international management assignment example

10 tips for managing successful international assignments (2023 update)

Embarking on international assignments brings both excitement and challenges. As businesses have been extending their global presence for years, the effective management of international assignments has always been extremely important. These assignments require collaboration and coordination among team members from different countries and cultures, demanding a unique set of skills and strategies. In this article, we will explore ten invaluable tips to help you navigate the complexities of international assignments and achieve success. 

The world has become a global village, with teams spanning continents and cultures. In this interconnected landscape, effective management of international assignments is essential for organizations to thrive. Whether you are a team leader or a team member, understanding the intricacies of international collaboration is key to overcoming obstacles and achieving exceptional results. 

Our ten tips for managing successful international assignments cover a range of factors that influence the outcome of these endeavors. From communication and cultural sensitivity to logistical considerations and fostering team cohesion, each tip provides actionable insights to enhance your approach. By implementing these strategies, you can strengthen your team’s collaboration, optimize productivity, and cultivate a harmonious work environment that transcends borders. 

Here are 10 tips for managing successful international assignments:

1. Effective communication 

Effective communication serves as a cornerstone for success in international assignments. Understanding the diverse communication styles of team members is essential, as it allows for clearer and more meaningful interactions. Different cultures have their own ways of expressing ideas and collaborating, so being attentive to these styles fosters better rapport and mutual understanding. 

Bridging language and cultural barriers is another vital aspect of effective communication in international assignments. Cultivating cultural sensitivity and embracing inclusivity create an environment where everyone feels respected and valued. Being mindful of cultural norms, customs, and social etiquette enhances cross-cultural interactions. Additionally, utilizing interpreters, translation tools, and language training programs can facilitate communication across language barriers. 

2. Cultural sensitivity and adaptability 

Embracing cultural diversity as a strength is essential. Each team member brings a unique perspective shaped by their cultural background, which can lead to a wealth of ideas and innovation. By recognizing and appreciating these differences, teams can create a collaborative environment that celebrates diverse viewpoints and enhances problem-solving capabilities. 

Developing cultural intelligence and awareness is key to navigating cultural differences.  

This involves cultivating the right attitude, developing awareness, acquiring knowledge, and honing the necessary skills to understand diverse cultures, including their customs, traditions, and values. 

By doing so, team members can navigate potential misunderstandings, promote effective communication, and build strong relationships based on mutual respect and understanding. 

Effective leadership in international assignments requires flexibility and an understanding of diverse work styles and cultural preferences. That is why adapting leadership and work styles to accommodate cultural differences is crucial. Leaders who adapt their approach can foster trust, engagement, and collaboration within the team. By demonstrating respect for the values and practices of team members, leaders create a harmonious and inclusive work environment. 

3. Logistical planning and coordination 

Dealing with time zone differences and scheduling challenges is a primary concern in the realm of international assignments. With team members located across different regions, finding mutually convenient meeting times and synchronizing schedules becomes crucial. By considering time zones and accommodating various working hours, teams can establish effective communication and seamless collaboration. 

Leveraging technology plays a vital role in facilitating efficient coordination. Collaboration tools, project management software, and communication platforms enable real-time updates, document sharing, and instant communication irrespective of geographical distances. Harnessing these technological solutions enhances productivity and streamlines workflows for international teams. 

To ensure smoother operations, streamlining processes is imperative. By establishing clear protocols and workflows, teams can minimize delays, miscommunications, and redundancies. Standardizing documentation, establishing effective communication channels, and defining roles and responsibilities maintain clarity and efficiency throughout the project. Regular evaluation and improvement of processes further enhance productivity and mitigate challenges. 

4. Building trust and collaboration  

Trust forms the foundation of effective teamwork. In international assignments, team members may come from diverse backgrounds, cultures, and work environments. Establishing trust is essential to foster collaboration, promote open communication, and ensure the success of the project. 

Building trust begins with setting clear expectations and goals. Team members should have a shared understanding of the project’s objectives, milestones, and deliverables. Clearly defining roles and responsibilities helps to avoid confusion and promotes accountability. Regularly communicating progress, addressing challenges, and providing feedback fosters transparency and trust among team members. 

Promoting collaboration is also crucial in international assignments. Encouraging open dialogue and creating platforms for sharing ideas and insights allows team members to contribute their expertise and perspectives. Virtual team-building activities, such as icebreaker sessions, virtual coffee chats, or online forums, can help strengthen relationships and enhance collaboration. Additionally, facilitating cross-cultural training and workshops enables teams to develop a shared understanding and appreciation of each other’s cultures, further fostering collaboration. 

5. Flexibility and adaptation 

Flexibility and adaptability are key attributes for success in international assignments. As the business landscape continues to evolve, teams must be prepared to adapt to changing circumstances, new technologies, and unforeseen challenges. 

Being open to new ideas and approaches is crucial. International assignments provide an opportunity to learn from diverse perspectives and innovative practices. Embracing new methodologies, tools, and processes can lead to improved efficiency and effectiveness. By encouraging a culture of continuous learning and adaptation, teams can remain agile and responsive to the demands of the project. 

Flexibility also extends to accommodating personal and cultural differences. Recognizing that team members may have different working styles, preferences, and needs helps create an inclusive and supportive work environment. Providing flexible work arrangements, considering cultural holidays and celebrations, and accommodating individual time zones and schedules demonstrates a commitment to valuing diversity and promoting work-life balance. 

6. Conflict resolution and mediation 

In international assignments, conflicts and disagreements are bound to arise due to differences in perspectives, cultural norms, or communication styles. Effectively addressing and resolving conflicts is crucial to maintaining team cohesion and productivity. 

First and foremost, creating an open and safe environment for addressing conflicts is essential. Encouraging team members to express their concerns, opinions, and ideas fosters open communication and prevents conflicts from escalating. Active listening and empathy play a significant role in understanding different viewpoints and finding common ground. 

When conflicts arise, mediation and conflict resolution techniques can be employed. Facilitating constructive discussions, encouraging compromise, and seeking win-win solutions can help resolve conflicts amicably. In situations where cultural differences contribute to conflicts, cultural mediators or intercultural experts can provide valuable insights and guidance. 

7. Knowledge sharing and learning 

International assignments provide an excellent opportunity for knowledge sharing and learning. Each team member brings unique skills, expertise, and experiences to the table, which can enrich the project and promote professional growth. 

Encouraging knowledge sharing ensures that valuable insights and best practices are disseminated throughout the team. Regular meetings, virtual workshops, and collaborative platforms can be utilized to share knowledge, discuss challenges, and learn from each other’s expertise. Implementing mentoring programs or buddy systems can further facilitate knowledge transfer and create a supportive learning environment. 

Additionally, fostering a culture of continuous learning enhances the team’s adaptability and innovation. Encouraging team members to pursue professional development opportunities, attend relevant training programs or webinars, and stay updated on industry trends strengthens their skills and knowledge base. Providing resources and support for learning initiatives demonstrates the organization’s commitment to personal and professional growth. 

8. Respect for diversity and inclusion  

International assignments bring together individuals from various cultural backgrounds, ethnicities, genders, and perspectives. Promoting diversity and inclusion is not only ethically important but also contributes to the success of the project by harnessing the power of different ideas and experiences. 

Respecting diversity means creating an inclusive environment where all team members feel valued, respected, and empowered to contribute. This includes embracing different cultural practices, beliefs, and perspectives. Avoiding stereotypes, biases, and discriminatory behavior is crucial in fostering an inclusive work environment. 

Leadership plays a vital role in promoting diversity and inclusion. Leaders should lead by example and demonstrate a commitment to diversity and inclusion through their actions and decisions. By actively seeking diverse perspectives, creating opportunities for underrepresented individuals, and ensuring equitable access to resources and opportunities, leaders can foster a culture of inclusivity. 

9. Cross-cultural training and education 

To navigate the complexities of international assignments successfully, investing in cross-cultural training and education is invaluable. Understanding cultural differences and acquiring intercultural competence enhances communication, collaboration, and overall project outcomes. 

Cross-cultural training programs provide team members with insights into different cultural norms, values, communication styles, and business practices. These programs help build cultural intelligence, enabling team members to adapt their behavior, communication, and work styles to effectively interact with colleagues from different cultures. 

Beyond basic cultural awareness, cross-cultural training should also include education on specific cultural nuances relevant to the project. This may involve learning about local customs, etiquette, and business protocols of the countries involved. By equipping team members with this knowledge, they can navigate cultural differences with sensitivity and respect. 

10. Recognize and celebrate achievements 

Recognizing and celebrating achievements is essential for boosting morale, fostering team spirit, and reinforcing a positive work environment. In international assignments, it is important to acknowledge the accomplishments of team members from different cultures and countries. 

Take the time to acknowledge individual and team achievements, both big and small. This can be done through public recognition, appreciation emails, virtual celebrations, or awards. Celebrating cultural diversity by incorporating elements of different cultures into the recognition process further enhances inclusivity. 

Regularly highlighting and celebrating achievements not only motivates team members but also reinforces a sense of belonging and pride in the project. It creates a positive work culture where everyone feels valued and appreciated for their contributions, regardless of their cultural background. 

In conclusion, managing successful international assignments requires a combination of effective communication, cultural sensitivity, adaptability, and collaboration. By embracing diversity, investing in cross-cultural training, and fostering an inclusive work environment, teams can overcome challenges, maximize productivity, and achieve outstanding results. With the right strategies and a commitment to cultural understanding, international assignments can become transformative opportunities for growth, learning, and global success. 

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Managing International Assignments: Compensation Approaches

A new international assignment landscape is challenging traditional compensation approaches

For many years, expatriate compensation has been focused on a dilemma: having assignees on expensive home-based expatriate package versus localization - which is about replacing expatriates with locals or at least transition expatriates from an expatriate package to a local salary. Many predicted that the traditional home-based balance sheet approach would gradually disappear. The predictions of the demise of the typical expatriate approach have been greatly exaggerated. We are witnessing the emergence of new compensation challenges instead, due to the complexity of having to manage multiple types of assignments and assignee categories.

The home-based approach still retains its utility for certain kinds of moves (e.g. business-critical assignments or moves to hardship locations). Local strategies are becoming more common but, due to the difficulty of applying them consistently in all transfer destinations, they are used only in some cases (moves between similar countries, developmental moves) and take multiple forms as “purely local” or local-plus approaches. Additional approaches like international compensation structures have emerged to address issues of global nomads.

The challenge for HR managers is, therefore, not so much to find the best approach applicable for all assignments as to deal with individual assignment complexity, envisage greater mobility policy segmentation and, if relevant for the company, map each compensation approach to a particular assignment in a consistent way.

The increasingly complex international assignment landscape: One size does not fit all anymore

Expatriates vs. Locals

One size fits all?

Let's localize assignees as soon as possible!

Expatriates

Rise of the third-country nationals

Need to add a cost efficient category for junior employees/developmental moves?

Traditional expatriates

Global nomads

Permanent transfers

Employee-initiated moves

Local or local plus?

Foreigners hired locally

Commuters (cross-border or regional

Multiple types of short-term/project/rotational assignments

Increasing number of home locations

Reviewing international assignment approaches in three steps:

Step 1: Understand the options available

Approaches linked to the host country (local or local-plus)

While these approaches sound logical and natural (when relocating assignees to a new country, they will be paid according to the local salary structure in that destination country) their practical implementation is often tricky. Few employees accept a salary decrease when moving to a low-paying country. It is often difficult to reintegrate assignees relocated to a high-paying country into their original salary structure due to their inflated base salary.

The host approach was historically not the most common for assignees on long-term assignments. However, we have witnessed a growing interest in recent years in host-based approaches – either a host approach or local-plus approach (host salary plus selected benefits or premiums) – as companies are trying to contain costs and as significant salary increases in many emerging markets make host strategies more attractive.

Approaches linked to the home country ("balance sheets")

Home-based approaches have been traditionally the most commonly used to compensate international assignees. Assignees on a home-based approach retain their home-country salary and receive a suite of allowances and premiums designed to cover the costs linked to expatriation. The equalization logic behind the balance sheet approach (no gain/no loss) encourages mobility by removing obstacles. Retaining the home-country salary facilitates repatriation. The balance sheet approach can, however, be costly. Many companies either look for alternatives or try to reduce the benefits and premiums included for less significant moves.

Other Solutions

Hybrid approaches attempt to combine the advantages of the home and host-based approaches. These often mean running a balance sheet calculation and comparing the results with the host market salary to determine what solution would make sense. A hybrid approach can work well for a small assignee population but it can generate inconsistencies when companies expand globally, and the assignee population grows significantly.

Finally, some companies rely on international compensation structures that do not use the host and the home structures at all. These might utilize the average salary in a selected group of high-paying countries where the companies operate. This approach facilitates mobility for global nomads and highly mobile employees. It is, however, often very expensive and doesn’t solve all assignment-related issues (e.g., currency issues, pension, taxation). It is typically used in specific industry sectors (e.g., energy and engineering) and for a few assignees (top level managers and global nomads.)

Step 2: Assessing assignment patterNs and business objectives

Assignment patterns

Are assignees moving between countries with similar salary levels, which would make the use of local or local plus easier or, on the contrary, are expatriates sent to host countries with different pay and benefits structures (low-paying to high-paying, or high-paying to low-paying country moves)? Are moves for a fixed duration – e.g., assignments lasting one to five years – or will the company rely on permanent transfers with no guarantee of repatriation?

Assignee Population

Are assignees coming mainly from the headquarter countries (typical for early stages of globalization) or is the number of third-country nationals already significant? A growing number of multinational companies report that the number of moves between emerging markets (“lateral moves”) is catching up with or exceeding the number from the headquarters, prompting a review of compensation approaches.

Are some assignees becoming true global nomads who move from country to country without returning home during their career? Employees, and especially the younger generations, are becoming much more mobile, but only a minority would be global nomads. These assignees are usually top-level managers, experts with unique skills, or globally mobile talent sourced from small or emerging countries where the absence of career opportunities perspective would preclude repatriation perspectives.

Company's philosophy and sector

Some industry sectors like services and finances relocate employees between major regional and financial hubs which facilitate the use of local approach, whereas energy and engineering companies transferred employees to hardship locations are a key feature of the business – and requires comprehensive expatriation packages often based on balance sheets and international salary structures.

Step 3: Assess segmentation needs

An increasing number of companies rely on expatriate policy segmentation to reconcile the cost control versus international expansion dilemma – how to have the same number of assignments or more without increasing the budget dedicated to international mobility. Segmentation means reallocating part of the budget to business critical assignees and limits the costs of non-essential moves.

Some of the commonly used assignment categories include strategic moves (business-critical), developmental moves (which benefit both the company and the employee), and self-requested move (requested by the employee but not essential to the business).

A consistent policy segmentation approach allows HR teams to present business cases or assignment options to management and provide a clearer understanding of the cost and business implications of relocation for different assignees.

It could also help manage exceptions into a well-defined framework based on a consistent talent management approach, as opposed to ad hoc deals.

Example of segmented compensation approach: the four-box model

Want to learn more about Expatriate Compensation Approaches?

Make sure to download our free guide to understanding compensation strategies

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International Assignment Management: Expatriate Policy and Procedure

Our philosophy.

[Company Name] is a global company that operates over X offices worldwide. The transfer of employees between the various [Company Name] units, from headquarters to subsidiaries, between subsidiaries and from subsidiaries to headquarters, enables our company to better utilize its human resources, while offering efficient support to its business activity. In addition, it enables our executives and professionals to gain international business experience and opens up wider promotion paths.

The objective of this procedure is to define the processes, terms and conditions for transferring personnel from one [Company Name] unit to another and to provide guidelines for the benefit and relocation package for such employees. While differing laws in various countries may influence some aspects of the policy implementation, the basic guidelines are to be maintained in order to ensure a unified company policy.

The effective date of this policy is [Insert Date].

Definitions

Expatriate (Hereinafter “Ex-pat”) - An employee who is relocated from his/her home country to work at one of the subsidiaries of [Company Name] abroad or at Corporate Headquarters for a period exceeding one year.

Host country/ subsidiary - The receiving or destination country/subsidiary of the Ex-pat.

Home country/subsidiary - Originating country/subsidiary of the Ex-pat.

General Approval process for an Ex-pat assignment

The transfer of an employee from headquarters to a subsidiary, between subsidiaries or from a subsidiary to headquarters, is contingent upon joint discussions held between the divisions and the subsidiaries.

The Ex-pat position must be granted budgetary approval from the division and approved by the Corporate HR Forum. The host country has veto power over the corporate offer for all candidates except those in top management positions. In January of each year, the HR Forum will convene in order to discuss general Ex-pat recruitment needs for the upcoming year.

Contract approval process

Contracts of subsidiary management team are coordinated and approved in advance by the relevant Co-President and Corporate VP of HR. The rest of the Ex-pat’s contract is coordinated and approved in advance by the Corporate VP of HR.

The employment offer, including salary, benefits and job description, is generated on behalf of the subsidiary by the host country HR Manager and/or relevant VP.

When an Ex-pat relocates from one subsidiary to another, the receiving HR Manager will transfer the offer to the HR Manager in the Home Subsidiary and to the Corporate VP of HR.

As a rule, the entire process of transferring employees between the various company units (subsidiaries/headquarters) under Ex-pat terms is coordinated by Corporate VP of HR (as described above).

Standard Assignment Period

Ex-pat status is restricted to a period of up to 5 years. After this period, the employee is no longer employed under Ex-pat terms and conditions, but rather, under local terms. Exceptions are granted under very limited circumstances and require written explanations and approval of the subsidiary president and the Corporate VP of HR. Under no circumstances will the extension of Ex-pat status exceed an additional 3 years.

Transferring from one subsidiary to another is considered a new assignment in this context.

Terms of Assignment Termination

Completion of the Ex-pat assignment requires a ninety (90) day mutual notice period. If the Ex-pat assignment is termi­nated by the company for any reason other than a breach of the employment agreement on the part of the employee, s/he will be relocated to his/her home country in accordance with the company’s then-current relocation policy and will be exempt from repaying the standing relocation loan

Relocation Allowance

In the event that the employee resigns from the company or from the assignment, he is required to repay the relocation allowance on a pro-rata basis as well as take responsibility for household moving arrangement and expenses (excluding countries in which the law requires the Company to cover Ex-pat relocation expenses, even in case of employee resignation).

Budget allocation

All Ex-pat benefits will be allocated to the host country budget.

Commitment to Hiring the Ex-pat When His/Her Assignment is Completed

[Company Name] makes no commitment to re-hire the employee in his/her home country after his/her Ex-pat assignment is completed.

However, should the employee work in his host country during the ninety (90) day notice period (see above), the employee will be granted the right to work for three (3) months at the company in the Home country on local terms as determined by the home country HR manager on a case-by-case basis.

Commitment to return to the company upon assignment completion

The employee makes no commitment to return to the company upon completion of his/her assignment. However, s/he may be eligible for repatriation benefits (see “Repatriation Policy & Benefits”) upon return to his/her home country.

Spouse Status/Domestic Partners

[Company Name] will extend spouse status to domestic partners. Ex-pat terms apply to the employee, his/her spouse or domestic partner and their children.

Salary Review

Salary review takes place in accordance with the host subsidiaries policy as approved by corporate policy.

The Ex-pat is responsible for paying any tax liability incurred from benefits and compensation received in both his/her host and home countries (excluding countries in which the employer is required to deduct the taxes from all paid benefits).

Option Plan

Options are granted, if applicable, in accordance with host country policy.

Retention of Home Country Social Benefits

The company will cease to fund payment to retirement plans for Ex-Pats for the period of employment in one of the Company subsidiaries. Following are details on the implementation of the decision:

Ex-Pats Recruited from within [Company Name]

Upon the termination of employee-employer relations with [Company Name] – prior to his relocation to the subsidiary, the Ex-Pat will sign an employment termination agreement with [Company Name]. The amounts accumulated by the employee in various funds, will be released

Ex-Pats Recruited from outside of the Company

In accordance with the above-mentioned policy, no amounts will be allocated to retirement and national insurance to Ex-pats recruited from outside the company as of January 2004.

Ex-Pats Currently in Office

Employees will be granted the option to choose between the termination of employer-employee relations and between the continued payments of funds, up to a ceiling of 5 years after their departure to the host subsidiary – a time in which, according to the procedure, the employees cease to carry Ex-Pat status.

The termination of employee-employer relations, in this context, is accompanied by the release of accumulated funds only, with no supplement. Any employee decision (continued payment of funds or termination of relations) will be backed by a document signed by the employee.

Health Insurance

The Employee and his immediate family are covered by local or international health insurance as per the host country’s policy.

Performance Appraisal

In accordance with host country policy (as per corporate policy).

Recruitment and Selection of Ex-pats

Ex-pat recruitment is conducted either internally (i.e. within the company) or externally.

Internal Recruitment

The recruitment process must include a professional recommendation from the division/unit/subsidiary and personality assessment of the employee and his/her spouse conducted by the HR manager (in Corporate, HR manager of the relevant Division or by the Recruitment manager) and/or by an external assessment agency.

Once a final decision is made in the home country, the internal candidate will be interviewed at the host country.

Should the host country HR manager decide to hire, s/he will issue a contract to the employee in cooperation with the HR manager in the home country.

The home country HR manager is charged with care of the administrative processes surrounding the relocation of the employee, including the signing of a non-paid-vacation/leave of absence agreement, which identifies preservation of rights benefits but otherwise confirms the lack of a contractual relationship between the home country company and the employee.

External Recruitment at Corporate

In cases where there is no suitable internal candidate the Corporate Recruitment manager in cooperation with the HR Manager of the relevant division, will manage the search.

The external candidate will be interviewed by corporate managers and by the HR department. Assuming the candidate makes a positive impression, an external personality and capabilities assessment process of both the candidate and his/her spouse will be performed by a specialized agency.

Once Corporate makes positive recommendation, the candidate will be interviewed by the host country.

An acceptance by the Subsidiary will result in either:

• The Subsidiary offering the position to the candidate and employing him/her from day one (the preferred option), or:
• The candidate signing a temporary agreement with Corporate until completion of the training period and/or residency visa procedures. In this case, a secondary employment agreement for the assignment will also be signed with the Subsidiary.

Engagement in an Ex-pat employment assignment is contingent on successful attainment of work authorization in the host country. The process for being granted a work visa differs with the country of destination. Company is responsible for supporting the application for a work visa for the employee and a residence visa for the family.

It is the responsibility of the host country HR manager in coordination with the home country HR manager to take care of the process.

Family Visas

[Company Name] is obliged to support the application of a residency visa only for the Ex-pat’s immediate family (for this matter, the term “immediate family” relates to the spouse and children of the Ex-pat).

The employee has the responsibility to monitor the accuracy and expiration dates of visa documentation for himself and his/her family in order to maintain a lawful working status in the host country.

Language studies

The allotment of English/local language lessons will be approved in accordance with each Subsidiary’s existing policy.

Cross-Cultural Orientation

Written material containing informative details relevant to the country of destination will be delivered to the employee by the HR Department. A complementary cross-cultural workshop will be also coordinated for the employee, his/her spouse and their adult children. The workshop will concentrate on the psychological/emotional stages that the employee and his/her family are likely to face during the transition to a foreign country.

The workshop will be coordinated by the HR Department in the home country once the contract is signed.

Preview Trip

The candidate who expresses a sincere intention to accept the Ex-pat assignment and his/her spouse/domestic partner (if they have school age children) are eligible for a preview trip.

The preview trip is approved for up to 5 working days. It is recommended that the preview trip be combined with a business trip.

The company will pay for round trip economy airfares to the host country and per-diem according to the home country’s per-diem travel policy.

The potential candidate should notify the host country’s HR manager re: his/her preview trip schedule so that proper arrangements can be made.

The potential candidate will meet with his/her direct manager and related business VP’s or managers to learn more about the scope of the job as well as the host country milieu.

House hunting should be done during the preview trip. If possible, it is recommended that an apartment be identified so paperwork can be processed and the apartment readied for when the Ex-pat’s arrival to start his/her assignment.

Visits to potential schools should also take place during the preview trip.

Temporary Housing (at home country)

Expats will be allowed to choose between using their 30 days of hotel and rented car right in their Home Country or at the Host Country, as long as they don't exceed the 30 days period limit.

Special Vacation Days for Arrangement

The Ex-pat is eligible for 5 days vacation leave, in addition to the annual leave, before going on the assignment, in order to arrange his personal matters.

Traveling and Settling-in Policy & Benefits

Cargo Shipment

The company pays for a 20-foot container, insured for up to $40K (US).

It is the responsibility of the host country HR manager to coordinate cargo shipment, except in the case of Ex-pats departing or repatriating from and to Corporate. In such cases, the Customer Department of the Operations Division coordinates the shipment.

For Ex-pats moving from one subsidiary to another, on a sequential assignment, the Repatriation Policy and Benefits re: cargo shipment, shall apply.

No payments will be allocated for the storage of freight for longer than the period required to release the container from Customs.

The company will provide the Ex-pat with a Relocation Allowance to assist with miscellaneous transition expenses. The amount of the allowance will be $3K (US) for singles and $4K (US) for couples with or without children.

The payment will be provided in the home country or upon arrival in the host country as per local procedures.

If the Ex-pat resigns before completing two years of his/her assignment, he/she will be required to pay back the Relocation Allowance to the company on a pro-rata basis.

Household Goods Loan- Company Inc.

Upon arrival at Company Inc., the Ex-pat is eligible to apply for an additional no interest loan of up to $2.5K (US) to assist with miscellaneous costs.

The loan is repaid as per subsidiary policy.

Temporary Housing and Rental Car

Upon arrival at the country of destination, the company will pay for car rental and hotel accommodations for a period of up to 30 days. During this time the employee is expected to make longer term automobile and housing arrangements.

Special Vacation Days for initial settling

Upon arrival to new country the Ex-pat is eligible for 5 days vacation leave, in addition to the annual leave, for arranging his personal matters.

At-Post Policy & Benefits

Annual Leave- as per host country policy.

Holidays and Leave - as per host country policy.

Housing- as per host country policy.

Car- as per host country policy.

Ex-pats are eligible for home leave after each year, as long as they have a balance of one-year service commitment in the host country upon return from home leave.

Home Leave Duration

The duration of the home leave will be up to 21 days, as listed below:

5 days – Training and meetings that will be regarded as working days at Corporate headquarters or at the Home Subsidiary headquarters. In case there is no need for the employee to attend any business meetings/training or if his home country is far from subsidiary headquarters, these 5 days, if taken, will be on the account of the employee’s annual vacation days allotment together with the other 10 days mentioned below.

6 days – Weekends

10 days – Annual vacation days

[Company Name] will cover the round-trip coach fare from and to the country of origin for up to a 21-day visit by the employee and his/her family. In the event that the employee’s family extends its visit beyond the 21-day period and in the event that this extension incurs additional costs to the tickets, these costs will be borne by the employee.

Home Leave Expenses

The Ex-pat is eligible for a special (taxable) allowance towards expenses during home leave:

Senior Subsidiary managers (Presidents/Vice Presidents) will be eligible for $2,000 (US). They are also eligible to a car for their use during the working days they are requested to work during their home leave period, up to a 5 days limit. Any other car expenses during the Home Leave period are covered by the $2,000 that Senior Subsidiary Managers are entitled to as Home Leave Expenses.

Other Ex-pats will be eligible for $1,300 (US).

Application for Home Leave

Ex-pats will fill the home leave application form and obtain direct manager’s, relevant VP’S and host country HR manager’s approvals prior to taking the leave. This process should take place 3 months prior to the starting date of the planned home leave.

Children’s Education

[Company Name] pays for children’s education from Kindergarten through Secondary School or High School Grade 12 equivalent or from age 2 to age 18, depending on local practice.

In countries where the local school system is inappropriate or in an unfamiliar language, International/ American/ British/ Canadian School may be an appropriate alternative.

Educational expenses supported by the company include the following:

• School registration fee
• Tuition fee
• School bus transportation fee
• The company does not pay for the following:
• Summer school
• Summer camp
• School field trip

Academic Studies

Ex-pats (who are not subsidiary management members) will have the option to apply for academic studies, with a subsidy of the company, according to the local subsidiary’s terms and procedures.

Ex-pats who are subsidiary management members (VP’s and Branch managers) will have the option to apply for academic studies, with a subsidy of the company (based on the subsidiary terms and procedure). The applications will be submitted with the subsidiary recommendations to Corporate HR VP for final approval

Family Member in Home Country

The company will provide a round trip economy air ticket for the shortest route to the host country as per the home leave policy of frequency of the Ex-pat, for family member/s who continue to reside in the home country. Family member/s in this case includes sons and/or daughters of the Ex-pat until age 18 or completion of mandatory military service.

Death in the Family

In the event there is a death in the Ex-pat’s family or the Ex-pat’s spouse’s family the company will pay for round trip economy air tickets to the Ex-pat’s home country for either the Ex-pat or his/her spouse. The Ex-pat is entitled to 7 working days paid leave under such circumstances. For the matter of this paragraph, “Family” is defined as: father, mother, spouse, son, daughter, brother or sister.

Tax Preparation Assistance

The Ex-pat is eligible for tax consultation reimbursement as per host country policy.

Repatriation Policy & Benefits

The benefits set forth below will be valid for a period of up to three months after the date of assignment completion and only in conjunction with a bona fide move of a permanent nature back to the employee’s country of origin or to a subsequent assignment in another subsidiary.

Upon assignment completion the company will arrange and pay for the Ex-pat’s cargo shipment. An Ex-pat with 3 or more children will be eligible for a 40-foot container insured for up to $40K (US). An Ex-pat with fewer than 3 children is eligible for a 20-foot container, insured for the amount of up to $40K (US).

It is the responsibility of the originating country HR manager to coordinate the shipment, except in the case of Ex-pats repatriating to Corporate. In this case, the Customer Department of the Operations Division coordinates the shipping.

No payments will be allocated for the storage of freight in the host or home country for a period exceeding that required to release the container from Customs.

Special Vacation Days for Arrangement (Host Country).

The Ex-pat is eligible for 5 days vacation leave, in addition to the annual leave for arranging his personal matters, before departing to his/her home country or before going on his/her next Ex-pat assignment.

Temporary Housing and Rental Car (Host Country)

The company will pay for car rental and hotel accommodations for a period of up to 12 days if needed, at the employee’s regular location, prior to the Ex-pat departure from the host country. The host country HR manager is responsible for the coordination of these arrangements.

Benefits for Employees Returning to Work at Company in Home Country

The employee is eligible for 5 days vacation leave, in addition to the annual leave, to assist with his/her settling-in arrangements.

Repatriation Grant

The company will reimburse the employee for up to $1,000 (US), as per receipts, to help with repatriation expenses. “Repatriation Expenses” include such expenses as temporary accommodations, rental cars and tutoring.

Responsibility

This procedure may be changed occasionally. All changes require the approval of the Corporate VP Human Resources.

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International Assignments: New Roles and Responsibilities for HR

The crucial role of hr in managing international assignments.

The process of managing international assignments can be complicated. HR departments play a crucial role in making sure they run smoothly. Our managing partner, Stefan Remhof , lays out the specific tasks and challenges in this process, including additional complexities like sensitivity to our rapidly changing world and new roles within a company.

The challenge of international assignments for everyone involved

Sending employees abroad is challenging for everyone involved. From the employees and their families to the employer and company, international assignments are a huge change. More than a geographical shift, there are logistical, operational and operational nuances to consider. Financially, committing to international assignments signifies more than a mere allocation of resources; it symbolises a strategic investment in a company’s human capital. Navigating the complexities of international assignments requires a modern approach. Gain additional perspectives on this topic through the collaborative insights found in LinkedIn’s article on Managing International Assignments Effectively , which explores the challenges and strategies in managing these assignments effectively.

International assignments as part of career development

International assignments are designed to give employees’ careers a boost. Traditionally, they focused on knowledge transfer across borders. But this can now occur in a digital environment. Although international assignments remain an attractive asset, how people approach them has changed. Employees want to further their personal and cultural enrichment, as well as enjoyment. They have a desire to learn from foreign cultures, enhance their educational level and professional development. Their quality of life is more important to them than workplace performance. This modern shift places greater emphasis on employer attractiveness and employee retention.

The Growing Importance of HR’s Role in International Assignments

For a successful company attachment, structured collaboration from all stakeholders is vital. This is where the HR department becomes increasingly important. It’s their job to ensure the entire expat management process occurs without issues. HR helps provide solutions to support employees and their families, allowing them to successfully complete their objectives during the assignment. For a comprehensive understanding of how HR managers can ensure a smooth transition for employees, ARC’s detailed guide offers a Guide for HR Managers and Employees .

7 essential HR responsibilities in managing international assignments

• Preparing Employees: HR plays a crucial role in properly preparing employees for their expat assignment. This can include simple things like information about the destination country, its culture, lifestyle and work ethic. And it can also include more detailed intercultural training.
• Visa and Work Permits: This involves the procurement of all necessary visas and work permits, not just for employees but also their families. Here, HR plays a vital role in minimising stress for the employee and ensuring a smooth transition to their international assignment.
• Legal Issues and Compliance: International assignments can involve complex legal issues. But by closely monitoring legal standards and staying up to date, the HR team works to make sure international assignments align with both global regulations and the company’s internal compliance policies.
• Housing and Relocation Support: Relocation is complicated and cause unnecessary stress for employees when trying to adjust to a new environment. Taking an active role in supporting employees in the search for suitable housing makes a huge difference to the entire international assignment experience.
• Health Insurance Support: Ensuring employees and their families receive comprehensive and correct health insurance coverage throughout the entirety of their international assignment relieves the burden of trying to navigate new healthcare systems.
• Payroll and Taxes: Handling payroll processes and taxation in accordance with local regulation to ensure accuracy and compliance at all times.
• Post-Assignment Support: Extending support beyond the international assignment by assisting in the repatriation and reintegration process supports employees and reduces challenges upon return.

Naturally, HR departments may not have enough resources to manage all these responsibilities. External service providers can take over some or all of these tasks, with support and coordination from HR. Companies can choose how to delegate these responsibilities but they are nonetheless highly important and should not be overlooked. In order to support and offer international corporate global mobility, companies must develop the structures to offer security to employees and help contribute to their personal learning and professional development.

Developing a Global Mindset

Companies that operate on a global scale face the challenge of trying to maximise opportunities but minimise risks with global mobility. Strategically planning for staffing needs, especially for highly skilled workers, gives them a competitive edge. H2: The Evolving Role of International HR Management International HR management is constantly changing and adapting. Managing a culturally diverse global workforce across countries and cultures is a significant challenge requiring innovative solutions. Developing a global mindset is essential here, as well as ensuring an understanding of leadership among executives.

Sensitivity to a Changing World is essential for HR strategies

As the world undergoes shifts from globalisation to nationalisation once again, public sentiment is changing. Companies are now re-evaluating their global activities. Transparency is vital as companies relocate more of their operations back to their home countries.

Adapting to Changing Needs in International Assignments

The need for and importance of international assignments is changing for global companies. HR professionals and expat management specialists must integrate into different value systems to create a common work environment that encourages effective communication and common goal achievement.

More than ever, global companies need a deep understanding of local business practices and must understand the needs of local customers and stakeholders. Developing a global mindset among leaders and employees is essential. International HR management must take on a new role with different strategies and solutions in order to guide organisations through the uncharted waters of globalisation. This changing and modern role around the global workforce should also be reflected in university and college curricula.

Visit our content page for more information on expat management, international assignments and HR solutions for the global workforce.

Author: Prof. Dr. Stefan Remhof is a Professor of International Management at IU International University and Managing Partner of the People Mobility Alliance. He has many years of professional and management experience in the fields of education management, politics, the consumer goods industry, and financial services.

PMA Perspective: 5 Takeaways from the Siemens Global Mobility Conference #TRENDSformation

Pma perspective: 5 key trends from the dgfp gm conference in berlin, effective communication strategies for international teams, a one-stop shop solution for global mobility services, global talent mobility trends: key insights from the decoding global talent 2024 report, the keys to effective expatriate selection: adaptability and competence, navigating global leadership: the essence of a global mindset, benefits of language proficiency in global talent acquisition, the transformation from hr tech to people tech, the evolution of the pma, growth mindset.

Adopting a growth mindset presents challenges such as overcoming fixed mindset tendencies, where individuals believe abilities are static. Shifting to a growth mindset requires changing deep-seated beliefs, which can be difficult. Consistently embracing failure as a learning opportunity is challenging and may face resistance. Maintaining motivation during setbacks requires strong resilience. Additionally, fostering a growth mindset across an organization demands sustained effort, clear communication, and leadership commitment, which can be resource-intensive.

Our consulting approach on a growth mindset involves helping organisations shift from fixed to growth-oriented thinking. Our consultants provide training to change limiting beliefs and encourage viewing challenges as opportunities for learning. We design strategies to embed a growth mindset into company culture, promoting resilience and innovation. This includes developing leadership commitment, clear communication, and continuous feedback loops. Our consultants also support employees in embracing failures as learning experiences, driving sustained personal and organisational growth.

Cultural Awareness

Cultural awareness faces challenges like overcoming unconscious biases and stereotypes that can hinder understanding and inclusion. Communicating effectively across different cultures can be complex due to language barriers and varying norms. Misinterpretations of behaviors or traditions may lead to conflict or offense. Integrating diverse cultural perspectives into decision-making can be difficult, and there’s the challenge of ensuring all employees feel respected and valued, which requires ongoing education and open dialogue.

Our consulting approach on cultural awareness involves guiding organisations to recognise and respect diverse cultural perspectives. Our consultants provide training to overcome biases, improve cross-cultural communication, and foster an inclusive environment. We help develop policies and practices that integrate diverse viewpoints into decision-making. Additionally, our consultants facilitate open dialogue and continuous learning, ensuring all employees feel respected and valued. This approach enhances collaboration, reduces conflicts, and supports a more cohesive workplace culture.

Local ecosystem connections

Local ecosystem building faces challenges like limited resources, including funding and talent, which can hinder growth. Fragmented networks and poor collaboration between stakeholders often lead to inefficiencies. There’s also a lack of trust and shared vision among participants. Regulatory hurdles and slow policy adaptation can stifle innovation. Additionally, small markets may struggle to attract investors and scale, while cultural resistance to change can impede progress.

Our consulting approach on local ecosystem connections involves helping organisations build and strengthen relationships within their community. Our consultants identify key stakeholders, such as local businesses, government entities, and nonprofits, and create strategies to foster collaboration and mutual support. We facilitate networking opportunities, promote knowledge sharing, and help align the organisation’s goals with community needs. Additionally, we assist in leveraging local resources, enhancing the organization’s reputation, and driving sustainable growth within the local ecosystem.

People-Focused Approach

A people-focused approach faces challenges such as balancing individual needs with organisational goals, which can lead to conflicting priorities. Ensuring consistent and fair treatment while accommodating diverse employee needs can be complex. Managing varying expectations and maintaining engagement across different personality types requires nuanced strategies. Additionally, measuring the impact of people-focused initiatives on overall performance and adjusting approaches based on feedback can be challenging. Ensuring resources are allocated effectively to support people-centered practices is also crucial.

Our consulting approach on a people-focused approach involves assessing organisational culture and individual needs to create strategies that prioritise employee well-being and engagement. Our consultants design tailored initiatives that align personal goals with business objectives, ensuring fairness and consistency. They facilitate effective communication, provide training, and support leadership in fostering a positive work environment. Our consultants also help measure the impact of people-focused practices, adjust strategies based on feedback, and optimise resource allocation to enhance overall effectiveness.

Communication Concept

Developing a communication concept faces challenges such as ensuring clarity and consistency across all messages and channels and across language barriers. Tailoring the concept to diverse audiences can be complex, requiring a deep understanding of their needs and preferences. Achieving alignment with organisational goals and values is crucial. Additionally, measuring the effectiveness of the communication and adapting strategies based on feedback can be difficult. Managing potential conflicts or misunderstandings and maintaining engagement throughout the process are also key hurdles.

Our consulting approach on a communication concept involves analysing organisational goals and audience needs to develop clear, consistent messaging strategies. Our consultants design tailored communication plans that align with business objectives and resonate with target audiences. We ensure messages are delivered through appropriate channels and measure effectiveness using feedback and metrics. Additionally, we help manage potential conflicts, adjust strategies as needed, and maintain engagement to ensure the communication concept achieves its intended impact.

Change Management

HR change management faces challenges like employee resistance, where fear of the unknown or discomfort with new processes can hinder acceptance. Communication breakdowns can lead to misunderstandings and decreased morale. Aligning leadership and getting their buy-in is critical but can be difficult. Managing the pace of change to avoid overwhelming staff, addressing skill gaps through training, and maintaining productivity during transitions are also significant hurdles. Additionally, measuring the effectiveness of change and making necessary adjustments is an ongoing challenge.

Our consulting approach on change management involves guiding organisations through transitions by developing strategies to address resistance, ensuring clear and consistent communication, and aligning leadership with change objectives. Our consultants design tailored training programs to close skill gaps and support employee adaptation. We help manage the pace of change to minimize disruption, maintain productivity, and implement metrics to measure success. Continuous feedback and adjustments are made to ensure a smooth and effective transformation.

HR Digitalisation Project Implementation

Implementing HR digitalisation projects faces challenges like resistance to change, where employees may fear job displacement or struggle with new systems. Integrating new digital tools with existing legacy systems can be complex and costly. Ensuring data security and privacy compliance is critical, especially with sensitive employee information. Additionally, inadequate training and support can hinder adoption, while managing the project’s scope, budget, and timeline adds further pressure to successful implementation.

Our consulting approach on HR digitalisation projects involves addressing key challenges such as resistance to change by fostering a culture of openness and providing clear communication about the benefits and support available. Our consultants help ensure a smooth integration of new tools with legacy systems, minimising disruption and costs. We emphasise data security and privacy compliance, crucial for protecting sensitive employee information. Our effective training programs are designed to enhance user adoption, and consultants meticulously manage the project scope, budget, and timeline to ensure successful implementation.

Tech Vendor Screening

Tech vendor screening presents challenges like assessing vendor reliability, as companies must evaluate a vendor’s financial stability, reputation, and track record. Identifying the right fit requires aligning the vendor’s offerings with business needs, which can be difficult with technical complexities. Data security is a critical concern, demanding thorough scrutiny of the vendor’s security practices. Additionally, there’s the challenge of managing vendor lock-in risks and negotiating favorable contract terms.

Our consulting approach on tech vendor screening involves guiding businesses through selecting the best vendors by assessing their offerings, reliability, and compatibility with the organisation’s needs. Our consultants evaluate vendors’ financial stability, scalability, and long-term viability. We also ensure compliance with industry regulations, focus on data security, and mitigate the risk of vendor lock-in. Additionally, our consultants help align vendor choices with the company’s budget and growth strategies, ensuring a tailored, sustainable partnership.

Tech Vendor Selection

Selecting the right tech vendor poses challenges such as navigating a crowded market with numerous options, making it hard to distinguish between similar offerings. There’s a risk of vendor lock-in, where future flexibility is compromised. Assessing the vendor’s reliability, financial stability, and long-term viability is crucial. Compatibility with existing systems, data security, and compliance with regulations are also key concerns. Budget constraints and ensuring the vendor can scale with business growth further complicate the decision.

Our consulting approach on tech vendor selection involves helping organisations choose the best vendor to meet their specific needs. Consultants assess business requirements, compare vendors, and evaluate their offerings for compatibility, scalability, and security. Our consultants consider the vendor’s reputation, financial health, and customer support. We also negotiate contracts to avoid vendor lock-in and ensure cost-effectiveness. The goal is to align vendor capabilities with long-term business strategies, reducing risks and ensuring value.

Technological Transformation

Technological transformation faces challenges like resistance to change, which can stem from fear or lack of understanding. Legacy systems may be incompatible with new technologies, requiring costly updates. There’s also the need for employee training to adapt to new tools. Data security concerns rise with increased digital integration, and the rapid pace of change can overwhelm organizations, making it difficult to stay current and competitive. Budget constraints further complicate adoption efforts.

Our consulting approach on technological transformation involves guiding organisations through adopting new technologies to improve efficiency and competitiveness. Our consultants assess current systems, identify gaps, and recommend solutions tailored to the business’s needs. We also help manage change by addressing employee resistance, ensuring smooth integration with existing infrastructure, and providing training. Additionally, we focus on cost management and aligning tech strategies with long-term business goals.

Global Talent Pools

Global talent pools present challenges such as managing diverse skill sets, cultural differences, and varying educational standards. Time zone disparities can hinder collaboration, while legal and regulatory differences complicate employment contracts and compliance. Language barriers may affect communication and integration. Additionally, ensuring equitable opportunities and managing compensation across regions are difficult. Competition for top talent is intense, making retention a critical issue.

Our consulting approach on global talent pools involves helping organisations source, attract, and manage talent from diverse regions. It requires strategies for navigating cultural differences, ensuring compliance with local labor laws, and overcoming language barriers. Our consultants guide on optimising remote work, aligning global talent with business needs, and fostering collaboration across time zones. We also focus on creating equitable opportunities, competitive compensation packages, and effective retention strategies in a global context.

Global Talent Mobility

Global talent mobility faces challenges such as navigating complex immigration laws, visa restrictions, and varying employment regulations across countries. Cultural differences and language barriers can hinder integration and productivity. Additionally, managing compensation disparities and aligning relocation benefits with local standards is difficult. Retaining talent is also a concern, as frequent relocations can lead to burnout and decreased employee satisfaction. Effective coordination across global teams is essential but challenging.

Our consulting approach on global talent management involves advising organisations on attracting, developing, and retaining diverse talent across borders. It includes aligning talent strategies with global business goals, ensuring compliance with local labor laws, and navigating cultural differences. Our consultants help to design effective mobility programs, manage compensation equity, and foster inclusive work environments. We also focus on leadership development, succession planning, and employee engagement in a global context.

Global Mindset

The challenges of a global mindset include navigating cultural differences, language barriers, and varying business practices, which can lead to misunderstandings and conflicts. Additionally, managing diverse teams requires sensitivity and adaptability to different communication styles and expectations. Balancing global strategies with local needs can be complex, and staying informed about international regulations, economic conditions, and political climates adds further complexity to decision-making processes. Our consulting approach on global mindset involves guiding organisations to embrace cultural diversity, fostering cross-cultural communication, and aligning global strategies with local practices. We help teams to navigate international markets, adapt to varying regulations, and manage diverse teams effectively. Our consultants also emphasise the importance of cultural sensitivity, inclusivity, and adaptability in leadership to ensure successful global operations and sustainable growth.

International Talent Development

International talent development faces challenges like cultural differences, language barriers, and varying educational backgrounds, which affect training and communication. Aligning development programs with local norms while maintaining global standards is difficult. Differences in work ethics, leadership styles, and career expectations complicate talent retention and growth. Additionally, logistical issues like time zones and technology access can hinder the implementation of consistent development initiatives. Our consulting approach on international talent development involves creating tailored strategies that respect cultural differences and align with global business goals. This includes designing cross-cultural training programs, leadership development initiatives, and succession planning. Our consultants address language barriers, diverse learning preferences, and varying educational backgrounds. They also advise on retaining top talent, ensuring global consistency in skills development, and leveraging technology to deliver effective training across regions.

Global Workforce Management

Global workforce management faces challenges like cultural differences, varying labour laws, time zone coordination, and communication barriers. It also involves managing remote teams, ensuring consistent training, addressing different work ethics, and navigating political and economic instability. Our consulting approach helps to balance global policies. This involves advising on cross-cultural communication, aligning global and local HR policies, and navigating diverse labour laws. Our team offers strategies for managing the complexities of remote teams, optimising talent acquisition, and ensuring compliance with international regulations. Our consultants also address challenges in employee engagement, leadership development, and compensation strategies. We help organisations to effectively manage a diverse, global workforce while maintaining productivity and cohesion.

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Alexia Schmolling Consultant

Alexia joined the pma in 2024 as transformation consultant. her focus lies on international hrm and mental health. she is responsible for content and partner management, and brings valuable insights from her international experience..

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Mira currently works for airinc in germany and has been working in global mobility since 2006. of german-indian origin, she has lived and worked in different countries but spent the majority of her working life in london before moving back to her native germany in 2019. she believes that personal connection and experiences are the key to successful business interactions. and that even in business, it’s the person behind the employee that makes all the difference..

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Daniel is a global workforce consultant, podcaster and investor. cultural diversity and global collaboration have been his passion for more than 20 years. he has worked in global mobility for various corporations in many different countries, but is currently based in berlin, where he enjoys the city’s creativity, diversity and open mindset., the members of the people mobility alliance are united by the same passion: fostering cultural diversity and embracing technological advancement. we welcome everyone who is open to new perspectives, likes to give and receive new ideas and who will therefore help shape this alliance. find like-minded people and exchange ideas about relevant topics, such as hr strategy, digitization, transformation processes and more. most importantly, help drive change in how people mobility is performed. join today..

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Managing International Assignments: Employer Guidance

Anne morris.

• 28 August 2024

IN THIS SECTION

Organisations deploy personnel on international assignment for many reasons. Whether you are addressing an internal skills gaps, supporting leadership development or looking to improve working relations across borders, for any international assignment to be successful, there will be a multitude of legal, immigration, tax and pensions risks to manage when sending employees overseas.

Global mobility programmes have traditionally been developed with a uniform approach, driven largely by cost management and operational efficiencies. However, organisations are increasingly taking a more flexible and bespoke approach to overseas assignments in order to attain advantage in areas such as compliance and talent development and retention.

While a one-size-fits-all approach to the fundamentals of mobility management may be a commercial reality, overlaying this should be areas of specific consideration and capability that can be adapted to the specific needs and risks of each international assignment. This allows for greater focus on the assignment’s commercial objectives and the agility to respond to the organisation’s changing global mobility needs .

International assignment objectives

From the outset of any successful assignment project, there should be clarity of objectives. Why as an organisation is the decision being made to invest in sending an employee to perform services in a different country?

International assignments can offer value in many areas, many of which typically present in the longer-term.

Internal knowledge transfer is a common assignment objective to address talent or skills shortages within overseas regions. Deploying key talent with specialist knowledge and skills to train and upskill local team members can help to resolve local labour or skill supply issues. The cost/benefit analysis can explore potential missed opportunities or delays resulting from shortages in the local talent market.

International assignments are also highly effective in building relationships and improving intercultural working. This could be relationships within an organisation, with local clients and intermediaries or local authorities. Face to face interaction remains highly effective and valuable in building influence on the ground and can offer significant potential for advantage over competitors.

Beyond relationships, value is also created in the knowledge gained by assignees working overseas, from insight into local customs and culture, improved language capability and a general understanding of how business is ‘done’ within the region and helping to adapt organisational protocol to suit the local environment. Combined with the assignee’s existing market and organisational knowledge, they can offer a global perspective with local details, bringing considerable potential to build competitive differentiation.

With clarity of objective, you can then consider whether an international assignment is the most appropriate solution . Is it possible to hire or promote locally? Would multiple, shorter trips be as effective in performance terms but with lower cost implications? International assignments demand significant investment and it will be important to assess cost projections against expected return and value to the organisation.

International assignment structures

As well as clarity of objectives, a successful international assignment also requires clarity of contractual terms, both to manage the expectations and understanding of the assignee, and also for the mobility team to identify support needs and potential risks.

Now more than ever, organisations are developing portfolios of mobility programmes to enable an agile approach to global mobility that responds to the organisation’s changing needs for international personnel mobility. Assignments come in increasingly different shapes and sizes, from permanent relocations or temporary exchanges, secondments or transfers to a different region or to a different organisation.

While organisations demand greater flexibility and agility from their global mobility programmes, underpinning the activity should be an appropriate assignment structure with a supporting contractual agreement that enables compliance with regulatory and legal duties.

When considering which structure to adopt, organisations will need to consider a range of factors including the type of assignment and the relevant environmental context such as regulatory, immigration, employment law, tax, pension implications.

For international assignments, where the employee is moving from the home country employer to a host country employer, the employer could consider a number of assignment structures, including:

• The employee continues to be employed solely by the home employer.
• The employment contract with the home employer is suspended for the duration of the assignment while the employee enters into a new employment contract with the host employer.
• The employment contract with the home employer is terminated with a promise of re-employment at the end of the assignment while the employee enters into a new employment contract with the host employer.
• The employment contract with the home employer is suspended and the employee enters into a contract with an international assignment company (IAC) within the employer group
• The employment contract with the home employer is suspended and the employee enters into a contract with both an IAC and the host country employer.
• The employee remains resident in the home country and works in a host country under a commuter assignment.

Each type of assignment structure offers advantages and disadvantages which should be considered in light of the individual assignment. For example:

• Do employment laws in the host country require the assignee to be employed by a local entity?
• Would the assignee be agreeable to ending their home country contract and starting a new agreement with a new entity in the host country?
• Are there terms in the home country contract that would need protecting in any new agreement, such as restrictive covenants?
• Which jurisdiction would prevail, the host or home country?
• How would local laws interpret a situation where there is no contract of employment with the employer in the host country?
• Issues such as income and corporate tax, pension and employment rights and responsibilities will need to be identified and assessed against the specific assignment objectives and budget and the assignee profile and circumstances.

Employment law

Employment law implications come hand-in-hand with selecting an appropriate assignment structure.

Home-country employment contracts for employees on assignment from the UK to an overseas jurisdiction should generally be interpreted under the laws of England and Wales. If a host country contract is used, there should be specific provision in the agreement to determine which jurisdiction would prevail. However, neither position is guaranteed, for example where issues of domicile arise which may supersede any contractual provisions. Again the need is to assess on an individual assignment basis.

As well as explicit contractual considerations, employers should also be aware of any statutory rights or implied terms under UK law that may continue to apply even in the host country.

Specific provisions may also need to be made to ensure confidentiality and appropriate handling of commercial and sensitive information. While this may be standard or expected for senior employees, those on assignment should also be considered for such terms relevant to the type of assignment and the commercial objectives of the project.

Immigration options

Successful international assignments will invariably require careful consideration of the immigration requirements. Governments across the globe are adopting increasingly protectionist stances towards economic migrants, as policies seek to favour domestic workers. This means business travellers and visa holders are now facing greater scrutiny when applying for work visas and when trying to gain entry at the border.

Visa options and criteria vary between countries and are subject to frequent change. Where permission is required for the assignee to work in the host country, it will be important to ensure the assignee applies for the most appropriate route to meet the assignment need, whether that is a work permit or a business visitor visa. The immigration requirements and options will be determined in most part by the rules of the home and host countries, the nationality of the assignee (and any of their dependants who will be joining them overseas) and the nature of the activities the assignee intends to perform during their time in the host country.

For example, a British citizen may be eligible to travel to the US to attend sales meetings and work conferences for up to 90 days  without having to apply for a visa but to conduct ‘gainful employment’ they would need to look at a specific work visa, such as the L-1 visa for intracompany  transfers.

A further factor will be the specific requirements of the visa or permit. Work visas, for example, may require sponsorship of the employee by a local entity with valid sponsor status. The application process for work visas are typically resource-intensive and in many cases will require the employer to provide compelling evidence as to why the role or work cannot be performed by a worker resident in the host country.

Preparation will, therefore, be critical, ensuring there is sufficient time to consider the relevant immigration options in light of local rules, and to then make the required application. Complications may also arise where the employee does not meet certain requirements under the local rules, for example if they have a past criminal conviction or negative immigration record. This will require careful handling and, depending on the host country’s rules, may require submission of a visa waiver to explain the issue and provide assurances of the employee’s eligibility by requesting a discretionary decision on the application.

Assignee remuneration

Relocation packages are typically the biggest expense associated with an international assignment. While cost control will remain a concern, it is important for employers to ensure they are offering packages that are competitive within the market and that the package will support both the commercial objective of the assignment and compliance with associated legal and tax risks.

Home-based packages remain common, including those which may be markedly above local market compensation levels, particularly in circumstanecs where the assignment need is business-critical.

It may be possible however to look at offering a lower package than the home-based option, by either localising the package to harmonise with host nation levels or to develop a ‘local-plus’ offering that maintains a degree of competition, but this can be challenging to apply consistently across all assignment types and locations.

Again, consideration should be given to the individual assignment and the assignee. Millennial workers for example are generally understood to value international experience and the remuneration package may not be their primary concern where the opportunity for overseas exposure is available.

For organisations with a substantial cohort of international assignees and travellers, it may be more appropriate to build a compensation scheme specifically for globally-mobile personnel.

Importantly, assignees who will remain under an employment contract in their home country may continue to be subject to home country payroll while on assignment. This will also enable pension and benefits to be offered in the same way through the home country. Taxation, however, raises more complex issues, for example where withholding rules apply in the host country. This will require specialist guidance to ensure tax liabilities in the home and host country are correctly managed and met withiin the appropriate timeframes.

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International assignments are demanding on the employer and the employee, but have become critical given the business imperatives to meet talent and development needs and achieve competitive advantage .

Employers should not lose sight of the need to understand the specific risks of each individual assignment, which increasingly demand bespoke solutions. While compliance , efficiencies and cost control should be underpinned by a solid global mobility infrastructure of policies, systems and procedures, the current shift is away from a uniform approach to assignment management, instead moving towards more agile management of each assignment, shaped by the specific assignment objectives, budget and risks in relation to immigration, tax, remuneration and employment law.

DavidsonMorris’ specialist global mobility consultants provide expert guidance to employers on all aspects of international assignments, from programme management and implementation to strategic consultancy to ensure value and return on the mobility investment. We understand the commercial drivers behind mobilising workers and the need to ensure compliance without impacting return on mobility investment.

We work with senior management teams, HR and mobility professionals to develop strategies that ensure effective compliance risk management while supporting delivery of the organisation’s global mobility objectives. For advice on making the most of international assignments, speak to us .

International Assignment FAQs

What is an international assignment?

An international assignment is when an employee is temporarily relocated to work in another country on behalf of their employer. These assignments can vary in length and purpose, ranging from short-term projects to long-term placements or even permanent moves.

How long do international assignments typically last?

The duration of an international assignment can vary greatly. They can be as short as a few months or extend to several years. It depends on the needs of the business and the specific goals of the assignment.

Do I need to provide cultural training for employees going on international assignments?

Cultural training is highly recommended. It helps employees adapt to the cultural nuances of the host country, improving their effectiveness and reducing the risk of culture shock. This training can also support better communication and integration within the local team.

What legal considerations should I be aware of for international assignments?

There are several legal considerations, including obtaining the correct work visas and permits, understanding employment laws in the host country, and ensuring compliance with both UK and local regulations. It’s crucial to consult legal experts to avoid any pitfalls.

How can I support employees and their families during an international assignment?

Supporting employees and their families involves providing relocation assistance, helping with accommodation and schooling, offering language courses, and ensuring access to healthcare. Regular check-ins and a clear repatriation plan also help maintain their well-being.

What is the process for repatriating employees after an international assignment?

Repatriation involves planning for the employee’s return to the UK, both in terms of logistics and reintegration into the workplace. It includes arranging their move back, addressing any reverse culture shock, and ensuring they have a clear role and support upon their return.

How can I measure the success of an international assignment?

Success can be measured through various key performance indicators (KPIs) such as the achievement of business objectives, employee satisfaction, skill development, and the impact on the company’s global operations. Regular reviews and feedback from the employee and host team are also essential.

What risks are associated with international assignments?

Risks include geopolitical instability, health issues, and the potential for the assignment to fail if the employee cannot adapt. Mitigating these risks involves thorough planning, offering support systems, and having contingency plans in place.

Is it necessary to have a contingency plan for international assignments?

Contingency planning is vital to address any unexpected issues that may arise during an international assignment. This includes plans for emergency evacuation, alternative work arrangements, and ensuring continuous support for the employee and their family in case of unforeseen events.

Founder and Managing Director Anne Morris is a fully qualified solicitor and trusted adviser to large corporates through to SMEs, providing strategic immigration and global mobility advice to support employers with UK operations to meet their workforce needs through corporate immigration.

She is a recognised by Legal 500 and Chambers as a legal expert and delivers Board-level advice on business migration and compliance risk management as well as overseeing the firm’s development of new client propositions and delivery of cost and time efficient processing of applications.

Anne is an active public speaker, immigration commentator , and immigration policy contributor and regularly hosts training sessions for employers and HR professionals

• Anne Morris https://www.davidsonmorris.com/author/anne/ UK Register of Licensed Sponsors Guide
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About DavidsonMorris

As employer solutions lawyers, DavidsonMorris offers a complete and cost-effective capability to meet employers’ needs across UK immigration and employment law, HR and global mobility .

Led by Anne Morris, one of the UK’s preeminent immigration lawyers, and with rankings in The Legal 500 and Chambers & Partners , we’re a multi-disciplinary team helping organisations to meet their people objectives, while reducing legal risk and nurturing workforce relations.

Read more about DavidsonMorris here . 

Legal Disclaimer

The matters contained in this article are intended to be for general information purposes only. This article does not constitute legal advice, nor is it a complete or authoritative statement of the law, and should not be treated as such. Whilst every effort is made to ensure that the information is correct at the time of writing, no warranty, express or implied, is given as to its accuracy and no liability is accepted for any error or omission. Before acting on any of the information contained herein, expert legal advice should be sought.

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A Successful International Assignment Depends on These Factors

• Boris Groysberg
• Robin Abrahams

Your marriage, your family, and your career will all benefit from advance planning.

The prospect of an international assignment can be equal parts thrilling and alarming: Will it make or break your career? What will it do to your life at home and the people you love? When you’re thinking about relocating, you start viewing questions of work and family — difficult enough under ordinary circumstances — through a kind of high-contrast, maximum-drama filter.

• BG Boris Groysberg is a professor of business administration in the Organizational Behavior unit at Harvard Business School and a faculty affiliate at the school’s Race, Gender & Equity Initiative. He is the coauthor, with Colleen Ammerman, of Glass Half-Broken: Shattering the Barriers That Still Hold Women Back at Work (Harvard Business Review Press, 2021). bgroysberg
• Robin Abrahams is a research associate at Harvard Business School.

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10 Tips for Managing Successful International Assignments

20 Apr / 2021 | By TMA World

International assignments can be one of the most rewarding and life-changing experiences in an individual’s career. Yet international assignments are expensive for the employer – and a surprisingly high number of them fail. There are various reasons for this, but culture shock, failure of the employee to perform in their new post and dissatisfaction with the assignment itself are cited as common causes. How can you best prepare employees for international assignments – and help them make the assignment a success? Here are some tips.

1. Make a business case for international assignments

Sending an employee to live and work overseas is expensive. Is there a case for doing this? Would a local hire be better, or is there absolutely nobody else for the job? If there is nobody locally, does the individual have the right skills and mindset? Are they open to living and working in different cultures? What benefit will their overseas experience bring to the company when they return?

2. Consider the individual’s position

Employers need to be sensitive to personal situations when considering sending someone overseas. Posting an LGBTQ individual to, say, a conservative Muslim country is not impossible, but requires serious consideration and extra support. The same applies to an employee’s partner and family; is there anything that might put them at risk in the new destination?

3. Manage expectations

Employees need to be prepared for the fact that life during international assignments will be different, and not necessarily glamorous and exotic. There will be cultural barriers to overcome, as well as homesickness and culture shock to deal with. Families and spouses need to be prepared for the changes. New relationships will need to be built in the workplace and a new structure fitted into. Going with realistic expectations is better than plunging into international assignments unprepared, and having it turn out to be a disappointment.

4. Prepare for cultural immersion

Embarking on a programme of cross-cultural training is invaluable before taking up international assignments; individuals learn to understand their own mindset and prejudices as well as what to expect in the new culture. There are less formal ways to prepare, too. Would-be assignees for international posts could should be encouraged to build up a picture of the new culture by reading literature, newspapers and blogs. They should listen to podcasts and even watch movies to put together the jigsaw of everyday life in the new place.

5. Arrange mentoring schemes

A cross-cultural mentor might be a colleague in the new office, or a co-worker who is in the destination, or has experience of it. Ideally, new expat workers should have a mentor in the new destination and one at home; it is very easy for expatriates to feel cut adrift from the familiarity of their old office and colleagues. Typical discussion points with a mentor might include management style, hierarchy, gender issues, meeting etiquette, negotiating and decision making. Essentially, though, a mentor should be a sounding board on whom the expat can rely when problems crop up.

6. Encourage a positive attitude

Even having a few simple memos and pointers can help newly landed expats through difficult times. Learning not to compare their old culture with the new one; remembering that the new culture is different but not necessarily wrong; understanding different approaches to time management; and starting out with the basic assumption that people in the new culture are friendly and welcoming, even if there are hiccups in communicating with them. This is all part of cross-cultural communication training.

7. Offer language training

Even if English is the international language of business, and even if English is the language of the workplace in the new country, a basic conversational command of the destination language will go a long way towards integrating into society and overcoming culture shock. This is important for trailing spouses, too; culture shock can be even worse for a spouse who has less structure to their day and lacks the confidence to build a life of their own.

8. Keep communication focused

Mentoring aside, a company should have a formal reporting scheme while the employee is abroad on assignment. Checking in regularly is the best way to stay appraised of how the assignment is progressing, what new ideas and useful information have been picked up, and dealing with any problems before they escalate. Companies should make the most of the assignee’s time abroad by encouraging them to share their experiences – by blogging, for example, or participating in video conferences.

9. Provide support for sufferers of culture shock

Culture shock is a serious condition; it can lead to depression, a sense of isolation and even illness. Almost everybody suffers from culture shock in some way. Most people get through it but some fail to adapt, feeling lonely, resenting the new culture, maintaining an illusion that everything back home is superior. Acknowledging culture shock and finding small ways to deal with it should all be part of preparation for life abroad, for example, working to establish a network of friends, both expats and people from the new culture; keeping busy; and making an effort as a family to explore the new culture; visiting markets, trying out restaurants and arranging enjoyable activities for weekends, like a trip to the beach. Craving the comforts of home is not wrong; it’s normal.

10. Remember that reintegrating is just as important

Many of these issues apply to the end of international assignments. A posting abroad can be a life-changing experience and it’s not uncommon for individuals to return home with new skills and ambitions to find that they are different – and that their old friends, colleagues and workplace have changed, too. Some of the positives of an overseas posting are increased confidence, a broader world view, better empathy and more creativity when it comes to problem solving. Employers need to harness these new qualities, not just expect the individual to slot back in. Preparation should be made several months before an assignee returns. What new skills do they have? How do they see themselves fitting in? What opportunities might be available for them? Fail to prepare and the chances are, they’ll take their new skills elsewhere.

Our blended learning solutions ensures your global travelers, international assignees and their families will be successful. Our learning process can be fully adapted to suit the needs of your organization. Our training is delivered across coaching sessions, instructor led training and online learning pathways.  Click here to read our brochure for more information . 

Interested in how introducing a cultural intelligence tool in your business could help to create a more borderless workforce? We’d love to show you our groundbreaking platform.

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Module 16: Globalization and Business

Introduction to effective training for international assignments, what you’ll learn to do: explain how managers can effectively train employees for international assignments.

The United States does not keep records on expatriates (citizens living and working outside of the country), so researchers have to rely on estimates for numbers. The Migration Policy Institute published a report in 2014 called “Counting the Uncountable: Overseas Americans.” The best estimates place the number of Americans living in another country, either on a temporary or permanent basis, between 2.2 million to 6.8 million. (This estimate does not include US military personnel.) Estimates of how many Americans become expatriates each year varies widely, ranging from eighteen thousand to forty-five thousand. What we can tell from these figures is that U.S. businesses spend significant amounts of money sending employees and their families around the world to work for international companies. This money is wasted if the employee is not given the tools needed to ensure a relatively smooth transition to life in another country.

• Introduction to Effective Training for International Assignments. Authored by : John/Lynn Bruton and Lumen Learning. License : CC BY: Attribution

Lessons from an international assignment

Robert S. DeVries

An international assignment has long been seen as providing executives with an opportunity for personal growth and professional development, while enabling companies to place executives in markets where specific capabilities are needed or to spread corporate values and best practices throughout the organization. With business footprints expanding and international markets becoming increasingly important drivers of revenue and profit growth, companies need executives who are global thinkers with broad-based business perspectives and the agility to master an array of markets, cultures, competitors and workforce differences.

As these capabilities become even more important, having a meaningful assignment outside one’s own market has become a critical element of executive experience and is likely to become a prerequisite for career advancement at a growing number of multinational companies.

We asked several senior executives to think back to their first or most memorable international assignment and share how those experiences helped to shape or influence their leadership styles. What surprised them the most? What did they learn and how have they continued to apply those lessons in their current leadership roles? Finally, what advice would they give to other executives about succeeding in an international assignment?

Philippe Bourguignon

Vice chairman, revolution places, and ceo, club med, what surprised you.

Someone who was born and raised in his country and, when he is 25, 28, 30, is posted abroad, obviously, learns so much during his first assignment. I was raised in Morocco. My father worked for a U.S. company, and I came to the U.S. almost every year when I was a young boy. Therefore, I’ve been exposed and living international from basically almost the time I was born. It is more a way of life, and, by the way, this has been a huge gift. My two children were born in New York and raised in the U.S., and today they are totally bicultural.

What have you learned?

I like to say that I’ve learned patience in Asia, and I’ve learned what competition means in the U.S., because I’m from a country where there is no patience and limited competition.

What I also learned by working internationally is that if you keep good sense — remain grounded in basic business judgment and rules — you can work in any foreign environment. Good sense is key. Some people try too hard to be too local, understand everything, but you will never understand a foreign country as well as you understand your native country, even if you speak the language. But good sense is the same everywhere.

What advice would you give to others based on your experience?

To an executive, my advice would be to listen and be humble. Listening is very important. Be humble and respectful. The tendency, particularly if you go into emerging countries, is to consider that everything else is not as well done. But being humble and respectful of people buys you tremendous mileage no matter where you go. You need to be more humble abroad than you are at home and more respectful.

When you are abroad, things are over-amplified. Being abroad over-amplifies your body language, your words and your decisions. Whatever you say is listened to twice as carefully as when you say it at home. You are watched much more closely than you are at home — for both good and bad.

John Doumani

Managing director, australasia for fonterra cooperative group, what did you learn.

The business issues were not that hard to discover, but the bigger issues for me were actually more cultural. The culture in the U.K. was similar to here, and there was a relatively informal work environment where you can joke around a bit. This is my style and it translated really well. However in Italy and the U.S., the work environment is more formal, and I had to adjust my style to be conscious of this. Had I not done so, I would not have been able to be effective working for the organization. You have to be very careful not to offend people. If you want people to follow your leadership, you have to engage them in a way that works for them.

Seventy percent of what you know about business will translate, but the other 30 percent — the difference between success and failure quite often — comes down to truly understanding the business dynamics that might be different. Market dynamics vary greatly in terms of regulations, trade and competitive structures. You’ve got to make sure you get your head around this because it will affect your ability to implement what you want to do, and you have to modify whatever you do to fit in.

The bigger issue is to be really sensitive to cultural differences. There’s no shortcut in being able to do this other than to have an open mind and be willing to accept any differences. You can’t go with the attitude of, “I’m just going to do what I do and if they don’t like it, stuff it!” The first thing is to accept that the cultural issues are really important. Accept the fact that it may be different and be really open-minded. The sooner you identify and are open to any differences, the better.

Philip Earl

Executive vice president and general manager, publishing for activision blizzard, what most surprised you.

Having worked in Saudi Arabia, having worked in Australia, having worked in Los Angeles, what surprised me the most is that there are more similarities than differences in the people across countries.

I learned the importance of understanding the pace of change: how much to do and how quickly. You have to be very astute in understanding the capabilities of the organization in the marketplace. It can be too fast, but can also be too slow. There is no right or wrong answer. You have got to accept that you can have a very strong strategy and you can have a very good vision, but unless you bring the team with you, it is just disconnected. Your people capability platform will determine whether to go faster or slower.

What people leadership insights have you gained?

Something interesting I have learned is the fact that people are motivated by different things, and understanding what most drives a specific individual lies at the heart of leadership. Often you assume people are concerned about money. It almost always isn’t the case. There has to be a base level of remuneration, but in three years working with video games people, I have Harvard graduates who just want to work in that industry; it motivates them to be part of something amazing. It is a passion for them. Some people are motivated by a very strong sense of family and a sense of community. If you are not careful and gloss over individual motivations, you never get the most out of people. You have got to understand people. There can be 10 nuances of what motivates them, and if you get that right, despite cultural differences, you can usually do quite well.

My advice is to “be in.” When you go to a new market, don’t hang around on the side; just get in there. Absorb the culture, language, food, sport, everything. You get a reaction from your work colleagues that is really incredible and makes you feel that you really want to be here, and as a consequence, they see you as an expat wanting to be here.

Conrado Engel

Chief executive officer, hsbc bank brazil.

The most important thing was how careful you have to be about managing cultural differences. People react differently to situations, and this is very challenging. For example, the way you interact with a Chinese company is completely different from an Indian one. Individuals can interpret situations very differently. Early during my assignment in Hong Kong, after a meeting where we were assigned tasks for a particular project, I asked an executive for a status update prior to the due date. I realized later that this made the executive feel very uncomfortable, because, as he said, he would fulfill his commitments; it was part of his responsibility. Again, it demonstrates the importance of understanding cultural differences.

What personal or professional lessons from your international experience have remained with you?

Managing any business is about managing people. Dealing with different cultures and reactions is crucial. I learned to listen more and reflect more before taking immediate action. I also learned that people can significantly benefit from each other’s experience. For example, I believe that my experience in dealing with crisis management as a Brazilian executive was very beneficial to the HSBC Group when I was in Hong Kong.

You have to visit people, go and visit the countries and the operations, and establish strong professional connections. Personal relationships may also help. Understanding the cultural environment is of vital importance. Learning how to navigate a large organization like HSBC — with a strong internal culture, with very strong roots in Asia — is also critical for success.

It is always best to listen, comprehend and then act.

Kirk Kinsell

President of the americas, intercontinental hotels group.

Based in London, with responsibilities for Europe and Africa, the things that surprised me were the diversity of thinking and the distinctive cultures and, therefore, how people felt, how people thought, how they processed information and what was important to them varied tremendously. As a result, there was more dialogue, which oftentimes meant debate. Having to have that broader discussion on issues was intriguing, challenging and fulfilling. Initially, the discussion can feel like it’s slowing things down, but when you reset expectations and build in opportunities for debate, what I have found is that, even though people may not agree with the ultimate decision, the process allows people to align and walk out of a meeting on the same page.

What personal or professional lessons have remained with you?

I made it a point to get underneath the differences between my new environment and what I was used to at home, and understand the history and the stories behind the surface. I began to appreciate the differences for how they enrich the environment that I was in, creating a more holistic and colorful tapestry from an aesthetic standpoint.

Coming back to the United States, I find myself wanting to go deeper with people who I otherwise would have thought were just like me. As a result, I think I have the potential to build stronger relationships. I have the potential to be a better leader. Because our job as leaders is to unlock the potential of the people we work with and the people we have the privilege of leading and managing. And, therefore, I can get perhaps a better perspective of who they are and their motivations and how they align with the company’s purpose and objectives.

What advice would you give others based on your experience?

To another American, I would say dialing down the fact that you’re American and dialing up being a global citizen is probably a much more effective way of engaging people. It doesn’t mean that you change your principles or your beliefs or your value system; it means being sensitized to how you come across. Saying things like, “We do it this way back there” — meaning that was the only good way — can come off as being too American, too know-it-all, too celebratory, too cheerleading, too shallow, all those things that are sometimes attributed to being American.

Murilo Portugal

President of febraban (brazilian federation of banks).

My most relevant international experience was to work with International Monetary Fund. It provided me a great opportunity to understand the reality of other countries. Since I was responsible for the fund’s relations with 81 countries in all five continents — from advanced countries such as Sweden to developing countries such as Bhutan — I had to understand different environments and market dynamics. In this role, I came into direct contact with the reality of different countries, different economic cycles and stages of development, from crisis to growth moments. What did not surprise me, unfortunately, was the reaction in some places to the economic crisis in 2008, in particular, the difficulty of entering into a discussion with governments and the denial about the gravity of the problems.

Do not postpone the inevitable. Trying to escape an inevitable conclusion will increase the costs related to the decision, but it is hard to define what you should fight for, and what to give up.

What personal or professional lessons from the experience have remained with you?

Life is the best teacher. The only problem is that there is only one pedagogy. You learn when you hit a wall, and usually you have to go through this painful process to learn. Even if you rationally know what to do, usually you only change when you hit a wall, because of the limitations in the decision-making process and human behavior.

Respect the level of the professionals who work with you, and learn how to best deal with very smart people and motivate them. Well-qualified people, of course, have their own ambitions and personal interests. It is critical to maintain the enthusiasm of people in a multicultural environment, and devote time for that. You have to be a manager of people, otherwise you will fail even if you are capable of managing processes and tasks. Technical knowledge alone will not make you successful.

This article is included in Point of View 2012 .

International Staffing Approaches to International Assignment Challenges by Emerging Market Multinationals

• First Online: 01 January 2022

Cite this chapter

• Iris Koleša   ORCID: orcid.org/0000-0002-7324-7819 2  

Part of the book series: Contributions to Management Science ((MANAGEMENT SC.))

748 Accesses

In this chapter, I provide an overview of firm-level results from a comparative case study conducted in two large, mature emerging market multinational enterprises (Firm A and Firm B). I aim to identify the international staffing approaches these firms employ in response to the challenges presented to them by the emerging market context and establish why they approach international staffing in a particular way, what types of international employee mobilities they choose to use, and how they manage managerial international assignments. I first present the characteristics of the two sample firms. I then present the international staffing approaches used in these firms for top managerial posts across their networks as well as the shifts in these approaches during the 2012–2017 period for which detailed data on individual managers’ international transfers is available in the firms’ annual reports (see Sect. 6.1 ). I continue the chapter with a discourse analysis that provides insights into firm-level rationalisations of the international staffing strategies and practices by emerging market firms (see Sect. 6.2 ). An outline of the types of international employee mobilities that such firms employ (according to duration, purpose, direction, location, and category of host entity) follows (see Sect. 6.3 ). The chapter ends with a presentation of the main challenges related to managing managerial international assignments and the organisational responses to them (see Sect. 6.4 ).

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Its employer branding also includes international employee mobility opportunities, which indicates the long-term strategic international staffing orientation of Firm A.

Hofstede ( 2001 : 83) describes power distance “as a measure of the interpersonal power or influence between the boss and subordinate as perceived by the less powerful of the two”. See also Khatri ( 2009 ) and Ghosh ( 2011 ) for some implications of power distance for organisations.

For definitions of the different staffing approaches see Perlmutter and Heenan ( 1974 ).

Firm A’s annual reports show that, in the newly acquired locations, individuals from the headquarters are managing foreign units either for a transitional period before they transfer their responsibilities to (new) local management; or permanently—in teams or pairs with local managers (Firm A’s annual reports for 2012–2017).

The analysis only covers the location changes of top managers. However, there are also cases of individuals changing locations at lower managerial levels or across levels that are not recorded in the annual reports (see e.g. Interview 3a).

Three of the changes have been related to entity closure: one representative office in an unstable market and two subsidiaries (in markets where the firm remained represented by an already existing representative office or associate company) namely ceased to exist (Firm B’s annual reports for 2012–2017). The firm’s shift in a staffing approach can thus signal business closure to local employees (see also Interview 1b), which is why the firm needs to be particularly cautious in making international staffing shifts and communicate the reasoning for these clearly to the local staff.

While comparisons with international assignees and international assignments across firms may cause some convergence in organisational and individual practices, more research on this impact is needed in the future. This aspect of emerging market firms’ international staffing is beyond the scope of my study.

I include assignees with assignment experience from different developmental stages of the organisation in the research design. Results from (content and) discourse analyses from these interviews are reported in Chap. 8 .

The full corpus is only available for large MNEs included in the pilot and comparative case study, whereas smaller entities from the pilot study can only be studied through interview data.

Short-term international assignments from and to the headquarters are predominantly aimed at technology transfer, transfer of process knowledge, establishing business functions (usually through team assignments), and the introduction of improvements through project work or developmental tasks (Interview 4a).

The interviews in Firm A also reveal that short-term visits and training do not suffice for adequate firm–employee familiarisation. Through sporadic training (regardless of how intense and comprehensive) or headquarters visits, the individual does not acquire sufficient firm-specific knowledge and does not become adequately embedded in the headquarters, while the parent firm does not get adequately familiar with the employee’s work style and attitude, accomplishments, and work ethic. Intense regular work in the headquarters is required for strengthening the individual–organisation relationship and effective collaboration in highly centralised firms.

Although international staffing is barely mentioned in the annual reports, the accounting reports clearly demonstrate a focus on long-term managerial international assignments.

The similarities between the two sources may occur due to the interviewee’s involvement in creating (international) staffing strategies, practices, and actions in Firm A—as well as them probably co-writing parts of the annual reports.

This is also related to the firm’s centralised organisational structure that requires intense inter-entity collaboration.

The same holds for the firm’s reluctance to use flexpatriation, as the latter only enables (limited) relationship perseverance rather than relationship building, and prevents the quality interactions needed for problem solving and development. However, the use of flexpatriation nonetheless suggests that the effects of relationship building during expatriation with the more permanent physical presence of an individual in the host entity can be lagged.

See also Leana and Rousseau ( 2000 ) for conclusions on the importance of the different relationships within and of the firm for successful business performance, as well as Moser ( 2005 ) for research findings on the effect of recruits possessing internal information about the employer on their familiarity with an organisation and the meeting of expectations regarding the employment contract.

See also Chattopadhyay et al. ( 2010 ) for the implications of professional status hierarchies within teams for intra- and inter-category competition for status.

For an overview of different coaching principles as organisational responses to specific identity challenges see e.g. Yip et al. ( 2020 ).

The control function is prevalent in markets known for, or where the firm has experienced, corruption, whereby assignees break local networks as well as introduce the headquarters’ standards and processes to the foreign facility (Interviews 1a–8a).

The coordination role is relevant due to the operational connectedness of entities forming the MNE network to the headquarters and their functional dependence on the latter (Interviews 1a–8a).

For a definition see Sect. 13.1 .

For definitions see Sect. 13.1 .

A similar conclusion can be drawn from the pilot interviews.

The same individual (also included in pilot interviews) has been engaged in short-term mobilities in the context of the firm as well as independently. The shift to a ‘sole proprietor’ arrangement has been beneficial for both the assignee and the firm: i.e. it is not disruptive to extant firm–employee relations and allows the individual to create greater profit margins as well as establish a better work–life balance.

Specialists have a relative advantage in one task, whereas generalists are equally capable at multiple tasks (Prasad 2009 ).

One of the pilot interviews indicated that repatriation may be less of a challenge at the earlier developmental stages of a business, when growth is fast and new positions are opening quickly.

These departments are responsible for content-related preparation of assignees for their tasks abroad, whereas the HRM department is responsible for overall career planning and employee development, administrative support for the assignees, and support for foreign HRM departments. Assignees are not engaged in assignment planning or management, but their feedback is incorporated in the assignment management guidelines (Interviewee 1a).

Self-efficacy is the individuals’ judgment about their own ability to perform a particular behaviour or achieve a certain level of performance (Bandura 1978 , 1986 ).

Initially, the internal training scheme was developed for bridging the silos in the firm. The international dimension was added later on (Interview 1a).

Only young, ambitious staff (and not necessarily assignment-ready or suitable in terms of skills) rather than mature and experienced staff are willing to expatriate (Interview 1b).

The parent firm and its employees that have not experienced mobility cannot fully comprehend the difficulties and the immense (work and non-work related) challenges that an assignment imposes on an individual—in part also due to the distance between entities. International mobility seems more attractive and less challenging from a distance, whereas when experienced it is more demanding on an individual than expected (Interview 1b).

While internal recruits can be experts with middle- rather than top-level managerial experience, external recruits usually have managerial experience, as their preparation for an assignment already requires investment in the acquisition of firm-specific knowledge (Interview 1b).

The firm’s emphasis on soft skills and soft skills training is also consistent with its focus on relationship building at different levels and with different stakeholders.

In Interview 3b, the assignee references this type of support as extremely valuable and particularly useful for their integration into the local team (facilitating their acceptance among local employees) and market, as well as effective assumption of their managerial tasks.

These being acknowledged by the firm implies that they are significant enough to have an effect on individual’s or team’s performance and thus be noticed by the organisation.

For a quantitative study on this see Koleša et al. ( 2021 ).

The latter are related either (1) to the lack of motivation among assignees’ colleagues to provide support for an assignment since reciprocity of benefits may not be apparent or (2) employees unwillingness to accept assignees’ new roles when these are in breach of social norms or are reflected in the colleagues’ perceived or actual demotions.

Firm B also acknowledges that these arrangements are negotiated between an individual and the firm in macro context. This means that the institutional environments in the sending and receiving countries (individually and comparatively) need to be taken into account as they can determine what is the most favourable arrangement for a firm or an individual. The latter is usually prioritised due to the lack of assignment-willing and ready candidates.

Since career development is often considered as assignee preparation, additional pre-assignment trainings are rare. Firm A has, for example, introduced a holistic skills-focused training for its talents that supports internal networking for long-term collegial support , but is not assignment specific (it is rather expertise- or management-focused). Firm B, on the other hand, looks for well-rounded individuals already at the stage of their recruitment to the firm.

Other forms of support for role transitions, with an exception of career development, are not indicated. This is despite the psychological effects on an individual as well as relational effects on team dynamics and the firm–employee relationship that these transitions have.

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Koleša, I. (2021). International Staffing Approaches to International Assignment Challenges by Emerging Market Multinationals. In: Becoming an International Manager. Contributions to Management Science. Springer, Cham. https://doi.org/10.1007/978-3-030-87395-0_6

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International Human Resource Management

Student resources, chapter 5: international assignments.

1. Why is it more appropriate to call Edström and Galbraith’s third motive for using international transfers ‘coordination and control’ rather than ‘organisation development’?

Edström and Galbraith’s description of this motive centers exclusively on control aspects and most of the IHRM literature published in English has interpreted it in this way. Additionally, all three motives identified by Edström and Galbraith may in fact lead to organisation development defined as the increase of the company’s potential to succeed and compete in the international market. Therefore, organisation development is not a goal of international transfers as such, but is rather the result of knowledge transfer, management development and the creation of a common organisational culture and an effective informal information network.

2. What type of staff do MNCs with an ethnocentric staffing policy appoint to top management positions in their foreign subsidiaries?

MNCs pursuing an ethnocentric staffing policy typically appoint parent country nationals to top positions in their subsidiaries. These traditional relocations may be complemented by short-term assignments if specific additional skills are required in the subsidiary.

3. Why are MNCs increasingly looking for alternative forms of international assignments?

The main reasons lie in a growing reluctance of traditional expatriates to relocate abroad, mainly due to dual-career issues, and the substantial cost involved in relocating traditional expatriates. In addition, the different forms represent a toolbox that helps companies to better adapt their global staffing to different strategic needs.

4. What are the advantages and disadvantages of using short-term international assignments?

Short-term assignments are useful for the transfer of specific skills, for example in the scope of multinational project work or when particular problem-solving needs arise. They are also more cost effective than traditional expatriation, require less bureaucratic effort and can be applied in a more flexible and timely manner. At the same time, short-term assignments make the development of effective relationships with local colleagues and customers more difficult and may also lead to a higher risk of marital problems due to more pronounced levels of stress.

5. On what criteria should assignment success be evaluated?

A comprehensive assessment of assignment success should include an evaluation of both individual (e.g. adjustment, promotion) and organisational (e.g. accomplishment of organisational tasks, repatriate retention) benefits that may result from the transfer. In addition, the assessment should not only be limited to the actual assignment period (e.g. task performance during the assignment) but should also include the post-assignment period (e.g. do attractive future assignments exist for the individual and to what extent does the repatriate transfer his or her expertise back to the home unit?).

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How to Develop Effective International Assignment Policies

During a recent conversation a colleague shared some frustration she was feeling. “I’ve read lots of articles and attended conferences where we’re told what we “should” be doing with our International Assignments (“IA”) policies on the basis of what everybody else is doing with theirs. What I’m not hearing is how to go about structuring our program in a way that really makes sense for our company. Where do we start? Who should be involved? What steps are necessary?”

“True”, I said. “We hear a lot about best practices such as keeping the spouse happy, increasing flexibility, controlling costs, keeping exceptions to a minimum and conducting benchmarking studies to find out what everyone else is doing. That’s all well and good but if your company sells luxury consumer goods in the best department stores in the largest cities of the world, do you think that practices that work well for mining companies in rural West Africa or at 14,000 feet in the Andes Mountains will be relevant and useful?”

“Exactly – they wouldn’t!” she said, “so what should we do?”

Let’s start with The Prime Directive . Simply put, your IA policies and program exist to help your company achieve its business objectives by having the right talent , in the right places , at the right times , doing the right things . Clearly, your company’s business objectives define what the various “right items” will be. Is this another way of saying you must start by truly understanding your business? Yes, of course!

“OK, that makes sense” she said, “then what?”

Well, now it’s time to go about structuring your program. A process that has proven to work well follows these steps:

Assemble a Policy Development Team

To often, policy development is left up to a Global Mobility department or single HR staffer working in a vacuum.  This generally is not effective. Utilizing teams of key stakeholders provides greater breadth of ideas, broader input from key functions and business operating units, and greater understanding of and buy-in to the end product. The team must be led by someone with significant depth of IA program expertise and include Global Mobility, Tax, Accounting, Payroll, HR Business partners from units that utilize international assignments, etc. Bringing in expert consultants and specialty service providers, e.g. immigration, international tax, global security firms, etc. can pay large dividends as well.

Conduct Benchmarking

There are two types of benchmarking to consider. First, conduct internal surveys of line managers who make use of IAs, and current and former assignees themselves. These groups can provide a wealth of information as to what has been working and what has not. They further can often make great suggestions for new approaches worth considering.

Second, do take a look at market practices through both generally available surveys and, potentially, custom surveys more precisely focused upon your company’s industry and competitors. This can help generate ideas and help gauge competitive positioning. Be careful, however, to not only look at what companies are doing but also to ask how well those practices are working. It’s amazing how many times I’ve heard a colleague say “we do ____” and in the next breath, say “and I’d change that practice in a heartbeat if my management would allow me to!” Another caution about benchmarking is that it’s imperative to consider the policy package as a whole and how the many provisions work together in total. There is a definite tendency toward getting caught up on individual line items and, hence, “lose sight of the forest for staring at the trees”.

Draft a Policy Structure

Put together the first array of policy provisions that make sense given the demographic, geographic and time variables dictated by The Prime Directive . Make sure they integrate and work together in a consistent and holistic manner.

Model the Costs

The first question executive management is likely to ask when the new program is presented for approval is not, “how does it meet our business needs?” It’s assumed that it will. The first question is, “what’s it going to cost?” If you are reengineering an existing IA program you’ll need to show the difference in costs between the proposed and existing programs.

Fortunately, there are many applications and providers that make cost modeling relatively straightforward.

Test Your Ideas as You Go

One of the worst ways to achieve buy-in on your ideas is to keep them to yourself and spring them on someone only at the end. If you communicate as you go through the process, sharing what you’re thinking about and soliciting inputs, that engagement frequently gives the other a sense of having had input and influence on the final product. Those who feel they had input are much more likely to respond positively. Their inputs may well have a lot of value as well.

In a larger corporate environment this could be done via periodic progress update meetings.

Finalize and Implement

In pursuing the steps above, you’ll ultimately obtain approval to proceed. Prepare the necessary communications and implementation materials. If you are reengineering an existing program, you’ll have already determined whether current assignees will be “grandfathered” under their old terms, converted to the new terms, or converted with some sort of buy-out provision.

When you have it all in place, move ahead.

Continually Evaluate and Improve

Finally, when you implement your new program, be sure you’ve also built in metrics and processes for determining how well it’s working on an ongoing basis. You can’t have anticipated everything that will ultimately be encountered and change happens! Be ready to be flexible and make program adjustments “on the fly”.

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International Management - Assignment Example

• Subject: Business
• Type: Assignment
• Level: Masters
• Pages: 2 (500 words)
• Downloads: 1
• Author: bemard

Extract of sample "International Management"

International Management The Globalization of Markets By: Question What is the substantive question? Since China is a major player in internationalbusiness as it is playing an active role in the global economy, many countries like those in the west, would like to negotiate and strike a deal with Chinese companies. Negotiations with China have been perceived to be vital for a company’s success in international business. But due to cultural and language barrier, many businesses find it difficult to seal a deal with the Chinese.

Question 2 What is the key opinion/position or argument of the author? The key opinion/position or argument of the author is that initial meetings with Chinese businessmen are the primary key that brings success in the progress of business negotiations. This brings us to the importance of somehow knowing the Chinese culture. Aside from having the reputation of being tough negotiators, Chinese businessmen always want to keep their beliefs and cultures intact as far as business practices are concerned.

This and language difficulty makes it difficult for other countries to comprehend the behavior of Chinese negotiators much more assess where they stand as far as Chinese businessman’s response is concerned. Chinese businessmen don’t just negotiate in a day or a few days. They wanted to fully know the company they are dealing with which is why establishing good first impression and relationship is vital to the success of the negotiations which can only be possible of one company knows the culture of the company it is negotiating with.

Question 3 What evidence does the author use to support their opinion/position or argument? Since it has been implied that negotiations occur between Chinese and non-Chinese businessmen, the negotiation that would happen would be cross-cultural. As defined, cross-cultural negotiation is a “discussion of common and conflicting interests between persons of different cultural backgrounds who work to reach a mutual agreement of mutual benefit (Chaney & Martin, 2004). The author uses the arguments of Wendi Adair and Jeanne Brett (2005) in their book ‘The Negotiation Dance: Time, Culture, and Behavioral Sequences in Negotiation’ where in they spoke of a “normative negotiation model, choreographed around the stages of relational positioning, identifying the problem, generating solutions and reaching agreement.

” As negotiations involves several stages, it is of utmost importance that researchers or businessmen pay great attention to how each stage develops because the way these stages in negotiations develops leads you to the final result of negotiations. Question 4 What are the strengths or weaknesses of the opinion/position or argument? Strengths: The company’s strength in this case lies in its knowledge of the company they are dealing with. With knowledge, it promotes friendship and understanding between two nations with an entirely different language.

It promises growth as brought by the sealing of the negotiation bringing the company to the higher stakes in international business. Weakness: Research on the Chinese owned company may be expensive and time consuming. As China is already an active player in international business, the company must not only know about Chinese culture but also on what that company needs from your company and if your are able to meet those needs; because by then they the Chinese company would know if it is worth dealing with your company.

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The study aimed to test the influence of competitive strategies on performance. A descriptive cross-sectional survey design was adopted. The target population was large scale manufacturing firms in Kenya. Structured questionnaire was emailed to senior managers in a sample of 139 firms spread across 13 sub-sectors. A response rate of 75 questionnaires which represent 54% was obtained. Data obtained were analyzed using descriptive statistics and linear regression. Descriptive results indicate that differentiation strategy was displayed through high quality products, brand reputation management, distinctive products. Cost leadership strategy was also a key competitive pathway to performance in the large manufacturing sector. Focus strategy contributes a significant contribution to the performance of large manufacturing firms in Kenya. Results of regression analysis indicated that competitive strategies significantly influenced performance of large manufacturing firms. The study concludes that adopting a combination of cost based strategies and differentiation was more beneficial to firm performance as opposed to solo adoption of either strategy.

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