The arrival of the 21st century brought along a need for a special workforce that is adept in the ways of the world. It also brought along another need for growing smart income. HR and expatriates are the two primary factors in this case.
Expatriates for a business are not a luxury but a necessity. They have become vital for companies to achieve their business goals overseas. At first glance, expatriate management might seem like an easy task, but actually, it is the opposite.
It is a very complex and detailed job for a company to manage and prepare international expatriates. For multinational companies worldwide, it is crucial to employ a capable workforce across borders. Without this mobile workforce, a company is like a fisherman without bait.
Can they send anybody to work abroad for them?
Or do they need to check certain points or provide specific training before sending employees?
Here, we explore the essential role of HR professionals in ensuring a successful expatriation process.
Initial Training and Selection
HR professionals are crucial in training and selecting expatriates. Companies need talented expatriates to compete internationally. Training must address all potential challenges, including local language proficiency and cultural knowledge. Cultural training is vital for employees and their families to prevent expatriation failures.
Selecting suitable candidates involves finding people suited to specific jobs. HR must have in-depth knowledge of the target country and use screening tests and interviews to streamline the process. To save time and resources, prioritize candidates with relevant skills and experience.
Moreover, HR should select healthy, medically fit individuals to minimize health risks and additional costs. Consider the host country’s weather, environment, allergies, and food about the employee’s medical history.
The selection process should align with the assignment’s goals. For example, a salesperson is best for market expansion, while a technical expert is suited for technical roles.
Employee Benefit Solutions
Managing employee benefits can be complex, and HR professionals play a pivotal role in this area. A talented employee with expatriate potential is like a gold mine.
However, that gold mine expects certain benefits and financial solutions from its company. International insurance has gained a lot of value and attraction in the past few decades. It is one of the benefits a company can offer before sending an employee overseas.
International insurance may be a core element of the global compensation for expatriates. It provides the necessary comfort level to the employees, ensuring they and their families are well taken care of, thus giving them confidence and financial security.
Other benefits can include pension packages and healthcare. Employee benefits tend to evolve with the market, so a company must be flexible, agile, and open-minded. They should be ready to change their model and approach to facilitating their employees when needed.
In today’s fast-growing economies, business policies around the globe change regularly. A company with an international presence should always be vigilant and ready for such changes.
A company can hire another firm to facilitate its foreign workforce, known as an international partner. Due to the sudden global expansion of larger corporations and businesses, a vital need arose to facilitate expatriate employees. Such companies offer befitting solutions to remote teams and insurance packages.
Benefits VS Cost
A business’s main objective is to make a profit and grow. Proper costing and estimation of projects are essential for achieving this objective.
According to research, a 3-year international assignment costs nearly $3 million. Yet, many companies need help to get it right. A better approach is to refrain from longer foreign assignments. HR must ensure that potential benefits exceed the total costs. This costing research is essential before establishing a foreign team.
HR professionals can utilize high disappointment rates to invest in upfront and continuous programs to make global tasks effective. Choosing the perfect individual, setting up the expatriate and the family, estimating the worker’s performance from a remote place, and localizing the person at the end of a task requires a well-planned and organized program. Realizing what’s in store from beginning to end and having tools to work with can help minimize risk.
Understanding Culture and Domestic Duties
Understanding the local culture where an expatriate is being sent is crucial, especially for the expatriate’s family. HR must evaluate the employee and their family for cultural fit.
The expatriation will fail if the family cannot adjust to the culture and society. HR must teach employees what to do and what not to do before sending them. The employee must be comfortable with the local culture and willing to perform domestic duties in a foreign country. Business dealings with locals go smoothly when their cultural values are respected. Following their customs can even result in more deals for the company.
On Arrival Support
HR must offer on-ground support to the employee, ensuring all planning is done before departure. From travel tickets, visas, immigration, and other related tasks and documents, HR must support the employee and their family.
Suitable accommodation should be arranged before departure, and a bank account and payroll should be set up according to the host country’s regulations.
If the employee has a family, enrolling their children in local schools is a grand gesture. Transportation services should also be planned, or a transportation allowance can be provided. These on-arrival supports must be planned before the expatriate employee’s departure.
Ensuring Constant Communication
The main intention of sending an employee abroad is to expand the business, which requires continued communication. The home office must always be aware of daily business dealings abroad.
HR must establish a designated team to manage and oversee remote employees, ensuring no communication gap. Remote access to the company’s server may be granted to foreign employees, saving time and ensuring smooth operations.
Employee Motivation
Proper motivation is essential for successful expatriation. HR must keep remote employees motivated, recognizing that motivational methods vary from culture to culture. For instance, an “employee of the month” scheme works well in countries like the USA and Australia.
In Asian countries, appreciating employees as part of a team is more effective. HR must identify how to recognize employees based on their cultural background.
Providing a bigger office, a salary raise or a vacation package for outstanding employees can boost morale and motivation. Senior managers should communicate with remote employees regularly, offering guidance and support. Surprise visits from senior managers can also drive progress and keep expatriate employees focused and dedicated.
Conclusion
Sending an employee abroad is a technical and time-consuming process, but essential for companies wishing to establish a presence overseas. HR professionals always play a critical role in every aspect of this process, from selection and training to support and motivation.
Lastly, by following these guidelines, companies can ensure successful expatriation and achieve their international business goals.
That’s Everything!
Guest writer.