EXPATRIATES MANAGEMENT

Daniela Carrozza Antonio De Pascali Marica Di Marino Marika Gurnale

Bianca Traina

HQ SUBSIDIARIES

GEOCENTGEOCENTRICRIC

Third Third CountryCountry

NationalsNationals

POLYCENTPOLYCENTRICRIC

Host-Host-CountryCountry

NationalsNationals

ETHNOCENTETHNOCENTRICRIC

Parent Parent CountryCountry

NationalsNationals

Expatriates Administration

SALARY SALARY MANAGEMEMANAGEME

NTNT

SALARY SALARY MANAGEMEMANAGEME

NTNT

EMPLOYMENT EMPLOYMENT CONTRACTCONTRACT

EMPLOYMENT EMPLOYMENT CONTRACTCONTRACT

TAX TAX REGULATIONREGULATION

TAX TAX REGULATIONREGULATION BENEFITSBENEFITSBENEFITSBENEFITS

SELECTION CRITERIA

Professional CompetenciesTechnical SkillsLanguages

Personal FactorsFamilyInternational Motivation Tolerance Uncertainty Personality (Big5Model)

International AdjustementCultural Intelligence

How Can Firms manage Expatriates Selection?

High Rigor

Low Rigor

Short time period

Lectures and videos on  local culture

Briefing on company operation

Case study e-learning and e-

coaching

Last over a monthExperiential learningExtensive language traininigShadowingField trips to host country

How Can Firms manage Expatriates Training ?

Culture shock

Culture shock refers to the

process of coming to

understand and adapt

to differences in culture

through daily interaction

and situations.

How Can Firms manage Expatriates Training ?

ORGANIZATIONAL STRATEGIES :− Keeping up-to-date about organizational occurrences and problems

− Career planning of expatriates should be conducted carefully from a realistic perspective with regard to repatriation, and overseas assignment should be linked to long term career plans

− Training expatriates prior to return (Coaching, Counseling

− Repatriates as trainers, personal for future expatriates

76% of the Organizations Had No Formalized Repatriation Policies

Expatriates Repatriation

INDIVIDUAL STRATEGIES :− Maintain contact with its social networks

- Keeping up-to-date about national news

- Be proactive

- Combine best aspects of foreign and home cultures

Expatriate failure is the premature return of an expatriate manager to the home country each expatriate failure can cost between € 40,000 and € 1 million

EXPATRIATES MGMT

What Is Expatriate Failure?

Recall %

U.S. MULTINATIONALS 20-40%

EUROPEAN MULTINATIONALS 11-15%

JAPANESE MULTINATIONALS 11-19%

•The inability of an expatriate's spouse to adapt

•The manager’s inability to adjust

•Family-related reasons

•The manager’s personal or emotional maturity

•The manager’s inability to cope with larger overseas responsibilities

•Difficulties with the new environment

EXPATRIATES MGMT

WHY DO EXPATRIATES MANAGER FAIL?

HISTORY

International company with Italian origin

Created in 1950’ s a division of an Italian integrated energy company (Eni Group)

Oriented towards oil and gas industry

More than 40000 employess (110 different Nationalities)

Expatriates are the 23% of the employees

EXTERNAL RECRUITMENT

SCREENING CURRICULA

ACGROUP INTERVIEWROLE PLAYINGIN BASKETLANGUAGE TEST

TECHNICAL INTERVIEW

FEEDBACK

PHYSICAL ASSESSMENT

INTERNAL RECRUITMENT

Job Posting

Feedback

Assessment of Physical Ability

TRAINING

PRE-DEPARTURE TRAINING:HSE training

POST-ARRIVAL TRAINING:•Behaviour-Language and Medical Induction•Social network development

REPATRIATION

Saipem has already made the repatriation an explicit part of the assignment (VS 76% Multinational Companies no Repatriation Policy)

STRENGHTSSTRENGHTS WEAKNESSESWEAKNESSES

OPPORTUNITIESOPPORTUNITIES THREATSTHREATS

Expatriates Policy

Managerial and Technical Assessment

Lack of psychological assessement

Lack of Cross-cultural Training

Reduce Low Turnover (3,5 %)Mentor AssignmentValue new competencies and experience

Competitors hire its expatriates

Boundaryless careers

Grazie