Chapter 4Chapter objectivesChapter objectives (cont.)The global managerSlide 5Expatriate failureSlide 7Slide 8Slide 9Factors moderating expatriate performanceSlide 11Slide 12The phases of adjustmentSlide 14The employment relationshipSlide 16Organizational commitmentWhy consider the psychological contract?Selection criteriaSlide 20Mendenhall and Oddou ModelSlide 22Solutions to the dual-career challengeSlide 24Chapter summaryChapter summary (cont.)Slide 27Slide 28Slide 29Slide 30Chapter 4Recruiting and selecting staff for international assignmentsIBUS 618 Dr. N YangChapter objectivesthe myth of the global managerthe debate surrounding expatriate failure(cont.)In Part I, we demonstrated how people play a central role insustaining international operations. As international assignments are an important vehicle for staffing, it is critical that they are managed effectively, and the expatriates are supported so that performance outcomes are achieved. The focus of this chapter, then, is on recruitment and selection activities in an international context. We will address the following issues: IBUS 618 Dr. YangChapter objectives (cont.)factors moderating intent to stay or leave the international assignment selection criteria for international assignmentsdual-career couplesare female expatriates different?IBUS 618 Dr. N YangThe global managerMyth 1: there is a universal approach to managementMyth 2: People can acquire multicultural adaptability and behavioursMyth 3: There are common characteristics shared by successful international managersMyth 4: There are no impediments to mobility IBUS 618 Dr. N YangTable 4-1: Current expatriate profileIBUS 618 Dr. N YangExpatriate failureDefinition: Premature return of an expatriateNow recognized that under-performance during an international assignment, and retention upon completion, should be includedIBUS 618 Dr. N YangExpatriate failureWhat is the magnitude of the phenomenon?Suggestion of a falling rate compared with early (1980s) studiesEvidence is somewhat inconclusiveDiscussion about its magnitude has drawn attention to expatriate failure and prompted considerable research into its causesIBUS 618 Dr. N YangExpatriate failureDirect costs of failure: airfares, associated relocation expenses, and salary and trainingVaries according to level of position concernedCountry of destinationExchange ratesWhether ‘failed’ manager is replaced by another expatriateIBUS 618 Dr. N YangExpatriate failureIndirect costs (invisible)Damaged relationships with key stakeholders in the foreign locationNegative effects on local staff Negative effects on expatriate concernedFamily relationships may be affectedIBUS 618 Dr. N YangFactors moderating expatriate performanceInability to adjust to the foreign cultureLength of assignmentWillingness to moveWork-related factorsPsychological contractIBUS 618 Dr. N YangFigure 4-1: International assignments: factors moderating performanceIBUS 618 Dr. N YangFigure 4-2: The phases of cultural adjustmentIBUS 618 Dr. N YangThe phases of adjustmentThe U-Curve is not normativeThe time period involved varies between individualsThe U-Curve does not explain how and why people move through the various phasesIt may be more cyclical than a U-CurveNeeds to consider repatriationIBUS 618 Dr. N YangFigure 4-3: The dynamics of the employment relationshipIBUS 618 Dr. N YangThe employment relationshipThe nature of the employment relationshipRelational: broad, open-ended and long-term obligationsTransactional: specific short-term monetized obligationsThe condition of the relationshipIntact: when employee considers there has been fair treatment, reciprocal trustViolated: provoked by belief organization has not fulfilled its obligationsIBUS 618 Dr. N YangFigure 4-4: Likelihood of exitIBUS 618 Dr. N YangOrganizational commitmentAffective component: employee’s attachment to, identification with and involvement in, the organizationContinuance component: based on assessed costs associated with exiting the organizationNormative component: refers to employee’s feelings of obligation to remainIBUS 618 Dr. N YangWhy consider the psychological contract?Nature, location and duration of an international assignment may provoke intense, individual reactions to perceived violationsExpatriates tend to have broad, elaborate, employment relationships with greater emphasis on relational natureExpectations and promises underpin this relationshipIBUS 618 Dr. N YangSelection criteriaTechnical abilityCross-cultural suitabilityFamily requirementsCountry-cultural requirementsMNE requirementsLanguageIBUS 618 Dr. N YangFigure 4-5: Factors in expatriate selectionIBUS 618 Dr. N YangMendenhall and Oddou ModelSelf-oriented dimensionPerceptual dimensionOthers-oriented dimensionCultural-toughness dimensionIBUS 618 Dr. N YangTable 4-2: Harris and Brewster’s selection typologyIBUS 618 Dr. N YangSolutions to the dual-career challengeAlternative assignment arrangementsShort-termCommuterOther (eg. unaccompanied, virtual)Family-friendly policiesInter-company networkingJob-hunting assistanceIntra-company employmentOn-assignment career support IBUS 618 Dr. N YangTable 4-3: Barriers to females taking international assignmentsIBUS 618 Dr. N YangChapter summaryFour myths related to the concept of a global manager – that there is a universal approach to management; that people can acquire multicultural adaptability and behaviors; that there are common characteristics successful international managers share; and that there are no impediments to mobility.The debate surrounding the definition and magnitude of expatriate failure.(cont.)This chapter has addressed key issues affecting recruitment and selection for international assignments. We have covered:IBUS 618 Dr. N YangChapter summary (cont.)Cultural adjustment and other moderating factors affecting expatriate intent to stay and performance. These included duration of the assignment, willingness to move, work-related factors and the employment relationship.Individual and situational factors to be considered in the selection decision. Evaluation of the common criteria used revealed the difficulty of selecting the right candidate for an international assignment and the importance of including family considerations in the
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