The Dark Side of International Talent Management: Exploring the Negative Effect of Talent Repatriation on Multinational Enterprises' Performance with the Meditating Role of Reverse Culture Shock
DOI:
https://doi.org/10.65080/942npc70Keywords:
Talent management, MNEs, culture shock, repatriation, organizational performance, PLS-SEMAbstract
Introduction: This study explored the negative effects of talent repatriation on multinational enterprise (MNE) performance, focusing on the mediating role of reverse culture shock. Even as international assignments were planned and implemented with the idea of building global talent and organisational global knowledge, repatriation presents a couple of key problems that work against such a value addition.
Methods: The study explored talent repatriation and reverse culture shock with the MNE performance through survey questionnaire distributed to 385 employees working in MNEs who were returned to their home country following an international assignment. The participants were recruited across technology, business, medical, engineering and IT companies of the UK. The data was analysed using Partial Least Squares Structural Equation Modeling (PLS-SEM).
Results: According to the research results, the author concludes that while talent repatriation has had no direct effects on the performance of MNE (B = 0.066, p-value = 0.393), reverse culture fully mediates the relationship between talent repatriation and MNEs performance (B = 0.287, p-value = 0.000). This implies that reverse culture shock plays a key role in mediating the influence of the repatriation processes in its contribution to the performance of the MNE.
Conclusion: It underscores the importance of MNEs to develop repatriation policies that respond to logistics, career, psychological and cultural aspects resulting from the relocation.
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