manage global teams – Talent500 Blog

Six tips to overcome challenges in managing a global team

Posted on September 20, 2022September 20, 2022 by temp

‘Distributed teams’ refer to teams where members are physically away from each other while working. There is no limit to distance as they could be working even from different time zones! This means the best developer based in Delhi can connect with the best Marketer located in Paris. Distributed teams allow for superior flexibility in the way teams function which leads to a myriad of benefits.

Thanks to technology, we can connect right away. Whether our staff is located in the same city or in various time zones, video conferencing and group messaging solutions keep us in continual communication. Distributed work has never been easier. There are many challenges to working with and managing global teams. However, the advantages of a global workforce are just as prevalent.

Advantages of globally distributed teams

There is more to globally distributed workforces than just revenue and retention. From savings to productivity to culture, global teams cover everything your organization needs and more.

The workplace is evolving due to remote work. With the help of technology, team members from all over the world can connect and work together while contributing their own special ideas, insights, and experiences. Let’s look at a few benefits of forming a worldwide team.

Access to a massive talent pool

A massive 80% of tech leaders feel that the availability of skilled talent is the biggest challenge in recruitment. Hiring across a global pool of talent enables organizations to access highly skilled talent at extremely competitive costs. Superior talent can be up to 8X as efficient as typical workers. Organizations can access and hire the top workers on the market, wherever they may be, by thinking beyond location-dependent teams.

Cost-effectiveness

The annual cost of office space per employee is, on average, $18,000. An organization’s main office footprint can be significantly reduced using a globally distributed staff. Cost factors for businesses include overhead expenses for things like office space, internet, power, water, and more. Decentralization and lower IT expenses are also made possible when businesses move applications off-site to the cloud. Managing

Increased productivity

Remote employees reported that working from home enhanced productivity by 77%. Businesses can save money on various resources and boost productivity by giving employees access to the tools and technologies that enable distributed working. Motivated workers can complete more work in less time, in addition to being more disciplined.

Boost employee retention

Additionally, remote workers are 83% happier in their employment than on-site employees are, and they would accept a wage drop of up to 10% to work remotely. Most individuals can agree that greater pay paired with better work-life balance, professional advancement prospects, and lower conflict chances boost the likelihood of sticking with a company over the long term.

Challenges to nanaging a global workforce (& how to solve them)

Each organization has its share of global workforce challenges. However, issues and challenges of managing a global workforce have easy and direct solutions. Let’s see.

Managing communication issues

A distributed team has to communicate with a deliberate purpose. Clear regulations that specify the appropriate cadence and optimal mediums for various forms of communication are beneficial. Set clear expectations with respect to working hours and availability, and factor in the differences in time zone when setting up team meetings. Make use of multiple channels of communication, synchronous and asynchronous to ensure that all members of your team have the space to plan out their workdays. Employees want the freedom of managing their work at their own pace.

Keep in mind that working remotely often gets lonely. When there are no proper conversation channels, employees become less friendly and trusting of each other. This leads to disruption of workflow dynamics and even conflicts and arguments. Set up multiple, two-way channels of communication across all stages to ensure that your team members have the means to communicate and share their ideas. By making sure that each employee feels respected, heard, and supported, you can boost engagement.

Tracking performance

Lack of face-to-face interaction may have a detrimental effect on morale and productivity. Moreover, when not working in visual contact, it can be hard to manage just what and how well an employee is doing. Managers must refrain from constantly bombarding their team members for updates and indulging in micromanagement.

A simple solution is checking in regularly and using productivity-centric tools. Task managers like Jira can track tasks as they are finished with Jira and include them in performance results. These tools provide a “quick peek” at current progress and assist you in compiling all of your significant outcomes in one location.

Cultural barriers

Company culture must be intentionally strengthened when it comes to distributed teams. It’s crucial to provide opportunities for interactions that are unrelated to business. It enables employees to get to know one another better, fostering closer bonds and a more cohesive team. In assessing employment possibilities, 57% of job searchers across all professional levels consider culture as essential as salary.

To build and reinforce business culture, managers and leadership must schedule regular, non-work-related events with the aim of team building and recreation. This could include relaxing sessions, meet-and-greets, gaming sessions, or even just talking for fun while having tea in the evening.

Differences in time zones

Another challenge when managing global teams is integrating time zones. Since a globally distributed team is always working at different times, it is important to have a proper structure in place with well-defined guidelines for communication.

Care must be taken to set up team meetings at times that are universally convenient, and managers must ensure proper documentation so that members who miss the meeting might still have access to the discussion. Managing this isn’t too complicated if your team is aware of the overlap they have.

A combination of flexible working hours, dexterous planning, and asynchronous communication can solve a major chunk of time-zone-related issues.

Lack of transparency

There are many possibilities for interaction between coworkers in the office. These seemingly little moments of connection help to improve team dynamics, foster a sense of community and spark cooperation among groups and group members.

A team that works well and performs well is a production machine. Teams should be provided with well-defined briefings that point them in the direction of a certain goal. Make sure you include detailed milestones and timelines so that your team has a clear idea of what is expected from them. This will stop low-quality production as well as burnout brought on by extended hours of effort.

Building trust

Working remotely generally results in less amount of in-person interaction time. People who interact offline on a daily basis are more likely to build friendships and trust. Talking to someone online every day doesn’t bring the same amount of trust and care, but it doesn’t have to be that way.

Host off-site or online gatherings for socializing and team-building so that distant workers may meet up in person or through a video conference. Making time for your team to unwind and have fun alongside when they are spread out is more crucial than ever because the connection is sometimes harder to come by online.

Companies like Automattic are great at managing this. They make sure their employees unplug and unwind on their holidays to keep the mood set. The morale of your distributed workforce may be significantly affected by these social gatherings.

Conclusion

There is a huge disparity between the advantages of global teams and challenges to managing a global workforce. When contrasted. the challenges to managing a distributed workforce are but a smear on an otherwise crystal clear screen of benefits including but not limited to productivity, revenue, retention & success.

Irrespective of the issues with global workforces, teams, and companies are rapidly changing to this model. And not without reason. Globally distributed teams are the future of working. They redefine what we’ve been doing in traditional offices and are better in almost every single way. There’s no reason not to opt-in. Once the managing part is done, you’re on your way to a successful distributed team.

Take the first step towards building your distributed team with Talent500 With vetted professionals and AI-powered tools, we offer talent acquisition and management solutions like no other. To know more, book a consultation and overcome any issues you’re having with your remote workforce.

8 tips for managing a globally distributed team

Posted on September 16, 2022 by temp

It’s 2022, and there is no denying that there are numerous benefits to having a distributed workforce. From access to a wide pool of highly skilled talent, to a direct reduction in operational costs – going global is a good idea for companies of all sizes.

However, managing a global workforce is not without its challenges. The lack of in-person communication can often lead to disconnects within the team, making team members feel alienated and unappreciated. Add to that the difficulties of working with multiple time zones and cultural backgrounds, and you know that leading a distributed team is no child’s play. Even the most seasoned of managers are bound to face difficulties.

Thankfully, a combination of the right people, processes and tools can help managers of distributed teams tackle any difficulty and lead their distributed tech teams to growth and productivity.

Hire the right people

The first step towards managing global teams is to choose the right team members. Remember that you will no longer be able to stroll over to a team member’s desk to check-in on their progress. When recruiting for your distributed team, try to look for people who are

Self starters: A key component of being an effective remote worker is self-sufficiency and the ability to take on projects without needing constant management and oversight. Self starters are professionals who want to learn new skills and take on new challenges without being told what to do by their managers or bosses.
Effective communicators: Whether it’s during the stages of planning and ideation, or execution and implementation, clear communication maximizes productivity and reduces turnaround time.
Problem solvers: Members of your team will often be required to adopt new technology or improvise a quick solution to ensure smooth functioning. Look for candidates who show creative and strategic thinking.
Good at time management: The stop and start nature of remote work demands extreme punctuality and time management. It is important to find individuals who will be able to understand which tasks are necessary and prioritise those.

Set effective goals

The transition to location independent work, although necessary, may not always be easy. It is natural for team members to struggle with initial uncertainty and confusion, and the best way to lead global virtual teams is by setting the right goals and expectations.

Set effective long-term and short-term goals, and communicate these clearly with your team members to get buy-in. Setting objectives for specific periods of time – weekly, bi-weekly or even monthly, is a great way to help distributed teams keep on pace. Having a common written standard will make it easier for your team to follow these goals.

Develop a working structure

One of the most important parts of setting up a physical office is setting up the necessary infrastructure, from electricity and civic amenities, to work desks, conference rooms, telephones and Wi-Fi routers. Setting up your distributed office is no different – with the slight difference of putting in place the right working structure and tools that will help your team.

Establish a working structure that clarifies each aspect of daily functioning, like the tools that you will be using, the different methods of communication, working hours and availability, vacation and leave policy.

One of the best ways to augment the performance of your team is by supplying them with the right tools and procedures. Put in place an effective work structure by demarcating communication channels, formulating standard operating procedures and documenting everything. GitLab’s Remote Manifesto is a great example of how an effective working structure can help distributed teams function like a well oiled machine.

Champion asynchronous communication

Working with multiple time zones is a problem inherent to managing distributed teams. Asynchronous communication solves this by enabling every member of your team to work according to their own schedules. By eliminating the pressure to respond immediately and reducing interruptions, it leads to increased productivity and an increased level of control over the workday.

However, extracting the complete potential of asynchronous communication requires a little bit of homework. To begin with, team leaders must ensure that all relevant details are stored at a central place, available to every stakeholder in the project. Similarly, channels of communication should be divided into synchronous and asynchronous according to urgency and importance.

Empower local leaders

As the leader of a distributed team, it is important to understand that your team members are working from multiple geographical locations, which is bound to result in differences of cultural backgrounds and time zones. This is especially true for large multinational companies having bases in multiple countries.

In such cases, taking the help of local leaders across various locations can help you effectively manage multiple distributed teams. Empowering regional leaders helps establish a strong local foundation, creating a hierarchy of leadership when working with multiple international teams. Today, companies like Airbnb, Walmart and Target are establishing their global capability centres (GCCs) as independent, fully-functional units within themselves with the help of strong local leadership. Empowering regional leaders to facilitate the daily operations helps global leaders concentrate on the bigger picture.

Listen & iterate

The importance of effective, two-way communication cannot be overemphasized when it comes to distributed teams. Working in co-located offices meant that managers had visual cues on how their team members were feeling; in the absence of the same, they now need to work harder to gauge the pulse of the team.

Be it through 1:1 meetings, weekly brainstorming sessions, surveys or just general check-ins, leaders of distributed teams must continuously seek feedback and look for ways to implement it. From setting goals and deciding project timelines, to the adoption of new operating procedures and tools – when employees feel heard, it has a direct impact on their levels of engagement and satisfaction.

Include rituals and Ceremonies

According to this survey by Buffer, the top two challenges faced by remote workers include “barriers to communication & collaboration” and “loneliness”. For employees at co-located offices, occasions like birthdays and cultural celebrations are often the times when a large chunk of bonds are formed. For globally distributed teams, this occurs through shared rituals, practices and ceremonies.

Shared team rituals help foster trust between team members and make them feel like they are part of something special. Fun Friday activities, virtual happy hours, or any other such team bonding rituals are crucial to forming interpersonal bonds and directly impact team dynamics. Managers can start with something as simple as a monthly team lunch where all members share the same menu.

Recognize your team members

82% of employees consider recognition as an important part of their happiness at work. Rewarding and recognizing your team members is a good idea universally, and this applies squarely to dispersed teams as well. The lack of interpersonal interaction is often the biggest challenge faced by most distributed teams. Having a culture of appreciation helps employees feel valued, directly impacting employee engagement and consequently, retention.

While verbal recognition is a good start, team leaders today have access to a wide range of recognition softwares and applications created specifically for globally distributed teams. Applications like Nectar, Bonusly and HeyTaco can be integrated directly with Slack.

Worldwide, the percentage of people working remotely has risen from 17% in 2019 to 32% in 2021. Additionally, 73% of all departments are expected to have remote workers by 2028. Regardless of the industry you’re in, leading global teams is an essential skill-set for all managers today.

At Talent500, we understand that the transition to location independent working is a multi-layered process involving numerous stakeholders and factors. Our team of experts and network of highly skilled professionals are here to help you build your global team in over 50 countries. Ready to take the first step? Set up a consultation with our team here.

The power of remote: is your company ready to go global?

Posted on April 5, 2022April 5, 2022 by satya

Post pandemic, one of the biggest changes that we have witnessed has been the sheer increase in the number of people choosing to work from home. According to this survey by Buffer, as many as 97% of respondents would choose to work remotely for some parts of their work week.

The good news? The remote model offers multiple benefits to employers too, from reduced operational costs to access to an unrestricted pool of highly skilled talent. However, building and managing a successful remote team comes with its own set of challenges.

Right from the initial policy framework, to setting up the digital infrastructure and recruitment pipeline, an organisation has to consider a multitude of factors before it’s ready to go remote. Here are 5 areas that you must consider:

Remote work policies

A remote work policy is a set of guidelines that outlines the code of conduct and expectations from all remote employees of the company. These policies often cover work timings, communication expectations, time-tracking processes, data security rules, legal considerations and more. For teams transitioning to remote work, having a policy in place helps eliminate uncertainty and ad hoc decision making at the manager level.

A good place to start is by ensuring that your remote work policy covers the following:

Working hours and availability

Ensure that your remote work policy clearly sets down expectations with respect to working hours, times of availability etc.

Communication channels

An effective communication strategy is the backbone of every remote organisation. Clearly demarcate the preferred channels for both synchronous and asynchronous communication.

Cybersecurity standards

We know that data security is one of the biggest concerns for all remote organisations. Clearly mention all security measures that employees need to take in terms of firewalls, VPNs, antiviruses and usage of public wifi.

Mechanism for availing paid time off

Put down the number of leaves and vacation days, how they are divided and how they can be availed so as to make life easier for your HR department.

Digital capabilities

One of your most important responsibilities as a remote employer is to ensure that your workforce has access to the tools and technology that they need. Much like a physical office where you would set up cubicles, conference rooms, computer systems and desks, your remote workforce will require infrastructural support. This can be divided into three parts:

Hardware

Having a dedicated workspace enables your team members to bring their most productive selves to work. This includes the right computer and attachments like speakers or headphones, a fully functional workstation and an ergonomic chair.

Software

Working without the necessary tools is like running a race barefoot. Ensure your team has access to all necessary licensed softwares like adobe illustrator, Microsoft365, CRM softwares, etc

Remote work tools

Today, there exist multiple tools designed specifically to help remote teams increase their productivity. From synchronous and asynchronous communication, to having a common central repository of all data, these tools help remote teams function as a single unit.

Recruitment essentials

73% of all departments are expected to have remote workers by 2028. Now, more than ever is the time when recruiters upskill themselves in order to have a seamless remote recruitment process.

We recommend dividing this process into office stages:

Assessment and planning

As the most important part of building your remote team, it is important to ensure that you have a clear understanding of the various roles and job descriptions. We also recommend having an organisational chart in place before you start recruiting.

Build your employer brand

According to Gartner, 65% of the candidates surveyed report that they have actually discontinued a hiring process due to an unattractive employer brand. The right EVP (employer value proposition) helps potential candidates understand how their professional goals align with your company’s trajectory. Make sure your careers page includes information about your company’s culture, perks and benefits, employee testimonials and opportunities for growth and learning.

Building a remote talent pool

One of the biggest advantages of working remotely is to be able to hire solely on the basis of skill set and relevant experience, regardless of the candidate’s location. Here are some tips to help you build an expansive pool of talent for recruiting your remote team members:

a) Leverage technology: Thanks to the integration of AI and machine learning into hiring workflows, companies can now post across multiple channels via a single process. Remember to include platforms meant exclusively for remote workers like flexjobs and angel list.

b) Use your social media: Not just LinkedIn, but even your company’s Facebook, Twitter and Instagram accounts are good places to publicise the fact that you’re hiring. If your blog posts receive a fair amount of traction, it’s a good idea to use them for putting out hiring requirements.

c) Employee and user networks: Employee referrals are one of the most effective ways to find and retain new employees. We also suggest sending out feelers in your user base. The added advantage here is that they are already familiar with your product or services.

Preparing for virtual interviews

Whether an interview is conducted in person, or across a computer screen, the qualities that all recruiters look for remain constant. Share all relevant information like the date and time of the meeting, name of the interviewer and any other such requirements a few days prior to the interview. We also recommend preparing a standard list of questions and a hiring rubric for a completely objective interview. This has the twofold benefit – it ensures that the interview covers all required areas, while simultaneously guarding against any bias that might creep in.

Onboarding your distributed teams

The right onboarding process can improve employee retention by 82%. Effective onboarding becomes increasingly important for remote organisations as it plays a major role in helping new employees find their place within the organisation. In the absence of the same, HR departments at remote organisations need to strategically build a highly engaged and interactive onboarding process.

We recommend dividing your onboarding process into three parts – pre joining, first day, and post joining. This enables you to structure all activities in a chronological order and maximise the results.

Compensation and benefits

The remote workforce knows exactly what perks and benefits it wants, and it isn’t a high-end coffee machine or foosball table. ‘Flexible working hours’ and ‘the ability to work from home’ are some of the most valued employee benefits according to millennials.

When recruiting globally, employers also need to factor in the statutory benefits of the employee’s country of residence. For example, Indian law requires that all companies with over 20 employees make contributions to a provident fund. Most countries will require employers to contribute to provisions made towards health insurance, pension funds, or accidental insurance. As you decide your remote recruitment strategy, it is important to factor the cost of providing these benefits to your remote workforce.

Legal and regulatory compliance

Access to a global team also means that you will now have to ensure compliance with the employment laws, taxation regimes and legal requirements of the countries of residence of your foreing employees. While you might not have to worry about the taxation percentages for the contractors you hire, all full time employees will be subject to taxation in their country of residence.

Similarly, every country has its own employment laws and regulations, non compliance with which can result in hefty fines. A sizable amount of the initial cost will go towards registration and paperwork, and consulting legal and financial experts.

A good way to hire across multiple countries without investing a substantial amount of time and capital is to avail the services of an employer of record. An Employer of Record is a third-party organisation that serves as the legal employer for a company’s foreign employees. The EOR undertakes the management of all workforce-related aspects – from hiring & payrolls to taxation, employee benefits, and legal compliances.

If there is one thing that is common to all companies that have thrived in the last two years, it is their ability to function remotely. As you take the first step towards building a remote organisation, remember that its success hinges heavily on the foundation that you lay much before you start recruiting.

At Talent500, we are helping global companies hire, build and manage global teams in 30+ countries by acting as their Employers of Record. We aim to transform high-impact companies by giving them access to a worldwide community of highly skilled professionals transcending geographical boundaries. Sign up here to take your first step towards global expansion!

Compensation and Benefits across top 4 talent hubs

Posted on March 2, 2022March 2, 2022 by temp

87% of companies worldwide say that they have a skill gap, or expect to have a skill gap over the next few years. The logical solution to this problem? Building globally distributed teams.

In the last few years, rapidly expanding businesses have leveraged the multiple benefits of recruiting across geographies. In order to assist you with your location strategy, we look at the top 4 emerging technical hubs globally and compare the essential hiring considerations.

Poland

Often referred to as the “Silicon Valley of Europe”, Poland is one of the fastest growing technical hubs in the world. Poland’s robust educational system, focusing on core mathematics, science, and engineering knowledge is the perfect recipe for highly skilled tech talent.

Another favourable factor is the country’s strong startup ecosystem. With over 37 tech parks, a strong business infrastructure, and equality supportive governmental policies, Poland has become the most desired hiring location for numerous businesses.

Terms of contract

An employment contract should be concluded in writing. Otherwise, the parties, contract type, and terms and conditions must be confirmed by the employer in writing at the latest on the work commencement date. According to the country’s labour code, the contract must specify:

Parties to the employment contract
Employment contract execution date
Type of employment contract
Work commencement date
Type of work
Place of work
Remuneration for work corresponding to its type, and a list of the remuneration components
Working hours (full-time or part-time)
Holiday entitlement
Notice period
Place, date and time of remuneration payment
The procedures for confirming arrival and presence at work and justifying absence from work

Working hours

The number of working hours cannot exceed 8 hours a day and an average of 40 hours per week in an average five-day working week. Under certain conditions, daily working hours can be extended and balanced by shorter daily working time on other days or by days off.
As a rule, overtime must not exceed 150 hours per employee in any calendar year. However, a collective work agreement, work rules or, in the absence of these, an employment contract, can provide for a higher overtime limit. In this case, employees’ weekly working hours, including overtime, cannot exceed an average of 48 hours a week.

Minimum wage

The minimum monthly wage in Poland is PLN 2,600 (EUR 585) to PLN 2,800 (EUR 630).

Benefits

Mandatory employee benefits in Poland include pension (PPK), social insurance, and occupational medicine (OM). Supplementary employee benefits in Poland include private medical insurance, life insurance and business travel insurance.

Pension
Since 2019, pension is mandatory for all employers in Poland. The new law is called Employee Capital Plan (PPK) and was introduced by The Polish Government to increase savings of the local nationals.

Social security
In Poland, social security consists of pension insurance, disability insurance, accident insurance, labour fund and sickness insurance. Both the employer and the employee are obligated to contribute to the Polish social security system. The employer is obligated to withhold the employee‘s share of the social security contributions and remit them to the Social Security Authorities (ZUS).

Occupation Medicine

Every employer is obligated to conduct occupation medicine examinations for their employees. It involves tests to determine an employee’s individual predispositions to work in a specific position under certain conditions. In this regard, account is taken of any harmful and onerous factors in a given working environment.

Leave policy

Public holidays – 13
Annual vacation – 20 days (for employees with less than 10 years of experience) and 26 days (for employees with over 10 years of experience.)
Sick leave – 33 days for employees under 50, 14 days for employees over 50. Employers must pay their sick employees at least 80 percent of their remuneration for a certain number of days before the Polish Social Security Office (ZUS) takes over.

India

With over 340 million people having access to the internet, India is the second most connected country after China. The city of Bengaluru and the surrounding state of Karnataka is also the world’s 4th largest technology and innovation cluster, and home to more than 400+ global R & D centers. Out of 25 Fortune 500 retailers, about 10 have set up technology shops in India in the form of GCCs or global capability centers. According to Nasscom, the number of GCCs in the country is expected to grow at a CAGR of 6-7 percent to over 1,900 by 2025.

India’s universal digital literacy and deep internet penetration play a huge role in making it a highly accessible tech market. With 3.1 million students entering the workforce annually, the country’s sheer numbers give it a definite advantage. Along with the tech hubs of Bangalore and Hyderabad, India is now extracting the tech potential of tier 2 and 4 cities like Indore, Vadodara and Kochi, among others.

Employment contracts

Labour law and employment in India requires the work relationship to be based on an employment contract. When recruiting or hiring contract must include all relevant details such as:

The identities of the parties
The date of contract and commencement of work
Term of work
Roles and responsibilities
Salary
Working hours
Holidays
Termination details

Working hours

The average work week in India varies between 40 to 48 hours, depending on whether its a 5 day or 6 day week. Overtime is paid at double the rate of the normal pay.

Minimum Wages

India offers the most competitive labour costs in Asia, with the national-level minimum wage at around INR 176 (US$2.80) per day, which works out to INR 4,576 (US$62) per month. However, specific minimum wages vary on the basis of industry and geographical location.

Leave policy

Public holidays – 3
Vacation days – 15 paid annual vacation days. A maximum of 30 vacation days can be carried over to the next year.
Sick leave – 15 paid sick leave days a year and receive 70% of their average daily wage.
Maternity leave – 26 weeks paid leave, or 12 weeks paid leave in case of 3 or more children.
Parental leave – No mandatory leave, government employees receive 15 days.
Casual leave: provided for urgent and unexpected matters. Casual leaves can typically range from 12 to 24 days annually.
Work-related injury leave: Work injury benefits come from the contributions made towards the employees’ compensation and employees state insurance. Temporarily disabled workers receive 50% compensation monthly.

Benefits

Employee Provident Fund: The EPF scheme aims to build a sufficient retirement corpus for an individual. For every company with over 20 employees, employers need to contribute 12% of the employees’ basic salary.

Gratuity: All employees engaged in establishments with over 10 employees, having rendered continuous service for not less than 5 years (except in the case of death or disability) receive a gratuity payment from their employer at superannuation, retirement or resignation, or death or disablement. Gratuity is calculated at 15 days’ wages multiplied by the number of years of service.

Vietnam

At around 20%, Vietnam has the distinction of being one of the few countries to channel the biggest share of government spending in the education sector, which towers over the global average of 14%. Vietnam also gives out supporting policies, tax incentives, and favourable laws, creating an ideal environment for hiring your global team.

Let’s take a look at the specifics:

Employment contracts

Employment contracts in Vietnam are either for an indefinite period, for 12 to 36 months, or fixed term contracts, for less than 12 months. An employment contract should include key terms of the employment relationship including:

Name and address of employer
Name, address, date of birth of employee
Description of job and working address
Time frame of the contract
Salary, payment type, date of payment, allowances and other benefits
Promotion and salary review system
Working hours and vacation
Details of social and medical insurance

Working hours

The standard work week in Vietnam consists of up to 8 hours per day, 48 hours per week.
Overtime cannot exceed 50% of regular working hours per day, 30 hours per month and a total of 200 hours per year. In special cases regulated by the government, the yearly maximum can be increased to 300 hours per year. Pregnant women who are in their 7th month or later or women with babies under a year old are not permitted to work overtime.
Overtime pay:
- The employee is paid 150% of salary on normal working days
- The employee is paid 200% of salary on scheduled days off
- The employee is paid 300% of salary on public holidays

Minimum Wage

Minimum wage in Vietnam is divided into the following categories:

Common minimum wage – VND 1,490,000 (~US$64) This is used to calculate salaries for employees in state-owned organizations and enterprises, as well as to calculate the social contribution for all enterprises.
Regional minimum wage – used for employees in all non-state enterprises based on zones as defined by the government. Divided across 4 regions, this can range between VND 2,920,000 (US$ 125) to VND 4,180,000 (US$180).

Benefits

Vietnam has the standard requirements when it comes to employee benefits – employers need to provide compulsory social, health, and unemployment insurance. Employers usually withhold employees’ contributions from their salary and directly transfer them to insurance companies.

Companies with more than ten employees should make a mandatory contribution to unemployment insurance. Foreign nationals with local employment contracts have mandatory contributions only towards health insurance.

Social Insurance – 17.5 % (Including accident, retirement, sickness & maternity and gratuity contributions.)
Health Insurance – 3%
Unemployment Insurance – 1.00%

Additional benefits

Some employers provide a 13th-month salary as a bonus. Others provide additional days of leave per year, and even private health insurance.

Paid time off

Public holidays – 16
Annual leave – 12 vacation days of leave per year.
Sick leave – 30 days (if they have paid the Social Insurance Fund for less than 15 years) and 60 days (if they have paid more than 30 years to the Fund). Employees are entitled to 75% of their salary for sick leave pay.
Maternity leave – paid maternity leave for 6 months, which increased by 1 month for each additional child. Employees receive 100% of their regular salary, paid by the Social Insurance Authority. Salary during the maternity leave period is capped at VND 29,800,000.
Paternity leave – can range from 5 to 14 days. New fathers receive 100% of their regular salary paid by the Social Insurance Authority.
Other leave – employees can take 2-3 days of paid leave in the event of a wedding, or a death in the family.

Indonesia

The past few years has seen Indonesia emerging as one of the biggest tech giants of Southeast Asia. The country offers great potential for entrepreneurs who need excellent tech talent, a supportive tech ecosystem to build their remote teams, and accelerated market penetration.

Employment contracts

Employment contracts can be either for a fixed term or of an unspecified duration (usually limited to 2 years, after which they must be renewed).

Fixed-term employment contracts must be written in Bahasa, the official language of Indonesia. If not in writing, fixed-term employment contracts are deemed indefinite-term employment contracts.

All employment contracts should specify:

Job responsibilities
Salary in Indonesia Rupiah (Rp)
Benefits
Rules around termination

Working hours

The average work week is 40 hours, which can be divided over 5 or 6 days.
Any work beyond the 40 hours in a week is considered overtime. An employee can perform overtime work for a maximum of 4 hours per day and 18 hours per week.

Leave policies

Public holidays – 16
Annual leave -12. All employees are entitled to an off on ‘Cuti Bersama, intended to encourage domestic tourism
Sick leave – no specific number. As per Indonesian law, Employees receive the following sick leave allowance if they provide medical confirmation:
- Full salary for the first 4 months of sick leave.
- 75% salary for the next 4 months
- 50% salary for the 4 months following
- 25 % thereafter until the employer terminates the employee contract

Maternity leave – 3 months of maternity leave ( employees receive their full salary during this period.)
Parental leave – Employees are entitled to 2 days of parental leave for marriage, death, baptism and circumcision.
Menstrual leave – Female employees can take leave on the first and second days of menstruation.

Minimum wage

The minimum wage varies from region to region and ranges from IDR 1,798,979 (USD 123.85) in Central Java to IDR 4,416,186 (USD 304.04) in DKI Jakarta. Find a detailed list of region wise minimum wages here.

Benefits

Health Insurance: With rising health costs, health insurance is the most attractive employee benefit in indonesia. Employers contribute the following percentages for employee insurance:

Health Insurance – 4.00%
Old Age – 3.70%
Pension – 2.00%
Death – 0.30%
Work Accident – 0.24% – 1.74%

Additional benefits

Employees receive a yearly payment called the Tunjangan Hari Raya (THR) payment, before their longest religious holiday. THR is a one-time salary for employees who have been with the company for 12 months. If the employee has been working at the company for less than 12 months, they receive an amount proportional to the length of their employment.

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4 secrets to successfully manage global tech teams

Posted on January 17, 2022January 17, 2022 by vallish

It is said that managing a technical team is more of an art than it is a science. Even though the team is consistently dealing with data, it would prove problematic if companies tried to measure an engineer’s productivity through an agile process. Managing a team is already a challenge on-site, and this challenge is compounded in a globally distributed system. When working as a location-independent force, other factors like time zone, language barriers, and working culture come into the mix.

While an administrative role is the natural next step for many developers, the job now is a lot more different than it used to be. With companies going fully remote, most leaders now oversee globally distributed teams, often spread across different parts of the planet.

However, most of us were unprepared for this sudden shift to remote work. 2 out of 3 managers surveyed said that they were untrained for this new transition to managing dispersed teams. Naturally, this proves problematic for aspiring tech leaders or those thrown into the fray in the past 2 years.

So, if this is your first stint as a manager for a global tech team, or you are looking to take on a leadership role, here are a few quick lessons to help you manage a tech team spread across the globe.

Make trust-building the first priority

The absence, or lack, of trust within any team is among the dysfunctions that need to be addressed at the earliest. Mutual trust must exist between team members, and on an interpersonal level between an employee and their manager. Without trust, members of the team are more likely to be defensive in their approach and will often work in silos. This curbs collaboration, which is a fundamental element for any team, especially for remote teams. Hence, it becomes the responsibility of the team leader to build trust within the team.

However, considering the shift to digital communication mediums, leaders have to think beyond the traditional approaches of trust-building. A study conducted with 597 leaders found common approaches to not be as effective as expected. Actions that did not have much impact on build trusting were:

Giving recognition
Promoting complete transparency
Focusing on team building

On the other hand, things that did work were when managers:

Showed vulnerability
Maintained commitments
Communicated true intentions behind decisions

This makes sense, as employees interacting virtually need to know that there’s another human on the other end. As such, exhibiting these traits of genuine trust is sure to help you form the coveted trust bond.

Leverage technology for communication and planning tasks

While it may seem like a no-brainer to manage a remote team with technology, the lesson here is to use all common platforms available to you. Oftentimes, leaders will use a suite of tools for project management, communication, collaboration, conferencing and other such activities, causing a break in the flow. Your goal is to simplify, integrate, and enable teams to efficiently collaborate. Here, popular services like Slack, Asana, Workplace, Zoom, and others are viable solutions. They allow seamless communication and also enable planning, scheduling, and tracking on the same platform.

In a distributed team, project management is a critical process. With the right tools, giving real-time updates, communicating and planning can, and should happen on one platform. This way, everyone involved has access to crucial information, resources, and instructions, without key details being lost to poor management. Besides project management, effective communication is key for any remote leader. Schedule routine meetings with the entire team to stay in tune and get updates from real-time interactions.

Pay close attention to cultural differences

More often than not, a remote leader will have to manage team members of different nationalities. This is mainly because remote teams leverage talent across borders efficiently, thus bringing value to the table. However, for a leader, this means having to navigate the delicate rules and boundaries of culture. With members from different countries, cultural differences are bound to exist and being aware of these is crucial.

For instance, the concept of collaboration may differ based on cultural context. Some team members may be more accustomed to a passive approach, while others may assume a dominating, loud role. Expecting either to act like the other would prove problematic. Additionally, some nationalities may have working culture norms that must be respected. Be it national holidays, timings, or communication cues, it is important to give these factors necessary attention.

Leaders that turn a blind eye to culture are sure to alienate their employees and hurt their effectiveness during communication. Experts and renowned leaders believe that cultural awareness training is absolutely important for all leaders managing geographically dispersed teams. There is a learning curve here, but the best approach would be to work on a personal level. Each individual’s cultural bend will demand a unique approach, and while this is effort-intensive, it pays off in the long run.

Be flexible to foster round-the-clock efficiency

A key lesson for any modern leader to keep in mind is that flexibility is king in today’s workplace. According to one survey, 54% of respondents chose ‘flexibility in the workday’ as the best way in which their company could support them. The ‘always-on’ feeling is a known cause for burnout, and is very damaging if it is established as an appropriate working culture. Instead, as a leader, you should put flexibility above all and ditch the idea that tasks need to be scheduled around ‘HQ-time’. While it can’t always be fair to everyone, there are ways to adapt efficiently.

For instance, company meetings that require members across oceans to get on a call could be split into two to accommodate time zone differences. Another option is to have members work on a late, or early-split on rotation so that there’s never just one part of the team which is required to make adjustments.

Lastly, experts also advocate for the approach wherein the project follows the sun. The hand-off of duties moves from the west to the east; this way, everyone stays on track seamlessly.

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