global careers: personal and organizational challenges and rewards
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Global Careers: Personal and Organizational Challenges and Rewards. Dr. Margaret Shaffer University of Wisconsin Milwaukee. WERC September 19, 2012. Agenda. Global careers in perspective Global career alternatives Personal challenges and rewards Organizational challenges and rewards - PowerPoint PPT PresentationTRANSCRIPT
Global Careers: Personal and Organizational Challenges and Rewards
Dr. Margaret ShafferUniversity of Wisconsin Milwaukee
WERC September 19, 2012
Agenda
• Global careers in perspective • Global career alternatives• Personal challenges and rewards• Organizational challenges and rewards• Research trends and opportunities
Global Bingo
Exercise
Global Bingo
• Goals: Assess global knowledge; create awareness of global complexities; emphasize the importance of shared knowledge in global settings; get to know each other better; have fun; and win prizes
• To win, have five correct answers down, across, or diagonally• You may not answer the questions on your own bingo board• Find someone who can answer a question, have him/her initial
the box and fill in the answer without stating the answer aloud• Obtain no more than two answers from any one person• When you have five down, across, or diagonally, yell “Global
Bingo!”
Global Careers
Short-termAssignees
GlobalDomestics Frequent
Flyers
Commuters
VirtualTeamMembers
Alternativesto Corporate Expatriates
Self-initiated Expatriates
Flex-patriates
Corporate Expatriates Self-Initiated Expatriates
Purpose Managerial controlSkill/technology transferManagement development
Personal developmentCareer development
Duration Usually 12-36 months Varies (short-term to permanent)
Location 1 country 1 country
Relocation With family With or without family
Advantages Professional and personal developmentRelationship building and integration with host country nationalsGlobal boundary-spanner
Professional and personal developmentRelationship building with host country nationals
Disadvantages ExpensiveLack of flexibilityFamily adjustment problemsSeparation from extended family
Personal risk/expenseContractual obligationSeparation from extended family
Comparison of Expatriates
Comparison of Global Travelers and Global DomesticsShort-term Assignees Flexpatriates
Purpose Skill/technology transferProblem solvingManagement controlManagement development
Project-basedProblem solvingSkill/technical transfer
Duration Usually 3-12 months Usually 1-2 months
Location 1 or few countries Multiple countries
Relocation Usually without family Without family
Advantages Flexibility and simplicityCost effectivenessGlobal boundary-spanner
Flexibility and simplicityCost effectivenessGlobal boundary-spannerGlobal perspective
Disadvantages Separation stress – alcoholism, divorce, health issuesLack of integration with host country nationals
Separation/travel stress – alcoholism, divorce, health issuesTime zone differencesLack of social integration at home and host locations
Comparison of Global Travelers and Global DomesticsIBTs Global Domestics
Purpose Knowledge-transferNegotiationsDiscussionsMeetings or conferences
Service providerBuyer of products/suppliesLogistics manager
Duration Usually 1-2 weeks None or limited trips
Location Multiple countries 1 or multiple countries
Relocation Without family None
Advantages Flexibility and simplicityMost cost effectiveGlobal boundary-spannerRelationship maintenance with home-country colleagues
Flexibility and simplicity
Disadvantages Separation/travel stress – alcoholism, divorce, health issuesTime zone differencesHost country relationships limited to work colleagues
Lack of global perspectiveDifficult to develop relationships with those in other countries
Brookfield Global Relocation Services 2012
Assignment Policies Currently in Place
Other
Virtual Teams
Developmental
Rotational Assignments
Commuter
Local Hires
Extended Business Travel
Localization of Expatriates
1-Way Move
Short-term Assignments
Long-term Assignments
0% 20% 40% 60% 80% 100% 120%
8%
3%
18%
18%
26%
22%
25%
35%
44%
86%
96%
Brookfield Global Relocation Services 2012
Future Assignment Policies under Consideration
Other
Rotational
Developmental
One-way Moves
Commuter
Localization of Expatriates
0% 5% 10% 15% 20% 25% 30% 35% 40%
14%
5%
13%
28%
27%
25%
24%
33%
20%
22%
36%
INTERNATIONAL ASSIGNMENTS
Who and Where
Profile of International Assignees• 80% are male• Ages
– 13% are 20-29 years old– 31% are 30-39 years old– 34% are 40-49 years old– 19% are 50-59 years old– 3 % are 60+
• 79% have not had any expatriate experience• 89% were already employed by the company • 60% are married• 43% took children on the assignment• 81% of those married had spouse/partner accompany them on
assignment
Assignment DestinationsTop Locations Emerging New Locations Most Challenging
Locations
United States Chili China
China Brazil Brazil
United Kingdom Australia India
Singapore India Russia
Germany Russia United States
Australia South Africa United Kingdom
Global Careers and the Individual
Challenges and Rewards
Major Personal Challenge:Cross-Cultural Adjustment• Anticipatory adjustment influenced by pre-departure
training, previous experience with same country or similar culture
• In-country adjustment affected by ability to maintain a positive outlook under high pressure, interact well with HCN’s, understand cultural values and norms, handle job responsibilities, adapt to organizational culture, self and family’s ability to handle new culture, and expat’s ability to “get along” in organization
Expatriate Challenges
• Adjustment– Work– Interaction– Cultural
• Spouse adjustment• Global knowledge, skills and
abilities
Low
High
1 2 3 4 5 6Months in a New Culture
Moo
d
Expatriate Failure
• Failure – Return home early– Poor performance– Poor adjustment
• Cost of failure can be quite high – relocation and replacement costs, damage to reputation, lost business, etc.
Causes of Assignment Failure
• Spouse/partner dissatisfaction• Other family concerns• Job does not meet expectations• Inability to adapt• Inadequate job performance• Poor candidate selection
Expatriate Re-Entry
• Reverse culture shock• Readjustment problems– New position constitutes a demotion– Lack of opportunity to use skills learned abroad– Salary and benefits may decrease– Others do not relate to foreign perspective
• Up to 25% of returning expats leave the company within one year after returning
Transition Strategies
• To facilitate adjustment – Individual and firm agree upon the length of
the tour of duty– Mutually agreeable job identified for expatriate
return• Keep expatriate involved in home office
communication and projects while s/he is abroad• Proactive strategy that provides an effective
support system to allay concerns about career issues
Global Careers:Personal Rewards• Personal growth and development• Greater self-confidence• Increased autonomy and responsibilities• Global mindset• Transferable skills• Faster promotions
Global Careers and the Organization
Challenges and Rewards
Purposes of Expatriate Assignments • Fill a skills gap (technical or managerial)• Build global relationships• Craft a common corporate identity and culture• Market products• Transfer technology to foreign subsidiaries• Provide managers with international experience• Reward long-time employees• Provide better on-site control of foreign operations
Organizational Challenges
• Broader and more flexible perspective• More involvement in employees’ lives• Greater exposure to problems and difficulties• Greater exposure to external influences• Greater complexities in all areas of human resource
management
Female Expatriates• Less than 20% of expatriates are female• Female expatriates have lower failure rates than
males– Males: 10-40%– Females: 3%
• More difficult to get the job than to do the job• Female expatriates are seen as foreigners first and
as women second• Treated with the same respect as male expatriates• Being a female can sometimes be an advantage
Dual-Career Couples
• More employees are refusing int’l assignments because of spouse employment– Loss of spouse’s income– Derailment of spouse’s career
• MNCs have to select from a diminishing pool of qualified applicants
Strategic Responses for Dealing with Dual-Career Challenges
• Intercompany networking• Job-hunting assistance• Intracompany employment• Support for commuter marriages• On-assignment career support
Critical Assignment Management Challenges
Return on investment
Lack of mobility technology
Complex administration program
Mobility team resources
Inability to use experience
Compliance
Retention of repatriates
Careerm management
Controlling policy exceptions
Cost of assignment
0% 2% 4% 6% 8% 10% 12% 14%
4%
4%
4%
6%
6%
7%
9%
9%
11%
13%
Brookfield Global Relocation Services 2012
Initiatives to Improve Expatriate ROI
Web-based CC Training
Company Intranet
Mandatory Destination Support
Recognition/Communication During Assignment
Mentoring
Mandatory Cross-cultural Training
Assignment Preparation
Communication of Objectives
Career Planning
Candidate Selection/Assessment
0% 5% 10% 15% 20% 25% 30% 35%
1%
1%
1%
5%
5%
5%
9%
20%
23%
30%
Organizational Rewards
• Pool of experienced international employees• Accumulation of international knowledge, skills and
abilities• Global mindset among management team• Control over subsidiaries• Transfer of knowledge and competence to
subsidiaries
The Global Employee Mobility (GEM) Project
Global Work Experiences – Research and Practice
The Global Employee Mobility Project• Aim is to improve the success of global employees• Consortium of academics from around the world• Research on all forms of global work experiences– Expatriates/repatriates– Short-term assignees– Flexpatriates– International Business Travelers (IBTs)– Global virtual team members– Global domestics
Taxonomy of Global Work Experiences
High
Low
High
LowLow High
GlobalDomestics
Global VirtualTeamMembers
InternationalBusinessTravelers
Flexpatriates
Self-InitiatedExpatriates
CorporateExpatriates
Degree ofCognitiveMobility
Degree ofBoundaryIntegration
Global Work Experiences
Degree of Physical Mobility
Short-term Assignees
Dimensions of Global Work• We define global work experiences along three
dimensions that identify unique requirements of the different types of global work experiences: – Physical mobility - degree to which the work role requires
the global employee to travel, or relocate, internationally – Cognitive flexibility - the degree to which the global work
requires role incumbents to adjust their thought patterns and scripts to effectively interact with people and adapt to situational demands across cultures.
– Non-work disruption – the degree to which the work role requirements disrupt or interfere with the employee’s normal activities and routines outside of work.
Choices, Challenges, and Consequences of Global Work
Choices Challenges Consequences
• Country and family considerations
• Intrinsic and extrinsic motivators
• Personal characteristics
• Safety concerns
Pers
onal
Org
aniz
atio
nal
• Selection criteria• Fit between employee
and global work experience type
• Incentive plans• Preparing employees
for global work
• Adjustment and coping with stress
• Work and nonwork demands
• Inter-cultural relationships
• Identity transformation
• Support resources for employees and families
• Transition management
• Career management• Employee engagement
• Satisfaction• Well-being• Career progression • Development of global
competencies
• Performance• Retention• Utilization of global
competencies • Work goal attainment
Firm Participation
• Provide survey access to– Global employees– Spouses/partners and colleagues (if possible)
• Benefits– Summary of survey results– Suggestions for improving global work experiences