IHRM Assessment: Complexity, Cultural Environment, and Market Reliance

IHRM Assessment

Table of Contents
IHRM Assessment...........................................................................................................................1
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Complexity..................................................................................................................................3
Cultural Environment..................................................................................................................5
Extent of reliance of the multinational on its home country domestic market............................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
International Human Resource Management means hiring, organising, utilizing and
retaining human resources in international business. IHRM interplays three important activities
which are HR activities, country where business is operating and type of employees. This report
will discuss three dimension of IHRM which make it different from domestic HRM these are
complexity, cultural environment and extent of reliance of multinational on its home country
domestic market. Complexity which means difficulty of operation and in international HRM
operations are difficult to carry out than domestic HRM. This includes various elements like
compliance with HRM regulations and complex hiring process. Cultural environment is also
important variable in domestic and international HRM. Reliance of multinationals on its home
country domestic environment is also an variable as excessive reliance make it difficult to adopt
other country’s culture whereas adequate reliance ensures that management of thee organisation
is able to adapt to culture of another country where the company is operating.
MAIN BODY
Complexity
One of the main characteristic of IHRM is its increased complexity of the operations.
Complexity of the operations and activities which are carried out in global firms increases in
comparison to local market. Important contributors of increasing complexity of HRM in
international context are relationship with employees and their family, change in and
differentiated expectation of employees in different culture, management of cross-cultural teams.
All these things make IHRM complex than domestic HRM as there are no need of such activities
like management of cultures etc (Reiche, Harzing and Tenzer, 2018). Currently many
organisations are operating on international level because of globalisation and all companies
based on the type of their operations are getting affected from the IHRM complexity. Regardless
of the complexity associated with international human resource management it has become
important for organisations to manage their human resources effectively. This is important as
success of the organisational operations depends on how well they are able to mange global
human resources.

Apple Inc., American Multinational technology company and is considered one of the
biggest technology company in the world. The company is designer, manufacturer and marketer
of communication, electronic and media devices. The company operates in different parts of the
world and this is why its Human Resource Management on international level is elaborated. In
relation with Recruitment in the organisation, geocentric approach is adopted by the company as
Apple Inc. looks for the competent employees regardless of their country and culture and this is
why this approach of recruitment in Apple is most suitable. This approach might seem that
organisation is able to employ best human resources but this is one of the most critical approach
as Apple Inc. has to ensure that the employees which has been hired from other culture and
countries are able to adjust in the new culture of the country and culture. This is important as
only after adjusting in the new culture they will able to perform best and as expected in the
organisation.
This also requires that regional employees are able to get along with the new employee
and they do not face any type of discrimination in the organisation (van Harten and et.al., 2017).
Some of other complexities which are associated with IHRM in Apple are-
Pre-Departure Training which is given to those employees who are going for international
assignment in other countries. This training includes giving training to expatriates which will
equip them with the knowledge which they will need in other countries to survive immediately
after they are in another country. This is first complexity which is experienced in IHRM and
regarding expatriates. Some of things which expatriates are required to know is the culture and
customs of the host country, dress code which is appropriate in the new culture and the language
and basic etiquette of the host country.
This will help them to get along in the new culture of the host country and along with in context
of their business operations and their role includes giving training about the verbal and non-
verbal communication, decision making techniques in the host country, their rules and business
management structure in the host country. These are important aspects of their pre-departure
training ensuring that they are able to adapt to local culture of the country. For example,
employee at the Apple from US gets deployed at UK then this training will help the expatriate
employee to adapt the culture of the UK and this way they will be able to perform to the exacted