Key Learnings: Advertising

1
Corporate Relocation Survey 2002 35th Annual
Results Prepared By NextResearch, Inc. 516
Tennessee Street, Ste. 131 Memphis, TN
38103 901.333.1384 April 2002
2
Foreword

• Situational Analysis
• Atlas Van Lines conducts corporate relocation
  issues research on an annual basis. This is the
  third year the study has been conducted via
  telephone.
• For the 35th Annual Corporate Relocation Survey,
  Atlas Van Lines contracted NextResearch, an
  independent research company, to conduct the
  survey and analyze the data. This was done to
  ensure confidentiality and objectivity. Research
  design assistance was provided by Keller Crescent
  Co., a total marketing communications company
  with headquarters in Evansville, Indiana.
• Methodology
• For the year 2002, 302 phone interviews were
  conducted from January 22 through February 28.

3
Management Summary

• Corporate Profile
• Manufacturing/Processing is the most highly
  represented business classification in this
  study. The following is a breakdown of
  respondents company business classifications
• Almost half of these companies are international
  (49). Large companies are more likely to be
  international nearly 3 in 4 (72) companies
  with more than 5000 employees are international
  while only 4 in 10 (40) companies with fewer
  than 500 employees are international.
• The average annual sales for all companies
  involved in this study is 76.5 million.
• Half (50) of the companies involved in this
  study employ less than 500 salaried workers
  one-third (33) employ 500-4999 salaried
  employees and just under one-fifth (17) have
  5000 or more salaried employees.

4
Management Summary

• Corporate Profile contd
• Almost three-quarters (73) of the companies
  surveyed have a formal relocation policy. Due to
  larger budgets and more annual relocations,
  companies with 5000 or more employees are more
  likely to have a formal relocation policy than
  are smaller companies (94 large companies vs.
  76 mid-sized and 63 small companies).
• The same is true for centralized relocation
  departments, more than 8 in 10 (84) of the large
  companies surveyed have a centralized relocation
  department vs. 73 of the mid-sized and 69 of
  the small companies. Most of these centralized
  relocation departments are responsible for the
  following
• - Controlling Household Goods Carrier Selection
  (75)
• - Controlling Freight Carrier Selection (67).
• For nearly half (49) of the companies surveyed,
  the company is the sole selector of the household
  goods carrier for the employees move.
• For 2 in 10 (20), the company and the employee
  select the household goods carrier together. The
  employee selects the carrier 19 of the time and
  a relocation firm selects the household goods
  carrier only 12 of the time.

5
Management Summary

• Respondent Profile
• Most respondents (79) work in Human Resources
  and/or Personnel. There were a variety of
  different positions held among those who
  completed this survey from managers (27),
  relocation administrators (15), and directors
  (13) to a myriad of other positions, including a
  few vice presidents, assistants, and others.
• A little over half (54) of the respondents read
  trade publications. The most popular
  publications are
• - HR Magazine (39)
• - Mobility (25)
• Human Resource Executive (17)
• HR News (15).
• While 71 of the total of employees interviewed
  do not belong to any relocation-related
  associations, membership is higher at large
  companies.

6
Management Summary

• Corporate Profile
• Larger companies were more likely to have an
  increased relocation budget (35) in 2001
  compared to 2000.
• Approximately half (48) of the companies
  surveyed, regardless of size, allocated
  approximately the same amount of money for
  relocations in 2001 as they did in the previous
  year.
• - 26 increased from 2000 budget
• - 48 stayed the same as 2000 budget
• - 26 decreased from 2000 relocation budget.
• An average of 103 employees were transferred in
  2001. Not surprisingly, the majority of relocated
  employees were from the largest companies within
  the U.S.

7
Management Summary

• Transferee Profile
• By far, most relocations were within the U.S.
  Companies moved an average of 97 employees within
  the U.S., compared to only 10 employees
  moved to the U.S. from other countries and 2
  moved within Canada.
• The following is the makeup of those employees
  transferred in 2001.
• 80 of those relocated in 2001 were men and 20
  of the employees relocated were women.
• Of the men, 51 of them had accompanying wives,
  and 14 of the women had accompanying husbands.
• The most frequently transferred employee is in
  his/her thirties with an average age of 37 years.

8
Management Summary

• Policy Administration
• A total of 32 of respondents feel that external
  factors had a significant impact on the number of
  employee transfers in 2001. Heading the list of
  external factors having an impact was Economic
  Conditions (77), followed by Lack of qualified
  people (21).
• More than 4 in 10 (41) of respondents surveyed
  feel that internal factors had a significant
  impact on the number of employee transfers in
  2001 especially in the larger companies. The
  following internal conditions were cited almost
  equally
• Corporate Reorganization (42)
• Promotions/Resignations (38)
• Growth of Company (37)
• Companies vary on the amount of time they allow
  employees to decide on whether to accept a
  relocation offer. Twenty percent (20) of the
  companies surveyed allow one week or less to
  accept or decline an offer 36 of the companies
  surveyed allow up to two weeks to accept or
  decline an offer and (37) allow one month or
  more to decide. Larger companies (those with
  5000 or more salaried employees) usually allow
  the employee more time to accept a relocation
  offer.
• The majority of companies allow the hiring of
  spouses of current employees (84). Smaller
  companies (79) are somewhat less likely to hire
  a spouse 89 of mid-sized said they would hire a
  spouse and 92 of large companies said they
  would.

9
Management Summary

• Policy Administration contd
• About one-third (34) of all companies outsourced
  relocation services in 2001. Fewer than
  one-fourth (23) of small companies outsourced,
  slightly over 3 in 5 (63) of large companies
  outsourced some or all relocation services.
• Of those companies who do outsource, the services
  that are most likely to be outsourced are
• - Real estate (83)
• Counseling regarding planning/details of the
  move (68)
• Household goods transportation (64)
• Employee claims (62)
• Monitoring shipments (61).

10
Management Summary

• Relocation Costs
• The following are companies methods of
  reimbursement of moving expenses
• If an employee decides to buy a home in the new
  location, companies will cover a variety of
  moving expenses
• - 88 pay to move exercise equipment
• - 86 pay to pack all items
• - 82 pay to carry items down from the attic
• - 77 pay to move an automobile
• - 75 pay to move recreation and lawn equipment.

11
Management Summary

• Relocation Services
• At total of 23 of companies assist an employees
  spouse/partner in finding employment in the new
  location. These companies help in the following
  ways
• - 37 pay job finders fees
• - 34 assist the spouse/partner in finding a job
  outside of the company
• - 27 assist the spouse/partner in finding a job
  within the company
• - 1 pay the spouse/partner's salary until
  hired.
• Only 1 in 10 (10) of companies provide elder
  care assistance to the transferee. Assistance
  provided by these companies includes
• Provides a list of nursing homes (71)
• Reimburses for outside care (29)
• Allows the transferee to use pre-tax dollars for
  outside care (29)
• Moves the elderly relative who will live with
  the transferee in the new location (29)
• - Moves the elderly relative who does not live
  with the transferee (14).

12
Management Summary

• Relocation Services contd
• Most (78) respondents say that declining the
  opportunity to relocate does not hinder an
  employees career.
• About 8 in 10 (79) of respondents said that the
  number of employees who declined relocation
  offers did not change between 2000 and 2001.
  Slightly more than 1 in 10 (14) said that the
  number of employees declining relocation offers
  in 2001 decreased vs. 7 who said it increased.
• More than one in five (21) of all companies,
  excluding dont know answers, reported that at
  least one employee who was asked to relocate in
  2001 declined the opportunity. Reasons given
  were
• - Family issues (81)
• - Personal reasons (62)
• No desire to move (59)
• Spouse employment (53).

13
Management Summary

• Transportation
• Companies had on average, 1.3 standing contracts
  with household goods carriers.
• Nearly half (45) of respondents said their
  company has preferred carriers they do business
  with regularly.
• The most important attributes when selecting a
  contract carrier are
• - Service (94)
• - Price (81) - Reputation (79)
• - Claims processing (74)
• - Local agent (62).
• The most important attributes when evaluating a
  contract carrier are
• - On time delivery (95)
• - Service (95)
• - Price (89) - Employee feedback (82)
• - Claims processing (79)
• - Extra services (53).

14
Management Summary

• International
• Among companies that did relocate employees
  internationally, relocations to and from the
  United States dominated international
  relocations, with foreign relocations from the
  U.S. being more common than U.S. relocations from
  abroad (28 vs. 17). Relocations between two
  foreign countries were the least
• common (5).
• Participating companies reported that they are
  offer the following services in connection with
  international relocations
• Additional tax considerations (80)
• Additional leave time (with travel, one visit to
  US or CAN) (77)
• Additional leave time (74)
• Increased allowances for permanent storage (70)
  
• Extended per diem for hotels (63)
• Allowances for children to attend certain
  schools (57)
• More leniency on insurance coverage (33)
• Other (8).
• Items rated in terms of relative importance when
  moving internationally
• - Service 95 - Price 87 -
  Scheduling 87.
• Nearly 6 in 10 (59) companies have never used
  the electronic data interchange (EDI) interface
  capabilities on international shipments.

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Corporate Profile
Q.1 Types of companies participating
Less than 500 Salaried Employees
Total
500 4999 Salaried Employees
5000 Salaried Employees
16
Corporate Profile
Less than 500 Salaried Employees
Q.2 Is your company
Total
500 4999 Salaried Employees
5000 Salaried Employees
17
Corporate Profile
Q.3 - Average company sales for 2001
In Millions
18
Corporate Profile
Q.4 Number of salaried people employed
MEAN 2012 of Total Sample 2001 Salaried Employees
19
Corporate Profile
Q.5 Companies with formal relocation policy
20
Corporate Profile
Q.6 Are employee moves administered by a
centralized (corporate) department?
Less than 500 Salaried Employees
Total
500 4999 Salaried Employees
5000 Salaried Employees
21
Corporate Profile
Q.7 - If yes, does your companys centralized
relocation department
Total
excludes those who dont know
22
Corporate Profile
Q.7 - Which functions does your centralized
relocation department control?
23
Corporate Profile
Q.8 Who selects the carrier for employee moves?

Total
24
Corporate Profile
Q.8 Who selects the carrier for employee moves?

25
Respondent Profile
Q.9 Function of survey participants
department.
Total
26
Respondent Profile
Q.10 Total Survey participants position with
company
27
Respondent Profile
Q.10 Survey participants position with company
500 4999 Salaried Employees
Less than 500 Salaried Employees
5000 Salaried Employees
If titles not shown, 0 applies 100 due to
multiple answers
28
Respondent Profile
Q.11 Compared to 2000, did 2001 relocation
budget change?
Less than 500 Salaried Employees
Total
500 4999 Salaried Employees
5000 Salaried Employees
29
Respondent Profile
Q.12a Does participant read trade
publications? Q.12b If yes, which of the
following does participant read?
Trade Publications Respondents Read
Do you read trade publications?
Trade publications with less than 2 readership
are not shown
30
Respondent Profile
Q.12a Does participant read trade
publications? Q.12b If yes, which of the
following does participant read?
Trade publications with less than 2 readership
are not shown
multiple answers
31
Respondent Profile
Q.13 Does participant belong to
relocation-related association?
Less than 500 Salaried Employees
Total
500 4999 Salaried Employees
5000 Salaried Employees
32
Transferee Profile
Q.15a Number of employees relocated in 2001 Q.
15b- To/From where did employees relocate?
By Company Size
33
Transferee Profile
Q.15a Number of employees relocated in 2001 Q.
15b- To/From where did employees relocate?
Average of Employees Relocated to Each Location
in Total
34
Transferee Profile
Q.16 In 2001, what percentage of transferees
were women?
Average
35
Transferee Profile
Q.17 / Q. 18 What percentage were accompanying
wives/ husbands in 2001?
Average
excludes those who dont know
36
Transferee Profile
Q.14 Age of most frequently-transferred
salaried employee?
Total
Average Age 37 years
excludes those who dont know
37
Transferee Profile
Q.14 Age of most frequently-transferred
salaried employee?
By Company Size (Salaried Employees)
38
Corporate Profile
Q.19 Compared to 2001, anticipated number of
employee moves in 2002
Less than 500 Salaried Employees
Total
500 4999 Salaried Employees
5000 Salaried Employees
39
Factors Impacting Transfers
Q.20 External factors impacting number of
relocations in 2001
Total
32 of Respondents (Base 87) felt that external
factors had an impact on the number of employee
transfers in 2001
40
Factors Impacting Transfers
Q.20 External factors impacting number of
relocations in 2001
By Company Size (Salaried Employees)
multiple answers indicates approximation
41
Factors Impacting Transfers
Q.21 Internal conditions impacting number of
relocations in 2001
Total
41 of Respondents (Base 113) felt that
internal factors had an impact on the number of
employee transfers in 2001
42
Factors Impacting Transfers
Q.21 Internal conditions impacting number of
relocations in 2001
By Company Size (Salaried Employees)
indicates approximation multiple answers
43
Policy Administration
Q.22 How much time is given to accept transfer
offer?
Total
excludes those who dont know
44
Policy Administration
Q.22 How much time is given to accept transfer
offer?
By Company Size (Salaried Employees)
indicates small sample size
45
Policy Administration
Q.23 Will company hire spouse of employee?
Less than 500 Salaried Employees
Total
500-4999 Salaried Employees
5000 Salaried Employees
excludes those who dont know
46
Policy Administration
Q.24a - Did company outsource any services in
2001? Q.24b - If yes, which services were
outsourced?
47
Policy Administration
Q.24a - Did company outsource any services in
2001?
By Company Size (Salaried Employees)
48
Policy Administration
Q.24a - Did company outsource any services in
2001? Q.24b - If yes, which services were
outsourced?
By Company Size (Salaried Employees)
indicates small sample size
49
Policy Administration
Q.25a Is Internet used for relocation
matters? Q.25b If yes, how is Internet used for
relocation matters?
50
Policy Administration
Q.25a Is Internet used for relocation
matters? Q.25b If yes, how is Internet used for
relocation matters?
By Company Size (Salaried Employees)
indicates approximation
indicates small sample size
51
Policy Administration
Q.26 - Average number of expense-paid
house-hunting trips for a spouse Q.27- Average
number of expense-paid days for house-hunting for
employees
Total
Trips
Days
Dont know
Varies
Four or more
Three
Two
One
None
4.8 Days
1.6 Trips
52
Policy Administration
Q.26 - Average number of expense-paid
house-hunting trips for a spouse Q.27- Average
number of expense-paid days for house-hunting for
employees
Average By Company Size (Salaried Employees)
Base Trips/Days
53
Relocation Costs
Q.28 Which do you use for transferees and new
hires?
Total
54
Relocation Costs
Q.28 Which do you use for transferees and new
hires?
By Company Size (Salaried Employees)
55
Relocation Costs
Q.29 Which moving expenses does company pay?
Total
excludes those who dont know
56
Relocation Costs
Q.29 Which moving expenses does company pay?
By Company Size (Salaried Employees)
excludes those who dont know
57
Relocation Costs
Q.30 Which expenses does company pay for
renters?
Total
excludes those who dont know
58
Relocation Costs
Q.30 Which expenses does company pay for
renters?
By Company Size (Salaried Employees)
excludes those who dont know
59
Relocation Services
Q.31a Does company help accompanying partner
find job? Q.31b If yes, how does company help
partner find job? Q.31c What percentage of
partners used employment assistance?
An Average of 8 of Employees in 2001 used
Spouse/Partner Employment Assistance
60
Relocation Services
Q.31a Does company help accompanying partner
find job? Q.31b If yes, how does company help
partner find job? Q.31c What percentage of
partners used employment assistance?
By Company Size (Salaried Employees)
indicates small sample size
61
Relocation Services
Q.32a Does company assist transferee with elder
care? Q.32b If yes, what assistance does
company provide?
62
Relocation Services
Q.32a Does company assist transferee with elder
care? Q.32b If yes, what assistance does
company provide?
By Company Size (Salaried Employees)
multiple answers allowed indicates small
sample size
63
Relocation Services
Q.33 How often is relocation affected by
spouses job status?
Less than 500 Salaried Employees
Total
500 4999 Salaried Employees
5000 Salaried Employees
64
Relocation Services
Q.34 Does declining relocation hinder
employees career?
Less than 500 Salaried Employees
Total
500 4999 Salaried Employees
5000 Salaried Employees
65
Relocation Services
Q.35 Did number of declined relocations change
in 2001 vs. 2000?
Less than 500 Salaried Employees
Total
500 4999 Salaried Employees
5000 Salaried Employees
66
Relocation Services
Q.36a Did any employee decline relocation in
2001? Q.36b If yes, what reasons were given
for declining?
excludes those who dont know
67
Relocation Services
Q.36a Did any employee decline relocation in
2001? Q.36b If yes, what reasons were given
for declining?
By Company Size (Salaried Employees)
indicates small sample size indicates
approximation
excludes those who dont know
68
Transportation
Q.37 How many carriers does company contract
for moves?
69
Transportation
Q.38 Does company specify preferred contracted
carriers?
Less than 500 Salaried Employees
Total
500 4999 Salaried Employees
5000 Salaried Employees
excludes those who dont know
70
Transportation
Q.39a Rate attributes from 1 10 when
selecting a carrier ( 1 not at all important,
10 very important )
Total
Top 3-Box (8 10 Ranking)
excludes those who dont know
71
Transportation
Q.39a Rate attributes from 1 10 when
selecting a carrier ( 1 not at all important,
10 very important )
By Company Size (Salaried Employees)
Top 3-Box (8 to 10 Ranking)
indicates approximation
excludes those who dont know
72
Transportation
Q.39b Rate attributes from 1 10 when
evaluating a carrier ( 1 not at all important,
10 very important )
Total
Top 3-Box (8 to 10 Ranking)
excludes those who dont know
73
Transportation
Q.39b Rate attributes from 1 10 when
evaluating a carrier ( 1 not at all important,
10 very important )
By Company Size (Salaried Employees)
Top 3-Box (8 to 10 Ranking)
excludes those who dont know
indicates approximation
74
Transportation
Q.40 Rate importance of moving services to
transferee 1 not at all important, 10 very
important
Total
Top 3-Box (8 to 10 Ranking)
excludes those who dont know
75
Transportation
Q.40 Rate importance of moving services to
transferee 1 not at all important, 10 very
important
By Company Size (Salaried Employees)
Top 3-Box (8 to 10 Ranking)
indicates approximation
excludes those who dont know
76
Transportation
Q.41 Which does your company use?
excludes those who dont know
77
International
Q.42 Company initiated approx. how many
international transfers? (Numbers reflect 2001
exclude Canada and Mexico)
Average
78
International
Q.43 Approximate number of international
relocations from
Average Number of International Employee
Relocations in 2001 10
excludes those who dont know
79
International
Q.44 Company offers which services for
international transfers?
80
International
Q.45 Rate importance of services for
international transfers? (1 not at all
important, 10 very important)
Top 3-Box (8 to 10 Ranking)
excludes those who dont know
81
International
Q.46 Does company use EDI on international
shipments? (EDI Electronic Data Interchange)
excludes those who dont know
82
International
Q.47 How is partner assisted with
out-of-country job search?
excludes those who dont know
83
International
Q.48a In 2001 were any international
relocations declined or failed? Q.48b Of
those, what reasons were cited for decline or
failure?
(Base 14 )
excludes those who dont know