Strategic Partnerships

Forum Corporation: 

Founded in 1971 Forum is a global leader in linking learning to strategic business objectives.  Forum provides accelerated organizational training strategies to grow, change, and perform.  They are recognized leaders in strategic training with offices around the globe.  Birchtree Global and the Forum are combining resources to serve clients expanding outside their home region who need a strong, global HR strategic plan to support their growing business needs.

HR Capital Partners, Denver:

HR Capital Partners, LLC is a strategic Human Resources Consulting Firm specializing in complex, critical projects working directly with CEO’s and other C-Suite executives across a set of broad-based industries. HR Capital Partners, headed up by former Staples (Corporate Express) VP of Global HR, John O’Loughlin, will help serve Birchtree’s western region clients and contribute valuable expertise in maximizing CEO and board relationships including compensation committees, global HR strategy and HR talent management programs.

New Webinars

“Establishing Your Business Overseas”

Birchtree Global and their leadership team of global attorney’s, CPA’s, and HR experts, will be providing a four part global webinar on starting a business overseas.  The program is 1 ½ hours weekly, each Wednesday from 12-1:30, starting August 25.  This program is designed to educate business leaders and global business teams in the steps involved in taking their business overseas-particularly the process for developing a global tax strategy, legal form and incorporation, financial registration, Foreign Corrupt Practices Act issues, HR infrastructure, employer/employee requirements, and expatriate management.  The previous program was sold out. Attendees have included CEO’s, CFO’s, Presidents, GM’s, VP’s of HR.  Cost for clients is $250.00/person (6.0 GPHR/SPHR)

“Expatriate Selection and Technology”

Barry Kozloff president, SRI International will speak on how to leverage technology to improve expatriate selection and enhance performance.  Barry’s advice is very timely particularly if your firm’s expatriate expense budget is growing. September 23, 12-1:30 PM, Free. (1.5 GPHR)

“How to Interview”

This program helps managers improve their ability to select high performing employees by better reading resumes, identifying success characteristic in positions, creating specific, talent revealing interview questions, learning how to manage the interview experience, ensure less turnover and better job fit.  This is specifically designed to help managers who want to get better quality employees, quicker and retain them longer.  August 4, and 11, from 12-1:30 EST. $50/participant includes workbook and ½ hour consultation.

 

“Field Enforcement-Foreign Corrupt Practices Act”

With BAJ, legal and financial experts this program focuses on identifying field enforcement problems and suggests ways to overcome the gap between home office training and employee decision making activities in country.  Tips to forensically uncover potential issues will be described.  Dates to be announced shortly.  Pre-registration required.  $500.00/person.

To register email, info@birchtreeglobal.com for registration package and secure payment instructions.

Atlanta Call for Speakers

The Southeast Regional Forum for Expatriate Management (150+members) based in Atlanta has announced a “Call for Speakers” to address the global members.  The members of this group are global practitioners in global mobility/HR/business and are looking for programs on areas of interest to managers of global workforces and services.  If you have a presentation on any of these issues and would like to speak to the group, let us know.

Who Own’s Your Brand?

For the last two months we have been conducting a poll on how companies express their brand image.  This month we release the results of our email survey on monitoring and responding to comments about companies on social networking sites.  As you may know there is no shortage of ways employees can share information about their company, a competitor, client, or vendor.  Sites like “http://www.jobvent.com, and “http://www.glassdoor.com, all allow people to post their confidential comments.

How accurate are these comments?  Why don’t you check out these two sites and let us know what you think.  Based on our limited research with two companies, polling employees and comparing this information with the details on these two sites, we found that the commentary about these two firms seems to represent the consensus of opinion from employees.  This is alarming news.  For company “A”, employees reported feeling marginalized, taken for granted, overlooked, and “jerked around”.  For company “B”, employees reported ethical violations by middle management and sexual harassment/bullying that went unnoticed.

Our survey results were not statistically significant for the population of Fortune 1000 companies and they may represent more sophisticated companies, but the results are interesting.

1. Do you monitor social networking sites to see what is being said about your company?  85% said Yes, 15% said No.

2. Does your organization actively interact with social networking sites:  85% said Yes, 15% said No.

3. If you actively interact with social networking sites do you respond to site comments?  85% said Yes, 15% said No.

4. Do you use the comments from social networking sites to address issues in your organization? 100% said YES.

This information suggests that it might be appropriate for companies to take a longer look at social networking sites as a way to gauge employee engagement.  Based on the number of comments about managers ability to engage and inspire employees this would seem to represent a fertile area of opportunity for HR professionals to get involved.

We would love to hear your comments about:

a. Is your company represented on these two sites?

b. In your opinion, is what’s being said about your company accurate?

We’ll post your responses next month.

Who Owns Your Company Brand?

Who owns your brand?  Companies that spend a fortune on branding their image and nurturing their name are finding that their image is being shaped by social media and technology enabled communication.

This is not a new phenomenon, but it does have widespread implications.  For example, I was teaching a class in business leadership in the fall of 1990 when Coke settled their discrimination lawsuit for $192 million dollars.  Steve Bucherati, formerly the director of global human resources was subsequently picked to head the Coke “reconstruction” team, and rebuild Coke’s image.  He said that most internal Coke senior leaders were surprised at their image as people who discriminated.  They truly thought of themselves as an inclusive company that would, “…like to teach the world to sing…”  They were surprised when they discovered the perception of the company was one in which blacks and women didn’t always find it easy to bubble to the top.  Students in my leadership class at the time were nonplused about the information.  “So what else is new?” and “Of course we knew that!” were the most common comments from the Atlanta based, men and women MBA students, mostly black, in the class. 

That “word of mouth” network pre-2000 has expanded to include employees, customers, applicants, supply chain providers and the general public all of whom are connected to social media sites that offer plenty of opportunity to tell their version of the company’s brand.  We are now faced with company brand images shaped by powerful social media forces that include ready access to electronic platforms, anonymous discussion boards on bad bosses, rating sites, and LinkedIn, Facebook and Twitter.  It is an ocean of information that no amount of internet firewalls can stop.  But, does stopping employees from using social networking sites ultimately help us in our search for developing a strong and attractive brand?  Or, is reading the comments of participants on social networking sites just another way of looking in the mirror to see if we really are the company we think we are?

Employees, clients, customers and supply chain members will use social networking so why not monitor your brand on these channels and use it as a means to be plugged into the pulse of your employees?  Monitoring brand image like this takes very little time and money.  Including social media analysis of your company brand can be an effective way to keep track of how your firm is perceived in the market.  Leveraging that social media network by hosting sites that represent your interests by product, functional department and enterprise puts company leaders in contact with the market.  Salespeople know it is tough to sit in front of a customer, get nailed and chewed out because a product or service didn’t live up to its brand image but other professionals in an organization particularly those in finance, HR, and IT don’t always hear this news first hand.  The department manager who bungles a performance appraisal for an employee, the applicant who didn’t get selected, the supplier who didn’t get paid on time provide feedback in the social networking world that represents an important bottom line metric like, turnover, attraction rate, payables.  These comments, added to statistical trends add insight into the perception of the company brand.

A company’s brand image is critical in today’s environment as the economy begins to improve turnover of good employees will increase.  Given a shortage of highly regarded skilled workers partially caused by the baby boomers retirement, staffing and bench strength development is a key concern for company leaders.  Top employees are always being sought after and now, in this environment, they are even more attractive.  

Smart companies are beginning to realize that their employee brand is not only the prevue of the marketing department but is owned by all those connected to the organization.  They are using social media in a positive way to provide employees with internal blogs, inviting related individuals to post and blog in virtual workplace “jellies”, and encouraging employee “thought leaders” to reach out and work in social media to promote their brand. They embrace the public performance appraisal and seek to correct the root causes of any disconnect proactively and before issues become a public problem. It is about the company culture and living the values.   

How does your firm use social networking to promote your brand image and to attract and retain top talent?

“Global Boot Camp”

Is your firm operating in the global marketplace?  Do you, your teams or  your colleagues have current experience in working with global business issues?  Can you confidently take your company overseas because you know the latest legal, tax, immigration and HR legislation that affects your activities?  If not, join us for a dynamite presentation on “Establishing a Business Overseas-Maximizing Reach, Minimizing Costs”.  This “Boot Camp” will upgrade your skills and expertise as the global business leaders at Birchtree Global explain to you how to take your business overseas.

Agenda and Schedule

March 11, 12:00-1:30 PM EST

Begin With The End in Mind…

                Characteristics of success in global expansion,

Killer assumptions, Start up resources, Risks and Costs,

Why politics matter, Artificial economies in green tech and bio med,

Import/export restrictions and requirements

March 18, 12:00-1:30 PM  EST       

Enhancing Profitability from Global Operations

                Developing a global tax strategy, repatriating profits-restrictions,

Leaving profits in country, Foreign exchange rates, Alternative financing,

Incentives, Corporate legal forms, Shelf Companies, Workforce control
Union and government involvement

March 25, 12:00-1:30 PM   EST       

The “People Face” of your company

                Cost benefits of Expats/Inpats, Employer/employee contract,

Labor law restrictions, Compensation, statutory, Non-statutory benefits,

Importance of selection decisions, Attracting foreign workers, Performance
management, Stock options, Back end bonuses, Pensions

April 1, 12:00 -1:30 PM    EST          
Global process management and integration…

                The “Three legged stool” Integration of tax, legal, and HR issues,
Workforce integration, Global financial management, Regulatory issues, Data privacy,
Ethics, Foreign Corrupt Practices Act, Safety and employee protection, Integration of
business systems.

Cost: $200/person

6.0 HRCI GPHR/SPHR credits

“Managing Expatriate Compensation-New Concepts and Practices”

Are you sending expatriates overseas?  Do you know the latest financial, immigration, tax, legal and HR issues that affect expatriates?  Do you know the latest trends in balance sheet, efficient purchaser and allowances?  What motivates expatriates?  If you are using expatriates you will want to update your skills and information in this terrific webinar hosted by Birchtree  Global’s legal, financial and HR executives.

HRCI 1.5 GPHR/SPHR Credits

FREE

March 26, 12:00-1:30 PM EST

Environmental and Corporate Issues Impacting Expatriate Compensation

 

            Social networking-you don’t own your brand

            Graying workforce-age of expatriates is increasing

            Shortage of skilled workers

            Dual career couples

            Cost of education

            Better HRIS systems

            Demand for higher performance and utility in HR systems

            Globalization of products, markets and workforce

            Perceived “Fairness” of expatriate compensation

            Corporate emphasis on expatriate ROI

            Mobility expectations of employees

            Mass migrations of people

            Global hiring trends BRIC countries higher than US

 Expatriate ROI-Strategic Implications

 

            Business executives’ expectations

            More focus on metric measurement of the entire experience

            Selection decisions, demands on managers of expatriates

            Suggestions on the value of strategy mapping

            Cost/Benefit Value of providing certain services

            More emphasis on business trips-tax implications

            The cost effect of perceived inequities by local workforce

            Talent management ROI

            Compliance risk

            Technology vs. manpower data collection costs

            Socializing expatriates in country-high value ROI

 Costing Expatriate Assignments

 

            Balance Sheet approach is still number 1 but changing

            Efficient purchaser-characteristics of this process

            Local Plus-characteristics of this program

            Hybrid programs-characteristics of hybrid programs

            COLA by Family –where to get data, value of data

            Foreign service premium-utility, changing ideas

            In Europe “mobility Allowance’ more common

            Dual career costs, mitigation

            Increasing need for flexibility in policies

            Taxation of expatriate rewards

Workforce Implementation and Integration Challenges

 

            Documentation of costs, particularly pre-planning

            HRIS systems global reach-one size fits all systems

            War on tax avoidance-increasing as is government data sharing

            Data Privacy challenges as regulation grows

            Managerial compliance, partnership, educating the expat’s boss

            Rapid changes in tax, labor law, issues, how to manage change

“Financial Innovation in the Transatlantic Economy”

Last week I attended a conference sponsored by EUCE (European Union Center of Excellence) on “Financial Innovation in the Transatlantic Economy”.  The conference proceedings showcased:

Generators of financial reform efforts in the US and European Union

                Future trends in regulation

                Financial challenges under Basel II

                European financial reform and access to finance and commercial bank lending

                Business growth strategies and access to capital  

The speakers included:

Mr. Edouard Franciois de Lencquesain, from Paris Europlace (former S.W.I.F.T. board member)

Dr. mark Blyth, Professor of International Political Economy, Brown University

Ms. Cecile Noziere, CEO of Finadvia LTD (formerly Credit Lyonnais)

Keith Green, Vice President of Government Relations, ING North America.

There were several key items are of interest and importance to C-Suite business leaders as they chart the cost of capital, financial reform and the likely impact on their companies.  Here are some of their comments to consider:

                a. Innovative financial products help spur business growth and this innovation is likely to continue.  What this means to companies is the way in which business are financed is likely to evolve.  Public/private partnerships are likely to continue, interbank products and services will evolve as the way in which financial institutions evaluate lending risk continues to change.  For business expanding overseas this means reliance on only bank funding will limit opportunities to grow.  Evaluating government, public/private partnerships should be thoroughly explored to maximize funding options.

                b. The financial crisis looks (looked) different to different markets.  The response to the financial crisis is quite different around the world. For example, Canada for example has weathered this particular crisis better than the US as a result of decisions taken with regard to financial risk, regulation, capital requirements and consumer behavior.  When expanding globally, consider that your firm may be evaluated using a different economic model.  Make sure you understand that country’s model and include this as part of your financial evaluation.

                Another reason that forecasting the economic crisis wasn’t more precise was the intersections of interest were not obvious because of heavily siloed organizations.  While this is a continuing problem in organizations it has particular implications for regulators.  Horizontal thinking and innovation may have helped avoid the catastrophic results of failing to share and understand information.  We need a way to look at the impact of regulation of markets so the impact across governments, institutions and borders is apparent. Failure in this area is not an option which may spur additional innovation.

                c. Politicians and regulators don’t necessarily really understand financial markets and the impact of their decisions.   In general, their ability to assess and analyze risk factors is limited and this subject is complicated.  It can only be dumbed down so far.

                d. Basel II reforms will affect large as well as small banks.  While smaller banks will not necessarily participate in Basel II, they will be affected by the risk sensitivity of capital allocation requirements, quantifying operational and credit risk, among other standards.  (Basel II is the second of the Basel Accords which are recommendations on banking laws and regulations.  The purpose is to create an international standard that banking regulators can use when creating regulations about how much capital banks need to put aside to guard against the type of financial and operational risks banks face.  Basel II attempts to accomplish this by setting up rigorous risk and capital management requirements designed to ensure that a bank holds capital reserves appropriate to the risk the bank exposes itself to through its lending and investment practices. Generally speaking, these rules mean that the greater risk to which the bank is exposed, the greater the amount of capital the bank needs to hold to safeguard its solvency and overall market stability.  It use a “three pillars” concept, A. Minimum capital requirements, B. Supervisory review and, C. Market discipline to promote greater stability in the financial system.  Basel II accords have been adopted by countries around the world but timetables and implementation vary widely.)

                e. GDP of EU is number one in the world but their influence doesn’t always equal income.  As such the EU seeks to increase competition, level the playing field and reduce risk in the financial arena.

                f. Private equity funding for small businesses will expand as cost of capital for this group tightens.  In addition to exploring government, public/private partnership groups growing companies should look to explore private equity funding opportunities.  However care must be taken to identify private equity firms with robust business experience, solid financial and operational leadership skills.  Private equity firms are also seeking to reduce their exposure to risk so an understanding of how risk is apportioned is critical.

Birchtree Global staff will be attending several financial and legal conferences over the next several weeks and will provide our clients and readers with updates and alerts.

For additional information on this article please contact Janet Walsh-01 770 590 8338.

“Managing Expatriate Compensation-New Concepts and Practices”

The purpose of this program is to provide senior and global HR executives with information about the latest strategies and tactics in creating an effective expatriate compensation program. Four broad areas are highlighted:

A. Environmental changes that impact expatriate compensation
B. Evaluation the “Expatriate Return on Investment”
C. Costing the expatriate compensation package
D. Implementation of expatriate management systems.

This program has been approved by HRCI for 1.5 GPHR/SPHR credits

This is a 1.5 hour program to be presented without interruption.

This program is offered as follows:

March 2, 5:30-7:30 PM-At “The Atlanta Regional Forum for Expatriate Management”, City Club of Buckhead, Atlanta, GA
In addition to the program this is an outstanding opportunity to meet HR and business leaders in the global mobility business.

March 26, 12:00-1:30 PM-Webinar, contact admin@birchtreehr.com to register.

Curriculum Highlights:

A. Environmental and Corporate Issues Impacting Expatriate Compensation
Social networking-you don’t own your brand-real time employee survey
Graying workforce-age of expatriates is increasing
Shortage of skilled workers-difficulty in finding and attracting top talent…in country
Dual career couples-managing the trailing spouses’ career
Cost of education-cost of educating expatriate children
Better HRIS systems-which can track expat programs
Demand for higher performance and utility in HR systems
Globalization of products, markets and workforce continues outside of the US
Perceived “Fairness” of expatriate compensation packages by host based workers
Corporate emphasis on expatriate ROI-particularly cost accounting
Mobility expectations of employees, particularly younger employees
Mass migrations of people-Mexican’s to the US, Turkish people to France, implications
Global hiring trends BRIC countries higher than US-absorption of talent

B. Expatriate ROI-Strategic Implications
Business executives realize that expatriate’s are very expensive so they seek to maximize EROI
More focus on metric measurement of the entire experience including repatriation and regurgitation of information back into the
       organization
Selection decisions are becoming highly competitive and analogously, demands on managers of expatriates to extract maximum
       value from the assignment
Suggestions on the value of strategy mapping in linking ROI with Expat assignments Cost/Benefit Value of providing certain
       services, like pre-departure training lack thereof has a high degree of contribution to assignment failure
More emphasis on business trips-but tax implications and visa implications can be problems
The cost effect of perceived inequities by local workforce towards expatriate managers
Talent management ROI-for larger systems, management’s role is fundamental
Compliance risk when compliance requirements are not well understood
Technology vs. manpower data collection costs-time value of managers illustrated
Socializing expatriates in country-high value ROI

C. Costing Expatriate Assignments
Balance Sheet approach is still number 1 but changing Efficient purchaser-characteristics of this process
Local Plus-characteristics of this program
Hybrid programs-characteristics of hybrid programs
COLA by Family –where to get data, value of data
Foreign service premium-utility, changing ideas
In Europe “mobility Allowance’ more common
Dual career costs, mitigation Increasing need for flexibility in policies, for example, home leave, expat assignment costs
Taxation of expatriate rewards-US employee structures must keep pace with global tax policy

D. Workforce Implementation and Integration Challenges
Documentation of costs, particularly pre-planning for managers and HR
HRIS systems global reach-one size fits all systems hard to find
War on tax avoidance-increasing as is government data sharing
Data Privacy challenges as regulation grows
Managerial compliance, partnership, educating the expat’s boss
Rapid changes in tax, labor law, issues, how to manage change

Webinar:

“Establishing a Business Overseas-maximizing reach, minimizing risk”

You are a senior business leader with a growing global customer base.   Does it make sense to establish an off shore business to support them?  What are the key issues you’ll face right now that will challenge your profitability and performance as a global business?  How can you make the global start up process easier, more effective and efficient?

Join the global, legal, financial, and HR start up experts at “Birchtree Global” as they present a four part webinar on establishing a business overseas-maximizing reach, minimizing cost. 

Curriculum and Schedule

 March 11, 12:00-1:30 PM             Begin With The End in Mind…

                a. What characterizes success in global expansion?

                b. The “Killer Assumptions

                c. What factors enhance a successful outcome?

                                Good information

                d. Understanding risk and costs

                e. Understanding how the game is played overseas

                f. Understanding global trade requirements

                g. The economics of politics

                h. Why political structure matters

                i. Artificial economies of green tech/bio med

                j. Import/export restrictions and requirements

                                Content of products

Polling question:  What is your primary global market?

March 18, 12:00-1:30 PM              Enhancing Profitability from Global Operations

                a. It’s all about the Benjamin’s…or is it Euros? …or Pesos?

                b. Developing a global tax strategy

                c. Repatriating profits

                d. Leaving profits in country

                e. Government restrictions on profit repatriation

                f. Foreign exchange rates

                g. Alternative financing arrangements

                h. Identifying country/region/city incentives

                i. Typical start up corporate form
                                Export
                                Partnership
                                Sales Office
                                Country Management Center
                                Regional Center
                                Global Operation

                j. Establishing the corporate legal identity in country

                k. Cost of incorporation

                l. Shelf company or newly establishment?           

                m. Labor law requirements

                n. Who controls your workforce?
                                Government
                                Unions

Polling question:  In what part of the world are you interested in expanding?

March 25, 12:00-1:30 PM              The “People Face” of your company

                a. Who’s going to do the work…cost/benefits/expat ROI
                                Expatriates
                                Inpatriates

                b. The employer/employee contract

                c. Surprise, you can’t hire or fire at will!
                                Critical selection decisions

                d. Local labor law
                                Your new business partner-the Union
                                Your other new business partner-the Government

                e. Performance management

                f. What is your value proposition to potential employees?

                g. Who is going to help you hire?

                h. Why selection is of the utmost importance

                i. Compensation and benefits

                                Small employer considerations
                                Stock options
                                Setting salaries
                                Statutory and non-statutory benefits

Polling question:  Are you planning to hire in country team, use expats?

April 1, 12:00 -1:30 PM                   Global process management and integration…

                a. The “Three legged stool”, Integration of tax, legal, HR issues

                b. Workforce integration, playing nice in the sandbox

                c. Global financial management, it’s all about the benjamins…

                d. Regulation, what’s regulated…?
                                Data Privacy

                e. Ethics, the difference between a tip and a bribe and what to do about it
                                Foreign Corrupt Practices Act

                f. Safety, protecting employees, equipment and the institution

Polling question: What will inhibit you from opening overseas operations?

Polling question:  Did you learn anything new from this webinar…if so, what?

Pricing:  $200.00/participant

                For attending this webinar you will receive a copy of “The Global 20” whitepaper

                This course will provide 6.0 HRCI recertification credits for GPHR and/or SPHR recertification

Registration:    Email info@birchtreeglobal.com

                Please provide your name, title, company name, email and phone number and we will send you the program log in details and registration information.

Who should attend?

CEO’s, C-Suite management team, CFO’s, HR executives, and operations managers

Bio-Tech, Green Energy, Bio-Med and Technology firm’s specific challenges are highlighted

Entrepreneurs who are considering global partnerships or exporting their services or products

Individuals/educators affected by global expansion in their organizations