Navigating a Global-Talent- Acquisition Market
By Terry Terhark, Divisional President, The RightThing, an ADP Co.
This is part of a special advertising section on Words of Authority.
"Think globally, act locally," has been the mantra for business expansion across the globe for years. Lately, it's even been referred to as "glocalization." Today, companies continue to migrate to one common approach for doing business in different parts of the world, due to a strong desire for organizations to have a holistic template for all employees -- which, in turn, can help drive increased productivity, efficiency and cost reduction. With increased use of robust technology, more companies have been able to make labor more efficient and make communication quicker. There is a wealth of evidence that supports the benefits of this methodology, but there are also some factors to consider.
New Trends Enabling Globalization
* Vendor relationships. Companies continue to seek out vendors that can do it all within their area of expertise, on a global level, such as reduce transaction cost, create synergy on contract terms and conditions, leverage performance to build in desired outcomes, and expand ROI.
* Process. Today, there is much more internal engagement among operating groups across different geographic regions; having the ability to "speak the same language" regarding process reduces mistakes and provides for better operational outcomes. The elimination of "subjective" use of a process for local needs allows an organization to have the same inputs, outputs and timing.
* Reporting. Big data and analytics continue to be refined to help businesses enhance their use of information across a global organization. Having a common approach and selection of reporting tools and outcomes allows for better planning, utilization of expenses, defined timing of actions and consistent deliverables.
* Technology. Common platforms and tools have allowed companies to get away from integrations and "bolt-on" solutions for technology. Since these solutions are more seamless and have fewer touch points across different vendors, the chances of mistakes are reduced.
* Partnerships. Clients and customers are no longer satisfied with multiple vendors managing their international needs. Today, an increased amount of organizations look for a global partnership structure to provide increased flexibility and subject-matter experts to act as integral parts of the strategy, pre-planning, execution and ongoing operational excellence.
But, in order to become more global, organizations must be aware of the challenges, such as:
Legal compliance. Each region has different business approaches. While you may find a common approach to developing most of your global solution, it's also vital to build in contingencies to account for local uniqueness.
Data and privacy. The protection employees feel they have in terms of information is very different across the globe. Navigating the control and processing of data is extremely important in building out a global operation.
Language. English is one of the predominant business languages, but that will not always be the case, depending on the level of a certain position, the culture of the organization across regions and the varying company locations. The ability to translate, train and understand how to communicate across boundaries is a need, not a want.
Culture. There are many factors that must be taken into account when thinking about an organization across borders: normal working hours, approaches to gender in the workplace and more will all affect the organization. Just because a company is based in the United States doesn't mean that American rules, laws or traditions apply.
Financials. Does your organization need a separate legal entity? Is the contract separate or an addendum? How do local taxes apply to the work being done? How do you deal with inflation and currency fluctuation? Help ensure your finance team is engaged and the attorneys and tax professionals for each country you are doing business in are involved, so they can assist with your commercial needs.
Today, many best-in-class companies are turning to recruitment process outsourcing, as a viable way to build and maintain their emerging global footprint. This trend is also reflected through market research.
Consider Recruitment Process Outsourcing Annual Report 2013 -- Dichotomy of Market Exuberance and Subdued Economy, the Everest Research Group research that reported many U.S.-based companies are driving RPO adoption to European and Asia-Pacific subsidiaries. The study also reported growth spurts for multi-country RPO in Europe, the Middle East and Africa, and APAC.
NelsonHall, an independent BPO analyst firm with U.S. headquarters in Boston, concluded in Targeting Recruitment Process Outsourcing that multi-country RPO contracts represent 33 percent of all new RPO contracts, up from 25 percent in 2010.
Moving forward, it will be imperative for HR and staffing executives to examine and understand the strategies used to build lasting, cutting-edge, competitive recruiting standards in a global market. With increasing research and proven case studies, RPO offers a compelling solution to help organizations build a solid global infrastructure.