Exchange of People among International Companies: Problems and Benefits

Abstract

As international companies have expanded throughout the world, they have increasingly served as an important vehicle for the transfer and exchange of people. However, the extent to which these exchanges have led to improved understanding and forging links of friendship and cooperation, or, conversely, to increased suspicion, resentment, and distrust, depends largely on the participants' ability to understand and adapt to each other's perspectives, goals, and cultural backgrounds. This ability can be developed through adequate special training prior to and during the exchanges. However, adequate training of this type has not been provided by international companies to personnel in volved in exchanges. Other factors affecting the outcome of such exchanges include the willingness of the people in volved to integrate into and become active members of the host community and the companies' policies concerning the hiring, training, compensation, and promotion of the host country nationals on the same basis as parent company managers. On the other hand, benefits resulting from these exchanges include training of host country employees and transfer to them of productive management, market ing, and financial knowledge, creation of new jobs, and in creased productive capabilities of the host countries. Espe cially important, given the training and sensitivities of the people involved, is the ability of international company managers to stimulate among people of diverse backgrounds and outlooks a cooperative working relationship.