8 Things to Look for in a Relocation Supplier

by | Sep 12, 2017 | News

There are many reasons you could be looking for a relocation supplier right now. Maybe your company has outgrown managing its relocations in-house. Maybe your procurement department is driving a need to go out to bid. Or maybe you’re just unhappy with your existing relocation supplier.

While relocating employees to new job opportunities can be stressful, selecting a relocation management company to ease the process doesn’t have to be.

Relocation management companies, or RMCs, ease the stress of moving employees on your own. RMCs organize employees’ departures, help them find new homes, move their belongings, and assist with settling into their new communities.

If this is what you’re looking for, how do you know which RMC is the best choice for your company and employees?

relocation management, WHR Group

Before You Choose a Relocation Supplier

Before you even begin looking for a supplier, you and your company’s other decision-makers need to define what you’re looking for most in an RMC.

Make a list of your top wants and needs, and stick with this list throughout your selection process.

Start by considering your own company: Is cost your company’s most important motivator? Is service satisfaction? Is it both, or something else entirely—like the RMC’s management structure or years of experience?

Also take into consideration your company’s size and anticipated number of relocations per year. RMCs range in size from thousands of employees across multiple continents or companies located in one office to streamline delivery and communications. Do you want to be a small fish in a big pond, or do you need to be a big fish in a smaller pond? Really get to the heart of what your company values most in a supplier.

Note: Contrary to what you hear, all RMCs are not the same. While they might offer similar services and guarantees, it’s in their delivery where you find their differences. This is where you will want to keep your “list of wants” handy, so you find the RMC that best fits your needs.

Want some help getting started? Here are 8 things to look for when selecting an RMC.

8 Things to Look for When Selecting a Relocation Supplier

1. Partner Mindset

First and foremost, you’ll want to make sure the supplier you choose is more of a partner. Long-term partnerships with an RMC will yield better and more consistent service plus significant cost savings. (WHR Group’s longest client has saved over $22 million throughout our partnership.) The RMC you choose should uphold a commitment to long-term partnerships with incentives such as ongoing policy consulting and proactive recommendations for your relocation program.

2. Flexibility and Responsiveness to Change

The key to any well-oiled process is flexibility and responsiveness to change. If your business opens a new location, is the RMC experienced in managing group moves? If your management structure or culture changes, is your RMC flexible enough to incorporate these changes into your existing relocation policies?

Don’t forget about incorporating your business into the RMC’s technology and reporting tools. Can they make the data customizations you need—and quickly—to keep you productive in your role?

3. Comprehensive Support

How does the RMC define relocation “success”? Look for commitments to helping you succeed in your role and easing the relocation process for your employees, too.

How does the RMC set you and your employees up for success?

4. Above-and-Beyond Customer Service

What experience does the RMC have with not just maintaining but improving satisfaction of employees’ moves? How can they truly guarantee your company stress-free relocations?

Ask about their service delivery structure, how they motivate their own employees to deliver top-notch relocation experiences, and how they keep customer service as a core offering—not a commodity.

5. Marrying Service with Cost Savings

Working with an RMC that offers stellar customer service doesn’t mean you have to pay extra. In fact, working with a service-first company often leads to less exception requests in your policies, less fires to put out, and more money saved in the long run.

You’ll want to be aware of two things:

  • How does the RMC structure its fees? Far too many RMCs have hidden program costs that will never be discussed with you. Collection of fees from downstream providers, mark-ups, and non-compliance fees are just a few of these hidden costs, so be sure to ask about fees and transparency with your RMC.
  • Collect proof: Ask what innovative tools or processes the company has implemented to increase cost savings for clients.

6. Supply Chain Management

What is the RMC’s own supplier management process? RMCs manage their own network of suppliers, like brokers, appraisers, movers, and international service providers. What is the RMC’s selection and qualification process for consistency across all touchpoints in employees’ experiences?

Are RMCs affiliated with their suppliers in any way, limiting the options your employees have to work with? There should be a clear mechanism in place to choose the best supplier for each employee and every service.

7. Network Coverage

Network coverage is also key. Really, no one RMC can be located in all areas your employees are moving in and out of. That’s why it’s important to work with an experienced supplier with a vast network and the capability to streamline services across their offices, or better yet one point of administration for ultimate control in service delivery.

Ask how many brokers and appraisers in particular the RMC can work with. This is especially important to know for the more rural locations your company may have.

8. Company Management Structure

A final factor to consider is the RMC’s own management style, how they operate, and how they treat their employees. Make sure the RMC has a solid training and education program in place.

Are their employees real estate licensed to assist with homeowners? Has the company been voted a Top Workplace or similar? After all, happy relocation counselors mean happy employees on your end.

 

For more information on how WHR Group can take your relocation program to the next level, please call 800-523-3318 or email [email protected].

2017 WiERC and CRC Joint Meeting on Relocation

by | Aug 17, 2017 | News

As a member of the Wisconsin Employee Relocation Council (WiERC), I had the pleasure of sponsoring and attending the Joint Meeting between the WiERC and the Corporate Relocation Council of Chicago (CRC) yesterday at the incredibly beautiful and prestigious Grand Geneva Resort and Spa in Lake Geneva, WI.

Titled “The Grand networking event of the year,” the occasion brought in over one hundred and twenty professionals from both councils, which included those in HR, global mobility, relocation management companies (like myself), van line representatives, and real estate brokers.

The agenda included two educational sessions in the morning followed by the option of a boat tour around the lake, a nine-hole scramble on the difficult Brute golf course, massages at the spa, or a cooking class—so a tough day had by all.

Trends in Relocation

The first educational session talked national trends and the potential negative effects on the relocation industry. The five-person panel included professionals from two separate real estate agencies, a van line, a corporate housing agency, and a destination service provider.

Local Markets

The two real estate agencies provided some staggering, but not surprising, figures pertaining to the national real estate market, as well as markets in both Wisconsin and Chicago-land. The numbers concluded that we are amid a heavy seller’s market with extremely low inventories; homes are flying off the market quickly, and prices continue to gradually rise. Both Wisconsin and Chicago followed these national trends closely. One fact that remains true, even as property values continue to rise, is the Midwest is the most affordable area in the country, making it incredibly attractive to corporations as well as new people entering the workforce.

Real Estate Technology

The “monster under the bed” identified by these real estate professionals was how technology is threatening the real estate industry as buyers, sellers, and renters are looking for a quick fix through websites like Zillow. Amazon.com was mentioned several times as another company trying to get into the real estate industry and possibly take away from what agents do best—provide a person-to-person, hands-on, and caring experience the industry has been built on for so many years.

All in the all, the real estate industry continues to scramble, like the rest of the world, to keep pace with technology and the needs of the new workforce.

Household Goods

The van line representative outlined some current difficulties within the moving industry, which was headlined by the shortage of drivers throughout the United States. The current shortage is roughly 40,000 drivers and is estimated to quadruple over the next decade. Van lines are struggling to find solutions to reach the younger generation as well as attract more diversity, as many current drivers are older Caucasians retiring from the workforce.

The moving industry is also struggling to keep up with smaller shipments, more demanding move times, and, of course, technology-based difficulties.

Other Services

The final two speakers both continued the trend of technology disrupting their industry; although, the corporate housing and destination services sectors seemed to be doing a better job of finding and implementing solutions.

Data Security and Relocation

The second educational session was incredibly interesting.

The speaker discussed data security from a personal and business standpoint and how we are all responsible for managing the risk related to data security. Whether it be protecting yourself by not using a debit card online, or protecting your clients by being vigilant with the emails you open, we all need to pay attention to the details of our online activity—not just with relocation data.

Main Takeaway

Technology, technology, technology! Technology struggles was the opening topic and conclusion to the event.

Companies like Amazon.com are infiltrating every industry by finding the gaps in the services we provide and developing better solutions at a much faster rate. If we all don’t adapt and evolve, we as employees will be left by the wayside and our companies will struggle to stay afloat.

I hope this offers you some food for thought and ideas for improving the relocation industry as we know it today.

Thanks to all who helped put on this amazing event!

What to Know About Relocating Goods Internationally

by | Jul 27, 2017 | News

When moving internationally, one of the biggest decisions your employees will have to make is whether to ship their personal belongings to their new location or buy new after the move.

For employees wanting to ship their belongings, there are some things to consider:

  • Customs requirements in the departure and destination countries
  • The size of their shipment
  • Shipping options available
  • How the selected shipping option affects delivery timeframes

Similar to a U.S. relocation, international movers will pack an employee’s goods themselves, as the mov­ers are trained experts in evaluating items for international freight and making sure no items are includ­ed that violate customs. This could cause major delays in delivery. Detailed inventory forms need to be completed for both customs and insurance purposes. It’s important for your employees to complete these forms in a timely manner to avoid delays or penalties.

 

Types of International Shipments

Air Shipments

Air shipments are for smaller containers shipped via air. The shipments typically have a shorter tran­sit time of 1 – 2 weeks. Air containers are ideal for personal items needed shortly after arrival in the new location, such as clothes and children’s toys.

There are two main types of air containers: D containers and LDN containers, which are both pre-built containers:

  • D containers are ideal for the essential be- longings of individuals or smaller families
  • LDN containers are more typical for larg- er families, or for those not planning to transport goods via sea as well
Sea Freight

Depending on destination location, many interna­tional moves require the use of sea shipments. Sea shipments are ideal for larger shipments but have transit times of anywhere from a few weeks to a few months. Transit times are impacted by customs and practices of both the departure country and the destination country. Freight containers are metal and come in three main sizes: 20 ft., 40 ft., and 40 ft. high capacity containers:

  • 20 ft. containers are ideal for 2 – 3 bed-rooms, or individuals and small families
  • 40 ft. containers are most ideal for 4 – 5 bedrooms, or larger families with children

The moving company will conduct a visit at the employee’s home to determine which shipping option and container size is ideal for each situation.

How WHR Group Can Help

WHR Group works with a network of international movers that specialize in packing and customs requirements. It is important to support your employees with experts that understand these require­ments and what can and cannot be included in their international shipments so that your employees arrive comfortably to their new home.

The Importance of International Tax Assistance

by | Jul 13, 2017 | News

Global compensation management and tax compliance can both significantly impact an employee when relocating across country borders. Regardless of whether the relocation is permanent or simply a short-term assign­ment, all relocation-related expenses will likely raise tax issues in both departure and destination countries.

This is why it is critical that the potential tax exposure from relocation reimbursements be monitored so that accurate tax returns can be filed in both the old and new country locations.

U.S. Employees’ Unique Tax Obligation

U.S. citizens are required to file taxes on their global income regardless of where it was earned and in addition to the tax fil­ings required in the country of assignment. When an employee transfers out of the U.S., they must still file a U.S. Federal Income tax return. However, the U.S. does provide a foreign tax credit that can be applied to the employee’s return, which means the amount owed in the U.S. could be nothing or a neg­ligible amount, but they are still required to file.

The Importance of Tax Equalization

It is strongly suggested that you provide tax equalization for employees relocating inter­nationally. This allows your employee to pay taxes as they would in their original country, with you covering the difference. This benefit is becoming more common because it taxes people at the same amount had they never taken an assignment. You would then cover the cost of the host location tax and any ad­ditional U.S. obligation that may be incurred.

For example, let’s say you are moving an employee from the U.S. to Italy. The employ­ee has a $28,000 income tax liability to Italy, but their U.S. liability would only be $25,000. You would then pay the additional $3,000 to the Italian tax authorities on your employee’s behalf.

**It is essential that the employee remain tax compliant while on assignment or after a permanent transfer. Failure to report income accurately makes the employee liable; however, if the company does not provide any support or assistance, then you run the risk of being seen as complicit as well.

How WHR Group Can Help

WHR Group provides a complete framework for tracking all expenses associated with an employee’s assignment or permanent trans­fer across borders. The data is collected and broken down into what was paid and which country the payments originated from. All of this information is then provided to a local tax expert in the relevant countries so that the appropriate tax filings can be completed. This process ensures that the employee has filed taxes in the correct countries and that the taxable relocation expenses have been considered as well.

This Service Can Make or Break a Relocation

by | Jun 22, 2017 | News

Dual-Career Assistance: The one service that can make or break a relocation

When planning your global relocation program, you need to consider the relocating spouse/partner’s situation as well.

<img alt="dual career assistance">,<img alt="WHR Group">,<img alt="employee relocation company">

More often than not, the employee’s spouse/partner has their own career, so moving to a new location means they most likely have to leave that career behind, along with the family’s secondary income.

More on Dual-Career Assistance

Understandably, the impact of relocation on the career of a spouse/partner can be a major hurdle. WHR Group offers third-par­ty programs that can help address this important concern and provide support services, such as assisting with career/résumé counseling and offering access to local networking groups.

Dual-Career Assistance helps relocating families better adjust to a new loca­tion as a whole. Common benefits for a spouse/partner receiving this service include:

  • Pre-assignment counseling
  • Finding networking opportunities
  • Résumé preparation
  • Interview skill assessment
  • One-on-one coaching
  • Acquiring work permits
  • Job search assistance

Why is Dual-Career Assistance important?

The employee’s spouse/partner should be aware of existing obstacles to finding employment and maintaining a career after relocating. They also need to under­stand the many personal, professional, and financial implications that the reloca­tion might pose, especially if moving to a different country.

However, providing Dual-Career Assistance as part of your global relocation program can be the deciding factor on whether or not your employee will accept the re­location opportunity. Not only does this service minimize any financial risk to the relocating family, it also allows the spouse/partner to feel just as included and purposeful as the relocating employ­ee and avoid the struggle of finding work in their new surroundings.

The Importance of Immigration Assistance

by | Jun 8, 2017 | News

Immigrating to a new country requires several steps, so it can often be difficult for an employ­ee to decide where to start after receiving their new international assignment.

Every country has its own immigration laws and requirements that will need to be followed for the employ­ee to have a successful relocation. Providing Immigration Assistance as a formal relocation benefit will help your employees get started on their move and, ultimately, reduce their stress throughout the process of settling in abroad.

Here are three tasks to have your employees complete immediately.

1. Applying for a Passport

All relocating family members will require passports for the upcoming move, which is why it should be the first item acquired.

A passport is necessary for travel, work visa applications, and school applications. Typically, this is the easiest document to obtain, but can take 6-8 weeks from the time of application to delivery; however, this timeframe can be expedited for an extra fee.

At WHR Group, the Relocation Counselor will en­sure the employee and family obtain passports in a timely manner and confirm any existing passports do not expire within the next year, in which case the employee will want to have them renewed to avoid any future issues.

2. Applying for a Work Visa

If your employee is going to perform any work in a new country, they will be required to have a work visa, even if it is just for a short-term assignment. This is arguably the most important document required in an international reloca­tion, since an employee’s ability to perform work depends on it. The employee should start the application process as soon as possible, as it can take weeks to months before the visa is approved (depending on the destination coun­try’s regulations).

The following documentation may be required for a work visa application but not limited to:

  • Passports for each family member
  • Birth and marriage certificates
  • Divorce/adoption papers
  • Additional passport photo(s)

3. Asking Questions

Moving abroad can seem like an overwhelming process, which is why your employee is going to have questions, especially if this is the first time they have relocated internationally. They should inform their Relocation Counselor of any questions, concerns, or fears as early in the process as possible. This will ensure the relocation company provides employee-specific consultative services by helping them better understand their benefits, new position, and what is required of them.

With the help of their Relocation Counselor, Destination Service Pro­vider, and your HR department, we aim to offer the employee a smooth transition into their new country.

How WHR Group Can Help

Our aim is to coordinate and manage this pro­cess with the relevant authorities on behalf of the employee, which is why we provide assis­tance and advice in securing visas/work per­mits through our approved partners. We work closely with these partners to provide a variety of methods to monitor, measure, and improve the quality of services delivered. During this process, we also work closely with HR units to ensure all paperwork and visas are compliant and all activity is recorded.

Find out More about the Benefits You Should Offer to Your International Assignees

Click Here