Cross-Cultural Management Performance Evaluation in the Expatriate Context

Abstract

This research responds to the practical need for an effective appraisal strategy for expatriates that incorporates the unique challenges of cross-cultural management (Audia & Tams, 2002; Bonache, Brewster, & Suutari, 2001). The need for research examining the performance evaluation of expatriates, particularly with regard to their cross-cultural management performance, has been identified in previous research (J. S. Black, Gregersen, Mendenhall, & Stroh, 1999; Triandis, 2001). How raters from the host country with differing cultural perspectives (in particular those who are being managed by the expatriate) can be involved in evaluating performance has also been identified as a research need (Audia & Tams, 2002).

The research attempts to address these needs by answering the research question of ‘how can a cross-cultural management performance framework include self-ratings and ratings by cultural others?’ through three empirical research studies. The research utilises the social constructivist paradigm (Schwandt, 1998) to examine effective evaluation of cross-cultural management performance utilising appropriate performance elements and multiple raters. Although there have been numerous studies identifying predictors for expatriate success (Shaffer, Harrison, Gregersen, Black, & Ferzandi, 2006), studies identifying the unique performance elements needed for effective cross-cultural management in the expatriate context are rare (Fish & Wood, 1997). Research on Australian expatriate managers has reported problems with their performance in the cross-cultural environment (Dawkins, Savery, & Mazzarol, 1995), particularly their cross-cultural management skills, and so Australian expatriate managers are a particular focus of this research.

Study One evaluates the performance appraisal methods of expatriate managers from the perspectives of 51 Australian and Singaporean expatriate managers and Australian human resource professionals, detailing their critical perceptions of fairness and accuracy. Based on semi-structured interviews, the Study proposes more effective performance appraisal practices, focusing on the critical use of feedback from host country national subordinates, and the need for cross-cultural management specific performance criteria. Studies Two and Three explore this proposal further.

Study Two develops a model of cross-cultural management performance evaluation within the expatriate context. The model is grounded in relevant literature and analysis of the results of a focus group and semi-structured interviews with 68 expatriate managers and host country national subordinates from 24 countries. The interview and focus group transcripts were analysed through an inductive three step coding process outlined by Strauss (1987). The Study found that an expatriate’s cross-cultural management performance should be assessed through rating specific elements of cultural awareness, open-mindedness, flexibility, knowledge of the host country business environment, respect for cultural others and their culture, local language ability, task performance and contextual performance in a multiple rater performance appraisal process...