As companies around the world recalibrate their manufacturing, sourcing, and innovation strategies in response to geopolitical uncertainty, one thing has become crystal clear: supply chain diversification is only part of the story.

If your company is shifting production or operations out of China under a “China+1” strategy—but not building a corresponding “Talent+1” strategy—you’re only solving half the problem.

At Stemgenic, we’ve worked with clients across biotech, medical tech, industrial EPC, chemicals, and food technology to do just that—rethink talent strategy alongside operational transformation. Here’s what we’ve learned, and what business leaders should be doing right now.

Why “Talent+1” Must Mirror “China+1”

The logic of China+1 is clear: reduce geopolitical risk, mitigate tariff impact, and gain operational flexibility. But many organizations underestimate the challenge of replicating—or relocating—specialized talent.

Shifting your factory is one thing. Rebuilding your engineering, regulatory, or R&D capabilities somewhere else? That takes planning, insight, and a deep understanding of local labor ecosystems.

Where Companies Are Going—and What That Means for Hiring

1. Vietnam

   • Strengths: Robust electronics and OEM sector, rising MedTech manufacturing, growing FDI

   • Challenges: Leadership-level STEM talent still developing, language barriers at senior levels

   • Talent Tip: Ideal for mid-level manufacturing, quality, and automation roles—especially if you can rotate leadership from nearby markets like Malaysia or Singapore.

2. Malaysia

   • Strengths: Established infrastructure, English-speaking workforce, strong in electronics and chemicals

   • Challenges: Talent competition heating up, especially in Penang and Johor

   • Talent Tip: Great for building core engineering, compliance, and supply chain teams—but expect to pay a premium for experienced candidates.

3. India

   • Strengths: World-class biotech and pharma talent, CDMO boom, massive engineering base

   • Challenges: Highly fragmented labor market, variable infrastructure by region

   • Talent Tip: Strong fit for R&D, process development, and commercial pharma. Use talent mapping to target Tier 1 cities vs. emerging industrial zones.

4. Indonesia

   • Strengths: Rising in industrial EPC and food processing, large workforce, improving regulatory framework

   • Challenges: Still maturing in niche STEM skills, talent retention and training needed

   • Talent Tip: Best leveraged for volume hiring in plant ops and production. Pair with capability-building and retention strategy.

What a Scalable “Talent+1” Strategy Looks Like

Moving operations isn’t just about cost—it’s about capability continuity. Here’s what a scalable Talent+1 model should include:

1. Local Talent Mapping

   • Before you move, understand:

   • What skills exist in your target country

   • Who your hiring competitors are

   • What average salaries, lead times, and mobility rates look like

   • At Stemgenic, we use AI-powered market intelligence to provide a full talent heatmap—by function, sector, and location.

2. Cross-Border Talent Rotation

   • For hard-to-fill roles, consider rotational leadership models—moving senior talent from Singapore, Malaysia, or India into Vietnam, Indonesia, or the Philippines temporarily to train, stabilize, and build local capacity.

   • This is especially effective in EPC, automation, and medtech production environments.

3. Local Compliance & ESG Integration

   • Many governments now require companies to meet local hiring thresholds, ESG standards, and labor transparency rules. Your HR strategy must include:

   • Local compliance hiring

   • Sustainability officers

   • Trade and vendor assurance roles

4. Hybrid Hiring Models

   • In emerging APAC markets, it’s rarely “either/or.” Many successful companies adopt:

   • A core in-country team

   • A remote regional hub (e.g., compliance in Singapore)

   • Access to flex contractors or third-party specialists

 “Transferable Talent” May Be Closer Than You Think

• Another growing trend we’re seeing is cross-sector hiring. For example:

• Food technologists moving into pharma R&D

• EPC project managers entering clean energy

• Biotech process engineers transitioning into nutrition or chemicals

• Stemgenic helps companies tap into these adjacent talent clusters—expanding the candidate pool and reducing hiring time.

Think Long-Term, Hire Strategically

China+1 isn’t a trend—it’s a transformation. But to truly succeed in this shift, organizations need to look beyond factories and freight lanes. Talent is the competitive differentiator in this next phase of globalization.

By aligning your workforce strategy with your operational roadmap—by planning Talent+1 alongside China+1—you don’t just move smarter. You build resilience.

Need help mapping your next market move?

Stemgenic specializes in STEM-focused executive hiring and market intelligence across Southeast Asia and beyond.

Find out more : www.stemgenicglobal.com

Email us at contact@stemgenicglobal.com

Let’s build the workforce that powers your next chapter.