Category Archives: Nationalization

There is Value in Diversity -Tap into it!

In today’s economy traditional barriers to trade are diminishing and for many companies international trade is essential to their growth and success.

Rapid developments in technology have made new markets accessible; however, consumers continue to prefer to deal with a workforce representative with which they can identify and many organisations just do not understand the huge benefits that a culturally diverse workforce can offer.

The problem is that many managers are culturally deprived; their education, training and upbringing simply did not prepare them to manage the situations they face in today’s multicultural environment, and many organisations do little to provide them with the resources that can assist in developing their knowledge and understanding of cultural preferences.

We all tend to like people who are like us, similarity is comfortable, however, we clearly need to recognise and cater for the differences amongst individual employees – and that requires an understanding of their cultural norms and the operating implications of those behaviours. 

Management training should go far beyond trotting out an equal opportunities or nationalization policy, and provide an opportunity to consider the appropriateness of their actions when working with individual;s and groups from different cultures and value the benefits that the differences bring.

So what do managers actually need to learn? Here are a few ideas:

Non verbal awareness- the more we understand how subtly we communicate, the better we understand others non verbal communications.
Body language, gestures touch, and personal space. A pat on the back may be appropriate for some employees, while others will feel uncomfortable and violated by this gesture.

Managing stereotypes and assumptions. Stereotypes prevent us from thinking differently about individuals and groups and lead us into forming untested and invalid conclusions about those groups. Even when an individual seems to fit a stereotype then it’s still important to check the assumptions that are being applied, managing a diverse workforce requires managers to learn new ways to recognise contributions and this means putting aside some assumptions and looking beyond style and preferences to actual results and outputs.

Cultural differences and the balance of power. In many cultures power is centred at the top of the organisation and the span of control is tight. Therefore, employees expect to be told what to do and are not encouraged to take responsibility. For those people taking initiative represents risk. Managers do need to understand the values that people bring to the workplace, and agree with individuals how they can make a contribution and how that contribution should be recognised.

To make diversity work, difficult decisions must be made  lip service, official statements and policies will not change behaviour! Success can only be measured through fundamental changes to an organisation’s culture traditional attitudes.

Prepare your managers to interact with the work force on their next assignment. Our training and coaching services will provide that insight and understanding to enable them to engage successfully:

Visit us at Http://www.spectrain.co.uk and Http://www.spectrain.com.jo 

How performance can deteriorate in an environment where foreigners are the majority

Amjad’s story

It appeared to be an amazing opportunity at the time, I embraced it fully, enthusiastic, keen to develop, and willing to learn. Working with expatriates was different and presented some challenges, I was certain I could adapt and hoped that the expatriates would also be willing to understand my cultural background and appreciate my individuality.

Now, after three months I am uncomfortable, life is confusing! During the day I feel like a minority among a diverse workforce. I try to comply with rules, procedures, instructions and expectations that are foreign to me. I desperately try to engage with co-workers and managers but I simply don’t seem to be connecting with them successfully. Meanwhile I am drifting.

Outside of work my community is traditional, tribal and conventional, I want to talk about my difficulties at work but nobody seems to understand so I keep quiet.

I feel isolated, a minority, disrespected, misunderstood a foreigner in my own country.

 When I joined the company I had BIG dreams for a brighter and prosperous future for me and the family. I tried to avoid the negativity generated by some of my colleagues in the department which seemed to suggest an US and THEM environment.  I notice that some of my colleagues have stopped respecting the rules imposed by THEM, the expatriates and seem to come and go as they please. I am desperately trying to avoid a conflict with my colleagues and THEM but it’s hard because there are so many expectations that really don’t conform to my cultural norms.  I wish there was more contact time between US and THEM, perhaps that would help bridge this divide.

Previously I worked at a Ministry, I felt safe there and there was never an expectation that I should stay late after 3pm because it was understood that I had family commitments.

The Self-fulfilling Prophecy

I had a meeting with my manager about a computer process that needed to run at 4.30pm daily, he responded by saying “yes but you people won’t be around at 4.30pm because you don’t commit to working any longer than you have to in order to get the job done!” Now I feel stereotyped, demotivated and my willingness to contribute is diminishing quickly.

I am trying not to internalise these feelings because that would mean defeat and helplessness and somewhere in the back of my mind my dream for a better life is still alive……meanwhile, I am drifting……

Expatriates: A familiar story are you failing to engage nationals through avoidance, ignorance, lack of understanding, unethical practice?  Have you considered the consequences?

Are you Scratching Beneath the Surface of Ethical Governance?

Our experience of working with a variety of global organisations from public to private sectors, government, to voluntary organisations in developed and developing countries exposes us to many standards and applications of ethical governance. All organisations recognise that business ethics, values and standards play an important role in supporting sustainable business partnerships and customer interactions, many publicise a corporate code of conduct to provide guidance to staff on how to respond to ethical dilemmas however, very few provide training to develop staff on the meaning and application of codes of conduct. 

 Scandals, corruption & high profile cases are Just the tip of the iceberg

The increase in negative publicity related to high-profile cases may lead us to believe that ethical governance issues have little relevance to day to day issues it only impacts individuals in privileged positions whose work accountabilities and morals have become blurred and whose exposure to public scrutiny is normal. Quite often unethical behaviours can arise as a result of our belief and determination to drive an agenda through that we lose sight of the impact of our behaviour on others. At a time of reorganization, increased competition, uncertainty, budget & service cuts, it is essential that ethical values and standards support front line service delivery.

Does the code of conduct guide me when making an ethical decision?

Publishing a code of business ethics is a significant achievement in itself; getting staff buy in to the potential change of behaviour and how that really impacts service delivery is quite another matter. In today’s multicultural business environment we work alongside individuals with different attitudes and beliefs about what is ethical business practice. Being confronted with a moral choice brings the cultural context of interpretation and the ethical consideration together.  Establishing what constitutes “an ethical dilemma” in different cultures can be difficult without dialogue aimed at understanding what would present an ethical conflict in one culture but not necessarily in another.

While ethical systems, such as those of the West and the Middle East, usually have much in common, there also can be significant areas of conflict when it comes to business practices.

As a result, we may find that business practices acceptable in one place may be unacceptable in another. Examples of areas that are rife with potential ethical conflicts include hiring practices, workers rights, women’s role in the workplace, internet access and child labour.

 The role of “wasta”

There are other important Middle East customs that are based, the cultural traditions of the region. One such way of doing business that is ingrained in the social life and economy of the Middle East is called ‘wasta’, the Arabic word for clout, connections, influence, pull or favouritism. In many Middle Eastern companies, family and social networks can take priority in business decisions, including who gets hired and promoted. While our connections can  also play a role in Western business most Western employers hire, and promote employees based on the individual’s skills and performance. As a result, wasta is likely to be seen by Westerners as, favouritism, or nepotism.

 It’s never too late to consider development of a strategic approach to ethical governance

 Ethical Governance Starts Here – Read on…….

Before your rush into your legal department to seek guidance on policy development consider the purpose of your code of conduct – is it  simply a communication to generate compliance, what words and information should it contain, and will the words and information in your code of conduct generate the behavioural change required?  There is a HUGE GAP between information and understanding information paralysis can overwhelm employees. Your code of conduct is just one element of your strategy it should support and enable ethical decision-making.

Approach the development of your ethical governance strategy in a coordinated manner. Often we allocate responsibility by subject matter, so, our IT department would take responsibility for email abuse, contracts and legal departments may take responsibility for conflicts of interest, our HR departments manage dismissals or disciplinary actions. This often creates an internal communications overload for employees who receive fragmented information from many directions. To ensure clarity set up a focus group of representatives from those departments and keep communications simple. Employees need to know:

  1.  What is it?
  2.  Why is it important?
  3. How does it apply to me?
  4. If I were demonstrating this behaviour what form would it take?

Provide training that is realistic, consistent with culture, policy, and procedure and develops the competencies to respond to the ethical behaviours required in the work that we do every day. Ensure training uses a blended approach and encourages individuals to try out new ideas and take managed risks without fear of blame. Provide constructive feedback if things go wrong to Training presented in the form of a monologue is passive and will not generate the confidence required to transfer skills. 

While I leave you to think through the issues, our next article will focus on identifying leadership competencies required to ensure ethical governance is embedded at the core of what we deliver…..more next time.

Our Ethical Governance Toolkit is available for download here: http://www.spectrain.co.uk/resources/index.php

Nationalization Succession Strategies

Nationalization  policies are an attempt by governments to increase utilization of nationals and reduce reliance on expatriate labour. Whether, Yemenization, Qatarization, or Kuwaitization, all have one thing in common – a quota-based approach to increasing the number of nationals in employment  while reducing the reliance on foreign labour.

Expatriate Exodus

Economic growth in the Arab region over the past decade has exposed a deficiency in the supply of qualified national labour and inadequate approaches to human resource development which necessitates a heavy reliance on the recruitment of expatriates.

The rising unemployment rates amongst nationals and the need to increase the human capital contribution of the national workforce encouraged many Arab governments to embark on labour nationalization policies

Nationals benefitted from job security and large scale layoffs of nationals was never envisaged. In fact organisations juggled with tough nationalization targets and high attrition rates among nationals and therefore retention of nationals was a greater concern.

After years of incredible growth, few could have foreseen the financial crisis that was to hit the Gulf region in 2009. With the business community accustomed to making plans for expansion, the suddenness of the downturn took many by surprise. As oil prices collapsed banks stopped lending, companies across the region found themselves amending business plans and replace growth programs with cost-cutting initiatives and this meant downsizing.

While reluctant to replace expatriate workers with nationals, organisations were forced to comply with the nationalization policies of the region which prevented them from terminating the employment of nationals, except for gross misconduct.

Organisations had little choice but to cut expatriate expertise and with Arab ministries in dogged pursuit of nationalization quotas it became increasingly difficult to obtain visas secure expatriate expertise.

Competency Based Approach to Succession and  Nationalization

The requirement for key competencies shifts during the cycle of a project. The construction phase offers peak employment opportunities for national employees when this phase is completed the organisation demands a competent technically trained workforce to ensure sustainability of the operation.   

Succession planning requires identification of the competencies needed to run the business. As an expatriate expert I am well aware of my responsibility to transfer skills and knowledge that develop host country nationals, and acutely aware of the demographic trends, skill shortages and educational deficiencies that drive nationalization policies, however, this requirement has never been formally communicated to me.

A planned approach to workforce development structures the expectations of all involved, the development of a competent workforce requires both formal structured on the job training and the ability to identify the opportunity to maximize the transfer of that learning during informal interactions as opportunity presents on a daily basis. It is critical that contractors are aware of their responsibility to develop the specific competencies of their national colleagues whether the duration of their employment is limited to the construction phase or expected to contribute to the future of the operation, in both situations that individual is developing transferrable skills. The quota approach to nationalization has encouraged an either/or situation of quota versus quality and often forces the private sector into hiring and developing unsuitable individuals just to meet a target. The provision of a measurable succession and development plan indicating the competency requirements of each role and the provision for developing that competence is essential to ensuring the success of nationalization initiatives.

Read about competency framework development here: http://www.spectrain.co.uk/Managing-Performance

Selecting and Developing an Effective Multi-Cultural Work Group

Building a team of people from different cultural backgrounds presents a variety of challenges. The requirement for identifying  the characteristics of effective performance and appropriate professional behaviours in an international context is equally challenging.

The need for multi-cultural workgroups in international settings is increasing, identifying relevant competencies for successful collaboration requires assessment and  individuals need continuous support to aid their development.

Most international managers and professionals are hired for their technical expertise and experience, rather than their ability to relate, communicate, engage, motivate and work effectively with colleagues and customers from a variety of cultures. Yet, without such behavioural competencies, managers and professionals are unlikely to be effective in transferring their technical knowledge and skills in an unfamiliar international or multi-cultural context.

The International Profiler

The International Profiler is a leading-edge development tool for managers and professionals who work in international and multi-cultural environments.

The International Profiler raises awareness of potential areas for development at individual and team levels, suggests remedial actions, and offers coaching support to work towards behavioural change and more effective collaboration.

 How does it work?

The International Profiler is an online questionnaire and feedback process, currently available in English, French, German and Italian. Over 4,200 managers and professionals  have responded to the questionnaire to date. The online questionnaire takes about 45 minutes to complete, and automatically generates a scored report for the consultant, trained and accredited to administer the International Profiler, deliver its feedback and provide coaching support. Answers to the questions indicate the energy, emphasis and attention an individual brings to 22 different attitude, knowledge and skill dimensions, grouped into 10 key competencies for international and multi-cultural leadership, managerial and professional skills transfer. A standard 4-page report provides the individual’s scores against the normed scores of all International Profile respondents to date, together with an overview of the dimensions, a summary of the individual’s profile, and suggested development themes. A 32-page interpretive report additionally provides textual and pictorial descriptions of each dimension, detailed summaries of high and low scores, and a cultural competency action planner. Separate group profiles and reports can also be generated to indicate overall team strengths and areas for development. Feedback by the accredited consultant is usually given by telephone, and involves an in-depth discussion of the individual’s report in relation to the opportunities and challenges of his or her present or future international or multi-cultural role and responsibilities. The purpose is to identify three or four dimensions which would benefit from better, greater and more frequent energy, emphasis and attention. The feedback enables the subsequent production of a personal development plan.

Who is it for?

The International Profiler is aimed at managers and professionals who need and want to develop adaptive skills for working in an international or multi-cultural environment. Typical candidates include:

  •  Managers involved in expatriation or mobilisation
  •  Local managers with international roles
  •  Managers leading or participating in international teams
  •  Managers integrating operations across national boundaries
  •  Managers operating in multi-cultural workplaces
  •  International project managers
  •  Professionals with international business careers
  •  Specialists on international committees

Business Applications

The International Profiler enables:

  • Better selection of candidates for international or multi-cultural appointments
  •  Reduction of inappropriate appointments
  • Valid measurement of intercultural competencies for preparation and evaluation of training of individuals and teams
  •  Identification of intercultural development needs of individuals or teams at any particular point in time
  • Acceleration of business-critical relationship development

What are the benefits?

The International Profiler offers individuals and organisations the structured development of behavioural competencies for personal and team success in an international or multi-cultural environment. The International Profiler helps individuals:

  • Adapt to a specific new international role
  •  Build an international career
  •  Work more effectively with colleagues in a multi-cultural team
  •  Build productive relationships with new colleagues or partners in unfamiliar cultural contexts
  •  The International Profiler helps organisations:
  •  Reduce the personal and organisational trauma of inappropriate appointments
  • Avoid miscommunication and mistrust in critical multi-cultural business relationships
  •  Audit experience and capabilities for multi-cultural working
  •  Provide individual development plans and team training solutions that are specifically adapted to an international or multi-cultural business environment

For further information on the International Profiler, contact: Alastair Wyllie at Wyllie and Reid Corporate Communications Tel: +44 (0)141 339 3841 Mob: +44 07778 436328