The complicated landscape of employee relocation can divert important resources for companies which try to manage mobility in-house. Relocation management companies (RMCs) alleviate this burden for their clients. The right relocation company can also reduce risk of assignment failures while identifying cost-saving opportunities for client programs. But how can HR leaders find the right mobility partner?
A well-designed Request for Proposal (RFP) can help you select the best mobility partner for your needs. Competitive RFPs help filter potential choices through important evaluation factors, narrowing the field and allowing you to make an informed decision. But designing an appropriate and clear RFP is paramount. The following tips will help you manage an efficient and effective bid process and glean the information you need to make the best decision for your business.
An important first step is to define your goals for engaging an RMC and any current pain points you may be currently facing. You may wish to include a brief overview of your company, your business locations and your mobility goals. Here’s a basic example:
“ABC Company is a leading manufacturer of sports equipment. Operating in all 50 U.S. states, we are seeking a global relocation services provider who can offer a personalized approach in assisting our employees as they move between states for employment needs. The provider must demonstrate solid experience, flexible service offerings and the ability to deliver consistent and proactive service supported by a strong technology platform. We move approximately 40 employees each year.”
Determine who within your organization may support employee moves. Common stakeholders include team members from human resources, accounting/finance, procurement and IT. Whether you choose to evaluate all bids yourself or employ a team approach, stakeholders can provide valuable input on what to consider as you select an RMC.
Establish a Timeline
Identify and communicate necessary deadlines within your RFP. Important date considerations include:
- RFP issuance
- Intent to bid deadline
- Question and answer period (bidders may have clarifying questions to help them prepare a more tailored response)
- RFP submission deadline
- Anticipated Best & Final presentation dates for finalists
- Target decision date and notification of award
Identify Success Metrics
The content of RFPs should take into consideration what is needed to make your program successful. Consider including questions that will help you determine bidders’ qualifications and resources, such as:
- Company history and experience – How long has the bidder been in business, and what is the extent of their industry experience?
- Proposed solution to your need – What is the structure of the bidder’s proposed service team for you and your relocating employees?
- Suite of services offered – Can their menu of services meet your needs not just today, but as your company grows in the future? Is the bidder’s offering scalable to your needs?
- Geographic coverage, locations of offices – Are they able to efficiently cover the locations where you’ll be sending your talent?
- Relocation process-flow – What does a relocation look like for your relocating employees? How many points of contact will your employees have? What timeline for contact and service delivery can you expect?
- Financial stability (history of mergers, bankruptcy, etc.) – Is the relocation company financially compromised or do they have a history of stability and dependability?
- Competitive advantages in the industry – What makes them stand out in terms of innovative practices, cutting-edge technology, etc.?
- Technology offering – What technology does the bidder offer to assist your company and your employees? How mindful is the company of data security? Are they in compliance with the latest legislation (such as GDPR)?
Beyond these fundamentals, the RFP can be tailored to your unique needs, such as home sale, household goods shipment and language training. Keep in mind that a good relocation company may remain your partner for many years, so making sure they can meet your evolving needs is key.
Define Evaluation Criteria
Based on your objectives and the success metrics you defined, establish the evaluation criteria you will use to determine the successful bidder. Criteria may include industry experience, flexibility, overall cost and more. Finally, define how you will weight each of these criteria and include this in your RFP.
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