International Management

Final Case Study: Langley International Growers

Name: Ryan Wilson

1. Assume you have selected an expatriate to manage the operation. What would be the key components of that person’s compensation program?  How would you compensate the local subordinate managers and employees? Please relate your answer to information presented in the case. (50pts)

If I selected an expatriate to manage this flower growing operation there would be a few components to that person’s compensation program. First I would make sure that everything they needed to an extent would be taken care of. I would not want one of my employees managing a big operation getting robbed or feeling alone. If I were in the position I would feel the same way, he did. Not scared but just alone. The compensation program only would work if there were results to reward. 3 key components to the compensation program would be wages and bonuses, Long-term incentives, and retirement plans.

My first component are wages and bonuses. Every high up manager looks for these when they perform to expectation or succeed it. If the manager selected can perform and not have delays with deliveries and works and learns from the natives than he should perform successfully. The manager must learn like David Langley said. You must learn how to work with the natives and how to manage them.

Communication is key. This roles into my next component of long-term incentives. With communication, the manager should be able to succeed in the long run. Rather than David coming down and seeing 10 men cutting grass, communication could have led to a new way to help teach how to better use the equipment. This may cost you more money but it will better your product in the future and will help your company be a better one than your competitor. Long-term investments for the manager would entail stock options or grants if they can prove to be a valuable team member during the startup phase.

My last component would be a retirement plan. The more success the manager has the better his 401k can become. More investment from the company for him proving he is a useful member of the company. This would insure that he will be taken care of after all his or her hard work toward the organization.

I am a firm believer in hard work and dedication for the company you work for. I agree and disagree with things Davis Langley did for his company. I think the manager should have invested more money into teaching the employees how to use the equipment properly. You have to spend money to make money. He was also saving an abundance of money from labor cost

differences so why not put some of that money back into helping the locals learn and benefit themselves.

I would compensate the local employees and managers in normal ways. Overtime would be my first one If I am paying my employees 2$ a day for labor I can compensate by paying them overtime work. I would also add health and dental for employees that work for more than a certain period for the company. This will ensure that they take it serious and work hard for what they can earn. Bonuses and paid time off would be allowed to the managers for working with the employees and exceeding expectations of the work their doing. Compensation will help make sure your employees are working hard and completing what needs to be done and done correctly.