How to Make Expatriate + Relocation = Success

A company based in Hong Kong is opening a new branch in Malaysia and the time has come to staff the new location. This, of course, lands on the desk of the Director of Human Resources who now, among all of their other tasks, has to find a way to relocate an employee and his family in a smooth enough way to ensure a continued level of high productivity.

Basically, do everything possible to keep the employee comfortable and happy.

However, relocating to a new city can be one of the most stressful events a person will encounter in their lifetime. In fact, the Employee Relocation Council (ERC) ranks moving as third in life’s most stressful events behind the death of a loved one and divorce.

People being transferred by their company will find themselves feeling extremely vulnerable and in desperate need of support. Providing that support for the expat is key for any company, and utilizing all of the tools available, from intercultural training to orientation programs, can make the difference between a successful relocation and an unhappy worker.

“There’s nothing more expensive (for a company) than a failed expatriate relocation,” explained Ronan Kelly, Country Manager for Crown Relocations in Malaysia. “If the expat’s family is not happy and they want to go back home, the company is left having to find another employee to fill that position.”

“Today, there is a vital importance for corporations to have a relocated employee who is productive from the first day and is comfortable in his new environment.”

In order to make an expat relocation successful, there are several steps that a business, the relocation company and the employee themselves need to take.

The first of these steps is a pre-visit by the employee to his or her new home for an initial feeling out process where the relocation company can begin a settling-in program. Using Kuala Lumpur as an example, a generic overview about the vibrant, cosmopolitan nature of the city and its four million residents would be a nice introduction for a newcomer.

Social and cultural aspects of the city are also helpful in this process, including housing, shopping and landmarks within the area. For KL, this would include general prices and locations of homes, what food markets are in the city, which medical facilities are recommended, schooling options and social activities for singles and families.

Other basic, but important, information provided at this initial visit can help make a future resident feel more at ease. With finances varying from country to country, learning the unit of currency, like the Ringgit in Malaysia, can help the expat adjust immediately. Also, a cost of living index with comparison process for groceries, transportation, accommodations, family life, entertainment and health helps provide the relocating family with a frame of reference for costs ranging from eggs and milk to car purchases and taxi fees to a movie ticket and a round of golf.

“Providing these services has proven to be a key to customer satisfaction in the relocation industry,” says Premilla Thiru, Crown’s Relocation Services Manager. “Things like helping the clients find a home, help in a school search for their children and giving a detailed description for the area where the family eventually settles in are all important parts of the orientation process.”

There are a number of key factors a company should consider before recruiting expatriates to ensure the success of the employment:

Work Permit
Immigration Policies undergo continuous changes. Start the visa and immigration procedure early – before the new employee arrives, and utilize professional help to ensure a smooth processing of documents

House Rental
Housing is one of the largest cost factors in expatriate employment. Budget housing and schooling allowances according to market rates using rental screens. Utilize the market knowledge of a Relocation Services providers for home searches.

Cross-Cultural Training
Provide all expatriate employees and their spouses/partners and children with the critical information necessary to thrive, not just survive, in their new location. The skills needed to complete these tasks successfully are not innate. Cross-cultural training can provide the missing competencies and knowledge to fill the gap. One of the attractions of working overseas is being continually challenged by different experiences. Some of these will be good and some will be less than memorable. However, by preparing for all of the new occurrences that will undoubtedly unfold, an expat can lessen the surprise and minimize the unavoidable cultural shock. When all is said and done, these tips and lessons lead to three major conclusions – an easier transition for the HR Manager, a more cost-effective way to relocate staff for a company, and most importantly, a successful employee.

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