The Evolution Of The Expat - Part II
September 23, 2008
In our first series we discussed the need for Expatriates (Expats), why they are important, and the “recipe” for maximizing ROI. In this second installment, we will discuss how the Expat needs to manage, how they need to be managed, and how they change over time.
In the 1980’s and 1990’s Expats both successful and unsuccessful were characterized by a curious mindset. They didn’t keep anything inside for long, and because nature abhors a vacuum, they constantly needed to ingest something new, replenish themselves, multiply, augment. The Expat’s mind found it difficult to stop at one event or one country. Something always propelled them forward, drove them on without rest. Such people, while useful, even agreeable, to others, were, if truth be told, frequently unhappy-lonely in fact. Problems would arise because the Expat was on his/her own. They lost touch with the best practices of their home country, both professionally and personally. This caused two major problems, first the Expat was no longer effective at driving the HQ message across and the Expat no longer fit in back home.
In addition, many Expats developed an over-inflated sense of their capabilities. The result was that the Expat became an outcast both at home and abroad. Yes, they would always seek out others, and it may have even seemed to them that in a certain country or city they had managed to find true kindred and fellowship, having come to know and learn about people; but they woke up one day and suddenly felt that nothing actually bound them to these people, that they could leave at once. For all intents and purposes, they didn’t grow attached to anything; or put down deep roots.
Today, the Expat has the same drive and impatience to get things done by taking calculated risks, regardless of country, industry, markets and position. However, the Expat is a global executive and they also realize the long-term impact on the business, family, and their career. They know that having long lasting relationships and networking on a worldwide level is paramount for success today and in the future. In addition, they become experts in every facet of the enterprise from Sales/Marketing, Operations to R&D and Finance, not just care takers of the business. Finally, they know how to balance the local business cultural capabilities and the expectations of what the corporation requires. Regardless of industry, markets, and or countries of patriation, both Expats and senior management need to take special consideration of the following, less they become caretakers of yesteryear.
How they need to manage
- Instill mindset that compliance and accountability are essential
- Develop relationships with a local but global mentality
- Place greater importance on strategic planning than in their home country
- Maintain standards of home country
- Have a basic understanding of the history and political system of the country in which they are managing
- Put a greater emphasis on human capital development than in home country
How they need to be managed
- Need to be empowered
- Need mutually agreed concrete targets; the statement of “Go fix the China office and good luck!” Probably won’t cut it in today’s market
- Need a balance of autonomy and support from HQ
- Essential that they are educated on the country in which they will manage from a socioeconomic perspective
- Essential that a repatriation plan is in place for future critical functions
How they change over time
- Become more culturally sensitive
- Learn skills of diplomacy
- Increase importance of compliance and accountability
- Resent consensus management
- Can appear to lose national pride from a superficial level
- Develop into a state of constant motion, both beneficial and detrimental
- Without proper contact with home country, they can develop into outcasts, both at home and in their host country
- Become more entrepreneurial
In the third and final in the series, we will discuss the repatriation process and how to manage the global executive once they come home.