Professional Documents
Culture Documents
organizations objective
2.
3. 4. 5. 6.
Identify top management talent early Identifying critical success factors for future international managers Providing developmental opportunities Tracking and maintaining commitments to individuals in their international career paths Tying strategic business plans to HRP and vice-versa Dealing with multiple business units while attempting to achieve globally and regionally focused strategies
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Staffing MNCs
Managing expatriate s
Female expatriate s
Staffing MNCs
Stage in Host Units life cycle Setting up the host unit (0 to 912months) Extremely critical phase in the subsidiarys evolution time consuming, multiple interviewing round expensive as it might involve travel to parent country for final interview and discussions Staffing impetus Hiring headcoun ts Normally 5-20 Staffing Approach
Role of Parent MNC Closely and carefully monitored by the parent MNC, literally handpicke d
Focused Staffing challenges Top and Senior management positions is the focus
Staffing MNCs
Stage in Host Units life cycle Establishing the technology team to begin core operations activities (6months 1.5 years) Apply stringent hiring techniques, building a preferred employer brand, offering high-end compensation to attract the desired talent, careful screening to ensure top quality hires Staffing impetus Hiring headco unts 20-200 Staffing Approach Poly centric approach is preferred as the unit sets up its own operational unit Processes emulate from local market to get access to local talent
Role of Parent MNC Role of Parent unit is somewhat reduced as the responsibility of the newly structured unit takes place.
Unit staffing challenges are stepped up. Selection criteria focus on very high quality technical competency levels Common vendor linkages with Placement Consultants and RPOs.
Staffing MNCs
Stage in Host Units life cycle Full blown operations of the host unit with significant role in establishing global objectives and targets (1.5 -3yrs) Using multiple sourcing vendors and methods, Moderated compensation, Staffing impetus Hiring headcounts Varies between 200- 1000 Depending upon nature of the business. Staffing Approach
Role of Parent MNC Role of parent country is minimal. Focus on Global Framework for hiring using global selection tests Leaving rest to the unit Mangers.
Increased staffing challenges as hiring targets get aggressive, Numbers become a critical success determinant for recruitment Competencies receive reduces focus as in house skill development initiatives are established. Newer linkages& with third party like Colleges, vocational Institutes and training Institutions and fresher hiring
Staffing MNCs
Stage in Host Units life cycle Strong Operational leadership at the unit level while globally consolidating with Parent Staffing impetus Hiring headcounts Hiring head count are steeper between 2001000 depending upon nature of the business. Staffing Approach Distinctly polycentric approach,
Move to Volume hiring as units global contributions are clear. Referral hiring Establishing long term liaisons with educational training institutions
Role of Parent unit is at a strategic level, taking Could get decisions to in to optimize global geocentric operating approach as costs. labor costs provide the competitive advantage for the achievement of global objectives.
Staffing MNCs
Orientation
Ethnocentricism
Approach
Parent company/ country nationals PCNs are employed at all senior and key positions. Local employees fill only lower level and supporting jobs
Advantages
Transfer of parent company goals, objectives and know how /technology Ensures control and coordination with HQ
Polycentricism
Familiarity with business practices, socio-economic, political and legal environment Lower cost of staffing Effective localization of the subsidiary's operations
Communication challenges in dealing with parent country personnel Challenges in effective control and coordination over subs operations Lack of parent company nationals to gain international and cross cultural 9 exposure
Staffing MNCs
Orientation
Geocentricism
Approach
The multinationals TCNs runs the subsidiary as a independent entity. Focus building a center of excellence at a global level. Hiring the best person for the job.. could be a third country national
Advantages
Globally competent personnel Exposure to global best practices
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Staffing MNCs
own country of origin.
With
Managing expatriates
increasing globalization more and more employees work overseas and have expats on their payroll.
Recruiting
expats success depends on identifying potential expats: and passion for working on overseas assignment multiculturist, multilinguist, mulitfucntionalist, background,
Willingness Explore
overseas
Family
background
Local
Cost
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Expats in India
Market
leaders like Nokia, LG, Suzuki, IBM and Samsung have seen the number of expats in their Indian subsidiaries swell. Nokia has nearly 100 Finns at key positions in India. Samsung has 25 Koreans LG has 30 Koreans Maruti has 15 Japanese Huawie has approx.125 Chinese working at their offices in India.
Managing expatriates
1. Technical Competencies : ability to work independently with minimal dependence on parent company for day to day activities 2. Relational Skills : ability to interact effectively with peers, superiors, team members and clients/customers in a third country with its nationals as well as with the parent company nationals. 3. Ability to cope with Environmental variables : awareness and
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Skills or Competencies
Job Performance Marital Status
Skills or Competencies
Job Performance Marital Status
Skills or Competencies
Job Performance Marital Status
Job Performance
Job Level
Language ability
Language ability
* ORC Worldwide 2002 , Worldwide survey of International Assignment Policies and Practices
Managing expatriates
Others Orientations Expats ability to interact with host citizens Build close relationships Acculturate more easily in over
Perceptual Dimension Ability to understand and appreciate why foreign nationals behave the way they do Ability to make correct attributions about the reasons or causes of host nationals behavior
Cultural Toughness Dimension How culturally different is the host country from the expats own country determines the degree of cultural toughness The lesser the difference the lower is the cultural toughness
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Managing expatriates
Relational Dimension
Tolerance for Ambiguity
Behavioral flexibility Nonjudgementalism Cultural empathy and low ethocentricism Interpersonal skills
Motivational State
Belief in the mission
Congruence with career path Interest in overseas experience Interest in specific host country culture Willingness to acquire new patterns of behavior and attitudes
Family Situation
Willingness of spouse to live abroad
Adaptive and supportive spouse Stable marriage
Language Skills
Host country language
Non-verbal communication
Administrative competency
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means that the assignee returns to the home country or resigns from the job before the international assignment is completed. Globally, the expat failure rate varies between 25% and 40% and differs from country to country. Many of the US based MNCs, have 10% to 40% failure rates. Its less than 5% in Japanese and European organisations.
Organisations
Inability of spouse to adjust Managers inability to adjust Other family reasons Managers personal or emotional maturity Inability to cope with larger international responsibilities.
Japanese
Organisations
Inability to cope with larger international responsibilities. Difficulties with new environment Personal or emotional problems Lack of technical competence Inability of spouse to adjust
Managing expatriates
Mood
Low
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Managing expatriates
1. Design a job that maximizes role clarity, minimizes role conflict and compensates for role novelty with proper selection if a candidate with a high level of international experience 2. Use discerning measures for selection of international employees and their companion 3. Educate native and foreign employees in intercultural communication competencies 4. Provide opportunity for language lessons 5. Provide a technical assistant to help with the details of starting life in a different culture 6. Create open, frequent communication with the home organization to dispel feelings of abandonment and to ensure a favorable position upon returning 7. Create opportunities for positive social interactions in order to communicate and become better acquainted with host 20 country members and with host country
Staffing MNCs
Female expatriates
Lack of Motivation: there is a perceived lack of motivation for female employees to relocate internationally Stereotyping : common impression that women are best fit to work in their own countries Capabilities : include skills and rescission to cope with stress while they score well on all of the critical competencies and score particularly high on relational skills Organizational Process : include the diversity orientation of the organization, superior-subordinate relationship and home country selection processes for international assignments Host Country limitations : certain countries do not encourage women expats Family constraints : is a common delimiter
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Staffing MNCs
Advantages of Female expatriates:
Female expatriates
Good Relational Skills Rarity of women expats make them unique Shortage of competent managers, more in the pool helps Female Role Models will facilitate more female managers entering the pool
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International Staffing
Recruiting sources
Backgrou nd Checks
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Diversity is a key metric on which organizations measure themselves Diversity implies a workforce mix with fair representation of gender, ethnicities and races Organizations have diversity policies that drive focused hiring to ensure the desired workforce blend Diversity costs money, cash cost, opportunity cost and a heightened exposure to business risk, however organizations remain committed to it year after year
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Outsourcing of non-core standardized services is the new facet of globalization The spurt in hiring to staff these new-order companies in the emerging and the developing countries has hugely contributed to the revenue and growth of these countries On the other hand the outsourcing country, usually in the developed economies, stands to loose jobs to low cost and high skills countries making it outplacement and retrenchment a core activity
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Background checks are carried out to verify personal, professional and other mandated information related to safe employment of candidates Priced by quantum/scope of the personal and professional level of check that is being carried out, it is a core responsibility of the staffing team to ensure that the employee being on-boarded is 26 cleared from all sides
Increasing demand for resources has driven widespread innovation in sourcing Job portals and employee referrals are among the newer and more common sources Focus on hiring at entry level and then grooming employees for growth is a also gaining popularity as another high retention sourcing strategy
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Managing dual career couples Find a job for the trailing spouse Commute/remote assignments Sabbaticals Intra-company employment On assignment career support
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