to transferees can help diminish negative feelings and reduce turnover rates, and there are a number of actions corporations should undertake when welcoming workers back.

Develop re-entry programs
Workers may return home to find new processes, compliance guidelines, systems, technology and company rules. This can be a great deal to take in, and failing to properly train employees and acclimate them slowly can lead to feelings of frustration on the part of the worker. Therefore, corporations should take the time to develop these programs and check in with employees to ensure they are easing back into their new or previous position.

Recognition is crucial
One of the core reasons for high turnover rates is feeling unappreciated by an employer. This may be particularly true for transferees who perceived they would be more valuable to a company after returning from an international post. Multinationals should make a conscious effort to recognize the employee’s achievements upon return and offer them the chance to share their experiences. In addition, hosting a corporate welcome back event or taking transferees and their families to dinner are also small, but effective ways to demonstrate appreciation.

Discuss future goals and opportunities
Transferees typically gain a great deal of new experiences and skills while overseas, and discussing employees’ future goals and aspirations may help them feel as though the company cares about their professional development. Companies may also consider promoting workers, creating new job titles or opening up additional opportunities for returning transferees.

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Finding top talent and retaining key workers is no longer a problem that is specific to only a handful of countries. New research findings show that HR professionals worldwide are reporting talent shortages as a key issue facing their industry in 2013. In response, a new study found that most companies are implementing new talent strategies and reward programs to entice and retain critical workers.

A new study conducted by Deloitte entitled “Top Five Global Employer Rewards Priorities Survey” found that HR professionals plan to prioritize global talent shortages and retention issues over the next three years. Twenty-four percent of U.S. companies, 28 percent of European corporations and 24 percent of businesses located in the Asian-Pacific region indicated they will revamp their retention strategies. When global companies ranked the strategies they would adopt to help attract and retain talent, providing reward programs and incentives ranked No. 1 on the list. However, many analysts noted the difficulties that HR professionals must overcome to optimize their talent searches.

Global challenges in attracting skilled workers
One of the key obstacles many companies face is developing a workforce of varying experience levels and ages. For example, the study noted that workforces in China, the U.S. and Europe are aging more quickly than they can bring in new talent, while those in Brazil and India are seeing younger workers filling their ranks. Therefore, the authors noted that catering rewards based on the different ages, experience levels, goals and stages of workers was crucial. Older workers with families may see compensatory rewards as the most highly preferred as they plan and near retirement, while younger workers may seek out global relocation opportunities and the chance to experience a new culture. Understanding what factors motivate workers can help companies build a stronger, more effective rewards program that both attracts new workers while retaining top talent.

“The reality of today’s workplace is one where four distinct generations can be seen in the same workforce,” said Michael Wilson, CEO of the International Foundation and International Society of Certified Employee Benefit Specialists. “To stay competitive, companies have to redefine their total rewards programs to motivate, attract and retain employees at every stage within their career and with somewhat divergent demands from their employer.”

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Global and diversified workforces can be assets to corporations, as the different cultural, language and educational backgrounds of employees can facilitate innovation and broader ideas. However, these same advantages can also lead to more workplace conflicts, as the potential for disagreements and misunderstandings may be higher.

Mitigating issues between workers of different backgrounds can seem challenging initially, and many managers may be hesitant to get directly involved. However, resolving conflicts among workers is important to team cohesion and create a more tolerant group of workers. This is particularly important for multinational firms who frequently assign employees to global relocation assignments. There are a number of ways managers can take charge of workplace disagreements and help workers resolve disputes and get to a place of mutual understanding.

A recent article in Business Management Daily – which publishes the HR Specialist – tackled this issue and cited the importance of allowing all parties to speak their minds. Having one-on-one meetings with employees in an open and unbiased environment that allows them to air their troubles can demonstrate that managers are willing to listen. Failing to have an outlet can leave workers pent up with frustration, which over time can exacerbate small issues that could have been easily resolved.

A one-on-one session is an oft-used method that can help de-stress frustrated workers. Managers should keep in mind, though, that people of different cultural backgrounds may have disputes about how to tackle a certain task or solve another workplace issue. However, intervening on each and every issue can work against building teamwork and allow employees to flesh out problems to reach common ground and find a solution. Joseph Byrnes, professor of management at Bentley College’s Graduate School, told the news source that managers should hold back from mediating until issues begin to affect their work or that of other employees.

Objectivity is crucial for personal and legal reasons
Managers should take an objective and unbiased stance toward employee conflict resolution. Disregarding rank, personal relationships and office politics is essential when mediating workplace disputes. Failing to do so may not only discourage other employees with similar problems to come forward, but may also lead to lawsuits against the company on the part of the injured party. Further, lacking objectivity can also create internal divisions in the department and lower workplace morale. Alternatively, being fair and open to solutions can not only resolve workplace conflicts quickly, but also serve as a lesson for employees on tolerance and how to resolve issues in the future.

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A growing number of companies are investing more resources and energy into finding and training their top talent, amid studies that demonstrate the correlation between a skilled force and corporate financial success.

According to a recent study conducted by talent management firm SHL, less than half of organizations surveyed use objective talent data to drive business decisions, which includes relocating employees to take advantage of international opportunities. Failing to maximize employee talent pools can lead to lost global opportunities to engage in new markets and build a workforce that is more diversified, productive and motivated.

Implications of the findings
The results of the survey found that talent remains a top priority for HR professionals in 2013, with 55 percent seeking to engage their workforce on a greater level and 49 percent focusing on performance management. Another 42 percent will zero in on better training initiatives for their workforce.

“Our research shows that even though organizations measure employee performance, they have historically focused on efficiency data, like how well an employee is performing versus data that allows them to make a strategic talent decision,” said Ken Lahti, vice president of product development and innovation at SHL. “This means key information on talent potential and future capability is overlooked, effectively making targeted programs that identify the next generation of leaders and nurture talent for critical roles ineffective. This increases succession risk for organizations, putting business performance and continuity in jeopardy.”

Nurturing talent has always been recognized as a critical role in business success, and companies can better assess and cultivate their talent through several methods. For example, ensuring all workers have equal opportunities to professional training and leadership programs is crucial. This will give companies a greater pool to choose from when expanding into new markets that may require a significant investment in global relocation for their workforce.

It is also important for companies to diversify their talent. Employing workers from different backgrounds and cultures allows for the free flow of ideas .Providing opportunities for employees to collaborate on teams or projects with colleagues outside their own culture and /or language can be a good opportunity to broaden an employee’s skills and strengthen their global mindset. This combination can make corporations more competitive in a global business environment.

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