Transcript IHRM PowerPoint Slides for Week 05

INTERNATIONAL HUMAN
RESOURCE MANAGEMENT
Week 5
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
1
Training & Development
 Human Resources are the most valuable resource in any
organization
 Human Resources cannot exist in a static state. The
pool of knowledge, skills and abilities which individuals
possess and have accumulated over time, and which is
a crucial input for the organization, must be nurtured and
promoted by organizations
 Training and Development is the tool for improving the
quality of an organization’s human resources
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
2
Training & Development
Training aims to improve current work
skills and behaviour (current focus)
Development aims to increase an
employee’s abilities in relation to some
future position or job (future focus)
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
3
International Training & Development
Recruitment
&
Selection
External
Hiring
20 July 2015
TRAINING
DEVELOPMENT
International
Team
Predeparture
Training
IHRM (MBA III)
International
Assignments
Course Instructor: Dr. Aurangzeb Z. Khan
4
Expatriate Training
 Training is considered as an investment in boosting an expatriate’s
performance
 Expatriate training prior to dispatch to the foreign assignment
location includes creating cultural awareness, especially in relation
to assignments meant for “culturally tough” locations (learning to
cope with unexpected events)
 Research studies undertaken over the past approx. 20 years
indicate that many organizations neglect to provide expatriates with
adequate predeparture training, whereby differences exist between
US, European and Japanese organizations
 More organizations have started considering the requirements of the
spouse and family in their predeparture training programs
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
5
Components of Predeparture Training
Programs: Cultural Awareness
 The goal of cultural awareness programs is to enhance the
expatriate’s understanding of the host country so that he or she can
adjust and behave accordingly, and avoid getting into difficult
situations
 Cultural awareness programs do not have a standard, universally
applicable format, rather, they depend on factors such as the
country of assignment, nature of the expatriate’s job, available time
to undertake training
 Typical training elements include things like area studies, cultural
considerations, language skills, sensitivity training and field
experiences
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
6
Components of Predeparture Training
Programs: Cultural Awareness
 Tung has proposed the following training framework for expatriates:
 If the expected interaction between the expatriate and members of the host
culture is low, and if the degree of cultural dissimilarity between the
expatriate’s culture and the host culture is also low, then cultural issues in
training can take on secondary importance in relation to task or job-related
issues. The level of training rigour can be low in this case
 If the expected interaction between the expatriate and members of the host
culture is high, and if the degree of cultural dissimilarity between the
expatriate’s culture and the host culture is also high, then cultural issues
should be correspondingly high on the expatriate’s training agenda. The
level of training rigour can be moderate to high in this case
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
7
Components of Predeparture Training
Programs: Cultural Awareness
 Mendenhall & Oddou have proposed a modified version of Tung’s
training framework for expatriates
 According to Mendenhall & Oddou, there are three dimensions:
1) Training Methods
2) Levels of Training Rigour (low, medium, high
3) Duration of the Training (relative to degree of interaction and
culture novelty)
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
8
Components of Predeparture Training
Programs: Cultural Awareness
 If the expected interaction between the expatriate and members of
the host culture is low, and if the degree of cultural dissimilarity
between the expatriate’s culture and the host culture is also low,
then the level of training rigour can be low and training could last for
less than a week (cultural briefings, lectures, movies, books)
 If the expatriate is going abroad for a longer period (2 – 12 monthes)
and is expected to have some interaction with members of the host
culture, then the level of training rigour can be higher and training
could last longer (1 – 4 weeks) (cultural briefings, lectures, movies,
books, role plays)
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
9
Components of Predeparture Training
Programs: Cultural Awareness
 If the expected interaction between the expatriate and members of
the host culture is high, and if the degree of cultural dissimilarity
between the expatriate’s culture and the host culture is also high,
then the level of training rigour can be high and lasting up to 2
months (see methods above and also sensitivity training, field
experiences, inter-cultural experiential workshops)
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
10
Components of Predeparture Training
Programs: Preliminary Visits
 Expatriates are sent to visit their host country before being sent
there on an assignment
 The purpose of a preliminary visit is help expatriates to assess their
suitability for, and their interest in the assignment, introduce them to
the business context, and to make better predeparture preparations
 Research indicates that many organizations make use of the tool of
preliminary visits for expatriates, or would consider its use
 Generally, preliminary visits are not offered to expatriates if the
expatriates are already familiar with the country, or if the country is
considered culturally close
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
11
Components of Predeparture Training
Programs: Language Training
 Language training is an important aspect of any predeparture training program
 Advantages of using the English language in global business
 Widespread application
 concentration of economic and corporate power
 Disadvantages of using English in global business:
 Tendency to rely exclusively on English and not to learn other languages
 Foreign partners speak both English and their own languages and have an
advantage over English-speakers
 Difficulty to monitor some environmental factors such as competitors or
protecting important technology in dealing with foreign organizations and in
foreign locations
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
12
Components of Predeparture Training
Programs: Language Training
 Knowledge of the host country’s language offers several benefits:
 Expatriate performance and negotiating ability is enhanced
 Expatriates have easier access to important data and information needed for
their assignments (for example, data and information on the host country’s
economy and economic indicators, market structure, competition, investment
climate, political trends)
 closer direct interaction with host country stakeholders is possible
 Research studies indicate that expatriates usually accord high importance to
speaking the language of their host countries as a means of not only performing
better on their assignments, but also for forming social support structures and in
associating with the rest of the expatriate community
 Language skill-building is often omitted from predeparture training programs
because of the time factor and the difficulty of monitoring employees’ language
skills
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
13
Practical Assistance for Expatriate and
his Family
 Providing the expatriate and his family practical assistance with the assumption of the new
assignment, can relieve anxiety and pressure, and overcome negative feelings towards
the host country
 Types of practical assistance include:
 Relocation Assistance
 Local Orientation
 Language Assistance
 Some private companies are providing expatriate relocation and orientation
services
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
14
Training of HCNs and TCNs
 In theory, all expatriates should be provided with adequate
predeparture training prior to their dispatch on an
international assignment
but
 In practice, organizations often accord priority to training
their PCNS, while (comparatively) neglecting the training
needs of their HCNs and TCNs
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
15
Training of HCNs: Some Considerations
 Often, organizations localize the training of their HCNs
 In some instances, notable where skills and work practices
are considered strategically important, HCNs may be trained
in other subsidiaries in programs which are designed and
implemented by the organization’s headquarters (Nissan
and Honda example)
 Training has the inherent danger, that trained employees
may be wooed away from an organization by competitors
with the promise of higher salaries and better opportunities
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
16
Training of HCNs: Some Considerations
 There are several good reasons for transferring HCNs to the
organizations headquarters or home-subsidiary units:”
 Providing technical and managerial competency training (Pepsi
example)
 Building a sense of corporate identity (Ericsson example)
 Personal networking
 Transfer of particular skills (Ford Australia example)
Note: HCNs must have good command of the corporate languagein
order to participate in the training programs!
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
17
International Staff and Teams
 Developing truly international teams with the corresponding
level of experience involves providing the requisite training
not only to PCNs, but also to non-PCNS (HCNs, TCNs)
 Several techniques are used to develop international teams,
including international job rotation and common attendance
at training training programs, international meetings and
networking amongst managers
20 July 2015
IHRM (MBA III)
Course Instructor: Dr. Aurangzeb Z. Khan
18
Individual Career Development
Predeparture
Training
International
Assignment
1 – Recruitment
& Selection
4 – Exit
Organization
3 – Premature
Return
2 - Deselect
Parent
20 July 2015
5 – Reassignment
IHRM (MBA III)
Repatriation
Course Instructor: Dr. Aurangzeb Z. Khan
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