CASE STUDIES: TECHNOLOGY IN MOBILITY APRIL, MADRID

Transcription

1 CASE STUDIES: TECHNOLOGY IN MOBILITY APRIL, MADRID

2 AGENDA Introduction. Before. Now. The Future. 2

3 NXP SECURE CONNECTIONS FOR A SMARTER WORLD MAKE TOMORROW, TODAY 3

4 NXP SEMICONDUCTORS Established in 2006 (formerly a Philips division) 55+ years of experience in semiconductors Headquarters: Eindhoven, The Netherlands Operations in more than 25 countries Research and Development activities in Asia, Europe and the United States Manufacturing facilities in Asia and Europe. 4 COPYRIGHT MERCER 2015

5 HEADLINE WHITE, 22 POINT, ALL CAPS SECOND LEVEL SAPPHIRE, 22 POINT, ALL CAPS All type is at 20 pt. All type is at 20 pt. All type is at 20 pt. All type is at 20 pt.» All type is at 20 pt. 5

6 GLOBAL MOBILITY ORGANISATION & FUNCTION Global Mobility Manager Willemijn Kersten (1 FTE) Manager Indirect Compensation & Global Mobility - Himanshu Shah Global Mobility Manager Caroline van der Zwaan (0.5 FTE) Global Mobility is part of the Total Rewards department Centralised coordination with decentralised operations Operational oursourcing via EY (Assignment services, Tax, Immigration, Social security, Vendor Management) Global coordination, Policy benchmarking & Vendor management 6

7 GLOBAL MOBILITY POLICIES Gross package Same package as local peers + temporary plusses (e.g. Daily Allowance, Housing Allowance) Local salary/local bonus which is annually reviewed according to local guidelines. Duration; 3 months (business travel) or other limited or unlimited period Local pension and social security. Local Policies Local (plus) Extended Business Travel International Assignment Expatriate policies Short Term Assignment Long Term Assignment Net Pay package Home based package (balance sheet method) + additional allowances (e.g. Mobility Allowance, Quality of Living Allowance, Housing) Home base salary/home based bonus annually reviewed according to home country guidelines. Duration: limited period between 3 months 3 years + always intention to return to home country Where possible continuation home pension and home social security Tax equalisation 7

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9 FACTS & FIGURES GLOBAL MOBILITY LTA STA IA Local (plus) 21% Home/host locations 71% 6% 2% 0 Home country Host country Netherlands Belgium Germany France UK USA Singapore China Thailand Taiwan Philippines India Switzerland 9 9 COPYRIGHT MERCER 2015

10 STRATEGIC DRIVER TO CHANGE Background We were using Expat Monitor from Mercer to prepare expat cost estimate Comprehensive tool Tailored to our needs/policy Mercer mobility data is included However not possible to create local plus calculations and comparisons No total cost reporting of all assignment costs Expat Monitor was phasing out at the end of 2014 therefore needed to transfer to another tool Request from business to provide total costs for expat assignments globally Alternatives explored in depth comparison made between 2 tools COPYRIGHT MERCER 2015

11 OUR NEEDS- BASIS FOR THE BUSINESS CASE Need for a robust tool to support the business in decision making (business case) Possibility to compare different types of mobility packages (full expat package vs expat light vs local plus package etc.) to make informed decisions Scalability of the system to run Expat Compensation sheets and contracts via the tool and use the tool as a workflow system Ability to be our mobility database for all employee information Significantly reduce processing time for cost comparisons and tax calculations Easy to configure (and no need to customise) with our current and future policies (including revisions) without additional costs 11 COPYRIGHT MERCER 2015

12 WHY ASSIGNMENTPRO Assignment Pro Complete software solution (SaaS) to effectively manage all aspects of international assignments Clear cost projections with limited manual work Ability to create customised user reports Ability to compare expat packages with local packages (not in one overview yet) Easily run total cost report Pre configured with NXP policies (can go up to 5 different variants) Regular version updates (every 8-9 weeks) 12

13 IMPLEMENTATION OF THE TOOL Provide policies to Mercer Mercer to configure the tool with our policies Weekly status update calls Testing Clear project scope and timing 13 Limited pre-work 3 weeks to configure the compensation calculation for LTA&STA 3 weeks to configure the total cost estimation calculation for LTA&STA 1 week to configure the financial questionnaire 1 week to configure the total cost estimation calculation for Local Plus Well prepared Quick action on requests ücompetent staff, good knowledge of the tool and expat processes ü Well prepared regular (weekly) calls to configure the tool to our needs ü Quick follow up and action on questions/requests ü Implementation timeframe approx. 4-5 months Follow up and feedback 1 week UAT testing 1 week final adjustment 13

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15 ELECTROLUX Electrolux is a global leader in household appliances and appliances for professional use, selling more than 50 million products to customers in more than 150 markets every year. The company focuses on innovations that are thoughtfully designed, based on extensive consumer insight, to meet the real needs of consumers and professionals. Electrolux products include refrigerators, dishwashers, washing machines, cookers, air conditioners, and small appliances such as vacuum cleaners sold under esteemed brands like Electrolux, AEG, Eureka, and Frigidaire. In 2012, Electrolux had sales of SEK 110 billion and 61,000 employees. 15

16 GROUP HR REWARD & RECOGNITION VP Reward & Recognition HR Services Europe Global Mobility Specialist Global Mobility Manager Anna Milstig Joined in 2012 Pension & Benefits Global Mobility Analyst Anastasia Georgiadi Joined in 2012 Global Compensation Manager Reward & Recognition Manager EMEA Reward & Recognition Manager Reward & Recognition Reward & Recognition Reward & Recognition Reward & Recognition North America EMEA Latin America Asia Pacific 16

17 GROUP CROSS-BORDER MOBILITY CONTRACT FRAMEWORK PLATFORM CONTRACT TYPE DEFINITION DURATION LOCAL-PLUS Employee has moved from one country to work and live in the country of employment. Resource need is normally indefinite/permanent and minimum in excess of two years. ASSIGNMENT SHORT-TERM ASSIGNMENT Employee sent on an international assignment under the IAP in principle, unaccompanied. Employed in home country. Resource need in excess of six months but less than 12 months (not to exceed 18 months). LONG-TERM ASSIGNMENT Employee sent on an international assignment under the IAP, accompanied by family members. Employed in home country. Resource need in excess of 12 months but less than 36 months (not to exceed 60 months). 17

18 INTRODUCTION BEFORE 1. External handling of calculations and agreements was taken in-house in December 2012 after 12 years. 2. Totally new Global Mobility Group. 3. Had to go live from the beginning. 4. First European client. 18

19 SUPPORT FROM MERCER Mercer-structured approach and schedule. Workshops. Weekly calls and learning sessions. Manuals for our processes. Willingness to hold our hands. Always available. 19

20 RESOURCES AND AREAS OF RESPONSIBILITY AssignmentPro has become our backbone Assignment data. Checklists, split between users. Vendor access to relevant info. Gather financial information. 20

21 THE GLOBAL MOBILITY FUNCTION CAN: Refocus shift from filling immediate needs to playing a more effective role in business planning. Develop a programme that focuses on achieving personal and corporate objectives. Provide insight into ROI on international assignments. 21

22 NOW: ONE GLOBAL DATABASE Finance Team WHO ROLES Vendors Relocation Initiation of services, share/store documents, update system Tax Update system, view basic employee data Payroll HR: HR Shared Service, HR Business Partner AssignmentPro Global Mobility Team Relocation Vendor Tax Vendor HR Payroll Group HR Global Mobility HR Services Global Mobility HR Services Contract and Admin HRBP Compensation calculation, cost projections Cost projection for local-plus, shared checklist Issue contracts from system, view basic employee data Initiation of Assignment, access to assignee information Access to reports, documents, basic employee data 22

23 NOW All portal users are trained and have their own manual to make them feel comfortable using the system. HR Business Partner initiates assignment or requests cost estimate. Vendors receive service orders via AssignmentPro. Relocation vendor is responsible for updating AssignmentPro with information about the employee. Tax vendor is able to see, download, and upload files. HR Services Europe support with administration: shared checklists, pre-populated , and document templates. Local-Plus Europe managed by HR Services Europe. 23

24 DIFFERENT CATEGORIES OF REPORTS DEPENDING ON TOPIC/STAKEHOLDER 24

25 HR BUSINESS PARTNER INITIATES ASSIGNMENT 25

26 HR SERVICES EUROPE SUPPORT WITH ADMINISTRATION: SHARED CHECKLISTS, PRE-POPULATED , AND DOCUMENT TEMPLATES 26

27 THE FUTURE Local-Plus in other countries (Latin America, Asia Pacific, North America). New development policy. Payroll portals. Improved ways of working with vendors. Collaboration with finance/controllers re-evaluation of cost estimates. Update cost estimates on annual basis. Improve and introduce new processes/routines. 27

28 LESSONS LEARNED Know your assumptions. Know your processes. Know the desired output. Do the rollout in phases; be ready for each phase. Prepare stakeholders, manage the change process. Prepare instructions, manuals. Do the rollout with vendors be sure to train them. Use pilot groups before final rollout. System is easily adjusted to fit your business needs. 28

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