1. SME inward internationalization - How do Finnish employers see foreign job applicants?

2. Project 33 employer interviews in 2004
Experience of foreign subordinates, either with a degree from Finland or elsewhere
State, community or private employer representatives
From all over Finland
From different industries
635 questionnaires back 2004/2005
Experienced and inexperienced
State, community or private employer representatives; From all over Finland; From different industries

3. Results
Importance of internationalization of higher-education institutions
What contributes and what hampers foreigners in finding a job in Finland?
HRM processes and foreign applicants
Differences in a superior’s work if there are foreign subordinates

4. Conclusions
Proposals to state authorities
Proposals to work communities
Proposals to higher-education institutions
Proposals to foreign job applicants
Proposals for further research

5. Different foreigners in Finland
Ca working addresses – about foreigners working all over Finland employers not personally experienced
Different foreigners – different needs and capabilities!
Refugees with difficult backgrounds
Marriage – based immigration
Highly-educated experts and their spouses (dual career)

6. HRM not strategic issue in SMEs
Only 5% have had problems iwth work permissions or finding good foreign employees
Exceptions
We have a monthly review of personnel needs
We have decided to triple our foreigners abroad and Finns abroad
Personnel costs are the biggest costs in some industries where they have become strategic for that reasons

7. Most used recruiting channels
Questionnaire (all vs experienced employers)
Unemployment authorities 38% - 43%
Newspapers 33% - 40%
Internet 23% - 32%
Interviews
Work placement
eChannels

8. Most used recruiting channels based on the questionnaire answers
State employers size has no influence but municipal and private sector employers use newspapers the more the bigger the work unit
Newspapers are used more in the capital area and in Northern Finland
Own net pages are most used in Middle Finland state sector, Häme or Savo-Karjala municipal sector and capital area private sector
Direct recruiting from HEIs is in use private sector big industrial companies and in the capital area or Häme state sector
Headhunting is most used
Small and middle-sized communities, small companies, primary sector and state in Savo-Karjala
Word of mouth is most used
in small companies, big state units or middle-sized municipal units
Capital area, Savo-Karjala and Ostrobothnia private sector
Private secondary sector and public primary sector

9. Most used recruiting channels based on interviews
Active recruiting has grown
Foreigners are a bigger risk – HEIs not known, foreign language and cultural nuances not known
eChannels most important, newspapers and unemployment offices not that important
Municipal and state sector test people first by shorter periods and different allowances
Work placements used as test periods
In the recruiting interview a foreigner has to be able to show his/her knowledge and professionalism

10. A Foreign Applicant Should
Be able to speak Finnish
Have a BIG network of Finnish persons!
Be able to handle the ”You are a bigger risk in recruiting”
Be able to show your expertise and professionalism in the interview
Find out about Finnish way to recruit and to work (fellow students/employees, neighbours, friends)

11. Salary and benefits Based on questionnaire: same salary level
The special knowledge, Finnish language, Finnish degree are important criteria
Based on interviews: same salary from the same work and different salary from different work

12. Induction periods It is easy to enter Finnish work communities?
However, foreign background is not taken into consideration with induction processes
Total care is not taken of foreigners but there are two opposite views whether it should be done

13. Engagement
According to interviews there are two types of engagement means used
Small and public sector rely on work content, atmosphere and respect of employees
Big companies offer a lot of services: competitions, trainee programs, social program…

14. Integration to work communities
According to questionnaire informants – employers - in this study, no problem
According to immigrant studies – big problem
According to interviewees of this study – contreversial opinions
Misunder-standings
85%
Left alone
44%
Stays alone
32%
Naming
17%
Accidents
10%

15. Further education needs based on internationalization
Contents: language education, intercultural communication skills
Forms: no strategies in use

16. Superiors and work communities need instructions and further education (Söderqvist 2005)
How to take benefit from the international dimension in the real work?
How to meet diversity in real situations?
What intercultural capabilities are and how to use them?
How to change the superior and HRM if foreign subordinates?

17. Finnish employers’ views in general, and about changes in superior work

18. Positive attitudes, but benefits not realised
+ Foreigners no threat to Finnish working life
+ Multicultural work community taken as more innovative
+ Foreigners seen as a possibility
? Thanks to foreigners our business has not developed, they have not brought new customers or new partners
 annual accounts of foreign HRM
 recruiting of foreigners according to their education

19. Attitude and Motivation – A foreigner should
Be educated
Be professional
Have intercultural skills
Have own initiative
Be reliable
Be able to use Finnish as working language

20. Changes in superior’s working ways in the case of foreign subordinates
There is a need for more communication if there are foreigners in the work community
The work of a superior becomes more complicated if many cultures
Foreigners who have worked in our company/ work community have discussed actively

21. Superior work changes if foreign subordinates…
The importance of changes vary according to the importance of international dimension for the mission of the company/work community, for example case of international marketing unit
If top management is international, everything changes (trade union representatives…)

22. Superior work changes if foreign subordinates…
Experienced employers claim more that ”Foreigners who have worked in our unit have looked for clear orders and surveillance of the work” than those giving their answer based on images of the issue 43% - 12%
”Foreigners who have worked in our unit have liked the little amount of hierarchy” 38% - 11%
”We have been forced to show concretely how things should be done” – 45% - 14%
”Foreigners who have worked in our unit have internalised the idea of an internal entrepreneur” 24% - 5%

23. Foreigners who have worked in our unit have looked for clear orders and surveillance of the work
Number of respondents %
I agree totally 19 10
I agree 62 33
I disagree 47 25
I disagree totally 35
I don’t know 24 13
Sum
187
100

24. Foreigners who have worked in our unit have looked for clear orders and surveillance of the work
Municipal and private sector employers agree more than public employers with this statement
The smaller the work community the more the employers agree with the statement
Employers in Häme (>50%) agree more than those of Savo-Karjala and Middle Finland (<40%)
More order giving and surveillance needs in the primary than in the secondary or tertiary sector

25. Foreigners who have worked in our unit have liked the little amount of hierarchy
Number of respondents %
I agree totally 11 6
I agree 59 32
I disagree 35 19
I disagree totally 13 7
I don’t know 66 36
Sum
184
100

26. Foreigners who have worked in our unit have liked the little amount of hierarchy
Respondents are from the private sector – about half of public sector employers have chosen ”I don’t know”
State (44%) and private (45%) are over average whereas municipal sector employers are under it (33%)
The more employers disagree with this statement the smaller they are
The tertiary sector employers agree more than primary or secondary sector

27. We have been forced to show concretely how things should be done
Number of respondents %
I agree totally 24 13
I agree 60 32
I disagree 47 25
I disagree totally 37 20
I don’t know 18 10
Sum
186
100

28. We have been forced to show concretely how things should be done
State sector employers are different from the others - only 25% agree with the statement whereas about half of the others agree with it
Primary and secondary sector agree more (almost 60%) than tertiary sector (44%)
Employers from Ostrobothnia and Northern Finland agree less than average with the statement whereas employers from capital sector, Turku region and Savo-Karjala agree more than average

29. Foreigners who have worked in our unit have internalised the idea of an internal entrepreneur
Number of respondents %
I agree totally 10 5
I agree 34 19
I disagree 43 24
I disagree totally 22 12
I don’t know 74 40
Sum
183
100

30. Foreigners who have worked in our unit have internalised the idea of an internal entrepreneur
Private sector (27%) and state employer (25%) agree more than average whereas municipal sector employers agree less than average (20%)
Tertiary sector agrees more, primary sector less
The bigger the work unit, the less the employer agrees with this statement
Only Turku region (11%) differs much from the average – 24%

31. Superior work changes if foreign subordinates…
Supervision of work becomes more complicated even though in recruiting situations it was claimed that personality is more important
The relationship superior-subordinate becomes an issue if foreign subordinates
If not surveyed, nothing happens – foreigners are not used to the big independence given to them
Foreign languages used cause misunderstandings if not checked
If municipal employers hire foreigners, they have better education than Finns (unemployed) but feel horrible when the work period is coming towards its end
Different hierarchies in different cultures – ex. doctors in Russia vs those in Finland
Religion, language, understanding of time become issues

32. Superior work changes if foreign subordinates…
More communication needed – foreigners discuss actively (50% of experienced employers say so)
State (69%) and municipal (60%) employers claim more than private sector (40%) that more communication is needed
State employers find foreigners active discussants (56%), private sector employers disagree more than average with this statement
Small employers agreed more than general that there is a need for more communication
Private sector agrees more than average where as municipal sector agrees less than average with the need of more communication
Communication has increased more in Turku region, Häme and Savo-Karjala than in Middle and Northern Finland and capital region
Employers in Northern Finland find foreigners more active discussant than those of capital region and Savo-Karjala

33. Superior work changes if foreign subordinates…
Style of communication changes if foreign subordinates
Language has to be chosen actively
translating
Less information given in English
Way of behaving changes (please…)
There are more misunderstandings based on language problems – foreign and Finnish subordinates don’t dare to say that they have not understood
More closer connections are needed in a multicultural work community
When foreigners learn Finnish they change to more challenging jobs