�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�2� �P�M

“Just as the US workforce is browning with the addition of foreign talent, India is slowly creaming as foreigners increasingly seek opportunities in the world's largest democracy.”

Foreword

As India seeks to develop its global business

aspirations, the role of expatriates in those efforts is

likely to grow. Some of the reasons have to do with

cultural issues peculiar to India; other reasons spring

from more general causes related to human resources

in a globalizing world. And still others may be traced to

the global recession, which provides an extraordinary

opportunity to tap knowledge workers from around the

world.

India stands to benefit from these circumstances.

Expatriates can offer Indian firms a great

deal—specialized knowledge, experience of running

large multinational enterprises, cultural diversity that

spurs innovation. In other words, they offer the “know-

how, the know-who, and the know-what” that would be

very difficult, if not impossible, for Indian businesses to

replicate effectively. Just as the US workforce is

“browning” with the addition of foreign talent, so too do

we see the trend that India is slowly “creaming” as

foreigners increasingly seek opportunities in the world's

largest democracy.

While these clear benefits offer much promise for India's

global ambitions, there are potential hurdles to address.

With an influx of non-Indian talent, cultural frictions can

arise - on both sides. For instance, there may be

fundamental differences on even basic frameworks,

such as time punctuality. Then too there are

considerations of building self-credibility, a “personal

brand.” if you like, that is associated with promises that

one makes - and delivers on. Similarly, there will be

broader challenges as both native and non-native

professionals learn how to interact with one another to

by Dipak C. Jain, PhDDean Emeritus, Kellogg School of Management,

Northwestern University, Evanston, Illinois, USA

get the optimal “cross-pollination” of ideas and

practices. If the foreign executive is viewed as a

meddlesome or presumptuous “big brother” seeking to

“boss” the Indian team, some members of that team

may try to undermine the authority of the expatriate in

ways that, ultimately, risk hurting the organization.

To safeguard against such challenges, companies that

look to expatriate leaders should be prepared to offer

the organizational infrastructure to support those

people when they arrive in-country. The Indian

companies must consider creating an “executive host”

or a “host team” whose duties include ensuring a

smooth integration between the foreign professional(s)

and the organization. Importantly, there must be a top-

down commitment to such efforts, meaning that the

company's senior leaders should play an instrumental

role, rather than relegating the project to the human

resources department. Helping expatriates make this

transition easier is India's cultural “DNA,” which

historically has been one of easy adaptability,

hospitality, and overall warmth toward foreign guests.

In today's competitive global marketplace, the

difference between the best and the rest often comes

down to superior thought leadership, coupled with

exemplary execution. Finding the best talent to achieve

those goals requires Indian companies to take a global

perspective as they seek the fresh insights that will

drive breakthrough success in the coming years.

Amrop's research to study, debate and develop this

body of thought is well timed.

i

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�6� �P�M

“Just as the US workforce is browning with the addition of foreign talent, India is slowly creaming as foreigners increasingly seek opportunities in the world's largest democracy.”

Foreword

As India seeks to develop its global business

aspirations, the role of expatriates in those efforts is

likely to grow. Some of the reasons have to do with

cultural issues peculiar to India; other reasons spring

from more general causes related to human resources

in a globalizing world. And still others may be traced to

the global recession, which provides an extraordinary

opportunity to tap knowledge workers from around the

world.

India stands to benefit from these circumstances.

Expatriates can offer Indian firms a great

deal—specialized knowledge, experience of running

large multinational enterprises, cultural diversity that

spurs innovation. In other words, they offer the “know-

how, the know-who, and the know-what” that would be

very difficult, if not impossible, for Indian businesses to

replicate effectively. Just as the US workforce is

“browning” with the addition of foreign talent, so too do

we see the trend that India is slowly “creaming” as

foreigners increasingly seek opportunities in the world's

largest democracy.

While these clear benefits offer much promise for India's

global ambitions, there are potential hurdles to address.

With an influx of non-Indian talent, cultural frictions can

arise - on both sides. For instance, there may be

fundamental differences on even basic frameworks,

such as time punctuality. Then too there are

considerations of building self-credibility, a “personal

brand.” if you like, that is associated with promises that

one makes - and delivers on. Similarly, there will be

broader challenges as both native and non-native

professionals learn how to interact with one another to

by Dipak C. Jain, PhDDean Emeritus, Kellogg School of Management,

Northwestern University, Evanston, Illinois, USA

get the optimal “cross-pollination” of ideas and

practices. If the foreign executive is viewed as a

meddlesome or presumptuous “big brother” seeking to

“boss” the Indian team, some members of that team

may try to undermine the authority of the expatriate in

ways that, ultimately, risk hurting the organization.

To safeguard against such challenges, companies that

look to expatriate leaders should be prepared to offer

the organizational infrastructure to support those

people when they arrive in-country. The Indian

companies must consider creating an “executive host”

or a “host team” whose duties include ensuring a

smooth integration between the foreign professional(s)

and the organization. Importantly, there must be a top-

down commitment to such efforts, meaning that the

company's senior leaders should play an instrumental

role, rather than relegating the project to the human

resources department. Helping expatriates make this

transition easier is India's cultural “DNA,” which

historically has been one of easy adaptability,

hospitality, and overall warmth toward foreign guests.

In today's competitive global marketplace, the

difference between the best and the rest often comes

down to superior thought leadership, coupled with

exemplary execution. Finding the best talent to achieve

those goals requires Indian companies to take a global

perspective as they seek the fresh insights that will

drive breakthrough success in the coming years.

Amrop's research to study, debate and develop this

body of thought is well timed.

i

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�7� �P�M

About the study

iii

Over a decade ago Amrop and the Harvard business school first published its study titled “The International Executive”

and provided pointers to global organisations on how a cadre of internationally adept executives might be developed.

India is now on a path of rapid growth and we are delighted to publish another first of its kind “To be or Not to Be”;

Expatriates in Indian Companies”.

In this study the term Expatriate refers to a person of non-Indian origin, but working and residing in India. On the other

hand the term Repatriate refers to a person of Indian origin who has returned to India for work after having spent some

or most part of his professional career outside India.

This research has unique depth as conclusions and insights are drawn from a diverse group of senior executives, with

their own unique personal experiences on the subject. It establishes that there an increase in willingness to look

beyond India and native Indians – that goes well beyond the obvious advantage of skills and ability. But many appear

less prepared to accept the wider benefits and hence experience lower value. The expatriates also appear less

prepared for this adaptation which at times is complex.

The drivers of expatriate attraction themselves are not without surprise and suggest possibilities that are promising.

The research has given body to debates such as the question of “who is better” . Expatriates or Repatriates. The

answers challenge many past mind sets and while for many Indian organisations “Repatriates” are a preferred choice

when seeking global talent, the research establishes that their fitment can be full of strife.

Best practices and suggested approaches have been put together that provide a framework for reaching a successful

balance. Incorporating other research work from Amrop, the study also recommends Indian companies to build a cadre

of international executives through a sustained long term approach to globalization of internal talent. In a small but

relevant way, the role of the Government has been debated and parallels drawn with other countries.

The key message for Indian companies being – prepare, support and enable fitment. While for expatriates, they need

to focus on adaptability and demonstrate value and not simply rest on past laurels.

At many places in the study percentages have been calculated basis comments by respondents. Given the nature of

this quantitative study, these percentages may not be truly generalized.

The study is gender neutral and 'she' or 'he' is used for the ease of language and will always mean both

together.

Acknowledgments

We are indeed grateful to Prof. Dr Jagdeep S. Chhokar for leading the thought and work on his study. His

discussions with the participants were greatly appreciated for their candour and the insightful debates that

ensued. Prof. Chhokar completed his PhD from the Louisiana State University, USA and after an illustrious

career retired as the Dean and Director In-Charge at the Indian Institute of Management, Ahmedabad. He

now lives in Delhi.

He was ably assisted by Assistant Professor Rajiv Kumar who at this time is the Assistant Professor at the

Indian Institute of Management, Calcutta. We remain grateful for the energy and time that he brought to

this effort.

We would like to put on record our gratitude to Ms NG Siew Kiang currently the Executive Director at

Contact Singapore, which is an alliance of the Singapore Economic Development Board and the Ministry of

Manpower – dedicated to attracting global talent to work, invest and live in Singapore. Contact Singapore

has offices in Asia Pacific, Europe and North America. Her views provide insights on “what can be” and are

relevant to the growth that India pursues for there is little doubt that as the nation integrates into the global

economy its leadership will also integrate with global talent.

This study would hardly have been possible without the time provided by the participants, often during

schedules that were busy.

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�7� �P�M

About the study

iii

Over a decade ago Amrop and the Harvard business school first published its study titled “The International Executive”

and provided pointers to global organisations on how a cadre of internationally adept executives might be developed.

India is now on a path of rapid growth and we are delighted to publish another first of its kind “To be or Not to Be”;

Expatriates in Indian Companies”.

In this study the term Expatriate refers to a person of non-Indian origin, but working and residing in India. On the other

hand the term Repatriate refers to a person of Indian origin who has returned to India for work after having spent some

or most part of his professional career outside India.

This research has unique depth as conclusions and insights are drawn from a diverse group of senior executives, with

their own unique personal experiences on the subject. It establishes that there an increase in willingness to look

beyond India and native Indians – that goes well beyond the obvious advantage of skills and ability. But many appear

less prepared to accept the wider benefits and hence experience lower value. The expatriates also appear less

prepared for this adaptation which at times is complex.

The drivers of expatriate attraction themselves are not without surprise and suggest possibilities that are promising.

The research has given body to debates such as the question of “who is better” . Expatriates or Repatriates. The

answers challenge many past mind sets and while for many Indian organisations “Repatriates” are a preferred choice

when seeking global talent, the research establishes that their fitment can be full of strife.

Best practices and suggested approaches have been put together that provide a framework for reaching a successful

balance. Incorporating other research work from Amrop, the study also recommends Indian companies to build a cadre

of international executives through a sustained long term approach to globalization of internal talent. In a small but

relevant way, the role of the Government has been debated and parallels drawn with other countries.

The key message for Indian companies being – prepare, support and enable fitment. While for expatriates, they need

to focus on adaptability and demonstrate value and not simply rest on past laurels.

At many places in the study percentages have been calculated basis comments by respondents. Given the nature of

this quantitative study, these percentages may not be truly generalized.

The study is gender neutral and 'she' or 'he' is used for the ease of language and will always mean both

together.

Acknowledgments

We are indeed grateful to Prof. Dr Jagdeep S. Chhokar for leading the thought and work on his study. His

discussions with the participants were greatly appreciated for their candour and the insightful debates that

ensued. Prof. Chhokar completed his PhD from the Louisiana State University, USA and after an illustrious

career retired as the Dean and Director In-Charge at the Indian Institute of Management, Ahmedabad. He

now lives in Delhi.

He was ably assisted by Assistant Professor Rajiv Kumar who at this time is the Assistant Professor at the

Indian Institute of Management, Calcutta. We remain grateful for the energy and time that he brought to

this effort.

We would like to put on record our gratitude to Ms NG Siew Kiang currently the Executive Director at

Contact Singapore, which is an alliance of the Singapore Economic Development Board and the Ministry of

Manpower – dedicated to attracting global talent to work, invest and live in Singapore. Contact Singapore

has offices in Asia Pacific, Europe and North America. Her views provide insights on “what can be” and are

relevant to the growth that India pursues for there is little doubt that as the nation integrates into the global

economy its leadership will also integrate with global talent.

This study would hardly have been possible without the time provided by the participants, often during

schedules that were busy.

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�7� �P�M

Some of ourStudy Participants

Avantha Group

Sanmar Germany

Bharti Airtel

Aditya Birla Group

Bharti Airtel

ex- Tata Power

Bharti Enterprises

Amrop Mexico

Crompton Greaves

Forward Group

Cemex Mexico

Muruguppa Group

Sanmar Group

Bharti Airtel

Ashwini Gupta

Betram Kawalath

Carol Borghese

David Von Platon

Don Price

Gerry Grove White

Inder Walia

Jose Carillo

Kelly Martin

Liam Donnelley

Luiz Hernandez

M M Murrugappan

M N Radhakrishnan

Manoj Kohli

N Sankar

N Srinath

Nilanjan Shome

Peter Vinall

Raju Narisetti

Russel Burman

Santrupt Misra

Shailendra Jain

Subhash Chandra

Sudhir Trehan

Dr. Thomas Duckers

Ulrich Dade

Vasantha Anagamuthu

Yavar Dhala

Sanmar Group

Tata Communications

HT Media

Ex - Aditya Birla Group

HT Media

Aditya Birla Retail

Aditya Birla Group

Grasim Industries

Essel Group

Crompton Greaves

Ex-Bharat Forge

Amrop Germany

HT Media

Forward Group

The equation of demand and supply

Hiring and engaging effectively

“Fitting in” to deliver the value proposition

Best practices that drive success

Other experiences and considerations

Contents

v

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�7� �P�M

Some of ourStudy Participants

Avantha Group

Sanmar Germany

Bharti Airtel

Aditya Birla Group

Bharti Airtel

ex- Tata Power

Bharti Enterprises

Amrop Mexico

Crompton Greaves

Forward Group

Cemex Mexico

Muruguppa Group

Sanmar Group

Bharti Airtel

Ashwini Gupta

Betram Kawalath

Carol Borghese

David Von Platon

Don Price

Gerry Grove White

Inder Walia

Jose Carillo

Kelly Martin

Liam Donnelley

Luiz Hernandez

M M Murrugappan

M N Radhakrishnan

Manoj Kohli

N Sankar

N Srinath

Nilanjan Shome

Peter Vinall

Raju Narisetti

Russel Burman

Santrupt Misra

Shailendra Jain

Subhash Chandra

Sudhir Trehan

Dr. Thomas Duckers

Ulrich Dade

Vasantha Anagamuthu

Yavar Dhala

Sanmar Group

Tata Communications

HT Media

Ex - Aditya Birla Group

HT Media

Aditya Birla Retail

Aditya Birla Group

Grasim Industries

Essel Group

Crompton Greaves

Ex-Bharat Forge

Amrop Germany

HT Media

Forward Group

The equation of demand and supply

Hiring and engaging effectively

“Fitting in” to deliver the value proposition

Best practices that drive success

Other experiences and considerations

Contents

v

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�7� �P�M

The equation of demand and supply

Are Indian companies seeking to create

multicultural organizations ?

Indian companies are open to inducting expatriate

talent but The Drivers of this demand are revealing.

The “Uniqueness” of the India experience is at the

centre of this challenge and impacts the availability

and attraction of expatriates.

While the question is logical it is perhaps little bit early.

Even then the value proposition of expatriates working

in Indian companies is overwhelmingly established – all

sides articulate an opportunity for a win-win relationship.

There is increasing intolerance for a sub-optimal

performance culture, and a willingness to go across

borders in order to find right leaders to catalyse

superior performance. There is need for bringing in

superior knowledge and skills with a goal of improving

competitive ability.

Demand for Expatriate leaders is driven by the needs of

Indian companies seeking a step change in their

competitive performance through the expertise &

leadership culture that expatriates bring. The context of

these needs can be varied -

nFaster development of Sunrise Industries

nGlobal business expansion

nGlobal Integration and Excellence

nM&A residues and business models.

While attracted by the furious growth of our economy

and the chance for a rich and diverse experience,

Summary

“It is now fashionable to work in India and on the flip side, there are those who find the India story far-fetched. While the jury is still out, there is a promise of value to all.”

expatriates can be daunted by the state of Indian

infrastructure. Even then this “attraction” is positively

influenced by considerations such as

nThe Brand and Quality of the Indian Company

nAbility to have larger impact on business than

narrower role definitions

nThe role content itself which can be very challenging

nIndia like experience in other markets around the

world

nThe decline of several industries in world markets.

While most companies admitted to the need for

expatriate talent, the level of enthusiasm was varied.

Comments from three leading Chief Executives reveal

the simplicity of this equation:

“Indian business needs talent. Whether that

talent is an expatriate or an Indian does not

matter.”

“We have to look at human resource in its

entirety and what is available and what is

needed, irrespective of whether that talent

is Indian, American, Czech, or German.”

“If companies in India need to be global, they

will need expatriate talent.”

A profound outcome is that the definition of the

“right leadership talent” is undergoing a perceptible

shift.

2

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�7� �P�M

The equation of demand and supply

Are Indian companies seeking to create

multicultural organizations ?

Indian companies are open to inducting expatriate

talent but The Drivers of this demand are revealing.

The “Uniqueness” of the India experience is at the

centre of this challenge and impacts the availability

and attraction of expatriates.

While the question is logical it is perhaps little bit early.

Even then the value proposition of expatriates working

in Indian companies is overwhelmingly established – all

sides articulate an opportunity for a win-win relationship.

There is increasing intolerance for a sub-optimal

performance culture, and a willingness to go across

borders in order to find right leaders to catalyse

superior performance. There is need for bringing in

superior knowledge and skills with a goal of improving

competitive ability.

Demand for Expatriate leaders is driven by the needs of

Indian companies seeking a step change in their

competitive performance through the expertise &

leadership culture that expatriates bring. The context of

these needs can be varied -

nFaster development of Sunrise Industries

nGlobal business expansion

nGlobal Integration and Excellence

nM&A residues and business models.

While attracted by the furious growth of our economy

and the chance for a rich and diverse experience,

Summary

“It is now fashionable to work in India and on the flip side, there are those who find the India story far-fetched. While the jury is still out, there is a promise of value to all.”

expatriates can be daunted by the state of Indian

infrastructure. Even then this “attraction” is positively

influenced by considerations such as

nThe Brand and Quality of the Indian Company

nAbility to have larger impact on business than

narrower role definitions

nThe role content itself which can be very challenging

nIndia like experience in other markets around the

world

nThe decline of several industries in world markets.

While most companies admitted to the need for

expatriate talent, the level of enthusiasm was varied.

Comments from three leading Chief Executives reveal

the simplicity of this equation:

“Indian business needs talent. Whether that

talent is an expatriate or an Indian does not

matter.”

“We have to look at human resource in its

entirety and what is available and what is

needed, irrespective of whether that talent

is Indian, American, Czech, or German.”

“If companies in India need to be global, they

will need expatriate talent.”

A profound outcome is that the definition of the

“right leadership talent” is undergoing a perceptible

shift.

2

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�7� �P�M

Aspirations of growth and competitive ability through

global excellence are the two fundamental drivers for

Indian companies to hire expatriates.

The emergence of new industries in the country such as

organized retail as well as the rapid development of

others such as new media, aviation provides a platform

for the induction of expatriate leaders. For such

industries a good learning and performance curve

already exists in other parts of the world. It makes

sense to tap into the expertise of people from these

industries globally though sensitivity to their current

business models is recommended.

As the chairman of a leading media company pointed

out: “Despite having the largest film industry, the live

entertainment segment has not been developed as

much because we have neither adequate technology

nor the human capital”.

As Indian companies expand worldwide, demand is

fuelled by the desire to 'localize' their global

subsidiaries - acknowledging that unique knowledge

and local familiarity of foreign markets is key to

success. However drivers such as their commitment

and implementation skills often remain hidden.

Expatriates are seen to bring ready expertise to

increase the speed of development of

underdeveloped as well as sunrise industries.

Expatriates are seen to bring immediate value in

other “select” domain areas, which lack local

leadership talent even when the industry is not new.

Global Business Expansion fuels demand for

expatriates.

The equation of demand and supply

What drives demand?

70% Expatriates bring ready expertise

16% Global business expansion

14% Global integration and excellence

Leading Factors that influence demand

0% Leadership Skills

70%

16%14%

Says one CEO, “I have an expatriate controlling the

quality of 36 plants on three continents. I would not

have been able to achieve global quality without him”.

Integration challenges emerge consequent to global

M&A as organizations acquire a multi-national

workforce which in some cases exceeds 30% of the

total. To manage such situations a demand for

expatriate managers is emerging, even though they

may be located on foreign shores.

Indian companies rarely seek, expatriate talent for

leadership and people skills. However during hiring a

negative perception around these becomes a cause for

rejection. As India develops further we expect this to be

to an important driver in the pursuit of superior talent.

Merger & Acquisition particularly International

acquisitions have brought foreign talent into Indian

companies.

Most of the emerging drivers are ‘hard’ in nature

and aspects such as leadership & people

management are conspicuous by their absence.

So, is India a favoured destination for global talent?

There is wide belief that this would be stretching the

truth.

India or “India-like” experience becomes a key

driver of attraction for expatriates

The growth story of many Indian Companies drives

positive perceptions to be in a role with much larger

and sometimes with unprecedented scale.

While obstacles must be overcome, attractions appear

as well. The “India story” lies centre stage but its

articulation is fraught with ambiguity often even within

an organization.

An expatriate remarked “Enough homework has not

been done and a clear 'balance sheet' of positives and

negatives not articulated leading to uncomfortable

surprises”.

(referring to

developing, culturally or language complex nations)

Such leaders feel a “connect” of sorts and consequently

posses a superior ability to deal with the issues that are

inherent to the India move.

An Amrop German partner with significant India

familiarity pointed out: “When hiring for an Indian

company, we look for International exposure to

countries like China and Brazil. They, then appreciate

what we are taking about.”.

To illustrate the point, an expatriate hired for his special

knowledge of an industry handled a scale almost 30

times higher than his last job, described value to himself

as 'an unparalleled exposure'. In addition he enjoys a

derived benefit of international recognition, thereby

raising his own profile.

The equation ofdemand and supply

11% Quality of Indian companies

14% Declining overseas industries

17% Challenging role content

29% Larger playing field

29% India or India like experience

What influences attraction?

14%

11%29%

29%

17%

Factors that impact attraction for India

This translates into a richer and differentiated

experience for expatriates. Revealed are the sometimes

hidden attractions for some expatriates who see

potential global recognition by her/his association with

such companies.

An expatriate R&D leader working in India remarked

“ I would get to experience the tremendous challenge of

a new design project which could impact the global

market and in my opinion will change the game around

the world”.

Quality of their own company remains a blind side for

many hiring companies while others are unprepared to

articulate it. For example - a recent growth story to a

new business model yet unseen, challenging vision, top

management.

Many examples of such industries were debated that

provide a pool of talent - manufacturing, automotive, etc.

A challenging business agenda often drives an

attractive role content.

Many are attracted to the Quality of Indian

Companies

Declining overseas industries, for some, are an

important attraction to Indian companies.

4

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�7� �P�M

Aspirations of growth and competitive ability through

global excellence are the two fundamental drivers for

Indian companies to hire expatriates.

The emergence of new industries in the country such as

organized retail as well as the rapid development of

others such as new media, aviation provides a platform

for the induction of expatriate leaders. For such

industries a good learning and performance curve

already exists in other parts of the world. It makes

sense to tap into the expertise of people from these

industries globally though sensitivity to their current

business models is recommended.

As the chairman of a leading media company pointed

out: “Despite having the largest film industry, the live

entertainment segment has not been developed as

much because we have neither adequate technology

nor the human capital”.

As Indian companies expand worldwide, demand is

fuelled by the desire to 'localize' their global

subsidiaries - acknowledging that unique knowledge

and local familiarity of foreign markets is key to

success. However drivers such as their commitment

and implementation skills often remain hidden.

Expatriates are seen to bring ready expertise to

increase the speed of development of

underdeveloped as well as sunrise industries.

Expatriates are seen to bring immediate value in

other “select” domain areas, which lack local

leadership talent even when the industry is not new.

Global Business Expansion fuels demand for

expatriates.

The equation of demand and supply

What drives demand?

70% Expatriates bring ready expertise

16% Global business expansion

14% Global integration and excellence

Leading Factors that influence demand

0% Leadership Skills

70%

16%14%

Says one CEO, “I have an expatriate controlling the

quality of 36 plants on three continents. I would not

have been able to achieve global quality without him”.

Integration challenges emerge consequent to global

M&A as organizations acquire a multi-national

workforce which in some cases exceeds 30% of the

total. To manage such situations a demand for

expatriate managers is emerging, even though they

may be located on foreign shores.

Indian companies rarely seek, expatriate talent for

leadership and people skills. However during hiring a

negative perception around these becomes a cause for

rejection. As India develops further we expect this to be

to an important driver in the pursuit of superior talent.

Merger & Acquisition particularly International

acquisitions have brought foreign talent into Indian

companies.

Most of the emerging drivers are ‘hard’ in nature

and aspects such as leadership & people

management are conspicuous by their absence.

So, is India a favoured destination for global talent?

There is wide belief that this would be stretching the

truth.

India or “India-like” experience becomes a key

driver of attraction for expatriates

The growth story of many Indian Companies drives

positive perceptions to be in a role with much larger

and sometimes with unprecedented scale.

While obstacles must be overcome, attractions appear

as well. The “India story” lies centre stage but its

articulation is fraught with ambiguity often even within

an organization.

An expatriate remarked “Enough homework has not

been done and a clear 'balance sheet' of positives and

negatives not articulated leading to uncomfortable

surprises”.

(referring to

developing, culturally or language complex nations)

Such leaders feel a “connect” of sorts and consequently

posses a superior ability to deal with the issues that are

inherent to the India move.

An Amrop German partner with significant India

familiarity pointed out: “When hiring for an Indian

company, we look for International exposure to

countries like China and Brazil. They, then appreciate

what we are taking about.”.

To illustrate the point, an expatriate hired for his special

knowledge of an industry handled a scale almost 30

times higher than his last job, described value to himself

as 'an unparalleled exposure'. In addition he enjoys a

derived benefit of international recognition, thereby

raising his own profile.

The equation ofdemand and supply

11% Quality of Indian companies

14% Declining overseas industries

17% Challenging role content

29% Larger playing field

29% India or India like experience

What influences attraction?

14%

11%29%

29%

17%

Factors that impact attraction for India

This translates into a richer and differentiated

experience for expatriates. Revealed are the sometimes

hidden attractions for some expatriates who see

potential global recognition by her/his association with

such companies.

An expatriate R&D leader working in India remarked

“ I would get to experience the tremendous challenge of

a new design project which could impact the global

market and in my opinion will change the game around

the world”.

Quality of their own company remains a blind side for

many hiring companies while others are unprepared to

articulate it. For example - a recent growth story to a

new business model yet unseen, challenging vision, top

management.

Many examples of such industries were debated that

provide a pool of talent - manufacturing, automotive, etc.

A challenging business agenda often drives an

attractive role content.

Many are attracted to the Quality of Indian

Companies

Declining overseas industries, for some, are an

important attraction to Indian companies.

4

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respond to language and to a face that looks like our

own, often throwing caution to the wind in that pursuit”.

This research suggests a few factors that will require

consideration leading to better decision making, such

as:

nThe design of the hiring process that is relevant for

each induction and not a master process that will

work for everything

nA diagnostic approach can add significant value and

must be a prelude to action.

nIndia could stress the person but could stress the

family even more.

nDebating basic and often taken for granted

processes during the hiring phase can cause fatigue

to those involved.

Indian companies desire to hire expatriates but

many are not prepared to proceed along that path

and for some a poor outcome often leads them to

throw the baby out with the water.“When we hire globally it amazes me how werespond to a language we understand and to a face that looks just like our own, often throwing caution to the wind.”

Summary

Hiring and engaging effectively

Two Questions are paramount in the decision to hire

an expatriate. “Is an expatriate needed in this job ?”

and if yes “Is he needed in this situation, today ?”

These questions suggest a deeper evaluation of the

‘need’ is required; an analysis that goes beyond the

obvious into aspects that might impact attraction or the

choice of the person. While the questions are important

even more important is the one least asked “ Who

should be the participants to this discussion”. Many a

times a poor choice of participants have compromised

the outcome.

The importance of 'who' might be involved in these

discussions is lost quickly as the discussion itself gets

embroiled into many other debates, perhaps the most

heated being that of the eternal divide between opting

for a “Repatriate or an Expatriate”. (repatriate refers to

a person of Indian origin returning to India after many

years or even with no India experience). We find that

hiring of Indian repatriates has its own tricky issues and

does not deserve the ease with which it achieves

“preferred” status in many an organization.

As one CEO put it rather directly “It amazes me how we

6

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�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�8� �P�M

respond to language and to a face that looks like our

own, often throwing caution to the wind in that pursuit”.

This research suggests a few factors that will require

consideration leading to better decision making, such

as:

nThe design of the hiring process that is relevant for

each induction and not a master process that will

work for everything

nA diagnostic approach can add significant value and

must be a prelude to action.

nIndia could stress the person but could stress the

family even more.

nDebating basic and often taken for granted

processes during the hiring phase can cause fatigue

to those involved.

Indian companies desire to hire expatriates but

many are not prepared to proceed along that path

and for some a poor outcome often leads them to

throw the baby out with the water.“When we hire globally it amazes me how werespond to a language we understand and to a face that looks just like our own, often throwing caution to the wind.”

Summary

Hiring and engaging effectively

Two Questions are paramount in the decision to hire

an expatriate. “Is an expatriate needed in this job ?”

and if yes “Is he needed in this situation, today ?”

These questions suggest a deeper evaluation of the

‘need’ is required; an analysis that goes beyond the

obvious into aspects that might impact attraction or the

choice of the person. While the questions are important

even more important is the one least asked “ Who

should be the participants to this discussion”. Many a

times a poor choice of participants have compromised

the outcome.

The importance of 'who' might be involved in these

discussions is lost quickly as the discussion itself gets

embroiled into many other debates, perhaps the most

heated being that of the eternal divide between opting

for a “Repatriate or an Expatriate”. (repatriate refers to

a person of Indian origin returning to India after many

years or even with no India experience). We find that

hiring of Indian repatriates has its own tricky issues and

does not deserve the ease with which it achieves

“preferred” status in many an organization.

As one CEO put it rather directly “It amazes me how we

6

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�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�8� �P�M

expectation the expatriate himself or herself develops a

poorer perception of his or her own performance.

In most cases expatriates were paid higher than their

local peers. This complicates the situation and creates

challenges of negative team perceptions; unless

managed by clear communication it has an adverse

effect. Keep in mind that who participates in the debate

on an expatriate induction is as important as debating

how the induction may be managed.

First to accept an offer to work here and then to actually

settle down and relocate family – often becomes an

insurmountable problem. Throughout the process of

hiring, new challenges will emerge and those who do

well are ones who are not exasperated by a subject

reappearing often.

The good news is that most companies are sensitive

towards this but an organized approach seems lacking.

Processes and systems are under developed and even

with those with experience, often relegate it to a level of

unjustified simplicity. Interestingly, the families of

returning Indians seem to have equal or more problems

adjusting to India than those of expatriates.

As a CEO says, “I want to be sure the expatriate and

his/her family is culturally adaptable and is supported in

that endeavour. You can have the finest people, but if

they are unhappy and dissatisfied because their families

are not here it tends to impact their work. I'd be very

concerned if that happens.”

A hurdle that is often the first as well as the last will

be that of family adjustment.

Hiring and engaging effectively

Comparative importance of factors

Indian InfrastructureCompensationRelocation

Family Adjustment

70%

43%

12%

31%

5%9%

Expatriates

Indian Companies

9%

21%

“Is an expatriate needed for this job and in this

situation, now?” Caution is advised in reaching

conclusion by thorough an examination of this

question before embarking on the journey.

A focus on what is important will keep the discussion on

an even keel. The Value Proposition of the Expatriate

needs to be forecasted and well understood. Lack of

an effort to answer this question leads to a serious

mismatch of aspirations and delivered value between

the expatriate and the Indian company. It leaves many

perplexed as the mismatch is rarely traced to this point

where it really originates.

Our research reveals that the fitment of Expatriates

is superior in technical and expertise roles.

This, coupled with their ability to keep to delivery

schedules, makes foreign nationals a first choice in

roles related to technology, engineering and

manufacturing. At the same time those organizations

which paid little heed to the whole package including

leadership style and team relationships, suffered.

Even for business leadership roles, the value

proposition continues to be centred significantly on

advanced knowledge and capability in a particular

industry.

Many examples can be found in new industry verticals -

for example, CEO of a new airline when almost no

relevant executive talent exists in India; Companies

that understand this value beyond the limited view of

sector expertise will do better.

Hiring and engaging effectively

Factors that will influence hiring

A well structured and patient hiring process

conducted with depth & candour plays a key role in

the selection and attraction of expatriates.

This is one area where most companies seem to have

invested well and most expatriates express satisfaction

with the efforts made by companies in briefing them, the

involvement of the top management and the overall

patience to allow the right decisions to emerge. Even

then the prelude to this hiring process does need

improvement through a diagnostic process that involves

multiple stakeholders chosen with care.

A comment made defined it well “The deep involvement

of the CEO himself gives the candidate the impression

that the top of the organization is devoting a lot of time

and attention. This of course is extremely important for

the candidate.”

Compensation is seen as a double-edged sword

and both too low and too high can lead to

difficulties.

It is established that Indian companies possess a

willingness to pay higher compensation for the right

expatriate talent. Terms of employment also differ

around issues of vacation time, stock options, taxation,

and retirement benefits. Most expatriates have a

positive view on this subject.

As one group HR head says, “Cost is not a

disincentive... If the knowledge they bring is unique and

required, we have paid super premiums to bring some

exceptional foreign talent in.”

But this is only half the story. The real challenge is that

the willingness to pay a premium creates a much higher

expectation within the organization – and against this

The aspect of actual relocation and physical

transition is important and involves both the body

and soul.

Indian employers seem to manage and support this well

enough and are known to welcome the new joinee with

personal contact and social engagements. As Prof Jain

says in the foreword, it is natural for a nation that

welcomes a guest with open arms. A well designed

relocation policy can only eliminate confusion that

sometimes develops.

8

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�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�8� �P�M

expectation the expatriate himself or herself develops a

poorer perception of his or her own performance.

In most cases expatriates were paid higher than their

local peers. This complicates the situation and creates

challenges of negative team perceptions; unless

managed by clear communication it has an adverse

effect. Keep in mind that who participates in the debate

on an expatriate induction is as important as debating

how the induction may be managed.

First to accept an offer to work here and then to actually

settle down and relocate family – often becomes an

insurmountable problem. Throughout the process of

hiring, new challenges will emerge and those who do

well are ones who are not exasperated by a subject

reappearing often.

The good news is that most companies are sensitive

towards this but an organized approach seems lacking.

Processes and systems are under developed and even

with those with experience, often relegate it to a level of

unjustified simplicity. Interestingly, the families of

returning Indians seem to have equal or more problems

adjusting to India than those of expatriates.

As a CEO says, “I want to be sure the expatriate and

his/her family is culturally adaptable and is supported in

that endeavour. You can have the finest people, but if

they are unhappy and dissatisfied because their families

are not here it tends to impact their work. I'd be very

concerned if that happens.”

A hurdle that is often the first as well as the last will

be that of family adjustment.

Hiring and engaging effectively

Comparative importance of factors

Indian InfrastructureCompensationRelocation

Family Adjustment

70%

43%

12%

31%

5%9%

Expatriates

Indian Companies

9%

21%

“Is an expatriate needed for this job and in this

situation, now?” Caution is advised in reaching

conclusion by thorough an examination of this

question before embarking on the journey.

A focus on what is important will keep the discussion on

an even keel. The Value Proposition of the Expatriate

needs to be forecasted and well understood. Lack of

an effort to answer this question leads to a serious

mismatch of aspirations and delivered value between

the expatriate and the Indian company. It leaves many

perplexed as the mismatch is rarely traced to this point

where it really originates.

Our research reveals that the fitment of Expatriates

is superior in technical and expertise roles.

This, coupled with their ability to keep to delivery

schedules, makes foreign nationals a first choice in

roles related to technology, engineering and

manufacturing. At the same time those organizations

which paid little heed to the whole package including

leadership style and team relationships, suffered.

Even for business leadership roles, the value

proposition continues to be centred significantly on

advanced knowledge and capability in a particular

industry.

Many examples can be found in new industry verticals -

for example, CEO of a new airline when almost no

relevant executive talent exists in India; Companies

that understand this value beyond the limited view of

sector expertise will do better.

Hiring and engaging effectively

Factors that will influence hiring

A well structured and patient hiring process

conducted with depth & candour plays a key role in

the selection and attraction of expatriates.

This is one area where most companies seem to have

invested well and most expatriates express satisfaction

with the efforts made by companies in briefing them, the

involvement of the top management and the overall

patience to allow the right decisions to emerge. Even

then the prelude to this hiring process does need

improvement through a diagnostic process that involves

multiple stakeholders chosen with care.

A comment made defined it well “The deep involvement

of the CEO himself gives the candidate the impression

that the top of the organization is devoting a lot of time

and attention. This of course is extremely important for

the candidate.”

Compensation is seen as a double-edged sword

and both too low and too high can lead to

difficulties.

It is established that Indian companies possess a

willingness to pay higher compensation for the right

expatriate talent. Terms of employment also differ

around issues of vacation time, stock options, taxation,

and retirement benefits. Most expatriates have a

positive view on this subject.

As one group HR head says, “Cost is not a

disincentive... If the knowledge they bring is unique and

required, we have paid super premiums to bring some

exceptional foreign talent in.”

But this is only half the story. The real challenge is that

the willingness to pay a premium creates a much higher

expectation within the organization – and against this

The aspect of actual relocation and physical

transition is important and involves both the body

and soul.

Indian employers seem to manage and support this well

enough and are known to welcome the new joinee with

personal contact and social engagements. As Prof Jain

says in the foreword, it is natural for a nation that

welcomes a guest with open arms. A well designed

relocation policy can only eliminate confusion that

sometimes develops.

8

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�8� �P�M

Expatriate vs. Repatriate - eternal debate

Returning Talent of Indian Origin (Repatriates) over

International Talent of Foreign Origin (Expatriates).

This preference is hinged on two thoughts: First a

perception that they would fit better culturally and hence

assimilate faster and the second that of higher stability

and longevity within the job

“We want an [returning] Indian as we want them to

stay.” says an Indian company CEO.

The Chairman of another company, says, “Obviously, in

most cases you will take an Indian because of his/her

knowledge of cultural situations and most likely the best

fit would be an Indian.”

This seemingly simple conclusion is not supported by

experience and we recommend companies take a hard

look. The belief throws a veil on two very important

considerations. One, they might actually not fit in better

and the second; an expatriate might bring greater value.

A business leader in the study commented “Even when I

feel that the most likely best fit would be a returning

Indian, I do not rule out others”

For instance, many perceive repatriates to have a chip

on their shoulder without possessing a distinctively

superior capability. Indian Companies tended to have

All things being equal, when it comes to the right

international talent, Indian companies have a strong

preference for Repatriates over expatriates.

Closer examination will however reveal that the

fitment of Indian repatriates is also fraught with its

own set of tricky issues.

Hiring and engaging effectively

Most expatriates have had a positive experience while

relocating to India. These positive experiences are

driven by actions such as; a visit to India with family

during hiring; use of specialized relocation agencies

and finally the attention of the top management which is

seen to be very comforting. Leaving it to internal

administration functions alone has often caused

avoidable lapses.

Expatriate vs Repatriate: eternal debate

even higher performance expectations from repatriates

almost setting them up for failure.

Repatriates seemed to believe in their own ability to

adjust to the new environment much more than reality

seems to suggest. Consequently they make less of an

effort in becoming acceptable to others in the

organization. Looking like an Indian with an ability to

speak the language is rated far more then it needs to

be.

Families of repatriates find it harder to adjust

caused largely by the element of “surprise”.

A repatriate's fitment is directly proportionate to his level

of “connectivity” with India. Connectivity shows up in

many ways; extended family living in India, older

parents of self and/or spouse, location being a place

where they grew up, large social circle that exists today

and can be active.

Hiring and engaging effectively

Expatriate vs Repatriate: eternal debate

ExpatriateRepatriate

Adaptability

Acceptance

Preference

Perceived Longevity

86%

60%

22%

5%

14%

40%

78%

95%

The perceptions of Indian Companies

A comment by a repatriate was revealing: “Indians

resident overseas are anything but Indians.”

So is nationality an advantage or a determinant? The

debate essentially boils down to a matter of perception

rather than facts and a comment from a senior

participant illuminates this confusion the best.

“What we really want is the aggressiveness of an

American manager in terms of growing the business,

the meticulousness of a Japanese manager and the

discipline of a German!”

10

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�8� �P�M

Expatriate vs. Repatriate - eternal debate

Returning Talent of Indian Origin (Repatriates) over

International Talent of Foreign Origin (Expatriates).

This preference is hinged on two thoughts: First a

perception that they would fit better culturally and hence

assimilate faster and the second that of higher stability

and longevity within the job

“We want an [returning] Indian as we want them to

stay.” says an Indian company CEO.

The Chairman of another company, says, “Obviously, in

most cases you will take an Indian because of his/her

knowledge of cultural situations and most likely the best

fit would be an Indian.”

This seemingly simple conclusion is not supported by

experience and we recommend companies take a hard

look. The belief throws a veil on two very important

considerations. One, they might actually not fit in better

and the second; an expatriate might bring greater value.

A business leader in the study commented “Even when I

feel that the most likely best fit would be a returning

Indian, I do not rule out others”

For instance, many perceive repatriates to have a chip

on their shoulder without possessing a distinctively

superior capability. Indian Companies tended to have

All things being equal, when it comes to the right

international talent, Indian companies have a strong

preference for Repatriates over expatriates.

Closer examination will however reveal that the

fitment of Indian repatriates is also fraught with its

own set of tricky issues.

Hiring and engaging effectively

Most expatriates have had a positive experience while

relocating to India. These positive experiences are

driven by actions such as; a visit to India with family

during hiring; use of specialized relocation agencies

and finally the attention of the top management which is

seen to be very comforting. Leaving it to internal

administration functions alone has often caused

avoidable lapses.

Expatriate vs Repatriate: eternal debate

even higher performance expectations from repatriates

almost setting them up for failure.

Repatriates seemed to believe in their own ability to

adjust to the new environment much more than reality

seems to suggest. Consequently they make less of an

effort in becoming acceptable to others in the

organization. Looking like an Indian with an ability to

speak the language is rated far more then it needs to

be.

Families of repatriates find it harder to adjust

caused largely by the element of “surprise”.

A repatriate's fitment is directly proportionate to his level

of “connectivity” with India. Connectivity shows up in

many ways; extended family living in India, older

parents of self and/or spouse, location being a place

where they grew up, large social circle that exists today

and can be active.

Hiring and engaging effectively

Expatriate vs Repatriate: eternal debate

ExpatriateRepatriate

Adaptability

Acceptance

Preference

Perceived Longevity

86%

60%

22%

5%

14%

40%

78%

95%

The perceptions of Indian Companies

A comment by a repatriate was revealing: “Indians

resident overseas are anything but Indians.”

So is nationality an advantage or a determinant? The

debate essentially boils down to a matter of perception

rather than facts and a comment from a senior

participant illuminates this confusion the best.

“What we really want is the aggressiveness of an

American manager in terms of growing the business,

the meticulousness of a Japanese manager and the

discipline of a German!”

10

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�8� �P�M

people wield starts to dawn. The Expatriates

themselves are less prepared and have not invested

the time and energy in preparing for this adaptation.

The companies expressed greater overall satisfaction

and have largely positive experience with their

expatriate leaders: 6.5 on a scale of 10. The expatriate

leaders themselves saw it to be lower and experienced

significant frustration : 3.5 on a scale of 10. Indian

companies would do better to understand these

frustrations and prepare better.

While there are many lessons to be learnt and problems

to be fixed a few comments from companies

communicates the challenge to this balance:

“A positive experience over all; Huge

contribution made by the expatriate and

expectations around technical team expertise

were delivered.”

“The performance levels of expatriates are below

expectations. Their capability is not as distinctive

either and the cultural gap lowers their

productivity further.”

“Adjustment to India is a 2-3 year process and

not 6 months.”

The first round in this fitment journey has been

“experimental” and has been better for Indian

companies than for their expatriate leaders.

“Fitting in” to deliver the value proposition

“An expatriate is surprised by the level of intellect

around him and his unprepared-ness allows people to

run circles around him causing serious difficulties.” This

comment from a previous chairman of a Bank sums up

the challenges of fitment eloquently.

This chapter unfolds the early journey of expatriates in

working and leading in Indian companies. The

challenges they face in each step and at times even

before they join and take charge.

Actions of these stakeholders are sometimes deliberate

and sometimes not so. But the impact of their actions is

always not evident. This insensitivity often causes

dissonance and stresses appear that have

consequences over the medium and longer term.

Team dynamics with peers and subordinates is known to

bring about a cultural disconnect as the widely prevalent

communications style “of reading between the lines”

surfaces and understanding the unwritten influence that

At a time of any hiring, the right leadership talent is

no simple matter and the hiring of the right

expatriate leader is tougher, but to ensure that the

expatriate leader settles down is by far the toughest

part of the journey.

Stakeholders to this 'fitment' greatly influence the

success or the lack of it inside organizations, many

times without even being aware of it.

Top Management of Indian companies often plays a

decisive role in under leveraging the expatriate's

value proposition.

Summary

“When he arrives an expatriate is surprised by the level of intellect around him and his unprepared-ness is visible, and allows people to run circles around him.”

12

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�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�8� �P�M

people wield starts to dawn. The Expatriates

themselves are less prepared and have not invested

the time and energy in preparing for this adaptation.

The companies expressed greater overall satisfaction

and have largely positive experience with their

expatriate leaders: 6.5 on a scale of 10. The expatriate

leaders themselves saw it to be lower and experienced

significant frustration : 3.5 on a scale of 10. Indian

companies would do better to understand these

frustrations and prepare better.

While there are many lessons to be learnt and problems

to be fixed a few comments from companies

communicates the challenge to this balance:

“A positive experience over all; Huge

contribution made by the expatriate and

expectations around technical team expertise

were delivered.”

“The performance levels of expatriates are below

expectations. Their capability is not as distinctive

either and the cultural gap lowers their

productivity further.”

“Adjustment to India is a 2-3 year process and

not 6 months.”

The first round in this fitment journey has been

“experimental” and has been better for Indian

companies than for their expatriate leaders.

“Fitting in” to deliver the value proposition

“An expatriate is surprised by the level of intellect

around him and his unprepared-ness allows people to

run circles around him causing serious difficulties.” This

comment from a previous chairman of a Bank sums up

the challenges of fitment eloquently.

This chapter unfolds the early journey of expatriates in

working and leading in Indian companies. The

challenges they face in each step and at times even

before they join and take charge.

Actions of these stakeholders are sometimes deliberate

and sometimes not so. But the impact of their actions is

always not evident. This insensitivity often causes

dissonance and stresses appear that have

consequences over the medium and longer term.

Team dynamics with peers and subordinates is known to

bring about a cultural disconnect as the widely prevalent

communications style “of reading between the lines”

surfaces and understanding the unwritten influence that

At a time of any hiring, the right leadership talent is

no simple matter and the hiring of the right

expatriate leader is tougher, but to ensure that the

expatriate leader settles down is by far the toughest

part of the journey.

Stakeholders to this 'fitment' greatly influence the

success or the lack of it inside organizations, many

times without even being aware of it.

Top Management of Indian companies often plays a

decisive role in under leveraging the expatriate's

value proposition.

Summary

“When he arrives an expatriate is surprised by the level of intellect around him and his unprepared-ness is visible, and allows people to run circles around him.”

12

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�8� �P�M

“Fitting in” to deliver the value proposition

The underlying issues that inhibit performance and

delivery on the job are complex and revolve around a

central theme of work culture and expectations. The role

of top management in Indian companies is of great

importance as is the aspect of working with and

understanding the operating style of the expatriate. The

person himself plays an important role as he deals with

the challenge of delivering the value proposition that he

was hired for.

They must recognize and accept their direct role in

assisting the expatriate to perform, accepting that the

failure could well be theirs as well. This realization will

create a positive environment and be a decisive factor in

enabling the expatriate’s value proposition: It must

begin by communicating this value proposition early and

discussing the support systems most likely to

complement. At the same time, being a friendly critique

will be a positive stroke.

A comment by an expatriate describes it rather well “I

realized the real expectations after eighteen months

with the company, they could have got their money's

worth if only I had known”.

Mostly not supported by reason, a perception of short

term value is driven by the urge to cut costs once a

'learning' benefit is extracted. While the goal may be

acceptable it fuels poor day to day actions. Sometimes

The top management team and bosses in Indian

companies must not underestimate the impact of

their actions or often the lack of their actions.

Time value of expatriates is often seen as short,

triggering a slew of connected actions which

compromise the expected outcome.

“Fitting in” to deliver the value proposition

Often the words “on Boarding” seemed to indicate

something to do once the person came on board.

The study suggests actions which could be the

focus even before they join, but watch out for too

much of early familiarity.

The joining period is said to last 30 to 100 days and it

can be your greatest asset or your greatest enemy.

Inside the company people are busy arranging for his

housing, others are arranging for a car. During this time

there are also those who are busy forming & hardening

opinions even before they have met the newcomer.

Hidden forces are at work on the other side as well. The

wife is now selling their house, the person is wading

through issues of his 401k plan, dual taxation issues

reveal a new problem, applying for a work permit

seems to make the transition more real than it ever

was.

As one Board member said “The expectations are set

high and everybody expects him to hit the ground

running. You can help by untying their shoes”.

nLet them understand and study the business through

internal presentations and asking the person to work

on a plan of sorts.

nGet him to meet his team in an office or perhaps an

offsite location. Tie it up with an event that is already

planned for rather than creating a special one

nMore than one meeting with his boss on issues of

business that he is likely to deal with will allow both

sides to develop experience of each other.

nConsider a role of the mentor at this early stage who

is also thinking about social mentoring for the family.

The benefits are high and the effort cost is low.

The hard beginning for a harder journey

While most of the times an induction programme

exists, a relevant one exists rarely. It is after all not

about visiting offices or visiting plants.

Hence while Indian companies seek greater value

through hiring of expatriate leaders their own role

in creating a platform to leverage this value is a

bottleneck right at the start.

Companies that handled aspects such as

compensation, relocation and sensitivity to family

adjustment well, were less sensitive when it came to

real induction challenges.

Clearly more advanced induction areas - introduction to

the team, explaining underlying issues and facilitating

the transition into the immediate work culture (i.e.,

culture of meetings, business language, communication

processes) - seems to be unaddressed. Apart from

frustrating them, it lowers their credibility-building

chances. The lack of a suitable induction programme

also creates a buzz in the workplace with strong

political undertones.

An expatriate after a frustrating experience remarked,

“No induction, no formal process, head-on style the

company had done nothing by the time I joined”.

They are less prepared with a process that allows for a

productive induction and more focussed on what is

traditional. You have hired a person who is not

traditional; his on-boarding is even more likely to be so.

An Amrop client was complimentary of his experience

with the firm as he was advised early of potential

situations that were likely to develop.

14

Perceived challenges of taking charge

the expatriates own short term mind set sees the role as

a fixed period engagement with little or no thought to

continuity. A fixed period contract rarely used with local

hires further accentuates this perception.

Expatriates are then seen as assets, acquired

exclusively for the transfer of skills, rather than for

cultivating a long-term value sustaining relationship.

This study suggests a new approach of working towards

longer term continuity and accepting shorter term

longevity should it come to that. The subtle shift

promises value during the engagement and even

greater value as their long term relevance is

discovered.

Decisions made in drawn-out meetings often get

overturned by people above. Gaps between intentions

and actions taken are not articulated thereby creating

confusion.

This feeling is quickly acknowledged by expatriates with

experience of India. It lowers the autonomy that might

have been given to them in other circumstances and

compromises the way an expatriate deals with his

environment. It introduces a level of fear all around.

Decision-making style of top management, often ad-

hoc, impacts performance and creates a clash

which is described away as a culture fit issue.

There is perceived ‘uncertainty’ around the

expatriate which belies definition - Perhaps

stemming out of lower knowledge of their culture or

the country of their origin.

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�9� �P�M

“Fitting in” to deliver the value proposition

The underlying issues that inhibit performance and

delivery on the job are complex and revolve around a

central theme of work culture and expectations. The role

of top management in Indian companies is of great

importance as is the aspect of working with and

understanding the operating style of the expatriate. The

person himself plays an important role as he deals with

the challenge of delivering the value proposition that he

was hired for.

They must recognize and accept their direct role in

assisting the expatriate to perform, accepting that the

failure could well be theirs as well. This realization will

create a positive environment and be a decisive factor in

enabling the expatriate’s value proposition: It must

begin by communicating this value proposition early and

discussing the support systems most likely to

complement. At the same time, being a friendly critique

will be a positive stroke.

A comment by an expatriate describes it rather well “I

realized the real expectations after eighteen months

with the company, they could have got their money's

worth if only I had known”.

Mostly not supported by reason, a perception of short

term value is driven by the urge to cut costs once a

'learning' benefit is extracted. While the goal may be

acceptable it fuels poor day to day actions. Sometimes

The top management team and bosses in Indian

companies must not underestimate the impact of

their actions or often the lack of their actions.

Time value of expatriates is often seen as short,

triggering a slew of connected actions which

compromise the expected outcome.

“Fitting in” to deliver the value proposition

Often the words “on Boarding” seemed to indicate

something to do once the person came on board.

The study suggests actions which could be the

focus even before they join, but watch out for too

much of early familiarity.

The joining period is said to last 30 to 100 days and it

can be your greatest asset or your greatest enemy.

Inside the company people are busy arranging for his

housing, others are arranging for a car. During this time

there are also those who are busy forming & hardening

opinions even before they have met the newcomer.

Hidden forces are at work on the other side as well. The

wife is now selling their house, the person is wading

through issues of his 401k plan, dual taxation issues

reveal a new problem, applying for a work permit

seems to make the transition more real than it ever

was.

As one Board member said “The expectations are set

high and everybody expects him to hit the ground

running. You can help by untying their shoes”.

nLet them understand and study the business through

internal presentations and asking the person to work

on a plan of sorts.

nGet him to meet his team in an office or perhaps an

offsite location. Tie it up with an event that is already

planned for rather than creating a special one

nMore than one meeting with his boss on issues of

business that he is likely to deal with will allow both

sides to develop experience of each other.

nConsider a role of the mentor at this early stage who

is also thinking about social mentoring for the family.

The benefits are high and the effort cost is low.

The hard beginning for a harder journey

While most of the times an induction programme

exists, a relevant one exists rarely. It is after all not

about visiting offices or visiting plants.

Hence while Indian companies seek greater value

through hiring of expatriate leaders their own role

in creating a platform to leverage this value is a

bottleneck right at the start.

Companies that handled aspects such as

compensation, relocation and sensitivity to family

adjustment well, were less sensitive when it came to

real induction challenges.

Clearly more advanced induction areas - introduction to

the team, explaining underlying issues and facilitating

the transition into the immediate work culture (i.e.,

culture of meetings, business language, communication

processes) - seems to be unaddressed. Apart from

frustrating them, it lowers their credibility-building

chances. The lack of a suitable induction programme

also creates a buzz in the workplace with strong

political undertones.

An expatriate after a frustrating experience remarked,

“No induction, no formal process, head-on style the

company had done nothing by the time I joined”.

They are less prepared with a process that allows for a

productive induction and more focussed on what is

traditional. You have hired a person who is not

traditional; his on-boarding is even more likely to be so.

An Amrop client was complimentary of his experience

with the firm as he was advised early of potential

situations that were likely to develop.

14

Perceived challenges of taking charge

the expatriates own short term mind set sees the role as

a fixed period engagement with little or no thought to

continuity. A fixed period contract rarely used with local

hires further accentuates this perception.

Expatriates are then seen as assets, acquired

exclusively for the transfer of skills, rather than for

cultivating a long-term value sustaining relationship.

This study suggests a new approach of working towards

longer term continuity and accepting shorter term

longevity should it come to that. The subtle shift

promises value during the engagement and even

greater value as their long term relevance is

discovered.

Decisions made in drawn-out meetings often get

overturned by people above. Gaps between intentions

and actions taken are not articulated thereby creating

confusion.

This feeling is quickly acknowledged by expatriates with

experience of India. It lowers the autonomy that might

have been given to them in other circumstances and

compromises the way an expatriate deals with his

environment. It introduces a level of fear all around.

Decision-making style of top management, often ad-

hoc, impacts performance and creates a clash

which is described away as a culture fit issue.

There is perceived ‘uncertainty’ around the

expatriate which belies definition - Perhaps

stemming out of lower knowledge of their culture or

the country of their origin.

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�9� �P�M

least two sides of the same coin.

As one group HR head remarks, “If the capability of the

expatriate is not distinctive, the cultural gap widens and

lowers productivity and performance.”

It is true that companies expect expatriates to have a

more serious attitude towards their acceptability and

hence put in a bigger effort into making themselves

more effective. They expect them to do more of the

“Adapting” but greater value will be delivered if this is

shared between both sides.

respect for privacy and personal space are the cause of

many complaints. Unfocused agendas of meetings that

lead to wasteful output are a significant cause of

frustration and an indication of the work culture

mismatch. This is further marred by a relatively higher

political environment at work.

As one expatriate respondent says, “Most of the

discussion takes place around what to do and very little

on how to do it. Little wonder that things go wrong”.

Most expatriates enjoy working with their Indian

colleagues, whom they find to be bright and

hardworking. However, expatriates also find their ability

to handle negative feedback poor, usually “with silence

and retreating into a shell.” They also see Indian

managers as more theoretical with lower

implementation capabilities. Effectiveness is low on

account of lower depth of experience perhaps as a

result of high job mobility. By comparison they find the

Indian work culture to be hierarchical and bureaucratic.

Indications such as a five-day week mind set, strict

individualism, and need for personal time and space -

are alien to the Indian working style of continuous

debate and always connected instant views.

Even then Indian companies expected expatriates to

settle sooner by inherently understanding that people in

India can often over-commit and those that set up a

Team ability and style is a discovery that shocks

some but surprises many.

This cultural disconnect is experienced

simultaneously by both the Indian companies and

expatriates.

“Fitting in” to deliver the value proposition

Companies set inadequate expectations out of their

hires to start with. Many of these are developed on

the fly and without the knowledge of the person

who is expected to know or even read between the

lines.

The disconnect with the team and its work culture

derails many a smooth process.

While harder issues like business metrics are easier to

assimilate, the softer ones create great difficulty and

compromise the recognition and acceptance of the

expatriate leader by his/her team. These evolving

expectations and their limited understanding by the

expatriate is further influenced by rather poor

communication to the broader team. This now becomes

a recipe for disaster – only adding fuel to the

unanswered question “why was he hired or why is he

paid better.” You can see the disconnect aggravating

day to day.

These pressures can be eased by mentors at the work

place who also take steps to assist the person in social

fitment of the family in a way creating a safety valve

that allows steam to escape. Some companies have

reaped the benefits of separate 'social mentors' who

are not always the senior-most in the organization.

The actual work culture in Indian organizations can be

quite opposite to the work style of expatriates who are

used to greater productivity. Most bemoaned issues

which seem minor but create disruptions in day-to-day

work.

Lower productivity, quality orientation, long hours of

work, a careless attitude towards time, and a lack of

“Fitting in” to deliver the value proposition

strong follow-up system sail through.

A business leader defines it well “I can't understand why

these expatriates expect common standards, systems

and processes. That is hardly the trait of a rapidly

growing economy”

From the point of view of Indian companies, the value

proposition of expatriates as leaders is seen as strong

on several fronts. This includes their work ethic, non-

biased approach, and focus on delivering on

commitments. However, these strengths are not

enough. The successful expatriates, in addition, were

genuinely global in their value proposition, had the right

expertise backed by a good sense of humour, a positive

mind set and higher tolerance for a different culture. You

wonder if both sides are not saying the same thing or at

Amongst all this difficulty a silver lining emerges.

16

Focus Areas Leading Indicators

Work culture Various actions led by Top managementPerception of expatriate longevity Decision making styles of senior leadersExpectations out of expatriates

Top management

Various actions led by Top managementPerception of expatriate longevity Decision making styles of senior leadersExpectations out of expatriates

Induction On-boardingRelevant induction programCreating platforms for successMentorship

Work Culture

Top ManagementInduction

4%

16%

49%

84%

0%

47%

Indian Companies viewsExpatriate views

Variance in factors triggers dissonance

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�9� �P�M

least two sides of the same coin.

As one group HR head remarks, “If the capability of the

expatriate is not distinctive, the cultural gap widens and

lowers productivity and performance.”

It is true that companies expect expatriates to have a

more serious attitude towards their acceptability and

hence put in a bigger effort into making themselves

more effective. They expect them to do more of the

“Adapting” but greater value will be delivered if this is

shared between both sides.

respect for privacy and personal space are the cause of

many complaints. Unfocused agendas of meetings that

lead to wasteful output are a significant cause of

frustration and an indication of the work culture

mismatch. This is further marred by a relatively higher

political environment at work.

As one expatriate respondent says, “Most of the

discussion takes place around what to do and very little

on how to do it. Little wonder that things go wrong”.

Most expatriates enjoy working with their Indian

colleagues, whom they find to be bright and

hardworking. However, expatriates also find their ability

to handle negative feedback poor, usually “with silence

and retreating into a shell.” They also see Indian

managers as more theoretical with lower

implementation capabilities. Effectiveness is low on

account of lower depth of experience perhaps as a

result of high job mobility. By comparison they find the

Indian work culture to be hierarchical and bureaucratic.

Indications such as a five-day week mind set, strict

individualism, and need for personal time and space -

are alien to the Indian working style of continuous

debate and always connected instant views.

Even then Indian companies expected expatriates to

settle sooner by inherently understanding that people in

India can often over-commit and those that set up a

Team ability and style is a discovery that shocks

some but surprises many.

This cultural disconnect is experienced

simultaneously by both the Indian companies and

expatriates.

“Fitting in” to deliver the value proposition

Companies set inadequate expectations out of their

hires to start with. Many of these are developed on

the fly and without the knowledge of the person

who is expected to know or even read between the

lines.

The disconnect with the team and its work culture

derails many a smooth process.

While harder issues like business metrics are easier to

assimilate, the softer ones create great difficulty and

compromise the recognition and acceptance of the

expatriate leader by his/her team. These evolving

expectations and their limited understanding by the

expatriate is further influenced by rather poor

communication to the broader team. This now becomes

a recipe for disaster – only adding fuel to the

unanswered question “why was he hired or why is he

paid better.” You can see the disconnect aggravating

day to day.

These pressures can be eased by mentors at the work

place who also take steps to assist the person in social

fitment of the family in a way creating a safety valve

that allows steam to escape. Some companies have

reaped the benefits of separate 'social mentors' who

are not always the senior-most in the organization.

The actual work culture in Indian organizations can be

quite opposite to the work style of expatriates who are

used to greater productivity. Most bemoaned issues

which seem minor but create disruptions in day-to-day

work.

Lower productivity, quality orientation, long hours of

work, a careless attitude towards time, and a lack of

“Fitting in” to deliver the value proposition

strong follow-up system sail through.

A business leader defines it well “I can't understand why

these expatriates expect common standards, systems

and processes. That is hardly the trait of a rapidly

growing economy”

From the point of view of Indian companies, the value

proposition of expatriates as leaders is seen as strong

on several fronts. This includes their work ethic, non-

biased approach, and focus on delivering on

commitments. However, these strengths are not

enough. The successful expatriates, in addition, were

genuinely global in their value proposition, had the right

expertise backed by a good sense of humour, a positive

mind set and higher tolerance for a different culture. You

wonder if both sides are not saying the same thing or at

Amongst all this difficulty a silver lining emerges.

16

Focus Areas Leading Indicators

Work culture Various actions led by Top managementPerception of expatriate longevity Decision making styles of senior leadersExpectations out of expatriates

Top management

Various actions led by Top managementPerception of expatriate longevity Decision making styles of senior leadersExpectations out of expatriates

Induction On-boardingRelevant induction programCreating platforms for successMentorship

Work Culture

Top ManagementInduction

4%

16%

49%

84%

0%

47%

Indian Companies viewsExpatriate views

Variance in factors triggers dissonance

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�9� �P�M

experience of other organisations on 'what went wrong'

will go beyond the content and help cement a style of

evaluation that delivers results.

Planning for the fitment of the new person

The planning for and the actual hiring requires energy

and both the individual and the organisation heave a

sigh of relief when the deal is done. It is forgotten that

only a hill has been climbed and another one awaits in

the form of ensuring fitment of the person inducted. This

hill is a higher one requires both sides to hold hands

and be sensitive to issues that sometimes remain

invisible. The expatriates must understand that they are

not merely taking a role in a developing market but in

one that can be culturally challenging to the unprepared

mind or be welcoming of a guest who is prepared.

Expatriates can better by noting a few important

suggestions

Often an expatriate senses and encounters that there

are wheels within wheels as he tries to deal with the

new environment. Yes there are and while this subject

is complex, it is not as complex as you might believe.

A well co-ordinated start, keeping your eyes on the ball,

and knowing that a strong finish is required before you

can win the game will keep things on an even keel.

Best practices that drive success

Summary

This Chapter presents the accumulated insights of

Amrop India, the Study Participants as well as the

experiences of Amrop partners around the world as they

deal with similar issues in their own markets. These

insights will deliver the best outcome when used as an

additional data point along with your own thinking and

experience.

A ten point checklist for a better hiring process

The hiring process design presents many opportunities

but you will put yourself and the process at risk if you

kick start such a project and expect to deal with

emerging issues on the fly. A ten point checklist allows

you to be prepared for many questions that could

emerge during the hiring process, at a time when their

evaluation may be difficult. The section recommends

important 'considerations' that will keep the unknown to

a minimum.

Which Expatriate leaders are right for India and for

you? Clearly not all.

A ten point check list suggests an evaluation framework

for selecting the right expatriate leaders. These

comments will drive internal debate and consequently

the emergence of a strong and well formed criterion.

Other inputs such as the expertise of Amrop and

18

“Indian companies live in their shells, comforted by a world they know, getting them to put in new precessesis the toughest thing you could ask for.”

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�9� �P�M

experience of other organisations on 'what went wrong'

will go beyond the content and help cement a style of

evaluation that delivers results.

Planning for the fitment of the new person

The planning for and the actual hiring requires energy

and both the individual and the organisation heave a

sigh of relief when the deal is done. It is forgotten that

only a hill has been climbed and another one awaits in

the form of ensuring fitment of the person inducted. This

hill is a higher one requires both sides to hold hands

and be sensitive to issues that sometimes remain

invisible. The expatriates must understand that they are

not merely taking a role in a developing market but in

one that can be culturally challenging to the unprepared

mind or be welcoming of a guest who is prepared.

Expatriates can better by noting a few important

suggestions

Often an expatriate senses and encounters that there

are wheels within wheels as he tries to deal with the

new environment. Yes there are and while this subject

is complex, it is not as complex as you might believe.

A well co-ordinated start, keeping your eyes on the ball,

and knowing that a strong finish is required before you

can win the game will keep things on an even keel.

Best practices that drive success

Summary

This Chapter presents the accumulated insights of

Amrop India, the Study Participants as well as the

experiences of Amrop partners around the world as they

deal with similar issues in their own markets. These

insights will deliver the best outcome when used as an

additional data point along with your own thinking and

experience.

A ten point checklist for a better hiring process

The hiring process design presents many opportunities

but you will put yourself and the process at risk if you

kick start such a project and expect to deal with

emerging issues on the fly. A ten point checklist allows

you to be prepared for many questions that could

emerge during the hiring process, at a time when their

evaluation may be difficult. The section recommends

important 'considerations' that will keep the unknown to

a minimum.

Which Expatriate leaders are right for India and for

you? Clearly not all.

A ten point check list suggests an evaluation framework

for selecting the right expatriate leaders. These

comments will drive internal debate and consequently

the emergence of a strong and well formed criterion.

Other inputs such as the expertise of Amrop and

18

“Indian companies live in their shells, comforted by a world they know, getting them to put in new precessesis the toughest thing you could ask for.”

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�5�:�5�9� �P�M

A positive solution finder and not just a problem finder

A global mindset is more important than global

experience

And then much more

“An expatriate candidate made some derogatory

statements about this centre. Hence, I did not take him

simply for this reason, as I did not see him as somebody

who could find solutions.”

“If he has worked in a global company he has been

exposed to a different culture. He could be rotated through

various cultures and responsibilities; leading to a global

mindset and then he can be an Indian or he can be an

expatriate.”

“Married to an Indian. Sense of humour, robust, sensitive,

very high degree of social sensitivity. Moral courage to

take a stand. No Arrogance, resilient.”

Flexibility is more important than money

You know the role intimately, the person has only

read a page

Think again if you believe the family is the person's

issue

The obvious is not so obvious

Avoid the value destroyers

Thinking salary premium is good but that is not the

complete story. Articulate the value expectation and

then compensate for that value. It will pay dividends.

Detailed briefing for the candidate needs development

and right search firm will support it with an evolved

diagnostic process. Even then, take time to talk about

the role in the way you see it. The benefits are amazing.

Sure it is an issue that the person must address. But do

you want to leave it unattended. Keep it top of mind and

be innovative. It could be an asset or a problem that is

best recognized early.

Most Indian companies have done their homework in

areas of compensation structuring, risk mitigation,

relocation etc and take their eyes off the problem.

One expatriate summoned it up well “The company took

note of my peculiar situation and allowed me four days

off every two months even though they had never done

something like that, It made me accept many other

terms”

Use contracts to say what you mean and don't say what

you do not mean. “This is how contracts are in India.” is

an excuse that does not cut much ice.

Best practices that drive success

10 factors that gear you well for hiring

Prepare a plan for each hire that is well-structured,

candid and in-depth

Patience is a virtue

The CEO's & Top management involvement will

deliver results

You are evaluating the person, but he is also

evaluating you

Perceptions are the reality at all times

Prepare a hiring plan that identifies the factors of

attraction as well as the potential negatives. Such a

candid plan is most likely to surface candidates that can

deal with the situation and go beyond a good looking

resume.

You will deal with very little of unknown and the person

who you hire will deal with a lot more. Give him the time

to develop his understanding and ask all the questions,

many of which he has not yet constructed.

Too many times a good hiring process is jeopardized by

taking the eyes off the goal post, before the match

ends. After the hiring is made energies are at a low and

the process is left to others to execute.

Evaluation cuts both ways mostly in subtle but sure

ways. Presenting accurate views of your teams will help

the person evaluate his ability and background in

positive ways.

Managing the organization perception vis-à-vis the

value proposition of the expatriate and the arising

compensation differential is critical and will impact

stability faster than you think.

Best practices that drive success

20

Look for genuinely global experience

Evaluate for emerging market experience

Too many “firsts” can spoil the broth

Look for India connect beyond the obvious

Should have relevant leadership experience

Seek expertise which can be respected

Look for adaptability and learning abilities

“All talent which is sitting in Western Europe and North

America is not global unless it comes from a global

company. If it is comes from a local company in one country

it is as local as an Indian here.”

“An expatriate who has worked in countries similar to India

(in terms of infrastructure, e.g. Brazil, Indonesia) will be a

better fit for working in India.”

“A person with many firsts to deal with can be a recipe for

failure - First time CEO, First time JV, First time outside UK”

“Through holiday travel, business dealings, leading India

market, past experience, family connection and many

more.”

“Mistakes include taking mature people from mature

companies; they have not invented things from scratch.

They look for procedures, but there are none.”

“The expatriate has an advantage if he comes from an

industry where his nation has made a mark.”

“Sensitivity is the key. Lessons learned and personal

qualities are more important than job knowledge.”

10 point evaluation checklist

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A positive solution finder and not just a problem finder

A global mindset is more important than global

experience

And then much more

“An expatriate candidate made some derogatory

statements about this centre. Hence, I did not take him

simply for this reason, as I did not see him as somebody

who could find solutions.”

“If he has worked in a global company he has been

exposed to a different culture. He could be rotated through

various cultures and responsibilities; leading to a global

mindset and then he can be an Indian or he can be an

expatriate.”

“Married to an Indian. Sense of humour, robust, sensitive,

very high degree of social sensitivity. Moral courage to

take a stand. No Arrogance, resilient.”

Flexibility is more important than money

You know the role intimately, the person has only

read a page

Think again if you believe the family is the person's

issue

The obvious is not so obvious

Avoid the value destroyers

Thinking salary premium is good but that is not the

complete story. Articulate the value expectation and

then compensate for that value. It will pay dividends.

Detailed briefing for the candidate needs development

and right search firm will support it with an evolved

diagnostic process. Even then, take time to talk about

the role in the way you see it. The benefits are amazing.

Sure it is an issue that the person must address. But do

you want to leave it unattended. Keep it top of mind and

be innovative. It could be an asset or a problem that is

best recognized early.

Most Indian companies have done their homework in

areas of compensation structuring, risk mitigation,

relocation etc and take their eyes off the problem.

One expatriate summoned it up well “The company took

note of my peculiar situation and allowed me four days

off every two months even though they had never done

something like that, It made me accept many other

terms”

Use contracts to say what you mean and don't say what

you do not mean. “This is how contracts are in India.” is

an excuse that does not cut much ice.

Best practices that drive success

10 factors that gear you well for hiring

Prepare a plan for each hire that is well-structured,

candid and in-depth

Patience is a virtue

The CEO's & Top management involvement will

deliver results

You are evaluating the person, but he is also

evaluating you

Perceptions are the reality at all times

Prepare a hiring plan that identifies the factors of

attraction as well as the potential negatives. Such a

candid plan is most likely to surface candidates that can

deal with the situation and go beyond a good looking

resume.

You will deal with very little of unknown and the person

who you hire will deal with a lot more. Give him the time

to develop his understanding and ask all the questions,

many of which he has not yet constructed.

Too many times a good hiring process is jeopardized by

taking the eyes off the goal post, before the match

ends. After the hiring is made energies are at a low and

the process is left to others to execute.

Evaluation cuts both ways mostly in subtle but sure

ways. Presenting accurate views of your teams will help

the person evaluate his ability and background in

positive ways.

Managing the organization perception vis-à-vis the

value proposition of the expatriate and the arising

compensation differential is critical and will impact

stability faster than you think.

Best practices that drive success

20

Look for genuinely global experience

Evaluate for emerging market experience

Too many “firsts” can spoil the broth

Look for India connect beyond the obvious

Should have relevant leadership experience

Seek expertise which can be respected

Look for adaptability and learning abilities

“All talent which is sitting in Western Europe and North

America is not global unless it comes from a global

company. If it is comes from a local company in one country

it is as local as an Indian here.”

“An expatriate who has worked in countries similar to India

(in terms of infrastructure, e.g. Brazil, Indonesia) will be a

better fit for working in India.”

“A person with many firsts to deal with can be a recipe for

failure - First time CEO, First time JV, First time outside UK”

“Through holiday travel, business dealings, leading India

market, past experience, family connection and many

more.”

“Mistakes include taking mature people from mature

companies; they have not invented things from scratch.

They look for procedures, but there are none.”

“The expatriate has an advantage if he comes from an

industry where his nation has made a mark.”

“Sensitivity is the key. Lessons learned and personal

qualities are more important than job knowledge.”

10 point evaluation checklist

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Best practices that drive success

Do’s – by expatriates

Must focus on demonstrating value for which he is

hired.

You have to demonstrate adaptability at both social

and organizational levels.

Must have the right attitude to the new work culture

“If the individual is a good and performing individual, the

issues will be minimized. An organization does not

expect magic from any one.”

“As long as the expatriate is adding value, there are

really no attitudinal problems.”

“He has to be adaptable, must have the perseverance to

work his way through. Some have gone out of their way

to ensure that they are part of society. This in turn has

given them considerable acceptability among people.”

“He must build relationships; understand work-life

balance in the context of India. A positive attitude to

team work, willing to share his knowledge, willing to

work with the team and be a part of it, reasoning with

the team, demonstrating and achieving results rather

than being an armchair strategist.”

22

Best practices that drive success

Do’s – by Indian companies

Demonstrate visible responsibility for anchoring

the expatriate initially in the work and team culture.

Set expectations with the person

Appoint a mentor for the first few months

Support him with a good No.2

Prepare the organization to accept the expatriate

And go beyond the metrics to also set expectations

around softer issues such as team management,

working style management.

Choice of person is key, the mentor enables the

expatriate to read the organization correctly,

understand the local business language, and also the

culture. In very senior appointments consider external

mentorship as an option.

Choice of person should be on apolitical and good

execution skills and must have experience with the

organization. If he has been a good performer it will

help.

Through correct communication on his need/value

proposition/place in organization.

Instead of being intrusive, be sensitive, and above

all be watchful

Understand the impact of your own leadership style

Be neutral on working practices

He will win your trust only if you allow him to

And recognize problems early taking care to

communicate them as action platforms. Do not judge

early in the relationship instead think how you might

have addressed the issue.

And factor that into your judgment of the expatriate's

effectiveness.

You do not need to glorify the 'Indian way'. Which will

include many negatives. Instead explain the details

and let him know that he should discover his own

answers.

Start with trust yourself and if not at least do not start

with suspicion. If you do what you are really saying is

that your hiring is faulty. Empower well enough, keep

an eye on effectiveness. Think how you empower the

“liked” leaders in the organization.

You must work on your acceptance and not take it

for granted

Become a stakeholder to fitment not a bystander

waiting for action

Find and enjoy the positives of India and Indians

Your native language may be different, so may be your

workstyle and your response. Work on your acceptance

by a dual focus on yourself and the actions of others.

Solve emerging issues early but as issues and not

problems.

Fitment is not somebody else's problem. It is definitely

yours. You should be aware of the fact that managing

the fitment of 1 will be far easier than managing the

fitment of 20 around you with you.

India has problems and that is easy to know. Problems

will not display your ability, but your ability to focus on

solutions will. The solutions emerge from

understanding the good sides and what may be done to

deal with the challenges.

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Best practices that drive success

Do’s – by expatriates

Must focus on demonstrating value for which he is

hired.

You have to demonstrate adaptability at both social

and organizational levels.

Must have the right attitude to the new work culture

“If the individual is a good and performing individual, the

issues will be minimized. An organization does not

expect magic from any one.”

“As long as the expatriate is adding value, there are

really no attitudinal problems.”

“He has to be adaptable, must have the perseverance to

work his way through. Some have gone out of their way

to ensure that they are part of society. This in turn has

given them considerable acceptability among people.”

“He must build relationships; understand work-life

balance in the context of India. A positive attitude to

team work, willing to share his knowledge, willing to

work with the team and be a part of it, reasoning with

the team, demonstrating and achieving results rather

than being an armchair strategist.”

22

Best practices that drive success

Do’s – by Indian companies

Demonstrate visible responsibility for anchoring

the expatriate initially in the work and team culture.

Set expectations with the person

Appoint a mentor for the first few months

Support him with a good No.2

Prepare the organization to accept the expatriate

And go beyond the metrics to also set expectations

around softer issues such as team management,

working style management.

Choice of person is key, the mentor enables the

expatriate to read the organization correctly,

understand the local business language, and also the

culture. In very senior appointments consider external

mentorship as an option.

Choice of person should be on apolitical and good

execution skills and must have experience with the

organization. If he has been a good performer it will

help.

Through correct communication on his need/value

proposition/place in organization.

Instead of being intrusive, be sensitive, and above

all be watchful

Understand the impact of your own leadership style

Be neutral on working practices

He will win your trust only if you allow him to

And recognize problems early taking care to

communicate them as action platforms. Do not judge

early in the relationship instead think how you might

have addressed the issue.

And factor that into your judgment of the expatriate's

effectiveness.

You do not need to glorify the 'Indian way'. Which will

include many negatives. Instead explain the details

and let him know that he should discover his own

answers.

Start with trust yourself and if not at least do not start

with suspicion. If you do what you are really saying is

that your hiring is faulty. Empower well enough, keep

an eye on effectiveness. Think how you empower the

“liked” leaders in the organization.

You must work on your acceptance and not take it

for granted

Become a stakeholder to fitment not a bystander

waiting for action

Find and enjoy the positives of India and Indians

Your native language may be different, so may be your

workstyle and your response. Work on your acceptance

by a dual focus on yourself and the actions of others.

Solve emerging issues early but as issues and not

problems.

Fitment is not somebody else's problem. It is definitely

yours. You should be aware of the fact that managing

the fitment of 1 will be far easier than managing the

fitment of 20 around you with you.

India has problems and that is easy to know. Problems

will not display your ability, but your ability to focus on

solutions will. The solutions emerge from

understanding the good sides and what may be done to

deal with the challenges.

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�6�:�0�0� �P�M

Other experiencesand considerations

Summary

The subject of inducting expatriate leaders is not a new

one and other works offer insights as does the

experience of other nations. In the journey of Indian

Companies to create, companies - two other

considerations need attention from long term stand

point-

India the nation and the Indian Government is the other

and often a missed stakeholder to this subject.

Developing a Cadre of International Executives in house

is another important if not more critical. We include

excerpts from our global research work conducted with

Harvard Business School which provides insights of

significant relevance to this subject.

The foreword to the study By Prof. Dipak C Jain

comments on that unequivocally. While this aspect begs

for an in-depth treatment and perhaps a subject

24

“Identifying and developing global executives for my organization is one of the more important roles I have as CEO, and it is one ofthe absolute fundamentals of the bank.”

of a separate study, a special article by Ms NG Siew

Kiang, Executive Director, Contact Singapore presents

the stark comparison between a developed country's

journey and approach to global talent vs. India.

Together with earlier parts of this study, this chapter

concludes with not only presenting insights into solving

the complex issue of expatriates but also the longer

terms approach to holistic development of international

talent and hence – Creating Multicultural Global Indian

Companies.

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Other experiencesand considerations

Summary

The subject of inducting expatriate leaders is not a new

one and other works offer insights as does the

experience of other nations. In the journey of Indian

Companies to create, companies - two other

considerations need attention from long term stand

point-

India the nation and the Indian Government is the other

and often a missed stakeholder to this subject.

Developing a Cadre of International Executives in house

is another important if not more critical. We include

excerpts from our global research work conducted with

Harvard Business School which provides insights of

significant relevance to this subject.

The foreword to the study By Prof. Dipak C Jain

comments on that unequivocally. While this aspect begs

for an in-depth treatment and perhaps a subject

24

“Identifying and developing global executives for my organization is one of the more important roles I have as CEO, and it is one ofthe absolute fundamentals of the bank.”

of a separate study, a special article by Ms NG Siew

Kiang, Executive Director, Contact Singapore presents

the stark comparison between a developed country's

journey and approach to global talent vs. India.

Together with earlier parts of this study, this chapter

concludes with not only presenting insights into solving

the complex issue of expatriates but also the longer

terms approach to holistic development of international

talent and hence – Creating Multicultural Global Indian

Companies.

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Singapore – A Home for Global Talent - by Ms NG

Siew Kiang, Executive Director, Contact Singapore

Singapore's economy has been driven by human capital

- a situation engendered by the country's lack of natural

resources. The Singapore Government recognized

early on that, in addition to developing local talent to

their fullest potential, there was a need to attract global

talent to help grow and diversify our economy, anchor

strategic investments, keep our businesses globally

competitive and develop a highly skilled workforce.

Currently, a third of Singapore's workforce is made up

of foreigners, a result of Singapore's open-door

immigration policy since the 1980s. Even in the

economic downturn, Singapore continues to attract and

retain global talent through a variety of means.

One of the key initiatives was the establishment of

Contact Singapore; an alliance of the Singapore

Economic Development Board and the Ministry of

Manpower - dedicated to attracting global talent to

work, invest and live in Singapore. Contact Singapore

has offices in the Asia Pacific, Europe and North

America. It actively links Singapore-based employers

with global talent, promotes awareness of career

opportunities in Singapore's strategic and growth

industries, and works with private sector partners to

facilitate the interests of potential individual investors in

Singapore.

The Singapore Government also established first-class

Dedicated Focus on Global Talent Attraction -

creatin of Contact Singapore

Other experiencesand considerations

Government as a stakeholder

The 3rd stakeholder in this journey of Globalization of

Indian human capital is India itself and hence, Indian

government, who has critical influence on the fitment

and happiness quotient of expatriate talent.

Expatriates find the Indian government interface

complex and believe that, in most other countries,

government processes are far more supportive of

settling down in the country.

Comments like “There is not a culture of expatriation in

India.”; “Expatriates are not an integral part of the

business culture in India” are indicators of lack of focus

on development of this emerging pool of talent in India.

These issues when read along with family adjustment

issues, tend to aggravate the overall negative experi-

ence.

We believe that these issues cannot be resolved by any

one stakeholder, but clearly the government has a role

to play in addressing some of these. If the India

Country Brand has to have a place in the global talent

market, then this should become a strategic drive in

some part of our government.

Many international economies have been driven by

human capital and many of them recognized early the

need to attract and preserve global talent pool to help

grow and diversity their economy. Singapore is a

leading example. While we can always debate the

appropriateness of Singapore as a benchmark, there

are many lesson that lie in their approach.

India needs to be a home for global talent

Other experiencesand considerations

economic, educational, political, and cultural

infrastructure to make the country an attractive place for

highly skilled global talent to set up their home.

Singapore has developed a stable, globally competitive

economy that continually seeks new growth sectors –

such as biomedical sciences, interactive and digital

media, and clean energy – and invests heavily in

research and development, information technology and

human capital. These efforts have brought in over 7,000

MNCs to Singapore, and this, in turn, has attracted

talent from around the world to build their careers and

life in Singapore.

Good governance, a sound judicial system and legal

framework, and rule of law were also constituents to

provide stability, economic growth, and a basis for the

workforce to compete equally in the marketplace. A

multifaceted education system, replete with reputable

international schools and local institutions, was estab-

lished to ensure that both local and foreign students

would be instilled with a global mind set that would help

them succeed in the global marketplace.

Tying all these infrastructural facets together is a stable,

efficient political system that ensures integrity in all

aspects of Singapore's society, and appeals to those

mobile individuals looking for a place to grow their

careers and build their lives.

Beyond the macro-level instruments to attract global

talent, the Singapore Government also developed

policies and programs to facilitate the move to our island

city. These initiatives include the Employment Pass, the

legal Personalized Employment Pass, the Global Schoo

House Programme and the Work Holiday Program.

Besides a short processing time, Singapore's Employ-

ment Pass (EP) allows the holder to bring family

members with them, and the dependents have the

option to work in Singapore as well. To further facilitate

the contributions of global talent to Singapore, the

Personalized Employment Pass (PEP) was introduced.

The PEP is tied to the employee, rather than a specific

employer, and is granted on the strength of the holder's

individual merits. It also allows the holder to remain in

Singapore for up to six months in between jobs to

evaluate new employment opportunities.

To develop Singapore into a compelling talent hub, the

Global School House programme was launched in 2002

to draw world-class universities, professional services

firms and business schools to Singapore, where

students, faculty, researchers and professionals from all

over the world would be given the opportunity to

develop their professional capabilities and become

leaders in their own fields.

The Work Holiday Programme (WHP) offers mobile

youths the opportunity to live and work in Singapore for

up to six months to discover the spectrum of career

opportunities available and experience our culture.

Singapore has adopted this holistic approach to global

talent attraction and retention, engaging both macro-

and micro-level initiatives that work in tandem to bring

about an economic and cultural ecosystem that

welcomes, and thrives with, the injection of global

talent.

26

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�6�:�0�0� �P�M

Singapore – A Home for Global Talent - by Ms NG

Siew Kiang, Executive Director, Contact Singapore

Singapore's economy has been driven by human capital

- a situation engendered by the country's lack of natural

resources. The Singapore Government recognized

early on that, in addition to developing local talent to

their fullest potential, there was a need to attract global

talent to help grow and diversify our economy, anchor

strategic investments, keep our businesses globally

competitive and develop a highly skilled workforce.

Currently, a third of Singapore's workforce is made up

of foreigners, a result of Singapore's open-door

immigration policy since the 1980s. Even in the

economic downturn, Singapore continues to attract and

retain global talent through a variety of means.

One of the key initiatives was the establishment of

Contact Singapore; an alliance of the Singapore

Economic Development Board and the Ministry of

Manpower - dedicated to attracting global talent to

work, invest and live in Singapore. Contact Singapore

has offices in the Asia Pacific, Europe and North

America. It actively links Singapore-based employers

with global talent, promotes awareness of career

opportunities in Singapore's strategic and growth

industries, and works with private sector partners to

facilitate the interests of potential individual investors in

Singapore.

The Singapore Government also established first-class

Dedicated Focus on Global Talent Attraction -

creatin of Contact Singapore

Other experiencesand considerations

Government as a stakeholder

The 3rd stakeholder in this journey of Globalization of

Indian human capital is India itself and hence, Indian

government, who has critical influence on the fitment

and happiness quotient of expatriate talent.

Expatriates find the Indian government interface

complex and believe that, in most other countries,

government processes are far more supportive of

settling down in the country.

Comments like “There is not a culture of expatriation in

India.”; “Expatriates are not an integral part of the

business culture in India” are indicators of lack of focus

on development of this emerging pool of talent in India.

These issues when read along with family adjustment

issues, tend to aggravate the overall negative experi-

ence.

We believe that these issues cannot be resolved by any

one stakeholder, but clearly the government has a role

to play in addressing some of these. If the India

Country Brand has to have a place in the global talent

market, then this should become a strategic drive in

some part of our government.

Many international economies have been driven by

human capital and many of them recognized early the

need to attract and preserve global talent pool to help

grow and diversity their economy. Singapore is a

leading example. While we can always debate the

appropriateness of Singapore as a benchmark, there

are many lesson that lie in their approach.

India needs to be a home for global talent

Other experiencesand considerations

economic, educational, political, and cultural

infrastructure to make the country an attractive place for

highly skilled global talent to set up their home.

Singapore has developed a stable, globally competitive

economy that continually seeks new growth sectors –

such as biomedical sciences, interactive and digital

media, and clean energy – and invests heavily in

research and development, information technology and

human capital. These efforts have brought in over 7,000

MNCs to Singapore, and this, in turn, has attracted

talent from around the world to build their careers and

life in Singapore.

Good governance, a sound judicial system and legal

framework, and rule of law were also constituents to

provide stability, economic growth, and a basis for the

workforce to compete equally in the marketplace. A

multifaceted education system, replete with reputable

international schools and local institutions, was estab-

lished to ensure that both local and foreign students

would be instilled with a global mind set that would help

them succeed in the global marketplace.

Tying all these infrastructural facets together is a stable,

efficient political system that ensures integrity in all

aspects of Singapore's society, and appeals to those

mobile individuals looking for a place to grow their

careers and build their lives.

Beyond the macro-level instruments to attract global

talent, the Singapore Government also developed

policies and programs to facilitate the move to our island

city. These initiatives include the Employment Pass, the

legal Personalized Employment Pass, the Global Schoo

House Programme and the Work Holiday Program.

Besides a short processing time, Singapore's Employ-

ment Pass (EP) allows the holder to bring family

members with them, and the dependents have the

option to work in Singapore as well. To further facilitate

the contributions of global talent to Singapore, the

Personalized Employment Pass (PEP) was introduced.

The PEP is tied to the employee, rather than a specific

employer, and is granted on the strength of the holder's

individual merits. It also allows the holder to remain in

Singapore for up to six months in between jobs to

evaluate new employment opportunities.

To develop Singapore into a compelling talent hub, the

Global School House programme was launched in 2002

to draw world-class universities, professional services

firms and business schools to Singapore, where

students, faculty, researchers and professionals from all

over the world would be given the opportunity to

develop their professional capabilities and become

leaders in their own fields.

The Work Holiday Programme (WHP) offers mobile

youths the opportunity to live and work in Singapore for

up to six months to discover the spectrum of career

opportunities available and experience our culture.

Singapore has adopted this holistic approach to global

talent attraction and retention, engaging both macro-

and micro-level initiatives that work in tandem to bring

about an economic and cultural ecosystem that

welcomes, and thrives with, the injection of global

talent.

26

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�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�6�:�0�0� �P�M

executive's success. Involvement with Local Culture as

well as regular contact with Head Office was also

considered as prerequisite for success abroad.

Some respondents indicated that the younger the

executive, the more flexible and adaptable they were

likely to be- thus likely to succeed in an international

assignment.

International posting calls for resilience on part of the

executive to an unfamiliar culture and at the same time

perform successfully. It demands special skills and

higher levels of diplomacy. While executive are

expected to bring a certain degree of expertise and

judgment to the table, they are no longer expected to

learn everything on their own.

Propose for Transition –

develop

language

skills, give

international edu Recruit host country nationals

CEO anchors it

Integrate with succession

program Identify individuals

EarlySet clear policies for – Global Movement relocation etc

Rely on International Job Rotation

Other experiencesand considerations

Developing cadre of International expertise. Success in

today's international marketplace demands highly

skilled executives for achieving global competitiveness

as well as local responsiveness. There is a definite and

growing sense of urgency to build a cadre of

internationally experienced executives.

Amrop International commissioned a team of Harvard

professors to conduct a global study on international

executives ever produced. The Study Report served

two important purposes –

nProvided guidelines for meaningful international

executive development.

nProvided a significant body of views and experience

for organizations to draw upon in evaluating their

approaches to international executive development.

By ‘international executive’, we mean an individual

whose executive development has involved, or will

involve, at least one international posting, and whose

executive responsibilities require a global business

perspective.

This study represents the informed opinions of nearly

one thousand chief executive officers, managing

directors and other senior executives in over 30

countries around the world. These executives worked

within a broad spectrum of industry sectors including

manufacturing, financial services, professional

services, mining and resources, communication, retail,

distribution and information technology.

When asked why their company is developing

international executives; nearly 3 quarters answered

The new international executive Excerpts from a past Harvard Amrop study

that they wanted to improve their ability to develop

global products & services to allow customization

across a global business environment. International

executives determine the success and longevity of the

organization. By engaging in their development,

companies will be significantly enhancing their

competitiveness in the world wide business

environment.

Two thirds indicated that successful expatriate posting

may be prerequisite for top management and CEO

positions; overall half reported that development of

CEO candidates was a key motivation for developing

international executives.

Companies that give priority to hiring and developing

their future global executives will significantly enhance

their competitiveness in a worldwide business

environment, however, the unique roles and

responsibilities of today's international executives

create a recruitment challenge of the highest order.

A senior international executive is in great demand and

the demand is outstripping supply. At the same time,

multinational organizations have considerable difficulty

filling top level international positions.

Having said that, companies do realize that this is not

an easy exercise as it encapsulates a recruitment

challenge. Is the talent pool out there? Perhaps; but

right now the demand well exceeds the supply.

Key strategies for developing International Executives:

Any company wishing to build a cadre of successful

Other experiencesand considerations

international executives should take note of these six

strategic initiatives:

nDevelop a formal executive succession plan with

CEO playing a central role in international executive

development.

nRely on centralized personnel policies.

nAttractive financial package and comparable benefits

nAssist with relocation

nRecruit host country nationals

nIdentify candidates for international assignment early

in their careers.

The gap between a company's need to attract

international executives and its success in finding those

executives is greatest in China, East Europe and South

East Asia. Although the respondents represented a very

diverse geographic group, the study revealed that their

experiences, problems and polices regarding

international executive development were virtually the

same, regardless of where the company was

headquartered, where the executive was from and

where he or she were working!

In an international environment, the international

executive is often the top manager at his or her post, so

diplomacy, communication skills, self reliance and

personal leadership are critical. 90% of the executives

in the survey indicated personal leadership qualities

were the number one guarantee of success

internationally. Followed by 70% indicating that

Technical Knowledge/Functional Expertise & Specific

Country Knowledge were important factors in the

The Key to Success Internationally

28

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executive's success. Involvement with Local Culture as

well as regular contact with Head Office was also

considered as prerequisite for success abroad.

Some respondents indicated that the younger the

executive, the more flexible and adaptable they were

likely to be- thus likely to succeed in an international

assignment.

International posting calls for resilience on part of the

executive to an unfamiliar culture and at the same time

perform successfully. It demands special skills and

higher levels of diplomacy. While executive are

expected to bring a certain degree of expertise and

judgment to the table, they are no longer expected to

learn everything on their own.

Propose for Transition –

develop

language

skills, give

international edu Recruit host country nationals

CEO anchors it

Integrate with succession

program Identify individuals

EarlySet clear policies for – Global Movement relocation etc

Rely on International Job Rotation

Other experiencesand considerations

Developing cadre of International expertise. Success in

today's international marketplace demands highly

skilled executives for achieving global competitiveness

as well as local responsiveness. There is a definite and

growing sense of urgency to build a cadre of

internationally experienced executives.

Amrop International commissioned a team of Harvard

professors to conduct a global study on international

executives ever produced. The Study Report served

two important purposes –

nProvided guidelines for meaningful international

executive development.

nProvided a significant body of views and experience

for organizations to draw upon in evaluating their

approaches to international executive development.

By ‘international executive’, we mean an individual

whose executive development has involved, or will

involve, at least one international posting, and whose

executive responsibilities require a global business

perspective.

This study represents the informed opinions of nearly

one thousand chief executive officers, managing

directors and other senior executives in over 30

countries around the world. These executives worked

within a broad spectrum of industry sectors including

manufacturing, financial services, professional

services, mining and resources, communication, retail,

distribution and information technology.

When asked why their company is developing

international executives; nearly 3 quarters answered

The new international executive Excerpts from a past Harvard Amrop study

that they wanted to improve their ability to develop

global products & services to allow customization

across a global business environment. International

executives determine the success and longevity of the

organization. By engaging in their development,

companies will be significantly enhancing their

competitiveness in the world wide business

environment.

Two thirds indicated that successful expatriate posting

may be prerequisite for top management and CEO

positions; overall half reported that development of

CEO candidates was a key motivation for developing

international executives.

Companies that give priority to hiring and developing

their future global executives will significantly enhance

their competitiveness in a worldwide business

environment, however, the unique roles and

responsibilities of today's international executives

create a recruitment challenge of the highest order.

A senior international executive is in great demand and

the demand is outstripping supply. At the same time,

multinational organizations have considerable difficulty

filling top level international positions.

Having said that, companies do realize that this is not

an easy exercise as it encapsulates a recruitment

challenge. Is the talent pool out there? Perhaps; but

right now the demand well exceeds the supply.

Key strategies for developing International Executives:

Any company wishing to build a cadre of successful

Other experiencesand considerations

international executives should take note of these six

strategic initiatives:

nDevelop a formal executive succession plan with

CEO playing a central role in international executive

development.

nRely on centralized personnel policies.

nAttractive financial package and comparable benefits

nAssist with relocation

nRecruit host country nationals

nIdentify candidates for international assignment early

in their careers.

The gap between a company's need to attract

international executives and its success in finding those

executives is greatest in China, East Europe and South

East Asia. Although the respondents represented a very

diverse geographic group, the study revealed that their

experiences, problems and polices regarding

international executive development were virtually the

same, regardless of where the company was

headquartered, where the executive was from and

where he or she were working!

In an international environment, the international

executive is often the top manager at his or her post, so

diplomacy, communication skills, self reliance and

personal leadership are critical. 90% of the executives

in the survey indicated personal leadership qualities

were the number one guarantee of success

internationally. Followed by 70% indicating that

Technical Knowledge/Functional Expertise & Specific

Country Knowledge were important factors in the

The Key to Success Internationally

28

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What the data and personal comments from interviews

seem to suggest is that international executives need a

highly positive and realistic attitude.

Because everything seems to take longer, an open

mind, flexibility, patience and tolerance for different

lifestyles are essential ingredients for success.

“I have worked in many places in the world

where it takes perhaps half a year to a year

before one is acclimatized enough to become the

manager one was in the country one left.”

“Unfortunately an executive's education, training

and experience seldom fully prepare him to

function effectively in an unfamiliar culture.”

“Burnout of expatriates is high. Not everyone is

able to tackle the global issues”

78%Concerns about family

50%Fear of losing touch with “mainstream”

44%Difficulty finding spouse employment

43%Fear about no promotion on return

33%Conflict in cultural values

26%Inadequate compensation

Other experiencesand considerations

There is no doubt that adapting to a new culture while

still performing successfully for the company poses a

unique challenge to the executive. In addition, double-

income families are increasingly the norm, not the

exception, in many parts of the world. The individual's

family must be mobile, accommodating and flexible

enough to adapt to new surroundings far away from

home.

Some of the respondents indicated that the younger the

executive, the more flexible and adaptable they were

likely to be – and thus less likely to fail on an

international assignment. The downside risk of failing

internationally, especially at a younger age, is that it

can be career threatening.

When asked why individuals might be reluctant to take

international postings, executives cited family concerns

as the greatest disincentive. These included the

family's ability to adjust to such a move, as well as

finding employment for spouses.

Job-related concerns were also high on the list. Exactly

half of those surveyed said that fear of losing touch with

the central activities of the company – the 'mainstream'

– was a very important factor in decisions to decline

international assignments.

A further 43% indicated that fear about not obtaining a

promotion or losing rank upon return was also critical.

Fears like these are sometimes difficult to dislodge –

they often originate from the past experiences of

international executives that have spread through the

corporate 'grapevine'.

Refusing of international assignments

Reasons given for refusing international assignments

Excerpts from a past Harvard Amrop study

“I think when it comes to family, it's always more

difficult to move teenagers than small children.”

“It seems executives are afraid of losing their

domestic or local contacts or local exposure to

executive search firms when they move abroad.”

“Globetrotting is hard, intense and non-stop. But

it has its rewards.”

81%Individuals unable to adjust to the culture

70%Individuals unable to cope with demands of the job

69%Family unable to adjust to the culture

37%Lack of support from the head office

Other experiencesand considerations

The cost of failure on international assignment is a high

one, not only for the employee but also the company.

Presently, relocation costs are upwards of $300,000 US,

and this excludes training and development.

Executives, their spouses and their children all have to

make big adjustments to the demands and differences

associated with living in a foreign culture. Some

respondents stated that executives who have teenage

children have the most difficulty adjusting.

The reasons for failure are many and varied. They

include the executive's and / or spouse's inability to

adapt to a different environment, personality problems

or emotional immaturity of the executive, other family-

related problems, inability to cope with the greater

responsibilities of overseas work, limited spouse

employment opportunities abroad, lack of technical

competence and lack of motivation.

Cultural differences certainly pose a huge barrier to

success internationally. Over 80% of those polled in the

Harvard. Amrop survey said the executive's inability to

adjust to the culture was a key reason for failure during

international posting.

Almost three quarters cited the individual's failure to

cope with the demands of the job as a factor, but not far

behind was the family's inability to adjust to the

situation.

On the other hand, lack of support from head office was

not considered a contributing factor to failure.

Contributors to failure of expatriates

Why expatriates fail internationally

30

Excerpts from a past Harvard Amrop study

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�6�:�0�1� �P�M

What the data and personal comments from interviews

seem to suggest is that international executives need a

highly positive and realistic attitude.

Because everything seems to take longer, an open

mind, flexibility, patience and tolerance for different

lifestyles are essential ingredients for success.

“I have worked in many places in the world

where it takes perhaps half a year to a year

before one is acclimatized enough to become the

manager one was in the country one left.”

“Unfortunately an executive's education, training

and experience seldom fully prepare him to

function effectively in an unfamiliar culture.”

“Burnout of expatriates is high. Not everyone is

able to tackle the global issues”

78%Concerns about family

50%Fear of losing touch with “mainstream”

44%Difficulty finding spouse employment

43%Fear about no promotion on return

33%Conflict in cultural values

26%Inadequate compensation

Other experiencesand considerations

There is no doubt that adapting to a new culture while

still performing successfully for the company poses a

unique challenge to the executive. In addition, double-

income families are increasingly the norm, not the

exception, in many parts of the world. The individual's

family must be mobile, accommodating and flexible

enough to adapt to new surroundings far away from

home.

Some of the respondents indicated that the younger the

executive, the more flexible and adaptable they were

likely to be – and thus less likely to fail on an

international assignment. The downside risk of failing

internationally, especially at a younger age, is that it

can be career threatening.

When asked why individuals might be reluctant to take

international postings, executives cited family concerns

as the greatest disincentive. These included the

family's ability to adjust to such a move, as well as

finding employment for spouses.

Job-related concerns were also high on the list. Exactly

half of those surveyed said that fear of losing touch with

the central activities of the company – the 'mainstream'

– was a very important factor in decisions to decline

international assignments.

A further 43% indicated that fear about not obtaining a

promotion or losing rank upon return was also critical.

Fears like these are sometimes difficult to dislodge –

they often originate from the past experiences of

international executives that have spread through the

corporate 'grapevine'.

Refusing of international assignments

Reasons given for refusing international assignments

Excerpts from a past Harvard Amrop study

“I think when it comes to family, it's always more

difficult to move teenagers than small children.”

“It seems executives are afraid of losing their

domestic or local contacts or local exposure to

executive search firms when they move abroad.”

“Globetrotting is hard, intense and non-stop. But

it has its rewards.”

81%Individuals unable to adjust to the culture

70%Individuals unable to cope with demands of the job

69%Family unable to adjust to the culture

37%Lack of support from the head office

Other experiencesand considerations

The cost of failure on international assignment is a high

one, not only for the employee but also the company.

Presently, relocation costs are upwards of $300,000 US,

and this excludes training and development.

Executives, their spouses and their children all have to

make big adjustments to the demands and differences

associated with living in a foreign culture. Some

respondents stated that executives who have teenage

children have the most difficulty adjusting.

The reasons for failure are many and varied. They

include the executive's and / or spouse's inability to

adapt to a different environment, personality problems

or emotional immaturity of the executive, other family-

related problems, inability to cope with the greater

responsibilities of overseas work, limited spouse

employment opportunities abroad, lack of technical

competence and lack of motivation.

Cultural differences certainly pose a huge barrier to

success internationally. Over 80% of those polled in the

Harvard. Amrop survey said the executive's inability to

adjust to the culture was a key reason for failure during

international posting.

Almost three quarters cited the individual's failure to

cope with the demands of the job as a factor, but not far

behind was the family's inability to adjust to the

situation.

On the other hand, lack of support from head office was

not considered a contributing factor to failure.

Contributors to failure of expatriates

Why expatriates fail internationally

30

Excerpts from a past Harvard Amrop study

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

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Our clients call us often for

many reasons that are strategic

and require actions that create

valuable solutions

Most of all they do not hesitate

to pick up the phone even when

they need someone they think

does not exist

Our clients call us when they need to bring on board exceptional leaders.

Our clients often use us as a sounding board on highly confidential organisation matters.

They also call us when they perceive risk around their leadership in performance or in longevity

We have deep interactions with clients who are constantly building and changing their businesses.We help them raise the bar on leadership quality.

We participate in conversations when leadership is not only a matter of the current but also the future.

They use our collective insights on critical matters such as compensation, fitment, performance

Amrop Client EngagementsExecutive Search, Board Consulting, External Succession, Management Assessment

Amrop leads with its unique consulting process that is “Context Driven”

Fundamentally, we deliver unique solutions

Amrop Global Offices Wherever you do business

Americas EMEA EMEA EMEA EMEA Asia Pacific

Argentina Austria Germany Netherlands Spain Australia Brazil Belgium Greece Norway Sweden China Canada Bosnia & Herzegovina Hungary Poland Switzerland Indonesia Chile Bulgaria India Portugal Turkey Japan Colombia Croatia Ireland Romania Ukraine Korea SouthEcuador Czech Republic Italy Russia United Arab Emirates MalaysiaMexico Denmark Latvia Serbia United Kingdom Philippines Peru Estonia Lebanon Slovakia Singapore United States Finland Lithuania Slovenia ThailandVenezuela France Morocco South Africa Vietnam

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�6�:�0�1� �P�M

Our clients call us often for

many reasons that are strategic

and require actions that create

valuable solutions

Most of all they do not hesitate

to pick up the phone even when

they need someone they think

does not exist

Our clients call us when they need to bring on board exceptional leaders.

Our clients often use us as a sounding board on highly confidential organisation matters.

They also call us when they perceive risk around their leadership in performance or in longevity

We have deep interactions with clients who are constantly building and changing their businesses.We help them raise the bar on leadership quality.

We participate in conversations when leadership is not only a matter of the current but also the future.

They use our collective insights on critical matters such as compensation, fitment, performance

Amrop Client EngagementsExecutive Search, Board Consulting, External Succession, Management Assessment

Amrop leads with its unique consulting process that is “Context Driven”

Fundamentally, we deliver unique solutions

Amrop Global Offices Wherever you do business

Americas EMEA EMEA EMEA EMEA Asia Pacific

Argentina Austria Germany Netherlands Spain Australia Brazil Belgium Greece Norway Sweden China Canada Bosnia & Herzegovina Hungary Poland Switzerland Indonesia Chile Bulgaria India Portugal Turkey Japan Colombia Croatia Ireland Romania Ukraine Korea SouthEcuador Czech Republic Italy Russia United Arab Emirates MalaysiaMexico Denmark Latvia Serbia United Kingdom Philippines Peru Estonia Lebanon Slovakia Singapore United States Finland Lithuania Slovenia ThailandVenezuela France Morocco South Africa Vietnam

�A�m�r�o�p�_�B�K�_�M�a�r�1�0�_�L�R

�W�e�d�n�e�s�d�a�y�,� �M�a�r�c�h� �1�0�,� �2�0�1�0� �5�:�1�6�:�0�1� �P�M

New Delhi Office: 7th Floor, Tower-B, Global Business Park, Mehrauli-Gurgaon Road, Gurgaon 122002 T +91 124 4344700 F +91 124 4344777

Mumbai Office: 1047, Regus Level I, Trade Centre Building, Bandra Kurla Complex, Mumbai 400051 T +91 22 65221112 W www.amrop.in

For feedback and additional copies feel free to contact us at: tobeornottobe@amrop.in

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