Foreign companies are always eager to scale and expand their operations into the United States to take advantage of the country’s strong economy and thriving industries. However, the biggest challenge they face is finding qualified senior executives in the U.S. to lead their companies there. The high demand for strong leadership in the U.S. market creates more competition, unique cultural challenges, and higher salary expectations. Foreign companies often struggle to navigate these challenges when trying to recruit leaders who can effectively implement their corporate vision in the U.S. market.
What are Executive Search Firms?
According to SHRM, over 75% of organizations reportedly found it difficult to fill vacant full-time positions in 2024, while less than 30% of organizations can confidently locate qualified applicants to fill leadership roles. That is where executive search firms can be of assistance.
Executive search firms specialize in helping foreign companies recruit top American talent to fill key leadership positions in their U.S.-based operations, including CEOs, board members, and general managers. These firms can help foreign companies navigate the common challenges of overseas hiring by identifying top-level talent that possesses the skills, experience, salary requirements, and cultural knowledge necessary to become successful executives.
Foreign companies can rely on executive search firms to oversee every aspect of hiring the right talent, from early-market setups to their scaling phase in the U.S. Here are some of the methods in which executive search firms will locate such talent:
Cross-Cultural Assessment
According to Harvard Business Review, roughly 40% of newly hired executives fail within 18 months. At first glance, you might assume the reason has to do with a lack of skills or experience. In most cases, the executives were not the proper cultural fit for the companies.
It is not enough for U.S.-based executives to rely on their skills and experience, especially when working for foreign companies. They must also possess the proper leadership and communication style to align with the foreign company’s organizational structure and overall mission.
For example, suppose a Japanese company wants to hire a Chief Marketing Officer for its Los Angeles-based operations. In that case, the company might focus on finding U.S. applicants with experience in international marketing and branding. The only problem is that this experience doesn’t necessarily mean they will have the communication and leadership style that aligns with Japanese corporate cultural standards.
Executive search firms can bridge these gaps by conducting cross-cultural assessments on all executive applicants. These assessments can help identify such cultural gaps in potential applicants before they are hired. From there, the firms can focus on applicants whose character traits and background align with the company’s cultural and executive leadership requirements.
Compliance
Foreign companies are often less familiar with U.S. federal laws and regulations, since they are vastly different than those in most other countries. For instance, U.S. federal and state governments have strict standards regarding equal employment opportunities, taxes, and pay equity disclosures. Foreign companies must ensure they avoid any legal troubles after expanding to the U.S., as this could become quite costly.
Executive search firms are experts in U.S. regulatory compliance. They can help foreign companies navigate the complex federal and state laws regarding employment, anti-discrimination policies, data privacy, background checks, and other related compliance matters. Everything, from job postings to applicant evaluations, will adhere to all U.S. ethical and legal standards.
Foreign companies accustomed to different human resources norms or structures will quickly see the benefits of these executive search firm services. The collaboration between HR professionals, corporate lawyers, and international business experts enables executive search firms to achieve this level of success for their foreign clients.
Well-Crafted Job Descriptions
A powerful and precise job description is essential to attract the best executive talent in the U.S. Many foreign companies view writing job descriptions as a mere administrative task. In reality, they must take a strategic approach to crafting a well-defined job description that appeals to the needs, wants, and desires of the preferred executive talent.
Executive search firms know the right language to use in executive-level job descriptions, regardless of the industry. They will align the tone and areas of focus featured in the job descriptions with the client’s expectations and industry standards. Furthermore, the job descriptions will have a U.S. cultural context, listing at least 4 or 5 strategic competencies that the job requires for an applicant to be successful in the leadership role.
The important thing is not to overload the job description with too many specifications or requirements. Executive search firms are proficient in balancing the specifications with the other factors that applicants look for when considering an executive position, such as primary responsibilities and compensation. Anyone aspiring to a high-level executive position will certainly want to know the compensation range they can expect. Firms won’t disclose specific salary numbers, but they will provide a realistic and negotiable compensation range to make qualified applicants eager enough to apply for the position.
Conclusion
Foreign companies do not have to search for top-level American talent on their own. There is significantly more value in partnering with experts and professionals who can combine U.S. hiring experience with a global business understanding. Executive search firms possess both the experience of hiring American executives and the knowledge of international businesses and cultures, ensuring a seamless transition process for foreign companies into the U.S. market.
Explore Additional Resources
Do you need help getting started with your executive search? If so, you should begin by conducting an executive search USA to reach nationwide and look for qualified talent. You could also narrow your search by conducting an executive search in Boston, New York, Miami, Austin, and Los Angeles, as these are cities where some of America’s best executive talent often resides.
Do you need help crafting compelling job descriptions that attract executive-level talent? Free job description templates for executives can help you streamline the process of writing job descriptions for your future CEOs, board members, CMOs, or other executives. The templates are fully customizable and can reduce your risk of making common mistakes when writing job descriptions for executives.
