Explaining training and adjustment diversity in multinational enterprises : literal and figurative interpretations

Purpose - This study emphasises the importance of both literal and figurative interpretations in explaining training and adjustment (cross-cultural) diversity in a multinational enterprise (MNE) context. Design/methodology/approach - The study employs structural equation models applied to employees relocated to a Malaysian subsidiary. It emphasises the importance of distinguishing between measurement, analysis and interpretation. This distinction highlights the need to not only directly quantify variables but also indirectly interpret their relationships to address diversity. Findings - The findings underscore the significance of figurative interpretation in understanding diversity, particularly at the micro level. Literal interpretation focuses on direct analysis, while figurative interpretation involves an indirect analysis where diversity may not be immediately evident. The study suggests that considering both macro and micro levels is essential in understanding training and adjustment diversity. Originality/value - This study offers a novel perspective by incorporating both literal and figurative interpretations to deepen the understanding of diversity in international business contexts. It uniquely positions itself by distinguishing between the direct quantification of variables and the indirect interpretation of their relationships. This dual approach enables a more comprehensive understanding of how training, adjustment, compliance with standards and commitment to expectations interact within MNEs. By advocating for figurative interpretation, the study encourages a more holistic analysis that extends beyond surface-level metrics, providing valuable insights for future research. It also paves the way for practitioners to develop strategies that not only address diversity at both macro and micro levels but also foster adaptability within culturally diverse work environments.