Multinational companies often give their personnel overseas assignments and, in some cases, transfer to a number of different countries before bringing them back home. How well do these managers perform? The answer to this question is often greatly influenced by their previous work experiences and the values of society where they have been raised. An excellent contrast is provided by Japanese and American managers.
Japanese managers tend to stay with one company for their entire work career. So when they are transferred overseas, they go to a company affiliate and continue working there until they are transferred to another affiliate or brought home. Their experience are limited in that they only know how their firm works, but the managers also gain a solid understanding of the inner workings of the firm's international operations. American managers, on the other hand, often use their overseas experience as basis for moving to another company that is looking to strengthen its international position.
Another interesting contrast is loyalty to the firm. Many Japanese managers stay with the firm because they believe it is wrong to accept a position with anyone else. They feel a strong bond of commitment to the company. American managers tend to have stronger loyalty to themselves than to the firm, and if a better job comes along they will take it.
A third contrast in styles provided by the job security issue. Japanese managers, in the main, are looked after by the firm. Their job are ensured, their salaries and benefits are guaranteed. American managers, on the other hand, are more likely to be let go if the firm starts running into trouble. As a result, while Japanese managers rely on the firm to take care of them, American managers rely heavily on their own knowledge and skills to ensure their security.
Finally, if business does slow down Japanese firm typically use this time to train their employees and prepare them for the expected economic upturn. In contrast, American firms cut back on training during poor economic times.
These examples help explain why managerial values and perspectives of the Japanese and American are quite different. These examples also help explain why it can be difficult to transfer managers from one of these counties to a subsidiary in the other country. Their values, beliefs, and management styles are often quite different from those of local managers.
