In today’s lean business environment, most companies no longer have the luxury of a dedicated relocation department, staffed with experienced professionals who can devote their full attention to the process.
More likely, if the function is managed in-house, it’s just one of many responsibilities juggled by busy HR professionals. Complicating matters further, relocation has gotten more specialized and complex over the years.
For domestic relocation, in-house professionals must keep abreast of current best practices and tax/legal regulations, control costs, source and manage suppliers and sometimes even manage inventory. Global moves are even more challenging. Companies must identify, qualify and manage global partners, worry about immigration and tax matters and source and coordinate a whole array of support services.
Outsourcing the relocation function to a relocation company streamlines the process and frees time for other HR tasks. And surprisingly, it can be a win-win for you and your company. A professional relocation management company saves clients valuable staff time, offers cost-saving solutions to manage and monitor expenses, and makes the transition seamless for the employee—so important today as companies look for ways to retain their top talent.
Benefits of Outsourcing
Relocation management companies bring policy consulting expertise and knowledge of relocation best practices and tax and legal requirements. With this knowledge, they can help to ensure that your policy is as competitive and cost-effective as possible. If you’re about to begin moving employees abroad or to other unfamiliar areas, this expertise becomes invaluable.
Supply Chain Management
Sourcing, training and managing the best relocation-related supplier partners is a massive undertaking even in itself. And if you’re moving employees to numerous locations around the US or across the globe, it becomes all but impossible to do in-house. Relocation management companies have dedicated supply chain management experts who do the heavy lifting for you. They typically develop service level agreements that help to assure you and your employees of a consistent, high-quality service experience.
In most outsourced arrangements, you pay for relocation services only as you use them. And your company also benefits from the volume-driven pricing leverage a relocation company enjoys, compared to an individual company. By benchmarking your polices to reflect current best practices, the relocation company can also reduce the number of costly exception requests you receive.
A professional relocation management company is ready to go, resources in place, as soon as it receives a service initiation. There is no scrambling to find or interview third-party service partners. This makes the process faster and more efficient, reducing lost productivity and employee downtime. Outsourcing also clarifies and centralizes communication and lines of responsibility, avoiding wasted time and miscommunication.
Ultimately, outsourcing your relocation program to a professional relocation management company empowers your company to realize its talent management objectives efficiently and on budget.