MGT 448 WK 4 Individual Case Study BY ntta2660 Individual Case Study Molex November 1 lth, 2013 LeoNita Bigos-Erickson MGT 448 week 4 Natalya Enders Molex was established before the 1950s and is still the second largest electronic component manufacturer to date in Chicago and internationally. Molex went global in the late 1960s generating more than 60% of their close to two billion dollar conglomerate from international exporting. As of 2009, they have 45+ manufacturing plants in over 20 countries worldwide. Molex’s goal is to be at home in whatever ountry it has a staked interest.
Molex has had human resources management play a vital role in achieving this goal . Every new hire has the standard handbook, orientation meetings, grading overview, position description with overview, outline of grievances, performance evaluations, and salary acknowledgement letter they must sign off on to verify acceptance or receipt. The initial hires are engineers or 75% of the location managers are United States citizens or foreign who have completed MBA that have the willingness to relocate then adapt to a new culture if necessary.
Training and learning the Molex culture happens in the states and afterwards that (expatriate) foreign national will return to their residential country to adapt the learn company culture to their location management. More management is hired locally than nationally or globally even though there are between 10 to 20 languages spoken at any given time. The board of directors is a global amalgamation of numerous cultures, languages, and business styles creating a diversified senior management team situated at headquarters.
Ethical and legal challenges would encompass knowing; what is appropriate behavior for each given country, such as when to take time and not be aggressive with the host country, shake their hand, colors, and so forth. The oriental culture is extremely respectful, wants to get to know “Who,” they are doing business with and not into making quick rash decisions without examining the data. Molex has a 20 page booklet specifically designed for code of conduct and ethics for all employees. There is also a survey questions to make certain it was read ompletely and understood.
Every employee has a website that addresses the previously stated notation and global compliance programs: Code of Business Conduct and Ethics Code of Ethics for Senior Financial Management Anti-Bribery Corruption Code of Conduct for Suppliers The host country must be economically sound because a manager salaried at $75,000 at hire will be a cost of $250,000 to Molex with training, relocation, and numerous varied expenditures and, this will be in addition to all the location build- out expenditures.
Legally all documentation, contracts, and capital is handled by the Legal Division with a group of lawyers all well versed in the host country regulatory requirements. Molex will take up to two to five years of data analysis before even opening negotiations toa host country. Investopia explains expatriate as, “In addition to salary, businesses sometimes give their expatriate employees benefits such as relocation assistance and a housing allowance.
Living as an expatriate can be exciting and present a great opportunity for career advancement, but it can also be an motionally difficult transition that involves separation from friends and family, and adjusting to an unfamiliar culture and work environment. For Americans working abroad as expatriates, complying with United States income tax regulations is an added challenge and financial burden because the U. S. axes its citizens on income earned abroad” . All of Molex’s expatriate are treated with the same fairness and requirement respect to be given and reciprocated by the host country. They also have housing stipends, relocation expenditures, schooling scholarships, tax eimbursements, and assist with learning the cultural environment, business culture or mindset of the country they will call home for the duration of that contract.
Molex has several technological services and products that have to be customer serviced in the highest standards, quality requirement go beyond industry standards for all production. This gives Molex an industry and competitive advantage for all global and domestic avenues. All potential expatriates are required to be part of the Molex management team prior to inputting an application for consideration. Expatriate management is not only a learning experience but a network of global diversity in all business and human aspects.
Works Cited Global Business Terminology. (2013). Retrieved November 10th, 2013, from Investopedia US: http://www. investopedia. com/terms/e/expatriate. asp Molex Global Compliance & Ethics Program. (2013). Retrieved November 10th, 2013, from molex: http://www. molex. com/molex/financial/financefile. ]sp? ompliance Hill, C. W. (2009). International Business: Competing In The Global Marketplace. New Yorl: McGraw-Hill/lrwin.