International Human Resource Management: Issues and Solutions

This report explores the issues faced by International Human Resource Management in the Australian market and provides effective solutions to deal with them. It covers topics such as culture issues, diversity management, international performance management, and training and development.

Human Resource management
6/3/2019

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Executive summary
The purpose of the report is to explore the concepts related to the international human resources
management. The report is based on “No Name Aircaft” which is an Australian company and
dealing with the issues related to the human resources. The findings of the report show the issues
that have been witnessed by the International Human resource management in the Australian
market. The issues are major related to the HR practices that are training and development,
diversity management, cultural issues, international performance management. Further, it
includes the ways through which International human resource management can ensure to deal
with the issues in the international environment. In the end, the recommendations have been
presented to No Name Aircraft to improve the operations.

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Contents
Introduction......................................................................................................................................3
Case background..............................................................................................................................4
Issues witnessed in the case.............................................................................................................4
Culture issues...............................................................................................................................4
Diversity management.................................................................................................................5
International performance management......................................................................................6
Training and development...........................................................................................................7
Human resource management deal with issue in case.....................................................................7
Dealing with Culture issues.........................................................................................................7
Dealing with Diversity management...........................................................................................8
Dealing with International performance management................................................................8
Dealing with Training and development.....................................................................................9
Plan to present..................................................................................................................................9
Recommendations............................................................................................................................9
Conclusion.....................................................................................................................................12
References......................................................................................................................................13

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Introduction
In the dynamic environment, human resource performs operations in effective manner.
The approach of the human resource management is strategic as they ensure to be effective
management of the personnel with the organisation in order to assist the business to attain or gain
the competitive advantage. Human resource management team performs the different operations
through which they can maximize the performance of employers by managing the employees in
effective manner. The human resource management conduct the different types of activities that
include managing the change, diversity, offering the training and conducting the international
performance management. The report is based on the case with the name of “No Name Aircaft”
that is dealing with different issues within the organisation. The report includes the detailed
description of the issues, which is faced by International Human Resource Management
Consultant and how they deal with the issues. In end, it includes the recommendations to the
company that can contribute in eliminating the issues.

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Case background
“No Name” Aircraft is an Australian grounded business who is performing their
corporate operations in the external market. It has been found CEO Adam O’Meara of “No
Name” Aircraft is concern about profit of the company because of the takeover of the company
is imminent. He understood the needs of maximizing the shareholder’s return majorly on the
investment done by them. It also allows them to find a high share value or this international
business might be at the risk. The aircraft is an international company that is clear with its
operations as it has been found that company has subsidiaries in the 3 countries that include
China, Singapore and Vietnam. This company generally manufacture and then sell the products
to 50 countries across the world. In case, this is clear that many portions of aircraft are
manufactured in Vietnam and China as maximum of engineers who design work out of
Singapore. The assembling of the Aircraft is done in Singapore and Australia.
Issues witnessed in the case
Culture issues
Being an international Human Resource Management Consultant, the major issues that is
faced by the ‘No Name’ aircraft is related to the culture due to which the profit of the airline is
getting affected. In the case study, it is clear that Australian teams of the company are not
working effective due to the presence of the communication breakdown among the integrated
team as well as the across management and teams. It has been found that the employees working
with the company are very negative and they work with the mantra ‘near enough is good
enough’. Thus, this negativity of the employees affects the culture because an organisation

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culture is dependent on its employees. Further, when the company tries to bring the changes in
the culture they find the issue of resist to change from the employees. This culture not only
witnesses in the head office but also at the subsidiaries (Aswathappa, 2013). The issue is clearly
evidence with the fact when one of the country management team identified that quality is major
problem at company that is linked to shares of Vietnam and China. The excellence complaint has
been received from customers, government, non-government, and many others. The issue of
communication is majorly available, due to which the harness team does not work with
integration. Thus, this clearly shows that communication issues include the difficulties related to
working relationship among the teams (Nankervis, Baird, Coffey & Shields, 2016).
Diversity management
It is witnessed that diversity management at No Name aircraft is limited to a humble
policy that says everyone in the company required to achieve the respect in relations of the race,
age, ethnicity, gender, physical abilities, sexual orientation, and many others. The company is
dealing with the issues that embrace the rich value of performing the work with the diverse
employees (Nielsen, & Nielsen, 2013). One of the issues is intolerance towards the working with
personnel from various generations majorly at headquarters. It has been witnessed that senior
staff are intolerant of performing the work with the apprentices as well as with the relationship
that are strained.
Another issue include the lack of hiring of the people with the disabilities in the Chinese
market. The managers of the company are emphasising this issues by ignoring the applications of
the people with the disabilities instead of the fact that they have talent more than they have the
candidates that are already present in the market (Cooke, Saini & Wang, 2014). Considering this
issues, the CEO feels the threat of the legal actions taken by the rejected candidates. The major

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issue that has been witnessed related to the diversity include that employees have different
perceptions of the employees for each other that influences perception of other people (Alfes,
Shantz, Truss & Soane, 2013).
International performance management
‘No Name’ Aircraft faces the issues related to the performance management which is
course of forming a work surroundings or setting persons are allowed to achieve finest of their
capabilities (Jiang, Lepak, Han, Hong, Kim, & Winkler, 2012). The global performance is
closely linked with performance appraisals in the international market but these are missing at
‘No Name’. The review of performance is one of the major practice that is taken place by HR in
Australia but at there is presence of no reviews present at any of subsidiaries. Another issue that
is present within the company is lack of formal performance appraisal course for expatriates.
Another issues that appears in the performance management is that headquarters of the
company takes very ad hoc approach as well as they major consider economic factors that create
the influence targets set by the business. Further, this affects the employees in achieving the
target due to which the performance appraisal get affected. In addition, the higher expectation
from the employees in the Australia market is one of the factors that create the impact on the
performance negatively (DeCenzo, Robbins & Verhulst, 2016). This makes the headquarters to
take the decision that not only create the impact on Australia but it will also affect the
subsidiaries. Further, it has been found that the performance of the employees of Australia is
directly affected by the other subsidiaries because the work of every country is depended on each
other. No Name aircraft says that there is no procedure that reinforces performance management
as it is one of biggest loops because appraisals of employees always rely on the policy.

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Training and development
Human resource management who is performing need consider activity of training and
development for the betterment of the employees presents within the No Name aircraft. The
issues connected to training and developments are given below -
The training to the expatriate employees is improper as they are moving to other country
then the training is supposed to be done according to that only (Saks & Burke, 2012). For
instance; the employees who are leaving Australia needs to go to china so they want training
according to their place. Another issue that has been witnesses is that there are no feedback
avenues for the employees so that they can improve the skills for the expatriate training. The lack
of proper training affects the performance of the employees.
Further, another issue is that there is no opportunity for the employees for the
development as there is lack of development programs at ‘No Name’ company. This is the
reason due to which the employees working with the company are not aware about the career
development plans. The programs are only to work in order to determine as well as to recruit the
potential managers and to develop knowledge.
Human resource management deal with issue in case
Dealing with Culture issues
The HRM of the company should ensure to offer proper platform to personnel so that
they can communicate effectively within the organisation. Further, they should ensure that
proper tools are used by the teams to communicate. HRM of the company should ensure that line
managers of the company are performing the responsibility for communicating between the

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subsidiaries and Headquarters. The line managers of the company should provide the proper
instruction when the employees complained that they are not receiving the proper instructions
(Daley, 2012). The company should take the strict steps towards the quality performance of the
company, as there is need of improvement at present because the complaints for the quality are
increasing.
Dealing with Diversity management
Considering the above diversity issues faced by the Human resource management related
to diversity management they should ensure that they take the required steps. In the case, it has
been found that HRM need to ensure that they provide the diversity related practices that include
an appreciation related to the different cultures and ways of beings aware about the people
present at the headquarters. HR practice should ensure that they should not be organisational
discrimination this makes the people to work together in harmony (Sabharwal, 2014). HR of
company should ensure that they are able to manage diversity can lead to modest benefit as it
offers the different areas of the company. HR of ‘No Name’ aircraft ensures that they employees
need to understand that diversity is valuable and effective communication.
Dealing with International performance management
In the international environment, the HRM team need to guarantee that they have the
policy based on which they conduct the performance appraisal of the employees. HR should
ensure that there is proper policy that is followed by the company (Armstrong & Taylor, 2014).
They should visit the China, Singapore, and Vietnam, and ensure the consistency considering the
entire local as well as the culture practices.

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Dealing with Training and development
The human resource management effectively contributes in training, development, and
considering the case they are aware that there is need of the proper training for the employees
who are leaving home country in order to develop the knowledge and skills that can be utilized
by them. The professional skills set and training should be presented to personnel so that they
can effectively work (Bratton & Gold, 2017).
Plan to present
No Name aircraft is facing the different issues that are linked with the human resource
management so the plan is to restructure the human resource practice that is undertaken by the
company so they can restructure all the activities in the new manner. International HR of the
company need to take the required steps in which they review the activities at the subsidiary
location. Thus, this helps them to take the proper steps and manage the effective operations at the
workplace considering the recommended solutions. HR of the company plans to research
through which they can accumulate the useful information that can be used by them in order to
enhance their working within the environment.
Recommendations
Cultural change management: - HR of the company should bring the change within the
workplace towards the attitude of the employees that include the way they treat the work. To
bring the change in the culture of the organisation they should implement the Lewin change
model that include the different stages that are unfreezing, change, and freeze (Ford, 2017). In
this, they can make unfreeze the culture of organisation and bring the change then they freeze the

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change. The organisational culture needs to be improved as this matter a lot for performing well
in the organisation and for earning high profits.
Designing new diversity management policy: - It has been found that the designing the
new diversity management policy is essential for the human resource management which include
the considerations for the people with disabilities as well as those who belongs to the different
culture (Collings, Wood & Szamosi, 2018). This policy effectively contributes in improving the
organisation personnel because due to the diversity issues the company has rejected many
employees with the improved skills. Moreover, this policy will improve the issues of the lack of
employee’s hiring. It has been found that the redesigning of the strategy is not limited as this is
suggested to the HR of the company to ensure that they are able to implement the strategy in the
effective manner. In addition to this, this strategy will help the company employees to gain the
deep understanding about the different culture as they work with the different sort of employees.
Performance appraisal: - HR of company should bring the improvement in their
perdormance appriasal method as they should consider every employees equally without any
issue. The performance measures should be decided in the way keeping in the mind that the work
of one subsidairy is dependent on other (Cascio, 2015). Considering all the fcators, the company
should conduct the performance appraisal. No Name aircraft should implement the 360-degree
performance appraisal method through which they can easily makes the employees realise about
the good work as well as bad work done by them.
Training and development programs: - HR should try to arrange the proper culture
training for the employees who are working as an expatriate for the company. The training for
the employees will help the company in performing the work in the effective manner (Bailey,

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2018). In addition to this, there should be proper development programs that can contribute in
personal development of the employees that is essential for the career path and future growth.
Once the training has been conducted, the No Name aircraft should check the work and provide
the feedback to the employees for the future improvement in the work.

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Conclusion
In the end, this is concluded that No Name aircraft is dealing with emerging HRM issues
that is not affecting profit of company but making company to go on the way of shutdown of the
business. The major issues that have been drawn from the case study are related to the culture,
diversity management, training and management, and international performance management.
The HR of company need to work on these issues so that they can effectively contribute in
reducing challenges related to the performance and quality of the operations. HRM need to deals
with issues due to which they need to ensure that they need to bring the solution. In the end, the
report include the recommendations related to the issues faced by the company which include
application of change theory, making new policies, consider the change in appraisal, and many
others.

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References
Alfes, K., Shantz, A. D., Truss, C., & Soane, E. C. (2013). The link between perceived human
resource management practices, engagement and employee behaviour: a moderated
mediation model. The international journal of human resource management, 24(2), 330-
351.
Armstrong, M., & Taylor, S. (2014). Armstrong's handbook of human resource management
practice. Kogan Page Publishers.
Aswathappa, K. (2013). Human resource management: Text and cases. Tata McGraw-Hill
Education.
Bailey, C. (2018). Strategic human resource management. Oxford University Press,
Bratton, J., & Gold, J. (2017). Human resource management: theory and practice. Palgrave.
Cascio, W. F. (2015). Managing human resources. McGraw-Hill.
Collings, D. G., Wood, G. T., & Szamosi, L. T. (2018). Human resource management: A critical
approach. In Human Resource Management (pp. 1-23). Routledge.
Cooke, F. L., Saini, D. S., & Wang, J. (2014). Talent management in China and India: A
comparison of management perceptions and human resource practices. Journal of World
Business, 49(2), 225-235.
Daley, D. M. (2012). Strategic human resources management. Public Personnel Management,
120-125.

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DeCenzo, D. A., Robbins, S. P., & Verhulst, S. L. (2016). Fundamentals of Human Resource
Management, Binder Ready Version. John Wiley & Sons.
Ford, J. (2017). Employee perceptions regarding an organizational change initiative in a state
wildlife agency. Human Dimensions of Wildlife, 22(5), 422-437.
Jiang, K., Lepak, D. P., Han, K., Hong, Y., Kim, A., & Winkler, A. L. (2012). Clarifying the
construct of human resource systems: Relating human resource management to employee
performance. Human Resource Management Review, 22(2), 73-85.
Nankervis, A. R., Baird, M., Coffey, J., & Shields, J. (2016). Human resource management:
strategy and practice. Cengage AU.
Nielsen, B. B., & Nielsen, S. (2013). Top management team nationality diversity and firm
performance: A multilevel study. Strategic Management Journal, 34(3), 373-382.
Sabharwal, M. (2014). Is diversity management sufficient? Organizational inclusion to further
performance. Public Personnel Management, 43(2), 197-217.
Saks, A. M., & Burke, L. A. (2012). An investigation into the relationship between training
evaluation and the transfer of training. International Journal of Training and
Development, 16(2), 118-127.

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