scholarly journals Analysis on the Causes and Countermeasures of Expatriate Management Problems in Multinational Corporations

Author(s):  
Yahang Tong
2015 ◽  
Vol 12 (02) ◽  
pp. 1550011 ◽  
Author(s):  
Nan Song ◽  
Jinping Zhu ◽  
Jonas Rundquist

With the development of globalization, companies will need worldwide resources for R&D. Multinational corporations (MNCs) will rely on their subunits located in different countries for R&D. As a result, knowledge transfer between headquarters and subunits or among subunits will be crucial for MNCs to operate their R&D activities. This study explores the relationship between knowledge transfer and R&D operations, using a qualitative research approach including four multinational companies. We conducted a cross-case analysis connecting four R&D configurations and two knowledge transfer mechanisms: expatriate management policy and communication frequency. Results show that both transfer mechanisms are very important for MNCs for the management of knowledge transfer in global R&D operations. However, each of these mechanisms will need a different focus depending on R&D strategy and configuration. The paper summarizes recommendations for managers as drawn from these insights.


Author(s):  
Jessica Marie Arokiasamy ◽  
Soyeon Kim

PurposeAs globalization expands opportunities for foreign investments, the role of expatriates is becoming important for business success in host countries. Cross-cultural adjustment (CCA) of expatriates is considered significant in determining business success in host countries. This study investigated the issue among Japanese expatriates in Malaysia. The purposes of this study were to unravel the influence of emotional intelligence (EI) on CCA and clarify the facilitating role of cultural intelligence (CI) on the relationship between EI and CCA.Design/methodology/approachA survey was administered to 107 Japanese parent country nationals (PCNs) working at Japanese subsidiaries in Malaysia.FindingsThe findings show that EI positively influences the subdimensions of CCA, namely, CCA–general, CCA–social and CCA–work. A notable finding is that CI facilitates the positive effect of EI on CCA–social.Research implicationsThe findings advance the existing studies on expatriate management by delving into the CCA issue with two culturally distinctive countries that have rarely been studied in this research domain, Japan and Malaysia. This study further contributes to prior studies by clarifying a boundary condition in which EI functions better in enhancing expatriates' CCA.Practical implicationsThe findings provide Japanese multinational corporations (MNCs) valuable directions and strategic ideas in the realm of expatriate management. Such insights can contribute to business success in host countries.Originality/valueDiverting from the conventional West–East approach in expatriate management studies, this study took an East–East orientation and explored the relationships among EI, CI and CCA. By proving that CI stimulates the positive effect of EI on CCA, this study underlines the significantly interactive effects of two distinctive individual capabilities on enhancing expatriates' CCA. It further highlights that CI should take on importance in attempts to understand CCA, even in seemingly culturally similar East–East nations.


2012 ◽  
Vol 2 (3) ◽  
pp. 59 ◽  
Author(s):  
Sujoya Ray Moulik ◽  
Sitanath Mazumdar

Rapid globalisation and boundaryless business ventures have contributed to a growing number of expatriates working in foreign locales.  As a result of this, it is increasingly important that multinational corporations sending their employees for international assignments prioritise expatriate management. The Global Delivery Model followed by the Indian software firms creates a number of onsite (international) opportunities for Indian software professionals. The effective management of expatriates is increasingly been recognised as a major determinant of success or failure in international business. This study attempts to identify factors that impact expatriate satisfaction in the software industry. Using the method of exploratory factor analysis, through a survey conducted of 75 Indian expatriates currently on assignment in the United States, 25 variables which impact expatriate performance have been grouped into five factors and the correlations of these factors with overall expatriate satisfaction have been examined.


2019 ◽  
Vol 48 (4) ◽  
pp. 1022-1044 ◽  
Author(s):  
Parth Patel ◽  
Brendan Boyle ◽  
Mark Bray ◽  
Paresha Sinha ◽  
Ramudu Bhanugopan

Purpose The purpose of this paper is to examine the control mechanisms used by multinational corporations (MNCs) from emerging economies to manage their subsidiaries in developed countries and their implications for human resource management practices. Design/methodology/approach The paper draws on data collected through in-depth case studies and interviews with senior subsidiary managers of 12 major Indian information technology (IT) MNCs operating in Australia. Findings Indian IT MNCs rely heavily on the use of people-centric controls exerted through global staffing practices (via the transfer of parent-country nationals), which, in turn, influence their subsidiary’s discretion over their HR practices. The use of people-centric controls allows Indian IT multinationals to replicate parent-country HRM practices in their Australian subsidiaries in an ethnocentric manner and significantly leverage the people-based competitive advantages from India through short- and long-term expatriate assignments. Research limitations/implications The study investigates control and HRM practices from a single country and a single industry perspective. It provides an insight into the normative means of control in foreign subsidiaries of MNCs and enhances our understanding by explaining the integrated relationship that control mechanisms (and their people-centric components) have with HRM practices including the global staffing approaches and expatriate management practices of emerging MNCs. Practical implications Indian MNCs are using their business model to leverage the Australian immigration and skilled visa programme to maintain cost advantages. However, the immigration legislation in developed countries needs to be capable of allowing emerging multinational corporations (EMNCs) to maintain such advantages as developed countries seek to attract foreign direct investment from emerging economies. Originality/value The results indicate that the control practices of EMNCs are similar to the controls exerted by MNCs from developed countries. They also show that EMNCs do not adopt a portfolio approach to global staffing, and that the people-centric components of their control have a clear impact on their subsidiaries’ HRM practices.


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