11th Roundtable Discussion of Global Indonesian Network Dr. Hana Panggabean Director, School of Graduate Program Atma Jaya Catholic University of Indonesia July, 1st 2013

1. Hosted
by
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!!
Media
Partner:
A Global Indonesian Network Series
The Global Indonesian
Surviving the crisis in
global talent
11th Roundtable Discussion of
Global Indonesian Network
Dr.Hana Panggabean
Director,School of Graduate Program
Atma Jaya Catholic University of Indonesia
July,1st 2013

2. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 2
1 Indonesia: Land Of Opportunities
2 Intercultural Competence and Sensitivity
3 Studies on Indonesian Intercultural Competence and Sensitivity
4 Future Directions:Building the Global Talent
Agenda

3. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 3
Indonesia : Land of Opportunities (i)
World economics reports predict positive future for Indonesia in the new global economy
Indonesia’s economy has enormous
promise. It has been and still growing
rapidly, from the currently 16th largest
economy of the world, it is predicted to
reach the seventh biggest in 2030.
2012, McKinsey Global Institute:
The archipelago economy Unleashing Indonesia’s potential.
Indonesia has positive economic growth
among the new emerging economies (N-11).
2009
Goldman
Sachs,
Global
Economics
Paper
No.192
Asia’s rise will be led by PRC, India, Indonesia ,Japan, Rep.of Korea,
Malaysia, and Thailand.
Indonesia belongs to fast growing economies,characterized by
a consistently high economic growth since 1990 and that it has
reached middle income status.
2011 Asian Development Bank Report “Realizing the Asian Century”

4. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 4
Indonesia’s economy
will likely break into
the top 15 in the world
in the next decade or
so. The nation’s
economic expansion is
largely driven by
domestic consumption
rather than export-led
growth, so it is less
dependent on
increasingly
unpredictable global
economic forces.
2013,
Boston
Consulting
Group
Report:
Growing
Pains,
Lasting
Advantage:
Tackling
Indonesia’s
Talent
Challenges. Between 2004-2012, there have been obvious indications of
progress…Our high GDP growth has been a great achievement.
The GDP figures show that all of Indonesia’economic sectors are
growing.
Indonesia
Finance
Today:
Indonesia’s
economic
review
2004-­‐2012.
Indonesia : Land of Opportunities (ii)

5. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 5
Acute shortage of talents:
Exhibit 2,2013 BCG Report
The Talent Crisis..
To build world-class labor forces
2011 Asian Development Bank Report
Only 22 % of school-aged population
are in schools.
Only a small minority of Indonesia’s graduates
from more than 1000 higher educations
40% shortfall of engineers in 2013 (by 2025 will be 70%).

6. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 6
...and Global Talent Shortages
Indonesia is underrepresented
g l o b a l l y . A l m o s t n o n e o f
Indonesians hit Fortune 500 CEOs,
in comparison to other Asians
(e.g. Fortune 2011:
Chinese (45), Asian Indian (37), Japanese (17),
Korean (6), Pakistani (3), Vietnamese (3),
Bangladesh (1), Filipino (1), Malaysian (1),
Singaporean (1) and Sri Lankan (1).
“Indonesian talents are regarded as highly
competent , highly demanded for
international assignments, yet rare to
find in global job market
”
(Discussions with HR Directors of world class
companies, March 2012)

7. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 7
1 Indonesia:Land Of Opportunities
2 Intercultural Competence and Sensitivity
3 Studies on Indonesian Intercultural Competence and Sensitivity
4 Future Directions:Building the Global Talent
Agenda

8. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 8
Intercultural Competence
Technical knowledge
& skill
Motivation
Stress tolerance
Respect for
differences
Harmony
preservationSelf Control
Awareness of
communication
symbols
Language skill
Verbal & non
verbal
expression
Attribution process
of information
Cultural empathy
Intercultural
Sensitivity
Intercultural
Communication
Competence
What is Intercultural Competence & Sensitivity
“To be effective in another culture, people must be interested in other cultures, be sensitive enough to notice
cultural differences, and then also be willing to modify their behavior as an indication of respect for the
people of other cultures ”
(Bhawuk and Brislin, 1992)

9. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 9
INTERCULTURAL
SENSITIVITY
Cultural
Intelligence Developmental
Approach
Situa6onal
Approach
Structural
Approach
CogniBve,
affecBve,
behavioral,
integraBve
Perspectives of Intercultural Sensitivity

10. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 10
Psychological Health
WCurvedAdjustment
(Goolahorn&Goolahorn,1963)
Culture Shock
High
Moderate
Low
Time of Sojourn
EB
C
D F
A
Beginning Middle End After returning
home
Own
Orientations
Other’s
Orientations
Potential conflict sources leading
to psychological distress
Cultural
overlapping
Challenges of International Exposures

11. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 11
up to 50% of these international assignees –
or commonly referred as expatriates- must
return home earlier due to cultural
adjustment problems, and resulted in
significant financial loss
(Black,1988; Eschback et.al,2001).
Target Failures
Challenges of International Exposures

12. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 12
“Terus saya kuliah di Australia, di Australia banyak
yang namanya presentasi, banyak diskusi, jadi small
group lalu diskusi, jadi kalo mau belajar harus ikutan,
kalo mau dapet nilai mesti presentasi juga gitu
”
Benefits of International Exposures
“ Saya di educated dibimbing, dibina gitu menjadi seperti
sekarang. Kalo saya ga keluar dari Indonesia, mungkin saya
seperti yah waktu pertama kali keluar negeri sih, mau ngomong
takut, takut, takut salah, ga ada jam terbang lha ”
Out of Comfort Zone..

13. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 13
“….gak minta uang terus sama orang tua kerjanya juga mulai
dari ngeruk salju.. uang jajan habis kemudian baru berasa wah
cari uang itu sulit ya.. padahal kalau di Indonesia itu kerja saya
cuma minta uang sama berantem”
“Jadi menurutku memang beda ya antara mereka yang
hidup mandiri, sama yang hidup dikelonin sama
keluarganya jadi beda responsnya. Karena mereka
hidup sendiri di luar negeri jadi harus tanggung jawab
sendiri. Kalau di sini kan bangun siang, makanan udah
siap, gitu ya. Kalau di sana, bangun siang, gak makan
tuh ampe siang..
”
Benefits of International Exposures
Out of Comfort Zone..

14. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 14
“Kalau di Amerika saya lebih mandiri karena dari umur 16, dan
pola pikirnya juga lebih berubah.. kalau di Indonesia saya gak
peduli sama yang lebih di bawah, baik adik kelas, pembantu,
atau supir. Kalau di Amerika, wah orang-orang ini, masih lebih
peduli sama yang dibawah, sama anak yang lebih kecil juga
lebih main, saya orang luar juga dipedulikan.. nah dari sana
pola pikir lebih beda, lebih mengalah, lebih baik sama yang
lebih kecil, lebih peduli, lebih sama pembantu juga peduli, supir
juga.. apa yang setelah di Amerika itu juga saya lebih
appreciative
”
Personal Growth
“ kalau saya...confidencenya nambah…karena pengalaman,
saya ga takut sama orang bule lagi sekarang. Mungkin
kebanyakan orang Indonesia masih takut bule, saya sudah nggak.
Saya tahu culture orang beda-beda, ya it’s okay orang Amerika
memang selalu formal. Saya sudah melihat dan rasain sendiri
kan, terutama pas di MBA ya karena terus saya melihat orang...
ada consultant, ada bankers yang kadang-kadang mereka ga tahu
apa-apa cuma ngomong dulu saja kan...”

15. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 15
“ Jadi kadang2 bisa aku bandingkan antara orang2 yang di
hire dari luar, dengan yang dari lokal. Yang overseas
graduate memang agak sombong, tapi, mereka
commit. Dan mereka nunjukin kualitas, kalau
mereka itu lulusan luar, mungkin ada kebanggaan tersendiri
kali ya, jadi lulusan luar. Yang dari dalem, bukannya
gak bisa, bisa sebenernya, pinter pinter. Cuma
lebih banyak “ntar dulu ya? boleh gak nanti?”.
Nawar gitu ya. Cuma kalau dari luar mereka lebih “hari ini ya
hari ini”. Kalaupun mereka gak bisa, mereka dateng dengan
strong reason. Begini begini begini ”
Career Competitiveness
“ Saya selalu berusaha mencari yang lulusan luar negeri ”
“ Memang tergantung yang membuat karirnya, tetapi yang udah
pernah di luar mungkin lebih gampang ”

16. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 16
1 Indonesia:Land Of Opportunities
2 Intercultural Competence and Sensitivity
3 Studies on Indonesian Intercultural Competence and Sensitivity
4 Future Directions:Building the Global Talent
Agenda

17. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 17
Dimensions Local Global
Group Harmony
a tendency to maintain a harmonious and positive group atmosphere High High
Participative Decision Making (musyawarah untuk mufakat)
A specific decision making technique characterized by high level of
consensus.
High High
Multiculturality
Mental readiness to accept cultural differences as a central part of
individual identity
Moderate High
Active Sensitivity
Conflict resolution initiatives in the form of adequate responses Low High
Conflict Avoidance
Acts to avoid conflict High Low
Implicit Communication
Pattern of indirect communication indicated by frequent use of
non-verbal communication channel
High Low
✴ Research of Indonesian ICS (Panggabean,2004,N=213 professionals; Panggabean & Suryani,2007,N=773
Indonesians:international and local students,professionals,teachers,blue collar workers).
Business field:manufacturing,printing,education,printing,real estate,oil & gas,advertising,government How?
Indonesian ICS Profiles in Local & Global Context

18. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 18
Type
Job
TitleJob
TitleJob
TitleJob
Title
TotalType
Business
Owner
Top
/
Senior
Manager
(incl.
President,
GM,
VP,
Director,
etc.)
Manager Others
Total
Total 13 54 53 17 137
In-­‐Depth
Interviews
in
Indonesia
In-­‐Depth
Interviews
in
Indonesia
15
Chinese
Expatriate
8
Singaporean
Expatriate
15
Indonesian
Co-­‐workers
15
Indonesian
Co-­‐workers
In-­‐Depth
Interviews
in
China
In-­‐Depth
Interviews
in
China
16
Indonesian
Expatriate
16
Singaporean
Expatriate
11
Chinese
Co-­‐workers
14
Chinese
Co-­‐workers
In-­‐Depth
Interviews
in
Singapore
In-­‐Depth
Interviews
in
Singapore
Indonesian
Expatriate 20
Singaporean
Co-­‐workers 9
Research Respondents

19. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 19
Mo6va6ng
Indonesian
Leadership
Org.
Commitment
&
Working
Performance
Personable
Mediator
Valued
Business
RelaRonship
Climate
Management
&
Caring
RelaRonship
Indonesian International Leadership

20. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 20
Job Position Chairman Associate Director)
Current
Residence
Jakarta,Indonesia Singapore
Company
background
‣ One of the largest
Indonesian Industrial
Conglomerates
‣ Ex.CEO of IBM
‣ USMNC
‣ World’s 8th largest
pharmaceutical
company
‣ Healthcare &
Pharmaceutical
Age Mid - 60 Early-40
International
assignments
‣ Hong Kong
‣ New York
‣ Tokyo
‣ US
‣ Malaysia
‣ Singapore
1 2
✓
o
✓
o
Case Study’s Profile: Global Indonesians

21. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 21
Transforming
Global & local
career excellence
Intracultural Experiences
Intercultural
Competence
‣ Born into a mix-culture
parent.
‣ Grew up in multicultural
urban or rural.
‣ Lived with extended
family.
‣ Various groups of friends
and networks.
‣ Multiple role demands,
school or jobs
Our Case Study: Harvesting Diversity Benefits
Career’s critical incidents:
✴ Encounters with foreign
bosses / colleagues
✴ Leading multinational team

22. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 22
1 Indonesia:Land Of Opportunities
2 Intercultural Competence and Sensitivity
3 Studies on Indonesian Intercultural Competence and Sensitivity
4 Future Directions: Building the Global Talent
Agenda

23. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 23
❖Global
Mindsets
❖Expand
own
Horizons
❖Foreign
Language
Proficiency
❖Technical
Excellence
❖Intercultural
SensiBvity
&
Awareness
❖Self-­‐ArBculaBon
❖AsserBve
CommunicaBon
Key Competences for Global Indonesian

24. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 24
Educational Building Block
FOCUSED CURRICULUM
COMPETITIVE
SOFT SKILLS
CONTEXT-
BASED
LEARNING
FOREIGN
LANGUAGE
COMPETENCE
OWN AND
OTHER CULTURE
SENSITIVITY

25. !!
The Global Indonesian: Surviving the crisis in global talent/ July 2013 25
Organizational Building Block
Exposure to diversity
Early intensive experiences
on intercultural learning
International assignment
in early career
Strong technical
competence
Transforming the intra-
cultural sensitivity to
intercultural sensitivity
Foreign colleague and boss
in home
International project/
Virtual teams
Intensive working
and living abroad
Leading another culture
Building Self competence
Developing Assertiveness

26. Thank
You
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