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Your phone rings….
We are sending someone to Myanmar to start up operations there. The assignee has already agreed to take the assignment. It’s a new location for us. Make it happen!
Aaaaaah!
Do you have?.....
Internal Security
Department
New country setup
protocol or a cross
functional team
Vendors who can help with immigration,
tax, etc.
Further considerations…
Mobility Policy: Many “expat goodies” and soft services were eliminated during the recession and policies
were adopted that were not well suited to
challenging locations. Does your policy have
Hardship? R&R? Cultural Training? DSP?
Duty of Care: Evacuation and
contingency plans are critical.
Reputational and employee risk if not properly planned.
Mobility Framework: Recruitment and
retention issues will occur if your mobility
framework is not adapted to meet the needs of challenging locations.
Flexibility is important.
Lack of International SchoolsSecurity Concerns
Inadequate Medical Care
Substandard Housing Frequently changing immigration or tax laws
Limited Goods and ServicesSmall or no Expatriate Community
Remoteness
Boredom
Political Instability
What makes a location challenging?
Addressing Challenges
Assignee
Family
Business
Company
• Perception of risk for taking assignment to a less “visible” location• Recognition for taking an assignment to a difficult location
• Knowing when to allow or not to allow for accompanied status• Providing support to accompanied or unaccompanied families
• Need to attract talent to the host location• Balancing operational requirements with frequent leaves• Developing markets may not have funds to support assignment
• Coordinating with security department• Need to focus on duty of care• Retaining employee in talent pipeline
Classifying Challenging Locations
International School
A B C
Diverse and large expatriate community
Only one or limited international option
Security department recommends driver or
other precautions
Local routine care is adequate; major care not
available
Limited international quality housing available
Some international brands unavailable
Moderate size expatriate community; may be of
limited diversity
No accredited schools
Security department recommends major precautions; guards
Limited clinic services
Only substandard or temp. accommodation
available
Basic goods only
Very limited expatriate community
Security
Medical Care
Housing
Shopping
Expatriate Community
Variety of accredited international schools
Security risk low;no additional company
support required
Top quality medical care; all urgent needs met
Wide range of international quality
housing available
All goods and services available
ABC
A, B, and C Locations
Standard Long Term Assignment Benefits
Standard Long Term Assignment Benefits - PLUS -
Additional Provisions to meet Host Location Needs
Alternate Mobility Approach
Tailoring the mobility package to host location conditions adds to the safety and success of an assignment. Flexibility is important!
PRE-ASSIGNMENT VISIT Allow the assignee to visit the location before moving; help set the right expectations
SETTLING IN SERVICES Ensure the assignee and family have adequate support from DSP; extra days may be needed
MEDICAL Assignee and family should have a medical check prior to travel Evacuation insurance should be in place
INVOLVE SECURITY Corporate security department should review host location and approve residential areas Evaluation of need to provide car and driver, guard, or other security measures
EMERGENCY PLAN Ensure you have an evacuation plan in place and assignee knows what to do in case of emergency and what is covered for
self service
HARDSHIP Hardship should be offered and tailored to host location Ensure your scale is high enough: 40% is becoming a more common max among non-Oil companies; among Oils, up to 80%
REST & RELAXATION LEAVE An R&R benefit should be part of the Standard LTA offerings for challenging locations Up to two trips per year to a nearby location
Resident Assignment in a “B” Location
Alternative Approaches for “C” locations
Unaccompanied:• Employee resides in host location, family stays behind at home• Additional home leaves provided
Commuter:• Employee travels to host location and returns home weekly or monthly
Accompanied, Proxy:• Worksite and assignment location are different, but both in an international
location• Family lives in assignment location and employee travels to worksite during week
Rotator:• Assignee alternates between a scheduled amount of time working when in the
host location and not working when at the home location
Choosing the Right Assignment Package
Are host location conditions adequate to support a fully resident long term assignment?
YES NO
Is there adequate schooling?
YES NO
Standard LTA
Unaccompanied Assignment
Do operational requirements require full time staffing of
position?
YES NO
1 month on1 month off
Rotation
6 weeks on 2 weeks off
Rotation
Is there schooling in a nearby city?
YESNO
Proxy Assignment
Joe Accountant
Needed in Lagos for 2 year assignment Spouse is a high income earner in UK Has a special needs child and
proper education not available in Lagos
Case I: Assignment from UK to Lagos
Unaccompanied assignment:• 4-6 Home Leaves a year to visit with family• No R&R• Standard Lagos hardship payment• Host Location allowances based on single
status• No housing deduction (Norm)
Julie Plant Manager Needed in Samara for a 5 year assignment Has two children No international school in Samara, but Samara
is 2 hour flight from Moscow
Case II: Assignment from Australia to Samara, Russia
Proxy assignment:• Family on assignment in Moscow• Assignee commutes to Samara on Monday, returns
on Friday• Hardship premium based on Samara• COLA and host housing based on Moscow• Assignee’s lodging and transportation covered in
Samara
Samara
Moscow
Sam Engineer Needed in UAE to complete 12 month
construction project Construction site in remote field location Camp environment; no local housing,
shopping, recreation
Case III: Assignment from US to a Remote Construction Site in UAE
Rotator Assignment:
• Employee works 6 weeks on, and is home 2 weeks not working
• Hardship premium for days spent in UAE only• No cost of living support as daily needs provided
in camp
Alternative Approach Watch-outs
Unaccompanied:• COST: If the assignee has a large family, unaccompanied status may be less expensive
because education costs would not be paid and the housing budget would be less. But if the assignee has a small family, the cost of extra home leaves and potential additional taxes may cause an unaccompanied assignment to be more expensive than an accompanied one
• FAMILY: Separation from family for extended periods may put strain on the assignee and family
• POLICY: If rationale for unaccompanied status not clearly stated, policy may be abused
Accompanied, Proxy:• TAXES: The worksite and the resident location should, preferably, be within the same country.
If in two separate countries additional and complicated tax liabilities may arise.
Rotator:• POLICY: A separate policy is needed to govern this assignment type• TAX: Employee may not be able to break home residency; additional tax costs may accrue
The biggest complaints from assignees in challenging locations are:
Out of Sight, Out of Mind
When I returned from assignment, the valuable skills I learned working in a
difficult location were not used or valued.
I am worried about finding my next job in the company; it is
hard to network while I am here.
This assignment location is not a key center for the company; I feel like I am
missing out on opportunities.
Proper career planning is critical for assignments to new or challenging locationsand can serve as more of an incentive than Hardship or other cash allowances
I found it challenging to settle into the assignment because I did not receive
adequate company support.
Talent Management
Following the assignment lifecycle, there are three phases of talent management:
Pre-assignment Candidate
assessment & selection
On-assignment Mentoring, monitoring assignee
engagement, career planning
Post-assignment Job placement, utilizing skills,
tracking attrition
• Targeting employees with “Global Mindset” and ability to adapt
culturally
• Setting assignment goals to drive success
• Identifying potential roles for the next job within the company
• Rewarding assignment with future career growth
• International assignment as part of a well developed career plan
• Assignee mentoring
Career Planning