Strategy, governance and flexibility without noise October 2013

Transcription

1 Strategy, governance and flexibility without noise October 2013

2 Disclaimer EY refers to the global organization, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients. Ernst & Young LLP is a clientserving member of Ernst & Young Global Limited in the US. This presentation is 2013 Ernst & Young LLP. All rights reserved. No part of this document may be reproduced, transmitted or otherwise distributed in any form or by any means, electronic or mechanical, including by photocopying, facsimile transmission, recording, rekeying, or using any information storage and retrieval system, without written permission from Ernst & Young LLP. Any reproduction, transmission or distribution of this form or any of the material herein is prohibited and is in violation of US and international law. Ernst & Young LLP expressly disclaims any liability in connection with use of this presentation or its contents by any third party. The views expressed by panelists in this session are not necessarily those of Ernst & Young LLP or its professionals. Page 2

3 Agenda Mobility is more challenging than ever Program challenges Mobility: a holistic perspective Focus area: strategy Focus area: structure Focus area: policy Focus area: process Next steps Prioritizing action items Agreed action plan Page 3

4 Mobility is more challenging than ever Few companies find that their mobility program addresses all of the business s needs while allowing the program leaders to operate in a strategic fashion and minimize stakeholder noise. Page 4

5 Program challenges Increased diversity: Employee demographics Locations Assignment types Greater flexibility needed: Broader array of packages (non-expat) More decision-making power with the business Cost containment: Package considerations Do more with less Page 5

6 Program challenges Global compliance: Changing legislation Emerging markets Increased speed to deployment Page 6

7 Mobility: a holistic perspective Operations Legal Human resources Taxes Benefits Structure Compensation International assignee Treasury Finance Administration process Business case Payroll Tax Business unit Page 7

8 Focus area: strategy Overview Align the global mobility program with the business and the company s overall strategy Tax authority relationship Global expansion Talent management Strategy Branding Executive involvement HR strategy Page 8

9 Focus area: structure Overview A robust structure supports the execution of an overall global mobility strategy by providing adequate risk protection while facilitating compliance and supporting efficient policies and processes. Provide adequate staffing/centre of excellence (COE) An enabler Incentivize mobility Align with mobility strategy Structure Support compliance Page 9

10 Focus area: structure Assessment Criteria Questions Consider the following: Aligned with mobility strategy Aligned with mobile employee groups Designed for adequate staffing How does your structure facilitate mobility? Are you able to meet your mobility objectives with the current structure? Are you able to explain why the structure is appropriate for various assignments? What types of structural questions or suggestions have you received from stakeholders? Do you have a scalable staffing structure to support your mobility needs? Does your staff have appropriate skill sets for their assigned roles and responsibilities? What external service providers do you utilize, and what areas of the program do they support. Designed to support compliance Leveraged to drive planning Is the ease of mobility enhanced through the current structure? Does your structure facilitate compliance or add to compliance complexities? Has your structure been challenged? Have you leveraged your mobility structure to drive planning (e.g., tax, benefits, cost)? Have you explored entity structure options to optimize mobility function? Page 10

11 Focus area: policy Overview Well-formulated assignment policies execute on the global mobility strategy and provide adequate clarity to drive a consistent and smooth application globally. Strategic alignment Compliance Policy Cost effectiveness Policy alignment and exception management Page 11

12 Focus area: policy Assessment Criteria Questions Strategic alignment Is the policy aligned with: Business/HR strategy and future expansion plans Global mobility strategy Corporate culture Talent management process What global mobility program policies are currently in place? Policy alignment Is the policy aligned with other (group) global mobility policies? Are there exceptions? Compliance Does the policy promote compliance for: Tax Employment law Social security and pension Immigration Labor law Cost effectiveness Are benefits and allowances aligned with leading practice? What is the frequency of benchmarking and results? Are the benefits and allowances paid in a tax-effective way? Is the company protected against excessive claims and losses? Is policy administration/implication effort optimized? Page 12

13 Focus area: process Overview A well-defined process not only provides for policy compliance, but also facilitates tax and regulatory compliance, creates efficiencies, increases deployment speed and clarifies roles. Mobility process Page 13

14 Focus area: process Assessment Criteria Questions Simplicity How many stakeholders are involved in your processes? Do you have a standardized exception management process? Is the sign-off authority for decisions at the right level? Awareness Is the process clear to all process participants? Do you have clearly communicated expectations toward your stakeholders and providers? Efficiency Do you regularly identify and address processes that are not efficient? Can you reduce the number of sign-offs and interdependencies by changing processes? Page 14

15 Next steps 1. Review focus area findings: Structure Process Strategy Policy 2. Prioritize action items: Determine impact (moderate/high) Determine duration and timing (short/long) 3. Create action plan: Action Timing Responsibility Strategy All stakeholders input Process Mobile workforce Structure Policy Page 15

16 Prioritize action items Moderate impact High impact Short Long Page 16

17 Agreed action plan Action Item Timing Responsibility Page 17

18 Questions Page 18