“Can We Talk?” How do Relocation Partnerships Work Best?
November 2016
“Can We Talk?”
How do Relocation Partnerships Work Best?
There are many ways to view the subject of Communication, but in essence it is a human need. In business, we have evolved the topic into an art form, worthy of its very own MBA but despite all the methodology and mythology surrounding effective communication, is it really that complex, or is it common sense? When we meet with a potential supplier, we are driven by two prime needs; to know that we will work well together and to know that the price and quality are right. Where we are purchasing a commodity, the need to know that we will work well with the supplier becomes less important as what will really drive the transaction is cost and quality. But in relocation knowing the supplier and the client will work well together is key and good communication between them plays a huge part in the success of the management of the assignment. For this article I have interviewed relocation suppliers, procurers and global mobility managers and have found that across the board, good communication and collaboration is the number one priority in constantly getting it right.
Helmut Berg was the CEO of RSB Deutschland, now part of the Dwellworks group, one of the largest Destination Service Providers (DSP’s) in Germany. For over 20 years RSB has promoted a philosophy of success and communication going hand in hand;
“The provision of relocation services is one of the best examples of a people business. We don’t produce a commodity, we manage the greatest resources of our corporate clients; their globally mobile employees. Because of the value of this resource and the complexity of the services being delivered, communication and collaboration are the key elements in achieving the goals of our clients; a smooth transition for the employee and family.”
Elaine Crowe is the Relocation Manager for the Rank Group, a European gaming and leisure group with brands such as Grosvenor Casinos and Top Rank España. Elaine is also the Chair of the UK Relocation Users Group, a body set up with the aim of creating a forum for Relocation HR Managers to communicate and benchmark. Elaine trains relocation suppliers across Europe in how to best deliver those core components that maintain the relationship between HR and the relocation provider;
“Honest communication is a vital ingredient in creating a long lasting professional relationship. It should allow each partner to meet expectations and together obtain a united framework for every move, regardless of the different relocation requirements. There are often lots of buzz words to describe basics, but as always they remain the same; conscientious, caring, co-operation, clear and concise communication.”
Communication is central to the maintenance of a great relationship between HR and provider, but also in supply chain management. In many geographical locations and industry sectors, the supply chain is more complex, as a Global Relocation Management Company (GRMC) will be the primary account holder for the corporate client’s relocation needs. TEAM relocations act as a GRMC for many global multi-nationals and Jacqueline Biersma is a Board Director and one of four Relocation Directors. For Jacqueline, open and clear communication with the relocation providers who make up her global supply network is more than just a friendly phone call. It is also about maintaining absolute compliance to industry rules and needs;
“Communication and relationship management with our global clients is not just central to our work, it is absolutely key. Every industry sector has different needs. At TEAM we are very involved with oil and gas and adherence by us and our vendor chain to the strict rules on for instance, data-protection and health and safety is vital. We bring together our relocation partners from all over the world, at regular intervals throughout the year, to ensure that they are in compliance with our rules and those of our global clients. Events such as the EuRA International Relocation Congress and the WERC Global Mobility Symposium are how we are able to achieve the essential face to face communication, training and relationship management that we need to maintain with our relocation partners.”
When Jacqueline chooses the vendors that she will work with to provide a seamless global service to her corporate clients, there are more factors to take into account than just how good they are at communicating;
“Culture also plays a big role; our suppliers in Europe and the USA are already following local compliance rules on corruption and safety, but in other territories, where rules are not so strict, we need to be sure that we are training and communicating with our suppliers even more frequently. It is not difficult to see global trends that will affect the nature of the work we do; just watch the news and you can see what issues will be facing our clients. We work proactively with our global clients, constantly feeding back to them what we are doing to maintain excellence in every part of our supply chain. We are working with people after all.”
Communication is vital to this partnership process. The corporate world really caught on to the importance of structured communication and collaboration from the changes in management techniques that were implemented across the USA in the 1970’ and 80’s. Today, the value of relationship building through communication in US business is a prime factor governing success. Peggy Love is EuRA’s Content Consultant but previously was the owner CEO of one of America’s largest DSP’s;
“We worked within the GRMC supply chain and with our own corporate clients and in either case, it was vital for me to work as a partner with my client. In building a relationship with a client that will truly endure, having a mutual understanding of each of our needs founded on clear communication and a spirit of collaboration, is the bedrock upon which a great working synergy can be established.”
The partnership process itself however, changes in nature according to the type of supply chain and the partners involved and this alters the nature of the relationship and type of communication flowing between supply partners. Ileana Clapham of Clapham GmbH in Frankfurt also works with both direct corporate clients and GRMC’s;
“When we established Clapham Relocation, we quickly realised that our success was boosted by great, clear partnership and communication and working together as partners with our clients with one common goal of supporting the expats. When working with our direct corporate clients, one of the benefits is the clear communication with HR and how they use as a resource to inform and improve their practice. This is one of the key differences when working as part of complex supply chain; we are not invited to work in partnership, we are very clearly regarded as a supplier. This means that much of our expertise is untapped. We are a resource to be used and when clear communication exists within a partnership, that is when we can really give what we are best at.”
Germany, like the UK, is an example of how fast and how completely the outsourcing model took hold across the corporate world. In relocation, Germany is one of the strongest advocates of the GRMC supply chain model. In most cases, structural and systemic decisions about the nature of the service will be determined at senior management level and this makes clear communication within and between both organizations critical. Helmut Berg again;
“Trust, openness and reliability are crucial virtues in any relocation company. The client must be able to trust the supplier, but in return, the supplier must be able to trust the client and in a complex supply chain, this trust must be communicated throughout the organization, Where senior management have the most communication with the client, the best relationships are those where everyone in the supplier company is aware of the business culture, expectations and transferee needs of the client. Constructive cooperation between customer and service provider is the basis for the highest level of care of the transferee.”
There are distinct corporate cultures in relocation which affect the service delivery models. The Nordic region is unusual in European relocation, in that the majority of services are delivered as a result of a direct link between HR and the DSP. The GRMC supply chain addition isn’t so common. Åse Löfgren Gunsten is the CEO of Nordic Relocation Group and a partner in Absolute Nordic Relocation;
“Here in Sweden we still find that a majority of our clients want to work directly with the local relocation company instead of approaching a GRMC. Their reasoning has been that the order process and line of communication is short and quick when working directly with us. If a situation arises during a visit, getting a quick answer/decision is just one person, one call away. We have over the years built up some very strong relationships that we are very proud of. A couple of our clients ask us to sit in on meetings relating to new policies, recruitment of new employees, or other such issues.”
Communication is not just key in ongoing relationship management. It is central to the process of getting the account in the first place. Michele Bar Pereg is now an independent Relocation Consultant, but throughout the last decade built on of Europe’s largest and most successful DSP’s with offices in four countries. She believes the key to her success was communication;
“For me communication is about networking. Not necessarily in terms of selling, but being a great networker is key to being a great communicator. Who are you talking to? Who are you listening to? Keeping that connection open is vital. Networking, when done to facilitate communication, shouldn’t be artificial but nor should it be too personal – a business focus is important. Making that connection with HR by networking with them while still having your business brain in gear, is building strong links for the future of your relationship. Create networking opportunities to begin and maintain communication at industry conferences like EuRA. “
But for Michele, this didn’t just extend to sales and marketing. Communication within her own company was complex with managers spread across Europe and in different cultures;
“In my company, internal communication took place across borders and this made it especially important to be clear when important information was given out across the group. Keeping all of the managers and staff up to date with what a client was doing was vital and we would all add notes to the system on the culture of a corporate client as we perceived it in each country, so that we could better communicate accurately and equally with them. I went against type in hiring staff who held the same philosophy of communicating with clients as I did.”
Relocation is a human business and communication is a human need. Although we all see different priorities for communicating, we all share the primary value that communication and partnership is central to every part of our lives. Clearly here we are looking at business, but maybe the same impetus that promotes communication to create business relationships, friendships, teaching and understanding is prevalent in every aspect of human interaction. What is interesting to me, is how within the business world we work so hard to promote good communication and to avoid conflict. If all of the models and methods we use in the business world, could be applied to the wider arenas of ideology and politics, we would live in a very different world.
Dominic Tidey
C.O.O. European Relocation Association