Three big challenges in global HR administration – and how to overcome them

Article Payroll and HR

The more a company grows, the bigger the headaches for its HR department. For instance, as firms expand into new countries, they face new challenges thanks to widely varying regulations and cultural considerations. As they merge with or acquire other firms, they must reconcile differing policies and procedures.

Let’s take a look at three of the biggest challenges faced by global HR teams, the questions they should ask themselves, and how to address them. These topics are also covered in our eBook.

1. Keeping compliant

‘Big data’ has passed from buzzword to reality. But while digitised records and large datasets can help to transform the HR function, they can cause problems for international firms – not least in ensuring all this personal data meets all relevant regulations in every jurisdiction in which the company operates.

But data isn’t the only compliance problem. It is of utmost importance to understand different cultures in the international areas your business is operating in. Differences in time and culture can bring about many international HR challenges, such as breaking local employment laws, creating a healthy work environment, administering ethical HR policies, managing people globally, and training international talent . The larger and more geographically dispersed an organisation is, the greater the number of jurisdictions it must comply with.

2. Cultural nuances

Cultural expectations must also be taken into consideration. In some countries, employees will respond well to minimal supervision and the opportunity to ‘dive straight in’. In others, the assumption will be that management is more directive, and employees who are not given comprehensive and prescriptive direction may feel unmotivated. So the best companies flex their HR processes and systems to accommodate local expectations.

3. HR team structure

International firms have choices to make about the level of HR support they provide in satellite offices. It’s unrealistic to place HR staff in every location, as often there aren’t sufficient employees to merit the expenditure. But if HR staff are too distant from staff populations, employees can feel neglected or unsupported – which can lead to higher levels of dissatisfaction and turnover. What’s tougher for HR teams is ensuring they meet local regulations and procedures for HR compliance.

Get a global partner with local knowledge

One way to address these three challenges is to work with an external partner that can act as an extension of your HR department. TMF Group can help you to handle the administrative burden, especially for those employees in remote and smaller offices by:

Defining the legal relationship with your new employees and supporting onboarding
Managing the ongoing upkeep of employees, dealing with HR data maintenance and monitoring, and the administration of leave, benefits and fixed-term contracts
Keeping you compliant locally, handling essentials such as the employee handbook, any workforce audits, providing regulatory and local compliance updates, and preparing and submitting reports
Helping you to manage the exit of an employee, dealing with leaver processing and payroll.

With operations worldwide, TMF Group can support your employees throughout their time with your company – from getting started all the way through to moving on.

Download a copy of this eBook to discover:

why employee onboarding is critical to talent management strategy
the importance of supporting employees in-country
examples of global variations in workplace laws and customs.

If you’re looking to outsource your HR administration, check out our HR Administration Services. With capability in over 100 countries, we can help you handle your local HR administration and compliance – globally.