EXPATRIATES MANAGEMENT!

Daniela Carrozza Antonio De Pascali Marica Di Marino Marika Gurnale Bianca Traina

HQ! SUBSIDIARIES!

GEOCENTRIC Third Country Nationals

POLYCENTRIC

Host-Country Nationals

ETHNOCENTRIC

Parent Country Nationals

Expatriates Administration!

SALARY MANAGEMENT

EMPLOYMENT CONTRACT

TAX REGULATION

BENEFITS

SELECTION CRITERIA!

Professional Competencies !  Technical Skills !  Languages

Personal Factors !  Family !  International Motivation !   Tolerance Uncertainty !   Personality (Big5Model)

International Adjustement !  Cultural Intelligence

How Can Firms manage Expatriates Selection?!

Culture shock!

Culture shock refers to the

process of coming to

understand and adapt

to differences in culture

through daily interaction

and situations.

How Can Firms manage Expatriates Training ?!

High Rigor!

Low Rigor!

Short time period

Lectures and videos on  local culture

Briefing on company operation

Case study e-learning and e-coaching

Last over a month

Experiential learning

Extensive language traininig

Shadowing

Field trips to host country

How Can Firms manage Expatriates Training ?!

ORGANIZATIONAL STRATEGIES : − Keeping up-to-date about organizational occurrences and problems − Career planning of expatriates should be conducted carefully from a realistic perspective with regard to repatriation, and overseas assignment should be linked to long term career plans − Training expatriates prior to return (Coaching, Counseling − Repatriates as trainers, personal for future expatriates

76% of the Organizations Had No Formalized Repatriation Policies

Expatriates Repatriation!

INDIVIDUAL STRATEGIES : − Maintain contact with its social networks - Keeping up-to-date about national news - Be proactive - Combine best aspects of foreign and home cultures

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

EXPATRIATES MGMT!!What Is Expatriate Failure?!

Recall %

U.S. MULTINATIONALS 20-40%

EUROPEAN MULTINATIONALS 11-15%

JAPANESE MULTINATIONALS 11-19%

• The inability of an expatriate's spouse to adapt • The manager’s inability to adjust • Family-related reasons • The manager’s personal or emotional maturity • The manager’s inability to cope with larger overseas responsibilities • Difficulties with the new environment

EXPATRIATES MGMT!!

WHY DO EXPATRIATES MANAGER FAIL?!

HISTORY!

International company with Italian origin Created in 1950’ s a division of an Italian integrated energy company (Eni Group) Oriented towards oil and gas industry More than 40000 employess (110 different Nationalities) Expatriates are the 23% of the employees

EXTERNAL RECRUITMENT SCREENING CURRICULA AC GROUP INTERVIEW ROLE PLAYING IN BASKET LANGUAGE TEST TECHNICAL INTERVIEW FEEDBACK PHYSICAL ASSESSMENT

INTERNAL RECRUITMENT Job Posting Feedback Assessment of Physical Ability

TRAINING!

PRE-DEPARTURE TRAINING: !  HSE training

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

REPATRIATION!

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

STRENGHTS! WEAKNESSESS!

OPPORTUNITIES! THREATS!

Expatriates Policy Managerial and Technical Assessment

Lack analysis of psychological, socio-cultural elements Lack of Cross-cultural

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

Competitors hire its expatriates Boundaryless careers

Grazie !