Presentation and Assignment for EMBA International HRM challenge in a global perspective Dhaka International University

1. International HRM Challenges in a Global Perspective
Adapting HR Practices for a Global Workforce
Mr. Ismail Mohamed Mohamud
Batch:52/A
Roll :23
Mohammad Rezaur Rahman
Assistant Professor
Department of Business Administration

2. Introduction to IHRM
Definition: International HRM (IHRM) refers to the set of activities, practices, and
functions used to manage human resources in multinational enterprises.
Significance: In today's interconnected global business environment, IHRM plays a
pivotal role. It ensures that companies can effectively manage a diverse workforce,
adhere to varying local regulations, and capitalize on global talent opportunities, all
while maintaining organizational cohesion.

3. The Scope of IHRM
Staffing: The process of hiring suitable candidates for global operations, considering both
expatriates and local hires.
Training & Development: Preparing employees for international roles, offering
cross-cultural training, and aligning skill development with global objectives.
Employee Relations: Maintaining healthy interactions among employees,
addressing grievances, and fostering a cohesive global organizational culture

4. Challenge 1 - Cultural Differences
Description: Cultural nuances influence work values, communication, and management. Understanding these differences
is pivotal for harmonious global operations.
Work Ethics: Different cultures emphasize aspects like punctuality, hierarchy, and individual vs. group achievements
differently.
Communication Styles: High-context cultures (e.g., Japan) rely on non-verbal cues, context, and
relationships in communication. In contrast, low-context cultures (e.g., USA) prioritize direct, clear, and
explicit verbal information.
Management Approaches: Leadership styles, decision-making processes, and feedback
mechanisms vary. For instance, some cultures may value a more collective approach, while
others prefer top-down decisions.

5. Challenge 2 - Legal and Regulatory Differences
Overview: Navigating diverse employment laws and regulations is crucial for multinational enterprises.
Missteps can lead to legal repercussions and tarnish corporate reputation
Employment Laws: These can dictate hiring practices, contract terms, and termination rights. They vary
significantly from one country to another.
Labor Practices: Union affiliations, collective bargaining rights, and employee benefits can differ drastically.
For instance, some countries may have strong union representations while others may not.
Regulatory Environment: Regulations on work hours, overtime, and workplace safety can be region-specific
and must be adhered to strictly.
Example: While EU countries may have more stringent regulations regarding work hours and employee
protections (like GDPR for data privacy), some Asian countries might focus more on flexible contracts and
hierarchical organizational structures.

6. Challenge 3 - Managing Expatriates
Overview: Managing expatriates involves more than just hiring. It encompasses their selection, training,
and ongoing support to ensure their success in foreign assignments.
Selection: Finding the right candidates who possess not only the required skills but also the adaptability
to thrive in a different cultural environment.
Training & Support: Providing cultural assimilation training, language lessons, and perhaps even
emotional support or counseling services. This aids in the adjustment phase and mitigates potential
issues.
Expatriate Failure: When expatriates return prematurely due to inability to adjust, it leads to high costs
for the company. This could be due to personal reasons, job dissatisfaction, or challenges in adapting to
the new culture.
Example: Consider the scenario of a U.S. employee relocating to Japan. Without proper training and
support, they might face challenges in understanding the hierarchical work culture or communication
nuances, leading to potential misunderstandings and inefficiencies.

7. Challenge 4 - Diverse Recruitment Strategies
Overview: In a globalized world, recruitment is not one-size-fits-all. Companies must tailor their
strategies to resonate with local talent while upholding global standards.
Local Recruitment Tactics: Different countries have unique job portals, hiring events, and recruitment
norms. Understanding and leveraging these local avenues is crucial for effective talent acquisition.
Global Consistency: While localization is essential, companies must ensure that their core values,
mission, and brand messaging remain consistent across borders.
Balancing Act: Recruitment messages should be tailored to local cultural and professional norms
without compromising the global brand identity. This balance ensures both relevance and recognition.
Example: A tech company may emphasize work-life balance and flexible hours when recruiting in
Scandinavian countries, known for their emphasis on employee well-being. In contrast, in competitive
Asian markets, they might highlight career growth opportunities and cutting-edge projects.

8. Challenge 5 - Compensation and Benefits
Overview: Crafting compensation packages in a global setting involves addressing local market
conditions while ensuring equity and fairness across the board.
Competitive Compensation: Salaries and bonuses should reflect both the local market rates and the
global standard of the company. Considerations include living costs, local salary benchmarks, and
currency fluctuations
Diverse Benefits Expectations: What's seen as a standard benefit in one country might be a premium
perk in another. Companies must navigate local expectations, be it healthcare, leave policies, retirement
plans, or other non-monetary benefits.
Equity and Fairness: Ensuring employees in similar roles, regardless of their location, feel they're
fairly compensated. This promotes morale, reduces turnover, and enhances the company's reputation.
Example: In the U.S., comprehensive healthcare might be a sought-after benefit. In contrast, in
countries with universal healthcare, employees might prioritize extended vacation time or educational
benefits

9. Challenge 6 - Training and Development
Overview: In a global environment, training and development must be agile and tailored, ensuring
employees are equipped to perform and thrive in diverse settings.
Adapting Training Programs: Recognizing that not every training module crafted for the
headquarters will resonate in a foreign branch. Training must be adapted to local languages, cultures,
and market specifics.
Cross-Cultural Training: Essential for teams spread across continents. Helps in understanding
different work cultures, communication nuances, and business etiquettes, promoting harmony and
productivity.
Continuous Development: In the ever-evolving global business landscape, ongoing development
ensures employees remain at the forefront of industry standards, irrespective of their location.
Example: A global sales team might require specific training modules on negotiation styles in the
Middle East, business etiquette in Japan, and building rapport in Latin America.

10. Challenge 7 - Technology and Communication
Overview: In a globalized workplace, effective use of technology and communication strategies is
vital to bridge geographical and cultural gaps.
Time Zone Differences: Synchronizing team collaborations across multiple time zones requires
planning. Flexibility in meeting timings and asynchronous communication tools can help.
Leveraging Technology: Virtual tools, from video conferencing to cloud collaboration platforms,
enable seamless interaction among dispersed teams, fostering productivity and unity.
The Digital Divide: Not all regions have equal access to advanced tech infrastructure. Addressing
these disparities ensures that all team members have the tools they need to contribute effectively.
Continuous Development: In the ever-evolving global business landscape, ongoing development
ensures employees remain at the forefront of industry standards, irrespective of their location.
Example: While a team in the U.S. might take high-speed internet and 24/7 connectivity for granted,
a counterpart in a remote region of Africa might face challenges like limited bandwidth or power
outages.

11. Best Practices in Overcoming IHRM Challenges
Overview: Successfully navigating IHRM challenges requires a blend of flexibility, continuous
improvement, and local collaboration.
Flexible Approach: Recognize that global practices must sometimes be adapted to fit local contexts.
A strategy that works in one country might require modification in another.
Continual Learning & Feedback: Regularly solicit feedback from local teams. Use this to refine
and improve HR practices. This iterative approach ensures HRM practices remain relevant and
effective.
Local Expertise & Partnerships: Engage with local HR professionals and establish partnerships
with local entities. They bring invaluable insights about the cultural, legal, and market nuances of
their regions.

12. Conclusion
Adapting HR Practices:
In our increasingly globalized business environment, companies that adapt and tailor their HR
practices to fit diverse cultural, legal, and market contexts are better poised for success.
Evolving Challenges & Opportunities: IHRM is not static. As businesses, technologies, and
societies evolve, so do the challenges and opportunities in managing a global workforce.
Embracing these dynamics allows organizations to remain competitive and inclusive.

13. Reference
1. Dowling, P. J. Festing, M., & Engle, A. D. Sr. (2017). International Human
Resource Management. Cengage Learning.
2. Harzing, A. W., & Pinnington, A. (Eds.). (2020). International Human Resource
Management. Sage.
3. Stahl, G. K., Björkman, I., & Morris, S. (Eds.). (2012). Handbook of research in
international human resource management. Edward Elgar Publishing.
4. Tayeb, M. (2005). International Human Resource Management: A Multinational
Company Perspective. Oxford University Pres
5. SHRM (Society for Human Resource Management). (Various Years). Articles
and resources related to international HRM. Website

14. Contact me
Maahirmoh2016@gmail.com
Ismailmoh2018@students.diu.ac
+8801314559615 call or what's app
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