This article discusses the competencies required for an HR Manager in an MNC for international human resource management. It covers business, leadership, change and knowledge-management, and professional competencies. The article also explains the four approaches in international human resource management and the importance of cross-cultural awareness.
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Competencies of HR Manager
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Competency of MNC HR Director International human resource management is to procure, allocate and effectively utilize human resources in international business. It requires the set of activities to manage the human resource on an international level to achieve the objectives and competitive advantage over competitors at the global and national levels. MNC’s are increasing their operations globally and have to manage their international human resources with strategies as it helps in contributing to the overall performance of the organization(Edwards and Kuruvilla, 2005). International human resources must give extensive attention, must focus on staffing issues, hiring and managing the employees globally. International HRM requires more activities to perform and also needs a broaderperspective.In comparetodomesticHumanresource,risk exposureismorein international human resource management and requires more external influences. It is necessary to consider the cultural differences in international HRM as there will be a difference between languages in the international market and it is required to consider the local language in the international market. HR director has to consider the different labor laws of different countries as the different government has made the laws for employees of their countries. HR director has to consider the multiculturalism as it includes managing people from differentcultures.Globalfirmsaretherepositoriesofmulticulturalism.Managementof multiculturalism offers various benefits as it brings greater creativity and innovation in business. International Human Resource Management includes the process of employing, developing and rewarding people in international organizations(Briscoe, et al., 2012). In MNC's, the HR director has to adopt the key competencies which help in operating business effectively in different cultures in the current and future business environment.HR director has to decide on policies and practices in an international context and direct the HR mangers in selecting, preparing, managing and repatriating managers to perform according to the culture of different countries. Business Competencies In international companies, HR managers must have business competencies to achieve the objectives and integrate the HR practices according to the culture of subsidiaries. HR director
must give information about the industry to managers. International HR managers must have competitors and financial understanding. It is necessary to have the knowledge and a global perspective to understand the employees and their cultures. Every country follows the different cultures and adopts the policies and practices as per the requirements of employees. Managers must do strategic analysis to understand the work and cultures. Leadership competencies The HR manager must have leadership competencies as it includes having a strategic vision to compete with the problem and analyses the issues which are faced by employees in MNC. HR managers need to manage the cultural diversity of different countries. HR managers have to create a learning culture for employee and perform as a leader. Mangers must have planning and decision-making skills to manage the employee of MNC. HR managers help in shaping the value of employees. Change and knowledge-management competencies The HR managers must have a key competency in building a network within the organization and outside of the organization. The HR manager must design and work in a flexible structure as it will help in performing and managing the employees effectively(Lloyd and Hartel, 2004). Managers must manage and learn knowledge transfer for consulting and influencing the team to perform a task. HR managers are responsible for managing a large scale of change in the organization. Professional competencies HRmanagersmusthavetheprofessionalcompetenciestodealwithandmanagethe organization. It includes the staffing, performance management, employee relations, diversity management,unionrelation,safetyandhealthofemployees,development,andtraining, recruitment, communication with employees. It is expected from the international HR manager to make their involvement in managing the overall business. They must look for better opportunities and manage business priorities before functional priorities(Schuler, et al., 2011). For the effective future environment, HR managers must follow the HR etiquette as to focus on achieving the organizational outcomes. Understand
the situation and issues of different countries as HR managers have to make the policies according to the culture of different countries which are followed. It is necessary to plan effectively and implement the strategies for the organization and set effective goals. There are four approaches in international human resource management which are followed: Ethnocentric- in this approach, the vacant positions are filled by the nationals of the parent company. Polycentric- In this, nationals are recruited from the host country to manage the subsidiary in their own country. Geocentric- people are recruited from all around the world and HR has to understand the different cultures and deal with the employees. Regiocentric- In this approach, people are recruited within a region in which the subsidiaries are operated. It is required for HR managers to have a cross-cultural awareness to support the employees who are moving to overseas subsidiaries by giving the briefing about the environment and cultural orientation. Language and sensitivity training must be given to them to perform in a different environment.
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Reference Briscoe, D., Tarique, I., & Schuler, R. (2012).International human resource management: Policies and practices for multinational enterprises. Routledge. Edwards,T.,&Kuruvilla,S.(2005).InternationalHRM:nationalbusinesssystems, organizational politics and the international division of labor in MNCs.The International Journal of Human Resource Management,16(1), 1-21. Lloyd, S. L., & Härtel, C. E. (2004). Predicting IHRM strategy and practice decisions: developmentoftheIHRMorientationtypology.Cross-CulturalManagement:An International Journal,11(4), 60-76. Schuler, R. S., Jackson, S. E., & Tarique, I. (2011). Global talent management and global talent challenges: Strategic opportunities for IHRM.Journal of World Business,46(4), 506-516.