Ethical Offshoring: Thinking Internationally with Purposeful Culture
For years, offshoring was a way to save money on labor to have higher profit margins. This method led to high turnover, cultural friction, and a mentality that pitted one part of the company against the other. It was not advantageous for companies and the relationships they were hoping to build. Ethical offshoring flips the script. It works on the idea that a team member in one part of the world deserves the same professional dignity as a team member on the other side of the globe.
Fundamentals of Ethical Offshoring
Wage Equity: Companies are not just paying the local minimum, but rather a thriving wage to help with growth.
Local Impact: By putting a greater focus on local impact, it ensures that the company’s presence uplifts the local community through infrastructure or education.
Professional Equality: This equality provides access to the same tools, training, and career pathways that are available at other locations in the company.
The idea is that everyone has the same access to resources and that no one is left behind.
Building a Purposeful Global Culture
Each culture has different core values. Building a purposeful global culture means identifying core values, much like the ones we hold close at Turnkey, that are universal, while leaving room for those that are specific to each culture. While building a purposeful culture, international teams are asked to create a shared corporate identity that values diversity. When people feel like their cultural perspective is valued and not cast aside, they are likely to be more engaged. This will increase productivity and spark teamwork.
Investing in Careers Not Just Jobs
When looking to build a purposeful culture, it should be noted that career pathways should be provided rather than looking at a job as a quick stop. Companies should provide their international teams with opportunities such as skill certification and internal mobility. Companies need to provide education opportunities for global certifications, as well as the chance to move to a headquarters role from an international location. Another way to invest in careers is to establish a mentorship program. This pairs onshore and offshore employees so they can share their knowledge and grow from one another. This is an excellent way to unite all branches of the company to propel everyone forward in their careers.
The Strategic Advantage of Ethical Offshoring
Trust is the main ingredient for ethical offshoring. When international employees can trust their employers to treat them with respect, they are more likely to stay in their jobs. This stability can increase profits and productivity. When companies think internationally with a purposeful culture, it allows them to best utilize all of their resources, no matter where they are located. People in different parts of the world have different viewpoints. When they bring these viewpoints to the table, the possibilities are endless. They may have a solution to a problem that someone across the globe never imagined. This is how everyone can benefit from ethical offshoring.
Ethical Offshoring Checklist
As you strive to make ethical offshoring work, ask yourself these questions:
Is a thriving wage offered that is relative to the local cost of living?
Does the international team have access to the same tools and technology as the domestic team?
Is there a dedicated budget to offer the international team access to pursue certifications and language courses if needed?
Does your organization provide cultural intelligence training for onshore staff to better understand their international colleagues?
Does the offshore partner or your company invest in local initiatives?
Is there an anonymous way for international employees to report grievances or suggest improvements without fear of retribution?
If you’re not quite achieving the mark when it comes to these areas, look internally to see what can be done so that ethical offshoring can become a positive contribution to your company.
How to Make Ethical Offshoring Work
One of the greatest obstacles to ethical offshoring is distance, both physical and psychological. It is not an “out of sight, out of mind” mentality. Rather, leadership must be intentional about visibility so that everyone feels seen. This can include using technology to ensure offshore teams meet in real-time or through recordings so they can give feedback. This promotes the exchange of ideas that is so crucial for survival.
Leadership should also visit offshore sites regularly to listen and be aware of the challenges that are unique to that region. While observing the challenges is important, so is celebrating the wins and milestones. If a product launches successfully, teams should be recognized for their hard work and contributions. By keeping these points top of mind, ethical offshoring can become a force to be reckoned with, celebrating a borderless workforce. Companies with the highest success rate will be those that realize they must treat their employees equally, no matter where they are located.
The Turnkey team is here to help if you are looking to incorporate ethical offshoring into your core values. Let us show you how everyone in your company can benefit!
