6. Global Careers - PRINT_watermark.pdf

# Career stages and models This topic explores the distinct phases individuals navigate throughout their working lives and examines various international frameworks that characterize career development and progression. ### 1.1 Understanding career stages A career can be understood as a course or progress through life, often associated with an occupation or profession requiring special training, symbolizing a journey and progress. Career stages are defined by evolving needs, attitudes, values, and concerns that change as an individual progresses through their working life. These stages typically include [2](#page=2) [3](#page=3): * **Exploration (or Trial):** The initial phase of career development. * **Establishment (or Stabilization):** A period of solidifying one's role and contributions. * **Maintenance:** Sustaining performance and involvement in one's career. * **Disengagement (or Decline):** The final phase, leading towards retirement. An example of a legal career progression illustrates these stages: Trainee, Paralegal, Associate, Senior Associate, Legal Director, and Partner. Similarly, an academic career also follows distinct stages [3](#page=3) [7](#page=7). ### 1.2 Career scripts and mobility Careers can be conceptualized through different "scripts" that guide expectations and progression. A **traditional career script** often implies linear advancement within a single organization, while a **mobility career script** acknowledges movement both within and across different organizations. Some individuals, such as entrepreneurs, may not adhere to these conventional career scripts [4](#page=4). Career mobility refers to the movement of individuals within the workforce. This can be categorized as: * **Intra-organizational mobility:** Movement within the same company. * **Inter-organizational mobility:** Movement between different companies [4](#page=4). There are also different types of career progression visualized as: * **Vertical mobility:** Advancement up the organizational hierarchy (e.g., "mountain climber" careers) [5](#page=5). * **Radial mobility:** Moving to a different role or function within the same organizational level [5](#page=5). * **Circumferential mobility:** Lateral movement within an organization, often to a different department or team [5](#page=5). The nature of career mobility can differ significantly, particularly for management careers [6](#page=6). ### 1.3 National career models Different countries and cultures have developed distinct models for career development and progression, influencing recruitment, training, and advancement. These models can be broadly categorized as follows: #### 1.3.1 Germanic model The Germanic model, as observed in countries like Germany and Switzerland, emphasizes a strong link between education, vocational training, and career progression [14](#page=14) [8](#page=8). * **Recruitment:** Apprenticeships are a common pathway, with companies actively participating in annual recruitment from universities and technical schools, offering on-the-job training. These apprenticeships often involve a trial period. There may be some elitist recruitment, often of individuals with PhDs, which are highly respected as signals of specific knowledge, self-discipline, and self-motivation. In Switzerland, there is a greater hierarchy between universities, and the militia army officer structure supports lifelong double careers. Apprenticeships have historically been a significant component of the Swiss business elite, and a meritocratic principle of starting at the bottom and climbing the ranks is prevalent. Close relationships between business, politics, and administration mean military rank can be significant. However, since the 1990s, vocational training has seen a decline among Swiss business elites, with an emergence of a more international elite with stronger educational credentials [14](#page=14) [15](#page=15) [8](#page=8). * **Career Progression:** Career progression tends to be functional, characterized by climbing the corporate ladder based on expertise and competition. Managers are often functional experts with technical knowledge. Multifunctional mobility is limited, typically occurring only at higher levels of the organization. In Switzerland, a meritocratic principle exists, but a decline in vocational training and the emergence of an international elite has altered the landscape [15](#page=15) [9](#page=9). #### 1.3.2 Anglo-Dutch model The Anglo-Dutch model, prevalent in countries like the UK and the Netherlands, tends to have a more decentralized recruitment approach with an emphasis on generalist management capabilities [10](#page=10) [9](#page=9). * **Recruitment:** There is less emphasis on elite university recruitment compared to other models, with a greater emphasis on secondary education. Managers are often seen as "generic," capable of managing various teams regardless of specific expertise in those fields. In the UK, a significant percentage of managers are graduates from prestigious universities or come from less formal educational backgrounds ("self-made men"). Managers may not necessarily have engineering backgrounds, and this profession might not be perceived as prestigious. There is less corporate monitoring in the recruitment stage [10](#page=10) [9](#page=9). * **Career Progression:** Potential development is managed internally, often through assessment centers and standardized performance appraisal tools. High potentials are carefully monitored by management review committees, which match performance and potential with job and development requirements. Management development staff play an important role [10](#page=10). #### 1.3.3 Latin model The Latin model, observed in countries like France, is characterized by an elite political approach to recruitment and potential development [11](#page=11). * **Recruitment:** Elite entry is common, often without a formal trial period. Individuals are selected from specialized schools that prepare future top managers, such as "Grandes Écoles," MBA programs, and scientific PhD programs. Prior experience as a civil servant in France is also well-respected and can be a pathway to management careers in the private sector [11](#page=11). * **Potential Development:** Development is often characterized by a "high fliers" approach, where individuals are not constantly evaluated but engage in competition and collaboration with peers. A political process involving visible achievements, gaining sponsors, forming coalitions, and understanding organizational signals is crucial. This is sometimes referred to as a "gamesman" approach [11](#page=11). #### 1.3.4 Japanese model The Japanese model emphasizes long-term careers, early socialization, and a unique form of competition based on seniority and performance evaluations [12](#page=12) [13](#page=13). * **Recruitment:** Elite cohorts are recruited from top universities, with the education system progressively filtering individuals into this elite group. Recruitment is geared towards long-term careers [12](#page=12). * **Recruitment Stage (Early Testing & Socialization):** After recruitment, there is a period of 5-8 years with no further screening or intense competition for the entire cohort. This phase involves job rotation, intensive training, and mentoring. Regular performance monitoring occurs, such as at Nissan where it happens six times annually. Promotion is generally equal and based on seniority during this stage, recognized as a trial period where performance might vary based on assignment difficulty or supervisor [12](#page=12). * **Potential Development (Competition for Top Management):** Competition begins for top management positions after the initial socialization period. Promotions occur on a rigid schedule, typically every four years for those assessed as having the highest performance or potential. Those who are not promoted as quickly receive the same promotion later. To remain in the running for division head positions, individuals must be promoted every fourth or fifth year. A single failure to be promoted after the fourth year can remove an individual from contention for top roles. The timeline for advancement is critical, with about 7-8 years to move up or be excluded from top career paths [13](#page=13). ### 1.4 Career mobility in Switzerland and the USA * **Switzerland:** While largely fitting the Germanic model, Switzerland has a more hierarchical university system. The militia army officer structure supports dual careers. There is an increasing presence of foreign top executives, and fewer women in leadership roles compared to Germany. Apprenticeships are integral to the Swiss business elite, fostering a meritocratic principle. Strong ties between business, politics, and administration highlight the significance of military rank. However, the influence of vocational training has waned, and an international elite with superior educational credentials has emerged [14](#page=14) [15](#page=15). * **USA:** The American approach emphasizes meritocracy, hard work, and personality. Entrepreneurs and "self-made men" are highly respected. Certain professions like law and accounting, and work experiences in consulting, audit, and banking, command respect. Multinational corporations are viewed as training grounds. Early talent identification is common, and an MBA diploma serves as an entry ticket to high-potential development tracks. Accreditations such as CPA for accountants and PMP for project managers are important [15](#page=15). ### 1.5 Variables for evaluating competency Evaluating competency involves examining both an individual's educational background and their work experience [16](#page=16). * **Education:** This includes the level of education attained and the institutions attended [16](#page=16). * **Work:** This encompasses the number of organizations an individual has worked for and the number of sectors they have experienced [16](#page=16). --- # Work background and education of top managers This section examines the common work experiences and educational paths that lead individuals to top management positions, considering international exposure across various regions. ### 2.1 Work background of top managers The path to top management often involves diverse organizational and sector experiences. For instance, in certain contexts, the banking sector accounts for approximately 15% of CEOs, while consulting represents about 10%, and academia around 3%. A significant portion of top managers, 14% to 15%, have experience in international consulting and audit firms [17](#page=17). The number of positions held before reaching a top role can vary, with an average of 8.3, 6.5, 5.4, and 4.9 positions reported in some European studies. Experience working as public servants is also noted, with 1% to 3% of top managers having such backgrounds in certain regions, although this experience is highly valued in countries like France. In Switzerland, military service, particularly achieving an officer rank, has traditionally played a role in developing a business elite, with proportions of top managers holding officer ranks decreasing from 56.6% in 1980 to 43.4% in 2010 [18](#page=18) [19](#page=19). > **Tip:** Understanding the prevalence of specific industry or public sector backgrounds can indicate which career trajectories are historically favored for entry into top management. ### 2.2 Education of top managers Educational attainment is a key factor in reaching senior leadership roles. A high percentage of top managers have completed university studies, with figures reaching 95% in some analyses. However, it is acknowledged that it is possible to attain top management positions without a university degree [20](#page=20). The fields of study are diverse, with business, management, or economics, and engineering being common choices. In Switzerland, specific fields like economics and law are prevalent, with approximately 48% studying economics, around 30% law, about 16% engineering, and 10% in other fields [20](#page=20) [21](#page=21). The pursuit of advanced degrees is also significant. The proportion of top managers holding MBA degrees varies, with figures such as 12%, 20%, 29%, and 63% reported across different contexts. There is an observable trend of an increasing number of top managers in Switzerland holding MBAs. Furthermore, PhD degrees are held by a notable percentage of top managers. For instance, 7.3%, 5.5%, 32%, and 24.5% are reported figures for PhD holders. Germany historically had a very high proportion of top managers with PhDs, with 45% in 2009, and Russian top managers often hold multiple university degrees [21](#page=21) [22](#page=22). > **Tip:** While a university degree is common, the specific field of study and the pursuit of postgraduate qualifications like MBAs or PhDs can differentiate career paths and potentially enhance opportunities. ### 2.3 International exposure of top managers International experience is increasingly recognized as a crucial element for top management roles. A significant proportion of top managers are non-nationals (foreigners), with figures like 27%, 46%, 51%, and 64% reported. Swiss managers, in particular, are characterized as highly internationalized, even when compared to managers in countries like the Netherlands and Sweden [24](#page=24). Furthermore, a substantial percentage of top managers have international experience, with reported figures of 56%, 75%, 56%, and 62%. A more specific measure, the proportion with at least three international experiences, ranges from 11% to 17% [24](#page=24) [25](#page=25). > **Example:** A top manager who has worked in multiple countries, led international teams, or managed cross-border projects demonstrates a global perspective that is highly valued in today's interconnected business environment. --- # Routes to top positions and career influencers This topic explores the distinct pathways to senior leadership roles and the significant external factors that shape career trajectories. ### 3.1 Pathways to top positions There are two primary routes through which individuals can ascend to top positions in organizations: the contest route and the sponsorship route [26](#page=26). #### 3.1.1 The contest route The contest route views elite status as a prize in an open competition where participants have considerable freedom in their strategic choices. Success in this pathway is achieved through individual effort and the application of various strategies [26](#page=26). #### 3.1.2 The sponsorship route Conversely, the sponsorship route involves elite recruits being selected by existing members of the elite or their representatives. Status is granted based on perceived merit, and it cannot be attained solely through effort or strategy. Entry into these positions is likened to joining a private club, requiring sponsorship from one or more members [26](#page=26). > **Example:** The document illustrates the difference in family influence between commercial and private banks. Private banks show a very high percentage of elites coming from families of top bankers, indicating a stronger sponsorship-based model, while this family belongingness tends to disappear over time in commercial banks, suggesting a greater reliance on a contest-based model [26](#page=26). ### 3.2 Career influencers Several overarching factors significantly influence an individual's career path and their ability to reach top positions [27](#page=27). #### 3.2.1 National institutions The structure and quality of national institutions, such as the education system, play a crucial role in shaping career opportunities and progression [27](#page=27). #### 3.2.2 Cultural factors Societal cultural norms and perceptions can impact how different career paths are viewed and valued. For instance, the prestige associated with military or civil service experience can vary significantly based on cultural context [27](#page=27). #### 3.2.3 Elite circles and social structures Established elite groups can exert influence over who attains specific positions. Systems like caste systems exemplify how social stratification can dictate upward mobility [27](#page=27). #### 3.2.4 Management approach The prevailing approach to management within an organization influences who is likely to ascend to leadership roles. A distinction between generalist and specialist approaches can determine the preferred candidate profile for managerial positions [27](#page=27). #### 3.2.5 International background An international background can serve as a stamp of credibility, enhancing an individual's perceived qualifications. For example, obtaining an MBA from a renowned institution in the USA can be a significant career influencer [27](#page=27). --- # Modern career trends like gig and slash careers This section delves into contemporary career models, such as gig work and slash careers, characterized by short-term engagements and multiple roles, as well as the evolving landscape of post-employment transitions [28](#page=28) [29](#page=29) [30](#page=30). ### 4.1 Gig and slash careers Gig and slash careers represent a modern approach to work where individuals take on short-term roles and often juggle multiple employers simultaneously, embodying the idea of wearing "multiple hats" [28](#page=28). #### 4.1.1 Defining gig and slash careers * **Gig careers:** These involve accepting short-term roles or assignments [28](#page=28). * **Slash careers:** This model describes individuals who hold more than one job or profession, often indicated by a slash in their title or description (e.g., "Lecturer/ Speaker/ Author" or "Accountant + Fireman") [28](#page=28). #### 4.1.2 Characteristics of gig and slash careers Individuals in these career paths typically exhibit the following traits: * They wear multiple hats, implying a diverse range of responsibilities and skills [28](#page=28). * They accept short-term roles, prioritizing flexibility and varied experiences over long-term commitments [28](#page=28). * They have multiple employers, diversifying their income streams and professional networks [28](#page=28). #### 4.1.3 Prevalence and aspiration for freelance work Freelancing is a significant component of these modern career trends. * In Switzerland, one in four individuals are freelancers [29](#page=29). * A notable one in three freelancers express a desire to become full-time freelancers, indicating a growing preference for this work model [29](#page=29). > **Tip:** Understanding the motivations behind gig and slash careers, such as the pursuit of autonomy, variety, and skill development, is crucial for analyzing their impact on the labor market. > **Example:** An individual might work as a full-time software developer (their primary profession), take on freelance web design projects in the evenings (a gig), and also run a small online shop selling handmade crafts on weekends (another role), thus embodying a slash career with gig components. ### 4.2 Evolving nature of post-employment transitions The traditional concept of a linear career path ending with a single retirement is shifting, with a more fluid transition out of paid employment becoming common, particularly for older workers [30](#page=30). #### 4.2.1 The experience of ending paid employment * The cessation of paid employment is not a universal experience for all older workers, with only approximately 50% experiencing this transition. This suggests a portion may continue working in some capacity or face more complex exit scenarios [30](#page=30). #### 4.2.2 Recurring labor force participation post-retirement A significant minority of individuals who have retired continue to re-engage with the labor force. * In countries like Germany, South Korea, and the USA, between 11% and 19% of retirees periodically move in and out of the labor force. This indicates that retirement is increasingly viewed as a phase rather than a definitive end to work, with individuals seeking flexibility or supplementary income [30](#page=30). > **Tip:** The trend of recurring labor force participation highlights the need for flexible work arrangements and policies that support phased retirement or encore careers. --- ## Common mistakes to avoid - Review all topics thoroughly before exams - Pay attention to formulas and key definitions - Practice with examples provided in each section - Don't memorize without understanding the underlying concepts

| Term | Definition | |------|------------| | Career Stages | Distinct phases in a person's professional life, each characterized by different needs, attitudes, values, and concerns, such as exploration, establishment, maintenance, and disengagement. | | Career Mobility | The movement of individuals within or between organizations, sectors, or geographic locations throughout their working lives, encompassing vertical, radial, and circumferential moves. | | Traditional Career Script | A conventional and predictable career path, often characterized by linear progression within a single organization, a hierarchical climb, and a focus on specialization. | | Mobility Career Script | A more dynamic and flexible career path that involves movement across different organizations, industries, or roles, emphasizing adaptability and a broader range of experiences. | | Intra-organizational Mobility | Movement of an individual within the same company, typically involving promotions, transfers to different departments, or job rotations. | | Inter-organizational Mobility | Movement of an individual from one company to another, often involving job changes, career shifts, or transitions between different industries. | | Germanic Career Model | A national career model characterized by strong emphasis on apprenticeships, on-the-job training, functional specialization, and often elitist recruitment for management roles. | | Anglo-Dutch Career Model | A national career model that often features a mix of academic and non-academic pathways to management, with a potential for inter-functional mobility and a focus on identifying potential through assessment centers. | | Latin Career Model | A national career model typically marked by an elite entry route, often from specialized schools or with civil servant experience, and a competitive approach to potential development. | | Japanese Career Model | A national career model characterized by long-term recruitment, extensive early socialization and training for cohorts, followed by a structured competition for top management positions based on seniority and performance. | | Apprenticeships | A program of training in a skilled trade or occupation where a person learns by practical experience under the guidance of a skilled worker, often involving formal education alongside work. | | "Mountain Climber" Careers | A metaphorical description of career progression that emphasizes climbing the corporate ladder through expertise-based competition and advancement within a hierarchical structure. | | "Generic" Managers | Managers who are trained to manage any type of team or function, regardless of specific expertise in that field, often a characteristic of Anglo-Dutch career models. | | Grandes Écoles | Elite French higher education institutions that specialize in selecting and preparing future top managers, often in engineering or business fields. | | MBA (Master of Business Administration) | A postgraduate degree program focused on business management and administration, often seen as a valuable credential for career advancement, particularly into top management roles. | | PhD (Doctor of Philosophy) | The highest academic degree awarded by universities, signifying advanced knowledge and research capabilities in a specific field. | | Non-PCNs (Non-Primary Country Nationals) | Individuals who are not from the primary country in which a company or organization is based, indicating an international background or foreign nationality. | | Gig Careers | Short-term, project-based work arrangements that individuals undertake, often in addition to or instead of traditional employment, characterized by flexibility and variety. | | Slash Careers (or Multi-hyphenate Careers) | A career path where an individual holds multiple distinct roles or professions simultaneously, often indicated by using a slash (/) to separate them (e.g., Designer/Teacher/Writer). | | Contest Route | A pathway to elite status achieved through open competition, where individuals strive to win through various strategies and demonstrate merit according to established rules. | | Sponsorship Route | A pathway to elite status where individuals are chosen and supported by existing members of the elite, with status granted based on perceived merit and established relationships rather than solely on individual effort. |