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Managing across Cultures

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Presentation on theme: "Managing across Cultures"— Presentation transcript:

1 Managing across Cultures
MGMT 544: Managing across Cultures Professor Xiao-Ping Chen University of Washington Spring, 2005

2 International career What do the companies that manage expats effectively do? Cross-cultural training Case analysis: Catskill Roads

3 Sending people for right reasons:
What do the companies that manage expats effectively do? (Nokia, Honda, GE, LG Group…) Three things: Sending people for right reasons: focus on knowledge creation and global leadership development Sending the right people: people whose technical skills are matched or exceeded by their cross-cultural abilities

4 Who are the right people?
A drive to communicate Broad-based sociability Cultural flexibility Cosmopolitan orientation A collaborative negotiation style

5 3. Finishing the right way:
What do the companies that manage expats effectively do? (Nokia, Honda, GE, LG Group…) 3. Finishing the right way: end expatriate assignments with a deliberate repatriation process

6 Gillette’s international trainee program
Gillette’s consumer businesses Personal grooming products for men and women Stationary products Small electrical appliances Brand names: Braun, Oral-B, Liquid Paper, Paper Mate

7 Gillette’s international business
International markets generate > 70% of total sales and operating profit > 75% of Gillette employees work outside the US Gillette does business in more than 200 countries and territories Global deployment of people created the need for the international trainee program

8 International Trainee Program
Trainees work at Gillette subsidiaries in their home countries for 6 months Then transferred to one of Gillette’s 3 international HQs: Boston, London, Singapore for 18 months Grads. then return to their home countries to assume entry-level mgmt positions If successful they move to other assignments in other countries

9 International trainee program
Eventually the most successful trainees return to their home countries as general managers or senior operating managers Objective: not to fill short-term vacancies Objective: hire and develop people who want careers with global dimensions

10 To qualify, trainees must be
Adaptable + good social skills < 30 years old, single Mobile + oriented toward an international career Fluent in English Enthusiastic and aggressive

11 International trainee program
Home countries of current trainees: Argentina, Brazil, China, Columbia, Egypt, Guatemala, India, Indonesia, Malaysia, Morocco, New Zealand, Pakistan, Peru, Poland, Russia, S. Africa, Turkey, Venezuela

12 A practical but theory-based framework
Theory: Social Learning Theory (SLT) Learning takes place by (1) the effect of reinforcement and (2) imitating or modeling Four elements: attention retention reproduction incentives and the motivational processes

13 Findings related to learning process
Gradual modeling is more effective than “one-shot” modeling Individuals can learn completely through symbolic modeling Participative modeling is generally more effective than symbolic process alone

14 Cross-cultural training (CCT)
Rigor of the training program Important situational factors: Culture novelty Degree of interaction Job novelty

15 Catskill Roads Background info. Moves: Decision: To go or not to go?
Kathryn Hill-Baker Brian Baker Universal Bank (Bob Jasper; Jim Collins) Moves: NY—Argentina—NY—Mexico City? Decision: To go or not to go?

16 Questions What went wrong? What should have UB done?
What should Brian and Kathryn do?

17 What is a “perfect” expatriation program?
Selection: what criteria should determine who would go? Preparation: what type and how long should the preparation be? Overseas support: what type of support does an employee need while overseas? Reentry: what type of a position should the expatriate return to? Who should determine that? When should the position search begin?


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