Evaluating expatriate training
International Studies of Management & Organization; White Plains; Fall 1994; Brewster, Chris; Pickard, Juana;

Copyright M. E. Sharpe Inc. Fall 1994

Abstract:
The assumptions that lie behind much expatriate preparation are examined by analyzing participant responses to a well-established and well-supported expatriation program being run in the UK. The population for this study was a sample of 690 expatriates, along with their spouses, who attended courses between 1988 and 1992. The results show that expatriates and their partners are very positive toward formal training for expatriation. They believe that it helps them to make the adjustment to living and working in the host country. Their belief is not significantly affected by the age at which they received the training, previous expatriate experience, the point at which they are asked for their response, the destination (other than a difference between underdeveloped and developed societies), or the type of organization for which the expatriate works. The data captured suggest that the degree of influence exercised by the expatriate community may affect the difficulty with which expatriates and their spouses adjust to the host environment.

Cross-cultural training has long been advocated as a means of facilitating adjustment to the expatriate environment (Brislin, 1981; Landis and Brislin, 1983; Mendenhall and Oddou, 1986; Tung, 1987). However, although there is a substantial literature, mainly from the United States, on the preparation of expatriates for their foreign assignment, much of this is anecdotal and prescriptive (Harris and Harris, 1976; Rahim, 1983). The research that has been done shows, primarily, that little preparation takes place. Despite the importance of expatriate positions, the high costs associated with expatriation and the extensive and largely nonproductive "running-in" periods, it is still the case that most organizations provide no formal training for expatriation.

Studies in the 1970s found that, amongst U.S. MNCs, only two-thirds provided any training at all (Baker and Ivancevich, 1971) and less than a quarter provided any formal orientation training (Baker and Ivancevich, 1971; Lanier, 1979). In the 1980s, a study of the largest U.S. MNCs found that "only 25 percent offer extensive pre-departure orientation training programs" (Baliga and Baker, 1985, p. 35). According to Tung (1982), only 32 percent of U.S. companies surveyed provided training. European and Japanese MNCs did more: 69 percent among European, and 57 percent among Japanese.

Evidence for European MNCs is rather sparse. There is some evidence that the Europeans did more training in the 1970s and in the 1980s; more than half of Swedish companies provided formal training (Torbiorn, 1982), as did about half of a general survey of European corporations (Tung, 1982, p. 66).

Some companies arrange shadowing opportunities in which employees take responsibility for a country operation prior to moving across to that country.

European MNCs provide a variety of means of preparation. In one study, informal briefings were used by two-thirds of the MNCs as standard policy; in other companies, the expatriates often organized their own briefings. Others use "look-see" visits for all their expatriates, and a few attempt to arrange significant overlaps of tours of duty. Most of the European MNCs make explicit provision for language training, and nearly all will make arrangements for it "if necessary." Formal training courses were used by nearly half the European MNCs (Brewster, 1988).

Very little is known about the training that is done; but it is encouraging that nearly all the evidence points in the same direction. The most important finding here is that training is closely correlated with expatriate skills and expatriate performance. Tung (1982) argues that there is a clear negative correlation between lack of training and expatriate failure. Statistically, her argument may not be strong, but the logic is clear. A valuable article by Black and Mendenhall (1990) reviews U.S. empirical studies on the subject: twenty-nine in all. They found a positive relationship between cross-cultural training and the development of appropriate perceptions relative to members of another culture; that training was positively correlated with adjustment; and that there was a positive relationship to performance.

Studies of the form of training, though sparse, seem to show that it is the process, rather than the type, of training that is important. Earley (1987), for example, demonstrates that preparation for managers "had beneficial effects on managerial performance overseas" (he is reporting on managers from the United States sent to South Korea). However, he found that both documentary and interpersonal approaches were equally effective.

Although business organizations frequently doubt the value of such training (Baker and Ivancevich, 1971; Tung, 1982; Zeira, 1975), one argument is that it is the lack of a theoretical framework that causes the question about the value of such training to remain unanswered. What is needed is both a model of the process and more empirical data.

Some interesting training models have been developed, notably by Tung (1982), Rahim (1983), and Mendenhall and Oddou (1986). These suggest that the depth of training provided should depend on the task, the environment, and the individual, or on the length of stay, the extent of integration into the host culture, and the cultural "difference" of the host country from the home country.

It was decided to examine more carefully the assumptions that lie behind much expatriate preparation.

Hypotheses

The provision of training

Most of the studies (including, for example, Murray and Murray, 1986, and Brewster, 1991) find that, while companies are often uncertain about the value of training for expatriate assignments, the expatriates themselves tend to be more positive. This is not surprising. They are being put into a new and difficult position, in an environment that they do not understand, and with great expectations of performance weighing on them. The support implicit in the provision of training, the opportunity to reflect in a time of turmoil, and the chance to absorb valuable information should lead us to expect that:

H1. Expatriates and their partners will respond favorably to the provision of specific formal courses and will find them to have been beneficial to their ability to adapt.

Expatriates and their partners

The importance of the role of the partner, or "spouse" (in most cases) has received ever more attention in the literature. It is now clear that it is often the partner's failure to adjust that leads to the early termination of an assignment (Black and Stephens, 1989; Harvey, 1985), although most organizations still make assumptions about the partner's willingness to follow when selecting expatriates (Brewster, 1991). Furthermore, it is known that these assumptions are increasingly under threat as family life-styles change and the number of dual-career couples increases. It is important not to assume too readily that preparation that is appropriate for one partner will suit the other. Therefore, we tested the proposition that:

H2. Expatriates and their partners will respond differently to training programs.

Age

Heller (1980) conjectured that the more mature person is more likely to have the criteria necessary to adjust to working in a foreign environment: experience, ability to do the job, breadth, and broad horizons. We considered similarly that more mature expatriates are likelier to have experienced job transition and relocation (whether at home or overseas), and are likelier to have experienced a wider variety of training (although not necessarily cross-cultural training). They are likely to hold more senior positions within their organizations and to play different roles on the foreign assignment. Thus, it was possible to hypothesize:

H3. Younger expatriates will find the training more valuable than older expatriates.

Previous expatriate experience

It has been argued that previous expatriate experience will facilitate adjustment to a new expatriate environment (Church, 1982). Torbiorn (1982), however, found that while previous expatriate work experience was related to higher level of adjustment, the amount did not seem to matter: adjustment was not related to the duration of previous experience. Later studies by Black (1988) found that previous overseas work experience was related to work adjustment for expatriates, but not to general adjustment.

In terms of preparation in general, and the training from which the data here are drawn in particular, it seemed possible that those with expatriate experience might well feel that such experience already went some way towards fitting them for a further adjustment. Expatriates themselves have made this point (Brewster, 1991). This led to testing the proposition:

H4. Previous expatriate experience will lead participants to see the training as less useful.

Point of data capture

Perceptions of training programs are subjective, and liable to change with time: in particular, perceptions held by attendees immediately following the course might be modified by their actual expatriate experience, and might be modified again by their return from the assignment. Furthermore, there is considerable unanimity in the literature to the effect that an expatriate assignment generally passes through a "honeymoon" stage during which the expatriate observes but does not come to terms with the new environment, followed by a learning period during which adjustment takes place (Black and Gregersen, 1991; Gullahorn and Gullahorn, 1963; Torbiorn, 1982). The length of the assignment might also be a factor. The literature contains a variety of estimates for the length of an "average" expatriate assignment. Tung (1987) quotes two to three years for U.S. MNCs and five or more years for European MNCs; Black (1988) estimates three to five years; Brewster (1991) found that the "average" varied with the nationality of the MNC. It is arguable that those assigned for longer periods would have a greater desire or requirement to adjust to the foreign assignment, and this would affect their perceptions of the training course.

In terms of point of data capture, therefore, we tested the hypothesis that:

H5. Expatriate responses to the value of training will vary with the point at which they were asked their views (before, during, and after assignment); and with the anticipated length of the assignment.

Location

For many companies involved in making international transfers, distinctions between different parts of the world are reflected in the most explicit of ways, by different payments or salaries. The literature too reflects this distinction, but goes beyond it to argue that it is the "cultural" distance between home and host culture that creates the problem (Dowling and Schuler, 1990; Mendenhall and Oddou, 1986; Tung, 1981). However, the major growth in expatriation in recent years has been between developed countries; hence, in opposition to these views, it has been argued that in some ways the lack of cultural awareness that may occur in transfers to similar cultures can also create problems (Brewster, 1991). We therefore tested the proposal:

H6. Responses to the provision of formal training programs will vary with the destination of the expatriate.

Type of employing organization

Not all people on expatriate training programs are sponsored by commercial organizations: others include, for example, governmental agencies, charities, and religious organizations. Their requirements of training courses and their expatriate experiences might be far from uniform and this in turn might affect their perceptions of the training.

Expatriates were asked to classify their sponsoring organization as: (1) a commercial organization, (2) a mission organization (such as an embassy or an armed force), or (3) a teaching, charity, or religious organization. These are in line with three of Cohen's (1977) four expatriate classifications. (Cohen's fourth classification, leisure seekers, was not considered relevant to this study). We hypothesized that:

H7. Reactions to a uniform training program will vary with the type of organization employing the participants.

Influence of the expatriate community

Tung (1982) points to the expatriate community present in the host country as playing a major role as a mutual support mechanism: she notes the longer history of overseas operations by European MNCs whose foreign subsidiaries are often well established with a relatively large expatriate community, so that new arrivals are "fairly well looked after." Similarly, Black (1990) points to the expatriate community as a support mechanism with information and advice to facilitate cross-cultural adjustment.

We felt that the presence or absence of a significant expatriate community might modify the adjustment processes of expatriates, and thus modify their perceptions of the training program.

Expatriate communities can be classified as: (1) large enough to influence the type and availability of, for example, foods and shopping facilities, medical facilities, schools and recreation opportunities ("large"); (2) visible, but not large enough to modify the local environment significantly ("medium"), or (3) insignificant or nonexistent ("small"). It could be anticipated that those in the larger communities would have less need of training:

H8. The larger the expatriate community in the host country, the less valuable would spouses in that community find a program of predeparture training.

Degree of social interaction with host nationals

Gregersen and Black (1989) found a positive correlation between the level of adjustment to interaction with host-country nationals and the expatriate's intent to stay in the overseas assignment; Black and Gregersen (1991) found social support from host-country nationals to be positively correlated to the spouse's adjustment to interacting with host-country nationals. According to Furnham and Bochner (1986), "the evidence suggests that most sojourners lead lives that are relatively isolated from their host society. Those sojourners . . . who do have some intimate contact with host members seem to be more content, satisfied and successful than sojourners who have no such contact."

We considered that while most expatriates will be in contact with host-country nationals as part of their work, the degree of contact between the spouse and host country nationals is likely to vary. Accordingly, we asked the spouses to quantify the extent to which their social activity included host nationals as: (1) almost none with host nationals, nearly all with other expatriates; (2) 25 percent host nationals, 75 percent other expatriates; (3) 50 percent-50 percent; (4) 75 percent host nationals, 25 percent other expatriates, or (5) almost all host nationals, nearly none with other expatriates.

H9. Expatriate spouses whose social activity included a greater contact with host nationals would find the training more helpful than those with less such contact.

Methodology

This study attempted to test these hypotheses by analyzing participant responses to a well-established and well-supported expatriation program being run in the United Kingdom. The courses were run by the Centre for International Briefing at Farnham Castle in southern England.

The center is an independent, nonprofit organization that mainly runs one-week intensive, residential briefing courses for people who are going to live and work overseas. The courses are designed to help people who are going to a wide range of assignments; a large majority come from multinational corporations but courses also include those from government service, those working in aid programs, and volunteers from charities or churches. The level of training provided approximates Tung's (1981) environmental briefing and cultural orientation approaches, and Mendenhall and Oddou's (1986) information-giving approach.

Information taken directly from the center's 1991 Annual Report shows that, in 1990-91, the center ran more courses for more participants than in any previous year: in that year 52 full courses were run for 804 course members.

The population for this study was a sample of 690 expatriates (and their spouses) who attended courses between 1988 and 1992. The sample was not entirely random, but consisted of all course members whose employing organization was able to provide a forwarding address for the expatriate. We have no reason to believe that this sample is uncharacteristic of the population as a whole.

Two questionnaires were designed, one to be answered by the expatriate and one to be answered by the spouse. In many cases, the questions were the same, particularly where the answers involved perceptions of the program. Both questionnaires instructed the respondents to answer the questions without reference to their partner or to their partner's responses. All expatriates received both questionnaires, one to be answered by the expatriate and the other to be answered by the spouse, if there was one. Thus, the selection of the spouses was a function of the selection of the expatriates: the spouses included in the study were all partners of expatriates on overseas assignments.

Response rate

Of the 690 questionnaires sent out, 251 expatriate questionnaires were returned for a response rate of 36 percent. One hundred and sixty-four spouse questionnaires were returned, and in this case the proportion of responses can only be indicated indirectly. Completed questionnaires were received from the spouses of 83 percent of the married expatriates who returned a questionnaire. (Fuller details of the methodology are available in Pickard and Brewster, 1992).

Population characteristics

The majority of responding course members were male (95 percent), married (80 percent), British (82 percent; 14 percent were from elsewhere in Europe), and in full-time employment with their sponsoring organization when selected for the international assignment (95 percent). While course members' ages generally ranged from 25 to 55, the most common age group was 31 to 40 (43 percent). Fifty-four percent had one or more dependent children at the time that they attended the course. Fifty-six percent had no previous expatriate experience. Course members were well educated: 53 percent had a university degree, while 49 percent reported professional qualifications and/or membership of a professional body. Specialization was spread fairly evenly among technical and managerial disciplines (further details are in Pickard and Brewster, 1992).

Results

Frequencies, means, and standard deviations of the variables characterizing expatriates, spouses, and their expatriate environments are displayed in Table 1. (Table 1 omitted) Correlations between these variables are displayed in Table 2. (Table 2 omitted) The relationship between the influence of the expatriate environment and the extent of social activities with host nationals is displayed in Table 3. (Table 3 omitted) Correlations between these characterizing variables and the respondents' perceptions of the program and between the spouses' perceptions of the program and the degree of difficulty they encountered in adjusting to aspects of the expatriate environment were analyzed. Space limits their inclusion here (they are available from the authors).

The results in terms of the hypotheses we established are interesting. First (H1), expatriates and their partners are very positive about the value of this kind of preparation prior to the assignment. Murray and Murray (1986) suggest that information briefings make little difference to subsequent performance on the assignment. While our study did not address performance specifically, it is clear that the expatriates themselves believe firmly that such briefings have helped them in their assignments.

Expatriates and their partners (H2) tended to be almost equally positive about the program, although there was some variation with regard to certain of its elements. For example, women were more critical of the "living in the host community" elements of the program.

Expatriates were divided into three age groups; under 30, 30-39, over 39. There were no significant differences between the responses of these age groups (H3).

Expatriates were asked whether this was their first expatriate assignment or they had previous expatriate experience. They were also asked to list their most recent six expatriate assignment destinations and durations. "Previous expatriate experience" was restricted to those respondents who reported at least six months sojourn in a single destination. There were no significant differences in response between those with and those without previous expatriate experience (H4).

The point of data capture (H5) made little difference: those on assignment appeared to be a little less positive than those yet to depart, and those who had returned from the assignment were less positive still. Responses were not significantly modified by time elapsed since assignment, however, which implies that "point of data capture" is a step function, and that the psychological effects caused by arrival in the assigned country take place comparatively rapidly.

Destination (H6) was a significant variable, but in an unexpected way. Responses were broadly similar for all destinations across the world, with the exception of North America and Europe. The numbers for these destinations are comparatively small, so that this finding has to be treated with caution. Three related reasons can be advanced for it. First, the Centre for International Briefing has only recently begun to offer courses in these two areas: it is possible, therefore, that this lack of experience means that the programs are not so well presented. Second, there is evidence (Hofstede, 1980; Laurent, 1983) that these areas are culturally similar to the United Kingdom, so that the traditional center programs are less relevant and the expatriate and their families require less preparation. Third, these are areas that tend anyway to be much more familiar to the mainly British expatriates and their partners who attend the center: their knowledge of these areas is much higher, through all forms of media and often via personal visits or holidays--they start from a higher base and are more critical of the programs.

The type of organization that the expatriate worked for (H7) made little difference to responses.

For both expatriate and spouse, the variable that most affected their perceptions of the program was "influence of the expatriate community" (H8). This variable significantly modified 7 of the 15 expatriate responses, and 11 of the 14 spouse responses. Both expatriates and spouses in locations with influential expatriate communities were more likely to recommend the program, more likely to consider that it had met its aim, and more likely to find the program helpful with adjustment to the environment.

The influence of the variable "extent of social activity with host nationals" (H9) significantly modified responses for the spouse, but not for the expatriate--this despite its high (negative) correlation with "influence of the expatriate community." Spouses with higher levels of social interaction with host nationals found the program to have been more helpful in adjusting to six of the twelve environmental aspects: these same six environmental aspects were also modified by the variable "influence of the expatriate community."

By contrast, "influence of the expatriate community" modified spouse responses to four of the twelve questions relating to ease or difficulty of adjusting to the environment, while "extent of social activity with host nationals" modified spouse responses to six of the same twelve questions: the two variables, however, tended to influence different responses so that, between them, nine of the twelve responses were modified by these two variables.

The interaction of these two variables, then, appears to be as follows: larger expatriate communities lead to lower levels of interaction with host nationals and easier adjustment to the environment, yet higher levels of interaction with host nationals also lead to easier adjustment to the environment.

After considering the implications of this interaction, therefore, we propose the model of the adjustment process that appears in figure 1. (Figure 1 omitted) This model applies particularly to the spouse, and may be somewhat less valid for the expatriate.

We propose that:

* Large expatriate communities provide considerable levels of support to the newly arrived spouse, and can act to isolate the spouse from the host environment. This support and isolation allows the spouse to "adjust" relatively easily, but this "adjustment" may be more to the local expatriate community than to the host-country environment itself. Finding adjustment relatively easy, therefore, spouses will be more likely to find the training to have been "very helpful" or "helpful."

* In some locations having an influential expatriate community, a minority of spouses will seek out and/or accept social activity with, and support from, host nationals, in addition to accepting the mutual support available from the expatriate community. Having the best of both worlds, as it were, these spouses find it comparatively easy to adjust to the host environment. This easy adjustment also leads them to determine the program to have been "very helpful" or "helpful."

* Small expatriate communities will be less able to provide support to the newly arrived spouse, and will have less scope for isolating the spouse from the host environment. If social interaction with host nationals is possible and is accepted by the spouse, then this interaction may provide a significant measure of support and assistance in adjusting to the new environment. The process of adjustment is, however, likely to be more difficult than it would have been in a location having a significant expatriate community. A spouse in this situation, therefore, may have some difficulty in adjusting to the host environment. This will be reflected back in their attitude to the training, which they will judge as having been less successful in helping them to adjust.

* In a location that has a small expatriate community and where social interaction is seen as difficult or is rejected by the spouse, the support available is limited indeed. Adjustment to the host environment becomes very difficult in such cases. A spouse in this situation, therefore, is likely to consider the program "unhelpful."

Cohen (1977) lends considerable support to some of these propositions. He points out that the expatriate bears a responsibility role to his company as an employee, to his country as an ambassador, and to the host country as a temporary citizen. This representational role may add to the expatriate's prestige, but it also puts constraints on his behavior, creating strains from which the expatriate may seek to relax in the privacy of his "environmental bubble." This represents an attempt by the minority expatriate community to transform its ecological, institutional, and social microenvironment in order to resolve its adjustment problems by minimizing the degree of adjustment its members are asked to make. By this means, expatriates can continue to lead much of their accustomed way of life with comparatively fewer adjustments to the host environment.

But individuals do not all use expatriate institutions to the same degree, nor are they equally desirous of the protection of the "environmental bubble"--some find it obnoxious and oppressive, and try to escape it by "going native," adopting local ways and cutting themselves off from headquarters. It should be noted, however, that even those expatriates tend to avail themselves occasionally of both its institutions and its social support.

Female spouses experience more severe adjustment problems than male expatriates. First, because the expatriate community is male-centered: it is usually the husband's job that is the raison d'etre for the family's stay abroad. His associates and companions in the sponsoring organization define the context within which social relationships and friendship circles are established. Second, while the husband's role is continuous, it is the wife who must transfer family life to the new surroundings, build new friendships, and deal with issues of health and schools. Furthermore, the role of the wife is likely to change: working women may be unable to continue working, and the accustomed housewife's role may be changed through different household arrangements and by the availability of cheap household help.

That wives face severe and particular adjustment problems becomes important when laid against research indicating that spouse adjustment is a major factor in the success or failure of expatriates (Harvey, 1985; Tung, 1981). Much of this work relied upon the opinions of U.S. human resource managers. Nevertheless, empirical research (Black, 1988; Black and Stephens, 1989) has found a significant and positive relationship between spouse and expatriate adjustments.

Conclusions

This research program has shown that expatriates and their partners are very positive towards formal training for expatriation. They believe that it helps them to make the adjustment to living and working in the host country. Their belief is not significantly affected by the age at which they received the training, previous expatriate experience, the point at which they are asked for their responses, the destination (other than a difference between underdeveloped and developed societies), or the type of organization for which the expatriate works. The data captured by this survey suggests that the degree of influence exercised by the expatriate community may affect the difficulty with which expatriates and (possibly to a greater extent) their spouses adjust to the host environment. While cross-cultural training may simply assist an already easy adjustment process for expatriates and spouses who are supported by a significant expatriate community, a higher degree of cross-cultural training may be required for expatriates and spouses assigned to locations having a limited expatriate community in order to enable them to utilize better the assistance and support of host nationals to ease their adjustment into the new environment.

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Chris Brewster is Professor of European Human Resource Management and Juana Pickard is a Ph.D student at Cranfield School of Management, Cranfield Institute of Technology, Cranfield, Bedford, UK, MK43 OAL.