Global Careers:
Personal and Organizational
Challenges and Rewards
Dr. Margaret Shaffer
University of Wisconsin Milwaukee
WERC
September 19, 2012
Agenda
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Global careers in perspective
Global career alternatives
Personal challenges and rewards
Organizational challenges and rewards
Research trends and opportunities
Global Bingo
Exercise
Global Bingo
• Goals: Assess global knowledge; create awareness of global
complexities; emphasize the importance of shared knowledge
in global settings; get to know each other better; have fun; and
win prizes
• To win, have five correct answers down, across, or diagonally
• You may not answer the questions on your own bingo board
• Find someone who can answer a question, have him/her initial
the box and fill in the answer without stating the answer aloud
• Obtain no more than two answers from any one person
• When you have five down, across, or diagonally, yell “Global
Bingo!”
Global Careers
Flexpatriates
Short-term
Assignees
Virtual
Team
Members
Global
Domestics
Alternatives
to Corporate
Expatriates
Self-initiated
Expatriates
Frequent
Flyers
Commuters
Comparison of Expatriates
Corporate Expatriates
Self-Initiated Expatriates
Purpose
Managerial control
Skill/technology transfer
Management development
Personal development
Career development
Duration
Usually 12-36 months
Varies (short-term to permanent)
Location
1 country
1 country
Relocation
With family
With or without family
Advantages
Professional and personal
development
Relationship building and
integration with host country
nationals
Global boundary-spanner
Professional and personal
development
Relationship building with host
country nationals
Disadvantages
Expensive
Lack of flexibility
Family adjustment problems
Separation from extended family
Personal risk/expense
Contractual obligation
Separation from extended family
Comparison of Global Travelers and Global Domestics
Short-term Assignees
Flexpatriates
Purpose
Skill/technology transfer
Problem solving
Management control
Management development
Project-based
Problem solving
Skill/technical transfer
Duration
Usually 3-12 months
Usually 1-2 months
Location
1 or few countries
Multiple countries
Relocation
Usually without family
Without family
Advantages
Flexibility and simplicity
Cost effectiveness
Global boundary-spanner
Flexibility and simplicity
Cost effectiveness
Global boundary-spanner
Global perspective
Disadvantages
Separation stress – alcoholism,
divorce, health issues
Lack of integration with host
country nationals
Separation/travel stress –
alcoholism, divorce, health issues
Time zone differences
Lack of social integration at home
and host locations
Comparison of Global Travelers and Global Domestics
IBTs
Global Domestics
Purpose
Knowledge-transfer
Negotiations
Discussions
Meetings or conferences
Service provider
Buyer of products/supplies
Logistics manager
Duration
Usually 1-2 weeks
None or limited trips
Location
Multiple countries
1 or multiple countries
Relocation
Without family
None
Advantages
Flexibility and simplicity
Most cost effective
Global boundary-spanner
Relationship maintenance with
home-country colleagues
Flexibility and simplicity
Disadvantages
Separation/travel stress –
alcoholism, divorce, health issues
Time zone differences
Host country relationships limited
to work colleagues
Lack of global perspective
Difficult to develop relationships
with those in other countries
Assignment Policies Currently in Place
Long-term Assignments
96%
Short-term Assignments
86%
1-Way Move
44%
Localization of Expatriates
35%
Extended Business Travel
25%
Local Hires
22%
Commuter
26%
Rotational Assignments
18%
Developmental
18%
Virtual Teams
3%
Other
8%
0%
20%
40%
60%
Brookfield Global Relocation Services 2012
80%
100%
120%
Future Assignment Policies under
Consideration
Localization of Expatriates
36%
Extended Business Travel
22%
Commuter
20%
Short-term Assignments
33%
One-way Moves
24%
Local Hires
25%
Developmental
27%
Long-term Assignments
28%
Rotational
13%
Virtual Teams
5%
Other
14%
0%
5%
10%
15%
20%
Brookfield Global Relocation Services 2012
25%
30%
35%
40%
Who and Where
INTERNATIONAL
ASSIGNMENTS
Profile of International Assignees
• 80% are male
• Ages
– 13% are 20-29 years old
– 31% are 30-39 years old
– 34% are 40-49 years old
– 19% are 50-59 years old
– 3 % are 60+
• 79% have not had any expatriate experience
• 89% were already employed by the company
• 60% are married
• 43% took children on the assignment
• 81% of those married had spouse/partner accompany them on
assignment
Assignment Destinations
Top Locations
Emerging New Locations
Most Challenging
Locations
United States
Chili
China
China
Brazil
Brazil
United Kingdom
Australia
India
Singapore
India
Russia
Germany
Russia
United States
Australia
South Africa
United Kingdom
Global Careers and the
Individual
Challenges and Rewards
Major Personal Challenge:
Cross-Cultural Adjustment
• Anticipatory adjustment influenced by pre-departure
training, previous experience with same country or
similar culture
• In-country adjustment affected by ability to maintain
a positive outlook under high pressure, interact well
with HCN’s, understand cultural values and norms,
handle job responsibilities, adapt to organizational
culture, self and family’s ability to handle new
culture, and expat’s ability to “get along” in
organization
Expatriate Challenges
Mood
• Adjustment
– Work
– Interaction
– Cultural
• Spouse adjustment
• Global knowledge, skills and
abilities
High
Low
1 2 3 4 5 6
Months in a New Culture
Expatriate Failure
• Failure
– Return home early
– Poor performance
– Poor adjustment
• Cost of failure can be quite high – relocation and
replacement costs, damage to reputation, lost
business, etc.
Causes of Assignment Failure
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Spouse/partner dissatisfaction
Other family concerns
Job does not meet expectations
Inability to adapt
Inadequate job performance
Poor candidate selection
Expatriate Re-Entry
• Reverse culture shock
• Readjustment problems
– New position constitutes a demotion
– Lack of opportunity to use skills learned abroad
– Salary and benefits may decrease
– Others do not relate to foreign perspective
• Up to 25% of returning expats leave the company
within one year after returning
Transition Strategies
• To facilitate adjustment
– Individual and firm agree upon the length of
the tour of duty
– Mutually agreeable job identified for expatriate
return
• Keep expatriate involved in home office
communication and projects while s/he is abroad
• Proactive strategy that provides an effective
support system to allay concerns about career
issues
Global Careers:
Personal Rewards
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Personal growth and development
Greater self-confidence
Increased autonomy and responsibilities
Global mindset
Transferable skills
Faster promotions
Global Careers and the
Organization
Challenges and Rewards
Purposes of Expatriate
Assignments
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Fill a skills gap (technical or managerial)
Build global relationships
Craft a common corporate identity and culture
Market products
Transfer technology to foreign subsidiaries
Provide managers with international experience
Reward long-time employees
Provide better on-site control of foreign operations
Organizational Challenges
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Broader and more flexible perspective
More involvement in employees’ lives
Greater exposure to problems and difficulties
Greater exposure to external influences
Greater complexities in all areas of human resource
management
Female Expatriates
• Less than 20% of expatriates are female
• Female expatriates have lower failure rates than
males
– Males: 10-40%
– Females: 3%
• More difficult to get the job than to do the job
• Female expatriates are seen as foreigners first and
as women second
• Treated with the same respect as male expatriates
• Being a female can sometimes be an advantage
Dual-Career Couples
• More employees are refusing int’l
assignments because of spouse
employment
– Loss of spouse’s income
– Derailment of spouse’s career
• MNCs have to select from a
diminishing pool of qualified
applicants
Strategic Responses for Dealing with
Dual-Career Challenges
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Intercompany networking
Job-hunting assistance
Intracompany employment
Support for commuter marriages
On-assignment career support
Critical Assignment Management
Challenges
Cost of assignment
13%
Controlling policy exceptions
11%
Careerm management
9%
Retention of repatriates
9%
Compliance
7%
Inability to use experience
6%
Mobility team resources
6%
Complex administration program
4%
Lack of mobility technology
4%
Return on investment
4%
0%
2%
4%
6%
8%
10%
12%
14%
Initiatives to Improve Expatriate ROI
Candidate Selection/Assessment
30%
Career Planning
23%
Communication of Objectives
20%
Assignment Preparation
9%
Mandatory Cross-cultural Training
5%
Mentoring
5%
Recognition/Communication During…
5%
Mandatory Destination Support
1%
Company Intranet
1%
Web-based CC Training
1%
0%
5%
10% 15% 20% 25% 30% 35%
Brookfield Global Relocation Services 2012
Organizational Rewards
• Pool of experienced international employees
• Accumulation of international knowledge, skills and
abilities
• Global mindset among management team
• Control over subsidiaries
• Transfer of knowledge and competence to
subsidiaries
The Global Employee
Mobility (GEM) Project
Global Work Experiences –
Research and Practice
The Global Employee Mobility Project
• Aim is to improve the success of global employees
• Consortium of academics from around the world
• Research on all forms of global work experiences
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Expatriates/repatriates
Short-term assignees
Flexpatriates
International Business Travelers (IBTs)
Global virtual team members
Global domestics
Taxonomy of Global Work
Experiences
Degree of
Boundary
Integration
Low
Global
High Virtual
Team
Members
High
Flexpatriates
Corporate
Expatriates
Self-Initiated
Expatriates
Degree of
Cognitive
Mobility
Global Work Experiences
International
Business
Travelers
Global
Domestics
Short-term
Assignees
Low
Low
High
Degree of Physical Mobility
Dimensions of Global Work
• We define global work experiences along three
dimensions that identify unique requirements of the
different types of global work experiences:
– Physical mobility - degree to which the work role requires
the global employee to travel, or relocate, internationally
– Cognitive flexibility - the degree to which the global work
requires role incumbents to adjust their thought patterns
and scripts to effectively interact with people and adapt to
situational demands across cultures.
– Non-work disruption – the degree to which the work role
requirements disrupt or interfere with the employee’s
normal activities and routines outside of work.
Choices, Challenges, and
Consequences of Global Work
Organizational
Personal
Choices
Challenges
Consequences
• Country and family
considerations
• Adjustment and
coping with stress
• Satisfaction
• Intrinsic and extrinsic
motivators
• Work and nonwork
demands
• Career progression
• Personal
characteristics
• Inter-cultural
relationships
• Safety concerns
• Identity transformation
• Selection criteria
• Support resources for
employees and
families
• Fit between employee
and global work
experience type
• Incentive plans
• Preparing employees
for global work
• Transition
management
• Career management
• Employee engagement
• Well-being
• Development of global
competencies
• Performance
• Retention
• Utilization of global
competencies
• Work goal attainment
Firm Participation
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Provide survey access to
– Global employees
– Spouses/partners and colleagues (if possible)
• Benefits
– Summary of survey results
– Suggestions for improving global work experiences