Page 102 - DMGT548_GLOBAL_HRM

Unit 5: Recruitment and Selection for International Assignments

Notes
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Case Study IHR Policies at SCA

lthough SCA’s history dates back to a number of 1700th century companies its
present history did not start until 1929 when the company was incorporated as a
Aholding company for some ten forest companies producing sawn goods and
paper pulps in northern Sweden. Today SCA has developed into a global consumer goods
and paper company that develops, produces and markets personal care products, tissues,
packaging solutions, publication papers and solid-wood products with an annual turnover
of 96 385 million SEK. SCA has about 51,000 employees in some 50 countries around the
globe. The workforce is mainly, situated in Sweden, Germany, UK and US. Each of those
countries has approximately 5000–6500 employees.

SCA ensures that host country operations conform both to the country’s status and the
company’s status. Although, the decentralised characteristic of the organisation SCA still
work very closely with other business units around the world. Therefore it is a common
case that employees at different levels of the organisation will meet and interact with
employees from other countries. As a result employees will learn how to do things outside
of their own perspective. SCA provides with a lot of opportunities to go abroad to work
and the employees feel that they can make a difference since it is an environment open for
changes. SCA’s code of conduct is based upon the core values of Respect, Excellence and
Responsibility, which brings together a set of universal standards that indicate what SCA
expects of its businesses and employees regardless of location or background. However,
these standards are not entirely new as they update revise and summarise in one convenient
place many of the policies and principles SCA has remained over several years.
Facilitating Adjustment

The factor of role is not regarded as decisive for work adjustment by Mr. Gatenheim as he
claims that an expatriate manager does not behave any differently in the host-country
than he would in the home-country. The style of leadership is connected to a person’s
personality and is for that reason difficult to change. In addition, it is not expected by the
expatriate to behave in any particular way as long as he/she conforms to the ethical codes
of a country and that he/she appear as an excellent representative of SCA. Role discretion is
not considered of high importance for expatriates during an assignment. However, the
company puts emphasis on expatriate managers to be aware of the fact that employees
from different countries perceive managers differently. Mr. Gatenheim explains that an
expatriate manager whose style of leadership does not correlate with the local circumstances
risks to be replaced. SCA provides the expatriate with the necessary support needed to
facilitate adjustment. However, it is important to have in mind that they do not receive
any other additional support compared to employees in the home-country. Mr. Gatenheim
states that there are no formal support strategies between co-workers and expatriates.
However, SCA develops social networks with the purpose of creating a forum for expatriates
and their families to ventilate and reflect with others in the same situation. The organisation
brings together expatriates from the same nationality or origin in order for them to
remain their familiar social bounds. Although the social support from co-worker is an
important aspect for facilitating adjustment, the company claims that the most important
relationship is the superior co-worker relationship.
Local managers brief the employee so that he/she will have a chance to become familiar
with his/her workplace. The introduction introduces the employee to the organisation,
Contd...

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