Credit operations abroad
Analysing the available options will highlight the best approach and inform the way in which it is executed. A strategy to expand internationally requires a champion, someone with dynamism and commitment, and ideally with local expertise or expertise in setting up a similar expansion elsewhere. Such a champion must be flexible enough to make adjustments as necessary to make the new strategy succeed, and must have (or have a subordinate who has) good project management skills in order to provide focus and prioritise actions and aims.
Structuring international operations. It can be unproductive and a waste of resources to make a new international firm fit existing systems and procedures. But core management issues such as communications, structure and leadership are best resolved early. Managers must ensure that information and expertise flow freely throughout the organisation.
In particular, best-practice information should be widely disseminated and available for everyone in the organisation. Deciding the degree of autonomy given to international business units is fundamental. Reporting structures, responsibilities and authority levels need to be clear. An organisation benefits from being integrated and cohesive and should be fair and consistent in its practices and with its employees. Local factors should be taken into account, but an organisation should be true to its values. Co-ordination and control are important; if left to drift, international operations become disconnected from the rest of the organisation, even in conflict with it.
Leading and motivating people, setting direction and making decisions are all made more difficult across borders. Empowerment often provides a solution, enabling people to work within clearly defined areas of responsibility. Mentoring schemes can provide individuals with support and coaching, helping to integrate international business units into the organisation as a whole.