Internationalization of top management - motivation and effects. Case: Nokia

Abstract

Abstract: Objectives of the Thesis The main theme of this thesis is the internationalization process of the top management of Nokia. The aim is to discover the reasons behind the process and the effects of it on the company. Also other forms of diversity are discussed, as they were tightly tied to the phenomenon. The internationalization process also led to its further effects at Nokia, diversity management as well as talent management, which are also touched.

Methodology and Data Collection Case study was chosen as a research method for this thesis because of its unique capabilities in explaining and describing the process of internationalization. Nokia was chosen as the target case, and in particular its Board of Directors as well as its Group Executive Board. Data on the company generally has been gathered starting from the early 1990s or even before that, to get a clear picture of the internationalization process. The main focus is on the years from 1998 to 2009, as during this was the time that the top management was heavily internationalized. However, some data offers a cross-section of the current situation. Semi-structured interviews were used as the main data collection method. The interviews were mostly conducted at the end of year 2008 and the beginning of 2009. Altogether five people were interviewed: the Chairman of the Board, the Chief Executive Officer, a member of the Group Executive Board, and two members of senior management dealing with diversity and inclusion.

Main Findings The thesis identifies the main motivation for internationalizing the top management to be the company’s expanding international operations, and tapping into the top talent in the world. Internationalization was also used as part of a program to introduce diversity into the top management. The current composition of the management is fairly international, but on a company level there is still a need for diversity and inclusion programs. However, as diversity progresses the need for diversity management increases. Diversity management is ultimately a part of talent management, which is starting to be the main focus in the company in order to attract and retain top talent. The biggest concern in this is making sure that the path to the top is open to anyone, based solely on merits.