Tuesday, February 2, 2010

Talent Challenges in China

Once the hiring test is passed, working with Chinese employees presents other challenges.

Fragile Egos. Ba Ling Hou (the generation born in the 1980s) is the first Chinese generation after the introduction of the one-child policy. Growing up as the center of their family, these so-called “little emperors” are generally more self-centered and more individualistic than their parents. They tend to be less political than the older generation of employees and less receptive to hierarchy. However, this generation is more receptive and adaptive to Western style management. Those who gain a foothold in MNCs have oftentimes exceeded their peers in academic achievements and hence expect to win the race for higher pay, position, and title. These young Chinese employees are also smart, outgoing, and want to be independent. However, they did not necessarily learn how to cope with failures, exercise judgment, make decisions, and be a part of the team.

Unrealistic Expectations. Frequently, Chinese employees have high expectations and exhibit an attitude of “I disserve it” without reflection about their skills and abilities. Employees believe that they should be entrusted with interesting and challenging tasks, promoted, and offered better compensation and benefits packages at least on an annual basis. These high expectations are often fueled by open discussion and comparisons of their packages with colleagues, college peers, and friends. However, since status is very important in Chinese circles, a promotion or even a change in title without a change in duties can satisfy Chinese employees more than any other perk. But keep in mind that such promotions can backfire too. As a real life example, a 22 year old employee refused to report to a 25-year old manager with the argument that the manager was too young and did not know much more than the employee. The employee did not see how she could be successfully trained and mentored by a person from the same age group.

Weak Loyalty. In the US, the average length of time an employee stays in a job used to be five to six years. In China, it is two years. It is worst among Western trained and English fluent Chinese professionals who make "hopping around" from one international company to another a sport. Employees view employers as stepping stones to become more marketable in the future. As one applicant explained to me, referring to the question “How long do you envision yourself staying in this company?”,“The relationship between me and the company is give and take, if it works well for both of us, I’ll stay. If the company falls short, then I will need to leave”.

The Glass Ceiling. As much as employees desire to work for international companies, they perceive a glass ceiling in these organizations. Only a talent localization strategy can help eliminate employees’ fear of the “glass ceiling”. To execute it properly, coach-type Expatriates must be hired with the brief to share knowledge and mentor local staff.

What Vacation? The culture of a taking a vacation by Chinese employees is developing but is not there yet. Chinese prefer to take one day or even half-day annual leave on short notice with little consideration to work schedules, deadlines, and priorities as opposed to a vacation well planned in advance (as traditionally done in the West). Interestingly, annual leave is oftentimes used for interviewing at another employer. During my early consulting days, I was told that whenever an HP employee took leave on Tuesday morning; that meant they were interviewing at Microsoft.

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