Saturday, November 7, 2009

Language & International HRM

A challenge that many transnationals and multinationals face is that of communication. Geographical spread is an issue compounded by a workforce that operates in remote locations. Mnay MNC's do not give it the attention that it requires much to their despair at a later date...... Language becomes a major impediment to communication when you you have a global workforce. It is the reason why, many organizations adopt a 'Corporate Language' as against their national language and encourage their workforce to communicate in the Corporate language. At Van Oord, much of the work force conversed in Dutch, but the corporate language was English, to allow for an inclusive culture and make communication easier.When you attempt a strategy of having a corportae language you are bringing about change and resistance naturally follows.It is a challenge HR has to grapple with. India's Lakshmi Mittal, the astute business man that he is, has attempted to do this brilliantly and is getting the French to learn English.......! The 2006 acquisition of Arcelor Steel by Mittal Steel instantly created a global steel titan with plants in 26 countries. While the new ArcelorMittal Steel Co. became the world’s largest, it also became one of the world’s most multilingual. At Arcelor Steel, whose business was mostly in Western Europe and Brazil, engineers and managers had a predilection for their company’s French roots, while in Brazil, employees spoke Portuguese with a few French and German phrases. Mittal Steel, meanwhile, had its biggest projects in India and Indonesia and was moving briskly into Eastern Europe. Mittal had already made English its lingua operandi, and no sooner was the merger announced than plans were under way to make English the company’s common language and to extend online and traditional classroom training to those who needed it. In January 2006, as Arcelor’s lawyers wrangled over whether the company could resist Mittal’s acquisition, Mittal was busy expanding its online English language program. By the time the deal was finalized that September, 800 employees globally had registered. The merger created a company of 310,000 employees, but only 10 percent had worked the kind of white-collar jobs where communication across international borders was necessary to encourage innovation and collaboration and share best practices. Knowing English would also make it easier for employees to move within the company regardless of location and would aid in succession planning. The company says less than 15 percent of its employees are native English speakers. In the two-plus years since the company hired Global English, a Brisbane, California-based online English training company, more than 6,000 employees have taken classes. In some locations where English instructors are easily hired, the company provides traditional classroom training. The online courses focus on developing an industry-specific business vocabulary and work on pronunciation, reading, writing and grammar. Global English provides a productivity toolbar for Internet browsers that gives people quick access to English resources. This year, the company attempted to measure the effectiveness of the program. What it found was that 77 percent of the employees said they needed to speak English at least once a week to perform their job, but only 7 percent felt they had a sufficient grasp of the language. Almost all respondents said the Global English program was relevant to their job, and 89 percent have used what they’ve learned in their job to write and read documents and communicate via e-mail, on the phone and in person, Global English found in a survey. Perhaps most important, the company says, is the value placed on learning English by CEO Lakshmi N. Mittal, who told employees in a written statement, "Our business long ago evolved from being local to being global. We need, therefore, a common language to help drive the business forward. Fluent command of English is indeed a priority, and it is a valued asset that may expand your career opportunities." I remember, I once told my office, that 'I do not know what is on the Captain's mind?' This led to a lot of sorrow for me, as it was construed that I had said that the Captain does not have a mind!

No comments: