The Impact of Host-Country Supervisor Participation in Cross-Cultural Training on Expatriate Subordinate Outcomes

Abstract

Using signaling theory (Spence, 1973) and leader-member exchange (LMX) theory (Dansereau et al., 1975), this study examines the effects of the participation of both host-country supervisors and expatriate subordinates in the same cross-cultural training on expatriate subordinates’ outcomes abroad. We propose that host-country supervisor participation in training sends a favorable signal and improves the quality of the host-country supervisor–expatriate subordinate relationship and interactions, thereby leading to improved expatriate subordinate outcomes. Host-country supervisor and expatriate subordinate dyads from a variety of countries took part in a web-based cross-cultural training before or shortly after arriving in the United States. Results indicate that the participation of both host-country supervisors and expatriate subordinates in the same cross-cultural training significantly impacts expatriates’ cross-cultural adjustment and job performance and that these benefits are conferred through increased LMX quality. The recognition and implementation of cross-cultural training is critical for organizations to evolve, compete, and succeed in a global context. This study is one of the first to empirically examine the role that providing both host-country supervisors and expatriate subordinates the same cross-cultural training can have in improving expatriates’ work-related outcomes. It is also one of the first to examine the role of LMX theory in these outcomes.