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Chapter 4

Recruiting, Selecting & Training Stafffor International Assignments

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The global manager

Myth 1: There is a universal approach tomanagement.

Myth 2: People can acquire multicultural

adaptability and behaviors.Myth 3: There are common characteristics

shared by successful internationalmanagers.

Myth 4: There are no impediments to mobility.

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Expatriate Failure

Definition: Premature return of an expatriate

Under-performance during an internationalassignment

Retention upon completion

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Reason for Expatriate Failure

US Firms

Inability of spouse toadjust

Managers inability toadjust

Other family problems

Managers personal oremotional immaturity

Inability to cope withlarger overseasresponsibilities

US Firms

Inability of spouse toadjust

Managers inability to

adjust

Other family problems

Managers personal oremotional immaturity

Inability to cope withlarger overseasresponsibilities

Japanese Firms Inability to cope with

larger overseasresponsibilities

Difficulties with the newenvironment Personal or emotional

problems Lack of technical

competence Inability of spouse to

adjust

Japanese Firms Inability to cope with

larger overseasresponsibilities

Difficulties with the newenvironment Personal or emotional

problems Lack of technical

competence Inability of spouse to

adjust

European Multinationals: Inability of spouse to adjust.

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Costs of Expatriate Failure

Direct costs: Airfares

Associated

relocation expenses Salary and benefits

Training anddevelopment

Averaged $250,000per early return

Costs varyaccording to: Level of position

Country ofdestination

Exchange rates

Whether failed

manager is replacedby anotherexpatriate

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Indirect Cost of Expatriate Failure

Damaged relationships with keystakeholders in the foreign location

Negative effects on local staffPoor labor relationsNegative effects on expatriate

concerned

Family relationships may be affectedLoss of market share

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Factors Moderating Expatriate

Performance

Inability to adjust to the foreign culture

Length of assignment

Willingness to move

Work-related factors

Psychological contract/employmentrelationship

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International Assignments: Factors

Moderating Performance

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The Phases of Cultural Adjustment

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The Phases of Adjustment

The U-Curve is not normative

The time period involved varies betweenindividuals

The U-Curve does not explain how and whypeople move through the various phases

It may be more cyclical than a U-Curve

Needs to consider repatriation

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Why consider the psychological

contract?

Nature, location and duration of aninternational assignment may provokeintense, individual reactions to perceived

violations Expatriates tend to have broad, elaborate,

employment relationships with greater

emphasis on relational nature Expectations and promises underpin this

relationship

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Selection Criteria

Technical ability

Cross-cultural suitability

Family requirementsCountry-cultural requirements

MNE requirements

Language

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Using Traits and Personality Tests to

Predict Expatriate Success

Although some tests may be useful insuggesting potential problems, there may belittle correlation between test scores andperformance

Most of the tests have been devised in theUnited States, thus culture-bound

In some countries, there is controversy aboutthe use of psychological tests ( differentpattern of usage across countries)

Use of personality traits to predict interculturalcompetence is complicated by the fact thatpersonality traits are not defined andevaluated in similar way in different cultures

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Factors in Expatriate Selection

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Harris and Brewsters Selection Typology

Formal Informal

Open Clearly defined criteria

Clearly defined measures

Training for selectors

Open advertising of vacancy

(internal/external)

Panel discussions

Less defined criteria

Less defined measures

Limited training for selectors

Open advertising of vacancy

Recommendations

No panel discussions

Closed Clearly defined criteria

Clearly defined measures

Training for selectors

Panel discussions

Nominations only (networking/reputation)

Selectors individual preferences

determine selection criteria and measures

No panel discussions

Nominations only (networking/reputation)

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Solutions to the Dual-career Challenge

Alternative assignment arrangements Short-term Commuter

Other (e.g. unaccompanied, business travel,virtual assignments)

Family-friendly policies Inter-company networking Job-hunting assistance Intra-company employment On-assignment career support

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Barriers to Females Taking

International Assignments

External Barrier Self-established Barriers

HR managers reluctant to

select female candidates Culturally tough locations or

regions preclude female

expatriates

Those selecting expatriates

have stereotypes in theirminds that influence decisions

Some women have limited

willingness to relocate The dual-career couple

Women are often a barrier to

their own careers by behaving

according to gender based

role models.

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Chapter 4

Training andDevelopment

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Chapter Objectives

Training aims to improve employees current work skillsand behavior, whereas development aims to increaseabilities in relation to some future position or job.

In this chapter, we examine how the internationalassignment is a vehicle for both training anddevelopment, as reflected in the reasons whyinternational assignments continue to play a strategicrole in international business operations.

The role of training in preparing and supportingpersonnel on international assignments is alsoconsidered. We examine the following issues:

(cont.)

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Chapter Objectives (cont.)

The role of training in supporting expatriate adjustmentand on-assignment performance.

Components of effective pre-departure training programssuch as cultural awareness, preliminary visits and

language skills. Relocation assistance and training fortrainers are also addressed.

The effectiveness of pre-departure training.

The developmental aspect of international assignments

and its relation to international career paths. Training and developing international management teams.

(cont.)

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Chapter Objectives (cont.)

Reflecting the general literature on this topic, the

focus of the chapter is on the traditional,

expatriate assignment. However, where possible,

we will draw out training and development

aspects relating to short-term assignments, non-

standard assignments and international business

travelers.

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International Assignments as a

Training and Development Tool

Expatriates are trainers

Expatriates show how systems andprocedures work, ensure adoption, andmonitor performance of HCNs

International assignments are a form of jobrotation to gain a broader perspective

management development, and to assist indeveloping a pool of capable globaloperators.

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International Training and Development

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Components of Effective Pre-departure

Training

Cultural awareness programs

Preliminary visits

Language training

Practical assistance

Training for the training role

TCN and HCN expatriate training

Non-traditional assignments and training

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The Mendenhall, Dunbar and Oddou

Cross-cultural Training Model

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Cultural Awareness Training and

Assignment Performance

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Language Training

The role of English as the language ofworld business

Host country-language skills andadjustment

Knowledge of the corporate language

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The Impact of Language on Power

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Practical Assistance

Information that assists relocation

Assistance in finding suitable

accommodation and schoolingFurther language training

Makes an important contribution to

adaptation of expatriate andaccompanying family members to thehost location

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Effectiveness of Pre-departure Training

Limited data on how effective such training is andwhat components are considered most essential: Use of mixture of methods makes evaluation of

which method is most effective difficult to isolate Large diversity of cultures involved

What works for one may not work for another

Complex jobs in multiple cultural contexts

Integrated cross-cultural training exhibited culturalproficiency earlier and appeared to have greaterjob satisfaction than those with lesser training.

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Developing Staff through International

Assignments

Management Development Individuals gain international experience

which assists career progression Multinational gains through having a

pool of experienced operators on whichto draw for future international

assignments

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Developing Staff through International

Assignments

Organizational Development Accumulating a stock of knowledge,

skills and abilities

Developing a global mindset

Expatriates as agents of direct controland socialization in the transfer of

knowledge and competence.

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How international teams benefit the

multinational

Fosters innovation, organizational learningand transfer of knowledge

Assists breaking down of functional andnational boundaries

Encourages diverse inputs

Assists in developing broader perspectives

Develops shared values

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Developing International Teams through

International Assignments