Maximizing the value and ROI of international assignments

Transcript

Investing in global success

Maximizing the value and ROI of international assignments

How much does it cost to send an employee abroad?
The price tag ranges from $300,000 to $1 million.¹

But wait, did you know that 40% of international assignments fail to meet expectations? ²

What’s the vital factor that could bridge the gap between cost and value?

Here’s a clue: 70% of assignment refusals or failures stem from family-related concerns.³

It’s also not just about the assignment itself, but the entire expat lifecycle. From pre-assignment to repatriation, which accounts for 30-70% of the total cost of the assignment.⁴

Now, think about this: Inadequate support leads to failure in 75% of organizations.⁵

Imagine tapping into the full potential of your expat assignments. What would that mean for your organization’s growth?

Investing in robust support systems is crucial for organizations to maximize the value and return on investment (ROI) of international assignments.Assignees and their families need consistent support across the entire expat lifecycle.

Expat lifecycle:

• Repatriation
• Pre-assignment
• Adaptation
• Honeymoon
• Culture Shock

Robust employee health and well-being programs are vital. Expat assignments can be demanding, but support matters.

Shockingly, 90% of organizations don’t track their expat programs with metrics. Just like any other investment,international assignments should be measured for their substantial benefits.⁶

Unlocking the value and ROI of international assignments (IAs)

1.Knowledge transfer and innovative problem solving

Value - Cross-cultural exposure enhances creativity and problem-solving. Expats bring diverse perspectives that drive innovative thinking.

Rate of return - Measure tangible outcomes like improved processes, novel ideas implemented, and successful resolutions of complex challenges.

2. Skill development and career growth

Value - Expats develop a versatile skill set – language fluency, global leadership skills, and adaptability – enriching their career prospects.

Rate of return - Track skill acquisition and application, observe career progression within and beyond the assignment, and gauge the influence on individual and team performance.

3. Diversity and inclusion

Value - International assignments foster cultural exchange that breeds appreciation for diversity and nurtures an inclusive workenvironment.

Rate of return - Evaluate employee attitudes towards diversity, inclusion, and cultural sensitivity through surveys, observing how these values impact collaboration and teamwork.

4. Global collaboration

Value - Working across borders hones global teamwork and communication skills, strengthening collaboration and efficiency.

Rate of return - Assess improvements in cross-border cooperation, quantify efficiency gains, and measure the success of international team coordination.

5. Market expansion

Value - Expat insights into local markets provide a strategic edge, facilitating successful market entry and growth strategies.

Rate of return - Measure concrete results like revenue growth, increased market share, and successful penetration into new markets driven by the market insights of expat assignments.

6. Leadership development

Value - International assignments cultivate leadership qualities and prepare individuals for future leadership roles.

Rate of return - Evaluate the career trajectory of assignees post-assignment, their readiness for leadership positions, and the contributions made to organizational performance.

7. Adaptability and resilience

Value - Thriving in diverse environments cultivates adaptability and resilience, essential in a rapidly changing business landscape.

Rate of return - Assess how expats demonstrate adaptability and resilience, their ability to navigate ambiguity, and their success in handling challenges and changes.

8. Global perspective

Value - Exposure to international markets enriches perspectives, influencing effective decisionmaking and innovative expansion strategies.

Rate of return - Evaluate the influence of global perspectives on strategic business choices, market entry strategies, and the overallcompetitiveness of the organization.

Well-being pays off

Companies with comprehensive well-being programs experience

• 28% lower health care costs
• 19% lower absenteeism rates
• 25% more productive employees ⁷

IAs and their families need robust support in every stage of their assignment lifecycle

IAs and their families need robust support in every stage of their assignment lifecycle, including:

Employee HEALTH solutions

Promoting health and well-being and managing illness and medical emergencies:

• Access to health care solutions
• Personalized health and medication advice and support
• Preventive care
• Wellness and stress-management program
  
• Workplace safety policies
• Emergency medical intervention

Employee WELL-BEING solutions

Supporting employees’ overall physical, mental, and emotional health:

• Mental health resources
• Work-life balance support
• Personal and professional development and guidance
• Security advice and assistance

Employee RESILIENCE solutions

Building the skills and strategies employees need to cope with stress, uncertainty, and adversity:

• Training on stress management, mindfulness, breathwork and resilience-building techniques
• Support for everyday professional challenges such as adapting to new work environments and roles, employee management and cross-cultural communications
• Support for everyday life challenges such as finding administrative, organizational and support services from home help to finding accommodation to sorting out bureaucracy such as local taxes and work visas

Conclusion

International assignments offer immense value to organizations, from knowledge transfer to market expansion. Measuring the ROI is crucial for optimizing their benefits. By consistently investing in employee health, well-being and resilience throughout the expat assignment lifecycle, organizations can maximize the advantages of International Assignments while minimizing the risk of failure.

Expat Assignment Evolution

Explore the evolving needs and hurdles faced by international assignees and their families in our campaign and whitepaper, “Navigating Expat Assignment Lifecycle Challenges: Addressing the Concerns of Assignees and Their Families Today.” Discover proactive strategies and support systems for success within an ever-changing global environment. 

Contact us to learn how we can support your organization’s journey towards global growth and success.

1. MAXIS GBN - Sending your employees on important overseas assignment (maxis-gbn.com)
2. Training Managers for International Assignments | Emerald Insight
3. 70 Per Cent Of Failed Assignments Down To Family Problems - Global Financial Market Review (gfmreview.com)
4. Extrapolated from various sources cited in this document
5. Avoiding Corporate Relocation Disaster: Why Overseas Assignments Fail - HR News
6. The value of an international assignment is as important as the cost | ACCA Global
7. Workers value a strong company culture over higher pay, study claims (cnbc.com)