Host Country National Employees Research Articles

Foreign language proficiency, career behaviors, and turnover‐related outcomes: A social cognitive career theory perspective of host country national employees in foreign subsidiaries

AbstractWhile the majority of employees in foreign subsidiaries are host country nationals (HCNs) who use English as a second language in their work tasks, little research focuses on the impact of English proficiency on their career‐related behaviors and outcomes. This paper applies social cognitive career theory (SCCT) to link HCN employees' English proficiency to their career‐related behaviors and outcomes in two time‐lagged studies in foreign subsidiaries. Study 1 conducted with 542 HCN employees in the Philippines suggests that career environment exploration mediates the positive English proficiency–turnover intention relationship. Study 2 conducted with 493 HCN employees in Japan suggests self‐initiated headhunter contacts to mediate the positive English proficiency–voluntary turnover relationship and job embeddedness moderate the self‐initiated headhunter contact‐turnover relationship.

Here today, gone tomorrow: A mixed-method study on headhunter-intermediated recruitment practices

While unsolicited job offers are the strongest pull factor driving turnover, little is known about headhunters’ candidate contacts and outcomes. Drawing on the unfolding model of voluntary turnover (Lee & Mitchell, 1994) and research on headhunters, this study examines what kind of employees are contacted by headhunters and why some of them leave. Using the case of Japan, where subsidiaries of foreign multinational corporations use extensively headhunters to recruit host country national employees (HCNs), we first conducted interviews with 131 expatriate managers (clients), contingency-based headhunters, and HCN employees (candidates). The findings suggest that headhunters’ contacts were guided by HCNs’ English proficiency, tenure, and previous placement by headhunters. The findings also suggest that headhunters’ contacts can drive up turnover. To further examine the antecedents and outcomes of headhunter contacts, we collected time-lagged survey data from 456 HCN employees in foreign subsidiaries. In addition to confirming our interview findings, the survey findings also suggest that headhunters’ contacts have a positive relationship with HCN employees’ voluntary turnover.

When more is not better: A curvilinear relationship between foreign language proficiency and social categorization

Expatriate host country language proficiency is predominately assumed to have a negative linear relationship with expatriate social categorization – as outgroup members – by host country national (HCN) employees in foreign subsidiaries. Departing from this assumption, we use social identity theory (SIT) and SIT-based sociolinguistics to hypothesize that expatriate host country language proficiency, due to identity threat, has a curvilinear U-shaped relationship with HCNs’ expatriate outgroup categorization: at first, outgroup categorization decreases with increasing expatriates’ language proficiency, but, from a certain point onwards, it increases because “too good” language proficiency violates salient intergroup boundaries between HCNs and expatriates. Due to their key roles in social categorization, we also examine whether HCN allocentrism and uncertainty avoidance moderate the proposed curvilinear relationship. Results from data collected from 1166 HCN employees in 956 foreign subsidiaries in Japan provide support for the main curvilinear relationship and the moderating curvilinear relationship of uncertainty avoidance. Our results suggest that the language-proficient expatriate social categorization relationship is more complex than previous international business research has evoked. Our study contributes to the international business literature by casting doubt on the widely held assumption that expatriate adaptation towards the host country always carries beneficial effects. Our study cautions, in particular, against the common assumption that higher proficiency in the host country language will automatically lead to better relationships with HCNs in foreign subsidiaries.

Host Country National Employees’ Prosocial Behavior toward Expatriates in Foreign Subsidiaries: A Common Ingroup Identity Model Perspective

Social categorization is predominately assumed to have negative effects on the prosocial behavior of host country national (HCN) employees toward expatriates in foreign subsidiaries. Challenging this assumption, I draw on the common ingroup identity model to propose that dual identity – simultaneous identification with membership in a subgroup and in a superordinate group – reduces HCNs’ intergroup biases and facilitates prosocial behavior. More specifically, I hypothesize that HCNs’ organizational identity has a moderating effect on the positive relationship between HCNs’ expatriate outgroup categorization and dual identity, such that this relationship is weaker when organizational identity is low. Furthermore, I hypothesize that dual identity mediates the relationship between expatriate outgroup categorization and two prosocial behaviors: information sharing and affiliative citizenship behavior. Results from the data collected from 1,290 HCN employees in Japan provide support for these hypotheses and the moderated mediation model.

Foreign and domestic company attractiveness to host national employees in Japan: A person–organization fit and image theory perspective

AbstractThis study contributes to research on organizational attractiveness and human resource management (HRM) by drawing on image theory to examine the effect of organizational characteristics (foreign vs. domestic company country‐of‐origin, HRM practices, organizational culture, and work environment) on organizational attractiveness perceptions by host country national (HCN) employees. Drawing on person–organization fit theory, we also examine the moderating effects of HCNs' demographic characters (age and gender), work‐related skills (English proficiency and international experience), and value orientations (individualism and risk aversion) between the relationship of these organizational characteristics and organizational attractiveness. A between‐subject scenario‐based experiment with 800 HCN employees in Japan suggest that not the company country‐of‐origin, but the local adaptation of organizational culture, HRM practices, and work environment influence HCNs' organizational attractiveness perceptions. HCNs' demographic characteristics, work‐related skills, and value orientations had moderating effects between these organizational characteristics and organizational attractiveness perceptions.

Justice Perceptions, Cognitive Trust, and Work Outcomes of Host Country National Employees

In this paper, we develop and test a moderated mediation model of host country national (HCN) employee perceptions of organizational justice and trust in expatriate, and work outcomes in foreign su...

The role of knowledge spillovers and cultural intelligence in enhancing expatriate employees' individual and team creativity

Knowledge sharing is crucial for improving individual and team creativity. Workforce diversity might also be a strategic factor for increasing knowledge resources in dynamic organizations. However, knowledge spillovers between expatriate and local employees may be hampered by cultural differences. This study presents a conceptual model that examines the effect of knowledge spillovers between expatriate employees and host country national employees (HCNs) on expatriate employees' individual and team creativity. This study also examines the moderating effect of expatriate employees' individual cultural intelligence on the relationships between knowledge sharing and expatriate employees' individual and team creativity. The study uses social categorization theory to explain whether knowledge sharing between expatriate and local employees is affected by cultural factors and how this knowledge sharing influences individual and team creativity. Partial Least Squares (PLS) path modeling in SmartPLS 3.2.7 was used to empirically test the proposed hypotheses. The data were collected from 152 expatriate employees working with HCNs in different organizations in Saudi Arabia. The study shows a positive association between expatriate employees' knowledge sharing (with HCNs and other expatriate employees) and individual and team creativity. Moreover, expatriate employees' individual cultural intelligence moderates the relationship between expatriate employees' knowledge sharing with HCNs and individual and team creativity.

Expatriate Managers' Cross-Cultural Motivation and Host Country National Employees' Attitudes

We examined our assumption that expatriate managers' cross-cultural motivation is an important antecedent of host country national employees' organizational identification. We also explored our belief that tertius iungens-oriented coordination (i.e., management behavior that focuses on building trust and cooperation between headquarters and subsidiaries) partially accounts for the impact of expatriate managers' cross-cultural motivation on host country national employees' organizational identification. Results of our analysis of multilevel data from 76 Korean expatriate managers and 228 host country national employees working in Chinese subsidiaries, supported our hypotheses. Theoretical and practical implications are discussed.

Corporate language proficiency in reverse knowledge transfer: A moderated mediation model of shared vision and communication frequency

In this paper, we developed and tested a moderated mediation model of interunit relational characteristics in reverse knowledge transfer. Specifically, by integrating international business research with social identity theory, we hypothesized that shared vision mediates the positive effect between host country national employees’ corporate language proficiency and reverse knowledge transfer. Furthermore, we hypothesized that headquarters-subsidiary communication frequency enhances the relationships between language proficiency and shared vision as well as shared vision and reverse knowledge transfer. We tested these effects on data collected from 574 middle managers leading functional departments of foreign subsidiaries in Japan. Our findings supported these hypotheses.

A Comparative Analysis of Training Method Convergence vs. Divergence in East Asia

This exploratory study examined the nature of convergence versus divergence among perceptions of 440 host country national employees in Thailand, Hong Kong, and PRC China related to widely recognized methods for conducting workforce training. Results revealed differences among five resulting major training method factors. In addition, the Hong Kong and PRC samples showed a more similar pattern, suggesting that shared Chinese ethnicity can have a stronger influence on perceptions of effective training practice than the pull toward convergence from globalization and exposure to Western practices. These results discourage assumptions of universal training method applicability and homogeneity among East Asian countries.

Analysis of Korean expatriate congruence with Chinese labor perceptions on training method importance: implications for global talent management

As Korean multinational firms continue to increase their investment in China in enhancing their productivity through improving talent management and overall global knowledge management efforts, it has become increasingly important to provide effective training for local Chinese workers. Whereas for optimal effectiveness, training should be adapted to the learning approach needs of local recipients, forces within our global context provide convergent and divergent pressures affecting the fit between multinational and host country workforce perceptions on training approach appropriateness. A questionnaire assessing perceptions regarding the importance of various methods for conducting training for Chinese employees in the People's Republic of China (PRC) was completed by 67 Korean expatriates and 202 Chinese host country national employees representing the voice of lower-level Chinese labor (working for both the US and Chinese firms from three major cities in China). Results revealed a significant difference between the Korean expatriates and PRC workers on a majority of the survey measures, particularly those related to training relevance, feedback, supportive climate and transfer of training. However, both Korean expatriates and Chinese employees demonstrated congruence in the two major training dimensions of ‘link to career success’ and ‘learner control’. Implications of these results for Korean and other multinational firms are discussed in the broader context of global talent management and international knowledge management.