This document discusses international human resource management and labor relations. It provides an overview of international HRM, factors affecting it, and different staffing policies like the ethnocentric, polycentric, and geocentric approaches. It also discusses labor relations, factors influencing it, the role of trade unions, and reasons why workers join trade unions. The objectives of trade unions are to provide benefits like equitable wages, job security, and support to its members.

1. INTERNATIONAL HRM &
LABOR RELATIONS
Presented by
Simran Kaur
MBA 2nd year
IGICM

2. INTERNATIONAL HRM
• Ascertains the corporate strategy of the company and assessing the
corresponding human resource needs
• Determines recruitment, staffing and organizational strategy; recruiting,
training and developing and motivating the personnel; putting in place the
performance appraisal and compensation plans and industrial relations
strategy

3. FACTORS AFFECTING INTERNATIONAL HRM
• Differences in labor market relations
• Cultural differences
• Differences in regulatory environment
• Attitude towards employment
• Differences in conditions of employment

4. STAFFING POLICY
• Strategic role of HRM is complex, where staffing, management
development, performance evaluation, and compensation activities are
complicated by profound differences between countries in labor markets,
culture, legal systems, economic systems, and the like: Charles W.L.Hill

5. STAFFING POLICY DETERMINANTS
• Cultural dimension
• Subsidiary characteristics
• Parent company characteristics
• Host country characteristics
• Costs

6. ETHOCENTRIC APPROACH
• All key management positions are filled by home country nationals
• Appropriate where organization mode is international
• Widespread amongAmerican and European countries
• Today, it is adopted by companies such asToyota, Matsushita and Samsung

7. MERITS OF ETHOCENTRIC APPROACH
• Helps maintain unified corporate culture throughout the organization
• Appropriate when competent people are not available in host country
• Preferred where internationalization of exclusive resources or close control
over core competencies required

8. DEMERITS OF ETHOCENTRIC APPROACH
• Ignores local capabilities
• Limits career advancement opportunities
• HRM cost tends to be high
• May lead to cultural myopia
• Company may be looked at as an alien by nationals

9. POLYCENTRIC APPROACH
• Recruits host country nationals
• Managing subsidiaries
• Key positions at headquarters occupied by parent country nationals
• Appropriate for multinational corporations

10. MERITS OF POLYCENTRIC APPROACH
• Local people know conditions better
• Helps reduce HRM cost
• Alleviates cultural myopia
• Helps to get local support for the company
• Growth opportunities contribute to morale

11. DEMERITS OF POLYCENTRIC APPROACH
• Lack of availability of nationals with skill and communication capabilities
could be a problem
• Cultural integration may be challenging
• Limited career advancement opportunities
• Emotional bondages are not effective

12. GEOCENTRIC APPROACH
• Seeking best people from anywhere in the world
• Appropriate for global and transnational corporations

13. MERITS OF GEOCENTRIC APPROACH
• Globally best talents
• Global mindset of managers
• Career opportunities
• Helps easy to transfer competencies across the organization

14. DEMERITS OF GEOCENTRIC APPROACH
• Cultural integration
• HRM costs tend to be high

15. LABOUR RELATIONS
• Process through which management and workers identify and determine
job relations that will be in at the effect of workplace
• Specific approaches to labour relations varies from one country to other

16. FACTORS AFFECTING LABOUR RELATIONS
• Industrial democracy
• Social policy
• Globalization
• Demographic challenges
• Culture
• Educational attainment
• Legal challenges

17. TRADE UNIONS
• Membership-based organization
• Continuous association of wage earners for the purpose of maintaining or
improving the conditions of their employment
• Australian Bureau of Statistics states that a trade union is "an organization
consisting predominantly of employees, the principal activities of which
include the negotiation of rates of pay and conditions of employment for its
members.”

18. REASONS OFWORKERS JOININGTRADE
UNIONS
• Economic needs
• Social needs
• Social welfare
• Political reasons

19. OBJECTIVES OFTRADE UNIONS
• Equitable wage benefits
• Ensure healthy and safe environment
• Promote job security
• Provide legal and other support to its members
• Provide political assistance

20. THANKYOU!!!