Asian Executive Careers: Localization of Expatriate Positions

It has taken many years but today most multinational organizations have come to the remarkable conclusion that Asians are suitable to lead other Asians. The majority of multinational organizations that have not already done so have plans to migrate senior management roles to Asian nationals in the not-too-distant future.  There are 2 main reasons behind this trend. First, is the simple concern about cost. Base compensation levels for locals and expatriates have mainly converged, but expatriates have traditionally been provided with expensive benefits such as executive housing, international schooling for children, annual fly-backs and so on. This "expat package" adds tremendously to the overall cost for expatriate managers. The second benefit Asian managers bring is local knowledge. Business in Asia is more relationship driven that in the west and it reasonable to say that someone who grew up in a local environment will be better off than someone who is new to the country.But, All is Not LostThe enormous depth and quality of Asian workforces and high-growth markets is inspiring global companies to open new operations and expand existing ones. Expatriates are required in many countries where adequate supplies of local managers have yet to be developed to meet high demand. Across Southeast Asia, there are different needs depending on the country. In Singapore, expatriate managers are said to be required in creative industries like media and advertising. In Philippines, the booming phenomenon known as Business Process Outsourcing is responsible for large demand. In Indonesia, it's infrastructure and mining and, in explosively growing Vietnam, expats are required in most sectors.