Expatriate and Repatriate Support and Development

International employees typically are placed in three different classifications, as discussed below.

Expatriates: An expatriate is an employee, working in an operation, who is not a citizen of the

country in which the operation is located, but is a citizen of the country of the headquarters
organization. Also referred to as parent-country national (PCN).

Expatriates are used to ensure that foreign operations are linked effectively with the parent
corporations. Generally, expatriates are also used to develop global capabilities within an
organization.

Host-Country Nationals A host-country national is an employee working for a firm in an operation

who is a citizen of the country where the operation is located, but where the headquarters for the
firm are in another country. Using host-country nationals is important for several reasons. One
reason is that the organization wants to establish clearly that it is making a commitment to the host
country and not just setting up a foreign operation. Host country nationals often know the culture,
politics, laws, and business customs better than an outsider knows.

Third-Country Nationals A third-country national is a citizen of one country, working in a second

country, and employed by an organization headquartered in a third country. For example, a Indian
citizen working for a British oil company as a manager in Norway is a third country national. Staffing
with use of third country nationals shows a truly global approach. Often, these individuals handle
responsibilities throughout a continent or region.

Possible Global Assignments Decisions about how to staff global assignments vary based on the
nature, purpose, and length of the assignment.

There are four different types of global assignments requiring intercultural capabilities:

➢ For technical assignments, individuals are sent to do limited jobs and then to return, which
requires limited cultural skills.

➢ In functional assignments, individuals are sent for extended projects or jobs but return upon
completion of work, and some intercultural skills are needed.

➢ For developmental assignments, individuals are sent to develop and broaden their understanding
of global operations and intercultural understanding and skills are important.

➢ On strategic assignments, individuals are sent to fill critical strategic jobs, requiring extended
efforts, and intercultural understanding and skills are critical to success. The importance of
intercultural capabilities increases as assignments progress from technical to strategic. Also, the
higher the level of responsibility and longer the assignment, the more intercultural capabilities are
needed.

Recruiting for Global Assignments Recruiting employees for global assignments requires
approaches and understanding different from the typical recruiting efforts in a home-country
setting. The recruiting processes must consider cultural differences, laws, and language
considerations.

Selection for Global Assignments The selection process for an international assignment should
provide a realistic picture of the life, work, and culture to which the employee may be sent. HR
managers start by preparing a comprehensive description of the job to be done. This description
notes responsibilities Notes 275 that would be unusual in the home nation, including negotiating
with public officials; interpreting local work codes; and responding to ethical, moral, and personal
issues such as religious prohibitions and personal freedoms.

Cultural Adjustment

Cultural awareness

Cultural adaptability

Diversity acceptance

Global experiences

Organizational Requirements

Organizational knowledge

Technical abilities

Job-related skills

Personal Characteristics

Flexibility and risk taking

Emotional stability

Ambiguity tolerance

Physical/stress coping

Communication Skills

Language capabilities

Nonverbal awareness

Coaching and listening skills

Conflict resolution abilities

Figure shows the most frequently cited key competencies for successful global employees.

Cultural Adjustment Crucial to global success for individuals is how they adjust to the cultural
differences in their foreign assignments. Prior global experiences, even foreign vacation travel, can
be explored as part of the selection process to gain insights on how culturally adaptable individuals
are. Awareness of cultural issues and differences and acceptance of diverse cultural and customs are
important areas to explore. Throughout the selection process, especially in the selection interviews,
it is crucial to assess the potential employee’s ability to accept and adapt to different customs,
management practices, laws, religious values, and infrastructure conditions. Successful Global
Employees

Global Assignment Management Once employees have been selected for international
assignments, continuing organizational support for the employees is crucial. The intention of
expatriates to quit and their commitment to their organizations are affected by how they view the
support given to them by their employers That is why management of global assignments is so
important

Pre-departure orientation and training The orientation and training that expatriates and their
families receive before departure significantly affect the success of the overseas assignment.
Unfortunately, various surveys have found that only 50% to 60% of global employers provide formal
training programs for expatriates and their families. When offered, most expatriates participate in
this training, which generally produces a positive effect on cross-cultural adjustment. The most
common topics covered in pre-departure training are Daily living conditions, Cultural customs,
Business issues, Country history, Geographical climate, Transportation and communication systems.

Intercultural Competence Training Growing number of global employers are providing

intercultural competence training for their global employees. Intercultural competence incorporates
a wide range of human social skills and personality characteristics. There are three components of
intercultural competence require attention when training expatriates for global assignments:

➢ Cognitive: What does the person know about other cultures?

➢ Emotional: How does the person view other cultures and how much sensitivity exists to cultural
customs and issues?

➢ Behavioral: How does the person act in intercultural situations?

Expatriate Support and Development There are several areas that affect the cross cultural
adjustment process. To get global employees to their
 new assignments requires planning relocation efforts including moving their possessions, selling
their existing homes, obtaining new housing, and other activities.

Once global employees arrive in the host country, they need assistance in “settling in.”
Arrangements should include someone to meet them and assist them. Basics such as obtaining
housing, establishing bank accounts, obtaining driver’s licenses, arranging for admissions to schools
for dependent children, and establishing a medical provider relationship need to be part of
international relocation. But differences in culture, language, and laws may complicate these
activities in a foreign country.

Continuing Employee Communications and Support Continuing home-office support helps to

reduce premature assignment departure. One of the greatest deterrents to accepting foreign
assignments comes from employees’ concerns that they will be “out of sight, out of mind.” If they do
not have direct and regular contact with others at the corporate headquarters, expatriates can feel
isolated and left out of important company activities.

Continuing Career Development Many expatriates experience anxiety about their continued
career progression. Therefore, the international experiences of expatriates must offer benefits to the
employer and to the expatriate’s career.

Repatriation
The process of repatriation, whereby expatriates are brought home or moved to other global
assignments, must address potential difficulties that can arise when it is time to bring expatriates
home. For example, expatriates no longer receive the special compensation packages often available
to them during their assignments, which mean that the expatriates experience a net decrease in
total income, even if they receive promotions and pay increases.

Back in the home organization, repatriate employees must readjust to a closer working and
reporting relationship with other corporate employees. Often, expatriates have a greater degree of
flexibility, autonomy, and independent decision making than their counterparts in the United States.
Another major concern focuses on the organizational status of expatriates upon return. Many
expatriates have concerns about what jobs they will have, whether their international experiences
will be valued, and how they will be accepted back into the organization.