The war for talent is set to become the major human resources issue next year. (PwC – “Managing Tomorrow’s People”.) Global mobility is forecast to be the key factor in securing and retaining talent and knowledge. The PwC survey predicts that in 2020 the mix of assignees will involve just 10% at executive-level and an estimated 40% from an HQ site. Talent mobility has far-reaching impact throughout a truly global organisation.
Future Assignment Locations
As well as growing numbers of internal relocations, the locations of these assignments are also predicted to change. Population changes mean that new cities are emerging; three new cities that were not even ranked in 2007 are emerging as some of the most densely populated destinations: Lahore, Shenzhen, and Chennai. By 2025, many traditional business hubs such as Paris, London, and Moscow, will be dwarfed in population size by Mumbai, Delhi, and Dhaka. This dynamic changes the structure of international assignment support, with increased demand expected for cultural, language and family support. By 2030, the average number of host locations supported by a global organization is forecast to be 33, which is a new global peak.
Facilitating True Talent Mobility
Several factors will influence the success increased international relocations:
1. Business Collaboration
Organisations will need to work closely with suppliers to ensure long term sustainability. They will also consider how they can help provide the infrastructure to enable employees to maintain an acceptable standard of living. Initiatives that benefit the region and the local population, as well as assignees, will be increasingly important.
2. Generations of Assignment Needs
Different generations of assignees are motivating by different mobility practices. For example:
- Baby Boomers – are more interested in long-term assignments involving senior roles.
- Generation X – is also interested in long-term assignments however they require greater and more creative flexibility for their commuter arrangements.
- Millennials – will have the most impact on global talent mobility during the next few years. They are flexible, happy with shorter-term assignments and willing to move across different functions and roles. Motivation comes from interest and opportunity, not necessarily financial rewards.
The growing importance of the Millennial workforce is emphasized by the differing views on retirement benefits. Both Baby Boomers and Generation X assignees will consider their ability to preserve entitlement to state and private pension funding arrangements when considering an international assignment.
Technology will move beyond its role as a business enabler and become further ingrained in the life and work styles of the future workforce. It will also change employee and business expectations and interactions with one another and the world around them.
A New Era of International Assignments
Global mobility continues to grow in volume. It has become part of the new normal due to:
- Closely aligned international regulatory frameworks
- The growth of cross-border acquisitions by sovereign wealth funds
- Lingering public investments in private business concerns
- Greater security co-operation between nations
- Information technology that can identify and connect talent in an instant
Mobility of talent is fluid. For example, a Chinese company may engage a European team to manage an investment in Africa. With this in mind, 55% of CEOs interviewed by PwC are planning to change their global mobility strategy. 61% will change remuneration policy and 76% will change their approach to staff morale and employee engagement.
“We’ve noticed that international relocation packages are more flexible regarding duration and the type of support available,” says Louise Chilcott, Global Move Specialist with BTR International. “With this in mind, we have a wide range of destination services available and have created a special solution for Millennials to reflect the unique nature of this group of assignees.”
To find out more, contact Louise without obligation. Email her via firstname.lastname@example.org or call +44 (0) 1582 495495. Discover what truly flexible and stress-free relocation support involves.