Expatriates

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Recruiting Marketing and Sales Personnel

• Expatriates
• Virtual Expatriates
• Local Nationals
• Third Country Nationals
• Host Country Restrictions

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Attributes Required for International Operations
v Maturity v Emotional Stability v Breadth of
Knowledge v Effective Sales Skills v Positive
Outlook v Flexibility v Cultural Empathy v
Energetic v Enjoy Travel
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Basis for U.S. Management Attitudes

• ? Master of Destiny
• ? Independent Enterprise as an Instrument for
  Social Action
• ? Personnel Selection and Reward Based on Merit
• ? Decisions Based on Objective Analysis
• ? Wide Sharing of Decision Making
• ? Never Ending Quest for Improvement
• ? Competition Yielding Efficiency

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The Sales People Were Asked to Distribute 100
Points among the Rewards in Terms of their
Importance to You.
Relative Importance (mean)
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SOURCE R. Bruce Money and John L. Graham,
Salesperson Performance,
Pay, and Job Satisfaction Tests of a Model Using
Data Collected in the U.S. and Japan,
Journal of International Business Studies, 1999.
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Global Similarity to U.S. Compensations Plans
Europe
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South- east Asia
SOURCE David G. Schick and David J. Cichelli,
Developing Incentive Compensation
Strategies in a Global Sales Environment, ACA
Journal, Autumn 1996.
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A Compensation BlueprintHow IBM Pays 140,000
Sales Executives Worldwide
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SOURCE Michele Marchetti and Antonio Langemi,
Gamble,
Sales and Marketing Management, July
1996, p.65-69.
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Dos of Global Compensation

• Do involve representatives from key countries.
• Do allow local managers to decide the mix between
  base and incentive pay.
• Do use consistent performance measures (results
  paid for) and emphasis on each measure.
• Do allow local countries flexibility in
  implementations.
• Do use consistent communication and training
  themes worldwide.

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Donts of Global Compensation

• Dont design the plan centrally and dictate to
  local offices.
• Dont create a similar framework for jobs with
  different responsibilities.
• Dont require consistency on every performance
  measure within the incentive plan.
• Dont assume cultural differences can be managed
  through the incentive plan.
• Dont proceed without the support of senior sales
  executives worldwide.

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Preparing U.S. Personnel for Foreign Assignments

• Overcoming Reluctance to Accept a
• Foreign Assignment
• Reducing the Rate of Early Returns
• Successful Expatriate Repatriation

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Cultural Skills

• Communicate respect and interest for
• people and their culture.
• Tolerate ambiguity and cope with cultural
• differences.
• Display empathy by understanding needs
• and differences.
• Be nonjudgmental by not judging others
• by your value standards.
• Recognize and control SRC as an
• influence.
• Laugh things off when things do not
• work as planned.

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Colgate-Palmolive Fast Track

• Two Years-Rotate Through - Finance -
  Manufacturing - Marketing - Market System ?
  Ad Agency ? Marketing Research ?
  Product Management
• Seven Months in Sales
• Trip with Company Mentor to Foreign Subsidiary
• upon Completion of Two Years.
• Foreign Posting - not Paris but Brazil, Zambia
  or some third world
• Second Foreign Posting Possible
• Return to Domestic Market

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