Expatriation is not only an HR issue but also a question of company culture. The way a company rewards overseas experience is a decisive factor in the attitude of its executives to being sent abroad. Companies in which international experience is seen as a necessary nuisance are going to have problems finding employees willing to accept a transfer. There will be no such problem for companies which link expatriation to career development and where it is seen as an “opportunity” to develop and grow the person’s skills.

Failed Policies

The speed with which companies have to take business decisions today produces an expatriation policy based on “get out there and we’ll sort something out”. The situation illustrated by this expression is not at all the professional attitude needed to enhance the internal image of expatriation. Experience shows that expatriation cannot be improvized. More than in any other situation, the success of the overseas posting depends not only on the financial conditions but also on the expatriate’s state of mind and motivation for the assignment.

Managing overseas staff can be a nightmare because of the legal and fiscal complexity involved. As a result, companies sometimes end up paying one expatriate more than another in a different country. On the other hand, the lack of proper HR policies leads to quite a few disasters when the expatriate reaches the destination country. This is where, in my opinion, HR departments need to play a more proactive role, setting up more appropriate policies and processes for managing expatriation. To achieve this, they must coordinate both internal and external advice to ensure that the interests of the company and the expatriate in each country are properly safeguarded.

The Importance of the Family

Financial compensation, immigration and tax issues are not everything in the expatriation process. International Human Resource management should include values such as protection of the family, the emotional stability of the expatriate and should take into account the impact of physical and cultural remoteness on the state of mind of the expatriate and his or her family. If family support is important in the home country, it is absolutely essential abroad. At home in their country of origin, people can turn to friends and relatives for help in solving everyday problems. Abroad there is often nobody trustworthy to turn to. As a result, everyday problems can become negative circumstances which produce psychological fatigue and early disillusionment in the country of destination. Which is why the family is a crucial element in the expatriate’s emotional stability and, consequently, in his or her job performance.

Clearly the company cannot be responsible for how well the expatriate or the family adapts to the new country; they must help each other achieve this. But both expatriates and their families must be sure that the company will support them effectively in all their problems. Gestures are important in this regard. For
example, the policy of many multinationals of meeting the expatriate’s partner before departure. Explaining the special features of the new country, the project which the executive will be responsible for and its importance to the company, helps to involve the family and to give recognition to the effort made by both spouses in the overseas experience.

Taking Care of the Homecoming

Perhaps the most complex phase of expatriation is the return to the home country. The problem varies depending on how long the overseas posting was. But it is quite possible that the company the expatriate returns to is not the same one he or she left some years before. The company may have been totally restructured and former colleagues may now be in working in different departments or no longer be with the company. For this reason the involvement of the HR department or of the expatriate’s former bosses or colleagues is essential in the first few weeks after the home-coming.

The experts say that the process of repatriation begins the day the expatriate leaves for the new country. Repatriation should not be improvized, since a suitable job for the returning executive cannot be created overnight. With a few lucky – or unlucky – exceptions, a minimum amount of time is needed to analyze the expatriate’s experience and find a position in which the person can bring the greatest possible value to the organization. This process must be discussed with the new boss and the expatriate in order to reach a consensus on all sides.

Working abroad is a tremendously enriching experience. Successful expatriates must learn to extract the best from the new culture. This experience can help them to appreciate diversity later, making them more flexible as people and giving them greater empathy with other cultures. The English speaking world is aware of this and values executives with overseas experience. Given that expatriates are such a valuable resource, how come so many companies do not see the experience gained abroad as a profitable asset? Companies need to be convinced that careful planning of repatriation will lead to a greater recognition and utilization of the value of these employees.