Expatriate Performance Appraisal in U.S. Multinational Firms

Abstract

This exploratorystudy examines empiricallyexpatriate performance appraisal (EPA)practicesforU.S. multinational firmsand assesseshowsuchpracticesrelateto the perceivedaccuracyof EPAs. Froma sampleof U.S.multinationals, theresultssuggestthata balanced set of ratersfromhostandhomecountriesandmorefrequent appraisals relatepositivelyto perceived accuracyof EPAs.Thedatasuggest,however, that most respondentfirms did not follow these practices.In addition, the use of standardized andcustomizedEPAevaluationforms relates negativelyto perceivedEPA accuracy.Implicationsof these exploratory findingsforresearchandpracticearealsodiscussed.Increasingly,expatriatemanagershave been viewed and used as strategic coordinationand controlmechanismsfor multinational organizationin their ever-expandingglobal operations[]. Also, an increase in international assignmentshavebecomean importantway to developfuturegloballeaders *Hal B. Gregersenis Associate Professorof InternationalManagementat the Marriott School of Managementat BrighamYoungUniversity.His researchinterestsincludeglobal leadership, international strategy, international humanresourcemanagement, and corporate cartography. **JulieM. Hite is a second year doctoral student in StrategicManagementat the Eccles Graduate School of Management, University of Utah. Her research interests include entrepreneurial/small businessstrategy,entrepreneurial networks,workplaceflexibility,and strategichumanresourcemanagement. 711 Palgrave Macmillan Journals is collaborating with JSTOR to digitize, preserve, and extend access to Journal of International Business Studies www.jstor.org ® 712 JOURNAL OF INTERNATIONALBUSINESSSTUDIES, FOURTHQUARTER1996 who can navigatetheirfirmseffectivelythroughthe complexwatersof internationalcompetition[Adler1991;Black,Gregersenand Mendenhall1992a]. While past researchhas examinedissues from selection to effectivecrossculturaladjustment, relativelylittle emphasishas been placedon one of the most importantinternational humanresourcemanagementtopics,performanceappraisal. Whethera managerhas been sent overseasto performa certainfunction, developskillsandabilities, or both, expatriate performance appraisalsprovide criticalinformationto the individualand the organizationon the extent to whichstrategicobjectivesarebeingmet [Blacket al. 1992a;Butler,Ferrisand Napier 1991;Dowlingand Schuler1990;Mendenhalland Oddou 1991].The primaryobjectiveof this paper is to explore,both conceptuallyand empirically, the designandcurrentpracticesof expatriateperformance appraisals (EPAs)andtheirrelationto theperceivedaccuracyof the overallEPAsystem. CONCEPTUALFRAMEWORK Whileexpatriatescan playpivotalstrategicrolesduringinternational assignments[Boyacigiller 1990],scholarshavepaidlittletheoretical (e.g.,Gregersen, Black and Hite [1995];Mendenhalland Oddou [1991])and no empirical attention [Black et al. 1992a, 1992b]to expatriateperformanceappraisal systems.As a result,the primarytheoreticalbasisfor expatriateperformance appraisalcomes fromthe literatureon domesticU.S. performanceappraisals (e....

Predicting Expatriate Job Performance for Selection Purposes

“…An example of a contextual criterion would be the general economic climate for an expatriate who needs to sign an important contract with a local contractor. Although contextual criteria were not perceived to be positively related to expatriate performance appraisal accuracy in the study conducted by Gregersen et al (1996), such criteria undoubtedly work to constrain or facilitate the expatriate's performance. It would be prudent for future researchers employing multidimensional operationalizations of expatriate job performance to address this issue as it relates to the performance dimensions at hand.…”

“…Because most studies seem to have employed male American expatriates stationed in Asia, further research should endeavor to include samples that are more diverse so that findings may be generalized across all members of the expatriate population. Finally, Gregersen, Hite, and Black (1996) have pointed to the importance of contextual criteria. These result from the situation in which the expatriate is performing and pertain to factors that are beyond his or her control.…”

The Ethical Dilemma of Expatriates in Emerging Economies: A Liminal Perspective

“…: Miller, 1977, Gregersen et al, 1996Shay and Baack, 2004), liminal situations are characterised by a clear set of features, as we have seen above, that are easily recognised by the actors involved. Given the developmental potential of liminality, we suggest that expatriates would benefit if they were aware of the formal existence of liminality.…”

Trans-nationalisation of a main office in a multinational firm

“…On the other hand, the global integration about International Human Resource Management (IHRM) is also required for a multinational firm at the same time. The trait with which IHRM differs from human resource management (HRM) for a national corporation is coping with the complexity of performing the tune-up across the border through overseas relocation of business modality or management practices for the human resource of two or more countries (e. g., Dowling, 1988;De Chieri & Dowling, 2006;De Cieri et al, 2001;Gregersen & Black, 1996;Morgan, 1986). Franko (1973) has indicated that an executive person's nationality politics in a global corporation changes with the phase of an internationalisation of a company based on the investigation of actual conditions of a European and American company.…”