Wednesday, August 29, 2012

International Itinerants: a New Breed of Expatriates?

Traditionally, expatriate managers have been treated from the organization?s perspective. However, as pointed out in one of my older blog posts, expatriation is a broad term that allows for several further classifications. For example, based on the locus of the transfer initiative ?traditional? corporation-assigned expatriates can be complemented by self-initiated expatriates. Although implying a wide range of international experiences, this classification still applies to a more conventional framework of employment where the individual?s career is meant to be fixed with one, or very few, employers. Hence, a company sends an employee on an international assignment at least with the prospect of successful repatriation and further career development within the company, while self-initiated expats choose to relocate to a foreign country and start building their career, hired under a local, host-county contract. Both scenarios implicitly assume some stability and career progression within one organization. However, in the past few decades the traditional career path has been changing, and by now the forces of globalization, reorganization and outsourcing have transformed businesses, increased competitive pressures and decisively shifted one?s career development responsibility from employers to individual employees. Today, one?s successful career is a matter of personal initiative and is quite likely to go beyond one organization.

Based on these notions, researchers (Banai & Harry, 2004; and Shaydulova & Banai, 2007) have introduced the term ?international itinerants?, to classify independent expatriates that are moving from place to place to develop an international career and not planning to go ?home?. In other words, contrary to the traditional path of progressing within one organization, these managers tend to build their professional career with multiple employers, meanwhile changing destinations and living the expatriate lifestyle. Banai and Harry (2004, pg. 100) defined them as ?professional managers who over their careers are employed for their ability, by at least two business organizations that are not related to each other, in at least two different foreign countries.?

International itinerants can be called a new breed of expatriates, suggesting a lower commitment to the employing organization, as by definition, international itinerants stay with one company for only a specific period of time and leave their organization in pursuit of a new job. An interesting question that arises here is whether the differences with traditional expatriates are due to personality characteristics (e.g. commitment; being more or less adventurous), or are a matter of opportunities and circumstances (e.g. no growth possibilities in the current company)?

The most recent exploratory study of international itinerants (Shaydulova & Banai, 2007) suggests that there are not many differences between international itinerants and traditional expatriates. The data of 138 respondents indicated that international itinerants have the same levels of organizational commitment, locus of control (belief about how much control one has over his/hers life), and instrumentality (belief that one?s efforts will pay off) as traditional expatriates. While this suggests the need to further explore possible differences based on stable personality characteristics (e.g. openness to change, adventurism), the authors propose that the lack of differences may indicate the important role of opportunities and circumstances.

Indeed, Banai and Harry?s (2004) primary description of international itinerants, among other career explanations such as being novelty seekers or possessing a unique expertise that can be transferred across cultures and organizations, includes the path of ?failed expatriates?. Specifically, the researchers argue that many of the international itinerants were originally employed by an international organization, and decided to remain abroad and venture on their own due to an unsuccessful repatriation. Based on my own research I believe that many employees will agree that repatriation may be even harder than the initial move abroad, and, contrary to expectations, overseas assignments may often have negative effects on one?s career. Indeed, employers often fail to plan an expatriate?s career path upon return home, and do not manage to make use of the new knowledge gained abroad. Moreover, the lack of assistance in re-adjusting to a changed work environment upon return may negatively influence the repatriate?s willingness to re-integrate into the home organization. As a result, foreseeing such difficulties and disappointments or experiencing them shortly upon return may lead expatriates to decide to leave the organization and try their luck in the already familiar host country or even another new destination.

Shaydulova and Banai (2007) note that if indeed a choice between staying with or leaving the initial employer is a matter of circumstance, there are some important managerial implications to account for. The current employer has the power to influence the individual?s choice in favor of the organization. Specifically, organizations can ensure more efficient repatriation, by planning it well ahead of the actual return home. Practically, companies can provide repatriation training, mentoring; they can also develop a clear career plan and ensure the efficient application of repatriates? new knowledge upon their return, which my own research? has shown to benefit not only the organization but also the individual.

A shift from keeping expatriates from becoming international itinerants to the explicit employment of international itinerants entails several advantages/disadvantages and implications to be discussed. This is something I will cover in one of my following posts.

Further reading:

Banai, M. & Harry, W. (2004). Boundaryless Global Careers : The International Itinerants. International Studies of Management and Organization, 34, 3, 96-120.

Shaydulova, A. & Banai, M. (2007). International itinerants and traditional expatriates : different breed or different circumstance? Southern New Hampshire University.

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Source: http://blog.iese.edu/expatriatus/2012/08/28/international-itinerants-a-new-breed-of-expatriates/

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