How To Achieve International Growth Through Outsourced Talent Acquisition
Achieve International Corporate Growth Through Outsourced Rapid Talent Acquisition
Companies seeking to expand internationally face huge challenges. As a recent Harvard Business Review study of 20,000 companies in 30 countries found, selling abroad has an average return on assets (ROA) of minus 1% as much as five years after an international move. And further, that on average, it takes companies 10 years to reach 1% ROA growth — and that only 40% of companies ever achieve more than 3% ROA growth. The study also found that global expansion is complicated to manage, recommending companies carefully assess international expansion strategies before embarking upon any move, noting that few companies have the size or management capabilities to make overseas expansion a success.
Onboarding new talent is essential to successful expansion
When growing internationally, one of the most important things you must get right is the onboarding of talent in each location where you will be operating – as quickly hiring a workforce is essential to building and maintaining corporate growth.
There’s no “handbook” for growth
The challenge for companies seeking growth, however, is that there’s no “handbook” to help guide them through this. And building the all-important team integral to facilitating this growth is uncharted territory for many companies, particularly smaller ones. As a result, some companies grow more slowly than they’d hoped to or are capable of.
Each jurisdiction is a unique challenge
Each jurisdiction where you operate will have different rules and regulations relating to human resources practices, therefore it’s vital you work with a partner with local knowledge, presence and expertise to help you accomplish this vital corporate task.
An experienced outsourcing partner is essential to achieving growth
A Professional Employer Organization (PEO) providing Employer of Record Services (EOR) and Global Employment Outsourcing Services (GEO) is essential to helping you attract and retain the best talent capable of helping you grow.
Mercans’ PEO/EOR/GEO Services help businesses expand globally without having to establish their own legal entities in local jurisdictions, permitting us to stand in for you and establish and operate critical business functions including HR, payroll, taxes, benefits, employee outsourcing, remote employment and compliance.
We assume key operational duties on your behalf, which permits you to quickly hire employees while you enter new markets and grow the business. Vitally, we also take on the legal liabilities and contractor risks on your behalf.
We assume key operational duties on your behalf, enabling you to quickly hire employees as you enter new markets to grow your business. Crucially, we take on the legal liabilities and contractual risks on your behalf. We also help you build and feed prequalified candidate pipelines, facilitating the recruitment of your pre-selected candidates along with new employees. Last but not least, we can take care of your staff transfer abroad, to geographies in which you have no branches, but Mercans does.
Why working with Mercans is better than establishing your own legal entity
Many business executives might wonder – why should I not simply establishing my own legal entity in each jurisdiction instead of using a PEO? The answer is because global expansion is complex, and you will encounter many new regulatory, tax, and legal liabilities in each new jurisdiction where you begin operations. These include financial reporting, selection of local directors and staff – while also ensuring all these operations are fully compliant with local regulations.
Notably, navigating local labor laws and administering employer obligations is both time consuming and complex. Payroll mistakes can cause dissatisfaction among local employees, or even result in fines and a harm to business reputation.
Mercans not only helps you onboard new employees quickly, we also help you manage all that is required to operate in each jurisdiction, not only because we have the knowledge, but also because our teams are in the field. The cost for a company to establish its own internal capability for each jurisdiction is prohibitive versus selecting Mercans — as we possess the proven capability to handle these tasks at a fraction of the cost.
Once onboarded, Mercans will also manage your employees
Mercans acts as a transparent layer between your business and employees – ensuring they are well managed via compliance with local employment laws and regulations, while maintaining a high degree of employee satisfaction via superior HR practices that build a strong bond with — and loyalty to — your company. Besides, you deal with Mercans, and Mercans only; no third-party is involved in the process.
Four key benefits of outsourcing international talent acquisition to Mercans
Local Knowledge – When companies expand overseas, one of their most significant hurdles is reliable insight into — and understanding of — local markets. This understanding and insight includes an awareness of and ability to operate within the new local cultures, customs, business practices, regulatory and legal environments. By working with Mercans, your company can rest assured you will avoid any missteps in acclimating to the local environment. This quick adjustment helps you build a high-quality local workforce more quickly, leading to faster business growth in that target market.
Flexibility – Mercans helps clients hire full time employees risk-free without having to establish a legal entity in the country where they are hiring. This allows your company to avoid having to manage the HR complexities of each jurisdiction where you are operating. Mercans, therefore, helps companies to quickly and efficiently hire effective employees, while building strong employee-employer relationships, which is more stable and less uncertain than a temp-workforce would be.
Cost Effectiveness – Establishing local entities and hiring staff to operate them is a challenging process that can be costly if not done effectively. Mercans helps companies hire local workers without going through the expense and hassle of establishing local, permanent operations, thereby making the hiring process quicker – and permitting you to build your business faster.
Time-Efficiency – Where companies need to build a global team to help achieve their business objectives, time is vital. Mercans provides companies with a suite of services including state-of-the-art proprietary technology solutions that permit quick onboarding of talent. We’re able to do this because we’re already established locally and can achieve these tasks for you efficiently and effectively. Workers, therefore, are onboarded in a fraction of the time it would take the company to perform these tasks themselves.
Onboard talent more quickly to achieve international success. Mercans is ideally placed to assist your business expand internationally via our deep experience in providing turnkey PEO Services to small, medium and large international businesses. As we’ve detailed above, the challenges to international growth are substantial. It’s essential, therefore, to work with expert guidance to help you attract, retain and manage the talent you require quickly, while you focus on building the business.