Researchers from the University of Portsmouth and Reutlingen University found that multinational companies suffer costly failures in overseas assignments when expatriate staff lack strong relationships with local colleagues. The team published their findings in the Journal of Global Mobility.
The study identifies relationship-building as a critical success factor for global assignments. Companies that invest in fostering connections between expatriate workers and local teams significantly improve outcomes. This addresses a persistent problem for multinational enterprises, which spend substantial resources deploying staff across borders only to see assignments collapse.
The research suggests that onboarding processes often overlook interpersonal dynamics. Expatriates placed in new locations without deliberate relationship-building strategies struggle to integrate into local workplace cultures. This isolation undermines their effectiveness and accelerates departure rates.
The University of Portsmouth and Reutlingen University researchers recommend that multinational companies restructure their approach to global assignments. Rather than focusing solely on technical skills and individual competencies, organizations should prioritize relationship development from day one. This includes structured mentoring programs pairing expatriates with local colleagues, team-building activities, and cultural orientation that emphasizes collaboration rather than hierarchy.
The financial stakes are substantial. Failed assignments carry costs ranging from relocation expenses to lost productivity, management time, and knowledge disruption. Companies that fail to prepare expatriates for social integration experience higher turnover rates among deployed staff.
The findings apply across industries and geographic regions. Whether deploying engineers to manufacturing facilities, managers to regional offices, or specialists to project teams, the same principle holds. Local relationships determine whether expatriates succeed or become isolated, ineffective, and eventually leave.
The study provides actionable guidance for human resources departments designing global mobility programs. Companies implementing these relationship-focused strategies can expect improved assignment completion rates, higher employee satisfaction, and better return on their expatriate investments.