Blog

The Benefits of Partnering with a Relocation Management Company on Your Group Move

Published: Tuesday, March 17, 2020
Suzie Chapman

Group moves are often a key component of a company’s strategic planning but, due to their complexity, they can be overwhelming to both companies and employees alike. In addition to assuring a successful relocation and managing the move itself, company stakeholders are tasked with keeping business disruption at a minimum and productivity strong. Without a sound plan and consistent communication, employee morale can be negatively impacted, ultimately compounding potential disruption. With so much at stake, businesses need every advantage when planning a group move, but most organizations don’t have the in-house capacity. Working with a relocation management company (RMC) puts a world of expertise and resources at a company’s fingertips when planning a move of this magnitude.

Steps to Managing a Group Move

To ensure that a group move goes as smoothly as possible, procedures need to be established for a number of key events and milestones – starting with the determination of which employees will or won’t be offered the opportunity to move, which of those employees will accept the opportunity, and what benefits will be offered to support the relocation. Deciding what would be considered a successful number of employees is also key: Would it be a 90% acceptance rate (because skills are specialized and hard to find) or a 20% acceptance rate (because local talent may be readily available)? This answer can differ between companies and scenarios.

While determining the above may seem straightforward, impacted employees need to be provided with just the right amount of time to decide whether they should accept the move; placing too much pressure too quickly or providing too much time to decide can both lead to challenges. Once the employee has agreed to relocate, requiring a signed repayment (payback) agreement and letter of intent to move is advisable before the company commits to any investments. Additional steps include:

  • Creating a well-thought-out exception management process to accommodate the needs of key personnel who may need support outside of policy to accept the relocation
  • Developing a process to respond to employee questions
  • Establishing controls to limit the number of people acting outside of the program
  • Keeping your customers and suppliers informed to minimize concerns about business continuity (this includes a robust communication plan and change management process)
  • Demonstrating that there was duty-of-care applied in assessing the socio-political situation at the destination location, including public health and basic infrastructure, especially if moving with children

Why Group Moves Fail

Based on our experience, there are several common reasons why a group moves are unsuccessful, including a company’s failure to:

  • Announce the move without adequate preparation or employee engagement
  • Clearly define objectives
  • Plan thoroughly and allow enough time
  • Maintain control of employee experience through adherence to policy
  • Understand unique needs and dynamics of employees and the group as a whole
  • Resist company pressure to utilize non-qualified suppliers
  • Solicit the endorsement and engagement of senior management
  • Enlist the help of outside resources early enough

    It’s critical to be able to tie the reason for the group move back to a sound business objective. Employees should be reassured with reasons why the new location was selected, goals that can be defined and defended, and any benefits they’ll experience as a result of the move. Involving mobility managers and support resources early goes a long way in accomplishing this and much more. 

How Relocation Management Companies Can Help

From conducting employee surveys (to determine employee perceptions and potential needs surrounding the move) to conducting market studies of your old and destination locations (for reasons including gauging cost differences and determining if a cost of living adjustment might be necessary) – an RMC works closely with a company’s management team to define the overall objectives of a move and its markers of success. They can also assist with advising on communications plans, designing an effective policy, managing the logistics of the move, and ensuring a smooth and successful implementation.

A seasoned provider adds immediate credibility and expertise to the process, lending a unique combination of skills that address the unique complexities associated with a move of as few as ten or as many as a thousand. RMCs provide invaluable expertise to companies when aligning company objectives with mobility plans, providing relocation cost analyses, developing sound relocation policies, tracking employee expenses, assisting with tax gross-up calculations, and acting as a relocation resource center for employees, removing some of the administrative burden from internal mobility teams. They also provide a wealth of services to employees, including area tours, home marketing and/or purchasing assistance, information kits, home finding assistance, temporary housing assistance, spouse/partner job-finding assistance, and mortgage assistance. RMCs can also be critical to employee acceptance levels by offering pre-decision presentations and orientations – either virtually or in person – to support the decision-making process. The more experienced the RMC, the more assistance it can provide and the easier the transition can be.

What Should you Look for in a Supplier?

When searching for a provider whose employees and knowledge base will best meet your needs, look for a provider with extensive experience and on-the-ground resources in the area you’ll be relocating to. The RMC you partner with should have expertise in:

  • Project management
  • Robust technology and tools to support employees
  • Relocation policy design and implementation
  • Working with employees and mobility teams that are under stress
  • Extensive group-move experience
  • Policy counseling
  • Process development and management
  • Supplier selection and management
  • The local real estate market
  • Reporting processes (on service utilization, satisfaction, and costs)

Group moves, though complex, can be less overwhelming with support from the right resources. For more information, or to evaluate whether your current relocation program will support the objectives of your upcoming group move, contact us at concierge@sirva.com.