Strategic International HRM-activities targeting HRM at the international level It involves projecting global competence supply, forecasting global competence needs, and developing a blueprint to establish global competence pools within companies, so that the supply of managers worldwide will be sufficient to meet with the MNC’s global strategies.

1. urmitamanna@yahoo.com
Strategic International HRM-
activities targeting HRM at the
international level

2. It involves projecting global
competence supply, forecasting global
competence needs, and developing a
blueprint to establish global
competence pools within companies, so
that the supply of managers worldwide
will be sufficient to meet with the
MNC’s global strategies.
Strategic International HRM-

3. CorporateInternational Business Strategies
Domestic Strategy
Multi- Domestic Strategy
Multinational strategy
Global strategy

4. Strategic IHRM Fits with Corporate International
Business Strategies
Adaptive IHRM Approach:
with this approach, local cultural, political, and legal issues will
be considered and local HR practices will be adopted.
Exportive IHRM Approach:
with this approach, MNCs will have a standardized HR system
across their subsidiaries all over the world.
Integrative IHRM Approach:
combines home HR practices with local practices. The best HR
policies and practices will be chosen for the foreign
subsidiaries.

5. Operating international environment do to protect a
company’s multinational assignees and the role of
the HRM functions
International assignees or Expatriates-
International assignees or Expatriates are those Employees , who are sent on international
assignments for various reasons, either specific to the organization or the employee. There are
three key organizational reasons for sending employees on international assignments. Those
are-
•Position filling,
• management development,
•organizational development.
A MNC’s should follow strategically IHRM policies to protect and for the well being a
company’s assignees or expatriates . It is important to enhance assignee’s Knowledge, skills
and ability (KSA) to be flexible, open, professional, leader.
A HR manager can play a role to select and develop the competence of assignees by-
•selection
•training
•compensation
• retention

6. Selection of Global Manager Candidates
Personality as a selection Criterion: the five-factor personality model has been
demonstrated crucial to expatriate adjustment. The expatriates who scored high
on these five dimensions were found to be better adjusted in overseas
assignments.
Trainability: trainability refers to an individual’s ability to acquire certain skills
to a desired level of performance. Internal success may be gained in selection
efforts if we select expatriates who possess a minimum level of the stable
characteristics.
Other personal characteristics: these include cultural knowledge, stress
management skills, conflict resolution skills, communication skills, and cognitive
flexibility

7. Select the Best Potential Global Manager
 Select Parent Country Nationals(PCNs)
 Select third Country Nationals (TCNs)
 Select home Country Nationals(HCNs)

8. The Repatriation as a step of career Development.
Repatriation usually means that the PCNs, TCNs, or even HCNs finish
their overseas assignments and come back to their home headquarter
or home subsidiaries. It has been argued that reverse culture shock
upon repatriation leads to several serious consequences for the
employee and the organization-
i. Prior to the return home, the employee may become anxious at the thought
of having no appropriate position to return to.
ii. The employee may become dissatisfied with standard of living upon return,
having become accustomed to the special status that accompanied the
expatriate position.
iii. co-workers may not be interested in hearing about the repatriate’s
experience.
iv. The repatriate's job may not make as much use of internationally acquired
KSAs as it could.
v. There is a high rate of turnover among repatriates, ranging from 20% to 25%

9. Other Issues in Strategic IHRM
International Performance Appraisals
• Volatility of the foreign labor market
•Telecommunication and transportation
International Compensation
•Goods and services,
•Housing
•Income taxes.
•Reserve; and
•Shipment and storage.
International Labor Relations

10. Key issues which HR managers face when their
organizations expand across national borders
When entering new markets, organizations are confronted
with a wide range of challenges which are mostly related
with-
•Socioeconomic aspects
•Political aspects
•Technological aspects

11. Key issues which HR managers face when their organizations
expand across national borders
Workforce diversity
Employment legislation
The role of HR function
Flexibility
Security
Other challenges are-
 High failure rates of expatriation and repatriation
 International ethics
 Language (e.g. spoken, written, body)
 Different political climate
 Different stage(s) of technological advancement
 Different values and attitudes ,
 Roles of religion e.g. sacred objects, prayer, taboos, holidays, etc
 Educational level attained
 Social organizations e.g. social institutions, authority structures, interest groups, status
systems