II #9) What are the leading reasons to staff foreign operations with local personnel? What are the opposing reasons for the polycentric approach of staffing? What controls or precautions would you institute if you were the company CEO?
The leading reason for staffing foreign operations with local personnel is to ensure effective processes from company’s previous culture and structure. Another leading reason is to learn the functions of the foreign operations then compare their progress to that of the headquarters. A complete overview of each local personnel responsibility will be included during the transition to ensure a smooth movement from the headquarters. With that, I would send an HR representative to handle the staffing functions of the foreign company. If the HR was trained at the home company, their evaluation of appropriate workers will benefit my company greatly.
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I would institute operational consultants to document and report their findings to me after an allotted amount of time of the foreign operations. This will indicate what areas the headquarters must strengthen and the best method to achieve those results. An in-depth analysis of functions could find the blunders that are suppressing the foreign company’s progress. We will use all of the information in the reports then travel to check-in with the managing chairman at that location as well. Companies with newly established foreign markets are in need of some checking to create sync between the two no matter the distance. Other issues will be covered as each company progresses, but most of the intentional notes will be for operations, growth, and sustainability. More interest would involve a different investment strategy since the company’s credibility in the foreign atmosphere may require more capital in the beginning.