Why Should You Outsource Your Relocation Program?

It’s becoming increasingly common for companies to turn to a Relocation Management Company (RMC) for relocation outsourcing

Outsourcing Relocation

Date 06 Oct, 2014

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It’s becoming increasingly common for companies to turn to a Relocation Management Company (RMC) for relocation outsourcing. According to the 2014 Atlas Van Lines Corporate Relocation Survey, nearly six out of 10 companies chose to outsource their relocation services in 2013. As a specialty service provider, RMCs know relocation better than anyone else.

An RMC can help alleviate some of the stress of a move by streamlining the process for both employees and employers. Your HR department might have the basics covered, but an RMC can take care of the more technical details, like tax compliance and quality control, to provide higher levels of efficiency and effectiveness. Take a look at our list of the top reasons why you should consider working with an RMC.

1. Add Value While Cutting Cost

With any business, there is constant pressure to add value to programs while cutting costs. Human Resources is no exception. According to a study by the Worldwide ERC, companies spend an average of $15 million annually to relocate their employees.

Working with an RMC will help you save money by bringing the average cost of a relocation down. A relocation service itself is also a variable expense, meaning you won’t have to spend anything until you’re ready to start moving your employees. Through experience and training, RMCs have learned where money can be saved and where it should be spent in order to maintain the highest level of service.

At Relocation Coordinates, we work hard to balance your budgetary goals with your corporate talent goals. We provide real-time access to relocation information to help manage your employees’ entire move and ensure you get the most out of your relocation program.

2. More Competitive Offers with Less Employee Turnover

Relocation can be a key talent management strategy for recruiters, but it is also a big investment for any company to make in an employee. The lengthy recruiting, hiring and relocation process is wasted if the new employee feels disconnected with his or her new location and decides to leave.

With more attractive relocation incentives to draw in interested candidates, the employer is presented with a larger talent pool to find the right fit for the position.

At Relocation Coordinates, we work in partnership with the recruiter to thoroughly educate the employee about their new work location. An RMC can help candidates determine whether the position is a good fit based on their financial and personal circumstances.

If the job offer is accepted, an RMC will guide your employees through every step of the relocation process, from recruitment to the settling in period. Employees will be better prepared for the relocation from the very beginning, with a higher rate of post-move productivity and job satisfaction.

Whether or not the candidate chooses to relocate, spending time to help them assess the pros and cons of a move will ensure retention of top talent and minimize turnover rates.

3. Quality Control

RMCs take the guesswork out of trying to find reputable sub-contractors for your relocation program. While price is an important factor in choosing a service provider, it’s important to remember the service partners will largely determine if your employee has a positive relocation experience.

RMCs work closely with carefully selected and trusted industry service providers to ensure you receive the highest quality service at the most competitive price point. By leveraging its relationships with service providers, an RMC can negotiate better prices for relocation services at wholesale prices. Likewise, these service providers rely on the RMC for future business— a powerful incentive to deliver high-caliber service.

4. Increased Productivity

Working with a reputable RMC streamlines the overall process by shortening transition times and allowing your employees to remain productive throughout the move. Accurate and timely reporting also allows management to determine how successful the relocation is and what improvements should be made moving forward.

As the market for relocation services continues to grow, industry knowledge is becoming more specialized. When the responsibility of an in-house relocation program falls on an already overburdened HR staff, it can quickly become overwhelming to balance day to day responsibilities while tending to a relocation transferee’s needs.

It may be time to consider working with an RMC. When you choose to outsource your relocation program, you have time to get back to what matters most— managing your business.

Request Consultation

Our custom, full-service program offerings, coupled with years of industry knowledge and experience, makes Relocation Coordinates International (RCI) an ideal resource.

If you would like to speak with one of our relocation specialists for a global mobility consultation or you have interest in our relocation services, please fill out the form below and let us know how we can help.