Understanding the concept of International Human resource management in terms of recruitment and training. Basic concepts and clear understanding. all the Various methods of recruitment-offline as well as online methods and various types of training such as an internship , apprenticeship etc.

1.
A
Study
of
INTERNATIONAL
HUMAN
RESOURCE
MANAGEMENT-­‐
Recruitment
and
Selection
By
Antara
Rabha
(15026)

2. 2
Acknowledgement
I
would
like
to
take
this
opportunity
to
offer
my
sincere
gratitude
towards
all
the
people,
who
have
helped
and
motivated
me
all
through,
to
bring
about
this
project.
First
and
foremost,
I
would
want
to
extent
my
gratitude
towards
my
college
mentor,
Dr.
Taranum
Ahmad,
whose
constant
guidance
and
useful
suggestions
and
each
and
every
stage
of
this
project,
made
It
possible
for
me
to
have
a
better
understanding.
I
would
also
like
to
thank
all
the
people
who
showed
their
support,
either
through
their
constructive
criticism,
or
through
expression
of
their
views
through
questionnaire.
They
helped
me
to
complete
this
project
successfully.
Antara
Rabha

3. 3
Table of contents
Serial
Number
Topic Page
number
1. Introduction 4
2. Objectives 5
3. What is international human resource
management and the difference between
domestic and international human resource
management
6-7
4. Factors influencing international human
resource management
8-11
5. International staffing and its approaches 12-13
6. Factors affecting the Selection Criteria for
International Human Resource
14-17
7. Conclusion 18
8. Bibliography/references 19

4. 4
Introduction
With the evolution of globalization all these MNCs or MNEs, HRM is a key
to success. For the vast majority of organizations, the cost of the people who
do the work is the largest single
item of operating costs. Increasingly, in the modern world, the capabilities
and the knowledge incorporated in an organization’s human resources are
the
key to performance. So on both the cost and benefit sides of the equation,
IHRM is crucial to the survival, performance and success for international
organizations, the additional complications of dealing with multicultural
assumptions about the way people should be managed and differing
institutional constraints become important contributors to the chances of that
success.
The need for human resource specialists to adopt an increasingly
international orientation in their functional activities is widely acknowledged
and becoming ever clearer for recruiting and selecting the right candidate.

5. 5
Objectives
1. To understand International Human Resource Management and the
difference between Domestic Human Resource Management and
International Human Resource Management
2. Factors affecting International Human Resource
3. International Staffing
4. Selection criteria for International Human Resource Employees

6. 6
What is International Human
Resource Management?
International Human Resource Management is the way toward getting
designating and adequately utilizing the Human Resource in a multinational
company. While HR Managers in these association need to coordinate HR
strategies and practices over various backups spread in a few nations so that
the association objectives can be accomplish in the meantime they need to
make these approaches and practices adequately adaptable to permit
noteworthy contrasts in these arrangements in various countries. It is
distinguishing and seeing how the MNC's deal with their topographically
scattered worked compel so as to use their HR assets for acquiring nearby
and worldwide upper hand.
The most widely recognized obstructions to viable HR administration are
diverse adjustment, distinctive hierarchical/workforce values, contrasts in
administration style, and administration turnover. Working together all
together requires the adjustments to be made to mirror of these elements. It
is urgent that such concerns be viewed as interrelated by directors and
experts of human resource as they work together and set up operations all-
inclusive. There are three types of people working in an international
organization that are as follows:
1. Home country employees- Employees belonging to home country of the
firm where the corporate head quarter is situated.
2. Host country employees- Employees belonging to the nation in which the
subsidiary is situated.
3. Third country employees- These are the employees who are not from
home country/host country but are employed at subsidiary or corporate
head quarters. Example- A British MNC that has a subsidiary at India may
employ a French person as the CEO to the subsidiary.

7. 7
What is the difference between
International Human Resource
and Domestic Human Resource
Management
Domestic
Human
Resource
Management
International
Human
Resource
Management
Domestic HRM is done at national level IHRM is done at international level.
Domestic HRM is concerned with
managing employees belonging to one
nation only.
IHRM is concerned with
managing employees belonging to many
nations (Home country, host country and
third country employees)
Domestic HRM is concerned with
managing limited number of HRM
activities at national level.
IHRM has concerned with managing human
resource activities as well as additional
activities such as expatriate management.
c HR Domestic HRM is less complicated due to
ue l less influence from the external factors.
IHRM is very complicated as it is affected
heavily by external factors such as cultural
distance and institutional factors.

8. 8
Factors influencing
International Human Resource
Management
Managing human resources in different cultures, economies, and legal
systems presents some challenges. However, when well done, HR
management pays dividends and also recognizes the employees
The most well known hindrances to successful International Human
Resource Management are culturally diverse adjustment, distinctive
hierarchical/workforce values, contrasts in administration style, and
administration turnover. Working together all around requires that
adjustments be made to mirror these variables. It is vital that such concerns
be viewed as interrelated by directors and experts as they work together and
build up operations all around. Each of those elements will be explained in
detail:
1.
Legal
and
Political
Factors
In many nations, the legal and political systems are turbulent. The different
government regulations influence every process of the HR department,
including hiring, training, compensation, termination, and much more.
Without adhering to such regulations a company can be fined extensively
which if it was bad enough could cause the company to shut down. Legal
systems vary in character and stability, with business contracts sometimes
becoming unenforceable because of internal political factors.
International firms may have to decide strategically when to comply with
certain laws and regulations and when to ignore them because of operational
or political reasons. HR regulations and laws vary among countries in
character and detail. Example-In many Western European countries, laws on
labor unions and employment make it difficult to reduce the number of
workers because required payments to former employees can be very high,

9. 9
as the HR Perspective on the next page indicates. Equal employment
legislation exists to varying degrees.
In some countries, laws address issues such as employment discrimination
and sexual harassment. In others, because of religious or ethical differences,
employment discrimination may be an accepted practice. All of these factors
reveal that it is crucial for HR professionals to conduct a comprehensive
review of the political environment and employment-related laws before
beginning operations in a country. The role and nature of labor unions
should be a part of that review.
2.
Economic
Factors
One of the greatest factors that influence the International Human Resource
Management is the current state of the present economy. It influences the
ability pool, as well as it may influence the capacity to contract the
organization as well. One of the approaches to get prepare the organization
against financial conditions is to not just realize what's going on in the
country’s general surroundings, additionally make an arrangement for when
there is a monetary downturn. All organizations can make due in a terrible
economy in the event that they have a blustery day reserve or plan to battle
the unforgiving condition. Distinctive nations have diverse monetary
frameworks. Some even still work with an adjusted variant of socialism,
which has basically fizzled. For instance, in China socialism is the authority
financial approach. Be that as it may, as the administration endeavors to
move to a more blended model, it is utilizing unemployment and cutbacks to
diminish government undertakings bloated with an excessive number of
specialists.
Numerous countries are open to outside interest with a specific end goal to
make employments for their developing populaces. Worldwide firms
regularly acquire altogether less expensive work rates in these nations than
they do in Western Europe, Japan, and the United States. Be that as it may,
regardless of whether firms can understand noteworthy benefits in creating
countries might be dictated by cash variances and confinements on exchange
of income.
Likewise, political precariousness can prompt circumstances in which the
advantages of outside firms are seized. What's more, countries with frail
economies will most likely be unable to put resources into keeping up and

10. 10
updating the vital components of their frameworks, for example, streets,
electric power, schools, and broadcast communications.
3.
Cultural
Factors
Cultural forces represent another important concern affecting international
HR management. Culture is composed of the societal forces affecting the
values, beliefs, and actions of a distinct group of people. Cultural differences
certainly exist between nations, but significant cultural differences exist
within countries also. Getting individuals from different ethnic or tribal
backgrounds working together may be difficult in some parts of the world.
Culture can lead to ethical differences among countries. There are certain
dimensions to culture which are listed as follows:
i) POWER DISTANCE
How a culture deals with hierarchical power relationships leading to
inequality among the people of a nation.
One way in which differences on this dimension affect HR activities is that
the reactions to management authority differ among cultures. A more
autocratic approach to managing is more common in most other countries.
ii) INDIVIDUALISM
Another dimension of culture identified is individualism, which is the extent
to which people in a country prefer to act as individuals instead of members
of groups. On this dimension, people in Asian countries tend to be less
individualistic and more group-oriented, whereas those in the United States
score the highest in individualism. An implication of these differences is that
more collective action and less individual competition is likely in those
countries that deemphasize individualism.
iii) MASCULINITY/FEMININITY
The cultural dimension masculinity/femininity refers to the degree to which
“masculine” values prevail over “feminine” values. Masculine values
identified were assertiveness, performance orientation, success, and
competitiveness, whereas feminine values included quality of life, close
personal relationships, and caring. Respondents from Japan had the highest
masculinity scores, while those from the Netherlands had more femininity-
oriented values.
iv) UNCERTAINTY AVOIDANCE
The dimension of uncertainty avoidance refers to the preference of people in
a country for structured rather than unstructured situations. A structured

11. 11
situation is one in which rules can be established and there are clear guides
on how people are expected to act as certain countries have a rigid way to
work in an organization others might be flexible.
A logical use of differences on this factor is to anticipate how people in
different countries will react to changes instituted in organizations. In more
flexible cultures, what is less certain may be more intriguing and
challenging, which may lead to greater entrepreneurship and risk taking than
in the more “rigid” countries.
v) LONG-TERM ORIENTATION
The dimension of long-term orientation refers to values people hold that
emphasize the future, as opposed to short-term values, which focus on the
present and the past. Long-term values include thrift and persistence, while
short-term values include respecting tradition and fulfilling social
obligations.
4.
Technological
Advancements
This is considered an external influence because of the environment getting
dynamic and new technologies getting introduced rapidly in the Human
Resource department can start looking at how to downsize and look for ways
to save money. A job that used to take 2-4 people could be cut to one done
by a single person. Technology is revolutionizing the way we do business
and not just from a consumer standpoint, but from an internal cost-savings
way. Hence, at times employees are not willing to take the risk.

12. 12
International Staffing
International Staffing refers to the process of providing staff for the
subsidiary/ subsidiaries in various countries. This means that international
staffing is concerned with the recruitment and selection of both the
expatriates (wherever applicable) and also the host country nationals or local
people in the country where the subsidiary is located.
Approaches to international
staffing are as follows:
In international human resource management, the types of staffing policy
approaches are as follows:
1.
Ethnocentric
staffing
The ethnocentric policy approach to staffing designates home country
nationals as top ranking employees in global operations. For instance,
executive positions are given to Indians in an office of an American
company located in France. The main benefit of this staffing policy
approach is that it allows the organization to ensure that the people in the top
positions are experienced in the business of the firm. This is especially the
case where the host country does not have enough qualified workers for
staffing top positions in the organization. The ethnocentric staffing policy
approach is also used to ensure that the culture of the entire organization is
unified rather than diversified. However, the problem with the ethnocentric
policy approach is that it does not fully support the transfer of local
knowledge to the company. Also, this staffing policy approach could block
locals from promotion in the organization.
2.
Polycentric
staffing
The polycentric policy approach to staffing assigns home country workers to
top positions in the central offices or headquarters, and overseas local
workers to other positions. The main advantage of this policy approach is
that it facilitates organizational learning on local markets. This staffing
policy approach also provides better opportunities for locals to improve their
careers through promotion. However, this promotion is limited to key

13. 13
positions in the local operations, and does not include central or corporate
top positions. This staffing policy approach is disadvantageous because it
could create knowledge and performance gaps between overseas managers
and managers in the home country.
3.
Geocentric
staffing
The geocentric policy approach to staffing assigns job positions to any
person best suited for the position, regardless of the employee’s background,
culture or country of origin. The main advantage of this staffing policy
approach is that it is highly flexible. It can increase the firm’s cultural
knowledge about the different markets and countries. However, a
disadvantage of this staffing policy approach is that it could be difficult to
apply. Immigration policies, costs of worker relocation and diversity
management create pressure on HR management.
4.
Regiocentric
Company's international business is divided into international geographic
regions. The regiocentric approach uses managers from various countries
within the geographic regions of business. Although the managers operate
relatively independently in the region, they are not normally moved to the
company headquarters. The regiocentric approach is adaptable to the
company and product strategies. When regional expertise is needed, natives
of the region are hired. If product knowledge is crucial, then parent-country
nationals, who have ready access to corporate sources of information, can be
brought in.
One shortcoming of the regiocentric approach is that managers from the
region may not understand the view of the managers at headquarters. Also,
corporate headquarters may not employ enough managers with international
experience.

14. 14
Factors affecting the Selection Criteria for
International Human Resource
Settling on a compelling determination choice for an abroad task can end up
being a noteworthy issue. Normally, this choice depends on global
determination criteria, which are elements used to pick worldwide directors.
These determinations are affected by the Multinational Corporations
experience and frequently are socially based. Each organization has an
alternate arrangement of criteria's on which they select a worker for a global
task however generally the accompanying components are constantly noted
before selecting an employee: -
1. Personal characteristics
Incorporates such properties as adaptability and hazard taking capacity,
enthusiastic steadiness and requests, money related and financial concerns
and vocation improvement, capacity to endure vague circumstances and
capacity to adapt push.
A human resource head needs to keep a check on everyone for the
components previously mentioned are fulfilled for an employee so that
he/she can focus in the job and works gently and in the following coming up
years.

15. 15
2. Communication skills
One of the most basic skills needed by expatriate employees is the ability to
communicate orally and in writing in the host-country language Failure to
impart satisfactorily in the communication may fundamentally hinder the
accomplishment of an ostracize. Relational abilities incorporate dialect
capacities, nonverbal mindfulness, coaching and listening aptitudes and
capacity to relieve conflicts. Here too the nearby HR capacity is in the best
position to make a practical evaluation of the potential candidates but in any
language there is something else entirely to correspondence than essentially
vocabulary. Greetings, gestures, pace, and closeness all is distinctive in
different nations. Fundamental values about other individuals and interfacing
with them are in any event as essential as talking the language.
3. Organizational requirements
The human resource practitioner needs to consider the organizations
requirements before selecting a candidate, host country governments can
stop the transfer of expatriates. The host government, is the ones that issue
the working permits and visas to the expatriates, therefore,
the parent country need to prove that there is
no available host national country Also, organizational requirement also
includes the organizational knowledge, technical abilities and job-related
skills. This may be undertaken by the local HR function but under the total
guidance and participation of the HR function of the parent company.
4. Cultural adjustments
Every nation has a different culture. Example -In many parts of the world,
arriving late to a social gathering are considered quite rude, but that’s not the
case in South America. In Chile, if the host says that dinner will be served at
8:00 PM, guests are expected to arrive around 8:15 or even as late as 8:30.
Hence, cultural adjustments include cultural awareness, cultural adaptability,
and ability to accept diversity and multinational experience.

16. 16
5. FAMILY FACTORS
The inclinations and mentalities of life partners and other relatives likewise
are major staffing contemplations. Two of the most widely recognized
explanations behind turning down international assignments are family
contemplations and companions' professions. About three-fourths of exiles
are hitched and with the development in double profession couples, the
trouble of exchanging universal representatives is probably going to
increment, especially given work-allow confinements normal in numerous
nations. Some international firms have started profession administrations to
suit the employees’ family.
6. Age, Experience, and Education
Most Multinational Corporations strive for a balance between age and
experience. There is proof that more youthful managers are more anxious for
international assignments. These directors have a tendency to be all the more
"common" and have a more prominent valuation for different societies than
more seasoned administrators do. By a similar token, young managers
frequently are the minimum created in administration experience and
specialized abilities; they need genuine experience. To pick up the coveted
adjust, many firms send both youthful and prepared work force to the same
abroad post Many organizations consider a scholastic degree, ideally a
graduate degree, to be of basic significance to a worldwide official;
nonetheless, all inclusive understanding with respect to tie perfect kind of
degree is nonexistent. MNC's, obviously, utilize formal instruction just as a
state of flight for their particular preparing and improvement endeavors.
7. Motivation for a Foreign Assignment
Despite the fact that people being sent abroad ought to want to work abroad,
this as a rule is not adequate inspiration. International management
specialists battle that the candidate additionally should have confidence in
the significance of the occupation and even have something of a component
of optimism or a feeling of mission. Candidates who are despondent with
their ebb and flow circumstance at home and are hoping to escape from time
to time make viable abroad directors.
A few specialists trust that a craving for enterprise or a spearheading soul is
a satisfactory purpose behind needing to go abroad. Different objectives that

17. 17
frequently are referred to incorporate the craving to expand one's odds for
advancement and the chance to enhance one's financial status. For instance,
numerous U.S. MNCs view worldwide experience as being basic for
advancement to the upper positions. What's more, on account of the
supplemental wage and advantage bundle, U.S. administrators now and
again find that they can make, and particularly spare, more cash than if they
remained stateside.
8. Leadership Ability
The ability to influence people to act in a particular way-leadership-is
another important criterion in selecting managers for an international
assignment. Determining whether a person who is an effective leader in the
home country will be equally effective in an overseas environment can be
difficult, however. When determining whether an applicant has the desired
leadership ability, many firms look for specific characteristics, such as
maturity, emotional stability, the ability to communicate well, independence,
initiative, creativity, and good health. If these characteristics are present and
the person has been an effective leader in the home country, MNC’s assume
that the individual also will do well overseas.

18. 18
Conclusion
With the dynamic changes in the world and due the globalization
international human resource has become an important aspect of
every international company who is working overseas.
Understanding an unknown country and Staffing of the
international organization is probably the most dynamic Activity
globally for all human resource managers. Human Resource
managers, who understands the employees and forecasts the need
of employees and what kind of employees are suitable for the
international organization’s future demand and supply, of the right
type of people in the right number, is closely linked to the business
plan of the MNCs. The staffing strategies differ based on the phase
in the life cycle of the MNCs. Hence, it is very important to
understand the difference between domestic and international
human resource management to completely understand the needs
and the standards of the parent country and the host country.

19. 19
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