RECRUITING AND SELECTING STAFF FOR INTERNATIONAL ASSIGNMENTS
1 Chapter Four Recruiting and Selecting Staff for International Assignments.
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Transcript of 1 Chapter Four Recruiting and Selecting Staff for International Assignments.
2
Chapter Learning Objectives
After reading this chapter, you should be able to:
• explain the myth of the global manager
• discuss the debate surrounding expatriate failure
• outline the factors moderating intent to stay or leave the international assignment
3
Chapter Learning Objectives
• list selection criteria for international assignments
• explain why dual-career couples can represent a barrier to staff mobility
• answer the question: Are female expatriates different?
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Chapter Vignette
Dual Career Couples: Trailing Spouse's Job Needs Start To Get More Company Time
Spouse/partner’s career :• a barrier to international assignments• adaptability and dual career management cause of failed
assignments• limited career planning
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Terms
recruitment
selection
effectiveness skills
coping skills
global manager
IA Phases: touristculture shockpulling upadjustment
direct costindirect cost
international assignment (IA)expatriate failure rate (EFR)common corporate language“coffee machine system”
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Recruitment
• is defined as searching for and obtaining qualified job candidates in sufficient numbers to fill job needs
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Selection
• gathering information for the purposes of evaluating and deciding who should be employed in particular jobs
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Major Differences Between Domestic
and International Staffing
• predispositions with regard to who should hold key positions (i.e. ethnocentric, polycentric, regiocentric and geocentric staffing orientations)
• constraints imposed by host governments (i.e. work visas and prefer local national employment)
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Global Manager Myths
1. There is a universal approach to management
2. People can acquire multicultural adaptability and behaviors
3. There are common characteristics shared by successful international managers
4. There are no impediments to mobility
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Global Manager
• a person who is comfortable operating
in diverse countries, cultures, and situations,
and can be transferred internationally
into different operations
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Global ‘Mindset’
• implies the ability to see beyond one’s own national and functional boundaries.
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Three Questions Related to Expatriate Failure
• its definition
• magnitude of the phenomenon
• costs associated with failure
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Expatriate Failure
• premature return, under-performance and
retention upon completion of the assignment
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Magnitude of the Phenomenon
• high failure rates; 30%-50% and higher
• foreign assignments increasing
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Costs Associated with Expatriate Failure
Direct costs
• airfares and associated relocation expenses
• compensation
• training
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Costs Associated with Expatriate Failure
Indirect costs
• difficulties with host‑government officials and clients
• changes to the multinational’s general staffing approach
• local employee morale and productivity
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Costs Associated with Expatriate Failure
Expatriate
• loss self‑confidence
• future performance may be impacted
• family relationships may be threatened.
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Reasons for Early Return
1. family concerns2. accepted new position in the company3. completed assignment early4. cultural adjustment challenges5. security concerns6. career concerns
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Expatriate Relocation Cultural Adjustment
Phase 1 • reactions prior to the assignment
• positive and negative emotions
• upswing of mood upon arrival
• homesickness sets in
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Expatriate Relocation Cultural Adjustment
Phase 2 • a critical time, individual copes with the psychological
adjustment • ‘failure as an early recall’ may be triggered at this point
Phase 3• person begins to adjust to the new environment.
Phase 4• recovery
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Length of Assignment
• a longer assignment allows the expatriate more time to adjust and become productive
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Willingness to Move
• reluctant expatriate or family members interpret events and situations encountered in the new environment negatively
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Work-environment Related Factors
Skill utilization was significantly related to • job satisfaction• organization commitment• intent to finish the international assignment
Moderators influencing expatriate turnover• job autonomy• perceived level of organizational support
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Technical Ability
• technical and managerial skills are essential criterion
• past performance has little bearing on one's ability to achieve a task in a foreign cultural environment
• easiest to measure
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Cross-Cultural Suitability
• cultural empathy• adaptability• diplomacy• language ability• positive attitude• emotional stability• maturity
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Family Requirements
Impact on spouse/partner/family
• early return• responsible for settling family• left career and social supports• concern for childrens education• care of aging parents• single parent
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MNE Requirements
• mode of operation
• assignment duration and type
• amount of knowledge transfer required
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Language
• speak the local language (fifth highest criteria)
• knowledge of countries and cultures
• common corporate language
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Use of Selection Tests
• lack of valid and reliable testing and screening devices
• little correlation between test scores and performance (ability to adjust to another culture)
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4 Dimensions for Successful Expatriate Selection
1. Self-orientedExpresses adaptive concern for self-preservation, self-enjoyment, mental hygiene.
2. PerceptualAccurately understands why host nationals behave the way they do.
3. Others-oriented Cares about host national co-workers and affiliates with them.
4. Cultural-toughness Able to handle the degree to which the culture of the host country is incongruent with that of the home country.
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Equal Employment Opportunity (EEO) Issues
• conflicting national laws on employment ( i.e. mandatory retirement and hiring ages)
• MNE ensure compliance of the different forms and levels of EEO, human rights and discrimination prevention legislations
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EEO Expressions of Societal Values
Canadian Women
• Employment Equity Act, Human Rights Code, Pay Equity
Middle East, African, Asian and Latin American Women
• perceived as lower class and not universally employed
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Assignment Letters
Standard Content• employment conditions (dates)• services to be performed• location and employer• compensation and medical coverage• taxation and housing• home visits• relocation supports ( i.e. maintenance of the existing
home, shipping of personal goods and cost of living allowances)
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Assignment Letters
Clarifying what happens if an international assignment does not work out
• employment laws that apply and violation procedures
• procedures dealing with cases of family illness
• employment opportunities for expatriates early return
• non-compete and clawback provisions
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Dual Career Couples
• emerging constraint on the available pool of candidates,
• a significant shift in thinking about the role of non-work aspects impinging on work-related matters.
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Alternative Assignment Arrangements
• short-term assignments
• commuter assignments
• other arrangements (assignments replaced by business
travel and virtual assignments)
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Family-Friendly Policies
• inter-company networking
• job-hunting assistance
• intra-company employment
• on-assignment career support
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Are Female Expatriates Different?
• female expatriates are under represented in international assignments because they face different international assignment issues (than their male counterparts)
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What Differentiates Female and Male Expatriates
• degree to which the moderators affect individual performance (technical ability, cross-cultural suitability and family requirements)
• value placed on cultural awareness training
• dual career issues a greater barrier for mobility
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Important Issues in Terms of Performance
• assignment location
• level of organization support
• spouse/partner satisfaction
• intercultural experiences
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Discussion Questions
1. What is the difference between a global manager and a global mindset?
2. Should multinationals be concerned about expatriate failure? If so, why?
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Discussion Questions
3. What are the most important factors involved in the selection decision?
4. Are female expatriates different?
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Case: The Reinhart Case
1. Was it the right decision in the first place for Terramundo to operate in a region that was well known for being controlled by FARC guerrillas, and where kidnapping was a very common way to fund FARC activities?
2. Did Reinhart do the right thing to get involved in the way described above and help his employee? What were Reinhart’s alternatives and options?
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Case: The Reinhart Case
3. What can companies operating in industries such as the mining or oil business do to protect their international assignees? What should be the role of
the HRM function?