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The Philippines
A Guide to
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•Chapter 8:
Chapter 1:
Introducing the Philippines
Chapter 2:
The Present in Perspective
Chapter 3:
Trading Conditions
Chapter 4:
Planning Local Operations
Chapter 5:
Locating to the Philippines
Chapter 6:
Tax Issues
Chapter 7:
Understanding the Legal Codes
Chapter 8:
Money Matters
Chapter 9:
Intellectual Property Rights
Chapter 10:
Living in the Philippines
Chapter 11:
Bridging the Cultural Divide
Chapter 12:
Successful Transitions
Chapter 13:
Dealing with Emergencies
Chapter 14:
Directory Assistance
•Chapter 8:
Legal Codes
Special Reports
Statistics
Weekly Report

Company Profile

Crown Relocations -
A Full Package for Expatriates and their Businesses

From its start as a single branch firm serving US military clients in Yokohama, Japan, Crown Relocations today operates from 90 locations in more than 40 countries. Over the years, Crown has grown from being a moving company to providing a full range of complementary relocation services. Crown, Manila, being a part of this international network, is hence able to make a full service commitment to our valued clients here in the Philippines that we can fulfill at destination and all steps en route.

Crown Manila handles movement of household goods for multinationals and private individuals with the same dedication to client satisfaction. Our packing teams, with average experience of seven years, are one of the company's greatest assets and each member of the team is extensively trained in all aspects of the trade.

Crown Manila provides special employee relocation services for corporations. The programs we offer have been specially prepared with the expatriate community in mind. These programs reflect a growing call amongst corporate bodies to provide their incoming staff with complete services ranging from orientation tours, home and school searches to tenancy management. By offering the fullest range of services, Crown Worldwide Manila is able to act as a one-stop shop for corporate Human Resource Departments that are trying to help their new staff settle in.

Crown Manila's Logistics and Records Management division specializes in the management and storage of business records, managing over 40,000 cartons of documents as well as digital media. The company is also a leader in office relocation services for corporations, and provides other specialized transportation, forwarding, and warehousing services to expanding businesses around the globe.

For further details visit us on the web at: http://www.crownrelo.com




















 

 

BizGuides


Chapter 12 - Successful Transitions


This Chapter has been contributed by JIM WARD…Managing Director of our main sponsor, Crown Relocations. Jim is an American who has lived and worked in Japan, Taiwan, Indonesia, Philippines (twice), Australia and China.

Relocating is more than just moving boxes and changing time zones.

As you have come to the end of this business guide hopefully you have acquired a bit more knowledge on being both an expat and a good corporate citizen while here in the Philippines.

But what about future expat postings? Do conditions vary much country to country or does the " profile " of a successful expat carry over? Having been an expat myself for some twenty five years and having lived and worked in six international cities outside my home country I would like to share some of my own observations along with some history that our group has gathered on the expat experience.
While some are probably quite obvious to you -some may surprise you :


When does one stop " being " an expat ?

I would venture to say that day occurs when you feel wherever you are currently hanging your hat is truly home.. if even for the moment. Approximately five to eight percent of our clients are in the situation (most happily) that they have spent most if not all of their working life on various postings overseas.

One thing such managers have in common - whether it was something as diverse as the military, an internship, the peace corps or a Mormon mission that brought them overseas in the first place - they tend to have " felt at home " from their early days overseas. Another fairly common thread is the feelings that they will take away more from the experience then they contributed.

Are today's expats different then those of year's past ?Are today's expats different then those of year's past ?

It used to be that expats were pretty much a mixed bag. They were sent overseas by their employer and left to fend for themselves. They were selected largely on their technical abilities and not necessarily for the awareness or cross cultural skills they would bring to the position.

Today's expats tend to be younger, better educated and informed then in the past and often come with local or regional language skills as well as a good understanding of what the assignment country is about. In short, while at the start they may lack breadth, they certainly have some depth to offer.

How are multinational companies producing this new breed of expat ?

Simply put, companies focus more these days on the human resource component with more emphasis on the individual and with the focus on areas such as those shown below :

· Recruitment and compatibility testing;
· Assignment contract negotiation;
· Compensation and personal benefits;
· Policy briefing and local interpretation;
· Country and job specific briefings;
· "Look-see" visits allowed and encouraged;
· Budgeting and reporting of expat costs by country and region.
· On departure & repatriation - briefing & de briefing

How about failed assignments ?

Our experience shows that the cost to the corporation of a failed assignment can be between one and five times the cost of the employee's salary. This sum includes "hidden costs" such as decreased productivity, decreased morale, loss of business (present & future) and ultimately the loss of the employee as well. Approximately 40 % of all returning expats leave their company within two years of returning home.

What seem to be the most critical expat challenges?

When surveyed after an assignment these seem to be the following

1. family adjustment issues;
2. children's education;
3. Resistance from non-working spouse;

It seems it takes the average expat an average of nine weeks to return to full productivity after a relocation.

How expensive is the typical expat support ?

You'd be surprised…here are some facts and figures :

An expat can cost up to four times a locally engaged staff member in a developed market and eight times as much in developing countries.

Emerging economies tend to command remuneration levels some 30 % higher than in the home country.

Example: In China a senior expat manager averages 250,000 USD a year when considering salary, cola, tax equalization, housing, education, hardship allowances & home leaves.

By contrast a good local manager will average 60,000 USD all inclusive.

Ok…that's all financial…what is the overall impact on a failed assignment ?

To the firm it is the cost impact to the company's bottom line, replacement and the interruption to the project or mission at hand.

To the individual and family it is the career & emotional impact plus the negatives that can carry over to the extended family.

Why assignments fail - from two perspectives :

Company
· Poor candidate selection.
· Wrong motive for sending.
· Poor communication of expectations.
· Poor job fit or personality conflicts.
· Poor planning by assignee manager.
· Inadequate consultation or family counseling.
· Reliance on host co-workers.
· No pre assignment visit.
· No clear plan on " the next step "

Employee
· Lack of employee commitment;
· Family cultural adjustment issues;
· Spouse's uncooperative behavior;
· Illness in a far away environment;
· Unhappiness with living conditions or security issues;
· Expectations not met;
· Uncertainty over repatriation;
· Unethical behavior;
· Failure to even attempt to interrelate.

As you can see - several items are seen from both perspectives.

It is usually family issues NOT failure to perform that curtail an overseas assignment ahead of time.

Are there unique issues for the non-working spouse (male or female)?

· Children issues.
· Personal & family security.
· Finding fulfilling employment.
· Recompense for job loss.
· Lack of further education opportunities.
· Reduced or increased standard of living

Yes…both can create issues.

Enough on the statistics….lets look at the positives - A balanced expat will have strong technical, business & management skills. He or she will show both flexibility in the workplace and respect for the local culture. He or she will have the ability to switch styles, to be less direct and to be more inclusive. These traits seem to be the hallmark of an effective expat anywhere in the world.

With business downturns and changing markets in mind…expats are not a dying breed but do need to be an evolving one. Increasingly we are being asked to take on more mobile roles with no long-term attachment to a specific country. Today's expat is seen often as a troubleshooter and ambassador for best practices and good corporate culture - a person binding together the global organization. Expats that make demands, who are not adaptable and expect reward without result are doomed to fail in today's international environment.

I would like to close with a very personal observation…in the mid 80's I was posted in Taipei and was sitting outside an expat banker's office waiting to present our firm. From the inside I heard the expat berating his local subordinate in a loud manner that all could hear. In awhile the local manager came out and we exchanged a look of sympathy. In my meeting I listened to the expat go on about his accomplishments and the ineffectiveness of the local population. On the way out…the local manager pulled me aside and said "You know I have been with this multinational bank 15 years now and I know one thing with certainty - expats come and go and this too will pass."

The expat in question did pass. Currently I understand he is dealing blackjack in Reno. The middle age Taiwanese manager now runs Greater China for his same bank.

I would only hope that when " we " pass whether it's after a few years or a full career we have all left something good behind and taken away from our experience more then we gave.




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