Language Access in the International World of Luxury Retail

Editors note: The following blog post discusses the interpersonal relationship and divergent business carreers of two long time friends. The tone utilized in the post is designed to convey the nature of that relationship and to convey the conversations and experiences as authentically as they occurred.

In early October of 2009, Douglas Green, VP Business Development, and Camilo Munoz, Managing Director of Translation Source had an informal lunch with Marc Hruschka, CEO of Chopard, NA. While the conversation covered many areas, Mr. Hruschka was candid and open enough to talk about dealing with issues of language access in luxury retail and the important role it plays in establishing relationships with international consumers. This encounter is told by Douglas Green, who has known Mr. Hruschka for over 14 years.

I've known Marc Hruschka a while. Our careers are forever intertwined. He has been a mentor, a friend, and a confidant.

It had been 7 years since we had seen each other. The phone calls we had while he rode the train from New York to Connecticut were not quite doing the trick.

When I confirmed a business trip to New Jersey I knew I'd have to cross the river, slip into Manhattan, and climb the steps of the Historic home Chopard now occupied across from Central Park on 61st. It had been much too long.

The Benefits of a Second Language
My first international trip with Marc was to Frankfurt, Germany to the world's largest show for ‘up market’ writing instruments, pens that could start at a hundred, but easily climb to $10,000 and, on occasion, even the rare air of 6 figures. We had had a successful day at the show, cementing some relationships, securing cooperative advertising dollars, and confirming orders for some rare finds.

That evening we went to a traditional German restaurant. Upon entering we were quickly sized up as 'American' and escorted through the main dining area with its crystal and linen to tents pitched in the back with tables arranged end to end with heaters blowing to keep the cold German air at bay.

It was at the end of the meal, when the waiter brought the bill, that the benefits of a second language were made clear.

We handed over our credit cards to the waiter who was clearly expressing complete dismay. Our service had been less than shoddy, our treatment rude, and it was clear from his facial expressions that he did not appreciate the American arrogance associated with paying for fine German food with plastic. The waiter turned, made a theatrical movement with his arms outstretched and said something to the rest of the diners in a vulgar guttural German that I couldn't understand and to be perfectly honest did not want to. Marc had had enough (and a beer or two). I'll never forget the smirk on his face as his towering frame rose and he berated the unsuspecting waiter in his mother tongue. With outstretched arms Marc smiled and finished in English 'German or English Hans? It doesn't matter to me' The waiter scurried off and miraculously processed our credit cards which minutes before had seemed an impossible task.

Camilo and I took the Ferry across the river and New York loomed large. A city big enough to handle the 3rd generation jeweler. I've never known anyone so suited for a job. Marc is a tall, good looking German with sharp features and a warm personality, he could talk spreadsheets or watches or both without much hesitation.

We climbed the steps of the historic building, the onset of winter in the air. We were immediately buzzed in.

‘Camilo Munoz and Doug Green to see Marc Hruschka'.

'Of course’ said the receptionist, ‘Marc is expecting you'.

A solid security guard escorted us up to Marc’s office. As soon as the doors opened, Marc called from behind a half closed door, the greeting was quick and sharp and immediate. Introductions were made and we quickly fled the corporate confines of luxury defining Chopard and made our way to a cozy Italian restaurant around the corner. Marc warmly greeted the maitre 'd and requested a secluded table in back.

International Luxury
We small talked about Marc's enthusiasm for the automotive world, everything from American muscle to European stealth. Our conversation turned to business and Marc was enthusiastic for the family owned brand. We discussed foreign clients and global opportunities. Chopard’s business in China was strong and growing. Russia was off, but some big sales were happening with former soviet states such as Kazakhstan and Uzbekistan.

So while this call was about connecting with an old friend, the conversation couldn't help, but turn to work.

'So Marc, really, with such an international clientele, how do you handle communication?'

The question dropped like a brick.

Mark smiled to himself, placed an olive pit on his side plate, sized the question up and decided it was innocuous. There was no doubt we could talk about anything, the sizing up was whether he was going to give me a hard time or not. He decided not.

The next few minutes were interesting in that it highlighted problems that most global companies encounter.

Marc talked about his personal experience and the company’s in reaching out to the client in their own language.

The Language Barrier
Marc’s frustration was evident as he talked about the subtlety of the side conversations that were missed when family members interpreted. The lack of a bond with the client that existed because of the lack of interpersonal communication was detrimental to explaining the brand and its provenance, something essential to selling a piece of jewelry that commanded five figures or negotiating international business deals.

Hire Bilingual Staff
Marc talked about the importance of the personal relationship. He was clear that he felt the best way to do this was to hire bilingual employees in specific target languages. There was a nuance and cultural bond that could be quickly established with someone who spoke the language. I couldn’t help but think that it was the same for most of our clients. A strong desire to hire direct and outsource when it made sense.

Translate Documentation
Marc went on to explain that it was also important to support their bilingual employees. He described how all of their documentation and brochures had been translated into their key languages, but obviously, on occasion there was a demand that could not be met, in which case, they would do their best to meet their client’s needs through the use of an interpreter.

Our conversation with the CEO of Chopard, with Marc, made clear what so many other international companies forget – the importance of the personal bond and the lack of cultural and conversational cues that allow the astute sales person to key in on the sensitive points of conversation. Whether it be the Oil and Gas executive negotiating a multi-million dollar contract or the retail sales associate trying to sell a $5,000 watch, the need for clear communication is paramount. Marc got it, Chopard got it, and most importantly, their clientele get it.

Phineas and Ferb Go Bollywood or the Ever Increasing Cultural Education of the United States

Over 28 million people in the United States were born outside of the country and over 53 million US residents speak a language other then English in the home. These are numbers are from the 2000 census and they will increase significantly with the release of the new census in 2010. The reality is that the demographic landscape of America contniues to diversify at an ever increasing rate. If you are over 30 years old in the United States then the country you grew up in is vastly different than the United States that your children will or are growing up in. Instead of The Electric Company and School House Rock our children are learning a completely different skill set through today’s early child hood television programming. The evidence of this programming became self evident this past Sunday.

It was a relaxing Sunday, the kids were in my lap and we were watching one of our favorite shows – Phineas and Ferb . The keyword is ‘our’ and if you watch Phineas and Ferb then I am sure you know what I mean. In this episode Phineas and Ferb are helping their neighbor, Baljeet, with his science project, a portal to Mars. At some point, in traditional Bollywood fashion, the neighbor, Baljeet, bursts into a traditional Bollywood song replete with backdrops of India. The episodes ending credits also ‘Go Bollywood’ with songs and images. I was pretty amazed.

Many are familiar with Dora the Explorer and her cousin Diego who teach kids Spanish while on their popular adventures. Not as many are familiar with Ni Hao, Kai-lan which takes the same premise and applies it to the Chinese langauge.

Spanish and Hispanic culture are an inherent part of the Southwestern United States. China and India continue to have an ever increasing impact on global culture as these two countries emerge on the world stage. For International business the focus is no longer solely on Europe, but what is commonly referred to as the BRICs (Brazil, Russia, India, and China). As these countries continue to influence global politics and business understanding their languages and cultures will continue to be increasingly important. (There is an excellent piece on BRICs by Goldman Sachs

here.)

As someone who deals with issues of language and culture on a daily basis, I am excited to see the inclusion of cultural education in television programming.

Businessmen and Government officials take cultural and linguistic courses in order to improve international relations. The best of these courses include an immersive technique so that language and culture can be assimilated into normal thought processes and patterns. Ideally, an individual must deveop the ability to think in another language or culture, not just translate mentally before speaking. Immersion forces the brain to begin this process.

It is exciting to note that diversity and culture have gone mainstream and our kids are being taught the importance of diversity while being exposed to the cultural backgrounds of their friends. It is this type of inclusive mentality that will ultimately help break down the barriers that exist between cultures and improve relations in our ever shrinking world.

The following is a short list of culture and language focused children’s programs.

Spanish

Dora the Explorer

Diego

Handy Manny

Chinese

Ni Hao, Kai-lan

British Culture

Charlie and Lola

Global Culture

Toot and Puddle

Culture

Little Einsteins

Thanks to two super moms, Julie Salek and Rachel Haygood, for many of these references.

Do you know of any other Children specific cultural or linguistic television programs? What about programs outside of the US?

Translation Source Executive Testifies on Healthcare Interpreter and Translator Qualifications

Douglas Green, Vice President of Business Development for Translation Source, testified on behalf of the Texas Association of Healthcare Interpreters and Translators in front of the Texas Senate Committee on Health and Human Services on May 21st, 2009 regarding qualifications for healthcare interpreters and translators.

Mr. Green testified on the economics and business case regarding the impact of utilizing highly trained and qualified interpreters and the benefits that they would provide the State, healthcare providers, and limited English proficient recipients of healthcare related services.

Mr. Green cited the $73 billion lost annually due to poor communication within Healthcare, the burden that a lack of language access creates on the Healthcare system, and the potential liability that exists when non-qualified interpreters and translators are utilized. A copy of Mr. Green's testimony can be found online at http://tinyurl.com/dgreentahit.

Mr. Green's testimony was seen as vital to the unanimous passage of a bill that would establish an advisory committee to develop healthcare interpreter and translator qualifications. The bill was signed into law by Governor Rick Perry on June 19th, 2009. A history of the law and the press releases associated with it may be found online at the Texas Association for Healthcare Interpreters and Translators website at http://www.tahit.us.

Mr. Green will also be presenting on 'The Economics of Language Access in Healthcare" at the upcoming International Medical Interpreter Association Conference in Boston, Massachussetts on October 9th-11th, 2009.

Camilo Munoz, Managing Director of Translation Source, Interviewed by the Wharton School of Business

Camilo E. Munoz G'99, W'99

Earlier this year, Camilo attended the Wharton Global Alumni Forum in Bogota in his
native Colombia. Here he talks about his exciting and varied career path since graduation.


Wharton School of Business Alumni, Camilo MunozWhat is your occupation?

I am the Founder and CEO of Translation Source. We help companies communicate in any language across 4 continents, 24 hours a day, and 7 days a week. The company is also currently launching a language interpretation solution via video conference.

What effect has Wharton had on your life?

Wharton has had an impact in my life at different levels, but the major effect has been that the School gave me the tools and confidence to manage my own career in a more satisfying and rewarding manner. In my case, that meant becoming an entrepreneur. A little interesting fact about my career progression is that I went to Wharton to become a Wall Street banker. Wharton helped me achieved that goal – I went to work at Lehman Brothers after my MBA; however, in the process, the Wharton experience changed my career expectations and goals and all my pre-Wharton plans ended up fully altered.

How would you describe your career path to fellow alumni?

It has been fun, bumpy and different than expected. Most of my pre-Wharton life took place in Colombia, my native country. My post-Wharton career has taken place in the United States and, mostly, as an entrepreneur in the language services industry. I believe in taking educated risks and that often means doing things a bit differently from the norm. The road has not always been glamorous, but it has always been exciting.

Do you have a story that illustrates the Wharton ROI?

In cold numbers, my Wharton investment was paid in two years by simply calculating my pre- and post-Wharton income differential. However, the real ROI is much greater, though more difficult to calculate. In my case, the Wharton ROI keeps going up every time I meet a potential client through the network or I share ideas with fellow alumni.

Please describe your experience with the Wharton alumni community and share any instances in which you have remained a part of the community as an alumnus.

I am fairly active in the local Wharton Houston Club which, by the way, is pretty well run. I also attend many events: This year I went to the Latin American Forum in Colombia and to my 10th year alumni reunion in Philadelphia. I highly recommend both events. I also interview MBA candidates.

What is it about your work that most excites you?

My big picture motivation drivers are (1) making a positive impact and (2) creating something that lasts. Currently, I am very excited about our video interpretation initiative. I believe this solution will increase language and health care access in an efficient manner and it will also target an often overlooked audience – LEP (Limited English Proficiency) persons in the United States. There are currently 20-25 million persons who do not speak English in the United States.

What books are you reading today?

I am usually reading one business and one literature book at any given time. Right now, my business book is “Outliers” by Malcolm Gladwell and my literature book is “Buda Blues” by Mario Mendoza.

What gets you up in the morning?

My daughter Isabella and my son Nicolas.

What do you see as the next big change in your industry/niche?

Technology adoption is the biggest shift in the interpretation and translation landscape. In the interpretation industry, the adoption of on-demand, video interpretation solutions will change a landscape currently dominated by expensive on-site interpreters and limited interpretation telephonic services. In the translation industry, machine translation is improving and will change the role translators play in the next 10 to 20 years. I believe translators tasks will increasingly be related to editing and proofreading rather than straight translation work.

Understanding the Translation Certification Process in the United States

Oftentimes clients within the United States will request that a document be certified in order to meet the needs of its intended purpose. US Entities that may require certification of translated documents include educational institutions (foreign transcripts and diplomas), the legal system (divorce decrees, marriage licenses, or law firms wishing to certify translations submitted as evidence), and the Immigration and Naturalization Service (birth certificates).

Certification of a translated document within the United States is a notarized affidavit stating that the translation is a true and accurate translation of the source document. The translation process involves many steps including translation, editing, proofreading, and desk top publishing or formatting. Each step is performed by a separate individual as part of an overall quality control process that is necessary for most any translation, but is especially important in the certification process. The certification is provided by the entity that oversees this comprehensive multi-step quality control process much as a manufacturer of clothing or other goods will put their stamp of approval on the item once it has passed their quality control process.

The certification is an additional layer of assurance to the client and anyone who may have need of the translation.

Do certified translations need to be performed by certified translators?
The short answer is no. Any entity overseeing the translation process can certify a translation.

Document certification and certification of individual translators are two separate processes. As discussed above, certification of a translation is a notarized affidavit assuring that the translated document is true and accurate to the source document, while certification of translators is a process ensuring the competency and skill level of an individual to perform translations.

Who certifies translators in the United States?
The American Translators Association (ATA), a national professional association of translators, does offer certification for translators working into and out of several languages. It is the largest organization in the industry with over 10,000 members and 30 years of experience.

In order to be certified by the ATA a translator must pass an examination that is administered across the United States several times a year. Translators must apply to take the exam by providing proof of eligibility to the ATA. Proof of eligibility includes education and other relevant experience. The test consists of translating one general subject document and another ‘technical’ document from the translator’s area of expertise from the following areas science/technology/medicine or law/business/finance. Upon completion, the translations are graded for accuracy by a select group of qualified ATA graders from across the country. Candidates that pass both the general and the technical document translations are awarded the ATA Certificate for Professional Translators.

The ATA certification is available for individuals qualified to translate into English from the following languages including; Arabic, Croatian, Danish, Dutch, French, German, Japanese, Portuguese, Russian, and Spanish and from English into Chinese, Croatian, Dutch, Finnish, French, German, Hungarian, Italian, Japanese, Polish, Portuguese, Russian, Spanish, and Ukrainian.

For hundreds of languages of lesser diffusion the ATA has yet to develop a certification/test. It is important to note that even without the certification these languages get translated everyday to and from English, by many professional translators in a very competent manner.

Chetana Baskota
chetana.baskota@translation-source.com

Accounting for Culture in Marketing and Sales

Customizing content for a specific culture is best done utilizing a systematic approach that relies on qualitative data. While many organizations tailor their approach based upon known customer needs many forget to incorporate a client’s specific culture. It is culture that will provide the framework from which marketing and sales efforts are perceived and it is through cultural knowledge that the savvy professional and organization will differentiate themselves.

The approach described herein has been developed by Geert Hofstede. It is an approach that provides both qualitative and quantitative data. The approach described is intended to be universal, but should also be augmented with specific target market knowledge. In today’s Global society, culture is not static, but rather constantly evolving.

The key criteria utilized to define and give insight into culture are;

Collectivism-Individualism
The degree to which a person is responsible to self or the larger group or society.

Uncertainty Avoidance
The degree to which a society is risk averse or risk takers.

Power Distance
The emotional distance between superiors and subordinates.

Gender Orientation
The degree to which a society exhibits behaviors associated with gender stereotypes.

Time Orientation
A complex measurement of a variety of factors including sequential versus synchronous, the perception of past, present, and future, and short versus long term orientation.

Each culture is rated by their propensity across these criteria to gain a better insight into cultural expectations and responses.

The world averages for the above criteria are as follows;

Collectivism-Individualism: 43
The higher the rating the more an individual within this society is expected to look after himself and his/her immediate family. The lower the rating the more we see individuals integrated into strong, cohesive in-groups, often extended families. The US has the globe’s highest Individualism score at a 91.

Uncertainty Avoidance: 64
Countries that score high on the uncertainty avoidance index are countries that have strict laws and regulations, a highly structured society, and tend to be more homogenous. Countries that score low tend to be more accepting of different opinions, beliefs, and cultures. The US has a score of 46 indicating a more accommodating culture accepting of differing in beliefs and opinions.

Power Distance: 55
A higher power distance rating assumes a greater inequality between societal levels, organizations, and within families while a lower rating assumes greater equality. The US rating is a 40 which is indicative of greater equality.

Gender Orientation: 50
The Masculinity/femininity index indicates that the higher the score the more assertive and competitive the culture (Masculine), the lower the score the more modest and caring (Feminine). The US has a score of 62.

Time Orientation: 45
Long term versus short term time orientation provides several insights into the focus of a particular culture. Cultures with a short term orientation focus on values such as 'saving face' and respecting tradition while cultures that focus on the longer term tend to focus on thrift and perseverance. The US has a score of 29 in this dimension indicating preference for a short term time orientation. A country such as China has a score of 118.

This introductory post is the beginning of a series that will offer specific examples of each criteria as well as specific applications for a variety of different cultures and countries. Feedback, comments, and specific inquiries can be forwarded to Doug Green at doug.green@translation-source.com.

Estimating the Number of LEP (Limited English Proficient) Persons in the United States

The term LEP is widely used in healthcare, legal and educational settings. As defined by the Department of Justice LEP Guidance, LEP persons are “"those individuals who have a limited ability to read, write, speak or understand English". The significance of the term is, without a doubt, related to Title VI of the Civil Rights Act which prohibits recipients from discriminating on the basis of race, color or national origin, and contemplates a close nexus between one's national origin and one's language.

At Translation Source, our clients often ask us about the size and character of the LEP market. Given the limited public information that addresses this, we undertook an internal study of the matter. This blog post is an introduction to our findings. We are currently developing a full white paper discussing the LEP market that we expect to publish in September 2009.

There are two major challenges when estimating market size of the LEP population: First, the DOJ definition allows for subjectivity: Should we include persons who are deaf or hard of hearing? How should we define "limited ability"? Second, the latest reliable information on the matter comes from the 2000 census, which is obviously outdated. To overcome these obstacles, we made several assumptions in our study including the following:

• We did not include persons who are deaf or hard of hearing.
  


• We defined the LEP population as all of those who do not speak English very well and those who do not speak English at all, as defined by the 2000 Census.
  


• To update the data of the 2000 Census, we assumed that the number of LEP Spanish speakers has grown at the same rate as the aggregate growth of the Hispanic population and that the LEP non-Spanish speakers has grown at the same rate as the aggregate growth of the Asian American population. The growth numbers were taken from U.S. Census Bureau estimates.

Our analysis shows that there are an estimated 25 million LEP persons in the United States as of July 1, 2008. There are meaningful data points taken away from this number:

The current LEP population is comparable to that of the entire population of the state of Texas or 20% larger than the populations of Kansas, Nebraska, Missouri, South Dakota, North Dakota, Oklahoma, Colorado, Montana, and Wyoming combined.

California, Texas, New York, New Mexico, Illinois and Florida average a 15% LEP population with 33% of the population speaking a language other than English in the home.

• California: 6.7 million or 20% are LEP, 14.2 million or 42.3% speak a language other than English in the home.
  


• Texas: 3.1 million or 14.6% are LEP, 7.1 million or 33.5% speak a language other than English in the home.
  


• New York: 2.3 million or 13% are LEP, 5.1 million or 28.6% speak a language other than English in the home.
  


• New Mexico: 188 thousand or 10% are LEP, 648 thousand or 36% speak a language other than English in the home.
  


• Illinois: 1.1 million or 9.8% are LEP, 2.5 million or 21.6% speak a language other than English in the home.
  


• Florida: 1.9 million or 11.7% are LEP, 4.3 million or 25.6% speak a language other than English in the home.
  

The LEP population may be growing three times as quickly as the general U.S.
population

We welcome your comments and would love to hear your opinion via this blog or through or Facebook page. Also, we would like to hear about how you see the increasing importance of the LEP market affecting your job and how your company or institution is adapting to meet the challenges generated by this trend.

Brazil Eyes US Investment in Renewable Energy Through Contract Stability

The Greater Houston Partnership hosted a breakfast roundtable discussion with Brazil's Deputy Minister of Mines and Energy Marcio Zimmerman at the Federal Reserve Bank in Houston, Texas on July 10th, 2009.The Deputy Minister addressed two key points during the breakfast.The first was the desire for increased investment by the US in Brazil. The second being Brazil's energy plans through the year 2030.

Deputy Minister Marcio Zimmerman stated that Brazil understood the need for contractual stability in the regulatory and legal environment of Brazil in order to achieve foreign investment. He repeatedly emphasized the opportunities for US companies to be successful in Brazil and candidly discussed the need for Brazil to create an environment of stability. Zimmerman stated that 46% of Brazil's energy is renewable (most of which is Hydroelectric) and that the US has the highest investment in renewable energy in the world. Brazil is committed to stabilizing the contractual environment in order to make investment possible. He also stated that it was important to always realize that when dealing with natural resources it was important to act in a manner that was in the best interests of the people of Brazil.

Brazil's Energy plans through 2030 rely on increased investment in renewable resources and utilizing new technologies to create greater efficiencies and less environmental impact. While hydroelectric power would continue to be a major area of investment for Brazil, biofuels, solar power and wind energy would also be heavily invested in. The Deputy Minster also noted that he was quite surprised at the advanced stage of US biofuel development and felt that this could be another area for US and Brazil cooperation as biofuels only represent 4-5% of Brazilian diesel production. The Deputy Minister ended by discussing the simlarities that exist between the US and Brazil stating that both countries benefit from vibrant multicultural backgrounds and that there are natural synergies for cooperation within the energy industry.