We’ve reached a defining moment in the future of work. Shifts in business demands, evolving employee expectations and the acceleration of tech innovation have converged, prompting employers to carefully plan strategies to future-proof their business.
Scaling globally is top of mind. G-P’s 2024 World at Work report found that 97% of executives say establishing a market presence in multiple countries is essential for remaining competitive in today’s business landscape.
While a global approach offers significant advantages, it also brings forth unique challenges. Companies need the right guidance and technology to effectively navigate complexities ranging from understanding cultural nuances to ensuring compliance with varying local and global employment laws and regulations, as well as onboarding and managing an everywhere workforce.
The Rise of the Everywhere Workforce
Four in five employees want to work for a global company. This is not just about the allure of international experience; it reflects a broader trend where employees seek opportunities to broaden their skill sets and career prospects.
A majority (85%) believe that companies hiring in multiple countries offer more opportunities for their personal career growth. Global companies can provide exposure to different markets, cultures and business practices, enriching the professional experience of their employees and opening up new career prospects for professionals.
Employees today are increasingly open to moving for their careers. Nearly a third (32%) are considering moving to a different region or state, and close to 20% are open to an international move. However, location is becoming less important with technology and digitalization, and many jobs can be done in hybrid and remote work environments. More than half (56%) of employees would prefer a fully remote position in the same country as the company headquarters, while 51% are open to working remotely in a different country.
Employees are actively seeking to be a part of the “everywhere” workforce. Companies that recognize and embrace this trend, offering global talent experiences, will not only appeal to this new generation of job seekers but also position themselves for success in the global marketplace
Overcoming the Challenges
Building and managing a global workforce can be challenging. For many businesses, navigating legal, regulatory and compliance requirements is the most complex challenge of building and managing global teams. Labor laws, tax codes and employment practices are different and specific to each market.
AI-powered global employment solutions, like employer of record (EOR), can help business leaders significantly reduce the challenges of building and managing global teams. EORs help companies hire and manage talent anywhere in the world, enabling them to operate in new markets without setting up local subsidiaries. An EOR handles all aspects of employment, including payroll, taxes, benefits, HR tasks and, perhaps most importantly, ensuring compliance with local labor and employment laws.
More executives prefer partnering with an EOR to hire employees in new markets (as compared to any other approach). Only 26% of executives want to set up their own entities.
In addition, cultural differences, time zone disparities and communication barriers can create friction and hinder collaboration. Fostering an inclusive workplace culture, where there is a shared mission and vision across all markets where the business has a presence, can help to address these challenges. Providing cross-cultural training and leveraging technology to facilitate seamless communication and collaboration is also helpful.
Enhancing Global Teams with AI
From hiring to managing global teams and boosting employee effectiveness at work, AI complements and supports human work by making it more efficient and scalable rather than replacing it.
AI can help:
- Hire and manage global talent. AI can help simplify the hiring process from helping find the right talent for specific positions to streamlining onboarding to bring new hires on quickly and compliantly.
- Improve cross-market communication by enabling real-time communication and information sharing. According to G-P’s AI at Work report, 40% of executives highlighted AI’s 24/7 availability to support customer satisfaction and employee productivity, regardless of time zone. This is particularly important in multinational projects where clear and timely communication is critical to success.
- Boost employee’s effectiveness at work. G-Ps 2024 World at Work report found that employees are looking to leverage AI to help automate repetitive tasks (54%), review and summarize information (44%), provide stronger and more in-depth analysis (42%) and generate written and creative content (40%).
Unlocking Global Talent & Collaboration Through Innovation
Hiring across global markets is accelerating. By embracing this shift, companies worldwide can unlock the full potential of their business by tapping into diverse talent pools. AI offers promising solutions to help manage global teams more effectively, bridge cultural barriers, ensure compliance and enhance collaboration and productivity across borders. Now, more than ever, is an exciting time for companies to thrive in today’s interconnected world.
Laura Maffucci, Head of HR at G-P.