October 1, 2014
When your company explores the possibility ofmoving operations to another country, there are myriad issues to ponder. Hereare crucial elements to consider:
- Tap into your network to draw on the expertise of other organizations about the legalities and challenges they’ve faced when they employed people outside the United States.
- Benchmark against experienced, competitive-practice companies to see if they’ve chosen to source labor overseas and what they have done to make it successful. See if you can find colleagues to speak with.
- Remember that wages aren’t the only issue. Be sure you have access to the kind of labor force that has the skills your company needs. You don’t want to be surprised that the skills you need aren’t available.
- Approach the experience with an attitude of caution. Adopt a “toe-in-the-water” perspective to become familiar with offshore markets. You might start with a joint venture or subcontractor to build your experience in the area.
- Hire qualified people from the time you begin staffing your operations.
- Consider moving only a part of your work overseas as you ease into the new location.
- Remember the basics - learn about compensation, culture, language, laws and tax regulations before you start operations in other countries.
Workforce,July 1999, Vol. 78, No. 7, p. 52 SubscribeNow!