International human resource management involves managing employees across borders and dealing with complexities arising from cultural and regulatory differences between countries. Key aspects include recruiting and selecting expatriates for international assignments, providing them cross-cultural training, managing compensation and benefits globally, and ensuring smooth repatriation. Firms need to balance ethnocentrism, polycentrism and geocentrism when making decisions related to international human resource management.

1. INTERNATIONAL HUMAN RESOURCE MANAGEMENT Chapter EXCEL BOOKS 30-1 30

2. ANNOTATED OUTLINE 30-2 INTRODUCTION In recent times, the trade barriers between nations have almost disappeared. Communication links have become faster and cheaper. There is convergence of consumer tastes also. The scarce resources of the nations have been moving around freely. In this scenario, companies have realised the importance of expanding their reach throughout the globe, integrating their production, finance, marketing and research activities in a careful way. In a way, this would mean sending and more and more employees overseas on temporary assignments. When sent abroad on such assignments, expatriates face unique problems International Human Resource Management

5. 30-5 In the new millennium, of course, the traditionally conceived and practiced leadership skills do not seem to produce results. The leadership skills that are required for the newly emerging global economy seem to be somewhat different. International Human Resource Management International Human Resource Management

6. 30-6 International Human Resource Management Competencies needed by a transnational managers Transnational Skills Transnationally competent managers Traditional international managers Global perspective Understand worldwide business environment from a global perspective Focus on a single foreign country and on managing relationships between headquarters and that country Local responsiveness Learn about many cultures Become an expert in one culture Synergistic learning   Work with and learn from people from many cultures simultaneously  Create a culturally synergistic organisational environment Work with and coach people in each foreign culture separately or sequentially Integrate foreigners into headquarters’ national organisational culture Transition and adaptation Adapt to living in many foreign cultures Adapt to living in a foreign culture Cro ss - cultural interaction Use cross - cultural interaction skills on a daily basis throughout one’s career Use cross cultural interaction skills primarily on foreign assignments Collaboration Interact with foreign colleagues as equals Interact within clearly defined hierarchies of structural and cultural dominance Foreign experience Transportation for career and organisation development Expatriation or impartation primarily to get the job done.    

7. 30-7 International Human Resource Management International Human Resource Management It is the process of procuring, allocating and effectively utilising human resources in a multinational corporation. Generally speaking, there are three sources of employees for an international assignment: parent country nationals, host country nationals and third country nationals. When compared to domestic HRM, the scope of IHRM is very wide as it has to take care of a number of constituencies

8. 30-8 International Human Resource Management Model of International HRM

9. 30-9 Expatriate managers, generally, face a kind of culture shock when they begin their operations in a different cultural setting. The list of barriers that confront them seem to be unending International Human Resource Management Cultural Differences And HRM

12. 30-12 Cross cultural training techniques for expatriate managers International Human Resource Management (a) Documentary programmes: Trainees read about a foreign country's history, culture, institutions, geography, and economics. Videotaped presentations are often used. (b) Culture assimilation: Cultural familiarity is achieved through exposure to a series of simulated intercultural incidents, or typical problem situations. This technique has been used to quickly train those who are given short notice of a foreign assignment. (c) Language instruction: Conversational language skills are taught through a variety of methods. In most multinational companies, executives learn various languages in a routine way, so that they can be useful to the company in case of short-term foreign assignments. (d) Sensitivity training: Experiential exercises teach awareness of the impact of one's actions on others. (e) Field experience: Firsthand exposure to ethnic subcultures in one’s own country or to foreign cultures heightens awareness. (f) Business basics: This covers negotiating cross-culturally, working with various types of clients, making presentations etc. (S. Oden Wald, "A Guide for Global Training", Training and Development, July 93.)

13. 30-13 International Human Resource Management Economic Factors And HR Practices Differences in economic systems among countries also translate into inter country differences in HR practices. In free enterprise systems, companies focus on cost cutting, enhancing shareholder value, productivity etc. in socialist systems, the focus shifts to prevention of unemployment, even at the expense of efficiency. In labour surplus and capital hungry economies like India, upholding labour laws, respecting political ideologies, and offering jobs to economically poor and underprivileged sections may occupy the centre stage. These inter-country differences in cultures, economic systems, labour policies, thus, complicate the task of selecting, training and managing employees abroad.

17. 30-17 Expatriate managers : success and failure International Human Resource Management