Rolls-Royce Hires in—Get This— High-Wage Countries Industrial giant ignores wisdom of rivals By Dustin Lushing Posted Oct 23, 2011 4:35 PM CDT Copied Dan Balmer, marketing and event manger Asia Pacific of Rolls-Royce Motor Cars, stands next to the new Ghost Extended Wheelbase during its launch in Mumbai, India, Wednesday, Oct. 5, 2011. (AP Photo/Rafiq Maqbool) The British industrial behemoth Rolls-Royce is increasing its revenue by way of an unorthodox strategy: moving operations into high-wage countries with highly skilled workers. The plan contradicts the wisdom of rivals, who are moving production into low-wage areas in Asia and Latin America, reports the Wall Street Journal. The tactic is also paying off. Rolls-Royce saw revenue spike 55% over the last 5 years and gained a net profit of $1.3 billion over the first half of 2011. "If you want to do complicated, high-value engineering, you've got to have a good supply of skilled people and support from governments," says Rolls-Royce CEO John Rishton. His strategy includes setting up facilities in expensive countries such as Germany, Norway, and Singapore. But even with generous pay, Rolls faces a shrinking pool of engineering talent that's being lured into finance and computers. Balancing skills and cost "is walking a tightrope," Rishton says. "We wrestle with those issues all the time." Read These Next The Air Force has changed its tune on Ashli Babbitt. Open that wallet big time for a trip to Disney, if you can afford it. Minneapolis shooter had a plan—and grievances. A 'tense' clash with RFK Jr. led to CDC chief's trouble. Report an error