March - April 2003 Research Highlight Global Talent and Strategic Success: In This Issue1 Global Talent and Strategic the HR Connection Success: the HR Connection 2 Up Close with Susan Cook of Organizations and their leaders result, HR has remained largely Eaton Corporation widely recognize human talent as a tangential in global strategic critical strategic element in global decisions.” 3 Bayer Corporation competitive advantage. Yet, few As a result, many organizations HR Company Profile companies actually link people and have been myopic about talent, using 4 In the News strategy consistently and successfully, financial or other frameworks to make 6 CAHRS Spring Sponsor say Cornell’s John Boudreau, Peter M. HR decisions. In several cases, Meeting Ramstad, Personnel Decisions dominant home market positions International, and Peter J. Dowling of have actually reduced their ability to 6 Federico Castellanos of IBM the University of Canberra. compete effectively worldwide. Executive Guest Lecture Authors of “Global Talentship: Instead of providing a growth 7 CAHRS Executive Briefing Toward a Decision Science platform, home market dominance Connecting Talent to Global can often lead top management to 8 Highly Qualified: Why Strategic Success,” Boudreau and adopt culturally biased decision Aren’t They Being Hired? Ramstad created HC BRidge™, a frameworks. “Without a framework 10 CAHRS Events Calendar framework that helps organizations for connecting talent with strategic link human resource investments and imperatives, the biases and their talent to long-term strategic success; effects often go undetected,” says and Dowling is the author of a top Professor Dowling. Impact textbook in global human resources Talentship, a decision science How elements of strategic success management. The article brings approach that enables companies to (e.g., uniqueness, growth, these two perspectives together. connect talent with strategic profitability) link with talent pools. “Most international organizations objectives, provides a powerful • Sustainable strategic success are challenged to link their human framework for enhancing • Resources and processes talent with their global strategies,” organizational success. • Talent pools and structure says Professor John Boudreau. That’s “Talentship is to HR as finance is Effectiveness because until now, he says, global HR to accounting and marketing is to The effect of HR practices on has tended to focus on sales,” says Ramstad. “Marketing and ability, attitudes, motivation and implementation-oriented tactical finance have shown the power of actions of key talent groups. programs like staffing, task forces and their frameworks for decision making, • Aligned actions oversight committees, supplemented measurement, and management • Human capacity by functional expertise in influence, and the Talentship (which Efficiency compensation, labor relations, provides a similar framework), The resources expended to produce training, and other HR specialties. contrasts with traditional HR, which the HR policies and practices. “Many “Many companies think about focuses on programs and activities, HR organizations concentrate people issues only when it comes to organizational design and service exclusively on efficiency,” says strategy implementation, not strategy delivery.” Boudreau. “It must be embedded formulation, even for major corporate Talentship connects talent to within impact and effectiveness for changes like cross-border mergers and strategic outcome through three maximum value.” acquisitions,” says Boudreau. “As a levers: Assessing Talentship using a four- Continued on Page Seven hrSPECTRUM March - April 2003 P A G E 0 N E www.ilr.cornell.edu/cahrs/ Up Close With... Susan Cook of Eaton Corporation Agent of Change programs, benefits, training and technology, and As Eaton Corporation nears the completion of its people rarely moved within business units to build 10-year transformation program, the $7.2 billion their careers. That wasn’t very enticing to top talent,” manufacturer has repositioned itself as a adds Cook. leading diversified industrial company. “To integrate new companies and Once characterized as a vehicle assimilate their employees quickly and component supplier, Eaton’s business base seamlessly, we standardized planning, has undergone a significant budgeting, supply chain management and transformation and sells its products in HR practices across Eaton,” she says. more than 50 countries. The diversified To manage as one integrated operating industrial manufacturer is a leader in fluid company, the company also introduced the power systems; electrical power quality, Eaton Business System (EBS) as a distribution and control; automotive framework for capturing the benefits of our engine air management and fuel economy; size, strength and scope. This required and intelligent drivetrain systems for fuel Eaton’s business units to use common economy and safety in trucks. Today, the management tools and processes including Susan Cook company classifies its business into four Six Sigma. distinct segments, which are, by size: Fluid Power, HR is still run on a matrix structure: Cook and her Industrial & Commercial Controls, Automotive, staff of 50 HR professionals report directly to CEO and Truck. Alexander Cutler. They focus on compensation, “We’ve shifted the way our company is run benefits, employee/labor relations, executive dramatically,” says Susan Cook, Eaton’s Vice President development, health and safety, and college of Human Resources. Eaton and its 49,500 employees recruitment/relations. In addition, four operating are now managed as an integrated operating company segment HR vice presidents maintain small generalist rather than a collection of separate stand-alone staffs to handle day-to-day local issues supported by businesses. “This enables us to capture benefits of scale, centralized staffing resources. For 2003 and beyond, strength and scope, leverage our size and strength and Eaton continues to set aggressive targets in its pursuit generate higher earnings on similar levels of revenue,” of becoming a premier diversified industrial. “Our goal says Cook, who joined Eaton in 1995. The is at least a 10 percent growth in sales and earnings, transformation involved extensive infusions of new and we’re determined to reduce our fixed capital blood to reshape the company’s product line and intensity and decrease inventory as well,” says Cook. corporate identity. “The overall goal is to accelerate the realignment of To convince investors it was more than an our business and improve profitability by 30 percent.” automotive supplier, Eaton reoriented its offerings She adds that international business and new product through 50 acquisitions and 48 divestitures over the lines, including breakout opportunities that will past decade. “We’ve become a stronger company distinguish Eaton from its competitors, are also aims. through a focus on higher-margin, higher-growth “From our earliest days, when Eaton invented, hand- segments of our markets,” says Cook. However, the manufactured and then sold some of the first truck company’s existing structure and culture made it axles in the industry, it has been a primary tenet of difficult to absorb new acquisitions, says Cook, who business to deliver breakthrough solutions to our has driven much of Eaton’s organizational customers,” says Cook. “Innovative entrepreneurship transformation. “We had thousands of job titles. Eaton continues to drive Eaton in the 21st century.” operations were silos with their own compensation Eaton Corporation, joined CAHRS in 2000; the ‘Up-Close With …’ profiles feature interviews with leaders of CAHRS sponsors. hrSPECTRUM March - April 2003 P A G E T W O www.ilr.cornell.edu/cahrs/ HR Company Profile Bayer Corporation Following a year of transition, the company that management, global job evaluation benefits and other created Bayer aspirin, One-A-Day vitamins and Alka- corporate-wide programs. Payne also serves as the U.S. Seltzer has reorganized itself from a single diversified representative for Bayer’s global HR governance corporation into a management holding company with strategy, ensuring the consistency that is key to an four independent operating companies supported by a organization with over 122,000 employees represented service operation. Headquartered in Pittsburgh, Bayer on every continent around the world. Corporation had sales of $9.5 billion in 2002 and is one “Finding the balance between corporate governance of Fortune magazine’s Most Admired Companies. The and business-specific needs is a fundamental challenge company employs 21,600 people in the United States. It in the new organization,” stated Payne, “and our is a member of the worldwide Bayer Group, a $32 solution is to do more networking and rely on billion international health care and chemicals group collaborative mutual dependence.” The corporate group based in Leverkusen, Germany. also provides consulting and implementation services to Bayer’s four operating companies CropScience, the businesses. “We work closely with the HR heads in Chemicals, HealthCare and Polymers — produce a the businesses,” says Payne. “Many of them are faced broad range of products that help diagnose and treat with deciding whether to use an outside consultant to diseases, purify water, preserve local landmarks, protect manage a specific HR service. Our corporate HR crops, advance automobile safety and durability and professionals are often able to handle the job more improve people’s lives. And, of course, they still make effectively than can an outside consultant.” that wonder drug called aspirin that continues to Payne, who managed a similar reorganization as provide new benefits after more than 100 years. Director of HR at Monsanto before joining Bayer in “Today’s global marketplace demands a flexibility and 1996, believes maintaining the Bayer brand will be speed that we are prepared to meet. Bayer has long been another major HR challenge. “It’s important that our known for outstanding products, often breaking new businesses maintain cohesion when we approach the job ground in its categories, and providing industry-leading market so we aren’t viewed as four different companies.” service as well,” says Pat Payne, Bayer’s vice president of The reorganization has transitioned the structure of human resources. “Our new structure is simply an the company, but Bayer has also undertaken several HR evolution that positions us for long-term growth. We initiatives that are helping to evolve the company’s are now more nimble and better able to rapidly address culture. Two notable initiatives earned national the changing marketplace — wherever and whenever recognition for Bayer: Their multi-faceted diversity the need arises,” Payne continued. program was instrumental in Bayer Corporation Aimed at strengthening core competencies, growth winning the coveted Catalyst Award in 2002; and and performance as well as streamlining operations, Bayer’s approach to work/life balance helped them earn Bayer’s reorganization is the most far-reaching for the a place for the first time on Working Mother magazine’s company to date. And with it comes the challenge of list of Top 100 Companies. Payne notes that the developing a set of truly global HR practices that will commitment to these initiatives has remained steadfast serve the new organization well into the future. “The amid the reorganization. “I believe the HR practices decentralization of Bayer’s HR function created a new that we are instituting will allow these important system of complementary functions based on initiatives to flourish.” community thinking,” said Payne. Bayer’s matrix Payne sees the current reorganization as an inevitable structure calls for HR professionals in each business to step for the company to remain a vital player for years be responsible for their specific policies and procedures, to come. “Bayer people are what has made this a strong day-to-day implementation and recruiting. Payne’s company — and I, for one, look forward to the amazing group provides corporate compensation policy, top products Bayer people will continue to develop.” management recruiting, executive performance Bayer, joined CAHRS in 2003; the ‘Company Profile’ series feature a corporate HR view of new CAHRS sponsors. hrSPECTRUM March - April 2003 P A G E T H R E E www.ilr.cornell.edu/cahrs/ IIn The News James Rundle Senior Extension Associate Moves On – Jim Rundle, ILR Extension Labor Education Coordinator, has been with Cornell for 30 years. At the end of March, he left ILR after 14 years to join Service Employees International Union, Local 1199 in Syracuse, as a union representative. Mr. Rundle’s most recent education workshop entitled “The Employer’s New Rules - Unions and Workplace Change,” was designed to teach union members and local leaders how to build solidarity and gain leverage between contracts to negotiate on-going change. Other programs he taught were: collective bargaining, internal organizing and member mobilization, labor and politics, and union approaches to Employee Involvement James Rundle Programs. Mr. Rundle’s experience includes: Workshops, seminars, and consulting for labor unions on bargaining, grievance handling, internal organizing, strategic planning, and political issues affecting labor. He has published research on the legal status of employee involvement programs, and on employee involvement and union organizing. Mr. Rundle also testified on these issues to the Senate Small Business Committee, and served as a fellow with the Labor Committee Counsel to Senator Edward Kennedy. Rundle worked in the Agricultural School as a technician, received his ILR M.S. in 1989, and then came to the ILR Extension Division as a labor educator. Mary Adie Appointed Program Manager for Office of Executive Education – In February Ms. Adie was chosen for this ILR position and has already begun working on this year’s upcoming education programs. Her career background includes extensive experience in hotel operations, sales, marketing and convention management for Hyatt Hotels Corporation, TMD, an independent hotel management firm in Washington D.C., and several hotel chain franchises, including Sheraton and Holiday Inns. Ms. Adie’s recent position as Executive Director of the International Visitors Council in Kansas City, Missouri, involved developing and executing professional exchanges for foreign visitors participating in the U.S. Department of State’s Mary Adie International Visitors Program. Her work with the State Department was directly tied to U.S. foreign policy objectives, particularly with regard to developing democracies in the Former Soviet Union. Ms. Adie has a B.S. in Hotel, Restaurant, and Travel Administration from the University of Massachusetts, a B.A. in Spanish from Assumption College, and summer study at the International University of Santander in Spain. For more information on the upcoming ILR Executive Education programs please link to http://www.ilr.cornell.edu/extension/execed . Clete Daniel’s Book Selected as Outstanding Scholarly Book for 2002 – “Culture of Misfortune: An Interpretive History of Textile Unionism in the United States,” was published in May 2001 by Cornell University Press, and was selected by Choice Magazine for the award. Dr. Daniel, Professor of American Labor History, has guided the ILR School’s credit internship program as the Director of Off-Campus Credit Programs, since 1989. He is author of numerous articles and several books, including “Bitter Harvest: A History of California Farmworkers, 1870-1941”; “Chicano Workers and the Politics of Fairness: The FEPC in the Southwest, 1941- 1945”; and “The ACLU and the Wagner Act: An Inquiry into the Depression-Era Crisis of American Liberalism.” Clete Daniel Professor Daniel is currently at work on a book-length biography of United Farm Workers founder and president Cesar Chavez. He is a former chair of the Department of Collective Bargaining, Labor Law and Labor History. Daniel also served for ten years as chair of the prize committee for the Phillip Taft Labor History Award; headed the Governor’s Task Force on Agricultural Labor Relations in New York State in 1990-1991; and, from 1985 to 1999, was a member of the editorial board of Labor History. He received his B.A. and M.A. in history from San Jose State University, and his Ph.D. in history from the University of Washington. Fran Blau and Larry Kahn’s Book Selected as Outstanding Scholarly Book for 2002 – “At Home and Abroad: U.S. Labor Market Performance in International Perspective” (New York: Russell Sage Foundation, 2002) has been selected as an outstanding scholarly book for 2002 by Choice Magazine. Both Larry and Fran are ILR Professors and notable authors in their field. Larry Kahn is Chairperson, Department of Labor Economics; Research Fellow at the Center for Economic Studies/Ifo Institute for Economic Research, Munich, Germany; former Visiting Scholar at the Russell Sage Foundation, New York; Fran Blau Larry Kahn and former Visiting Scholar at the Institute of Economics, Academia Sinica, Taipei. He is also former Visiting Scholar at the Office of Labour Market Policy Evaluation, Uppsala, Sweden; former Visiting Fellow, Australian National University; former Professor of Economics and Labor and Industrial Relations, University of Illinois; and hrSPECTRUM March - April 2003 P A G E F O U R www.ilr.cornell.edu/cahrs/ former Vice President, Midwest Economics Association. Larry is currently the Associate Editor for the ILR Review, a Member of the Editorial Board for the Journal of Sports Economics; and Former Member on the Board of Editors for the publication, Industrial Relations. He has published widely in the areas of union impact on labor markets, the economics of sports, and the causes and consequences of international differences in wage-setting institutions. He is the co-author, with Wallace E. Hendricks, of Wage Indexation in the United States: Cola or Uncola. Francine D. Blau, Director of the Institute for Labor Market Policies, is also the Frances Perkins Professor of ILR and Labor Economics. She is also a Research Associate of the National Bureau of Economic Research in Cambridge, Massachusetts, and a Research Fellow of the Center for Economic Studies/Ifo Institute in Munich, Germany. She has served as President of the Industrial Relations Research Association, Vice President of the American Economic Association, and President of the Midwest Economics Association. She is currently on the Advisory Board of the Journal of Economic Perspectives, and was formerly an editor of the Journal of Labor Economics, on the Board of Editors of the American Economic Review, and an Associate Editor of the Journal of Economic Perspectives. She has written extensively on gender issues, wage inequality and international comparisons of labor market outcomes. She is the author of “Equal Pay in the Office,” and coauthor, with Marianne Ferber and Anne Winkler, of “The Economics of Women, Men, and Work” currently in its 4th edition. Nick Salvatore Appointed the Maurice Neufeld Professorship Chair – Dr. Salvatore, also a historian, has an important intellectual kinship with Maurice Neufeld. Maurice was the chair of the search committee that hired Nick when he applied for the position in the spring of 1981, and this makes him particularly suited to being the first occupant of the Neufeld professorship. He holds a joint appointment as a professor of American history in the ILR School and in the American Studies Program, and is an excellent, dedicated teacher and community-oriented member of the ILR School. Outstanding research and scholarship is the primary qualification for this position, along with teaching quality, School and University service, and an Nick Salvatore affinity with the original intent of the chair. Honoring faculty who were founders and/or shapers of the ILR School in its early days and beyond: Maurice Neufeld, along with Jean McKelvey, were the two initial faculty of the School; in fact, they are said to have sketched the school’s initial curriculum on a napkin over lunch. Professor Salvatore has an unusual capacity to analyze and understand a historical period through the life and experiences of an important figure. He is the author of two influential, award-winning books, “Eugene V. Debs: Citizen and Socialist” (1982), which received the Bancroft Prize in History and the John H. Dunning Prize from the American Historical Association, and his second book, “We All Got History: The Memory Books of Amos Webber” (1996), received the New England History Association’s Outstanding Book Prize. His third book is a biography of Reverend C. L. Franklin (1915-1984), who was one of the most influential preachers of his generation in the Afro-Baptist tradition and an important social activist. This book is tentatively titled, “Singing In A Strange Land: The Life and Ministry of C. L. Franklin,” which is likely to be a major scholarly work as were his previous books. Rose Batt Appointed the Alice Cook Professorship of Women and Work Chair – Honoring faculty who were founders/shapers of the ILR School in its early days: Alice Cook was a towering figure of inestimable proportion in the School, at Cornell and beyond. Rose has been appointed the Alice Cook Professor of Women and Work for a five-year term. Outstanding research and scholarship is the primary qualification for chair positions, but teaching quality, School and University service, and an affinity with the original intent of the chair also are factors in these decisions. This chair is designed to nurture faculty research and teaching on women and work, and is for faculty at any career stage. Professor Batt is a Rose Batt distinguished scholar and rising star in the areas of industrial relations and human resource studies. She is co-author of a well-known book, “The New American Workplace” (1994), which examines high-performance work systems cross nationally, and she is conducting a major study of the telecommunications industry with grant support from the Sloan Foundation. A key focus of this research is low-level service employees, who are primarily women and minorities. She has extended this to a study of “call centers” in a variety of industries. Among the topics she is examining are human resource practices (e.g., pay systems), workplace changes (e.g., technology), and work/family issues. Rose has a unique blend of interests, which enables her to integrate ideas from diverse fields and break new ground in her research. She knew and benefited directly from close contact with Professor Alice Cook, has a deep understanding of her legacy, and she is a particularly appropriate first occupant of the Alice Cook professorship. hrSPECTRUM March - April 2003 P A G E F I V E www.ilr.cornell.edu/cahrs/ CAHRS Spring Sponsor Meeting May 7-8, 2003 in Ithaca, NY Act Globally, Act Locally: Balancing Global and Local Needs in HR Systems In a competitive environment increasingly characterized by the effectiveness of these systems within each local operation. global organizations, firms must make decisions regarding where Cornell University HR Professors and CAHRS Sponsor companies responsibility for the development and implementation of HR will present and discuss future challenges of balancing global and systems lies. Global HR systems provide efficiency (reducing the local needs in HR systems. Interactive roundtables will be used to need to create systems in each locale) and integration (similar discuss what companies are doing now to address this issue and what processes across the globe foster better global decision making). we need know to eliminate barriers and create viable solutions. However, such a "one-size-fits-all" approach often runs directly Please note that this meeting will only be 1 day instead of 2. We counter to the needs of operations in countries or regions with will begin with a reception and dinner on the 7th, and a full day of diverse cultures and regulatory environments. This meeting will meetings on the 8th. Please visit our website at: examine how firms are seeking to balance the global/local tradeoff in http://www.ilr.cornell.edu/CAHRS/Spring03.html . ways that maximize efficiency across the globe while also maximizing Inquiries, please contact: Jo Hagin, Executive Staff Assistant CAHRS, ILR, Cornell University 187 Ives Hall, Ithaca, NY 14853-3901 USA Phone: 607-255-9358; Fax: 607-255-4953 Email: jap7@cornell.edu Executive Guest Lecture Federico Castellanos of IBM Vice President of Human Resources for IBM Global Sales & Distribution, Mr. Federico Castellanos visited Cornell University this past April. He is responsible for consolidating human resources support globally across IBM’s sales and distribution organization in the Americas, Asia Pacific and the Europe/Middle East/Africa continents. Federico Castellanos His presentation “Developing Leadership and Culture at IBM,” was Leadership Landscape,” their strategy East/Africa region in IBM’s Paris, well received by the ILR students, and key success factor for building France office. He joined IBM Spain April 8th. He states, “The most executive talent as “300 of IBM’s best in 1979 as a labor law expert, and important cause of stress in today’s leaders appointed as change agents holds a M.S. in Law from the Madrid working place is reality.” The and champions of building Faculty of Law. He is currently the changing modern enterprise provides organizational capability.” Their VP of the Board of Directors of the leading executives and companies general management development European Foundation for with increasing opportunities, model helps them place high Management Development, and a positive and negative, for change. It potentials in key assignments to member of the advisory boards of is hard to keep up, especially in accelerate their development. To Instituto de Empresa, INSEAD, IMD, today’s global environment. develop global leadership they and the London Business School. “Individual change and learning is at encourage their leaders to experiment, network, and explore all If you would like more information regarding thisthe core of sustained cultural change, guest lecture, please contact Dr. Pamela Stepp, and leadership is best developed areas of communication inside and Managing Director, CAHRS, at outside the company. pls8@cornell.edu or via telephone at ‘experientially’.” 607-255-9358. Federico described the “IBM Federico’s previous position was Vice President for the Europe/Middle hrSPECTRUM March - April 2003 P A G E S I X www.ilr.cornell.edu/cahrs/ Global Talent and Strategic Success Continued from Page One dimensional Value-Chain, Culture, industry through cost-cutting, and assessing whether programs are Product and Process matrix, pinpoints sophisticated logistics and inventory affecting talent they target. the process-based issues behind management, integrated databases “Identifying pivotal global talent people questions, and often reveals and computer modeling. Because the pools should precede the new solutions and clarifies leadership talent implications are often development of HR practices and development challenges. worldwide, Wal-Mart finds it measurements, not follow it, and Incorporating a Value-Chain appropriate to manage many processes combining the tools of process approach to competitive advantage, such as advertising and product analysis with talentship makes that Talentship enables companies to placement, globally. Other processes possible,” says Dr. Boudreau. integrate an external perspective on may depend more on local industry and competitive realities considerations, so Wal-Mart treats For more information regarding this research with a hard look at organizational both these processes and their please contact John Boudreau via email:jwb6@cornell.edu, or Tel: (607) 255-7785. resources. Says Boudreau, “It helps supporting talent decisions locally. This article references research from the CAHRS them address the global/local issue in Finally, Talentship is proactive. It Working Paper #02-21, which can be found on a more sophisticated manner.” aims investments in talent areas most our website:http://www.ilr.cornell.edu/cahrs/WPapers.html . Wal-Mart, for example, critical to the organization’s strategic revolutionized the consumer goods success — as opposed to simply CAHRS Executive Briefing Profiling Shell June 26-27, 2003 in London, UK Royal Dutch/Shell Group of Companies will host a one-day briefing on June 27th in London, England at the Millennium Gloucester Hotel London Kensington. The briefing will start with a dinner on the evening of June 26th, hosted at the Shell Centre. Transportation will be arranged from the hotel. Our hosts will be: Sir Philip Watts, Chairman John Hofmeister, Group Director for HR The objective of the day is, through a mixture of challenges from HIV/AIDS in our operations, particu- formal input, and active and informal interchange and larly in Africa, the future of shared HR services in a dialogue, to explain and discuss what HR in Shell world of constant cost pressures, and the essential is doing to deliver world-class quality products and enabler of a world class global HR IT system. We hope services to the businesses, operating in a diverse and you will attend this event. Please inform and encourage complex world. your European colleagues to attend as well. The Chairman of the Royal Dutch/Shell Group of Companies, Sir Philip Watts, will outline the MEETING and HOTEL INFORMATION challenges of the global business environment and Our meeting on June 27 will be held at the impact of these on the Employee Value Proposition for Millennium Gloucester Hotel London Kensington our people. The overall business case for HR that flows located at 4-18 Harrington Gardens in London. A from this, the linkage with sustainable development, block of overnight rooms has been reserved for our and the resulting Group People Strategy will be out- guests. To make a reservation, please contact the hotel lined by John Hofmeister, Group Director for HR. directly at 44 20 7331 6195 and be sure to refer to the Senior HR business leaders and Heads of Global HR group “Shell 2406” for a discounted room rate. Practice, will then present the HR strategies and key NOTE: This block of rooms will be released to the gen- initiatives in their areas. Examples will be given eral public soon, so please be sure to make sure you have from some of the current work being done in the areas your reservation made well in advance. of global attraction, leadership assessment and Please visit our website: development, the ‘engagement’ of supervisory, opera- http://www.ilr.cornell.edu/CAHRS/Shell03.html . tional and customer-facing staff, our response to the Inquiries, please contact: Jo Hagin, Executive Staff Assistant CAHRS, ILR, Cornell University 187 Ives Hall, Ithaca, NY 14853-3901 USA Phone: 607-255-9358; Fax: 607-255-4953 Email: jap7@cornell.edu hrSPECTRUM March - April 2003 P A G E S E V E N www.ilr.cornell.edu/cahrs/ International Students and Job Opportunities Highly Qualified: Why Aren’t They Being Hired? by Bryan Randall Many say that because of the economy it is a good time Despite the uncomplicated hiring process, the many to be a student, but what if you are an international benefits and legality of hiring international students, their student looking for work? And what if you are an job search is quite frustrating and difficult. Many international student looking for experience within the experienced, dedicated and talented individuals go U.S.? With the current economy and uneasy global unnoticed. There are a number of students with large situation, this has been a very challenging year for amounts of HR related experience that are overlooked international students in terms of finding work. Hiring because of visa status. There are currently over 3000 international students is straightforward, and there are international students enrolled at Cornell University. many benefits and pluses often overlooked to employing Over a quarter of ILR graduate students are international international personnel. students with temporary visas. The Bureau of Citizenship For instance, there are no initial additional costs to and Immigration Services, formally known as the hiring international students who already have work Immigration and Naturalization Service, allows employers authorization, most of the paperwork is required by the to hire students who have completed their courses of study, student, and employment approval is possible for graduates or who are within a course of study in a status called for up to six years without a requirement to recruit U.S. ‘optional practical training’ or ‘curricular practical workers for the same position. training’. Summer employment is available as well (please In terms of benefits to your company, many international refer to the Quick Facts box.) Most students with F-1 or students know the HR practices of their home countries, J-1 type Visas are readily eligible for employment. speak more than one language, add to the company’s Graduates available for full-time work, holding H1-B type diversity and are considered very dedicated. Employers often Visas, do require initial paperwork from the company. overlook how flexible and mobile these students are. If you Many international students come to Cornell’s are conducting business in their home country, they can Industrial and Labor Relations (ILR) program because of easily be sent for assignments or positions. its reputation as the leading school of its kind. It is a great STUDENT QUICK FACTS Visa Type Definitions A non-immigrant, student traveling to the U.S. to pursue academic study. Duration 12 months, F-1 paperwork required by the student and the university. A non-immigrant, cultural exchange student, research scholar or professor. Duration 1 to 3 years, J-1 paperwork required by the student and the university. A non-immigrant visa issued to holders of a Bachelor's degree or the equivalent, traveling to the U.S. for H1-B work in a professional position requiring specialized training. Duration up to 6 years, paperwork required by the employer. Visa Status Definitions Optional practical training, work authorization designed to provide opportunities for employment to F-1 and J-1 OPT visas who wish to work in their field of study. During the period of OPT, a student will maintain student visa status since it is considered to be part of the program of study. Curricular practical training, work authorization designed to provide opportunities for employment to CPT F-1 students where the training is considered to be an integral part of the curriculum or academic program; usually internships, co-ops or practicums; a student will maintain student visa status since it is considered to be part of the program of study. Summer Summer employment, work authorization for F-1 and J-1 students during their academic stay. Employment hrSPECTRUM March - April 2003 P A G E E I G H T www.ilr.cornell.edu/cahrs/ chance to study under world-renowned scholars and opportunities for both internships and full-time positions. professors. Many of these students are considered to be the When asking an international student from Canada how best and brightest of their country. They have taken great she felt about getting work experience in the U.S. she risks to enter a new environment, culture and situation, to stated, “If you could compare it to driving a car, it would collect the benefits of a Cornell degree. For many be like hitting all the red lights.” Much of these difficulties international students part of their goals include gaining can be attributed to a lack of information by the recruiters American experience in the field of human resources. and their departments. As many large corporations are multinational and For the past year, the ILR Office of Career Services becoming increasingly global, highly intelligent (OCS) has hired a graduate assistant to assist international international students realize the potential that an students in finding work. There have been many international degree and experience can provide. The workshops, information sessions, and additional support biggest difficulties many international students face are provided to increase their visibility to employers. The overcoming the stereotype some U.S. citizens feel about OCS has also begun working with employers to assist them non-U.S. students. The general stereotype is that an in hiring foreign students. If you are interested in international student’s main goal is using American recruiting an international student or want more universities as a stepping-stone to gain permanent residence information on the benefits of hiring international in the U.S., and are not dedicated to their careers. students, please contact Regina Duffey Moravek, Director Most international students are motivated and of Career Services, at (607) 255-7467, or email: dedicated to their profession, have plans to work for long rmd5@cornell.edu . periods of time in the U.S., and may seek immigration. For more information on the guidelines for hiring international students, Other foreign students are very interested in contributing contact the ILR International Graduate Assistant for OCS, Bryan Randall, to the quality of their culture and home country, and via email: bgr22@cornell.edu . simply seek additional high-level education and work Another article of interest recently written by the Washington Post newspaper’s College Journal is entitled, “Doors are Closed for International experience. This increases their employability and M.B.A.s.” This documents a similar situation for MBA students, recruitment desirability. http://www.collegejournal.com/mbacenter/mbatrack/20030214-alsop.html . Upon beginning their career search, international students are increasingly finding there are fewer BENEFITS TO HIRING INTERNATIONAL STUDENTS CULTURAL DIVERSITY • Enhanced communication; many students speak more than one language. • Many have an understanding of the HR and IR practices of their home countries. • Proven abilities to work within diverse populations and succeed. • They bring fresh ideas and can increase global networks. DECISION MAKERS AND RISK TAKERS • These students have left their home countries to study in the U.S. at the number one program for ILR studies; this shows their determination and drive to succeed. • In doing so they have adapted to new environments cultures and situations. • They are considered to be the best, brightest and most motivated from their home countries. DEDICATION • Due to visa limitations, international students are less mobile; they are known to keep their jobs once they have them. • The U.S. economic situation is often much better than in many students’ home countries, which motivates them to succeed in their work environments. • Few companies realize the benefits and realities of hiring international students, so international students are left with fewer job opportunities and are more likely to accept your offer. hrSPECTRUM March - April 2003 P A G E N I N E www.ilr.cornell.edu/cahrs/ 2003 Executive Guest Class Speakers Garrett Walker, Director, Learning Investment & Performance, IBM . . . March 13, 2003 Ithaca, NY and Elizabeth Hoane, Manager, Global Services HR Strategy Bob Calamai, Director of HR Global Research, IBM . . . . . . . . . . . March 31, 2003 Ithaca, NY Shawn Lancaster, Human Capital Specialist, The Hartford . . . . . . . . . April 10, 2003 Ithaca, NY and Lynn Farrell, Assistant VP, Human Capital Executive Guest Lecture . . . . . . . . . . . . . . . . . . . . . . . . . April 8, 2003 Ithaca, NY Federico Castellanos, VP of Human Resources Global Sales and Distribution Developing Leadership and Culture at IBM CAHRS Spring Sponsor Meeting 2003 . . . . . . . . . . . . . . . . . . May 7-8, 2003 Ithaca, NY Act Globally, Act Locally: Balancing Global and Local Needs in HR Systems CAHRS Executive Briefing Profiling Shell . . . . . . . . . . . . . . . June 26-27, 2003 London, UK CAHRS Sponsor Executive Roundtables . . . . . . . . . . . . . . . . . August 26, 2003 Ithaca, NY for the ILR Student Orientation CAHRS Fall Sponsor Meeting 2003 . . . . . . . . . . . . . . . . November 12-14, 2003 Ithaca, NY Other ILR Events Managing for Impact: Driving Firm . . . . . . . . . . . . . . . . . March 20-21, 2003 Chicago, IL Performance through HR Creating Competitive Advantage through People . . . . . . . September 28-October 3, 2003 Ithaca, NY For more information, contact Jo Hagin at 607/255-9358 or email: jap7@cornell.edu, or visit our website at: http://www.ilr.cornell.edu/cahrs/Calendar.html hrSPECTRUM is published by the Center for Advanced Human Resource Studies, School of Industrial and Labor Relations, Cornell University, Ithaca, New York 14853-3901 Phone: 607-255-9358 • Fax: 607-255-4953 Dr. John Boudreau, Director • Dr. Pamela Stepp, Managing Director hrSPECTRUM March - April 2003 P A G E T E N www.ilr.cornell.edu/cahrs/