{"id":1395,"date":"2024-01-09T16:40:38","date_gmt":"2024-01-09T21:40:38","guid":{"rendered":"https:\/\/hspgroupstg.wpenginepowered.com\/?p=1395"},"modified":"2024-05-06T11:16:43","modified_gmt":"2024-05-06T15:16:43","slug":"how-will-ai-disrupt-global-expansion-2024","status":"publish","type":"post","link":"https:\/\/hsp.com\/how-will-ai-disrupt-global-expansion-2024\/","title":{"rendered":"Will AI Disrupt How Companies Conduct Global Expansion in 2024? It Depends."},"content":{"rendered":"\t\t
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If there\u2019s one thing we can count on in 2024, it will be the continuing onslaught of headlines sounding the alarm (or promise) of AI and machine learning as a potential disruptor in almost every industry\u2014from banking and finance to healthcare. This begs the question: is global expansion also ripe for disruption by AI? In this blog, two HSP experts delve into what types of impact AI will likely have on companies looking into how (and where) to expand overseas.<\/span><\/p>

Before we begin, let\u2019s go into some important context. When we talk about global expansion, we\u2019re dealing with lots of complexity\u2014there\u2019s no single scenario. We have companies that are simply exploring the idea of expanding overseas, companies that have aggressively embraced expansion as a means of growth, and those that are doing so because their overseas customers expect a presence in a particular country. And then there is another scenario\u2014those companies that have attempted international expansion and failed. We see it all.<\/span><\/p>

AI\u2019s role in the \u201cpeople\u201d side of global expansion: It\u2019s tricky<\/span><\/h2>

When discussing AI as a disruptive technology in the context of international expansion, there\u2019s no single \u201cright\u201d answer. There is, however, a broad generalization that we can make. Simply put, AI may be positioned to have a huge impact in areas where we deal with numbers and data.\u00a0<\/span><\/p>

For example, while payroll systems are largely already automated, AI can go beyond traditional payroll software to deliver more sophisticated predictive and modeling analytics, from helping companies more accurately forecast staffing costs to helping them personalize benefits packages by examining employee data trends. In HR, AI has a huge potential to sift and analyze volumes of data to <\/span>detect anomalies and employee fraud<\/span><\/a>.<\/span><\/p>

It\u2019s when we get to the \u201cpeople\u201d side of global expansion, however, that AI\u2019s promise becomes murkier and\u2014arguably\u2014more untenable. That\u2019s what this blog is about.<\/span><\/p>

The four phases of global expansion<\/span><\/h2>

Let\u2019s think of global expansion as having four facets (with some overlap). First, there is the data and information-gathering phase. In this phase, a company is looking for information: How do things work? What are the laws and regulations? The second phase is about connecting the dots: You have a grasp of what you\u2019re required to do on various fronts (for example, laws and requirements for taxes, payroll, and hiring in a particular country), and you now need to connect those disparate requirements to your company\u2019s capacity, budget, timeline, and expansion strategy.\u00a0<\/span><\/p>

Third, you\u2019ll face a \u201cgo\/no go\u201d phase\u2014a decision-making point where you put everything together and make an informed decision about the feasibility of whether (and how) to expand overseas. The final (and arguably the most complex) phase is implementation, wherein you know what to do and how to do it, and now you\u2019ve got to go do it. Let\u2019s examine these phases through the lens of how AI is likely to be a disruptor.<\/span><\/p>

AI\u2019s role in information gathering for global expansion<\/span><\/h2>

In the first phase\u2014fact-finding\u2014there are various ways to collect information, and AI is certainly one of them. For companies that don\u2019t have a global expansion partner that already knows the country-specific laws and requirements, the first step is typically an internet search. With some work, one can eventually find trusted sites that can provide somewhat reliable information. Here, AI can shine (in fact, we use it ourselves in this manner\u2014though naturally, we validate everything personally).\u00a0<\/span><\/p>

Using AI to mine and summarize what\u2019s on the internet can be very time-saving. There is, however, a limit. An expert already knows where to look for the most trusted sources of information. In addition to its unreliability, AI will crawl everything for an answer. That may speed up information gathering but will add the time-consuming task of validating the results. That\u2019s why AI, for the time being at least, is best limited to broad generalizations. When researching country-specific laws and requirements, the stakes are too high to take an approach that isn\u2019t 100% correct because the penalties for being out of compliance are too costly and damaging.<\/span><\/p>

In addition, there\u2019s the tricky fact that different countries, governments, and municipalities handle the online posting of information in different ways. What they post online may not be accurate or up-to-date. Only a human expert (often one with a physical presence in-country) can validate the accuracy of that information\u2014AI will simply \u201ctrust\u201d what it finds.<\/span><\/p>

Can AI help connect the dots in a global expansion strategy?<\/span><\/h2>

You might be aware of the local laws and regulations for the different facets of your company\u2019s global expansion, but how you connect the dots\u2014apply that to your particular company\u2019s operations and growth plan\u2014is a different matter. You might need to hire three employees in Croatia, relocate several from the US, and perhaps need to import a product. Only a trusted global expansion expert can take the time to understand your company\u2014your capacity, budget, timeline, and operations\u2014to help you decide the pros and cons (including feasibility and costs) of different approaches. This multi-dimensional company-centered problem-solving approach is, at least for now, solidly within the purview of a human being well-versed in global expansion.<\/span><\/p>

How can AI help your company make a go or no-go decision for expansion?<\/span><\/h2>

In this phase, you\u2019ll put together everything you\u2019ve learned and make one of the most critical decisions that will affect your company\u2019s well-being: whether or not to expand. While AI can bring incredibly useful data to the process (from rich data analysis to trends and predictive modeling), at the end of the day, this is about your company\u2019s ability to survive and thrive. That requires an expert who understands your company and prospective countries’ unique culture and business environment. AI cannot (yet) glean these \u201csoft\u201d insights. Only a human expert can take the time to thoroughly explain them to you. Let\u2019s consider maternity leave. You might understand the employer options for providing maternity leave in a particular country, but you\u2019ll also want to know what the practical implications are for your company and how to actually implement those policies. That\u2019s not something that AI can do for you.<\/span><\/p>

Can AI help your company implement its global expansion strategy?<\/span><\/h2>

Inevitably, a company will have a form to fill out in a country or locality that requires an in-person submission. For example, companies doing business in China require a literal stamp (called a \u201cchop\u201d) to represent their company. In China, company chops replace the signatures that we use in the US. Companies must stamp important documents in person. In Spain, workers must present biometrics to receive work authorization. While these are just a few examples, it\u2019s obvious by now that for many of these processes to be fully automated (much less governed by AI), you\u2019d need a sea change of modernization on the part of every country in which you are expanding. We just don\u2019t see that happening.\u00a0<\/span><\/p>

\u201cNever\u201d may be too strong of a word, but it\u2019s safe to assume that, for decades to come, a global expansion partner with a physical in-country presence will be the person best suited to help you navigate many of the logistics involved in this final leg of your expansion overseas.<\/span><\/p>

Accountability and risk mitigation is the most important part of global expansion.<\/span><\/h2>

At the end of the day, understanding the implications of your decision to expand internationally can make or break your company\u2019s ability to survive and remain competitive. The people accountable for making sound decisions critical to your survival, from the CHRO to the CFO, are unlikely to delegate critical decisions to anyone other than other experts\u2014the tax attorneys, legal advisors, accountants, and others. While AI can help these experts make informed decisions, it is unlikely that in the near future (and beyond), we\u2019ll be looking at significant disruption in the process of evaluating and implementing global expansion.<\/span><\/p>

A global expansion expert with a <\/span><\/i>tailored approach and real-world expertise<\/span><\/i><\/a> will always deliver the right results for your company by blending real-world insight with deep technical expertise and a hands-on approach tailored to your company and the countries you\u2019re expanding into.<\/span><\/i><\/p>

The HSP high-touch, hands-on approach sets us apart and is a cornerstone of our personalized, bespoke solutions. <\/span><\/i>Contact us today<\/span><\/i><\/a> so that we can start delivering your custom solutions.<\/span><\/i><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t

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If there\u2019s one thing we can count on in 2024, it will be the continuing onslaught of headlines sounding the alarm (or promise) of AI and machine learning as a potential disruptor in almost every industry\u2014from banking and finance to healthcare. This begs the question: is global expansion also ripe for disruption by AI? In […]<\/p>\n","protected":false},"author":17,"featured_media":1396,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","inline_featured_image":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[19],"tags":[33,42,39],"coauthors":[],"class_list":["post-1395","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-featured","tag-global-expansion","tag-global-payroll","tag-international-expansion"],"yoast_head":"\nHow Will AI Disrupt Global Expansion in 2024?<\/title>\n<meta name=\"description\" content=\"Despite the ubiquitousness of AI, it is unlikely to disrupt how companies conduct their global expansion initiatives in 2024.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/hsp.com\/how-will-ai-disrupt-global-expansion-2024\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Will AI Disrupt How Companies Conduct Global Expansion in 2024? It Depends.\" \/>\n<meta property=\"og:description\" content=\"Despite the ubiquitousness of AI, it is unlikely to disrupt how companies conduct their global expansion initiatives in 2024.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/hsp.com\/how-will-ai-disrupt-global-expansion-2024\/\" \/>\n<meta property=\"og:site_name\" content=\"HSP Group\" \/>\n<meta property=\"article:published_time\" content=\"2024-01-09T21:40:38+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-05-06T15:16:43+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/hsp.com\/wp-content\/uploads\/2024\/01\/Will-AI-Disrupt-Global-Expansion-in-2024-1024x576.png\" \/>\n\t<meta property=\"og:image:width\" content=\"1024\" \/>\n\t<meta property=\"og:image:height\" content=\"576\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Katie Davies\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Katie Davies\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"7 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/hsp.com\/how-will-ai-disrupt-global-expansion-2024\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/hsp.com\/how-will-ai-disrupt-global-expansion-2024\/\"},\"author\":{\"name\":\"Katie Davies\",\"@id\":\"https:\/\/hsp.com\/#\/schema\/person\/40d64744be835b5ea24b6c2379d1a0b9\"},\"headline\":\"Will AI Disrupt How Companies Conduct Global Expansion in 2024? 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