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factors in expatriate selections.
Transcript of factors in expatriate selections.
International Human Resource Management BM025-3-3-INHRM
Individual assignment
Mohamed Naufal Al Masri Page 1
International Human Resource Management BM025-3-3-INHRM
Contents1.0 Introduction...................................................3
2.0 Technical ability..............................................43.0 Cross-cultural suitability.....................................5
4.0 Family requirements............................................64.0 Country/cultural requirements..................................7
5.0 Language ability...............................................76.0 Multinational enterprise (MNE) requirements....................8
7.0 Conclusion.....................................................88.0 References.....................................................9
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1.0 IntroductionThe word Expatriate means an individual living in a country
other than their country of citizenship, often temporarily and
for work reasons. An expatriate can also be an individual who
has relinquished citizenship in their home country to become a
citizen of another. Expatriates are able to play tremendously
significant roles during worldwide assignments. The
internalization of business has resulted in the increasing use
of expatriates by organization to fulfil a variety of
functions in their offshore operations. The effective
management of such personnel has been the focus of
considerable attention of Human Resource Management (IHRM)
literature, (Suutari and Brewster, 2000).
To achieve competitive advantage in an increasingly global
economy, organization from both the private and public sector
need to view the selection management or criteria of
expatriates as a critical part of their international human
recourse management strategy. Taking an expatriates assignment
no longer automatically leads to a promotion on return.
Individual now need to network and be proactive in determining
their own path forward.
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The organisations strategic positions and vision should
take the view on international human resource management and
how it can be integrated into the organisation. "According to
Dowling and Schuler, (1990) selection is the process of
gathering information for the purpose of evaluating and
deciding who should be employed in a position."
For the human resource practitioner in charge, it can
be challenging to determine what selection criteria to use
when selecting employees for international assignments. The
factors involved in the expatriation selection is, 1)
Technical Ability 2) Cross-Cultural Suitability 3) Family
Requirements 4) Organisation-Specific Requirements 5) Language
and 6) MNE requirements. These factors are all related so they
should not be revised separately. Technical Ability, Cross-
Cultural Suitability and Family Requirements, are the factors
related to the individual, and the Organisation-Specific
Requirements, Language and MNE requirements
are mostly influenced by the working situation they need
to enter.
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Figure 1: show factors in expatriate selections.
Source: Adapted from Doweling & Welch, 2004, p 98
2.0 Technical abilityKindly, the person’s ability to perform the required
terms is an important consideration. Technical and managerial
skills are therefore an essential criterion. Indeed, research
findings consistently indicate that multinationals place heavy
reliance on relevant technical skills during the expatriate
selection process. This is not surprising given that ‘position
filling’ is the most common reason for an international
assignment. Reinforcing the emphasis on technical skills is
the relative ease with which the multinational may assess the
candidate’s potential, as technical and managerial competence
can be determined on the basis of past performance. Since
expatriates are predominantly internal recruits, personnel
evaluation records can be examined and checked with the
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candidate’s past and present superiors. The dilemma though is
that past performance may have little or no bearing on one’s
ability to achieve a task in a foreign cultural environment,
(M. Birdseye and J. Hill, 1995).
However, the assessment of the potential candidate is
usually based on their previous working experience, where
statements and evaluation records from the candidates
superiors is available. When the candidate needs to solve a
problem in a new international business environment, it must
be noted that experience is not that serious. Technical
abilities are fundamentally the knowledge required to carry
out a task; technical abilities is associated to the working
of tools. An example of technical abilities can be that
financial managers need to make use of business appraisal
tools to assess and set up financial statements like the
income statement and balance sheet, (M. Birdseye and J. Hill,
1995).
3.0 Cross-cultural suitabilityAccording to Dowling and Welch, (2004) important things
to consider when assessing the candidates cross-culture
suitability, is language skills, culture empathy, the attitude
toward new cultures and the level of personnel and emotional
stability." In practice, it is not easy to evaluate the cross-
culture suitability of a candidate as it
is hard precisely know what factors should be included. The
multinational enterprise (MNE) emphasizes the importance of
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expatriate’s abilities to create and maintain
a natural relationship, but means to measure such abilities is
not always accurate enough. Efficient relationships for
example, an analysis of the hypothesis that culture with
evident male dominance is more belligerent and it can be
perplexed, because the mock-up of cultures is not autonomous.
In addition, while inter-cultural competence is
recognized as important, it is difficult to precisely define
what this comprises, let alone assess a candidate’s
suitability in this regard. One has to take into consideration
aspects such as the individual’s personality, attitude to
foreigners, ability to relate to people from another cultural
group and so on. Multinationals may indicate that, for
example, relational abilities are an important expatriate
selection criterion, but few will assess a candidate’s
relational ability through a formal procedure such as
judgement by senior managers or psychological tests. As we
will discuss shortly, testing procedures are not necessarily
the answer.
Cross-cultural competence also comes into play in
management styles. Expatriates may soon discover that
participative management is not always the best method to use
in their new setting. This different is particularly profound
in hierarchical societies, where asking for input in front of
colleagues may be viewed with suspicion, and as a possible
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ploy to either catch people who don't know the right answer or
setting them up to "lose face."
Finally, successful expats typically accept their new
host culture and become less affected by the cultural
differences. They become more comfortable dealing with
unfamiliar situations and more tolerant of cultural habits
that they may previously have been disturbed by. In the Middle
East, for example, one will observe veteran male Western
expats greeting their Arab colleagues with the familiar light
slapping of the other person's hand before shaking hands
rather than insisting on the typical Western handshake. On the
other hand, the customs of rubbing of noses and male kissing
of some Arab men is probably best left to the locals, P.
Caligiuri,(2000).
4.0 Family requirementsThe contribution that the family, particularly the
spouse, makes to the success of the overseas assignment is now
well documented, as we mentioned above in relation to the
impact of the accompanying spouse/partner on early return.
Despite the importance of the accompanying spouse/partner.
From the multinational’s perspective, expatriate performance
in the host location is the important factor. However, the
interaction between expatriate, spouse/partner and family
members’ various adjustment experiences is now well
documented. It should be pointed out the spouse (or
accompanying partner) often carries a heavy burden. Upon
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arrival in the country of assignment, the responsibility for
settling the family into its new home falls on the spouse, who
may have left behind a career, along with friends and social
support networks (particularly relatives), M.A. Shaffer and
D.A. Harrison,(2001).
In developing countries the employment of house servants
is quite common but this is an aspect of international living
that many Westerners from developed countries such as U.S have
some difficulty adjusting to. It is often not possible for the
spouse/partner to work in the country of assignment and the
well-being and education of the children may be an ongoing
concern for the spouse. Though the majority of spouses are
female, accompanying male spouses/partners face similar
problems of adjustment. In fact, when one adds cultural
adjustment problems to such a situation, it is perhaps not so
surprising to find that some couples seek to return home
prematurely, (M. Harvey, 1985).
4.0 Country/cultural requirementsIncreasingly, multinationals are finding that the
inability of the spouse to work in the host country may cause
the selected candidate to reject the offer of an international
assignment. If the international assignment is accepted, the
lack of a work permit for the accompanying spouse or partner
may cause difficulties in adjustment and even contribute to
failure. For these reasons, as reported above, some
multinationals provide assistance in this regard.
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Further, the host country may be an important
determinant. Some regions and countries are considered
‘hardship postings’: remote areas away from major cities or
modern facilities; or war-torn regions with high physical
risk. Accompanying family members may be an additional
responsibility that the multinational does not want to bear.
There may be a reluctance to select females for certain South
East Asian regions such as China, Saudi Arabia and other
totalitarian Islamic States in the Middle East and in some
countries a work permit for a female expatriate will not be
issued. These aspects may result in the selection of HCNs
rather than expatriates.
5.0 Language ability Language skill is a significant factor, knowledge of the
host country’s language can be considered essential for many
top level management positions, along with the aptitude to
communicate successfully. Knowledge of the host country’s
foreign language helps the expatriates and their
families/spouse feel more contented in the new
environment. When adopting a corporate language, which is
different from what the, expatriate local, language, is
a fundamental that language skills need to be viewed as
selection criteria.
The ability to speak the local language is an aspect
often linked with cross-cultural ability. However, we have
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chosen to stress language as situation-determined in terms of
its importance as a factor in the selection decision. Language
skills may be regarded as of critical importance for some
expatriate positions, but lesser in others, though some would
argue that knowledge of the host country’s language is an
important aspect of expatriate performance, regardless of the
level of position. Differences in language are recognized as a
major barrier to effective cross-cultural communication, (New
York: HarperCollins, 1992). Yet, in terms of the other selection criteria they have
examined above, from the multinational’s perspective, language
is placed lower down the list of desirable attributes. For
example, the ORC Worldwide survey results rank language
ability as the fifth most important selection criteria. In the
past, US multinationals have tended to place a relatively low
importance on foreign language skills, For example, in a 1990
study of US multinationals, Fixman found that foreign language
skills were rarely considered an important part of
international business success, (C. Fixman, 1990).
6.0 Multinational enterprise (MNE) requirements
The MNE’s requirements have an enormous impact on the
decisions and which selection criteria to use. Training skills
are very important, so that expatriates can train locals and
emphasize negotiating skills in new international business
environments. The period of the assignment is another factor
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influencing family/spouse. “According to Harris and Brewster,
(1999) they suggested that international managers has many
similar characteristics as those managers working in less
complex environments, but are in need of additional skills
regarding to handle the problems that may arise
internationally.”
Technical abilities is an important factor in the case of
selecting international staff, it provides the employee with
the basic understanding of what is included in their tasks and
what they believe they are capable of doing. The multinational
enterprise (MNE) view the experience of expatriate as very
important, prolong experience is needed to have the
appropriate knowledge to develop a successful organisation.
7.0 ConclusionThe purpose of this study was to gain a better
understanding and knowledge of the selection criteria when
selecting international staff for international assignments.
The criteria for selecting expatriates have been discussed,
and it was noted that it does not differ much from the regular
employee selection process. In order for an international
organisation to operate successfully in a foreign country they
first need to selected an international strategy to enter the
international market/environment. Once the organisation as
entered the market they need to know what staffing approach is
best suitable to the strategy they are following. If the
organisation has determined there strategy and approach, they
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then have to take in consideration what criteria they are
going to make use of to select the best expatriate manager for
the international assignment. International organisations have
to take in consideration every aspect of selecting the
appropriate candidate, as the failure of expatriation can be
extremely expensive, A.L. Hixon,(1986).
8.0 References
Websites: UK Essays, A. A. 2014. Criteria For Selecting Staff For International
Assignments Management Essay. [online] Available at:
http://www.ukessays.com/essays/management/criteria-for-
selecting-staff-for-international-assignments-management-
essay.php [Accessed: 6 Jan 2014].
UK Essays, A. A. 2014. Expatriation. [online] Available at:
http://www.ukessays.com/essays/human-resources/expatriation
.php [Accessed: 6 Jan 2014].
Journals:
M. Birdseye and J. Hill, ‘Individual, Organizational/Work and
Environmental Influences on Expatriate Turnover Tendencies:
An Empirical Study’, Journal of International Business
Studies, Vol. 26, No. 4 (1995), pp. 787–813; and E.
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Naumann, “Organizational Predictors of Expatriate Job
Satisfaction”, Journal of International Business Studies,
Vol. 24, No. 1 (1993).
P.J. Dowling and D. Welch, ‘International Human Resource
Management: An Australian Perspective’, Asia-Pacific
Journal of Management, Vol. 6, No. 1 (1988).
P. Caligiuri, ‘The Big Five Personality Characteristics as
Predictors of Expatriate’s Desire to Terminate the
Assignment and Supervisor-rated Performance’, Personnel
Psychology, Vol. 53 (2000).
M.A. Shaffer and D.A. Harrison, ‘Forgotten Partners of
International Assignments: Development and Test of a Model
of Spouse Adjustment’, Journal of Applied Psychology, Vol.
86, No. 2 (2001).
M. Harvey, ‘The Executive Family: An Overlooked Variable in
International Assignments’, Columbia Journal of World
Business, Spring (1985), pp. 84–93.
D. Victor, International Business Communication (New York:
HarperCollins, 1992).
C. Fixman, ‘The Foreign Language Needs of US-based
Corporations’, ANNALS, AAPSS, Vol. 51 (September 1990), p.
25.
H. Harris and C. Brewster, ‘The Coffee-Machine System: How
International Selection Really Works’, International
Journal of Human Resource Management, Vol. 10, No. 3
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(1999).
M.G. Harvey, ‘The Impact of Dual-Career Families on
International Relocations’, Human Resource Management
Review, Vol. 5, No. 3 (1995).
A.L. Hixon, ‘Why Corporations Make Haphazard Overseas Staffing
Decisions’, Personnel Administrator, Vol. 31, No. 3 (1986).
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