Staffing recruitment and selection of INTERNATIONAL HUMAN RESOURCES MANAGEMENTAparrajithaAriyadasa
In staffing in international business, HR managers must determine when or where to expatriation. Expatriate workers are frequently assigned to key positions in overseas operations. Human resource managers must also decide on the issue of compensation. The compensation of expatriate workers must be examined along with compensation of local workers and the compensation of workers in the home country. Differences in compensation packages have significant implications on staffing success, expatriate performance and business performance. HR managers must also address the issue of repatriation. Repatriation happens when the worker needs to come back to the home country, usually to continue working for the company. Repatriation also happens when the expatriate worker retires. These issues have significant effects on the perspectives and performance of expatriate workers and local workers, and the effectiveness of IHRM in staffing.
New Trends in Compensation Management (Group Mediclaim/Insurance Scheme, Personal Accident Insurance Scheme, Company Leased Accommodation,
Recreation/ATM facilities, Corporate Credit Card,
Club memberships, Cellular Phone/Laptop,
Personal Health Care, Loans, Educational Benefits, Regular Get together and other cultural programs, Wedding Day/Birthday Gift, Employee Referral Scheme, Maternity Leave, Paternity Leave, Work-life Balance, Pay Transparency, Broad banding,Variable Pay (Incentive Pay),
Flexible Benefits
International human resource management ihrmkoshyligo
International human resource management-IHRM, Introduction, Differences between Domestic and IHRM, Stages of Internationalization , Organisation structures of MNEs
Staffing recruitment and selection of INTERNATIONAL HUMAN RESOURCES MANAGEMENTAparrajithaAriyadasa
In staffing in international business, HR managers must determine when or where to expatriation. Expatriate workers are frequently assigned to key positions in overseas operations. Human resource managers must also decide on the issue of compensation. The compensation of expatriate workers must be examined along with compensation of local workers and the compensation of workers in the home country. Differences in compensation packages have significant implications on staffing success, expatriate performance and business performance. HR managers must also address the issue of repatriation. Repatriation happens when the worker needs to come back to the home country, usually to continue working for the company. Repatriation also happens when the expatriate worker retires. These issues have significant effects on the perspectives and performance of expatriate workers and local workers, and the effectiveness of IHRM in staffing.
New Trends in Compensation Management (Group Mediclaim/Insurance Scheme, Personal Accident Insurance Scheme, Company Leased Accommodation,
Recreation/ATM facilities, Corporate Credit Card,
Club memberships, Cellular Phone/Laptop,
Personal Health Care, Loans, Educational Benefits, Regular Get together and other cultural programs, Wedding Day/Birthday Gift, Employee Referral Scheme, Maternity Leave, Paternity Leave, Work-life Balance, Pay Transparency, Broad banding,Variable Pay (Incentive Pay),
Flexible Benefits
International human resource management ihrmkoshyligo
International human resource management-IHRM, Introduction, Differences between Domestic and IHRM, Stages of Internationalization , Organisation structures of MNEs
Ethnocentric Behaviour and Business Performance of Multinational Enterprises ...IJAEMSJORNAL
The globalised world has become more integrated and has witnessed an unprecedented dispersal of Multinational Enterprises (MNEs) across various nations and regions of the world. Most of these MNEs advertently or inadvertently exhibit tendencies that show them off as ethnocentric- possessing superior culture than those of their host country. This study assessed the effects of ethnocentric behaviours on the performance of MNEs in the South West of Nigeria. Adopting a survey design, the study made use of primary data collected mainly through administering a set of questionnaire to 207 management staff of selected MNEs from Oyo, Lagos and Ogun states respectively. Findings inter alia revealed that: engaging expatriates in strategic positions by MNE’s leads to increased operating costs; foreign culture of MNE’s home country negatively affects the local acceptance of management techniques by employees in host countries and MNE’s standardized marketing strategies encouraged customers’ loyalty and patronage in the Nigeria business environments. The work among other things, recommends that local employees in host nations must be incorporated into key decisions to aid MNE’s continuous effectiveness. The work, in addition to that, also advised that MNE’s should guide against culture shock i.e. the disorientation, cultural risks and stress associated with being in a foreign environment.
The internal environment e.g. staff (or internal customers), office technology, wages and finance, etc.
2. The micro-environment e.g. our external customers, agents and distributors, suppliers, our competitors, etc.
3. The macro-environment e.g. Political (and legal) forces, Economic forces, Sociocultural forces, and Technological forces. These are known as PEST factors.
This environment influences the organization directly.
It includes suppliers that deal directly or indirectly, consumers and customers, and other local stakeholders.
In this context, micro describes the relationship between firms and the driving forces that control this relationship.
It is a more local relationship, and the firm may exercise a degree of influence.
Marketers need to consider the state of a trading economy in the short and long-terms. This is especially true when planning for international marketing.
Chapter 5 How Managers Use Balance of Payments Data – p.213Do.docxrobertad6
Chapter 5: How Managers Use Balance of Payments Data – p.213
Do some research on the items in the table below and see if you see a pattern with the various country’s economies:
1. What is the G7?
2. What is the E7?
G7 Countries
Continent where the country lies
GDP
Ease of Doing Business
1.
2.
3.
4.
5.
6.
7.
NOTE: When you find the GDP (Gross National Product) note the year – you may not have 2018 statistics. That is okay –find the latest data available. You may need to search for the Ranking of Ease of Doing Business – and then find the countries that make up the G7 or the E7.
NEXT PAGE!
E7 Countries
Continent where the country lies
GDP
Ease of Doing Business
1.
2.
3.
4.
5.
6.
7.
A. Compare the 2 groups of countries – explain your findings.
Globalization Effects on Country Institutions, People and Business
Chapter 3
Key Points for the Chapter
Economic development comprises positive economic growth and entails changes in a country’s political, economic, and cultural institutions, as well as in individual values, attitudes, and behaviors.
Economic development requires resources from public and private sectors, both internal and external.
Technology transfers by international corporations comprise manufacturing technologies, management organizations, and marketing know-how.
Intro: The Economic Development Process
Economic development is the progress countries make in living standards as they experience positive economic growth and the changes occurring in societal and cultural institutions and values as nations move toward more advanced stages of industrialization.
Economic progress demonstrates human progress, and more pragmatically, it keeps politicians in power, companies busy, and consumers (and voters) optimistic about the future.
Technology Transfers
International trade, investments, and global media have opened world markets up to a variety of modernizing influences.
In general terms, technology transfers occur as corporations enter new markets with products, technologies, lifestyles, and business methods developed in their home and other international markets.
Technology transfers first affect urban segments of developing countries where there are developed infrastructures and pocket of economically significant customers.
As media become commercialization and distribution channels are built into rural areas, greater proportions of developing-country populations come into contact with modernization influences.
4
Positive Effects
Positive effects occur as societies are exposed to broad varieties of products that make lives easier.
Convenience products such as packaged foods, and consumer durables such as refrigerators, radios, televisions, and stoves have positive effects on consumer lifestyles.
New technologies in manufacturing and distribution make products cheaper and more widely available. They provide employment opportunities for lo.
2. Globalization and the Destruction of
Time and Space
• The rapid growth of global business
started with the emergence of the
Industrial Revolution.
• Availability of Transportation (Rail roads
and Steam Ships) allowed raw
materials to be transported from one
area to another in bulk. Finished
product was also transported through
these means.
3. • As technology advanced further
so did business.
• The pioneer company that posited
the idea of “going global” was the
Ford Motor Company.
• The idea was mainly to move
from a regional concentration
(America) to a global one.
4. • In the 21st century, technology has taken
global HRM through leaps and bounds.
• There is a rising trend of the use of
teleconferencing in meetings, e-mailing of
resumes, dot. Com job hunting and the
like.
• Global companies (even companies that
are just starting out) must deal with the
“McDonaldization” of society. –That is
looking at the world through a post modern
lens.
5. Human Resource and International
Challenge
Perceived global pressures of international
companies:
Deployment
Knowledge and Innovation Dissemination
Identifying and Developing Talent on the
Global Basis
7. Cultural Factors
• Wide ranging differences from country to
country require corresponding differences in
HR practices among a company.
• It is wise for an HR Director/Administrator to
learn about the culture of employees of the
company particularly if the work force is very
diverse.
8. Cultural Factors. . .continued
A study was conducted by Professor Geert
Hofstede and identified five major
international cultural differences.
1. Power Distance- how less powerful
members of the workforce accept the
unequal distribution of power (top power
distance countries- Malaysia, Guatemala,
Philippines; lowest Austria, Denmark and
Israel)
2. Masculinity versus Femininity- how society
values assertiveness versus being caring (
Most Masculine cultures-Japan, Austria and
9. Cultural Factors. . .continued
3. Uncertainty Avoidance- ability of a culture
to be “flexible”(Greece, Portugal, Belgium
and Japan)
4. Individualism- extent to which people are
allowed to “do their own thing” (Individualist-
United States and other English Speaking
countries)
5. Long term versus short term orientation-how
a culture programs people to wait for
gratification (Long- term-Taiwan, Hong
Kong, Nigeria, Pakistan, Philippines)
10. Cultural Factors. . .a brief
frameworkAccording to the Wayne Cascio, Managing Human Resources,
there are 10 brief point of cultural variables that have a
profound effect on HR.
These are:
1. Sense of Self and
Space
2. Dress and Appearance
3. Food and Feeding
Habits
4. Communication and
Language
5. Time and Time
Consciousness
6. Relationships
8.Beliefs and Attitudes
9.Work motivation and
Practices
10.Mental Processes
and Learning
11. Cultural Factors. . .examples
For the Filipinos, it may be okay to come to an
appointment late but for Americans, it is a big
no.
For the Japanese, only men can handle higher
level management, but in Sweden there is
equal opportunity for people (regardless of
sex) to advance in management.
For the Chinese it is insulting to stick your
chopsticks upright in rice bowl, For
Australians proper cutlery must be used in
eating while for Filipinos, one can use hands
12.
13. Cultural Factors. . .How to
avoid conflict• Conduct Diversity Training
• Be genuinely interested in the culture of
other people
• Learn the culture of your employees
• Create a responsive feedback mechanism
for employees
• Treat situations like racist comments and
sexist attitude seriously
14. Economic Factors
• Differences in economic systems
(due to difference in beliefs) also
translate into intercountry differences
in HR practices.
15. Economic Factors
• Countries to the right of the political
spectrum (Conservative countries,
Nationalist countries) view profit as one of
the most important goals.
• Countries to the left of the political
spectrum (Liberal Countries, Socialist
countries, Communist countries have
varied HR systems.) Liberal or free
enterprise countries tend to favor
productivity, efficient workers and staff
cutting where market forces dictate but
16. Economic Factors…
According to the 2014 Index of Economic
Freedom the following countries have the
most economic freedom:RANK COUNTRY OVERALL CHANGE RANK COUNTRY
OVER
ALL
CHANGE
1 Hong Kong 90.1 +0.8 4 Switzerland 81.6 +0.6
2 Singapore 89.4 +1.4 5 New Zealand 81.2 -0.2
3 Australia 82.0 -0.6 6 Canada 80.2 +0.8
17. Economic Factors…
While the following countries have the least
economic freedom:
RANK COUNTRY OVERALL CHANGE
173 Iran 40.3 -2.9
174 Eritrea 38.5 +2.2
175 Venezuela 36.3 +0.2
176 Zimbabwe 35.5 +6.9
177 Cuba 28.7 +0.2
178 North Korea 1.0 -0.5
18. Labor Cost Factors
• Labor cost is the overall costs to a company
associated with one employee, including wages,
benefits, taxes and insurance.
• Recruiters and human resources managers have
to take labor costs into account in every aspect of
their jobs.
• How much the department or hiring manager
can pay for an employee will inform everything
from the job description, the job title, the way the
job is marketed to applicants, the type of
candidates the recruiter can seek out and the
offers they can make to those candidates.
• Labor costs are generally the highest
expenditure for most businesses, as they
incorporate the sum total of all human related work
needed for company operations.
20. Labor Cost Factors. . .Examples
1. Madagascar ($0.18 per hour)
2. Bangladesh ($0.23 per hour)
3. Pakistan and Ghana ($0.32 per hour)
4. Vietnam ($0.39 per hour)
5. India ($ 0.48 per hour)
21. Industrial Relations Factor
• Industrial relations refer specifically to
the relationship between the worker, the
union and the employer.
• The differences are dramatic and affects
HR practices tremendously
23. Industrial Relations Factor. . .
The following are some of the world’s most
powerful labor unions:
1. All-China Federation of Trade Unions
(ACFTU)
2. Congress of South African Trade Unions
(COSATU)
3. General Confederation of Labor (CGT)-
France
4. IG Metall- Germany
5. Tunisian General Labor Union (UGTT)
24. The banes and boons of
International HR
International HR, according to Cascio 2010,
is a subject worthy of attention because of
two things:
1. Scope
2. Heightened Risk Exposure
25. On a final note. . .
According to Cascio 2010 and Dessler 2007,
companies that look to take advantage of
the international market must:
Not export headquarters-country bias
Think in global terms
Recognize that no country has all the
answers
26. References
Dessler, Gary Human Resource Management
2007
Cascio, Wayne Managing Human Resources
www.wikipedia.com
www.heritage.com
www.foreignpolicy.com
www.recruiter.com