Going global: the opportunities and challenges of International executive search
Warren Partners
In today’s hyper-connected world, businesses can no longer afford to limit their leadership search within national borders. Indeed, a host of studies – including this one by McKinsey – show that widening your talent search helps drive a more diverse candidate selection. This can ultimately result in a higher performing senior leadership team. As management professor Scott Page points out in his book ‘The Diversity Bonus’, expanding your team selection is often the route to solving complex challenges more quickly.
International talent pools offer significant opportunities to build diverse, high-performing leadership teams capable of navigating both local and global complexities. However, international executive search also presents unique challenges that need to be addressed strategically.
The competitive advantage of an international search
Looking beyond domestic talent pools can provide businesses with several key advantages. International candidates bring diverse perspectives shaped by different cultural, economic and business environments. These varied viewpoints can drive innovation and help companies navigate different regional challenges. Executives from diverse regions often bring insights into market entry strategies, local consumer behaviour and regulatory frameworks.
A 2023 EY report highlights that international assignments and cross-border hires are becoming increasingly valued, with candidates prioritising roles that enhance their global outlook. For companies, this diversity becomes a competitive advantage, offering a deeper understanding of global markets and risks.
Andrew Smith, Partner at Warren Partners, has observed this trend firsthand. “We’re increasingly finding richer talent pools outside of the UK for leadership roles,” he says. “For businesses with operations in multiple regions, hiring leaders with international experience can significantly boost their global competitiveness.”
However, finding that ‘passive talent’ (those who aren’t currently job searching) in highly competitive markets can be even more challenging when the net is thrown open globally, says Kirsty Dougan, MD, Warren Partners.
“In that sense, we also serve as mediators, especially during intense negotiations and the potentially life- and business-changing decisions that surround them,” she says. “These cross-border discussions often take place in emotionally heightened and time-sensitive environments where nuances can be lost in translation. This is where our expertise in international search really delivers, combining great research with a wealth of global contacts to deliver strong nurturing approaches and clearly communicated employee value propositions.”
A notable example comes from Warren Partners’ placement of a Global Chief Privacy Officer for a professional services firm headquartered in Canada. By conducting a wide-ranging search across Europe and North America, the firm secured a UK-based candidate with the international expertise required for the role. This demonstrates the power of looking beyond a company’s home market to find talent that can bring fresh perspectives and help businesses thrive on the global stage.
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The challenges of international executive search
Despite the benefits, there are several challenges to navigate when recruiting internationally. Companies must consider cultural differences, local regulations, compensation structures and logistics. Here are some of the most common challenges.
Navigating cultural and legal nuances
Cultural fit is often one of the biggest hurdles when hiring leaders from abroad. Different countries have distinct business cultures, communication styles and leadership expectations. For example, the more hierarchical business culture in France differs from the collaborative approach common in the UK. And these mismatched cultural expectations can cause friction within leadership teams, potentially impacting performance.
On the legal side, international hiring involves navigating complex regulations, including labour laws, tax regimes and notice periods. Stephanie Clarke, Head of Research at Warren Partners, stresses the importance of understanding local employment practices. “You need to know everything from healthcare provisions to tax regulations,” she explains. “For example, US candidates often have different expectations around healthcare benefits, which can complicate negotiations.”
Managing time zones and interview logistics
One of the practical challenges in international recruitment is managing time zones. Coordinating interviews and meetings across continents can lead to delays and strain the candidate experience. Nikki Kenyon, Partner at Warren Partners, notes that timing can be tricky when working with candidates in regions like the US. “US candidates often prefer interviews in their morning, which means interviews late in the UK afternoon or evening. Managing this properly ensures a positive experience for both client and candidate.”
While technology platforms like Zoom and Teams have made it easier to communicate across time zones, it’s essential for businesses to remain flexible in their approach. Maintaining engagement throughout the recruitment process, despite geographical barriers, is key to a successful outcome.
Understanding compensation structures
Compensation packages differ significantly across regions, which can complicate international searches. For instance, UK candidates may prioritise pension plans and holiday entitlements, while US candidates place a higher value on healthcare and bonuses. According to a report by BCG, global compensation structures are becoming increasingly flexible, with firms adjusting their offers based on the local expectations of international candidates.
Nikki points out that UK employers must understand these differences when negotiating packages. “You have to tailor offers to local market conditions to attract the right candidates. For example, in the US, salary expectations, bonus structures and healthcare benefits are often weighted differently compared to Europe.”
Best practices for overcoming international search challenges
Despite the challenges, businesses can successfully leverage international talent by adopting a few key strategies.
Invest in local market research: Understanding the local market is essential for ensuring your offer is competitive and aligned with expectations. The Warren Partners research team can offer valuable insights into regional compensation trends, legal frameworks and hiring practices.
Tailor the interview process: Flexibility is key when scheduling interviews across multiple time zones. Splitting interviews into stages and using virtual meeting platforms can help streamline the process and ensure a positive candidate experience.
Leverage local networks: Building strong local networks in target markets allows you to tap into regional insights and gain a deeper understanding of local talent. As Clare Gibson, Consultant at Warren Partners, says, “You may not know everything about a market, but you will invariably have several contacts operating in that market. Tapping into those local networks provides invaluable support and insights.” Additionally, a good recruitment firm should specialise in credential qualification and evaluation, ensuring any foreign education achievements meet the standards of the hiring company.
Craft regionally appropriate compensation packages: Compensation, benefits and relocation packages should be tailored to the local market. This includes considering differences in tax, cost of living and local regulations to ensure your offer is both competitive and compliant.
International executive search offers significant opportunities for businesses to enhance their leadership teams with diverse, globally experienced talent. However, it comes with its own set of challenges. By working with experts who understand international markets, companies can navigate these complexities and make strategic hires that strengthen their global presence.
Ultimately, businesses that invest in international search are positioning themselves for long-term success, building leadership teams that are both diverse and equipped to thrive in a global marketplace.