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    Fse

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    SAM ARAN CED MP A* N® A® G* EMP E™ N*F J” O* O* R® N® A= = Volume 55 Number Summer 1990 HH Enthusiasm in Leadership Planning in Service Organizations HE Corporate Social Performance HE Organizational Resizing HE [cyeraged Buy-outs and More SANN7 Society for Advancement of Management Managing the Foreign Service Employee German Nunez, Associate Professor, Florida International University Introduction ‘When technologies are transferred to other countries, or when multinational companies expand operations overseas, technicians and managers are ofien transferred also to aid and train local talent to install new equipment, systems, procedures, or technological processes. The fact that a foreign service employce (FSE) is an intrinsic part of the process of technology transfer is sometimes overlooked; therefore, the management of the FSE is not given the required special attention. Such neglect may result in unnecessary problems for the individual, the foreign affiliate, and the corporation. Persuading Employees to Work Abroad Although an overseas assignment may seem an irresistible opportunity to travel and grow pro- fessionally, technicians, and especially manag- crs, are not casily persuaded to accept such positions. Among the many reasons for their reticence are the following: Family Considerations. In most instances, ‘managers facing the dilemma of accepting or rejecting an overseas assignment are married, and many have children (Gullotta and Donohue, 1982). Questions that arise include: What would my spouse do while I am at work? Would my spouse be able to get a job? Would he or she be able to adapt to the country’s culture and environment? Would there be a good school for ‘SUMMER 1900 the children? Are reliable baby sitters available? Can we practice our religion? Will the family be able to socially integrate in the foreign environ- ment? What kinds of new friends is the family likely to make? Is there a large population of FSEs in the host country? Although itis easier for children to adapt to @ new environment, a different culture, and new friends, adulis often express anxiety about foreign social infrastruc- ture and customs. Safety Considerations. Many countries have different systems of government than that of the FSEs homeland. In some instances, these differences are philosophical as well as concep- tual and may translate into animosity toward outsiders. The foreign policy of the United States makes its citizens especially susceptible to rejection in various areas of the globe. In addition, some countries are considered “politi- cally unstable,” meaning that unscheduled changes of government or political unrest are part of the environment. Prospective FSES, aware of all this, are often concemed about their safety and that of their families in the country of their assignment. They may ask: Is the country or town safe for the family? Am I likely to be kidnapped or be the target of a physical attack? Would the children need to be escorted to school? Would a bodyguard be necessary? A house guard? If we need to abandon the country unexpectedly, who would provide the necessary assistance? 25 Language Barriers. One of the most obvious concerns of FSEs is the local language and how they will communicate with others. Although English is a universal business language, their ‘concern is legitimate at the social level. This ‘concern translates into questions.such as: How will I communicate? How long will it take me to leam the language? Are there special courses that I could take to help me bridge the language barrier? Will the children find it difficult to interact with other children? Will I find people that speak my native language? Career Concerns. Many professionals believe that an assignment overseas disconnects, the individual from the company’s local group and hinders their ability to develop new skills. Thus, individuals are concemed about the long- term impact on their careers (Moran, 1988). ‘Questions of concem are: How long will the as- signment be for? After I have completed my term, where will the company place me? Will 1 ‘get a promotion? To what position? Will I have a choice? What happens if there is not a suitable position open? What is the likelihood that the next assignment will also be overseas in the same or another country? The company has a moral obligation (besides good business prac- tice) to clearly answer these and any other related questions. Failure to do so may result not only in performance problems, but also in tensions in the employee’s family life. Tn general, most companies try to motivate individuals to become FSEs by utilizing special rewards and perks. The most common methods Promotion to a better job. Unfortunately, in some instances this “promotion” is to an artifi- cially high position overseas which often makes it hard to return home without having to take a position-level cut. These retrograde moves tend to create psychological and emotional problems for the individual, and may result later in low morale, decreased motivation, and unsatisfac- tory performances on the job, Promise of advancement to a better position upon return. Although companies may have the best intentions and be sincere when promising the employee a bright future upon return, this is not always possible. As mentioned above, sometimes PSEs are forced to take a position cut when they return due to changes in com- pany direction, leadership, power structure, or the personnel who make decisions regarding organization and staffing. Other reasons include untimely (i., earlier than expected) termina- 28 tion of assignment, low performance in the overseas position, and poor human resources planning on the company’s part. ‘Material Incentives. ‘These incentives include a salary increase (which comes with the promo- tion), cost of living adjustment to compensate for the added expenses incurred in some large cities overseas, incentive compensation for superior performance, and access to company stock. Other perks commonly added to the pack- age are: payment of house rent, major appli- ances (refrigerator, kitchen, washer, dryer, etc.) ‘one vehicle, payment of children’s schooling, payment of local taxes, country club member- ship, yearly round trip tickets for the employee and family to visit home and, in some cases, @ driver. These perks are indeed a powerful source of persuasion and a temptation hard to resist, especially for younger individuals. However, these perks, as explained in the next section, can create undesirable tensions and dislocations within the overseas affiliate where the employee is transferred as an FSE. Problems with Managing FSEs Both the company and the individual face various risks and problems in an overseas assignment. Among the most frequent are: Inability 10 adapt to the new environment. It ‘may take a few months to adapt to the social, political, economic, and professional environ- ‘ment of a new country. If the FSE is not well informed and does not anticipate the adjust- ‘ments needed to fit in the new environment, the cultural shock and inability to adapt may lead to a repatriation request shortly after arrival. Early departure may also be caused by the inability of the FSE’s spouse or children to adapt resulting in family tension, decline in job performance, and sour feelings against the company. ‘Misunderstanding the local laws or customs. This is a principal cause of problems for FSEs and their companies, especially in countries where the law, culture, and religion are very different from the homeland. For example, there are cases of FSEs being jailed for possession of alcoholic beverages or pomographic literature. Some more delicate cases include instances of individuals being incarcerated for possession of, or dealing in illegal substances. In early 1989, a South American country indicted the presidents and top officials of affiliates of prestigious ‘multinational corporations for dealing illegally in foreign currency. As a result, most of them fled the country to avoid arrest. SAM ADVANCED MANAGEMENT JOURNAL ‘As some find out the hard way, in most countries penalties are stiffer than at home, and the companies can do little other than provide adequate legal counsel and support for their families while the process lasts. ‘The following excerpts from memoranda circulated by a large multinational company summarize this company’s attempt to convey the importance of abiding by local rules and regulations while in a foreign country: “By issuance of the most recent statement, announced last week, the Interior Ministry has requested all foreigners coming for work in the Kingdom, be they individuals or firm, to observe the rules and traditions and show deference to the customs, religious, social and ethical values. ‘According (o the instructions embodied in the statement: First. Expatriates must abide by the rules and traditions of the Kingdom in appearance, behav- ior, habits and religious, social and ethical values. Second. Each company with a housing compound must abide by the following: a) Separate the bachelors from married couples. b) Separate the living quarter of unmarried rales from that for unmarried females and not allow them to mix within the housing com- pounds. ¢) In case there are recreational facilites within or without the housing compound for which governmental authorization is duly ‘obtained, it shall be observed that these facilities are set up in accordance with the regulations, usages and traditions of the country such as the ‘swimming pools, courts playgrounds and other recreational facilities for women to be isolated from those for men, Third: The laws in force in the Kingdom absolutely prohibit any attempt to bring or make or soll alcoholic drinks and narcoties regardless of type or amount. The ban covers promotion or use of such intoxicants and narcoties. Anyone attempting to do so would be subject to stiff and doterring penalties. Fourth: The Kingdom’s regulations prohibit the entry of films, magazines, publications and ‘books except after review by the Information Ministry. They also prohibit the entry of lewd pictures, paintings and scenes which violate religious rules. “Any violation of the rules and regulations in force in the country will invite the ‘mposiion of peas aginst the offenders and ‘accomplices or those who provide cover for trem A few weeks after the preceding memoran-

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