by Siobhan Commins
Each international assignment represents an investment - a monetary and talent investment for the organization, and a career and family investment for the individual. Whether the organization is a large multinational with expatriates in multiple locations or a small firm just entering the global market, employers face complex decisions when staffing foreign operations.
Even though foreign assignments can have a large impact on corporate operations and budgets, some organizations continue to select the wrong candidates because of a lack of qualified candidates, no formal selection process or business decisions requiring fast action with no time for procedures. Pressed for fast action, some companies do not consider the big picture, goals and objectives, how the assignment fits the individual's career goals and the return on investment for the company.
Further, when selecting candidates for international assignments, talent leaders must consider suitability as well as family issues. Not every employee and accompanying family can successfully adapt to the stress of working in a different culture with colleagues who may have different views on job behavior.
The Expatriate's Decision
When employees are offered foreign postings, their decisions are typically not a simple yes or no. Job-related and personal considerations affect the decision and work performance overseas.
Uncertainty about the new job, responsibilities and work habits is frequently a cause of anxiety. Exacerbating this anxiety is the concern that assignees will be isolated from the corporate mainstream and their careers will suffer. These worries about future career opportunities can lead to further stress, as many companies do not, and sometimes cannot, guarantee a job either in the home office or elsewhere once the assignment is over.
The employee and family face an adjustment to different customs, laws, schools, living conditions and often a new language. Most multinationals provide some orientation or cross-cultural training for expatriates on long-term assignments - three to five years - through outside consultants, in-house personnel, employees who know the assignment country, or written, electronic or online materials.
This issue is a little different for short-term expatriates, whose assignments generally last from three months to a year. According to ORC's 2009 Survey of Short-Term and Commuter International Assignment Policies, only 37.3 percent of companies worldwide provide cross-cultural training; 38.3 percent provide destination orientation; and 43.4 percent provide language training.
Further complicating the situation, many assignees continue to own real estate in the home country or may worry about re-entering the real estate market if they sell their homes before going overseas.
Then there are spousal career issues, which can play a role in the decision to accept or reject an assignment. According to a December 2008 report, "International Survey of Expatriate Spouses and Partners," conducted by Industrial Relations Counselors and ORC on behalf of the Permits Foundation, almost 90 percent of expatriates' spouses or partners worked prior to the relocation. This figure dropped to 35 percent during the assignment. One participant said, "Both my partner and I have invested a lot in our education and career, and either one of use can be offered an international job. We would only accept if we were fairly sure that both of us could work. As an absolute minimum, we would need to know that whichever of us is "accompanying' could get a work permit. Then we would trust in our ability to compete for a job."
When asked to list the most common reasons that candidates turn down an opportunity, respondents to ORC's 2008 Worldwide Survey of International Assignment Policies and Practices ranked spousal or dual-career issues No. 1. Other reasons varied in importance, by nationality in some cases, as follows:
a) The compensation package was not a sufficient incentive, which ranked first for Asia-Pacific based organizations.
b) Expatriate career issues.
c) Concerns about children, such as education, which was the leading factor in Japanese companies.
d) Issues related to host location and conditions such as extreme climate, political instability, inadequate medical facilities, crime, remoteness, prevalence of disease and other factors.
e) Decreased contact with family, friends and the home community.
When selecting a candidate, offering solutions to career development, future repatriation and family issues can persuade the individual to accept the assignment. But the following will help the process run smoother:
a) Involve a representative from HR or the global mobility team to provide a practical perspective from professional staff familiar with administration, HR programs and relocation-related issues such as immigration, moving logistics, legal and destination services.
b) Determine the specific skills and competencies necessary for the position, which allows HR to match job requirements to the most qualified candidates and reduce on-the-job training time.
c) Prepare the employee thoroughly. Discuss the assignment, reviewing all details - responsibilities, reporting structure, pay and benefits package and other relevant information - to avoid misunderstandings during the assignment and upon repatriation. If possible, have an agreement in place that lays out the details as well as ongoing communication vehicles - newsletters, conference calls - to keep the employee in touch with the home office during the assignment. It is also advantageous if the individual can meet with the host-location manager ahead of time to resolve pending concerns.
d) Provide orientation, cross-cultural training and language lessons as necessary for the employee, spouse or partner and children. Although the amount and depth of training provided may vary and be limited, the employer should offer some orientation, even if the culture is similar to that at home, to ease the transition and make the unfamiliar more familiar.
e) Send candidates on a pre-assignment visit to find housing, make educational arrangements for children and visit local neighborhoods and expatriate communities, activities to help them acclimate more quickly. Destination services upon arrival also may help ease them into the new situation.
The Company's Selection Process
The aforementioned points focus on the employee. How do companies select the right candidate? Most companies base the decision on skills and competencies, job performance, job level and some combination of the following:
a) Some firms simply choose an excellent performer without regard to long-term career planning. This method assumes the individual will continue to perform well on assignment, but it does not consider the person's career goals and aspirations. If the employee feels coerced into accepting a position and new skills to be learned are not desirable, performance may drop. By implementing tools such as a skills inventory, a self-assessment vehicle and an ongoing mentor relationship, the company can minimize its risk.
b) Some companies ask technical, functional and operational managers to suggest candidates. Although these individuals are known for their technical skills, it may be erroneous to assume the person recommending them knows their full background, career objectives or what the host job requires. It may be helpful to query several parties who are familiar with the candidate's capabilities.
c) Sometimes the company may choose someone whose assignment costs will not be too high in order to save money, such as an early career, less senior employee or someone on a short-term assignment. This choice could result in assignment failure because the individual lacks either the proper experience or sufficient time to do the work before someone else takes over. Balancing the cost with the practical necessities of the assignment is key.
d) A manager may assign a poor performer elsewhere to avoid dealing with the individual. Rarely does this step improve performance unless the position and its responsibilities are desirable to the individual. In an encouraging scenario, previous performance may simply be the result of bad chemistry within the unit, and relocation may benefit all. However, if performance continues to suffer, ultimately the problem will not go away unless it is addressed.
Selection Should Be Common Sense
Balancing theory and practice to choose the best expatriate candidate depends on the company's philosophy, the size of the assignee population, the company's experience in expatriate administration and so on. But considering all factors - from the expatriate and employer points of view - and establishing clear selection criteria offer the best chance for a successful assignment.
Not all of ORC's 2008 survey participants reported being impressed with their companies existing international assignment selection process. Only 8 percent said that it was handled "very well." Forty-three percent cited the process as handled "well," with an equal percentage describing it as handled "somewhat well."
When selecting the right person for an international assignment, make the job appealing with appropriate financial incentives, consider the employee's career path, be sensitive to the family's situation, and be aware of the spouse's employment needs. Combine those facets with a skills inventory, assessment programs and mentoring, and talent leaders should be able to find the best person for the job, wherever it may be.
[About the Author: Siobhan Cummins is managing director of EMEA for ORC Worldwide's operations.]
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