Expatriate Management

978 Words Oct 5th, 2008 4 Pages
Expatriates face substantial uncertainty regarding their new role in the organization when they first arrive in their new location. Any information they gain regarding the new job, the organization, and the larger cultural environment will help them learn what to expect, how to interpret various stimuli they encounter day-today, and what the appropriate behaviour is in a given situation. Especially at culturally challenging environments, with social networks, which are also are also very rich informational networks, the expatriates may be left out of important decisions and information if they are unable to penetrate existing informational networks.

Paradoxically, informational support from local staff most critical to the successful
…show more content…
Thus, the very compensation practices often put in place to help ensure expatriate success may actually jeopardize it instead.

Selection, Promotion, & Training: Ethnocentric HR practices can also be found in selection, promotion, and training. Frequently, for control purposes, parent companies prefer their own nationals to hold those positions whether or not they are the necessarily the best-qualified persons for the job. It becomes frustrating for local staff when they view expatriates getting choice positions while a similarly qualified local gets passed over.

The steps a multinational company should take in order to avoid or minimize all the unwillingness of the local staff to help and support the expatriates are:

At the headquarters of the organization:
1. Change Existing Compensation Policies – Pay expatriates salaries more in line with local employees
2. Select More Carefully – Ensure that expatriates are qualified to perform the jobs expected of them at a level consistent with the pay they will receive.
3. Use Transparent Pay and Promotion Policies – Develop pay policies that are viewed as fair and that are clear to all involved.

At the host country site:
4. Emphasize Favourable Referents – Identify alternative referent persons for host country national comparisons instead of the expatriate manager.
5. Breed Organizational Identification – Build a single
Open Document