Strategic Human Resource Management

This assignment delves into the crucial role of strategic human resource management (SHRM) in achieving organizational success. It examines established theoretical frameworks and practical applications of SHRM, focusing on its influence on organizational performance. Students are expected to analyze various HRM functions, identify best practices, and discuss how SHRM contributes to a competitive advantage. The assignment draws upon scholarly articles and reputable online sources to provide a comprehensive understanding of the subject.

International Human Resource Management

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................4
Contrasting Hofstede culture.......................................................................................................4
Contrasting Hofstede culture among different countries that is JAPAN TOKYO and
AUSTRALIA...............................................................................................................................5
Opportunities in operating in 2 different nation cultures concurrently........................................5
IHRM challenges.........................................................................................................................7
2rd IHRM challenges...................................................................................................................8
CONCLUSION................................................................................................................................9

INTRODUCTION
International human resource management (IHRM) basically focuses on covering the
large or wider aspect of the human resource management function. It basically focuses on
managing the challenges faced by the manpower in the international marketplace. Along with
this, IHRM also manages the certain external factors related with rules and regulations of the
government of foreign country (Hendry, 2012). The present report basically focuses on
measuring the different culture among the different nations that is JAPAN TOKYO and
AUSTRALIA with the help of using hofstede cultural model. Along with this, it also focuses on
the gaining insight knowledge regarding the IHRM challenges that is faced within the region.
Contrasting Hofstede culture
In order to manage the international human resource management Hofstede cultural
dimension must be applicable within the organization. With the help of using this framework it
focuses on describing different cultural and values existing within the society. Along with this it
would also focuses on influencing the activities and behavior with the change in different
cultural values (Harzing and Pinnington, 2010). The theory is widely used in the different field
such as international management, cross cultural communication etc. there are different
dimensions of national cultures that mainly include Power distance index, Individualism vs.
Collectivism, Uncertainty avoidance index, Masculinity vs. Femininity, Long term orientation
vs. Short term orientation and the last dimension is Indulgence vs. restraint. All the dimensions
are contrasting with each other that is the foremost dimension is power distance index that
clearly showcase the high power and low power. The high power indicates that there is clear
hierarchy established in society (CHUANG and Liao, 2010). On the contrary to this, lower
power indicates that there is less authority. Another dimension is Individualism vs. Collectivism
that mainly emphasis on the aspect of I vs. we. Another dimension is Uncertainty avoidance
index that showcase that if society score high then it indicates that there are high level of
grounded rule and regulations within the society. On the other hand, low score indicates that
there is high acceptance of the differing thoughts within the society. Another include Masculinity
vs. Femininity under masculinity society accept for the heroism and assertiveness (Alfes, Shantz,
Truss and Soane, 2013). On the other hand, in Femininity it focuses on the feminism society that
is caring view as they perceived women are more emphatic. Another dimension includes Long

term orientation vs. Short term orientation under this there is low level of index that ensure
traditional aspects are taken into the consideration. On the other hand, there is high level it
indicates new problem solving method is used.
Contrasting Hofstede culture among different countries that is JAPAN TOKYO and
AUSTRALIA
This cultural theory mainly focuses on measuring the different culture values of two
nations that are distinct from each other that is JAPAN (TOKYO) AND AUSTRALIA. With the
help of this cultural model it has been assessed that as compare to Australia Japan Tokyo has
high ratio within the power distance index that clearly showcase that in Japan has more power
than the other country (Wright and McMahan, 2011). On the other hand, it has been clearly
indicated that Australia has high individualism that is they prefer to be alone or individual as
compare we being in the group. Australia score 90 while the Japan scores 46 in the score that
ensure collective society in which the individually effectively expressed their opinion and
thoughts. On the contrary to this, another dimension within the model is masculinity that indicate
Japan has score 95 that indicate masculinity society within the world. On the other hand,
Australia scores 61 within the model that indicates less masculine society that clearly indicates
working in the group as compare to the individual (Lengnick-Hall, Beck and Lengnick-Hall,
2011). Another dimension within the model is uncertainty avoidance that is how the society
would deals with assessing the culture it has been assessed that Japanese is consider as the most
uncertain nation that scores 92 that is lower than the Australia. Along with this it is assessed that
Japanese market has high risk of uncertainty avoidance that is consider as one of the vital reason
that do not engage in any sort of change activities within the region.
Opportunities in operating in 2 different nation cultures concurrently
If the organizations operating their business in JAPAN (TOKYO) AND AUSTRALIA
where culture of both the nations have different in nature then they will get various opportunities.
Explanations of these benefits for the companies are as follows:
 Creativity: By running the same business in varied culture nations such JAPAN
(TOKYO) AND AUSTRALIA then organization able to develop creativity at the
workplace. Heterogeneous culture promotes a wide pool of various viewpoints that helps
in solving the numerous issues such as marketing, forecasting of demand of products,

sales of the goods etc (Greenberg, 2017). This thing encourages the development of
creative thought processes within the organizations. If the firms operate their businesses
in JAPAN (TOKYO) AND AUSTRALIA such kinds of diverse cultures then it make the
employees open minded and aware from various good and bad aspects of other cultures
(Business Advantages of Diversity in the Workplace, 2017). Culture diversification of two
countries change the way of thinking, behaviour and reactions of personnel towards
understand other cultures. This increases the interaction and collaboration between
diverse staff members who are working in various nations and belong to different culture
backgrounds.
 Problem-solving: It is second benefit for organizations which are operating in two
different nations such as JAPAN (TOKYO) AND AUSTRALIA same time. The reason
of this is diverse employees contain enough experience and perspectives to address
problems in more effective manner. So, quality of problem solving can only be improved
with running the business in different culture countries. It promotes critical thinking at
the workplace which builds a good link between company and the culture in which it
doing its business (Bélanger, 2015).
 Organizational growth: Every organization has contained a natural desired to build a
positive and negative impression with its actions. In this, type of culture of nation also
plays an important role in this direction. If firm able to understand and learn major
aspects of countries culture in which it is operating its business then possibility of
organizational growth become increase. This thing minimizes the culture gap within the
organizations and focus over the establishing a good image in the market place (Harzing
and Pinnington, 2010).
 Attract and retain talent: By running business in JAPAN (TOKYO) AND AUSTRALIA
which are diverse in culture aspect, organizations able to attract and retain talent in an
effective manner. This adds a competitive edge to the companies. With the nation’s
culture diversity, firms increase language skills pool and its leads to help the business to
compete at international level. The outcome of this, enterprises will easily attract new
talents and retain them for long term (Meredith Belbin, 2011).
 Help in building synergy in teams and enhance communication skills: Organizations
running their business in JAPAN (TOKYO) AND AUSTRALIA avail benefit related to

building synergy in diverse culture teams. This leads to enhance communications skills of
the employees and they become able to understand different cultures in an appropriate
manner (Guest, 2011).
 Reduced costs related to turnover and absenteeism: Operating business in diverse
culture nations like in JAPAN (TOKYO) AND AUSTRALIA, organizations can easily
manage diversity at the workplace by reducing costs associated with turnover and
absenteeism. For example, by putting the same event at the workplace in different
countries, it able to contribute in brings the reduction in turnover of employees. It saves
the financial costs of the firm by improve group process (Jiang, Lepak, Hu and Baer,
2012).
 Increase diverse customer bases: When the organizations are operating their businesses
in more than one nation such as JAPAN (TOKYO) AND AUSTRALIA which belong to
different culture then it help in increase the customer bases that are also diverse in nature.
For example, marketing strategy of McDonald will be varied in JAPAN AND
AUSTRALIA. The reason of this, its consumers have belonged with dissimilar culture
background. In this situation, it becomes important for the company to develop altered
marketing strategy that can able to attract both kinds of culture people simultaneously
(Sparrow, Brewster and Chung, 2016).
 Develop new processes of working: When company run its same business within the two
countries which are different in terms of culture then it develops some new processes to
complete the work. In today’s fast moving world, organizations cannot depend on a
single thinking. They have to adopt new cultures and thinking with the time. So operating
businesses in JAPAN (TOKYO) AND AUSTRALIA enables the firms to develop new
procedures of performing the tasks and running the business in more effective manner
(Armstrong, 2011).
IHRM challenges
Compliance with international regulations is referred to be a foremost challenge in both
chosen nations of Japan and Australia where HRM is considered to play the most strategic role in
an organization. It is where they are hereby referred as a direct accountable bodythat are required
to handle the appointed staff members of the organization along with dealing with their other
related issues and conflicts, etc. Compliance management comes under their functionalset of

responsibility into which they are required to frame certain strategic policies for the organization
as a way of handling the people and their work (Bratton and Gold, 2012). This section is
however in consideration to maintain and adhere by the international policies of different nation
where today’s trade activities are continually extendingtheir business. It is with a need base
consideration of surviving in today’s contemporary set of business that is depicting a rising state
of globalization. This in turn has led to intensify the contending sense of operation in the
established business organizations with a need base concern of expanding it to a larger extent.
This in turn has made a direct impact on the deputation procedure of recruitment and
selection (R&S) that is mainly governed by the HRM bodies in the enterprises of both designated
countries named Tokyo and Australia. This is for instance to state a factual illustration of such
hiring where an Australian business is apparent to enlarge their business in Tokyo (Guest,
2011).It is with a similar consideration of Japanese companies where they are also apparent to
extend their businesses in Australia as a mean of raising their profits with an expanded set of
market. In context to which, deputing employees who is are nonresident to Australia and Japan,
then the HR’s are hereby required to follow a through procedure of documentation. This is
basically to transcribe the passport and visa of those candidates. This is basically to be well
informed about the legal proceedings of the nation to fulfill the requisite clauses of business
operations and alleviate the complexity. Additionally, the HR personnel’s are together required
to adopt newer set of labor laws along with different taxation policies, etc., that is evident to
impact upon their adopted policies of wages as well.
2rd IHRM challenges
Another vital challenge in this particular field of HRM is in context to specify a prime
maintenance of a diversified workforce where the HRM personnel’s of both the countries are
hereby evident to employ different set of workers from the preceding challenge. It hereby
necessitates the HR personnel’s of their respective organizations to make diversified hiring of
individuals who belongs from different cultural and topographical backgrounds (Mathis and
Jackson, 2011). This often tends to create a disputed context among such diversified workforce
where they are often not contented with one other’s distinct set of views. It is therefore depicted
to be another spectacular issue in the forum of international business where a prime
interpretation of varied culture is important for the HR personnel’s of the organization. It is with

a fundamental sense of maintaining the diversified culture of the establishment where they can
also edify their employees about the same.
Operating with individuals who belongs to different ethnic background necessitates them
to adopt different work style that matches with the ongoing perception of their markets as a mean
of corresponding to the some newer ideas and ways of communication. It is along with another
prime measure of referring to suchunfamiliar practices that areprevailing in the newer
marketplace and depicts their diversified socio- cultural norms (Jiang, Lepak, Hu and Baer,
2012). This is for instance to specify a factual illustration of hiring employees in Japan who
belong to Australian ethnicity might have distinct view about the work handling procedures that
are being adopted by the HR in their state. It is therefore important for the HR personnel’s of
Japan to carry an open mind set about adapting newer style of work.
3rd IHRM Challenges
Another foremost challenge for HRM is in context to handle the backbone of today’s
modernized business environment where they are hereby required to carry such policies of
benefits and compensations that carries a plentiful outlook for the employees.This is basically to
focus upon the work life balance of the employees who are belonging to diversified locations and
may carry a distinct perception than the authorized officials of the organization(Ulrich, 2013).A
pertinent indication of benefits and compensations is to give a developmentalscope to the
employee’s where they are also required to arrange timely sessions of training and development
for them.
CONCLUSION
This report has illustrated a precise context of international human resource management
wherein it is segregated in three vital parts. The foremost section has depicted a leading culture
of global organizations named as Hofsted culture. Another section of this report has defined
distinct opportunities that can be acquired by the organizations of both elected states named
Japan and Australia when they can interchangeably operate in one other’s diversified structure.
Lastly, it has also represented some leading challenges that are being faced by the organizations
while operating with a diversified workforce of both these nations.

REFERENCES
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