Global mobility of human capital is set to become increasingly important over the next three to five years, particularly in the Middle East, according to Deloitte’s Global Strategic Moves survey, which gathered responses from over 140 organizations across the globe including a sampling from the Middle East region. This is due to the complexity of doing business on a global scale and the increasing importance of emerging markets.
HR leaders and senior business executives surveyed agree that, more than ever, global mobility needs to become more integrated into core HR processes and act as a strategic partner to the business – complementing the company’s strategic business objectives and its talent agenda (88% agreed).
Despite the consensus that global mobility will take priority, there are some worrying findings that indicate a lack of strategic direction of the mobility function. Less than 10% of participants feel their organization currently perceives global mobility as a fully strategic function; and a mere 2% of organizations feel there is currently complete alignment between its global mobility strategy and business and talent agenda.
Furthermore, almost 40% of companies surveyed felt their global mobility programme needs significant or radical improvement. A further 36% feel that their programme is adequate, with room for improvement. In total therefore, three quarters of the organizations that participated in this survey rated their mobility function as no better than adequate.
A more significant finding is that nearly half of the business executives (outside HR) consider their mobility to be underperforming and not fulfilling the business and talent requirements compared to only 33% of HR respondents. This is the clearest indication that there is a significant disconnect between the perception of those within HR and those within the business in terms of whether global mobility is fit for purpose.
“The findings reflect our understanding of the challenges facing chief executives and HR leaders. The transition from global mobility being viewed as a transactional cost centre to a value-add strategic partner is a difficult one,” Rob Hodkinson, Global Mobility Transformation practice leader at Deloitte, said.
“The development of strategic expertise within global mobility functions will be an important way for companies to address the challenges ahead, as this will enable them to ensure their mobility strategy aligns with the business and talent objectives. It will also enable global mobility to deliver a more cost-effective and targeted service.”
“Companies need to be both strategic and nimble in order to survive and prosper in an increasingly competitive business environment. Developing new leaders and providing them with experience to grow new markets is crucial. However, the current lack of integration with talent programmes and strategies means that many organizations will not be able to fill their talent pipelines with the global leaders required for future growth,” Ghassan Turqieh, Consulting partner and Middle East Human Capital services leader at Deloitte said.
Global leadership and pipeline was selected by a third of respondents as the global mobility issue most critical to their organisations’ successes. However, surprisingly, only 11% feel this issue is fully supported by their current mobility programme.
“The war for talent remains a key barrier to growth and organizations need to plan to develop their top talent giving them relevant global experience, but at the same time they need to be able to move quickly to get the right people, in the right place, when opportunities arise,” Turqieh, said.
“Companies that adopt a strategic approach to global mobility are more likely to take advantage of the opportunities for growth because their expertise and leadership is focused in the right geographies, products and sectors.”