Cultural and HRM Issues in International Business Expansion

BMP6003
International HRM

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
Cultural issues faced by International HRM while expanding business globally.......................3
International HRM issues faced by UK companies while expanding globally..........................6
CONCLUSION ...............................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
International human resources management refers to the process which requires
acquisition, allocation and utilisation of human resource in the global business so that stated
objectives can be achieved. In context to global business, the International HRM deals in three
aspects which includes human resource activities, the types of employees and the countries of
operation. It follows the same traditional HRM functions which involves training and
development, recruitment and selection, remuneration, performance management and many
other. Apart from these, there includes some other activities of HRM also which involves
expatriate management, global succession planning, etc. (Fattaah and et.al., 2020). This report
shall deal with the aspect of cultural and HRM issues which HRM needs to take into
consideration while expanding its business internationally together with its advantages.
TASK 1
Cultural issues faced by International HRM while expanding business globally.
The International HRM basically concerns the management and global understanding of
the human resource activities into an organisation. It encompasses various activities which
includes training and development, recruitment, selection, performance management,
remuneration at international level. Some additional functions includes management of
expatriate, international industrial activities, planning for global succession and many more. The
International HRM focuses on three approaches which involves cross cultural, comparative
IHRM and the focus on multinational enterprises (Podnar, Kohont and Jancˇicˇ, 2017).
Nowadays with the rapid increase in globalisation of businesses, the role of international
HRM extends to the decision making, cross culture communication and the inter cultural
negotiations. The managers in IHRM needs to build an understanding relating to the cross
culture in order to avoid or prevent conflicts while operating globally (Andersson and et. al.,
2019). When a company enters foreign market, there comes an inevitable conflict with the
culture in order to adjust in the new workplace environment with different policies and rules.
The workplace culture in UK and Japan vary in many aspects which may give rise to
conflicts or lack of adjustment due to which the companies faces wide range of problems. While
the Japanese approach in working is totally different from that of the UK, the companies