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SGS - Ihrm Asm 1

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damlhha04
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RMIT International University Vietnam

BUSM 4187- International Human Resource Management – Assignment 1

Subject Code (Name): International Human Resource Mangement

Location and Campus


RMIT Vietnam, HCMC

Number of class group: SGS-G01


(example: SGS-G01)

Student number: Dam Le Hoang Ha - s3979695

Your Lecturer: Dr. Erhan Atay


(example: Dr. Nguyen)

Word Count: 1648 words

0|Page
TABLE OF CONTENT
I. INTRODUCTION...................................................................................................................3

I. BODY......................................................................................................................................3

Question 1....................................................................................................................................3
a. Cultural Distance between Australia and Vietnam..........................................................3
b. Rationale for expatriate selection.....................................................................................5
Question 2....................................................................................................................................7
a. Pre-departure Training.....................................................................................................7
b. Post-arrival Training........................................................................................................9
c. IHRM practices and implications..................................................................................12
III. CONCLUSION........................................................................................................................13

IV. REFERENCE LIST.................................................................................................................13

1|Page
I. INTRODUCTION

Marie, a recent RMIT Australia graduate, has embarked on a five-year assignment as a logistics
executive in Vietnam, selected for her outstanding performance and potential for management.
This marks her first time living abroad, presenting both opportunities and challenges as she
adjusts to a new culture. Marie faces cultural differences that may impact her integration into the
Vietnamese workplace. This analysis will examine these cultural disparities, the reasons for her
expatriate selection, and the training that could better equip her for this international role.

2|Page
II. BODY

Question 1

a. Cultural Distance between Australia and Vietnam

Hofstede’s dimensions highlight significant cultural differences between Australia and Vietnam,

3|Page
Initially, Australia’s higher UAI encourages direct communication, challenges to authority, and
an egalitarian structure, allowing employees to express their opinions freely (Matsumoto 1988).
With a low power distance score of 38, hierarchy in Australian organizations is viewed as
pragmatic, fostering accessibility and ongoing dialogue between managers and employees (Fock
et al. 2013). In contrast, Vietnam’s lower UAI indicates a comfort with ambiguity and a strong
emphasis on hierarchy, where respect for seniority and formality is deeply ingrained (Ng et al.
2011). This cultural dynamic often leads subordinate/ lower-ranking individuals to hesitate in
confronting superiors, creating communication barriers due to hierarchy (Levitt 2022).

Edward T. Hall Theory (1976) further elucidates these distinctions through the concepts of
high-context and low-context communication. In high-context cultures like Vietnam,
communication is nuanced, indirect, and reliant on non-verbal signals, prioritizing relational
harmony and "face-saving" (Oetzel et al. 2012; Shi 2011). Conversely, Wilmott (1994) describes
Australia low-context communication as forthright, verbal, and individualistic, emphasizing
explicit meanings. Consequently, Vietnamese supervisors prefer to provide feedback privately
and respectfully to avoid public criticism (Halub et al. 2012). This cultural gap poses challenges
for Australian expatriates like Marie, who expect candid and prompt feedback in a fast-paced
environment, potentially leading to misunderstandings (Croucher et al. 2012). In group settings,
Marie's straightforwardness may be perceived as confrontational, while her Vietnamese
colleagues' silence might be misinterpreted as disengagement (Shi 2011). Thus, Marie may
struggle to reconcile her proactive communication style with Vietnam’s expectation of deference
to senior colleagues (Merkin et al. 2014).

b. Rationale for expatriate selection

Mendenhall and Oddou’s Expatriate Selection Criteria (1985) emphasize the importance of
Reinforcement Substitution, noting that expatriates who effectively substitute pleasurable
activities from their home culture with comparable ones within the host culture are more likely to
adapt successfully (David 1976; Shaffer et al. 1999). Culinary adaptability is particularly crucial

4|Page
for expatriate acculturation (Mumford 1975), as it fosters connection to the host culture and aids
relationship-building. In Vietnam, meal-sharing is not only a social norm but also a vital
component of business implications, significantly influencing enduring relationships with local
colleagues (Shaffer et al. 1999; Farcas & Goncalves 2017). However, Marie’s strong aversion to
Vietnamese cuisine, which she describes as "horrible," poses a substantial barrier to her
integration. By opting to prepare Western meals at home and rarely dining out (Pires et al. 2006),
she limits her opportunities to engage with Vietnamese culture and people. This avoidance may
hinder her ability to forge meaningful connections with colleagues and grasp the nuances of local
business etiquette, ultimately isolating her and undermining her suitability for the assignment
(Strubler et al. 2011; Bierwiaczonek & Waldzus 2016).

Secondly, Marie’s decision to skip language lessons raises additional concerns about her
effectiveness in her role in Vietnam. According to Mendenhall and Oddou (1985), a willingness
to communicate with local nationals is comparative for successful cross-cultural adaptation and
adjustment (Selmer 2001). Language proficiency not only facilitates effective communication
but also enhances an expatriate’s confidence in interactions, allowing for deeper engagement
with local customs and the use of conversational currency (Anderson 2005). Without the ability
to communicate in Vietnamese, Marie may struggle to navigate social and professional
landscapes, missing opportunities for collaboration, support, and cultural exchange (Feitosa et al.
2014).

Building on Social Learning Theory, close interactions with host nationals, including
coworkers and friends, are essential for expatriates to acquire culturally relevant social skills,
emotional support, and deep-level cultural knowledge in both work and non-work settings (Lea
et al. 2001; Samnani et al. 2012). In this case, Marie’s separation approach (Berry’s
Acculturation model 1994) aligns with social categorization, which highlights the tendency to
categories themselves and others into in-groups and out-groups based on shared attributes (Choy
et al. 2021). Marie’s preference for primarily associating with fellow expatriates exemplifies in-
group favoritism, which may distance her from Vietnamese locals and exacerbate cultural
fatigue, leading to feelings of loneliness and frustration (Yoo 2021). This detachment not only

5|Page
hinders her integration but also risks withdrawal, ultimately jeopardizing her overall
effectiveness and satisfaction in her expatriate role (Hogg 2016; Wu & Ang 2011).

Figure 2. Berry’s Acculturation Model 1994 (Berry 2005)

Question 2

a. Pre-departure Training

Initially, Marie should undergo structured Cultural Orientation Sessions with a professional
trainer from International Orientation Resources prior to her departure. The most advantageous
period for conducting this training is 3-5 weeks before the departure date (Pacheco 2020). If the
program is scheduled too far in advance, participant may lack the necessary engagement,
resulting in a significant risk of forgetting essential information by the time of their relocation
(Wang & Tran 2012). Specifically, E-cross-cultural training (CCT), includes didactic sessions
covering key business implications such as etiquette, work principles, management approaches,

6|Page
feedback techniques, and problem resolution in Vietnamese business culture (Furnham 2019).
Moreover, this factual training imparts profound insights into various dimensions of Vietnamese
culture, encompassing both living and working conditions (Moon et al. 2012), with a wide array
of subjects, such as housing, commerce, healthcare facilities, culture shock, social customs and
the prevailing values within the host nation (Caligiuri et al. 2010). This E-learning provides
assignees with autonomy over their educational journey and instructional methods which offers
greater availability and flexibility to resources (Sorgenfrei & Smolnik 2016). This method
enables learners to assume an active role in their education and permits expatriates to fulfil
training sessions while accommodating their work commitments (Hribernik & Jarc 2013).
Importantly, e-learning is often more economical as organizations aim to optimize their training
expenditures (Reichard & Potgieter 2014).

Cushner and Brislin (1996) believe that cross‐cultural sensitivity (CQ) has proven to be a vital
catalyst for enhancing expatriates’ cross-cultural adjustment (CCA) (Celaya & Swift 2006). As
Black and Mendenhall (1990) contend that pre-expatriation cross-cultural training can present a
range of workplace scenarios, equipping expatriates to adeptly comprehend and address various
situations, including cultural practices, when confronted with challenges in the host country
(Andersen 2019).

7|Page
Thus, Cultural assimilators, particularly employing “The Scenario Method,” provide a
systematic approach to cross-cultural training for expatriates. This technique utilizes
programmed learning to present a diverse array of intercultural situations (Hajro et al. 2017).
Participants engage with scenarios known as ‘critical incidents’ and select a response, which is
then evaluated by an expert (Pesala 2012). Incorporating analytical problem-solving sessions into
this training can bolster employees’ meta-cognitive cultural intelligence (CQ), enhancing their
cognitive and interpersonal competencies for adeptly navigating cross-cultural environments
(Makek & Badhwar 2013; Moon et al. 2012). As CQ encompasses both cognitive and
interpersonal dimensions, pre-departure training can significantly augment an expatriate's overall
CQ (Moris et al. 2002).

Furthermore, pre-expatriation cross-cultural training programs should incorporate experimental


strategies designed to enhance motivational cultural intelligence (CQ) prior to participants’
deployment abroad (Setti et al. 2020; Waxin & Panaccio 2005). This enhancement will enable
employees to better discern cultural cues and adjust their verbal (accent, tone) and non-verbal
(gestures, facial expressions) communication to resonate with the host culture (Kour & Jyoti
2022; Peng et al. 2014; Lin et al. 2012). For instance, utilizing interactive activities and role-
playing simulations allows participants to hone culture-specific competencies that reflect the

8|Page
national and cultural identity of the host country, thereby igniting their curiosity to further
explore that culture (Ozcelik & Paprika 2010). Additionally, pairing participants with peers who
exhibit high motivational CQ can significantly boost their motivation through positive peer
influence (Chen & Chang 2015). This holistic training approach not only equips expatriates with
essential skills but also prepares them for effective integration into their host culture (Moon et al.
2012).

In addition, educational field trips can yield enduring benefits; thus, multiple brief trips to
various subsidiaries can function as effective pre-expatriation (Morin & Talbot 2021). Black and
Mendenhall (1988) highlighted the case of Wave, which established several training initiatives,
including the “pre-move visit to Japan” program in 2017 (Fisher 2020). Through this training,
expatriates can garner firsthand exposure across different subsidiaries and gain insights into the
culture and business environment they will encounter (Japan) (Feitosa et al. 2014; Earley &
Peterson 2017). These short-term experiences enhance expatriates’ adaptability to new
environments and improve their proficiency in executing international assignments when they
are subsequently designated to a foreign subsidiary for an extended duration (Pacheco 2020).
Consequently, these concise visits offer a valuable preview of the subsidiaries (Gai et al. 2021).

b. Post-arrival Training

9|Page
Figure 3. Cultural Shock Theory (Oberg 1960)

Expatriation entails the adjustment of employees to a different country, social structure, and
cultural norms (Pires et al. 2006). This process frequently triggers culture shock, which is
marked by anxiety due to the absence of familiar social signals, culminating in obstacles to
assimilating into new culture (Naeem et al. 2015). Culture shock is acknowledged as a major
source of strain for expatriates due to unfamiliar customs and norms in host nations (Zhou et al.
2008). These stress-related responses can negatively influence both the satisfaction and
performance of expatriates, ultimately affecting the workplace atmosphere (Winkelman 1994).

The Expatriate Adjustment Theory put forth by Black et al. (1991) delineates a multifaceted
framework for international assignees, encompassing three dimensions: work, interaction, and
general adjustment (Claus et al. 2015). However, these components should not be considered in
isolation. Rather, the support provided should be perceived as an integrated system, where
various supportive strategies facilitate the transition process, ultimately leading to improved
expatriate adaptation (Zhang 2012).

Cushner and Brislin (1996) assert that cross-cultural sensitivity (CQ) is widely recognized as a
crucial factor in enhancing expatriates' cross-cultural adjustment (CCA) (Celaya & Swift 2006),
thereby organizations should implement Advanced Cultural Adjustment Support for
expatriates, especially those embarking their initial overseas assignment and commencing a new
position (Lee & Kartika 2014). Post-arrival programs are ideally implemented around 8-12

10 | P a g e
weeks upon assignees’ arrival to the host country, facilitating the opportunity for them to share
their distinct cross-cultural experiences and obstacles to the sessions (Bennett et al. 2000).
Specifically, furnishing organizational social support from both domestic and local managers
and colleagues, along with logistical assistance, is essential during their acclimatization to the
new environment (Okpara & Kabongo 2011). The aim of this cultural adaptation is the thorough
integration of expatriates into the local context (Lee & Sukoco 2010). For example, to enhance
the Interaction Adjustment phase, organizations might arrange networking events and
informal gatherings weekly for expatriates’ sharing to foster connections with local colleagues,
while pairing newcomers with seasoned mentors (Chen et al. 2010), being instrumental in aiding
expatriates’ intercultural adaptation and enhancing their job performance (Peltokorpi & Froese
2012; Peltokorpi 2008).

Regarding the Work Adjustment phase, it underscores the critical role of the 'Buddy System'
as an essential training support mechanism (Ang et al. 2007). The parent organization ought to
appoint a counselor or manager to function as the primary liaison between the company and the
expatriates (Gebregergis et al. 2019). This counselor should engage with expatriates on a weekly
basis to monitor their progress and disseminate pertinent updates (Biggs & Brough 2015; Doki et
al. 2018). Moreover, it is imperative that the counselor establish accessible communication
channels during business hours, enabling expatriates to seek immediate assistance when
encountering difficulties in fulfilling their assigned responsibilities (Puck et al. 2008; Gai et al.
2021). This on-the-ground training for expatriate personnel during their adaptation to the new
host country is expected to alleviate the psychological stressors they may encounter while
integrating into the local culture (Pacheco 2020; Wang & Varma 2019). This comprehensive
approach will assist Marie in adjusting her cognitive processes and adapting their behaviors
throughout the expatriation adjustment phases (Bhatti et al. 2013).

The post-arrival training strategy should include a Local Mentoring System to effectively
support expatriates’ cross-cultural adjustment (Laken et al. 2016). Given that expatriates often
lack the background knowledge to navigate challenges in the host country, mentorship from
experienced subsidiary employees is essential (Reichard & Potgieter 2014). These mentors,

11 | P a g e
familiar with the local market and job-related issues, can help expatriates address various
obstacles (Kawai & Strange 2014). Furthermore, Reentry Counseling can be beneficial, where
repatriates share their experiences and challenges during overseas assignments (Sahin et al.
2014). This helps organizations understand the issues faced by expatriates and refine their
management policies (Earley & Peterson 2017). Companies should invite both repatriates and
prospective expatriates to these sessions, allowing the latter to gain insights from experienced
staff, which can significantly aid their adjustment and communication skills (Morin & Talbot
2021). Such meetings can serve as effective post-arrival seminars, as they can be held on
company premises, providing context-specific advice and know-how, situated within the
framework of the organization and its management functions (Fisher 2020; Feitosa et al. 2014).

c. IHRM practices and implications

Although Marie's company has established some foundational practices, there are numerous
opportunities for enhancement to better align with IHRM best practices. By refining training and
development initiatives, creating mentorship frameworks, and instituting ongoing learning and
feedback processes, the organization can more effectively support her during international
assignment (Zhang 2012).

Take Nestlé's success in developing local companies supported by its International Training
Centre near its Swiss headquarters for instance (Nestlé n.d). For over 30 years, the Rive-Reine
Centre has facilitated learning among global managers, promoting interaction with senior
executives. Country managers select participants to ensure diverse representation, with classes
typically including 15-20 nationalities. The Centre offers around 70 courses annually for about
1,700 managers from over 80 countries, primarily taught by experienced Nestlé managers, with a
focus on external representation and industry analysis for those who completed management
training five to ten years prior (Nestlé 2012).

12 | P a g e
Similarly, Bosch’s Junior Managers Program in Europe prepares young managers for future
roles through international assignments in Germany, involving four to six placements over 18 to
24 months, including one abroad (Bosch 2020). Participants engage in departmental tasks,
contributing to daily operations and projects. Throughout the program, they receive mentorship
from upper management and attend associate management seminars, enhancing their technical
skills and building a supportive company-wide network to work in host-nations (Naeem et al.
2015).

III. CONCLUSION

In conclusion, ensuring Marie's successful transition to her role in Vietnam requires a structured
approach to pre-departure and post-arrival training. Pre-departure cultural orientation should be
held three to five weeks prior to her departure to boost her cultural intelligence, employing
methods such as cultural assimilators and scenario-based learning to enhance her problem-
solving abilities. Upon arrival, continuous cultural adjustment support through mentorship,
networking, and organizational resources is crucial for her adjustment and workplace integration.
By implementing these comprehensive strategies, organizations can significantly improve cross-
cultural adjustment for Marie, leading to successful international assignment in Vietnam.

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