Impact of Regional and National Culture on HRM Practices

This article examines the impact of regional and national culture on the practice of HRM in the chosen country. It analyzes the influence of cultural values on decision making, leadership style, and strategic planning. The article also discusses the importance of hiring and firing employees with consideration for local culture and HRM practices.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION ..........................................................................................................................4
TASK A...........................................................................................................................................4
Examine how value was created by the firm by using HR strategies. Use of concepts of
strategic HRM should be evident................................................................................................4
TASK B...........................................................................................................................................5
Analyse the impact of regional and national culture on the practice of HRM in the chosen
country.........................................................................................................................................5
TASK C...........................................................................................................................................7
Use appropriate organisation’s model of employment and state the organisational levers used
by the firm to create value. .........................................................................................................7
TASK D...........................................................................................................................................8
Using Storey’s 27 points of difference between HRM and Personnel Management as a
benchmark,..................................................................................................................................8
TASK E............................................................................................................................................9
hiring and firing do you consider the importance and significance of local culture and HRM
practice .......................................................................................................................................9
TASK F..........................................................................................................................................10
Examine the differences in terms of employment laws when international HRM changes local
business systems........................................................................................................................10
TASK G.........................................................................................................................................12
Recommendations ....................................................................................................................12
CONCLUSION .............................................................................................................................12
REFERENCES..............................................................................................................................14

INTRODUCTION
Human resource is a process which consider for both individual who basically perform
their task for a company and department that mainly responsible for organizing all the tasks and
activities related to the company employees. A proper management is required for every
organization that's why human resource management practices are performing in every
organization very effectively. HPM practices help to maintain all the formal and informal
activities of the organization. HRM mainly focus on Recruiting, selecting, training,
compensation , organizational development process which effectively done with the help of
human resource strategies. HR strategies playing a useful part in context of organizations and
these strategies are really helpful in operate the business in a systematic manner. HR strategies
provide a specific set of directions in all the areas of the of the organization like compensation,
appraisal and performance etc. For this report, Tesco organization is chosen . Tesco is a famous
company which established in the year 1919 and company headquarter situated in Welwyn
Garden city. Tesco considered as a third most largest organization which deals with the retails
industry. This report deals with the HR and its strategies. Tesco provide high quality of variety
products and services with lower price to their customers which make it international company
that performing their operations in Asian / African countries (Al-Jahwari and Budhwar, 2016).
This report basically cover all the aspect of HR and its strategies which is helpful for the
company growth and analyse the affect of regional and national cultures on the basic HRM
practices of the company. This report utilize a specific organizational model which basically use
for the employment purpose. This report determine the difference between the Personal
management and HRM. In this report, the importance of local culture in context of HRM
practices of the company analyse and after this this report examine the employment laws when a
internation company HRM change into a local and basic business. Lastly, this report discuss
about the suggestion / recommendation in context of HRM practices of the company.
TASK A
Examine how value was created by the firm by using HR strategies. Use of concepts of strategic
HRM should be evident
HR strategies are essential for the companies because it help in companies all ongoing
activities in a systematic away and provide some of guidelines which show the company a right

path. Tesco is a large organization which is famous for their continent products worldwide so
company need a effective workforce system which help in generate massive profit and provide a
huge customers satisfaction. Company management is very strong and company give more
importance to their workforce, Tesco considered that workforce is the key for successful
organization which help to accomplish the company mission. Company utilize many HR
strategies like promotion, CSR, benefits & packages, training & development , proper
communication , employees autonomy are create a significant value and help the company to
organize each and every task in a efficient style. Strategic HRM create the connection among
the HR of the Tesco and its strategies , goals. The main purpose of Strategic HRM is to enhance
business performance, develop a healthy organizational culture and provide flexibility &
competitive advantages. It give a direct affect on company growth (Armstrong, 2019). There are
lots of benefits of strategic of HRM which increase the Tesco market value like strategic HRM
helps to improve the job satisfaction of employees, provide better environment, boost
productivity of employees.
Strategic HRM considered as method of retention and improvement of the quality of
employees so that company employees feel the value and want to stay in the organization. To
implement the strategic HRM, before company generate a Strategic planning of HR. In Strategic
HR planning , Tesco consider many steps such as set a clear objective, evaluate HR capabilities,
analyse the present HR capacity goals, estimate future human resource requirements, analyse the
tools and techniques that needed for the employees, implement HRM strategy, evaluation and
take corrective actions. These steps help in organising proper strategic HRM so that Tesco
accomplish all the regular tasks. Tesco can evolve a positive value in company workforce
structure through performance appraisal, benefits and development of employees. Strategic HRM
help in overall development of employees so that employees productivity increased and company
can gain massive competitive benefits (Berber, et. al., 2017).
TASK B
Analyse the impact of regional and national culture on the practice of HRM in the chosen
country
Regional and national culture affect the HRM practices which is really essential for the
organization. Cultural values are playing a prominent role for the outsides factors of the

organization which significantly affect the Tesco. It is determined that regional and national
culture consider elements like share perception and beliefs system, and value system which
affect the society. As per the current situations it is evaluate that national & regional cultures is
really appropriate and giving valuable impact on business of the national and international
companies like Tesco and use specific organizational aspects such as practices and policies of
HRM. Regional & national culture also affect the various aspects of the business like decision
making , leadership style and administration, strategic planning and performance appraisal.
Sometimes cultural values and beliefs ask for the social establishment to the organization.
Hence, it is important for the company to acknowledge all the factors which giving the impact in
regional & national culture through enhancing the diversity. This situation easily reduce the
culture related barrier and give more development and profitability(Brewster, et. al., 2016).
There are many types diversified elements incorporated in regional & national culture. For the
national culture purpose , Tesco company can consider Hofstede's model which deal with the
national cultures and its differences that contain the differences between values system, belief
system and norms of national culture that divided in to 4 categories dimensions. This model is
appropriate and basically applied fro the organizational purpose so that HRM policies like
leadership style, compensation and all the other practices done in proper manner.
HR of Tesco can effectively follow recruitments procedures so that company can hire
more employees and so various cultures and company also appoint effective and skilled
managers which make company understand the foreign culture and the behaviour of people.
Cultures contain ethnocentrism, poly-centrism and geo- centrism . Some policies like training &
development, selection policies developed by the company which help in Asian companies that
follow proper selection process. All the HR strategies are followed by the national and
international and also Asian companies which give appropriate impact on the regional and
national culture (Delery and Gupta, 2016).

TASK C
Use appropriate organisation’s model of employment and state the organisational levers used by
the firm to create value.
There are many appropriate organizational model of employments that affect the
organizational levers which used by the company to generate more values. The discription of
models are given below-
The standard causal model of HRM
The standard casual model explain the functional role of human resource that is play in
structure way. This model basically depend upon the chain process that evaluate the operational
and financial performance of the company from beginning to end. This model shows that all HR
activities are properly aligned with the company strategy that affect the performance of the
company. In this model, HR strategies are driven and aligned from the all strategies of the
business (Do, et. al., 2020).
Illustration 1: The standard causal model of HRM, 2020
Company HR practices properly follow all the strategies like training, development, appraisal,
compensations which give good outcomes. All the outcomes affect the internal performance of
the company like quality, productivity and efficiency and also affect the financial performance
like profit, turnover, margin and return on investment. HR department of the Tesco design many
strategies and also design alternatives of the strategies so that all the changes and requirements
can do in a productive manner. This model give more significant value in performance of
employees so that their performance become more advanced . Tesco generate many strategies in
relation of company activities that are beneficial for the development of the company. HR of the
company develop lots of strategies and then select the most appropriate strategy so that company

can get a better and suitable results. Profit of the company can determine the financial situations
of the company for its improvement its necessary to use this employment model so that company
can get a suitable and favourable results (Fahim, 2018).
Harvard Framework for HRM
This model is used for the employments and state the company levers which used by the
company to create and generate more value. This model contain 6 components which create
impact on the employment of the organization. All the 6 components create the value for the
organization. These 6 components are stakeholders interest, situational factors, HRM policies,
HRM outcomes and in last , long term consequences of the company. Tesco used this model
because it is considered as a most holistic approach of HR that contain various level of results.
TASK D
Using Storey’s 27 points of difference between HRM and Personnel Management as a
benchmark,
HRM is responsible to maintain all the departmental activities in a efficient manner. The
role of personal management is also crucial for the company. Personal management refers as an
administrative course of actions that is helpful to maintain details and records of all the activities
like salary, incentives, compensations and other benefits ( Haak-Saheem and Festing, 2020).
The reason to formulate the HRM policies to build influential market presence so that company
can take a good range of benefits and maintain the proper balance among the employees and
working standards. Both personal management and HRM utilized by the Tesco so that company
can maintain the balance of these two elements and determine the benchmark. The difference of
both approaches are given below -
Basis Personnel management HRM
Contract In relation of Tesco, personal
management contact is carefully
evolved. Personal management help to
make clear all the aspects of working
standard. This management can use for
the particular time period.
HRM department of the Tesco company
perform perform their functions so that
company easily obtain all the working
activities that and follow tat implications
which give positive impact on the
company businesses. HRM is
responsible for the all the managerial

aspects which increase the growth of the
company.
Rules Personal management can help in
management of companies insides
activities. Personal management is
utilized and control the significance of
rules. In this management all the task
and duties and some set of actions are
clear to all the company employees and
all the rules can apply for all
employees (Nienaber and Martins,
2020).
Tesco company HRM department
analysed all the market situations and
prepare strategies according to this and
generate guidelines and rules for the
employees and make clear that all the
rules and regulation must be followed by
the employees so that company can gain
competitive advantages and increase
market share in a effective manner.
Managemen
t task
Tesco company personal management
control all the management task that
are necessary and usually try to create
effective implications in the working
of the employees so that it develop the
productivity of the workforce.
HRM of the Tesco is responsible to
perform all the management task so that
all the employees can complete that task
in a proper way. Company need to
assign the task to the most potential
employees so that they can sharp their
skills and do market research and then
their task in a good way.
TASK E
hiring and firing do you consider the importance and significance of local culture and HRM
practice
HRM practices are prominent for the organizational purpose which help to give business
a remarkable achievements that is basically consider on the timely basis. Tesco company
increase the performance of company help in solve problems related to the company employees
through some specific implementation that applied in a continuous purpose. The present scenario
is all about to expand their market national then internationally so that company can look
forward the upcoming opportunities and grow their market globally.

The hiring & firing is mainly related to the new appointments or exit of employees so that
according to the situations employees can sustain in working environment. This situation depicts
the specific growth through which a better and skilled employees consider from the hiring on a
continuous basis. There are many importance of hiring of a local culture person that are
explained below-
Cultural Knowledge
local people have a strong knowledge the culture and they can efficiently navigate each
and every issues so that company can get high profit and the local employees capabilities also
increase so that it give positive impact on the company (Presbitero, Roxas and Chadee, 2016).
Command on Language
Local people is very convenient as an employees for the Tesco because they know how to
connect with customers and communicate in a efficient way so that customers can engage with
the employees. HR of Tesco hire those employees who are families with the native language so
that communication barrier reduce and company establish their market in foreign countries
successfully.
Less Cost
Local culture people is hire on a less cost. Tesco company expand their market on other
areas and prefer to hire local culture people so that company can appoint the employees at a low
cost so that company can appoint large number of employees so they all employees influence the
customers and spread the company market. These is no need to provide the proper training to
their employees because local cultural people already know about the environment.
TASK F
Examine the differences in terms of employment laws when international HRM changes local
business systems.
Human Resource Management role is evolve day by day and use effective implication
that determine the internal factors of market. International Human resource management is
consider for both purpose internal and external and both factors are responsible for all the
activities of the company which company perform at the marketplace. International HRM mainly
based on the personal management that display in relation of local and national culture.

International HRM give appropriate impact on the local system of the business in relation of
employees management that belong in a various nations like host country, home country, parent
& 3rd country (Taamneh, Alsaad and Elrehail, 2018).The difference of international HRM &
Local business in terms of employment are discussed below-
Host Country Nationals
HCN consider the those employees of the Tesco company that are doing job in foreign
countries.
Parent Country National
PCN consider those countries that is basically not origin of company and also consider as
expatriate. This contain a condition that is if employees performed their duty more than 4 years
then that situation a risk occur “ de facto” this is considered as a standard law of the organization
that need to follow Tesco company (Ravichandran, 2018).
3rd Country National
TCN mainly consist of those employees of country who are working in other countries or
where the Tesco company headquartered organized.
Tesco company HRM practices are like a sample for the international employment and labour
laws that is basically related to the country government initiative. All the employees of the
company generally tied up to the employment and its complications which is easily terminated.
Tesco company maintain all the various law such as - Employment Right Act 1996- This act cover all the unfair activities and dismissal,
problems, redundancy etc.
 National minimum wage 199- This act is basically generated to offer fair salary and
wages to the employees. India comes under Asia and considered as an Asian country that
has own “ Employment Law” like Factors Act 1948, Contract Labour Act 1970 and
Mines Act 1952 and also other Acts ( Sekiguchi, Froese and Iguchi, 2016).
Tesco company HRM should ensure that company have to consider all the various laws and
follow in a particular manner and also offer good rights to their employees so that employees
productivity can improved which help in enhancement of company business.

TASK G
Recommendations
HRM practices help in proper development of the company so that company can
establish their market in a effective way. Company need to follow all the practices of the human
resources in a better way so that company easily connect with the employees and help to increase
their productivity. Company should follow all the HRM policies in order to make more revenue.
HRM policies and its practices help to enhance the behaviour of individual so that employees
performance and their attitude evolve in a specific manner. Company performance totally based
on the employees performance so company need to conduct motivational activities time to time
so that employees can improve their skills as per the current market situation and give their full
contribution in the development of company. Tesco company also need to organize all the
activities in a systematic and strategic way through specific human resource strategies like
training & development sessions, compensation, benefits, performance appraisal and
development in all aspects (Srivastava and Dhar, 2016). These strategies Tesco need to be
consider and follow in a proper way. Company high performance maintained by the HR
strategies so that company can accomplish all the competitive aspects. Company need to focus
on regular communication and build a strong relation with their customers which helpful to
increase the sales of the company. Tesco should use proper national and regional cultural law
which helpful to maintain all the cultural activities so that company easily manage their business
in the other areas of the country. Tesco should focus on the employment law so that it will give
advantage to the local cultural people and help in dealing with native and local people which lead
to increase the market value of the company.
CONCLUSION
As per this report it is concluded that human resource strategies are really important for
the business and these strategies make easy all the organizational activities. All the companies
follow effective human resource strategy which enhance the level of company at the marketplace
and company can able to increase their level. This report identifies many human resource
strategies which give full contribution in the development of the organization. This report
identified that training and development and compensation is the most effective strategy because
training session help to guide the employees and show them right direction and through

compensation employees feel good and their motivation level increase. This report highlight the
importance of strategic HRM which properly help in over all growth of the employees so that
employees do not want to leave the organization because it leads the retention and development
of employees. This report also discussed about the difference between personal management and
human resource management. Personal management help to determine the inside operations of
the company but in a limited time period and human resource management engage with all the
activities of the company which usually playing a remarkable role in context of employees of the
company. This report also considered about the hiring and firing of the employees and analysed
that hiring of employees help to boost the market value of the company. Company hire high
talented employees with specific capabilities and abilities. Company mainly focus on the local
cultural employees because they are helpful to create the good connection with customers so that
company market growth increase.

REFERENCES
Books and Journals
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of human resource management in the Middle East. Edward Elgar Publishing.
Armstrong, M., 2019. Strategic human resource management. pdf drive. Com.
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comparative analysis. The International Journal of Human Resource
Management, 28(12), pp.1661-1689.
Brewster, C., et. al., 2016. International human resource management. Kogan Page Publishers.
Delery, J. and Gupta, N., 2016. Human resource management practices and organizational
effectiveness: internal fit matters. Journal of Organizational Effectiveness: People and
Performance.
Do, H., et. al., 2020. Institutionalism and its effect on HRM in the ASEAN context: challenges
and opportunities for future research. Human Resource Management Review, 30(4),
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Fahim, M. G .A., 2018. Strategic human resource management and public employee
retention. Review of Economics and Political Science.
Haak-Saheem, W. and Festing, M., 2020. Human resource management–a national business
system perspective. The International Journal of Human Resource
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Nienaber, H. and Martins, N., 2020. Exploratory study: determine which dimensions enhance the
levels of employee engagement to improve organisational effectiveness. The TQM
Journal, 32(3), pp.475-495.
Presbitero, A., Roxas, B. and Chadee, D., 2016. Looking beyond HRM practices in enhancing
employee retention in BPOs: focus on employee–organisation value fit. The
International Journal of Human Resource Management, 27(6), pp.635-652.
Ravichandran, T., 2018. Exploring the relationships between IT competence, innovation capacity
and organizational agility. The Journal of Strategic Information Systems, 27(1), pp.22-
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Sekiguchi, T., Froese, F.J. and Iguchi, C., 2016. International human resource management of
Japanese multinational corporations: Challenges and future directions. Asian Business &
Management, 15(2), pp.83-109.
Srivastava, A.P. and Dhar, R.L., 2016. Impact of leader member exchange, human resource
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performances. International Journal of Productivity and Performance Management.
Taamneh, A., Alsaad, A.K. and Elrehail, H., 2018. HRM practices and the multifaceted nature of
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