Microsoft has completed its purchase of Nokia's mobile phone business for 5.44bn euros…

NOKIA

NEVERDIE

CASE 12.1 Nokia Tackles Expatriate Performance Management

• WEILONG WANG-14393574• ZIYUE OYANG-14462377 • ZHE ZHANG-14330937

Content

Background

Question 1

Question 2

Question 3

Conclusion

Background

1200

Expatriates

5

Categories

Top Manager

Middle Manager

Business Establishers

Customer Project Employees

R&D Project Personnel

1. Is there or can there be such a thing as a standardized, globalized, performance

management system? Why or why not?

Standardized Performance System

Review

Customer Project

Employees

R&D Project Person

nel

Business Establish

er

Middle Manag

er

Top Manag

er

It is hard for the company to come up with standardized performance management system for all the expatriates in different level.

It is possible to come up with standardized performance management system for expatriates who are at the same level in the company.

Globalized Performance System

The company being implemented in more than one country

Salient features of the markets that are served by the company

Three markets : the United States of America, Cambodia, and Kenya Customize the performance management system

It is hard to come up with a standardized, globalized performance management system

Would be applicable is a regional performance management system with standard measurements for expatriates in the same level

2. What would you recommend to Nokia relative to

implementing their performance management system?

Coming up with regional performance management systems

Ensuring that the independence that is enjoyed by middle and top managers is not misused and/ or compromise quality of performance

Implementing the Performance management system alongside remuneration policies

Ensuring that the contracts done with the expatriates are long term and that any breach would attract damages

Tasking an external body with the management of performance management system

Coming Up with Regional Performance Management Systems

The company should come up with systems that measure the

performance of the human resource along the regions that

the company has already created

Ensuring the Independence is Enjoyed by Middle and Top Managers is Not Misused and/ or

Compromise Quality of Performance

This would create a chain of performance management

where the system will become internally audited

almost automatically

Implementing the Performance Management System Alongside Remuneration Policies

This ensures that the motive of the human resource towards

performance is not supervision but the reward of the labor that

is set before.

Ensuring the Contracts Done with the Expatriates are Long-Term and Any Breach would

Attract Damages

Tagging the contract on performance is critical in

ensuring that the system is self motivated.

Tasking an External Body with the Management of Performance Management

System

To ensure that the system is efficient, it is important to

appoint an external professional body which is not interested in the company in

measuring the performance of the human resource.

3. What cultural values seems to accommodate or reject traditional performance

evaluation system?

Traditional Performance Evaluation Systems• Coming up with role & mission statement• Ensuring that there are strategic goals/strategic

plan• Definite results • Indicators • Individual employee objectives• Performance standards for each objective• Employee action plan• Periodic measurement and assessment of status of

each objective/standard• Coaching/training to remediate deficits• Some form of evaluation or assessment done

formally

Ethical Issues that Dissuade Management From Using the Traditional Evaluation MethodsTeam-Work: there was less regard for teamwork in the traditional evaluation methods. This is against the modern performance evaluation which insists on developing the company as a single unit

Separation of objectives: since the company is working as a unit, the objectives should be implemented as a single policy

References list Engle, Allen D, Peter J. Dowing, and Marion Festing. 2008. “State of

Origin: Research in Global Performance Management, A Proposed Research Domain and Emerging Implications.” European Journal of International Management 2(2): 153-167. doi:10.1504/EJIM.2008.017759

Chen, Jie. 2010. “Are ‘Standardized Performance Appraisal Practices’ Really Preferred? A case Study in China.” Chinese Management Studies 4(3): 244-257. doi: 10.1108/17506141011074138

CIPD. 2014. Performance Management: An Overview. Accessed April 28, http://www.cipd.co.uk/hr-resources/factsheets/performance-management-overview.aspx

Llarena, Ed. 2014. Traditional Performance Management - The Theory. Accessed April 28, http://www.citehr.com/470-traditional-performance-management-theory.html

Oberoi, Megga, and Paresh, Rajgarhia. 2013. What Your Performance Management System Needs Most. Access April 26, http://businessjournal.gallup.com/content/161546/performance-management-system-needs.aspx