200906 ey global mobility survey

7/29/2019 200906 EY Global Mobility Survey

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Global mobility

effectiveness survey

2009


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3Global mobility effectiveness survey Ernst & Young 2009

Contents

Executive summary 4

Global mobility effectiveness survey 6

1. Introduction 6

2. Respondentscompanyprole 6

3. Typesofassignmentsandpolicies 7

3.1. Short-termassignments 7

3.2.Long-termassignments 7

3.3.Driversforassignments 8

3.4. Assignmentpolicies 10

4. Globalmobilityfunction 12

4.1. Organizationalsetup 12

4.2. Meetingexpectationsandreturnoninvestments 15

5. Globalmobilityprocesses 19

5.1. Selection 21

5.2. Preparation 21 5.3. Onassignment 21

5.4. Repatriation/post-repatriation 22

6. Globalmobilityservices 22

6.1. Preparationservices 22

6.2. Ongoingassignmentservices 24

6.3. Technology 27

6.4. Futuretrends 28

7. Riskmanagement 29

8. Globalmobilityeffectiveness 32

9. Costandcontrol 34


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4 Global mobility effectiveness survey Ernst & Young 2009

Executive summary

Theworldisembracedinanunprecedentedeconomicdownturnwhichis

bringingbothchallengesandopportunitiestoglobalmultinationalcom-

panies.Unlikeotherdownturnshowever,HRisbeingchallengedtodoso

muchmore:handleamorecomplex,andinsomecasesstillincreasing,as-

signeepopulation;overseemorediversepoliciesandtypesofassignment;

manageorreducecost;runefcientprocesses;reduceorganizationalrisk.

Allofthisismostlywiththesameorevenlessresourcethanbefore.

OurGlobal mobility effectiveness survey 2009isrunningforitssecond

yearandoffersacomprehensiveandbroadrangeofviewswith155par-

ticipatingglobalmultinationalcompaniesheadquarteredintheAmericas,

Asia-PacicandEurope.Thesurveystaskistoassesstheeffectivenessof

theglobalmobilityfunction,itsprocessesandpolicies,andtooffercom-

parisonwithourrst2008survey.Additionally,thesurveywasexpanded

thisyeartoprovidebenchmarksofkeyobjectivesforinternationalHR

managementinthiscurrenteconomicclimate.

Theresultsofthesurveyaredetailedonthefollowingpagesandshow

comparisonsbygeography,bymarketbestpracticeorexpectations,andour2008survey.Thekeyresultsofthissurveyinclude:

71%ofcompanieshaveaclassiclong-termassignmentpolicy,67%have

short-termpoliciesbutonly22/23%havecommuterorregionalpolicies.

Only18%ofsurveyedcompanieshavedifferentiatedstrategicordevel-

opmentalpolicieswhileafurther10%aregoingthatway.

Companiesloseupto15%oftheirassigneeswithin2yearsofrepatria-

tionbutrepatriationisseenasthemostimportantphaseofanassign-

mentbyonly1%ofrespondents.

Preparation(55%)andselectionofassignee(36%)arethe2mostim-portantphasesoftheassignmentbut61%ofIHRteamsarenotinvolved

inassigneeselection.


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Companiessurveyedwereaskedtorankintermsofurgencyareas

inneedofimprovementwiththetop4beinginorder:1.assignmentad-

ministration;2.costcontrol;3.processes;4.policy.

Thetop4risksweresimilarlyrankedas:1.incometax&reporting;

2.accidentalexpatriates;3.socialsecurity&reporting;4.corporatetax.

Only20%ofcompaniesknowtheirtrueexpatcost,58%haveanapproxi-

matecostonly,81%arelookingtotakemeasurestosavecost.

Ofthekeyareasoffocusformanagingcostthetop5inorderare:

1.globalmobilityprocesses;2.localizations;3.policies;4.vendor

outsourcing;5.strategyapproach.

Wehopethatyouwillndthesurveyofinterestandofuseinallowingyou

insightintootherorganizationviews,geographicaldisparitiesandinto

thefutureobjectivesofoursurveyparticipants.Wealsoencourageyouto

lookatyourowninternationalHRfunctionandchallengeyourcurrentpro-

cessesandapproaches:inthesepastyearsofgrowthmanyopportunities

orissueshavebeenpushedasideandnowisthetimetogobackandlookwhethertheycanunlockvalue,beitinprocessefciency,policycostman-

agementorriskreduction.

Ultimatelythissurveyisabouttakingadifferentlookatthewayweseethe

internationalHRfunction.Welookforwardtoyourfeedbackandyourpar-

ticipationinour2010survey.

Kevin Cornelius Chris Debner

HumanCapitalPartner HumanCapitalSeniorManager

June2009


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Global mobility effectiveness survey

1. Introduction

TheGlobal mobility effectiveness survey 2009analyzestheef-

fectivenessoftheglobalmobilityfunction,processesandpoli-

ciesofleadingmultinationalcompaniesandofferscomparison

withourrst2008survey.Additionally,thesurveycovered

questionsrelatedtothecurrenteconomicclimatebyanalyzing

costmanagementstrategiesintheinternationalHRenviron-

ment.

Questionnaireswerereceivedfrom155organizationshead-

quarteredacrossEurope,theAmericasandAsia-Pacicfroma

diversityofindustrysectorsprovidingstatisticallysignicant

ndingsacrossthegeographiesandsectors.

2. Respondentscompanyprole

50%oftheparticipantsofourGlobal mobility effectivenesssurvey 2009areheadquarteredinEurope,39%intheAmericas

and11%havetheirheadquartersinAsia-Pacic,demonstrating

theglobaldimensionofthesurveyandprovidingcontrast

acrossthethreegeographicareas.

Where is your Company headquartered?

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Theparticipatingrespondentcompaniesoperateacrossthefull

rangeofindustrysectorswithFinancialServices(15%),Indus-

trialProducts/Manufacturing(13%),Technology(13%)and

Retail&ConsumerProducts(12%)moststronglyrepresented.

To which industry sector does your Company belong to?

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Over50%oftherespondentssurveyedrepresentmultinationals

withmorethan20,000staff,and14%withmorethan100,000

employees.Butalsosmallercompaniesparticipatedinoursur-

veywith44%havinglessthan20,000employees.

How many people are employed in your Company worldwide?

q

q

q

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26%

15% 13% 13%12%

7% 7%

4% 3%


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3. Typesofassignmentsandpolicies

Assignmentsaremostlycoveredanddenedbypolicieswith

themostcommonbeingshort-term(oftenlessthan12of

18monthsinterm)orlong-termassignmentpolicies(often

15yearsinterm).

3.1.Short-termassignmentsAlmostthree-quarteroftherespondentsindicatedthatless

than1%oftheirtotalglobalemployeesareexpatriatesonshort-

termassignments.

What % of the total number of employees are assignees?Short-term < 12 months

q

q

q

3.2.Long-termassignmentsIn68%ofthecompaniessurveyed,long-termassigneesrepre-

sent01%oftheirtotalworkforce.

What % of the total number of employees are assignees?Long-term > 12 months

q

q

q

AsageneraltrenditcanbeobservedthatEuropeanheadquar-teredcompaniessendmoreexpatriatesonshort-termassign-

mentsthanAmericanandAsian-Pacicbasedcompanies.15%

oftheEuropeancompaniesindicatethatover2%ofemployees

areshort-termassignees,whereasonly11%oftheAmerican

and8%oftheAsian-Paciccompanieshaveover2%oftheir

employeesonshort-termassignments.Incontrast,thereare

morelong-termassigneessentfromAsian-Pacicheadquar-

teredcompaniesthanfromAmericansorEuropeans:30%of

Asian-Paciccorporationsindicatedthatover2%oftheirem-

ployeesareonlong-termassignmentswhileonly15%ofthe

Americanand18%oftheEuropeancompaniesreportedsucha

gure.


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3.3.DriversforassignmentsThesurveyshowedthatmostinternationalassignmentsare

projectbased,followedbymanagerialandstrategicassign-

mentswhichwerecitedasthesecondmostfrequentdriver.The

leastfrequentassignmentsareemployeedriven,besidesother

reasonscited.

What are the main drivers in your Company for sending peopleacross borders?*

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ThegeographicalcomparisonshowsthatinEuropeemployee

drivenassignmentsoccurmorefrequentlythaninAsia-Pacic,

butsubstantiallymorethanintheAmericas.Employeedriven

assignmentsarelessexpensiveforcompaniesduetopossible

savingsintraditionalexpatriateallowances,suchasmobility

premiums.AmongEuropeanheadquarteredcompaniestheuse

ofthistypeofassignmenthasrisennoticeablycomparedtolast

yearsresults.Therefore,companiesintheAmericasmaycon-

siderwhetheremployeedrivenpolicieswouldworkefciently

withintheirHRfunctions.

InAsia-Pacic,managerialandstrategicreasonsarethemost

frequentdriverforinternationalassignments.Butinterestingly

inEuropeanandAmericanheadquarteredcompaniesthere

wasapproximatelyathirdwhoindicatedotherdrivers,which

maybeglobalnomads,technicalskills,etc.,whereasnoneof

theAsia-Paciccompaniesexperiencedsuchdrivers.Thismay

bearesultofthestageofgrowthorcomplexityofanassignment

programorsimplyofdifferentcorporateculturesacrossthe

geographies.

78%

22%

66%

34%

26%

74%

19%

81%

18%

82%


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Asia-Pacific*

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80%

20%

83%

17%

69%

31%

24%

76%

31%

69%

86%

14%

100%

86%

14%

31%

69%

100%

0% 0%

81%

19%

74% 73%

43%

22%26% 27%

57%

78%


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Themajorityofthesurveyedcompanies(82%)havenotdiffer-

entiatedtheirpolicies,i.e.fordevelopmentalandstrategicas-

signments;however10%ofthoseareconstructingnewpolicies.

Recenttrendshaveshownthatcompaniesaremovingtowards

suchdifferentiatedpoliciestoseekbenetsfromcostsavings,a

betteralignmentoftheirinternationalassignmentswiththeir

globaltalentmanagementprocessesandabettertofthebusi-

nesscasesandtheassignees.Iftheseapproachesdodeliver

value,therearemanysurveyrespondentswhomaywishto

evaluateachangeinpolicyapproachtounlockthesebenets.

Do you have different policies for developmental andstrategic assignments?

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In2009,44%oftherespondentsdevelopedtheirpolicywiththe

useofbenchmarkingand32%usedexternalproviderstodevel-

optheirinternationalassignmentpolicy.Incomparisontoour

2008surveyageneraltrendcanbeseenforengagingexternal

providerstodevelopinternationalassignmentpolicies.

3.4.AssignmentpoliciesWesurveyedthetypesofassignmentpoliciesusedordeployed

byrespondentsandunsurprisinglyfoundthatlong-termpolicies

(71%)andshort-termpolicies(67%)aremostcommonly

used.

Interestingly,forAsian-Pacicheadquarteredcompanies,trans-

ferpolicies,foreignlocalhirepoliciesandregionalpoliciesplaya

moreimportantrolethanintheAmericasandEurope,whereas

manyEuropeancompaniesstillhaveonlyoneglobalpolicy.

Which policies for internationally mobile employees exist inyour Company?*

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71%67%

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31%

24% 23% 22%


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Bytakingacloserlookonthethreegeographicareasofoursur-

vey,itcanbeobservedthatpoliciesaremoreoftenreviewedin

theAmericasandinEuropethaninAsia-Pacic.

How often do you review / benchmark your policy?

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What describes the approach your Company took in developing yourpolicies best?*

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Inconstantlychangingmarketsandbusinessobjectives,compa-

niesareencouragedtoupdatetheirpoliciesregularly.Thisis

especiallytrueinthecurrenteconomicsituationascostaware-

nessandtheneedforraisingefciencyareashighasneverbe-

fore.However,accordingtothesurveyonly29%ofparticipating

companiesrevieworbenchmarktheirpolicyannuallyand23%

doiteverysecondyear.

44%

32%28%

16%

3%


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Themajorityoftheparticipatingcompanies(39%)indicated

thatoneinternationalhumanresourceemployeehandleson

averagelessthan25assignees.In25%ofthecompaniesone

dedicatedinternationalhumanresourceemployeehandles

2549assigneesandin36%ofthecompaniesthenumberof

assigneesperIHRemployeeisevenhigher.Thisshowsawide

varianceinthelevelofpotentialinteractionbetweenglobal

mobilityfunctionsandtheirassigneesandallowsconsiderations

ofthebalancebetweencomplexityandefciencyofglobalmo-

bilityfunctions.

How many assignees are handled on average by a dedicatedIHR employee?

q

q

q

q

4. Globalmobilityfunction

Thefollowingquestionslookedatthestafngandgeographical

organizationofacompanysglobalmobilityfunction.

4.1.OrganizationalsetupOutoftheparticipatingcompanies,69%werefoundtohavelessthan6full-timeemployeesdedicatedtotheirinternational

humanresourcemanagement.

Please provide the number of dedicated IHR staff in your Company.(Number of FTEs)

q

q

q


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The Americas

q

q

q

q

Europe

q

q

q

q

Asia-Pacific

q

q

q

q

ThegeographicalcomparisonshowsinEuropethatinternational

HRteamshandlethehighestnumberofassigneesperteam

member.InEurope,onefull-timeIHRemployeeisonaveragere-

sponsiblefor46assignees,inanAmericanheadquarteredcom-

panyanIHRemployeeistypicallyresponsiblefor41assignees

andinAsia-PacictheIHRteammembercoversonaverage

30assignees.Theresultsaremorepronouncedforlargeras-

signeepopulationswhere10%ofEuropeanheadquarteredcom-

paniesnotedthatanIHRteammemberisresponsibleformore

than150assignees,comparedto3%ofAmericanheadquar-

teredcompanies.


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How is your staff geographically organized?

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60%oftheparticipantsbelievethatthenumberoftheirdedicat-

edinternationalhumanresourcestaffisjustright,whereas36%

havetheperceptionthattheirIHRisunderstaffed.AlthoughIHR

employeesofEuropeanheadquarteredcompanieshavetohan-

dlemoreassignees,signicantlymorerespondentsofAmerican

basedoperationssaythattheyareunderstaffed.

Do you believe that your IHR is overstaffed / understaffed?

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Themajorityofglobalmobilityteams(34%)arelocatedin

headquartersandregionalcentersand31%aretobefoundonly

inheadquarters,adheringtothegeneraltrendseeninthemar-

kettocentralizetheglobalmobilityfunctionandadministration

oftheassignments.

Overthelastfewyearsagrowingnumberofmultinationals

havesetupaglobaland/orregionalemploymentorganizations.

Reasonsforestablishingaglobalemploymentorganizationare

multipleandrangefromanincreaseintheeffectivenessoftheir

globalmobilityfunctiontopermanentestablishmentriskreduc-tion.ThebenetsderivingfromaGEOarenumerouswhileat

thesametimethecomplexityofdesigningandimplementing

suchastructureshouldnotbeunderestimated.

In2009morecompanies(10%)reportedtohavesuchaglobal

and/orregionalemploymentorganizationsinplacecomparedto

2008(7%),andourexperienceinthemarketshowsthatan

increasingnumberofcompaniesarealsocontemplatingamove

intosuchastructure.


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What are the most often addressed issues by international assignees,i.e. what did not meet their expectations during an assignment?*

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*Multipleanswerswerepossible

4.2.Meetingexpectationsandreturnoninvestments

Thischapterfocusesonthemostcommonassigneeissuesand

analyzestheissueslinkedtorepatriation.

Itisimportantwhenanalyzingtheresultsofaglobalmobility

functioninmeetingexpectations,tolookatitfromtwosides,

boththecompanyexecutivemanagementsperspectiveand

thatoftheassignee.Iftheassignmentexperiencehasturned

outtobenegativeand/orledtotheterminationoftheem-

ployee,globalmobilityinvestmentsmayhavebeenlost.

Theuseofkeyperformanceindicators(KPIs),whichareclosely

linkedtothecompanysoverallbusinessstrategyfortheglobal

mobilityfunction,hasbecomemorewide-spreadinrecent

years.However,thecomplexityofidentifyingtherightKPIsfor

acompanyandtheavailabilityandcomparabilityofquantitative

andqualitativedataaroundtheassignmentprocessremainsa

challengeformany.

56%oftherespondentsofthissurveyagreedthatthemain

issuewhereassigneeexpectationswerenotalwaysmetisthe

compensationpackage,followedbyfamily-andspouse-related

issues(40%)andrepatriation(28%).

56%

40%

28%

18%16%

8%


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ThegeographicalcomparisonshowsthatinEuropefamily-and

spouse-relatedissuesaswellastherepatriationphaseofanas-

signmentaremuchmoreoftenaddressedbyassigneesthanin

theAmericasorinAsia-Pacic.Inreturn,compensationpack-

agesseemtobeespeciallyimportantanddifculttohandlein

Asia-Pacic.

The Americas*

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Adenedrepatriationprocesslinkedtotheglobaltalentman-

agementsystem,withhomecountrysupportandrecognition,

aresomeoftheprovenwaystomanageassigneeexpectations

andkeepvaluableexperiencesgainedwithintheglobalorgani-

zation.Suchprocesseswillbemoreacutelyneededbyglobal

mobilityfunctionswhereIHRemployeeshavetohandleonaver-

ageahigheramountofassignees,butallIHRwillstilllikelyface

resourceconstraintsinaddressingtheseissuessufciently.

Tomanagefamily-relatedissues,spousalsupportand/orallow-anceisoftenprovided.Itisbecomingincreasinglymoreimpor-

tanttondalternativewaystosupportspousesthansimplythe

paymentofallowanceswhichcanbespentonadiscretionary

basis.Innovativesolutionscanbeconsideredsuchasproviding

morehands-onspousalsupportwithspousebusinessnetworks,

assistanceinjobsearchandinobtainingworkpermits.Another

trendthatcanbeobservedaretheso-calledvirtualcareers:

whilethespouseaccompaniestheinternationalassigneehe/she

continuestoworkonavirtualbasisforhis/heremployerinthe

homecountryalthoughthisthrowsupotherimmigration,tax

andsocialsecurityissues.

54%

41%

28%

13%

21%

15%

48% 48%

35%

25%

17%

2%

100%

17%

8% 8% 8% 0%


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Whenanassigneereturnshomebeforetheplannedendoftheir

assignment,thismayleadtoaconsiderablelossofreturnonin-

vestmentforthecompanyandontheotherhandtodissatisfac-

tionoftheassignee.Thatsaid,81%oftherespondentsindicat-

edthatlessthan5%oftheirassigneesreturnbeforethe

contractualenddate.However,forthe8%ofrespondentsindi-

catingthatmorethan20%oftheirassigneesrepatriatebefore

theendoftheassignment,thereseemstobeworktobedone.

Whereas10%ofassigneesfromEuropeanand9%ofassignees

fromAmericanheadquarteredcompaniesreturnearlierthan

expected,only6%ofassigneesfromAsian-Pacicbasedcorpo-

rationsgobackbeforetheenddateoftheirinternationalassign-

ment.

What is the appropriate % of international assignees who return fromtheir assignment before the contractual end date?

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Theanswerstooursurveyquestionsontherepatriationphase

showthatmostassigneesreturntoanotherposition(38%),

whichisnotastonishingastheirnewlygainedexperiencesand

knowledgeenablethemtotakenewresponsibilities.However,

24%ofassigneesreturntotheirpreviousposition/department.

23%ofallexpatriatesgoagainonassignmentduringthenext

2yearsfollowingtheirrepatriationand12%resignfromtheir

companyinthefollowing24monthsaftercomingbackfrom

abroadwhatimpliesaconsiderablelossofinvestmentandloss

ofvaluableknowledgeforthecompany.Incomparablestudies

thepercentageofassigneeswholeavetheircompanieswithin

24monthsafterrepatriationisevenhigherandrangesbetween

15%and40%.


18/48


Whentakingacloserlookonthegeographicsplitsomeconsid-

erabledifferencesofassigneesnextstepsafterrepatriationcan

beobserved:

InEuropeandinAsia-Pacicaround40%ofhome-comingexpa-

triatesreturntoanotherposition.IntheAmericasitisonlyone

thirdoftheassigneesthattakenewresponsibilities.

InAsia-Pacic31%oftheassigneesreturntotheirprevious

positionand/ordepartment.IntheAmericasandinEuropethis

numberisclearlysmaller:slightlyover20%llthesamejob

theyoccupiedbeforetheirassignment.

IntheAmericasandinEuropeonequarterofthereturned

expatriatesgoagainonaninternationalassignmentduringthe

2yearsfollowingtheirinitialassignments.InAsia-Paciconly

12%goagain.

Americanheadquarteredcompanieshavetoacceptthelargest

lossofexpatriatesinthe2yearsaftertheirrepatriationandthereforehavepresumablyissueswiththerepatriationphaseas

15%ofreturnedexpatriatesleavetheircompaniesduringthis

time,whileinEurope10%andinAsia-Paciconly7%resign

fromtheircompanies.

During the first 2 years after repatriation, what percentageof your assignees:

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19/48



Which of the following phases of the international assignment processis the most difficult from your experience?

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Thejuxtapositionofthemostimportantandmostdifcultphas-

esinthegeographicsplitshowssomeinterestinginsightswitha

clearandsurprisinggapindistinctionbetweenwhatisimpor-

tantversusdifcultespeciallyintherepatriationandpost-repa-

triationphases.Intalkingtosomecompaniesabouttheresultsitseemsthatalthoughtheawarenessistherethebusinessde-

mandsgreaterfocusontheearlierstagesoftheassignment

processandhenceobjectives(importance)aresetappropriate-

ly.Agreaterawarenessofthepotentiallossofinvestmentcom-

ingfromtherepatriationstagesmayhelpchangethebusiness

focus.

5. Globalmobilityprocesses

Thefollowingquestionsanalyzetheimportanceandchallenges

ofdifferentglobalmobilityprocesses.

Whenaskedforthemostsignicantphaseoftheinternational

assignmentprocess,themajorityoftheparticipatingcompanies

(55%)consideredthepreparation(pre-departure)phaseas

themostimportantfollowedbytheselectionoftheassignees

(36%).Thisseemstobeespeciallytrueforcompanieswith

headquartersintheAmericasandAsia-Pacic,whichseemto

focusalmostexclusivelyonthesetwophases,whereasinEu-

ropetheassignmentphase,repatriationandpost-repatriation

areweightedwithgreaterimportance.

Which of the following phases of the international assignment processis the most important from your experience?

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Anotherpictureemergeswhenaskingaboutthemost

difcultphaseoftheassignmentprocess.Theparticipating

companiesreportthemostdifcultieswiththepreparationof

theirassignees(37%)andtheirproperrepatriationafterthe

assignment(24%).


20/48


Asia-Pacific

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21%

51%

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21/48



5.2.PreparationFor55%oftheparticipatingcompaniesagoodpreparationofan

assignmentismostimportantandforthemajority(37%)also

themostdifcultpossiblyduetorapidlychangingeconomicand

regulatoryenvironmentsfacedbycompanies,anincreasing

numberofassignmenttypesanddifferentcountrycombinations

involvedandheavierdemandsbythebusinessonanincreasing-

lyresource-scarceIHRfunction.

AmericanandAsian-Pacicbasedcompaniesespeciallyrecog-

nizetheimportanceofthisphase,butatthesametimeseemto

havethemostdifcultiestomanageitproperly.

5.3.OnassignmentOnassignmentchallengeswereconsideredlesscrucial,only8%

oftherespondentsvotedthesemostimportantpointingto-

wardsthedifcultiesrelatingtotheassigneeandfamilyadapt-

ingtothenewcultureandbusinessenvironment.However,this

resultissurprisingasinarecentstrawpollofHRdirectors

aroundtheworldtalentmanagementandsuccessionplanningisakeyobjectivewhichwouldtintothispartoftheassignment

process.

IntheAmericasonly3%ofthesurveyedcompaniesperceive

thisphaseasmostimportant,thoughcomparedtotheother

geographicareastheyfaceatthispointofanassignmentthe

greatestchallengesas18%admittedthatitisthemostdifcult

one.

5.1.SelectionTherightselectionofandbusinesscasefortheassigneeisan

imperativeforasuccessfulassignment.Asexpected,itwas

thereforedeclaredasoneofthemostimportantphasesbythe

participantsofoursurvey.

Itisinterestingtoseethatonly11%oftheglobalmobilitypro-

fessionalssurveyedcouldreportthattheyareactuallyinvolved

intheselectionprocessofassignees,andonly28%reportedto

beinvolvedonacasebycasebasis,thusshowingthevastma-

jorityofglobalmobilityprofessionalsarenotatallinvolvedin

theselectionprocessdespiteperceivingittobeoneofthemost

importantones.Companiesshouldthereforeconsiderincreas-

ingtheinvolvementoftheglobalmobilityfunctionintheselec-

tionprocess,giventhefactthatthisisoftentherstandmost

criticalstageintheoverallsuccessoftheassignment.Global

mobilityprofessionalshavebetterinsightintothecharacteris-

ticsandrequirementsneededforworkingoverseasandshould

partnerwithlinemanagerstohelpselectthebestpossiblecan-

didates.

Is your IHR involved in the selection process of assignees?

/P

$BTFCZDBTF

:FT


22/48


6. Globalmobilityservices

Thefollowingchapterlooksattheuseofglobalandlocalservice

providersandthesplitofin-houseactivitiesbetweenIHRand

localHRduringthepreparationandduringanassignment.Addi-

tionallyalookwastakenattheuseoftechnologyandfuture

trendsinglobalmobility.

6.1.PreparationservicesWhenpreparationservicesareperformedinternally,theyare

mostoftensharedbetweenIHRandhostHR.Informationmeet-

ingsandimmigrationareinthemajorityofcasesorganizedby

IHR,whilelook&seetripsarearrangedbyhostHR.Taxexit

meetings,languagecoursesandcross-culturaltrainingsinthe

majorityofcasesarenotdealtwithbyeitherhome,hostHRor

IHR.

5.4.Repatriation/Post-repatriationOnly1%oftherespondingcompaniesseetherepatriationphase

asthemostimportantone,whereas24%declaredrepatriation

asmostchallenging.InparticularEuropeanheadquarteredcom-

paniesseecomplexityinbringinghometheirexpatriatesand

33%declaredthisphaseoftheassignmenttobemostdifcult.

InterestinglyAmericancompaniesdonotperceivetherepatria-

tionphaseasdifcultastheirEuropeancounterparts,although

theyhavethehighestturnoverrateofrepatriates.

Themajorityofthecompaniessurveyedreportedtohavea

standardizedrepatriationprocessinplace(65%)whichhelps

todealwithassigneeretentionandreadjustmenttothehome

countryenvironment.However,35%ofrespondentsindicateda

lackofsuchprocessesintheirorganization,possiblyleadingto

ahigherexpatriateturnoverandsubsequentrelatedcosts.

Do you have a standardized repatriation process?

:FT

/P

Linkingtalentmanagementsystemstoassignmentmanage-mentandpreparingforafuturejobalreadyintheassignment

preparationphaseandalsoinitiatingtherepatriationprocess

withengagingindiscussionswithexpatsuptooneyearbefore

theendoftheassignmenthasproventobeakeyinthelong-

termretentionofreturningassignees.



23/48



Which activities are performed to prepare staff for internationalassignments?*

Internal

*)3 *OIPVTFOPU*)3

$SPTTDVMUVSBMUSBJOJOH-BOHVBHFDPVSTFT5BYFYJUNFFUJOHT-PPLTFFUSJQT*NNJHSBUJPO*OGPSNBUJPONFFUJOHT

)PTU)3 OB

Wherepreparationservicesareoutsourced,localprovidersare

chargedwithlanguagecoursesandlook&seetrips,whereas

globalprovidersmoreoftentakecareoftaxexitmeetings,infor-

mationmeetings,immigrationandcross-culturaltraining.

Which activities are performed to prepare staff for internationalassignments?*

External

-PDBMQSPWJEFS (MPCBMQSPWJEFS

*OGPSNBUJPONFFUJOHT5BYFYJUNFFUJOHT$SPTTDVMUVSBMUSBJOJOH*NNJHSBUJPO-PPLTFFUSJQT-BOHVBHFDPVSTFT

OB


Whengroupingtheresponsesintothethreegeographicalareas,

itcanbefoundthatmoreglobalprovidersareusedintheAmer-

icasandinAsia-PacicwhileEuropeanheadquartercompanies

stillusemorelocalproviders.

66%

16%13%

6%

35%

17%

28%

20%25%

15%

41%

19%22%

14% 13%

51%

21%

4%

21%

54%

20%

6% 10%

64%

67%

25%

8%

47%

32%

20%

45%50%

5%

42% 44%

14% 14%

82%

3%

14%

82%

33%


24/48


6.2.OngoingassignmentservicesActivitiesperformedduringassignmentssuchasperformance

management,salaryreviews,crisismanagement,exception

management,costmonitoringandrepatriationarenormally

linkedtostrategicdecisionsandthereforekeptinternally.Thisis

seenasleadingpracticeamongmultinationalsalsoaccordingto

othersurveys.

Exceptionmanagement,repatriationpreparationandcostmoni-

toringaremostlyperformedbyIHR,whereashostHRtakescare

ofperformancemanagementandcrisismanagement.Salary

reviewsareasoftenaddressedbyIHRasbyhostHR.OtherIn-

houseHRfunctionsaremainlyinvolvedinperformanceman-

agement,salaryreviewsandcrisismanagement.

Which activities are performed during international assignments?

Internal

*)3 *OIPVTFOPU*)3

$SJTJTNBOBHFNFOU1FSGPSNBODFNBOBHFNFOU4BMBSZSFWJFXT$PTUNPOJUPSJOH3FQBUSJBUJPOQSFQBSBUJPO&YDFQUJPONBOBHFNFOU

)PTU)3 OB


71%

9% 11% 9%

63%

18%

12%7%

52%

22%17%

10%

34% 34%32%

0% 11%

32%

53%

3%

27%26%

33%

14%


25/48



Wherecompanieshaveoutsourcedtheirongoingassignment

services,almostonlyglobalprovidersareused,withafew

exceptionsinrepatriationpreparationandcrisismanagement

wherealsolocalprovidersmightbeemployed.

Which activities are performed during international assignments?*

External

(MPCBMQSPWJEFS -PDBMQSPWJEFS

4BMBSZSFWJFXT&YDFQUJPONBOBHFNFOU$PTUNPOJUPSJOH$SJTJTNBOBHFNFOU3FQBUSJBUJPOQSFQBSBUJPO

OB

*Norespondentdoesperformancemanagementexternally

61%

8%

31%

55%

3%

36%

0% 0% 0%

31%

16%

42%

64%69%

84%


26/48



Policymanagement,compensation&benets,shareplans/

stockoptions,payroll,pension,securityissuesandinsurance

areinmostcasesmanagedinternally.Mostcompaniesreport

thatinternalaswellasexternalservicesaddresssocialsecurity,

laborlawissuesandhousing,whereasglobalhealthcare,school-

ing,immigration,relocation/shippingandtaxcompliancearein

mostofthesurveyedcompanieshandledexternally.

Incomparisontoour2008surveythetrendtowardsoutsourc-

inghasincreasedandmorecompaniesassignactivitiessuchas

immigration,housingandschooling,relocation/shippingandtax

compliancetoexternalproviders.

How does your Company address the following topics?

*OUFSOBM &YUFSOBM #PUI

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Ithasbeenseenthatthemoredecentralizedanorganization

isandthemorestakeholdersareinvolvedinprovidingglobal

mobilityservices,thehighertheriskincompliance,costand

controlissues.Readersofthissurveymaythereforebenchmark

wheretheysitintermsofprovisionofglobalmobilityservices

withtheabovesurveydata.

86%

72% 72%

67%65%

60%

51%

42%

38%

28%

20%

15% 15%

7% 1%1%

13%

1%

27% 26%

2%12%

23%

31%

4%

12%

29%

21%

28%

16%

43%

16%

46%43%

28%

48%

32%

41%44%

46%

40%

67%

26%

59%

40%


27/48



6.3.TechnologyThemajorityoftheparticipatingcompaniesusetechnologyto

manageassigneedatastorage(68%),assignmentcostestima-

tion(53%),balancesheetgeneration(52%)andtaxandso-

cialsecuritycompliance(51%).

In which areas are you using technology to support yourglobal mobility process?*

3FTQPOTFTJO

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Furtherpossibilitiestousetechnologyinthefuturearemainly

seeninassigneecostestimation(54%),assigneedatastorage

(47%)andbalancesheetgeneration(37%).

In which of the following areas do you plan to use technologyin the future?*

3FTQPOTFTJO

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Useoftechnologyisanotherwaytoshiftglobalmobilityprofes-

sionalsfocustostrategicissuesratherthandealingwithtime

consumingadministrativetasksaswellastoreducecostsand

makeefciencysavings.Mostoftheglobaltaxservicesprovid-

ersalsohaveglobaldatabasesavailablefortheadministration

ofassigneedata,taxreturns,costcollectionandestimations

andbalancesheets,whichcansignicantlysaveglobalmobility

timeandcost.

Ontheotherhanditissurprisinginsomewaysthattheuseof

technologyisnotmorewidespreadincertainkeyareasof

IHRadministration,especiallycostestimation,assigneedata

storageandbalancesheetgeneration,orinchallengingareasof

globalcorporatecompliancesuchascompensationaccumula-

tionorglobalequity.

68%

53% 52% 51%

39%

30%

12%10% 8%

54%

47%

37% 35%32%

24%21%

10% 9%


28/48



6.4.FuturetrendsMostoftheparticipatingcompanies(47%)donotplantoout-

sourceanyIHRandin-houseactivitiesduringthenext1to2

years.However,thosewhowilloutsourcementionedadministra-

tion,payroll,relocationservices,immigrationandtaxandsocial

securityasareasthatwillbepassedtoexternalproviders.In

comparisonto2008,adecreaseinoutsourcingplanscanbeob-

servedinmostareas.

Which of your IHR and in-house activities are you planning tooutsource during the next 1 to 2 years?

5BYBOETPDJBMTFDVSJUZ

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3FTQPOTFTJO

Asimilarpictureshowswhenlookingattheinsourcinginten-

tionsofthesurveyedcompanies.86%ofparticipantssaidthat

theyhadnoplanstoinsourcecurrentlyoutsourcedactivities.In

theAmericasandinAsia-Pacic,nocompanyreportedanyin-

tentiontoplananyactivitiesduringthenext1to2years.

Again,in2008thepercentageofcompaniesplanningtoin-

sourceanyactivitieswasmuchhigher.

Outsourcingawellasinsourcingmeansabigchangeeffortthat

manycompaniesareapparentlynotwillingtoassumeinthe

currenteconomicsituation,oralternativelytheyhavealready

completedtheirplans.

Which of your IHR and in-house activities are you planning to insourceduring the next 1 to 2 years?

3FTQPOTFTJO

"ENJOJTUSBUJPO%POmULOPX/POF

47%

26%

9%6% 6% 4% 3%

86%

8% 5%


29/48



7. Riskmanagement

ThemostchallengingIHRtopicswereindicatedbythepartici-

patingcompaniestobetaxcompliance(52%),immigration

(39%)andcompensationandbenets(37%).Theimportance

oftaxandimmigrationcomplianceisconsideredoneofthekey

challengesalsobyothersimilarsurveysconductedinthelast

twoyears.Thisislikelyduetoaconstantlychangingregulatory

environment,newtypesofassignmentsandthehighervariance

inassigneenationalities.Infactwithtaxlawsnowchangingin

responsetofallingtaxrevenuesincertaincountries,andin-

creasedimmigrationscrutinyinmanymarketsduetorisingun-

employment,ourviewisthatthesechallengeswillonlyin-

crease.

Companiesseemtohavelessdifcultiesindealingwithsecurity

fortheirassignees,relocation/shippingandinsuranceasthese

topicswerenamedastheleastchallenging.

Whereastaxcomplianceandimmigrationarestillontopofchal-

lengingIHRtopics,thecomparisonwithour2008surveyshows

thatcompaniesreportedmoredifcultieslastyearinpolicy

management,payroll,laborlawissuesandsocialsecurityandit

islikelythattheirprioritieshavechangedratherthandifculties

intheseareasdecreased.

Which of the following IHR topics are the most challenging in yourcompany?*

7FSZDIBMMFOHJOH $IBMMFOHJOH /PUDIBMMFOHJOH

*OTVSBODF

3FMPDBUJPO4IJQQJOH

4FDVSJUZ

(MPCBMIFBMUIDBSF

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5BYDPNQMJBODF


52%

31%

18%

39%37%

34% 33% 33% 33%

28% 28%

23%

17%19%

10% 8%

30%32%

35% 36%36%35%

31%

40%

31%

36%

30%

35%35%

30% 31% 31%32% 31% 31%

41%

33%

47%45%

53%55%

58%


30/48



Themainissuesintheglobalmobilityprocesswherecompliance

risksareidentiedbytherespondentsofthissurveyareincome

taxreportingandwithholding(63%),accidentalexpatriates

(53%),socialsecurityreportingandwithholding(45%)and

corporatetax(45%).

Theseglobalmobilityriskscanadverselyaffectbusinessobjec-

tivesand/orresultinpenalties,additionaltaxes,lossofcostcon-

trol,nancialstatementexposure,harmtocompanyreputation

and/orlosttax/costsavingopportunities.Thereforesettingupa

riskmanagementprocesstomonitorandimprovecurrentinter-

nalcontrolshasbecomehigherupintheglobalmobilitymanag-

ersagenda.Manymultinationalshavealreadydevelopedand

benetedfromacommonglobalriskmanagementmethodology

toincludeimprovedresultsintheglobalmobilityfunction,to

avoidanypotentialharmtothecompanysreputation.

What are the main areas in your global mobility process where you seecompliance risks?*

(MPCBMFRVJUZ

&NQMPZNFOUMBX

*NNJHSBUJPO

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3FTQPOTFTJO


63%

53%

45% 45%

36%

19%16%


31/48



IntheAmericas,immigrationissues(43%)arealsoseenasa

signicantcompliancerisk,whereasinEurope,accidentalexpa-

triates(77%)andcorporatetax(60%)seemtobebigchal-

lengesinadditiontoincometaxreportingandwithholding.

The Americas*

3FTQPOTFTJO

(MPCBMFRVJUZ

&NQMP

ZNFOUMBX

*N

NJHSBUJPO

$PSQPSBUFUBY

FHQFSNBOFOU



BOEX

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Europe*

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FHQFSNBOFOU



BOEXJUIIPMEJOH

"DDJEFOUBM

FYQBUSJBUFT

*ODPNFUBY

SFQPSUJOHBOE

XJUIIPMEJOH

Asia-Pacific*

3FTQPOTFTJO

(MPCBMFRVJUZ

&NQMPZNFOUMBX

*NNJHSBUJPO

$PSQPSBUFUBY

FHQFSNBOFOU



BOEXJUIIPMEJOH

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XJUIIPMEJOH


65%

57%

43%

30%

43%

14%

22%

60%

77%

49%

60%

30%

23%

7%

60% 60%

40%

20%

30%

20% 20%


32/48



8. Globalmobilityeffectiveness

Alargemajorityoftheparticipatingcompanies(71%)stated

thattheirglobalmobilityfunctionisveryeffectiveand25%

indicatedthatitiseffective.

AmericanandEuropeanheadquarteredcompaniesweremore

self-condentintheiranswerstothisquestionthanAsian-Pacif-

icoperationswhichjudgedonly30%oftheirIHRfunctionsas

veryeffectiveand50%aseffective.

How would you rate the effectiveness of your IHR function?

7FSZFGGFDUJWF

&GGFDUJWF

/PUFGGFDUJWF

Inordertoachieveexcellenceinglobalmobility,thesurveyed

companiesseeurgentneedofimprovementinthefollowing

areas:assignmentadministration(30%),costcontrol(26%)

andprocesses(26%).

Astheglobalmobilityfunctionthrivesforexcellence,thefollow-

ingthreeareaswereseenasrequiringthemosturgentneedfor

improvement:consistencyofpolicies,processesandstructure

(44%),centralizingglobalmobilityknowledge(31%)andthe

useoftechnologyandHRsystems(13%).

Where do you see the most urgent need of improvement in yourIHR functions? / What are your top priorities for this year?*

3FTQPOTFTJO

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30%

2 6% 2 6%

21%

10%9%

8%7%

5%4%


33/48



Whencomparingthethreedifferentgeographicalareas,itisin-

terestingtoseethatintheAmericasassignmentadministration

(38%)andprocesses(34%)areprioritiesforimprovement,in

Europepolicies(23%)arethetoppriority,whereasinAsia-Pa-

cicprocesses(50%)andtax/compliance(38%)arethemost

importantareasofimprovement.

The Americas*

3FTQPOTFTJO

,OPXMFEHF

TIBSJOH

0VUTPVSDJOH

1BZSPMM

5BY

DPNQMJBODF

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Europe*

3FTQPOTFTJO

,OPXMFEHF

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0VUTPVSDJOH

1BZSPMM

5BY

DPNQMJBODF

7FOEPS

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5FDIOPMPHZ

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Asia-Pacific*

3FTQPOTFTJO

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38%

28%

34%

21%

10% 10%7%

14%

7%

3%

21%

15%

21%23%

8% 8%

5%

8%

5% 5%

13%

0%

50%

13%

0% 0%

38%

0% 0% 0%


34/48



9. Costandcontrol

58%oftheparticipantsadmitthattheydonotknowtheexact

costsoftheirinternationalassignmentswhile22%statethat

theydonothaveacompleteoverview.Asaresultcompanies

willnotbeinapositiontoprovideexactguresforcostsavings

eitherbutapproximationsonly.

Do you have an overview of the cost of your assignments?

:FTCVUOPUFYBDUDPTUT

/PDPNQMFUFPWFSWJFX

:FTGVMMZ

EspeciallycompaniesfromAsia-Pacichavetoacknowledge

thattheydonothaveacompleteoverviewofthecostoftheir

assignments(36%).

Americancompanies,however,havethebestoverviewoftheir

assignmentcosts.25%afrmthattheyhaveafulloverviewand

withthisresultcomeinrstbeforecompanieswithheadquar-

tersinAsia-Pacic(18%)andinEurope(17%).

The Americas

:FTCVUOPUFYBDUDPTUT

/PDPNQMFUFPWFSWJFX

:FTGVMMZ

Europe

:FTCVUOPUFYBDUDPTUT

/PDPNQMFUFPWFSWJFX

:FTGVMMZ

Asia-Pacific

:FTCVUOPUFYBDUDPTUT

/PDPNQMFUFPWFSWJFX

:FTGVMMZ


35/48



Anoverwhelmingmajorityof81%ofthesurveyedcompanies

areplanningmeasurestosavecostsinglobalmobility.

Are you planning any measures to save costs in global mobility?

:FT

/P

EspeciallyintheAmericas,companiesintendtosavecostsin

IHR:85%oftheAmericanparticipantsareplanningsuchmea-

sureswhilemostofthecompaniesthatdonothavekeyinitia-tivesforcostsavingsarelocatedinAsia-Pacic(30%).

The Americas

:FT

/P

Europe

:FT

/P

Asia-Pacific

:FT

/P


36/48



Asexpected,themajorityofrespondents(45%)declaretaxes

tobethemaincostdriversoftheirinternationalassignment

programs,followedbyhousing,whichwasnamedby26%ofthe

participatingcompanies.Otherresponses(13%)canbe

groupedintoallowances,exceptionstopoliciesandthecostof

assigneeswhoareoverstayingtheirassignments.

What is the main cost driver in your assignment program?

*OUFSOBUJPOBM

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3FTQPOTFTJO

Thecompaniesoutofthethreegeographicareasreporta

signicantdifferencewhenaskedaboutthemaincostdriver

oftheirassignmentprograms.

CompaniesfromtheAmericas(55%)aswellasfromAsia-Pa-

cic(67%)assertwithanabsolutemajoritythattaxesarethe

maincostdrivers,whileonly30%ofthecompaniesfromEurope

canagreewiththisappraisal.InEurope,housingseemstobe

oneofthemaincostdrivers(30%)besidestaxes,followedby

vendors(18%).

The Americas

*OUFSOBUJPOBM

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3FTQPOTFTJO

45%

26%

13%

12%

4%

55%

23%

10% 10%

2%


37/48



Europe

*OUFSOBUJPOBM

TDIPPMJOH


3FTQPOTFTJO

Asia-Pacific

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30% 30%

15%18%

8%

67%

11%

22%

0% 0%


38/48



Thefollowingquestionanalyzedwherecompaniesputtheirfo-

cusoncostsavingsintheirglobalmobilityprograms.Essential-

ly,theyseepossibilitiesforcostsavingsthroughimprovements

inglobalmobilityprocesses(52%)aswellasinlocalizations

(52%).Onethirdrespectivelyputtheirfocusonglobalmobility

policies,benetsandincentivizationaswellasonvendorman-

agementandoutsourcing.Whilewehaveseenbeforethattaxes

wereidentiedasthemaincostdriversofassignments,itisin-

terestingtoseethatonly21%focustheircostsavingsinitiatives

towardstaxes.Thisshowsthatmorelimitedsavingsrelatedto

taxesareexpected,orunderstoodyetastaxlawsinresponseto

theglobaleconomiccrisisarejuststartingtochange.

On which areas are you focusing your efforts to achieve cost savings?

4PDJBM4FDVSJUZQMBOOJOH

0UIFS

5BYQMBOOJOH

(MPCBM.PCJJUZ4USBUFHZ$PNQFOTBUJPOBQQSPBDI

7FOEPSNBOBHFNFOU

(MPCBM.PCJMJUZ1PMJDJFT#FOFGJUT*ODFOUJWJTBUJPO

-PDBMJ[BUJPOT

(MPCBM.PCJMJUZ1SPDFTTFT1SPDFTTFGGJDJFODJFT

3FTQPOTFTJO

52%

52%

34%

34%

33%

21%

10%

6%


39/48



CompanieswithheadquarterslocatedintheAmericasputtheir

prioritytoachievecostsavingsonlocalizations(41%),incon-

trasttoEuropeancompanieswhichexpectpossiblecostsavings

mainlyinglobalmobilityprocessesandincreasingprocessef-

ciencies(30%).

ConspicuouslyfewcompaniesheadquarteredinEuropefocus

ontaxplanningtoachievecostsavings(6%).

The Americas


0UIFS

5BYQMBOOJOH


7FOEPSNBOBHFNFOU


-PDBMJ[BUJPOT


3FTQPOTFTJO

32%

41%

20%

20%

20%

21%

7%

2%


40/48



Europe


0UIFS

5BYQMBOOJOH


7FOEPSNBOBHFNFOU


-PDBMJ[BUJPOT


3FTQPOTFTJO

Asia-Pacific


0UIFS

5BYQMBOOJOH


7FOEPSNBOBHFNFOU


-PDBMJ[BUJPOT


3FTQPOTFTJO

30%

28%

25%

22%

17%

6%

7%

4%

43%

43%

36%

36%

36%

21%

0%

7%


41/48



Onaverage,95%oftheparticipatingcompaniesareexpectedto

reducetotalassignmentcostsby12%.Themajorityconsiders

5%to10%ofcostsavingsasrealistic.Onlyfew(5%)expectto

save30%andmoreoftheirassignmentcosts.

By what percentage are you expected to reduce total assignment costs?

qqq

3FTQPOTFTJO

Averyvaryingpictureisshowingwhenlookingattheexpected

reductionoftotalassignmentcostsinthethreegeographicar-

easofoursurvey.

Asian-Paciccompaniesexpectthehighestcostreductions

(100%expecttoreduceonaverage16%oftheircosts),fol-

lowedbyAmericancompanies(91%expecttoreduceonaver-

age13%oftheircosts)while97%oftheEuropeancompanies

onlyexpecttoreduceonaverage10%oftheirtotalassignment

costs.

The Americas

qqq

3FTQPOTFTJO

29%

42%

16%

9%

9%

12%

48%

15% 15%

9%


42/48



Europe

qqq

3FTQPOTFTJO

Asia-Pacific

qqq

3FTQPOTFTJO

Themajority(57%)isstillnotforcedbycostpressuretoreduce

thetotalnumberofassignees,while43%saythattheyareplan-

ningtoreducethenumberoftheirassignees.

Are you forced by cost pressure to reduce the total number ofassignees?

/P

:FT

44%

32%

18%

3% 3%

38% 38%

13% 13%

0%


43/48



Itisstrikingthat53%ofcompaniesheadquarteredintheAmeri-

casareforcedbycostpressuretosendpresumablylessassign-

eeswhileonly39%ofEuropeanand27%ofAsian-Paciccom-

panieshavetotakethismeasure.

The Americas

/P

:FT

Europe

/P

:FT

Asia-Pacific

/P

:FT


44/48


28%oftheparticipantsexpectthattheheadcountoftheirglobal

mobilityteamwillbereducedduetothecurrenteconomic

situation.Itisinterestingtoseethisresult,whenitisunder-

stoodthat35%believethattheirIHRisalreadyunderstaffed

and61%feelthatthenumberoftheirdedicatedstaffisjust

right.

Do you expect that the headcount of your global mobility team will bereduced by the current economic situation?

/P

:FT

EspeciallyAmericanheadquarteredcompaniesexpectthatthe

headcountoftheirglobalmobilityteamwillbereducedbythe

currenteconomicsituation(34%),whereasonly27%ofthe

Europeancompaniesand18%oftheAsian-Paciccountries

presumeareductionoftheirdedicatedstaff.

The Americas

/P

:FT

Europe

/P

:FT

Asia-Pacific

/P

:FT



45/48


Theanswerstothefollowingquestionshowthatcostpressureis

responsibleforhaltedinitiativesandprojectsinglobalmobility.

Mostprojectsandinitiativesinglobalmobilityaretraditionally

aimingtoincreasetheefciencyandcomplianceofinternation-

alassignmentprogramsandthereforegeneratingcostsavings

inthemid-andlong-term.Thefactthatathirdoftherespond-

entswillstopprojectsandinitiativesissurprisingandmaylead

toareevaluationonhowprojectsarepositionedwithintheor-

ganization.

Did you have to stop any initiatives and projects due to the currenteconomic situation?

/P

:FT

Inallthreegeographicareasthecurrenteconomicsituationis

responsibleforhaltedprojectsinglobalmobility.Slightlymore

companiesfromAsia-Pacicreportedthattheyhadtostopinitia-

tives(36%)thanfromtheAmericas(33%)orEurope(33%).

The Americas

/P

:FT

Europe

/P

:FT

Asia-Pacific

/P

:FT



46/48


Whilerecentsurveysshowedthattheawarenessforriskinglob-

almobilityisalreadyhigh,ourresultshowsthatwhile71%state

thattheirawarenesshasnotchanged,almost30%havenowan

evenbiggerfocusonrisks.

Has your awareness of risks in global mobility (compliance, financial,reputation) changed in the current economic situation?

/PPVSBXBSFOFTT

IBTOPUDIBOHFE

:FTUIFSFJTBCJHHFS

GPDVTPOSJTLT

:FTUIFSFJTMFTT

GPDVTPOSJTLT

EspeciallycompaniesfromtheAmericas(33%)andfromAsia-

Pacic(36%)reportthattheirawarenessofrisksinglobalmo-

bilityhasincreasedduetothecurrenteconomicsituation.

The Americas

/PPVSBXBSFOFTT

IBTOPUDIBOHFE

:FTUIFSFJTBCJHHFS

GPDVTPOSJTLT

:FTUIFSFJTMFTT

GPDVTPOSJTLT

Europe

/PPVSBXBSFOFTT

IBTOPUDIBOHFE

:FTUIFSFJTBCJHHFS

GPDVTPOSJTLT

Asia-Pacific

/PPVSBXBSFOFTT

IBTOPUDIBOHFE

:FTUIFSFJTBCJHHFS

GPDVTPOSJTLT



47/48


Contacts

Global mobility effectiveness survey 2009

KevinCornelius

Partner,HumanCapital

[email protected]

Phone+41582865678

Fax+41582865660

ChrisDebner

SeniorManager,HumanCapital

[email protected]

Phone+41582863228

Fax+41582863190


48/48

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