Role of an HR Manager in ExpatriationSubmitted by:Kanya Patil – 14021Kaustubh Bhake - 14022
What do you mean by Expatriates?• An expatriate is a person temporarily or permanently residing in a country and culture other than that of the persons upbringing or legal residence.• In common usage, the term is often used in the context of professionals sent abroad by their companies, as opposed to locally hired staff.• Skilled professionals working in another country are described as expatriates, whereas a manual labourer who has moved to another country to earn more money might be labelled an immigrant
Reasons for Expatriation• Starting at the end of the 20th century, globalization created a global market for skilled professionals and levelled the income of skilled professionals relative to cost of living• The cost of intercontinental travel had become sufficiently low.• This created different type of expatriate where commuter and short term assignments are becoming more common and often used by organizations to supplement traditional expatriation.
Advantages for Organizations• Technical skills as well as relational abilities increase the probability of success by a large degree• Saves a major amount of time in dealing with the clients and work• Provides a global understanding of the work• Improves the relationship with the client; in turn will give more business to the organization• Provides job satisfaction to the employee; this will increase the productivity• The more complex the environment, the more it enhances the planning and motivation techniques of the employee; thus confidence increases
Problems for an employee….HRs concentrate!!• Forced to stay in the organization for a fixed period of time after returning from the assignment• Ill-planning of the assignment leads to poor job performance and displacement• 40% of the assignments fail due to poor performance• Ethnocentrism, cultural unfamiliarity, monocultural upbringing are a huge problem
Problems for an employee….HRs concentrate!!• Lack of interpersonal skills and judgmental approach• Work pressure and lifestyle stress on spouse/families• Negative approach towards the career while on assignment• Lack of communication• Lack of information about happenings of the Company/Indian country• Repatriates feel like foreigners after they return from the assignment
What HR Managers should do?• Cash incentives are important tool to encourage individuals to go abroad• Should focus on easier transition for expatriate employees and their families• Encourage the expatriate to be open-minded, respectful, non-judgmental and diplomatic about opinions, attitudes and behaviors• The company should be open and should share detailed information about tax implications, the effects of the move on retirement, stock options and a host of other details• A pre-departure trip arrangement for the employee/spouse
What HR Managers should do?• We suggest a 4 level training for the expatriates• Level One training – focus on impact of cultural difference, raising awareness for differences and their impact on business• Level Two training – understanding of the attitudes (positive and negative) and its influence on behavior• Level Three training – Factual/Cultural knowledge about the target country• Level Four training – skill building in areas like language, adjustment and adaptation skills