Diversification means different things to different people. For some businesses, it refers to widening their services and branching into new professional skills. For others, however, it is firmly about expanding: bringing your specialism to as many countries as you can.
One definition can complement the other, of course, but you should be thinking globally – it’s the logical next step for a brand that wants to increase its profitability. And, in the scheme of things, recruitment is an extremely transferrable service. It can cross borders and cultures to get the right people in the right role.
This is why clients, candidates and business owners like a worldwide recruiter…
There’s less risk of irrelevancy
It’s no secret that recruitment is a tooth-and-nail fight for supremacy. Some areas of the market are saturated, which means that only a few top firms manage to carve a space out and hold onto it. When you focus solely on the UK, there’s a greater chance that another agency will come along, undermine your USPs, and poach your client base.
By diversifying, though, you’re tougher to topple. The brand will be spread across several countries, each with their own market conditions. If one branch is losing out to competitors, there’ll be greater revenue from another. All of your eggs aren’t in the same basket. As a result, you can weather any temporary difficulties in a certain country whilst thinking about a tactical response.
You’ll find more varied, adaptable candidates
Clients want to get the best people for their positions. When you open out your recruitment services to the world, there’s a higher likelihood of that happening – the talent pool is simply bigger, with more expertise and varied perspectives.
As long as your hiring procedures are standardised, there shouldn’t be any issues. The main problem could stem from not having a firm grasp of finances and tax law for the employees you’re managing. A recruiters’ payroll has to bear various currencies in mind.
‘Hedging,’ for instance, is a common strategy to limit any losses. This is when a deal is struck to buy or exchange currency at a fixed, pre-agreed rate; the value of your revenue or candidate wage won’t drop if the global markets are turbulent. But to gain the best advantage, you’ll need to retain tight financial control.
Technology has made it so easy
10 years ago, handling an international payroll would be far harder. But we have many modern conveniences to make it achievable. Skype, Google Hangouts and WhatsApp calls put workers face to face with their potential employees. It doesn’t matter where you are; an interview can always be scheduled, even thousands of miles apart.
Elsewhere, we have the free-flowing abilities of admin, HR and tax software, which can easily overcome any physical boundaries to give your staff – as well as clients – complete peace of mind. If someone has access to a phone or computer, they can do an amazing job. And that means you can communicate with them, ask questions and trade results, with a record of who’s done what. Translation tools can help, too, for bi-lingual updates.
At every turn of your new global venture, it’s worth having a financial expert along for the ride. RJF Accounting & Business Support know what you’ll run into in terms of challenges and growth pains – we’ve real-life experience to draw upon. Speak to us for more information. We’d love to learn where you see your brand, and how it may be transfigured.