Despite changes and challenges in the global economy in the past few years, manufacturing companies are pushing forward with international expansion to position themselves for sustained success. To wit, two-thirds of manufacturing executives are confident in the growth prospects of the global economy over the next three years.
A critical component of global expansion is hiring the right people in the right countries to help guide the company’s growth in-market. Often, these are salespeople who know the industry and have local connections to build up a new market. Or they’re engineers who know the technology and can hire and train local workers.
But what does it take to hire sales and engineering roles internationally, especially for a fast-changing industry like manufacturing? Let’s dive in.
Hiring a salesperson in another country
Experienced and talented salespeople can play an important role in a manufacturing company’s growth plan for a specific country. Their understanding of the local market will go a long way in establishing connections, attracting new clients, and improving relationships with existing clients.
But before you can benefit from your new sales team’s local market expertise, you have to make sure the payment structure you offer not only is competitive in their country, but that it’s also in compliance with the local labor laws and benefits requirements. Payment structures for salespeople often include a mix of base salary, commission, and additional incentives or bonuses. But in many countries, salary and bonuses are heavily regulated, or they’re subject to collective bargaining agreements.
In addition to making sure the compensation you offer your salespeople is competitive and compliant, you’ll also want to make sure it’s set up in a way that incentives them to help the company meet strategic goals. Some goals to consider when crafting a compensation plan include:
- Growing revenue
- Increasing cash flow
- Increasing contract length
- Increasing average deal size
- Increasing retention rate
- Increasing upsell or cross-sell rate
Hiring an engineer in another country
Just as salespeople play a crucial role in expanding a manufacturing company’s market presence, skilled engineers are essential for driving innovation and ensuring efficient operations within your company’s global facilities.
For example, automotive manufacturers rely on engineers to design and oversee production of vehicles, ensuring safety and efficiency—but just as importantly, they help ensure compliance with market-specific regulations. Manufacturers of consumer goods need engineers to work on product design, packaging and process optimization to meet consumer demands, so a keen understanding of the in-country market is crucial.
The type of engineers your manufacturing company seeks as part of expansion is largely dependent on your industry and business goals, but some roles that could contribute to your target market operations include:
- Mechanical engineers. These engineers design and oversee the production of mechanical systems and machinery. They play a vital role in optimizing manufacturing processes, ensuring equipment reliability, and improving overall efficiency.
- Industrial engineers. Industrial engineers focus on streamlining operations and eliminating waste. They analyze workflows, optimize supply chains, and implement strategies to enhance productivity and reduce costs.
- Electrical engineers. Electrical engineers design and maintain electrical systems within manufacturing facilities. They work on automation, controls and power distribution to ensure seamless operations.
- Chemical engineers. In industries such as chemical manufacturing, these engineers develop processes for converting raw materials into finished products. They also address environmental and safety considerations.
- Software and automation engineers. These engineers develop and maintain automated systems, IoT devices and data analytics tools that drive modern manufacturing.
Talent gaps and improving industry image
Despite the integral role sales professionals and engineers play in the manufacturing industry, like other industries, there has been a talent gap in recent years. One reason may be the misperception among younger workers especially of manufacturing being outdated and less appealing compared to tech-driven fields. This perception hinders the industry’s ability to attract top engineering talent.
Manufacturing companies should collaborate with educational institutions to promote the rewarding and innovative aspects of professional careers within the industry. Offering internships, certification programs and professional development opportunities can showcase the dynamic and evolving nature of modern manufacturing.
A global partner for hiring local sales and engineering roles
When manufacturing companies need to recruit and hire for sales and engineering roles as part of their international expansion, turning to a global workforce solutions partner with local HR expertise can help streamline the process.
For one, a partner can help advise you on the nuances of compensation structures across different countries, providing information on local market benchmarks, cost of living and industry standards so you can design competitive and enticing offers that attract top talent.
Additionally, a workforce partner can help you navigate complex labor laws in foreign countries to ensure that your hiring processes and employment contracts adhere to local requirements. From contract terms to benefits packages, a workforce partner can help you avoid noncompliance.
When a workforce partner has local HR teams it can also support to your in-country workers, giving them a local face to your international company—one who understands the local work culture and can address employee needs promptly to foster a positive work environment.
Is your manufacturing company looking to hire talent internationally as part of a global expansion? Learn more in our comprehensive global employment guide for manufacturing companies.
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