Predicting excellent management performance in an intercultural context: a study of the influence of multicultural personality on transformational leadership and performance

What makes a manager in an intercultural context an excellent performer? This question is the subject of the present study. The study examines the influence of the five dimensions of multicultural personality via transformational leadership on excellent performance in a sample of managers (N = 138) working in an expatriate assignment or in a job dealing with subordinates of different cultural backgrounds. As expected, cultural empathy, open-mindedness and social initiative were found to have a positive effect on transformational leadership. However, no significant effects were found from emotional stability and flexibility on transformational leadership. Furthermore, a more transformational leadership style led to higher performance in an intercultural context, which was measured using management performance appraisals. Since an indirect effect of cultural empathy, open mindedness and social initiative on performance via transformational leadership has been found in this study, it seems that both these dimensions of multicultural personality and transformational leadership are needed for excellent managerial performance in an international environment.     

Expatriate or local bosses? HCN subordinates' preferences in leadership behaviour

This article explores host-country national subordinates’ preferences in leadership behaviour comparing expatriate bosses and local bosses. From a sample of 240 middle managers in Hong Kong with experience with both local Chinese bosses and expatriate bosses from a broad spectrum of Western and Asian countries, it was found that the subordinate managers assessed the leadership behaviour of their expatriate bosses to be significantly closer to that of their perceived ideal boss. American leadership behaviour was the most preferred and Japanese leader style was the least preferred, with British leadership style comprising a middle group. Implications of these findings for international business firms and future academic research are discussed.     

Personal attributes of expatriate managers,subordinate ethnocentrism,and expatriate success: a host-country perspective

This study had two objectives. First, to establish the relative importance of expatriate managers' job knowledge, relational leadership skills, and cultural openness and adaptability for expatriate success from the perspective of host-country national subordinates, and to test whether these personal attributes are related to expatriate success criteria (expatriate work adjustment, subordinate commitment, subordinate job satisfaction, and unit performance). Second, to test whether host-country national subordinate ethnocentrism is related to expatriate work adjustment. Respondents were 129 host-country national subordinates of expatriate managers. Results showed that subordinates perceived all personal attributes as important and that all personal attributes were positively related to most of the success criteria. However, relational leadership skills was the most important personal attribute, and it was the crucial success factor for expatriate managers' unit performance. Subordinate ethnocentrism was negatively related to expatriate work adjustment. Practical implications and directions for future research are discussed.     

An empirical test of a correspondence model of expatriate managers' work adjustment

We develop and empirically test a model of expatriate managers' work adjustment. In this model we relate the fit between work-related abilities and needs of expatriate managers as well as the fit between the job requirements of, and incentives associated with, an international assignment to the level of expatriate managers' work adjustment. We test this model with data gathered by means of an electronic survey among 118 German expatriate managers. The empirical findings largely support our theoretical model. The paper enhances our understanding of expatriate managers' work adjustment and its antecedents and contributes to the theoretical and empirical basis of research into expatriate management.     

Rating Expatriate Leader Effectiveness in Multisource Feedback Systems: Cultural Distance and Hierarchical Effects

A critical challenge for global firms is to implement assessment tools to develop expatriate leaders who can effectively manage role relationships across different directions (upward, laterally, downward) in cross‐national contexts. Drawing on social categorization and relational demography theories and a data set of 360‐degree ratings of expatriates from 36 countries, we use multilevel modeling to investigate relationships between cultural distance and ratings of leadership effectiveness in task and contextual performance by colleagues with different hierarchical vantage points (subordinates, supervisors, peers). Cultural distance refers to the overall degree of difference in key cultural values identified in the GLOBE study between an expatriate's and coworkers’ countries of origin. Unlike supervisors as a rating group, results show that peer and subordinate raters as a group may be more likely to have their ratings negatively influenced by cultural distance, an effect that may be exacerbated for peer ratings from countries higher in power distance and lower in humane orientation. This study contributes to the understanding of multisource feedback systems to assess expatriate leadership effectiveness by identifying likely group ratings tendencies linked to cultural distance and hierarchical perspectives. Organizations should develop strategies to mitigate possible effects of cultural distance on subordinate and peer ratings of expatriates. © 2015 Wiley Periodicals, Inc.     

Dual-career couples during international relocation: The trailing spouse

Expatriate relocation is a complex process which is influenced by a variety of issues. One issue, the dual-career couple, increases the likelihood of dissatisfaction and failure of the foreign assignment. The trailing spouse plays a critical role in the amount of stress/conflict experienced by the expatriate and she/he is key to increasing the success rate of expatriate managers. This research reports on a survey of 258 dual-career couples and their concerns with: (1) willingness to relocate; (2) unique adjustment issues; (3) stress/conflict generating situations; and (4) the type/level of support provided by the expatriate managers' MNCs.     

A strategic contingency approach to expatriate assignment management

This exploratory study examines how expatriate management practices differ with respect to three international management strategies (local, centralised or global) in 27 mature multinational corporations. In particular, this study examines the categories of expatriate assignments, the strategic integration of expatriate assignments into leadership development and the types of human resource practices that firms utilise to manage expatriates. Results indicate that organisations differentially assign expatriates based on the firm's respective international management strategy. Firms with a global management strategy made greater use of developmental expatriates, had a greater number of senior managers with expatriate experience and had a stronger focus on leadership development through expatriation. Firms did not differ with respect to their use of expatriate management practices based on their international management strategy.     

Female expatriates in international business: empirical evidence from the German clothing industry

The article empirically analyses the situation of male and female expatriates in the German clothing industry in terms of selection, preparation, support during assignment, job satisfaction, goal attainment and future perspectives. In general, female expatriate managers face more difficulties than male expatriates at each stage of the international transfer cycle. The results of this single sector study demonstrate the importance of the cultural, national and sectoral context for the interpretation of results.     

Expatriate adjustment from the inside out: an autoethnographic account

This paper identifies some of the dynamics of expatriate adjustment using an autoethnographic account of situations experienced by the first author during her first year of work at a financial services company in Hong Kong. Success in this cross-cultural assignment is dependent on the expatriate's ability to adjust to and master the new culture. Our theoretical analysis of the autoethnographic account suggests that culture shock may be a discontinuous process. Further, the analysis suggests that cultural acceptance can play a critical role in expatriate adjustment.     

Human resource management in Chinese multinationals in the United Kingdom: The interplay of institutions,culture, and strategic choice

This is a study of the challenges faced by Chinese expatriate managers and their strategic responses in securing a workable degree of alignment in UK subsidiaries, against a backdrop of competing home‐country and host‐country pressures. Although much of the literature on home‐country and host‐country effects tends to either adopt a culture or an institutional approach, this study highlights the intermeshed nature of the two. In locating cultural dynamics within an institutional firmament, this study juxtaposes the effects of each and draws conclusions as to their intersection. It is founded on in‐depth interviews with home‐country and host‐country managers. The findings suggest, on the one hand, Chinese expatriate managers tended to see local regulations as an obstacle to efficiency, rather than as a means to access context‐specific complementarities. On the other hand, these managers recognized the need to fit in with established locally specific ways of doing things and in securing sufficient staff buy in to sustain operations, and played a key intermediary role between headquarters and subsidiary.     

Comparing the success of male and female expatriates from a US-based multinational company

This paper examines the differences between male and female expatriate employees along three criteria of global assignments: (1) cross-cultural adjustment, (2) desire to terminate the assignment and (3) supervisor-rated performance. Participants were ninety-eight expatriate employees from a US-based multinational organization. The countries to which these expatriates were assigned varied along the four work values proposed by Hofstede (1980). These dimensions were used first to determine which of the underlying cultural work values are associated with the number of women in managerial positions. The results suggest that all of the dimensions, except masculinity, were related to the participation of women in managerial roles. Second, these dimensions were used to examine whether these work values differentially affect male and female expatriates' success. Two work-values (power distance and masculinity) negatively affect the cross-cultural adjustment of expatriate women (compared to their male counterparts). These results suggest there are no significant differences between men and women in either supervisor-rated performance or desire to terminate the assignment, regardless of cultural values. The implications for why certain work values may negatively affect women's cross-cultural adjustment are discussed.     

Understanding expatriate manager performance: Effects of governance environments on work relationships in relation-based economies

Evidence shows that the majority of Western expatriate managers fail in their job assignments in developing countries. To go beyond attributions of expatriate failure to “cultural differences” this article responds to calls for a theoretical basis for understanding expatriate performance by using a recently developed framework of rule-based and relation-based governance environments to examine how the macro-environment of a country's governance system affects the creation of effective working relationships between executive level expatriate managers and Host Country Nationals (HCNs) on the executive's management team. Based on cross-cultural psychological contract research [Rousseau, D.M., Schalk, R. (2000). Psychological contracts in employment: Cross-national perspectives. Thousand Oaks, CA: Sage.] and the premise that expatriate performance is largely a function of the ability to manage discrepancies between the rule-based expectations of the Western MNC culture and the relation-based expectations of local employees, we develop research propositions to promote future HR research designed to examine the effect of the governance environment on the working relationships between American managers and Chinese HCNs. Implications for future HR efforts to improve the performance of expatriate managers in relation-based societies are also discussed.     

Expatriate success may depend on a “learning orientation”: Considerations for selection and training

To support globalization, managers increasingly are sent to live and work in other countries. An unsuccessful expatriate assignment is costly for the organization and damaging to the individual's career, yet few companies have adequate processes for selecting and training expatriate managers. The concept of “learning orientation” is proposed as a valuable dimension for assessment and training. Employees with weaker learning orientation tend to withdraw from situations that could result in low judgment of performance; those with stronger learning orientation adapt and continue. The described approach can benefit employees and their families and can increase the organization's chance for international success. © 1999 John Wiley & Sons, Inc.     

Modes of cross-cultural leadership adjustment: adapting leadership to meet local conditions and/or changing followers to match personal requirements?

In this article, we present a study that explores modes of cross-cultural leadership adjustment (CLA) and investigates the forces influencing them. Nigel Nicholson’s theory of work role transitions was used as the theoretical foundation to explore work role requirements (consisting of role discretion and novelty of job demands) as potential predictors of modes of CLA. Our data were collected from expatriate senior managers working in Thailand. The results show that the majority of our expatriate executives make adjustments to their leadership approach and try to change Thai employees – thus demonstrating the adoption of an exploration mode of adjustment – and that role requirements, Thai employee characteristics, the local hierarchy system and the expatriate leaders’ perceptions all influence the latter’s modes of adjustment. Based on our findings, we develop a theoretical framework and a number of research propositions. Finally, we discuss the implications of our findings.     

Women abroad: getting the best results from women managers

Abstract This study explores the work environment of expatriate women managers in American corporations and investigates the determinants of their job satisfaction. The strategic importance of global assignments has increased over the years. The real cost of unsuccessful expatriates extends beyond the monetary expenses. As the number of women managers working overseas increases, so does the importance of this topic. Additionally, because women in expatriate positions are relatively new, their needs for job satisfaction and career aspirations are not known to most organizations. This research intends to fill this gap. The study concentrates on four major areas that are considered important for obtaining job satisfaction: (1) the way in which organizations design their overseas jobs, (2) women's skills and characteristics, (3) international human resource policies of companies and (4) the cultural environment of host countries. The applied research covers two phases: a study of expatriate managers during their assignments overseas and the evaluation of overseas experience upon their return. The results indicate that women in overseas assignments are satisfied overall with their jobs. However, organizational variables are more strongly related to job satisfaction. The nature of job design in overseas postings has the greatest impact on women's job satisfaction. When the jobs are enriched, women gain intrinsic rewards and have high job satisfaction. Organizational support also contributes to the satisfaction of women expatriates. Training, mentoring and repatriation preparations have high impact on women's success and satisfaction. Women expatriates are more concerned with their repatriation and future advancement than their present assignments. The findings are important for theoretical and practical reasons. Theoretically, the achievement and satisfaction of women managers overseas cannot be simplified without taking into account organizational, personal and cultural factors. Practically, companies need to respond to the individual needs of expatriate women managers and then decide on their assignments and their repatriation accordingly.     

Leadership styles in Central Eastern Europe: Experiences of Finnish expatriates in the Czech Republic,Hungary and Poland

Due to the current transformation of Central Eastern European (CEE) economies, not very much is known about managerial behaviour during that era. With a view of increasing such an understanding, this paper reports some observations on characteristics of the leadership styles of managers in CEE as experienced by Finnish expatriates. The emerging changes in these styles are also discussed. By reviewing relevant writings and studies, working hypotheses about expected differences between Finnish and CEE managers are formulated. Differences were identified and it was found that typical leadership styles among managers share certain common characteristics in three CEE countries but that the styles have already started to change. In conclusion, the implications of the findings for Western companies and for expatriate managers are discussed.     

You're from where? The influence of distance factors on New Zealand expatriates’ cross-cultural adjustment

This study empirically tests the influence of various distance factors on expatriate cross-cultural adjustment. Expatriate perceptions of home and host country differences, objective measures of distance and the accuracy of expatriate evaluations of host country distance were compared as predictors of expatriate adjustment difficulty in the host country. The results revealed that perceived distance, objective cultural distance and the expatriate's perceptual inaccuracy had a significant effect on expatriate adjustment difficulty for one's first assignment. However, on subsequent assignments all measures of distance were significant. Adjustment became more difficult as perceptual accuracy improved. The implications of these findings are discussed.     

Job attitudes and organizational justice in joint venture hotels in China: the role of expatriate managers

In a survey of local employees in joint venture hotels in China, perceived interactional justice was found to be predictive of job attitudes, and perceived salary fairness in comparison with expatriate managers explained additional variance in job attitudes. Compared to previous results, local employees now perceived their pay as much more unfair when compared with that of expatriate managers. In addition to perceived justice, perceived managerial practices of expatriate managers and incentives received were also predictive of job attitudes of local employees. Consistent with previous results, employees working with overseas Chinese and Japanese managers reported less positive job attitudes than those working with Western and other Asian managers. These differences were related to neither perceived differences in managerial practices or managerial experiences of the expatriate managers nor perceived differences in incentives received. The justice framework provides the best explanation for these results.     

Role stress reduction and cultural mediators in overseas Japanese companies

This qualitative exploratory study adopts a role theory perspective to examine the role of cultural mediators in reducing role stress experienced by staff in Japanese companies in Australia. The results reveal cultural mediators contribute to allay role stress that exists between Japanese expatriates and non-Japanese host country staff. Japanese expatriate managers are prone to rely on cultural mediators due to their boundary spanner role. Although cultural mediators are perceived to be effective in reducing role stress, our study uncovers potential negative consequences. Thus, reliance on cultural mediators must be cautiously managed.     

An empirically-derived multidimensional measure of expatriate success: reconciling the discord

This paper examines the discord surrounding how expatriate success, or effectiveness, is defined. We review the many ways that success has been conceptualized and then seek to reconcile these differences by presenting a multidimensional measure of success, based on data collected from 118 expatriate respondents worldwide. A series of factor analyses, along with reliability and item analyses yielded nine measurement scales which included cultural adjustment, work-related adjustment, career development, HQ-subsidiary coordination, assignment completion, professional/skill development, shaping and controlling the subsidiary, satisfaction and overall assignment effectiveness. The process by which these scales were developed is described in the paper and all items and scale reliabilities are presented.