6 Key Findings From The Global Mobility Survey 2012
Taking into account the views of 1,119 firm's HR and mobility professionals from 56 countries, The Global Mobility Survey Report is the largest and most substantial review of global mobility available -- and below we have summarized some of the key findings from the survey.
In the Global Mobility Survey 2012, China takes a clear lead with 21% of organisations reporting it to be their most common destination for assignments. However, China does present a number of challenges that need to be overcome for businesses sending their employees to these locations.
See also our International Conference: Talent Sources 2012-2016.
We can see that international mobility is changing,in terms of scale and nature. Organisations are expanding operations in traditional and emerging markets. These emerging markets bring business opportunity but their unique conditions bring unique challenges to businesses. Specific issues must be managed relating to infrastructure, culture and on occasion security.
In this article we look at at changes in assignment destinations and origins, which destinations present the greatest challenge for assignees and look at these challenges in detail.
1. The most Challenging destinations
China is the most challenging assignment destination being cited by 17% of respondents, followed by India which was cited by 12% of respondents with Russia and China being the joint third most challenging destination with each destination being cited by 7% of applicants.
2. Cultural Difference is the key factor that makes a destination challenging.
The survey identified 8 key factors which make a destination challenging and the top three of these were Cultural Differences being cited by 59% of respondents followed by Personal Security Concerns (42%) and Legislation Differences (39%).
3. Shorter is better
The most common duration of assignment by some way is 1-3 years accounting for 62% of all assignments up 2% from 2011, whereas assignments types over 3 years in duration are the least common accounting for 13% of all assignments, down 1% from last year.
4. Programmes becoming increasingly centralised
There has been a sharp move/change in the way that mobility programmes are managed with a much greater emphasis on central control. While in 2011, 37% of businesses controlled their mobility programme from a central office, in 2012 this figure has risen sharply to 44%. The report shows that power has moved away from local individual offices and regional hubs.
5.Most commonly outsourced areas is removals
The four most commonly outsourced areas areas are: Removals and Household Goods, Relocation Destination Services, Tax and Immigration.
6.Only 22% of businesses have been set a cost reduction target
Despite the widely reported downward pressure on assignment costs, only 22% of businesses are reporting that there are cost control targets in place. The top three ways for controlling costs were: Process Efficiencies (43%), Tighter Vendor/Supplier Management and Change benefits packages (31%).
The most common relocation destinations are China, US and the UK, accounting for 42% of all global relocation assignments.
On the front page
Top 10 Most Expensive Cities for Expats (ECA Study)
ECA International's main cost of living surveys are carried out in March and September using a basket of day-to-day goods and services commonly purchased by assignees. The data used refers to year-on-year movements between ECA's September 2013 and 2014 surveys. Read more...