The rate of inflation has been steadily climbing over the past year with it reaching the highest since February of 1982. Supply chains across the globe are still in crisis with many experts predicting it will take months, if not years before the chaos subsides. The combination of inflation paired with supply chain disruptions is challenging procurement teams across the globe.
As procurement specialists work to control costs while navigating an uncertain market, it is important to ensure they aren’t lowering standards and cutting costs at the expense of the employee experience.
Here are some key considerations to maintain a positive mobility experience for your company’s talent while also controlling costs.
Improve the Experience for Relocating Employees
Improving the relocation experience may not be the first thing you think of when considering how to control costs, but it can be very effective in saving your company money in the long run. The costs to replace an employee who didn’t get started off on the right foot with your organization can be impactful in fact Indeed reports turnover costs employers about 33% of an employee’s annual salary to find and hire a replacement.
A positive relocation experience can help employees feel valued and taken care of by their employer. Companies that consistently take steps to care for their employees often see lower turnover rates, meaning less money spent on hiring and training in the future. Retaining the right talent is a great way to manage long-term costs.
SIRVA, parent company of Allied, surveyed relocating employees to understand how the relocation experience can be improved. According to the survey, the top three ways to improve the relocating experience include an increase in communication, program flexibility and earlier engagement in the process.
Maintaining consistent communication with a relocating employee, even when there’s nothing new to report, is vital to a smooth relocation. It’s also important to clearly communicate the relocation package your company is offering. Making sure your relocating employee understands the relocation process and expected timeline will help them be prepared for the upcoming move and set them up for success.
SIRVA’s survey also reported 47% of relocating employees said that increased flexibility would improve the experience. Instituting a relocation program that allows for flexibility gives you the opportunity to best support each of your employees based on their situation and needs.
Lastly, 45% of people surveyed listed earlier mobility engagement as one of the top improvements companies can make to their relocation process. This approach gives everyone involved time to communicate, make decisions, and determine the best next steps. For employees with families or partners, having that additional time will help their families prepare for the move and create an overall more positive experience for everyone involved.
Re-evaluate Your Policy Type
Regularly taking the time to analyze your relocation policy is essential to consistently provide the best experience for your employees while also managing costs. There are a myriad of different relocation policies and it is beneficial to both you and your employees if you take the time to find the right policy for your organization. For example, switching from a fixed lump sum to a variable lump sum may help you not only provide a more customized and flexible experience for your employees but also save money.
The re-evaluation process is also a great time to gather feedback from employees and look for policies that best meet their needs and expectations. Partnering with a trusted corporate relocation partner can help you understand the relocation process and ensure your company’s policy aligns with your organization’s needs.
Expand Your Internal Mobility Program
While this may sound counterintuitive, making sure your internal mobility program is the best it can be, even if that means investing more upfront, will help lower costs in the long run. By providing employees with upward mobility opportunities and increased autonomy within the company you can increase employee retention and save the time and money spent searching for and training new employees. This strategy reaps long-term benefits and helps you maintain a high level of care for existing employees by promoting internal hiring and making relocations smooth and stress-free.
The Careful Movers®
With over 90+ years of experience, Allied is a trusted corporate relocation resource helping move organizations forward. Our customer-centric focus ensures your needs are put first, and our centralized structure is focused on cost, communication and compliance control. No matter the size of your company, Allied has a solution that will work for you and make workforce and workplace mobility painless. Learn more.