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Valley refugee who has worked for giants IBM and Siemens as well as
software startups. Now Ronald Raffensperger, a marketing director at
fast-growing Huawei Technologies, numbers among the increasing numbers of
foreign expatriates China is counting on to steer its push overseas. China
wants state and private companies to expand globally and skilled
expatriates like Raffensperger are increasingly finding key roles in that
campaign. "Chinese high-tech companies are just beginning to understand
the need for marketing, brand- building and globalisation," said
Raffensperger, who has worked at Huawei, the world's No. 3 wireless
telecoms gear maker, for two years after 30 years in Silicon Valley. "I
bring that global experience to Huawei," he said. That expertise is
becoming more valuable as foreign direct investment into China fell 17.9
percent in the first half and the country's acquisitions overseas face
stiff political headwinds as spotlighted by Chinalco's failed tie-up with
Rio Tinto. China's dynamism has long attracted overseas ethnic Chinese
executives but rising unemployment in developed countries is drawing
non-Chinese foreigners into the country's industries, from automobiles to
financial services. "Foreign expat executives have fewer options today,"
said Michael Norman, a vice-president for Sibson Consulting, a human
resources firm based in North America. "But for those with unique skills
or knowledge there are growing opportunities working for Chinese
companies," he said. China's economy grew a stronger-than-expected 7.9
percent in the second quarter, one reason Sibson -- which is looking for
local partners -- sees high demand from Chinese firms for executives with
specific technical or marketing skills. China International Intellectech
(Shanghai) Corp, an executive search and consultancy, said that last year,
it recommended over 1 ,000 foreign executives -- mostly ethnic Chinese --
for positions in multinationals doing business in the mainland. So far
this year, CIIC has recommended about the same number of expatriate
executives to clients. The list of Chinese companies taking advantage of
recruiting foreign executives is growing as they expand globally. The
Haier group, China's largest appliance maker -- including Qingdao Haier and
Haier Electronics bought a 20 percent stake in New Zealand's Fisher &
Paykel Appliances in May, just months after hiring American Philip
Carmichael as its Asia Pacific chief. Tencent Holdings Ltd hired U.S. game
producer Steve Gray as research and development consultant to develop and
distribute Take-Two Interactive Software Inc's popular NBA 2 K basketball
video game in China. STATE FIRMS JUMP IN Private firms, especially those
in the fast-paced electronics industry, have been the most aggressive in
recruiting foreign talent, but state-owned giants such as Aviation Industry
Corp of China (AVIC) are also beginning to appreciate the benefits. "The
global financial crisis comes just as we are opening to the world, offering
a great opportunity to attract international expertise," said Zhang, whose
company aims to one day challenge the global dominance of Boeing BA.N and
Airbus. AVIC earlier this year announced plans to recruit 13 executives
from around the world in key areas such as research, asset management,
business development and marketing. The aviation giant, like many Chinese
firms, has the ambition -- and the backing of Beijing -- to be a global
champion, but when it comes to execution, the lack of international
experience is a glaring hole in many domestic executives' resumes. Lenovo
Group, China's top personal computer maker, appointed a former Dell
executive, William Amelio, as its chief executive to help integrate IBM's
PC business after buying the unit in 2005 for $1.25 billion. "We decided
to bring in a foreigner to learn and study from," said Liu Chuanzhi, the
company's founder and chairman. Liu said putting current chief executive
Yang Yuanqing -- the heir apparent who eventually took over from Amelio
earlier this year -- in as CEO at the time would have been disastrous. "He
would almost certainly have failed," said Liu. PROBLEMS But going east is
not without its problems. China's highly efficient manufacturing base
seems to be a natural fit for executives with specialized skills honed in
global markets, but the cultural gulf can be formidable. Recruitment
companies and firms such as Sibson reckon the tenure for the majority of
foreign executives at Chinese firms is less than a year, including ethnic
Chinese expats. "As an American, I first came here and said, ' Where are my
people? What is my budget? Give me a general direction and I'll go for
it,'" said Huawei's Raffensperger, a U.S. citizen. "It doesn't work that
way. You have to spend a lot of time listening, asking questions and
understanding how decisions are made," he said.
