The workforce is undergoing a large-scale transformation owing to a rise in remote workers, adaptive workforces, and global employment, amongst other disruptions. The traditional workforce model is also rapidly changing to keep up with the integration of AI and other technological advancements in more and more business processes.
With so many changes within a short period, it is crucial for workforce management to improve in proportion.
Global workforce management poses challenges as it is significantly different from managing a local, in-person workforce. This requires certain adjustments to be made to keep a company’s operations running effectively.
This guide covers everything you need to know about efficient and effective global workforce management.
Global Workforce: What Does It Entail?
A global workforce refers to a team of workers based around the world, regardless of where a company is headquartered.
It is set apart from traditional workforces as they involve a diverse range of employees of different nationalities, cultures, and backgrounds, which offers a unique set of benefits and challenges.
What Are the Benefits of a Global Workforce?
A global workforce offers many benefits to companies, which is why there has been an increasing shift toward remote workers in different industries.
Here are some benefits of onboarding remote global workers:
- Improvement in talent acquisition opportunities – A global workforce eliminates geographical limitations, so companies can hire from an exponentially larger talent pool. This improves the talent or skill level within the company and can boost its growth. It is also easier for a company to find the right people for the job, in terms of efficiency and skill, as they are no longer limited to those living in the same country or even continent.
- Promotes diversity – Opening doors to remote workers promotes cultural and linguistic diversity within the company. This can be highly advantageous as varying mindsets and perspectives can improve decision-making on all levels. It can also make businesses more adept at entering diverse markets or communicating with different kinds of clients.
- Better customer service and enhanced customer satisfaction – When employees work across different time zones, it vastly improves the customer service offered by a company, as clients and customers no longer have to wait for extended periods to get the assistance they need. And there is no need for local employees to work unreasonable hours.
- Lucrative for fields that don’t require on-site work – Global remote workforces enable companies to save on overhead costs, such as rent, utility bills, maintenance, and even taxes. This can be very lucrative if no on-site work is required for the company to function efficiently.
Global Workforce Management: The Rundown
Global workforce management includes all the processes employers use to properly direct their global or remote employees to improve efficiency, maximize productivity, and reduce risks.
Successful global workforce management helps improve competency, performance, and consistency and promotes better time management. It also enables managers to forecast workloads, expedite employee scheduling, and offer analytical insights about the business and its operations.
A company with an effective global workforce management system enjoys a well-balanced ratio of the amount of work that has to be done and the number of employees required to complete it.
To achieve this balance, companies need the following:
- Strategic direction – outlining short- and long-term goals or objectives and strategizing how the workforce can meet these expectations
- Data analysis – gathering and auditing data about the workforce to identify and understand overlaps and gaps in the working processes
- Identifying solutions – once gaps are identified, management teams must identify solutions that will improve the workforce’s ability to meet future objectives
- Standardizing procedures – these procedures enhance communication and make it easier for employees to conduct their work and perform certain tasks without requiring constant supervision or surveillance
- Automation implementation – integrating automated systems into the company’s operations will streamline processes, thereby making workforce management more straightforward and more effective and reducing costs associated with the same
- Clear communication platform – clearly outlined expectations and deliverables and open communication with honest feedback and constructive criticism are crucial for any workforce to flourish.
Considering the benefits of having a global workforce, companies are increasingly onboarding full-time and freelance remote employees.
However, this has increased concerns about effective global workforce management to improve productivity, reduce costs, and decrease errors and lack of consistency.
How To Streamline Global Workforce Management Processes
Working with a global workforce requires inculcating certain management systems and strategies to maintain smooth operations. This can be simplified with the right tools.
Here are some ways that global workforce management can be enhanced and streamlined:
Effective Payment Solutions
International payments for a global workforce can be a challenging element of global workforce management. Many things require extra attention to detail, such as:
- Invoice management
- Taxation
- Onboarding
- Approving and scheduling payments
- Fluctuating exchange rates
- International payment policies
Timely payments and generous compensation boost employee satisfaction and loyalty, as they are assured of the company’s reliability.
An effective automated global payout solution ensures that there is no added effort or attention needed on the management’s part.
Collaboration Tools
Differences in time zones and work methods can create collaboration problems when employees have to work together on a project. Integrating apps that employees are already familiar with is crucial to enabling cohesive workflow and promoting collaboration.
Data Analytics for Resource Management and Employee Output
A data analytics engine can enhance efficiency and is crucial for effective global workforce management.
It provides crucial insights into the following:
- Employee performances
- Resource allocation and management effectiveness
- Cost-effective service categories
- Economic geographic regions
- Optimum worker type
This data can be extremely helpful in allocating resources and improving cost effectiveness while enhancing employee output.
Compliance With Regulations
Legal requirements and employment regulations vary across the world, and they tend to change unexpectedly. It can be challenging to comply with many different regulations or labor laws surrounding:
- Hiring processes
- Benefits
- Mandatory paid time off
- Minimum wage laws
- Annual holidays
- Employee healthcare
Ensuring that your policies don’t clash can hinder global workforce management. The risk associated with global workforces and compliance can be mitigated with the right business protection tools.
What Are the Challenges of Global Workforce Management?
There are many benefits of a global workforce of freelancers and part-time or full-time remote employees across the world. However, certain elements make global workforce management quite challenging and often deter companies from hiring a global workforce.
Here are some challenges that companies have to address when employing a global workforce:
- Training costs – Companies may need to implement additional training or coaching to overcome communication hurdles owing to cultural or language differences. All employees must also be able to meet international industry standards.
- Deficiencies in technological infrastructure – Advanced technical infrastructure is a prerequisite for global workforce productivity, and providing the necessary equipment for all employees can be a considerable expense. Lousy internet connections, outdated laptops or computers, worn-out tools, and other equipment deficiencies can limit productivity.
- Language barrier – It can be a challenge to communicate effectively if not all employees have the same fluency level in English. Local and vernacular discrepancies can also cause communication issues.
- Community gaps and lack of employee engagement – When employees work from different geographical locations, building a sense of community and company loyalty can be difficult. It also significantly affects the level of employee engagement.
- Cultural differences – A remote, global workforce inculcates a wide range of cultures and backgrounds. This is largely an advantage, but it can also pose a challenge as there may be varying cultural norms regarding workplace conduct, management style, and productivity expectations.
- Synchronizing remote staff – Synchronizing operations across different time zones can significantly impact communication and cohesion within the workforce.
Tips for Effective Global Workforce Management
While there are some hurdles to overcome in managing a global workforce, the myriad benefits are well worth the investment.
Many tools and services can help you manage and compensate your global workforce. There are also provisions to safeguard the company’s legal interests and comply with all crucial regulations no matter where you are hiring from.
Here are the basics of global workforce management, beyond which you can adapt as you grow:
- Maintain an innovative approach toward management styles
- Facilitate and encourage open communication
- Improve cultural awareness and sensitivity across the company
- Use HR analytics to improve management systems and strategies
- Inculcate a healthy, inclusive work environment
- Create company policies that ensure that everyone in the company receives and takes advantage of equal opportunities
- Educate managers and senior stakeholders on effective global workforce management strategies
Conclusion
A global workforce is crucial to keep up with the onset of globalization in the corporate sector. Global workforce management may seem daunting at first, but a closer look reveals that it is only a matter of cooperation, empathy, and organization.
Worksuite offers all the essential tools to make global workforce organization simpler and smoother.
