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CASE STUDY: SUCCESS WITH EXPATS AT LANXESS 12 APRIL 2013
Stefan Arnoldt
LANXESS Deutschland GmbH
Leverkusen (Cologne)
COMPANY PROFILE
Facts and Figures
Employees worldwide
Global scope
approx. 17,200 in 31 countries
48 production sites worldwide
Performance Polymers
Advanced Intermediates
Performance Chemicals
Portfolio
2011 Sales EUR 8.775 bn
2012 Sales EUR 9.094 bn
LANXESS is one of Germany’s most important providers of polymers and chemicals
Broad product range comprising premium chemicals, rubber and polymers
Product Portfolio
High-quality intermediates
Active ingredients (custom manufacturing) and intermediates for
pharmaceuticals and crop protection products
Material protection products
Finishing agents for leather
Ion exchange resins, especially for water treatment
Inorganic pigments for coloring concrete and surface coatings
Dyes and inorganic and organic pigments for coloring plastics
Plastics additives such as flame retardants and plasticizers
Solid rubber and rubber chemicals for the rubber and tire industry
Plastics for automotive, electrical appliances, furniture, sports and
leisure
Perlon wire for technical applications
Sites and Offices
Global Presence
Long-Term Assignments as of 28 Feb 2013
EMEA
outbound 144
inbound 74
transfers 219
APAC
outbound 18
inbound 98
transfers 116
AMERICAS
outbound 43
inbound 33
transfers 76
WORLD
Long-Term Assignmt.
TOTAL 205
LANXESS – Global Expat Population
LANXESS International Assignment Policy Review
Board Initiative “Diversity & Inclusion” set up in 2011; inter
– D&I focus: Gender / Age, Seniority/ NATIONALITY
– Define and implement internal conditions to enhance talent development
– Expatriates identified as a very sensitive target group
disciplinary group project
Expatriates & HR Expat Management establishing network to:
– Shorten the integration phase
– Increase feeling of inclusion (esp. for family members, partners)
– Improve working environment/conditions, motivation
– Establish platform for discussions and exchanging ideas, knowledge, experiences
Initiatives
– Expat Lunch
– Global Expat Mailing List
– Share Expat Portal
LANXESS International Policy Review NEW: Dual-Career Allowance
Diversity & Inclusion International job posting of expat positions
XPat Guidance Program LANXESS Mentoring program for Expats
“Expat Lunch” Networking, Events, Information, Inclusion …
AGENDA
LANXESS International Policy Review NEW: Dual-Career Allowance
Dual-Career Allowance (DCA) for Accompanying Spouse/Partner
Support for married or unmarried couple
Spousal Assistance
Lump sum payment for training purposes
• Max. EUR 6,000 net
• Training & development
• Application training
Dual-Career Allowance
Payments for up to 2 years when partner sacrifices job
• DCA calculation based on 50% of previous annual gross base salary
• Max. EUR 50,000 p.a.
• Deduct hypo tax & social security
Company provides more
service & support to find a new job
• Internal / external networks
• Local job market
• Outplacement provider
Dual-Career Allowance: Qualifying Conditions
Assignee’s spouse/partner has been working for > 12
months as of the date when employee is offered an
international assignment
Spouse/partner will quit current job and accompany assignee
on long-term international assignment
Dual-Career Allowance: Terms
EUR 6,000 reimbursement of “spouse assistance” will be entitled when the DCA is provided
In general, payment granted for 2 years
DCA continues even when spouse/partner gets job in host country within two years after assignment start date
The payment stops if, within 2 years: spouse/partner returns to home country or
assignee or spouse/partner is repatriated
“Annual Calculation base” refers to annual gross base salary including guaranteed monthly cash allowances
Other variable allowances, bonus, LTI, and benefits are not included into the calculation basis
DCA will be paid for two years in home or host currency
The “Annual Calculation base” is fixed for the two-year period. No hypothetical merit increase, promotion, or inflation increase of spouse/partner income is considered
Dual-Career Allowance: Calculation
Diversity & Inclusion International Job Posting of Expat Positions
All expat positions subject to a group-wide posting/ selection process
Introduce global common expat selection process standard
Foster best-fit staffing using group-wide resources
Integrate expatriation into HR development
Foster int’l careers, make LANXESS a more attractive employer
Objectives
1. Position needs to be filled with an expat for knowledge transfer
2. Position is a development opportunity for a specific employee
3. Position to be filled with an international candidate so position may become an expat position
3 Scenarios
BU Head notifies Global BP of position to be filled with an Expat and gives reasoning according to the 3 scenarios
Postings: Xnet Global (Intranet) International Career:
Measures
International Career: This measure addresses all existing employees worldwide with a particular interest in having an international career (possibly cross-BU/GF) within LANXESS
International Career: Job Posting for Expat Positions
Initial situation: Three scenarios – BU/GF decides
Position needs to be filled by an Expat for knowledge transfer
Provide a development opportunity to an employee (career development) or
Position can be filled by an international candidate so that the position may either
1. become an expat position or
2. stay a local position placed with an international candidate under local conditions
Process Description I – Testing Phase: Posting an expat position Internationally
Applicants
Senior BU/GF Global Business
Partner
Head of HR
BU/GF Global Business Partner
Head of BU/GF
LX
S
Hu
ma
n R
es
ou
rce
s
BU
/GF
Create new or replace existing Expat position *
Place position locally or continue with placement of desired candidate
Upload Expat position to Global
Xnet & inform Country HR
1
: Activity
3
: Question / Decision : Milestone : Participant : Reference No.
Verify Expat position
2
Place expat position on
Xnet Global**
Country HR / Expat Mgt.
* For the international posting of Local positions, refer to the process for Local positions.
** Country employee representatives to be informed according to local legal regulations.
Yes
No
Decide on placement of
position
Process Description II – Testing Phase: Identifying the right candidate
Applicants
Senior BU/GF Global Business
Partner
Country HR / Expat Mgt.
BU/GF Global Business Partner
Head of BU/GF
Head of HR
LX
S
Hu
ma
n R
es
ou
rce
s
BU
/GF
Apply for Expat postition
Present candidates to BU/GF Head
Fill position with candidate 4
Yes
No
Check applications 5
Reject application 6
Decide if candidate fits the position Yes
No
Rejection of candidate
Prepare Expatriation
No
Yes
8
Check preselected candidates
Final decision on selected candidate
7
: Activity : Question / Decision : Milestone : Participant : Reference No.
XPat Guidance Program LANXESS Mentoring Program for Expats
XPat Guidance Program The LANXESS Mentoring program for expats
Support with settling-in in host country (“Navigator”)
Support in career development (“Career Mentor”) Purpose
Selection of Career Mentor by HR together with the BU-/GF-Head
Before Start of Mentoring, Career Mentor shall be briefed and trained
Mentor and Mentee shall meet and then decide whether to continue
Navigator shall be selected by Host HR together with Host line manager
Selection / Matching
Career Mentor at least once per year
Navigator on need basis Meetings
Duration Career Mentor: starts with identification of assignee till 6 months after
repatriation
Navigator: 6 months
XPat Guidance Program The LANXESS Mentoring program for expats
Information on changes/developments in home country
Support in career matters, career planning
Guidance, advice with assignment-related challenges
Representation of the assignee in home country
Repatriation support
Profile:
Manager on a higher level than assignee
International experience; profound knowledge of LANXESS with good network
“Career Mentor” -Home Mentor-
Settling-in support in the host country culture/company
Support in solving intercultural challenges
“Where-to-find-what”
Profile:
Colleague on same level
International experience is helpful; min. requirement: interest in other cultures
“Navigator” -Host Mentor-
“Expat Lunch” Networking, Events, Information, Inclusion …
Expat Lunch – Gathering Expats and Families
Expat Lunch: quarterly lunch event for Expatriate Inbounds
Presentations (examples):
• “New in the city” – doctors & hospitals, emergency center, education, language schools, soccer center, ice skating, golf, climbing, cycling, dancing, gyms, etc
• “How to buy a train ticket” – how to use the ticket machine
• “Tips for driving in Germany” – how to get a German driver’s license, accidents, local points of interest, speed limits, etc
Sunday Outdoor – Castle Dyck
Chinafest Cologne
Hockey Game LANXESS arena
Thank you for your attention!