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INSTRUCTOR’S MANUAL

APPLICATIONS IN HUMAN RESOURCE MANAGEMENT 7E

International HR Issues

103. CASE: SELECTING A MANAGER FOR A NIGERIAN FACILITY

I. OVERVIEW:

This case is designed to examine the international dimensions of human resources

administration as they relate to the recruitment and selection process. When analyzing this case,

students often conclude that no one candidate is perfect for the job. Rather, they believe that two of the

three need to be hired for it. The instructor may want to tell students that only one can be hired.

During the class discussion, it becomes apparent that not one of the applicants appears perfect

for the job. The instructor may want to point out that this suggests three possible solution: (1) the firm

needs to do some additional recruiting, i.e., look for alternative candidates that possess all of the needed

skills, (2) conduct a comprehensive job analysis to determine more specifically and completely the skills

needed in order to perform the job of manager of the Nigerian facility, and (3) obtain more

comprehensive information regarding the skills and quali5ca%ons of each of the three applicants.

II. ANSWERS TO CASE QUESTIONS:

1. Would it be best for Victoria Oilfield Equipment to select a manager who is a local

(ci%zen of Nigeria), a home country national (ci%zen of the United States), or a

third-country national (ci%zen of some country other than Nigeria or the United

States)? Why?

There is no one correct answer to this question. Rather, there are pros and cons to each

2. Which of the factors to be considered would favor the selection of Henry Smith?

Juan Lopez? Ma>hew Ohwueme?

There are numerous criteria that could be considered in the selection process. Listed below are

3. Which candidate would you recommend?

No one candidate is clearly superior to the others on all of the criteria. A strong case can be

made for each individual. ultimately, the decision rests on the criteria selected and the value placed on

This teaching note was submitted by Dr. Sam C. Holliday, formerly with the University of Southern

California.

104: CASE: OUTSOURCING JOBS TO INDIA

I. OVERVIEW

It is very common in the publishing industry to outsource some or all editorial work to

third-world countries, particularly to India where the use of spoken and wri>en English is

prevalent. The reason for U.S. publishers outsourcing editorial work to India is the huge

diFeren%al in labor costs with Indian labor costs approximately 25% of those in the U.S.

However, these savings may be overstated if labor productivity and/or the quality of the finished

product is in inferior to that previously produced in the U.S. and requires correc%ons or

reworking. This case illustrates some of the challenges of outsourcing to third-world countries.

II. OBJECTIVES

The purpose of this case is to help students think through both the pros and the cons of

outsourcing to less-developed countries with lower labor costs. In such countries, less

experienced employees may have less familiarity with cultural norms and expectation of U.S.

based authors and publishers.

III. DISCUSSION

The problem here is that the “intui%onal memory” of how particular books were edited and how

communication with authors were handled is often lost when publishers decide to outsource

the entire editorial process to third-world countries for financial reasons. Once that decision is

made, a publisher should invest %me and eFort in bringing the new Indian editors “up to speed”

in terms of cultural expectation and communica%on needs regarding both authors and

publishers. In this particular case, not enough %me and eFort was devoted to these issues.

IV. ANSWERS TO CASE QUESTIONS

1. What are the advantages and disadvantages of publishers or other employers

outsourcing to third world countries?

The advantages are signiticant cost savings in the short run if productivity and work quality are equal to

that provided by employees in the U.S. If not, then the cost advantage could decline or disappear as

reworking of “completed tasks” is required. The disadvantages might include communica%on diCcul%es

2. What changes, if any, would you suggest to the publisher to be>er serve their authors

during the editorial process? Why?

First, the company might consider “insourcing” the editorial process to qualified housewives and

mothers of small children in the U.S. who desire work they can do from home. Although their hourly

wage might be higher, the total labor costs may be similar or lower if the quality of work is higher than

that provided by employees in third-world countries. Editorial work expectation, cultural understanding

I. OVERVIEW

The case begins with Fred in Tokyo wondering whether or not to tell his home oCce in Boston

that he and his family are returning early from their overseas assignment. Fred reLects back on the

events that contributed to his current situation.

The case really begins with Fred receiving a chance to head-up the firm’s Tokyo oCce. Although

Fred’s wife, Jenny, is not so thrilled about the opportunity, Fred thinks he cannot pass it up. Fred and

family leave not long a-er the decision is made, basically by Fred, to accept the position in Tokyo. Fred

and his family receive li>le training and have almost no %me to do any preparation themselves.

Fred made several mistakes early in his assignment:

1. He failed to notice that there was a division between Japanese and foreign workers.

2. He failed to realize that in the first meeting the Japanese felt put on the spot and were not

comfortable giving their honest thoughts in that public situation.

3. Fred took the John Wayne approach to trying to win a new contract, an approach that was

uncomfortable for the Japanese client.

4. Fred again failed to realize what a young Japanese research associate really was trying to say,

and the situation got worse from there.

In addition, Jenny had trouble adjusting to Japan, and now she insisted that they go home.

II. OBJECTIVES

The teaching objective with this case is primarily to help students explore the factors that

facilitate and inhibit successful cross-cultural adjustment for an American expatriate and his spouse and

how their adjustment is related to each other.

III. ANSWERS TO CASE QUESTIONS

1. What factors (individual, work, and organiza%onal) contributed to Fred and Jenny’s

lack of adjustment to Japan?

As was mentioned earlier, Fred made several mistakes:

He failed to notice that there was a division between Japanese and foreign workers. He failed to

realize that in the first meeting the Japanese felt put on the spot and were not comfortable giving their

It is usually easiest to get the class going by asking a student how adjusted they feel Fred is and

what factors have contributed to his adjustment. The student will nearly always state that Fred is not

very adjusted and then begin to list factors. It is often eFec%ve to group the factors on the board into

four categories: individual, work, organiza%onal, and non-work. This will provide a structure to the

This same process should be repeated to analyze Jenny’s adjustment. At this point it is quite

Although logically backwards, it is often useful at this point to discuss the various mistakes Fred

has made because of his lack of understanding of Japan. This provides a nice lead-in to a discussion or

mini-lecture on the underlying process of cross-cultural adjustment. What is culture shock and why does

2. What mistakes did Fred make because of his lack of understanding of Japan?

3. What criteria would be important in selecting employees for overseas assignments?

First it is important for organization to carefully iden%fy the types of skills needed by managers

to successfully complete an overseas assignment. Research on international selection issues indicates

that companies often emphasize technical skills while neglec%ng cultural skills. When international

assignments fail it is usually because expatriates can’t fathom the customs of the new country or

4. What special training and development programs might have been beneficial to Fred

and his family prior to his assignment to Japan?

One of the major reasons for Fred’s lack of success was that his company sent the family to

Japan without any type of training or orientation. Fred and his family only had three weeks to prepare

for the trip. Needless to say most of this %me was spent on packing and other logis%cal ac%vi%es. The

company should have provided both Fred and his family with an orientation program that would provide

knowledge of the customs and culture of Japan. This program could have involved lectures, 5lms and

5. Assume you are Dave Steiner and you receive a call from Fred about his diCcul%es in

Japan. How would you respond? What should be done now?

The real decision may rest with Fred and how he feels about staying in Japan. Fred may see his

option as either staying or leaving. For those students that think Fred should leave, the self-esteem,

career, and family consequences of that decision should be explored and carefully analyzed. For those

Steiner needs to be suppor%ve of Fred’s situation and help him to sort out the advantages and

disadvantages of his situation. Fred would naturally be concerned about this impact of his decision on

CLOSING COMMENTS AND WHAT HAPPENED

It is helpful to summarize the categoriza%on of factors that can facilitate or inhibit cross-cultural

adjustment and the basic underlying process. It is also helpful to point out that given the increased

internationaliza%on of business, the chances of one of the students being sent on an overseas

assignment is quite high. By brieLy summarizing the disparity between what the students suggested

firms do to facilitate cross-cultural adjustment and what most U. S. firms actually do, the point that

students need to protect themselves and take steps to set themselves up for success rather than failure

if they decide to take an overseas assignment can be made quite nicely.

Students are nearly always interested in what really happened. What happened is that Fred was

an innocent abroad but he was no dummy and was reLec%ve. He knew Jenny was at her limit. He knew

an early return would seriously hurt his career and in turn might aFect his relationship with Jenny. He

realized that he had neglected Jenny and that she had been isolated. Fred got a Lash and called Jenny’s

sister and asked her if she would like a free trip to Japan. Jenny’s sister came over to Japan, and Jenny

had a great %me showing her some of the interesting sights in Tokyo and other close areas. Fred got

some budget slack from the home oCce for training for both himself and Jenny. He and Jenny stayed in

Japan. Fred turned the Tokyo oCce around and was made partner in the firm.

This instructor’s note was prepared by J. Stewart Black.

106. CASE: A CLASH OF CULTURES IN THE WORKPLACE: GERMAN MANAGERS IN SOUTH AFRICA

I. INTRODUCTION

This case provides students with the opportunity to discuss cultural issues and its management in a

multinational organiza%on. globalization has resulted in companies doing more and more business in

other countries. Human resource managers need to be able to make a signiticant contribution in helping

their organization be successful from a human resource management perspec%ve. It is often these

issues (lack of cultural sensitivity and awareness that can spell the diFerence between success and

failure). Cultural diversity in the workplace is known to cause conLict, which often results in

misunderstanding, frustra%on and motivational problems. The present case is an adapta%on and

shortened version of an actual situation that took place in South Africa during 2002. The case illustrates

the importance of understanding diFerent cultural assumption, beliefs and values in a multicultural

workplace. It also illustrates the importance of preparing management and employees on cultural

aspects for foreign or international work assignments.

II. QUESTIONS

1. Why are the views of the German managers and associates so diFerent? What are the underlying

cultural values that may be causing the diFerences?

‘Why are views so diFerent’ can be discussed based on the basis of diversity and what makes

Cultural values of the German managers stem from a more Eurocentric/Individualis%c world

view and the associates’ from a more Afrocentric/Collec%vis%c/Communal world view. Dis%nguish

between these two worldviews and its impact in the workplace based on the case. This could also be

2. Do you agree with the GAM’s view that the best preparation for an international assignment is

“learning on the job” instead of formal training programs?

No, because formal training programs prepare the individual for acknowledging the possibility

of value – and behavioral diFerences which need to be understood. It thus creates awareness that

3. What are the human resource problems associated with a mul%national company adop%ng a global

human resource management strategy rather than a local strategy for operation outside its home

base?

A global human resource management strategy might not 5t the local practice or culture.

Recruitments and selection, recognition and reward systems, performance management systems,

communica%on and feedback practices such as indicated in the case might diFer between countries

4. Evaluate Dr. Kriek’s approach and action. Do you agree with the approach she took? Why or Why

not?

Dr. Kriek has extensive experience in the workplace and understood the local culture, as well as

realizing that motivational problems or morale issues are a result of other underlying problems or

challenges. She also realized that cultural issues are complex and contextualized, meaning it diFers

from situation to situation and therefore any assump%on to solve a perceived problem without

The action proposed by Dr. Kriek were based on a holis%c approach and not just a single

interven%on which is necessary when dealing with issues such as motivation and conLict. It was

If she did not understood the local culture and believed in her approach the associates might

not have opened up and might have told her what they thought she wanted to here or could have

5. Evaluate her proposal for the cultural awareness and sensitivity workshop for management. What are

its strengths and weaknesses? What eFect do you think it will have on the managers?

The training program was well designed. objective were stated so every par%cipant knew

Knowledge improvement (Awareness)

Managerial skill of cross-cultural communica%on in diFerent cultural context as

Assis%ng managers to become more culturally intelligent as cultural intelligence is