Companies rely heavily on expatriates to achieve a number of business objectives, such as filling critical skills gaps, transferring technology and corporate culture, launching new endeavors, and developing business relationships. In addition, nearly a quarter (23%) of the survey respondents reported that the primary purpose of their international assignments is to build management expertise.
This year's survey findings identify three major issues responsible for much of the resistance to accepting an overseas assignment:
Family concerns(including children's education, family adjustment, partner resistance, difficult location, cultural adjustment, assignment length and language):
These challenges can be overcome by cross-cultural training and a successful transition to the new culture. Unfortunately, only 21% of the companies surveyed require cross-cultural training for their assignees. Even more ironic is the fact that 77% of companies surveyed said
cross-cultural training has great or high value. Year after year and survey after survey, cross-cultural training is perceived as critical to the success of international assignments and yet many companies do not insist on higher levels of participation in such programs.
Spouse's or partner's career:
When asked to identify the chief reasons for refusing an assignment, concerns about a spouse's or partner's career was cited as the second-highest reason for assignment refusal, behind family concerns. While 82% of employees were accompanied by their spouse or partner on international assignments, an overwhelming majority of these spouses or partners put their own careers and aspirations on hold during their time overseas. Fifty-nine percent of spouses or partners were employed before their significant other accepted an international assignment, a mere 8% were employed during the assignment, the lowest percentage since 2000. This trend may be increasing financial pressures and straining relationships before, during and after the assignment.
Career Aspirations:
International assignments can have wide-ranging effects on a career. However, what those effects are seem to be one of the least understood phenomena of international mobility. Career aspirations were cited third by respondents as a reason for refusing to accept an assignment. This would seem to indicate a negative perception of international assignments on the part of employees.
However, human resources professionals tend to believe international assignments actually have a positive effect on employees' careers. For example, 31% of human resources professionals surveyed reported that an international assignment leads to faster promotion; 27% reported that it makes it easier to obtain a new position in the company; and 26% reported that expatriates change employers more often - commenting that expatriates are attractive recruitment targets because of their international experience.
"The truth probably lies somewhere in the proverbial 'gray area,'" said Schwartz. "That's what's so intriguing. The survey raises several new questions as we continue to explore the myriad opportunities and challenges involved with international assignments."
The survey also found that:
- More women are accepting assignments overseas. Twenty percent of expatriates were female; the historical average is 15%.
- Ten percent of assignments were not completed due to expatriates returning from their assignments prematurely. Asked to name the principal reasons for early returns from assignments, family concerns (32%) topped the list, followed by accepting a new position within the company (23%), early completion of the assignment (14%), career concerns (6%), and cultural adjustment challenges (4%).
- Twenty-four percent of expatriates left their company during an assignment; 28% left within a year of returning.
- Sixty-nine percent of companies said they supported spouses with language training, 36% sponsored work permits and 30% provided education/training assistance.
- Forty-three percent of companies required a cost-benefit analysis to justify the international assignment.
- Twenty-eight percent of respondents were considering outsourcing international assignment management within two years.
- China, India and Russia were the primary emerging destinations-and also were cited as the most challenging locations for expatriates. The following issues were mentioned frequently: housing and living costs; immigration challenges; payroll and employment.
