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Chapter Six

International Training and


Development

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Chapter Learning Objectives

After reading this chapter, you should be able to:


• discuss the importance of the role of training in supporting
expatriate adjustment and on-assignment performance
• identify the components of effective pre-departure training
programs such as cultural awareness, preliminary visits
and language skills, along with relocation assistance and
training for trainers
• explain the effectiveness of pre-departure training

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Chapter Learning Objectives

• define the developmental aspect of international


assignments

• describe the process of training and developing


international management teams

• identify trends in international training and development

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Chapter Vignette

Are You Ready?


Expatriates require pre-departure training to deal with
• cultural adjustment
• foreign language

and support including:


• preliminary visits
• relocation assistance
• training for trainers
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Terms

language training
• cultural awareness
international English
• pre-departure training
corporate language
• preliminary visits
training
development

international business travelers


international ‘cadre’

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HR Core Competence and Source of
Competitive Advantage

Human resource
• accumulated stock of knowledge, skills, and abilities that
the individuals possess, which the firm has built up over
time into an identifiable expertise.

Training and development


• way in which the multinational builds its stock of human
resources – its human capital.

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Training

• process aimed at improving employees’ current work


skills and behaviour

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Development

• process aimed at increasing employees abilities in relation


to some future position or job

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International Assignments
Provide T&D

• T & D plays a strategic role in international business


operations

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International Assignments
Provide T&D

Expatriates

• are trainers through transfer of knowledge

• ensure that systems and processes are adopted

• gain management capabilities

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International Training and
Development (Figure 6-1)

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Role of Expatriate Training

Intercultural Training

• objective is to help people cope with unexpected


events in a new culture

• remains the most common form of pre-departure training

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Availability of Cross-Cultural
Training in MNEs (Table 6-1)

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Components of Effective Pre-
Departure Training Programs

• cultural awareness
• preliminary visits
• language skills
• relocation assistance
• training for trainers

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Cultural Awareness
Programs

Expatriates learn to

• adapt to and not feel isolated from the host country

• appropriate behaviours and coping patterns

• understand the host‑country value and belief system

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Cultural Awareness
Programs

Components of cultural awareness programs vary


according to

• country of assignment

• duration

• purpose of the transfer

• provider
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Tung-Cultural Awareness
Programs

Based on

• different learning processes

• type of job

• country of assignment

• time available
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Tung-Cultural Awareness
Programs

Area studies programs that include


• environmental briefing
• cultural orientation
• culture assimilators
• language training
• sensitivity training
• field experiences

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Tung-Cultural Awareness
Programs

• if the expected interaction and dissimilarity between the


individual and the host culture is low, then training should
be task‑ and job‑related and rigor low.

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Tung-Cultural Awareness
Programs

• if the expected interaction and dissimilarity between the


individual and host culture was high, then training should
focus on cross‑cultural skill development as well as on the
new task and rigor high.

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Tung-Cultural Awareness
Programs

Training should have more emphasis on

• life-long learning not ‘one-shot’ programs with an area-


specific focus

• foreign language training

• levels of communication competence, not just verbal

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Tung-Cultural Awareness
Programs

• cross-cultural training assists in managing diversity

• the preview of the expatriate position should be realistic,


as this facilitates effective performance

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The Mendenhall, Dunbar and Oddou
Cross-cultural Training Model (Figure 6-2)

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Black and Mendenhall -Cultural
Awareness Programs

Three aspects of social learning theory

• attention, retention, reproduction

• influenced by individual differences in expectations and


motivation, and the incentives to apply learned behaviors

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Black and Mendenhall -Cultural
Awareness Programs

• recognizes that the expatriate’s willingness and ability to


act upon that training in the new environment is crucial to
effective performance

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Cultural Awareness
Programs

• monitoring and feedback are important components of


individual skill development, adjustment
and performance

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Cultural Awareness Training and
Assignment Performance (Figure 6-3)

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Preliminary Visits

Well‑planned trip to the host country for the candidate


and spouse allows them to
• assess their suitability for and interest in the assignment

• be introduced to the business context

• be encouraged to do more pre-departure preparation

• begin to adjust to the host location


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Language Training

Not given a high priority


• English is the language of world business

• ability to speak the host country’s language improves the


expatriates effectiveness and negotiating ability

• able to speak the corporate language can give expatriates


added power in the subsidiary

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Language Training

There should be more emphasis on

• the provision of foreign language training

• the levels of communication competence, not just verbal,


so the person becomes bicultural and bilingual.

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Practical Assistance

Family adjustment support and relocation services


can include
• housing issues
• household goods movement
• destination services
• settling in assistance
• yearly home visits
• eldercare assistance
• taxation policy
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Practical Assistance

• visas and work permits


• relocation allowance
• compensation and benefits
• education assistance for families
• health and medical insurance and issues
• spousal employment and career assistance
• hardship allowances

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Practical Assistance

• automobile allowances
• family preliminary visits and orientation
• factual knowledge about the other country and
travelling abroad
• adjustment and adaptation to the foreign country host
countries value and belief systems
• safety, human rights and other required code of
conducts

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Training for The Training
Role

Ability to transfer knowledge and skills in a culturally


sensitive manner

• utilize knowledge transfer process of repatriates

• train expatriates on code of conduct

• train HCN and TCNs

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Perceived Value of Cross-Cultural
Preparation of Expatriates (Table 6-2)

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Developing Staff Through
International Assignments

Outcomes

• management development

• organizational development

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Developing Staff Through
International Assignments

• important mechanism for MNEs to develop international


expertise, cadre and a global mindset through management
and organizational development

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Developing Staff Through
International Assignments

• ensures global competitiveness through the development


of a globally-oriented and experienced management
cadre

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Management Development

• individual career progression

• pool of experienced international managers for future


international assignments

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Organizational Development

• a stock of knowledge, skills and abilities for future growth

• global mindset

• expatriates agents of control, socialization, knowledge


transfer

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Developing International Teams
Through International Assignments
(Figure 6-4)

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MNEs Benefit from Using
International Teams

A mechanism for
• fostering innovation, organizational learning and knowledge
transfer
• enhancing horizontal communication
• encouraging diverse inputs into decisions
• developing a global perspective
• developing shared values and control through socialization

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Discussion Questions

1. What are some of the challenges faced in training


expatriate managers?
2. How does an international assignment assist in
developing a ‘cadre’ of international operators? Why is it
necessary to have such a ‘cadre’?
3. Why do some MNEs appear reluctant to provide basic
pre-departure training?

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