Global Mobility Effectiveness Survey 2013
A key feature of the global economy is how companies are targeting their primary growth markets with more investment and focus than ever before. In our survey, we saw that there was once again increased mobility activity in growth markets during 2013.
Forty-nine percent of respondents reported deploying more employees into growth markets compared to other locations. It will come as no surprise that the top growth markets were China, Brazil and India; however, there is also significant activity in other Asian countries such as Singapore, Indonesia and Malaysia.
These are all rapid-growth markets attracting much of the world’s investment and thus increasing expatriate resources. Our survey also showed that the US and UK appeared as significant destinations and have been classified by some companies as new growth markets.
“The survey confirms that there has been a notable increase in both inbound and outbound expatriates in China during 2013.” – Norman Yu, Human Capital Partner, China, EY
We should not forget that there are many leading companies emerging from the BRICS and other developing economies that see developed countries as great growth inbound opportunities. For many of these companies, such undeveloped mobility policies and processes are restricting their ability to manage talent and run an effective program.
These thoughts are echoed by Tatiana Ponte, EY’s Head of Human Capital South America. It is evident that many organizations struggle with new, unique and sometimes unforeseen challenges when entering growth markets.
Laws and practices are new, and cultural and linguistic differences create unforeseen exposures to risk. At the same time, many countries have enhanced their immigration requirements with a view to protecting home labor markets.
They also are seeking new tax and social security revenue through increased scrutiny of individuals and companies.