xinhui

this article is as good as any.

Managing Chinese Returnees
By Ames Gross and Andrew Connor
October 2007
Published in Mobility Magazine



Introduction

Every year, over 100,000 Chinese students leave China to study overseas. But unlike their earlier counterparts, many recent overseas-educated Chinese graduates have returned. Indeed, the number of returnees has increased drastically over the past few years. From only around 6,000 per year in 1995, the number had soared to over 40,000 in 2006.

Many returnees are attracted by China’s abundant economic and business opportunities. But a host of other inter-related factors are also at play. These include family ties, increased political stability, improved housing and rising salaries. They also include favorable government policies and incentives, and even competition for their services from the Chinese private sector and foreign corporations.

Returnees are known in Chinese as hai gui, which literally means “sea turtles.” The pronunciation also suggests the Chinese phrase for sea turtles returning to shore again after leaving to grow up in the sea.

Human resource specialists predict that within the next few years, about a quarter of the managers working for multinationals in China will be Chinese returnees. These returnees will be armed with experience in Western and other developed overseas markets.

Even though these returnees have valuable contributions to make, managing them often requires a different set of approaches and outlooks. The first section of this article will examine the main issues affecting returnees, and what HR specialists in foreign companies can do to address them. The second section will examine some of the difficulties returnees face when they return to China.

Section I
(a) Managing Expectations

Even though returnees’ expectations have moderated somewhat over the years, some returnees still return with high expectations about pay (and other monetary incentives as well as rank/title). Indeed, some foreign CEOs or General Managers have noted that returnees’ expectations sometimes exceed their actual abilities and skills.

Other HR specialists in foreign companies observed that returnees often return with the perception that that an overseas degree will put them in superior positions as compared to locally trained graduates. One HR specialist noted that returnees have invested much time and money, and they “expect to receive high remuneration and fast promotion for their investments.”

In managing returnees’ expectations, there are actually few further steps for HR managers in foreign companies to take. The greater availability of returnees means that employers have an increasingly larger pool of prospective employees to choose from. Moreover, market principles will dictate pay and other monetary incentives.

In fact, Chinese websites (such as 海归网-海归网 精英四海æ�¥å½’ and º£¹é¾«Ó¢Íø) are awash with information about how returnees must adjust their expectations. The information comes not just from HR specialists in China, but also from returnees themselves. Indeed, some returnees are able to size up the market quickly and moderate their expectations accordingly. They are increasingly aware that employee compensation is based on their value and what they can bring to the job rather than on the background of the incumbent. Returnees with limited overseas experience also quickly understand that the jobs for which they are qualified are normally priced at local market rates.

Just a few years ago, some foreign companies were offering Chinese returnees higher compensation packages than locals. And some continue to do so. But there have been many cases in which higher returnee packages had not led to commensurate results or performance. Hence, companies now realize the need to pay for true competency rather than merely an overseas education.

(b) Wage Differentials with Locals

In most cases, returnees command higher compensation packages as compared to their local counterparts. This is mainly due to the skills, overseas experience and language advantage of the returnees.

The pay gap between returnees and locals can be a cause of resentment for locals with similar qualifications but no overseas experience. This is especially so for Chinese managers who have successfully made their way up to management positions without venturing overseas. In extreme cases of envy, these local managers might even try to make things difficult for returnees at the workplace.

To tackle the problem of resentment, it is important for HR managers to set clear career paths for everyone within the organization. It is also essential for HR managers to stress the contributions made by each individual in the company. In addition, the contributions made by returnees must appear to be tangible and constructive. According to some HR managers in China, sometimes it is wise to initially put returnees in positions where their contributions might be most evident. These include positions where strong language, cross-cultural, strategic planning, managerial and problems-solving skills are required.

(c) Adjustments at Work and Relations with Co-Workers

A common challenge for returnees in the workplace is overcoming a sense of superiority due to perceptions of their overseas background and experience. Some HR managers said that sense of superiority might sometimes impact the returnees’ ability to get along and cooperate with co-workers. At times, it might even lead to resentment and tension in the workplace.

Another challenge lies in the different mindsets and approaches towards work adopted by returnees. These different approaches might again be sources of friction with co-workers.

According to one returnee, he found it difficult to deal with co-workers who were generally happy with a lower standard of work. He also found it frustrating when told by colleagues that this or that international norm need not be applied, as “this is China.” Another returnee noted that insisting on higher standards is a constant struggle.

Yet another challenge cited by HR managers is the straightforward style preferred by returnees. Several returnees admitted that they sometimes get impatient with fellow co-workers who speak or write in a roundabout way. As one returnee pointed out, he prefers people to say what they mean, rather than begin a conversation with preambles such as “I may not understand the issue very well, but I will humbly try to give you my perspective.” Many local Chinese prefer the roundabout way, as it avoids confrontation, particularly if negative comments are involved. Chinese returnees often find such talk needless and frustrating.

While returnees are usually motivated and keen to contribute to the firms they work for, some may not be used to the heavy emphasis on group culture found in many Chinese workplaces. One returnee said he was accustomed to the clear delineation between work and leisure when he was working in the United States. But when he returned to China, he discovered that the delineation is not as clear-cut, especially when it comes to working over-time and on weekends.

Furthermore, returnees are also concerned as to how their colleagues and co-workers perceive them. According to one survey, respect and responsibility were said to be the two main concerns of returnees. Returnees are also generally keen to be seen as purveyors of advanced techniques, managerial skills, ethical business practices, and understanding of international norms.

From the perspective of HR managers, some companies, whether local or foreign, are generally not interested in having one or two high-fliers, but a core of strong team players. So managers have to tread a delicate line between allowing returnees the scope to do what they have been hired for, and ensuring a relatively resentment-free and tension-free workplace.

While HR managers should do their best to reconcile employee expectations, it is natural for them to harbor second thoughts if there are concerns about the attitude of certain returnees. On the other hand, with more returnees coming back to China to seek employment, many are also increasingly prepared to adjust their mindsets.

Foreign companies should also be prepared for the possibility that some returnees may not be able to produce results immediately. This is especially so for returnees lacking knowledge and local network support after being away from the country for several years.

(d) Retaining Returnees

Retaining returnees is not fundamentally different from retaining local Chinese employees. Key tools include a good compensation package, a clear path for career advancement, opportunities for ongoing education and training, and creating a good boss/employee relationship.

In the case of returnees, it is particularly helpful to provide creative challenges, and to give them the sense that they are part of an important project.

Section II
Lifestyle and Other Readjustments

After several years away from their native country, many returnees are initially happy to be home. But for some of them, a reverse cultural shock begins to set in after the honeymoon period. Many said they needed time to adjust to living in China. Adjustments range from the smaller living spaces and the pollution, to the noise and traffic jams found in most large Chinese cities.

One returnee noted that, given the massive traffic jams, riding a bicycle is sometimes quicker than taking a taxi. Another returnee said she missed the clear blue skies overseas, while her returnee husband said he missed the thrill of driving at 100 miles per hour in Germany.

One returnee said he never realized how comfortable he was overseas until he narrowly missed being run down by a bicycle cart piled high with sacks of rice on the streets of Beijing. Other returnees said they missed the wide-open lawns and greenery that they had become accustomed to overseas.

Generally, the area cited by returnees as taking the longest time to readjust to is the difference in value systems between China and Western countries. This includes humanistic values and respect for the law. The bureaucratic nature of getting things done in China is also typically difficult to adjust to.

But after the initial months of adjustment, returnees usually have little difficulty settling down in China. After all, most are returning to large cities like Beijing and Shanghai, which are no longer seen as hardship postings. Moreover, with the increase in creature comforts in these large Chinese cities, some returnees can afford to live in both style and comfort.

Cultural, Language and Societal Readjustments

In terms of language, there is usually no problem for returnees. But this may not be the case for their school going children. But since children pick up language fairly quickly, it hardly emerges as a problem in the long run. An obvious issue would be whether returnees decide to send their children to public or private schools, or even prestigious international schools. But the latter is only possible if the returnees are back in China on a high and generous compensation package.

Some returnees said they still need time to get used to the generally subtle language used by fellow Chinese in everyday social settings. A returnee recounted how he once complimented a girl for wearing a flattering red sweater. The girl replied by saying that she did not really like the quality of the sweater and found the color a little too dull. Surprised, he responded: “if you disliked it so much, then why did you buy the sweater?” The returnee’s comment led to an awkward silence. Later, the returnee realized that this was the modest Chinese way of accepting compliments. Having been overseas for several years, he was more accustomed to people saying “thank you” when compliments were offered.

A peculiar problem faced by single female returnees is in the difficulty in finding dates and marriageable partners. This is partly because by the time many female returnees return to China, they are viewed as “old” by Chinese standards. In China, most women marry in their early to mid-20s, or at the latest, in their late-20s. But the greatest stumbling block to female returnees finding partners is their outstanding educational and professional qualifications. Many Chinese men prefer to marry women who have lower qualifications than themselves. Oftentimes, the strong credentials of the female returnees are seen as obstacles and deterrents socially.

Conclusion

Foreign companies certainly need to study a wide spectrum of issues closely when hiring Chinese returnees. However, returnees too, have come to the realization that they have to be realistic about their expectations when they return to work in China. Indeed, many have chosen to moderate their expectations by being flexible and keeping open minds.

China - Managing Chinese Returnees

xinhui

Is that the "Pebbles Of Sand" approach that I've read about?

and other dark side too.



90% of Chinese college graduates finds it difficult to find jobs

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2007-02-17 09:45:55

Chinanews, Beijing, February 17 (written by Zhou Zhaojun) – According to the Report on the Employment Expectations of College Graduates 2007, 96% of college graduates feel it's hard for them to find jobs. Some 67% of them don't feel optimistic about their future, while another 29% even “despair of it”.

The report is based on a survey by 800HR.com and several famous colleges in China.

There are only 4% of students who think it is easy to find a good job.

There will be 4.95 million college graduates this year, 820 thousand more than in 2006. The Chinese government claims that it is ready to launch a series of services to help them find satisfactory jobs. Colleges and universities nationwide will set up special network to provide information to the graduates, particularly to those who graduate from non-renowned or private universities. Handicapped graduates and graduates from fields of study not in brisk demand will get special support, too.

TopHatter

WOW. Suddenly I feel like a "sea turtle" myself, that article might as well have been interviewing me.

Holy smokes, this one hit me right between the eyes. I think my boss might be from the PRC because he doesn't have any concept of a Work / Life balance.

xinhui

LOL,

I have a similar experience when I was in Taiwan, I was shock to see how young everyone is during my first visit, especially those in mid level positions. some of the directors I worked are in their early 30s. it should not be a surprise considered how young the population is Asia, I guess. In the US, I have to deal with boomers a lot.

As for OT, those guys never stop working, I swore. I visited a friend who returned back to HongKong to working a very large MIC, she also picked this bad habit of working 24/7 too. Yeah, she is going to die young.

Going back to the point of copying, talking to folks in Greater China (HK, PRC, TW), they feel that the world is their oyster for the taking, and too much of a drive IS A BAD thing. fraud and other bad IP violations are expected. I really don't think that is a government policy, but lack of law and other regulations only made the mater worst.

HKDan

Lots of grads here can't find work because they hold diplomas that are essentially useless and indicate no level of competence or skills. China is a country that values education, but has very serious issues in the application of those values. High School students who are successful in the dreaded "gao kao" or university entrance exams are able to relax, knowing that once in the door their degrees are virtually guaranteed. My boss recently taught a course at Zhejiang University(considered a good school) and was amazed at practices that go on there. Students who are caught plagarizing are given the chance to redo their assignments. Students who dont turn in work are given low passing marks instead of being failed. Its no wonder that they have a hard time finding work after graduation. Even more shameful are the things that happen at lower levels of education. There are tales(I dont honestly know how true) of rising illiteracy, large numbers of rural children not attending school and also children of migrant workers being denied access to school(I am aware that there are some schools for them, but apparently few). My nephew is a high school student right now. he claims that at school they dont learn anything, they just prepare to take tests. Last summer he went to a month long English camp, at the end of it he wasn't able to engage in small talk in English, but boy could he do some damage to a written English test. If China is looking for a good place to spend some of its cash, a large investment in universal education might be a good place to start.

xinhui

The same point as made against other Asian education system as well, especially that of Japan. HKDan, I agree with you 100% on that. Been making similar suggestions before.


and other things, such as value technical/vocational trainings, as not everyone's kid can be lawyers and doctors.


Wen said education spending would this year rise 45 percent, the health budget would go up 25 percent and funding for social security would jump 19.8 percent.

Those rises were larger than the 17.6-percent increase in the military budget the government announced on Tuesday.


the 45 % increase is not good enough, in light of the fact most of the funding will not make it to the migrate workers (as you noted already)

HKDan

The school I work at(international school for the children of expat executives) is currently involved in a fundraising project to pay school tuition for young girls in rural Jiangxi. The cost of a years tuition is less that I can get away with spending on a night out with the Mrs., but 20 or 30 USD is keeping plenty of children out of school. That just isn't right in a country with aspirations like China has.

Something that I find very interesting is that many people in the new urban middle and upper class here are either unaware or choose to ignore the fact that the bulk of China's population is still very poor. Many of my wife's friends who live in new high rise apartments and drive new cars are apparently convinced that everyone in China lives the same way they do. Some of them completely deny that they are well off, saying, "everyone lives like this."

xinhui

you are a good man!

HKDan

I must admit though that our motives are not as pure as might appear at a first glance. Getting our students into good US universities these days often depends as much on what the student has done outside of the classroom as in it. A high SAT is no longer enough to get in a top school. Schools want the whole package and that includes extracurricular activities(sports, model UN, debate team), and increasingly volunteer work. This is something that often really confuses Asian parents, but ultimately makes all the difference in the world when applying for schools.

Having said that, I feel like a better person when I spend more time doing things like that and less time hanging out at the bar with my low life friends.

xinhui

Petty crazy, I know. For example, during the ice storm two months ago which 100 of million Chinese were affected, yet the headline of major newspaper in HongKong was about the sex scandal. However, an argument can be made that when a “civil space” grow large enough, some folks can choice not to involve themselves against this/that [fillin the blank] imperial power or shutdown the TV during Bush’s state-of-union address which is on every channel and I don’t have cable.



It is human nature, I guess.