Emerging Global Mobility Problems & How to Embrace Them
Global mobility is a term that essentially refers to the movement and transportation of individual employees across the globe. We’re living in the age of globalization nowadays which is why multitudes of companies across the globe are expanding beyond their home bases. In the pursuit of doing so, these companies and corporations transport their employees across the globe. The goal of doing so is to benefit from the entire international market and reach customers all over the globe while also forming new collaborations with interested parties. All of this is possible through global mobility.
Of course, it’s important to highlight that global mobility certainly has its fair share of issues that make the process itself a rather challenging and tedious one. While organizations themselves pursue this with quite a bit of zeal, there are several inefficiencies and issues with the process itself and these problems have held globalization back quite a bit. Simply put, it’s not as easy as it sounds to move multitudes of employees around the globe so that a company may get its name out and capitalize on the benefits of the international market.
Thankfully, a lot of the global mobility problems being faced today are the kind that can be remedied by taking the right steps and this is exactly what we’d like to shed some light on in this particular article. Before we can go into the specifics on how these issues can be remedied, though, it’s first important to highlight what some of the most significant problems are and how they’ve held global mobility and globalization back over the years.
Problems Arising from Global Mobility
There are quite few global mobility problems as of this moment but some of the more significant ones are as follows:
Significant Costs and Overspending
Perhaps one of the biggest global mobility problems today is the fact that companies have to bear significant costs in order to move their employees to other locations. This is especially true in cases where companies are attempting to move their employees from their home base in a relatively underdeveloped country to a more developed one. In order to combat this issue, companies have to overspend by a significant amount just to ensure that their employees are able to successfully relocate and go about their tasks without running into any hindrances during the process.
Global Mobility is a highly complex operational function that requires a collection of business processes – including HR, compliance, payroll, finance, and tax – to take place in multiple jurisdictions in a variety of currencies. Based on a study by Deloitte, the typical investment by standard-policy multinationals is 15M Pounds – 25M Pounds per 100 assignees.
Many companies haven’t been able to properly grasp the economics of global mobility so far and this is definitely one of the key issues in this space at the moment.
Lack of Flexibility
There’s no doubt that most, if not all, people look for flexibility in their place of work. Many organizations and companies are able to offer this flexibility in the offices that are situated in their home country but, unfortunately, this flexibility often doesn’t extend to employees that have been relocated. One major global mobility problem is that employees who are relocated tend to lead lives that aren’t as flexible in order to ensure that they don’t begin to falter when it comes to getting the work done. The lack of flexibility, however, can sometimes disrupt the ability of an employee to get their tasks done.
The effects of the aforementioned issue aren’t immediately evident, but they start to show after long periods when organizations observe that their relocated employees aren’t having the same impact that they were initially predicted to have.
Complicated Relocation Processes
Any company that wants to deploy an employee to another country in order to establish a presence is always going to face hurdles. The ground level situation in every single country is unique which makes the relocation process very complicated and troublesome for the companies when relocating an employee to another country.
Mobility operational support is generally regarded as expensive, inefficient, and costly, with organizations relying on multiple external specialist vendors to deal with relocation, compliance and the ongoing management of assignees. Assignment data and payments are frequently dispersed across internal and external functions and systems, which can create high costs and inefficiencies. Equally there could be issues around inaccurate and siloed data, resulting in costly international transactions and an inability to track the true cost of assignments.
This is easily one of the most significant global mobility problems that holds
companies back from taking a global mobility approach. This is an issue that’s held a lot of companies back from prospering and is something that can actually be overcome if more organizations start to seek for companies that are able to provide them with the solution to these complications as it’ll enable them to pick up on various things that they can do one a single platform to make relocations journey a lot better for their employees.
Visa Related Issues
Visa applications issues are definitely high up on the list of global mobility problems. Any company that would like to establish their employees in another country would generally need to send them for long periods of time. These employees could then use this time to set up a foothold and gain a presence for their company. Unfortunately, however, this is something that can actually take up a fair bit of time.
In order to actually provide their employees with the time necessary to gain a significant presence for the companies, the traditional short business visas simply aren’t enough. To make the most out of the benefits offered by global mobility, employees would need to acquire proper work permits and this is something that can be extremely time consuming or difficult. In some cases, it’s borderline impossible for companies to acquire work permits for their employees in other countries due to political or various other reasons. This is no doubt a significant global mobility problem that’s held many companies back from pursuing this approach. Thus, having a reliable partner to work with to overcome this issue, will smoother your employees’ relocation process.
How Moovaz Can Help
At Moovaz, we’re firm believers in global mobility and the potential it holds. We provide a variety of relocation services and are deeply invested in playing our part in removing the various global mobility problems that companies around the world face. We’d like to take off the burden of Mobility Managers around the world, so you and your employees can spend your time on the more important tasks.
Learn more about how your employees can start enjoying the platform today (and did we mention that it’s completely free?)