International Human Resource Management

This essay explores the challenges and opportunities of managing human resources across national boundaries. It examines the impact of national culture on HRM practices, analyzes different approaches to international staffing, and discusses the importance of cross-cultural collaboration in global organizations.

International Human
resource management

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................7

INTRODUCTION
International human resource management is a process of managing peoples across their
national boundaries by the multinational firms or when the company is setting its business in
other country. This report will include the national culture and its implication for the
international human resource management. It will also include the human resource management
processes and practices in European and other international countries including recruitment and
selection, expatriation practice international reward and compensation, comparative performance
management, comparative learning and development and leadership practice. Further thi9s report
will add the value and challenges of cross-cultural collaboration including techniques and
processes for working and leading and managing effective multicultural teams.
MAIN BODY
International human resource management is the set of activities as in domestic human
resource management includes planning, staffing like this International human resource
management includes such activities as well and however domestic human resource management
operates in one nation and international human resource management include these activities in
different international countries (International Human Resource Management (Human Resource
Management,2019).
National culture is the set of norms, beliefs and behaviour which is exist in people of a
country and nation. Multinational and international companies develop their management
practices according to the culture of that nation where they are operating.
Implication of national culture for international HRM practice
There are various practices that human resource management perform internationally
such as recruitment and selection, training and development, compensation and benefits etc. it
may create some challenges in front of the human resource management to apply theses practices
internationally.
As per the Noe and et.al, (2017)In the recruitment and selection, Human resource
management may have the challenge of language, attitude of the people toward the company.
Different country have different culture and language, for the recruitment process like telephonic
conversation or in the interview selection method language may be barrier.
Different country applies different techniques in their training and development process
availability of the new techniques can create the challenge for the human resource management
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of the company. If the currency rate is low then the company can not make more profit than
operating in other country they are not able to provide enough compensation and other benefits
to employees and employees can create the problem in the company.
According to the Reiche and et.al, (2016) internationalize the recruitment and selection
method can be beneficial for the company that they get chance to hire the new pool in the
company. Company and other staffs get chance or opportunity to learn new language that will
help in future to deal with other multinational company. stated that internationalize the
recruitment and selection can create the challenge in front of the company's human resource
management in which language, attitude of the people is big barrier for the HRM. They will not
understand each others language that create the communication problem and talented employee
can be lost.
As per the Collings Wood and Szamosi, (2018) stated that planning to attract the talented
pool is first step of the recruitment, in which company will get to know the ways to attracting
people for the company by planed structure and also will know the marketplace and people's
interest by their research methodology which will help the company and its human resource
management in future vacant position in the company. For the planning of recruitment of the
employees for vacant position, company should have the data about employment and education
percentage of that country, if the education level us low then will create the problem to hire
qualified employee and it is also diff9icult for the company to search the market and to attract
the people for the vacant position.
According to Rabin (2018) For the selection of the employees by conducting panel
interview is good for the company which operates in internation market as the human resource
management will get to know each employees personally and also get to know strengths and
weakness of the employees that they are going to be hired according to the vacant position. In
internationalize recruitment and selection, if company apply the panel interview then it will be
time consuming that need lot of time of management and also create the problem when
management not able to understand language and attitude of the employee and also not know the
strengths and weakness of them which is suitable for the position.
Albrecht and et.al, (2015) stated that, for the assessment by the multinational company in
another country to hire the employees in their company use the assessment test for selecting the
candidate human resource management of that company must have knowledge about that
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country's education system and with this they can get to know the different skills and knowledge
of different subjects based on the vacant post even the company can learn new skills to apply on
the assessment test and this will help the company to know about qualification and experience
and practice of the candidate, which will help the company to understand the international
employees in their company and their capability and ability. Every country and nation have their
own education system and learning style of the students and teaching style of the leaders. It is
difficult to know every candidate learning style that will help the company to guide them and
train them. In the assessment test human resource management must have to knowledge about
the international learning and teaching style and must have knowledge about the education
system. It is difficult for the human resource management to manage and plan new assessment
test on the basis of their education system I short time to hire the employees internally.
According to Brewster and et.al. (2016) leadership style by the human resource
management can be applied easily in operating business internationally. It is easy for the
management to handle and lead new employees in the company as they are new for the
company. Company's s leadership style easily can be applied on the employees of the company
to get the things done on time. To manage and handle the employees internally become difficult
when the company's management is unknown from the behaviour and attitude of the
expatriations and their behaviour can be rude that they can not accept the leadership style of the
company then it become difficult for the company's human resource management to apply
recruitment and selection practices internationally.
Working for the global organization, human resource management professionals have
different and unique staffing choice. While recruiting the employees for the global operations,
international human resource managers at the tie of the recruitment process identify the global
competitiveness and the potential of the applicants. It is very important and essential for the
workforce to aware of the international business environment. Global human resource
management must keep the knowledge of fairly and good ideas about the skills and availability
different labour market in the world and must have the capacity to change in these market and
exploit theses changes productively. Human resource professionals must have to insist to ire the
people from all the world in the international business operations to increase the productivity7
and for cross multinational cultural in the organisation. For this international human resource
management uses three unique approaches to select the right person for the right task at the right
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time. These approaches are Ethnocentric Approach, Polycentric approach and Geocentric
approach.
Bondarouk, Trullen and Valverde (2016) argued that Ethnocentric approach means to
hire to select the management and employees from the parent company. In this approach
company's managerial decisions like mission, vision, objectives all are taken at their headquarter
and followed by the host company. And believed that the employees of the parent company can
perform the better to fulfil these objectives. Advantage of this recruiting approach is that it is
very easy to adopt by the host company. This approach helps helps the management in taking
divisions like vision, mission and objectives. With this ethnocentric approach eliminate the
communication barriers between the host and parent organisation. Also help to maintain
coordination of activities between the parent and host company. The parent company can
monitor and evaluate the operations and activities of the host company effectively. Easy to
transfer technology and no need to create research on developed international labour force. Also
create the career and promotion opportunity for the employees of the parent company.
Brewster, Chung and Sparrow, (2016) stated that However here are many disadvantages
to apply this ethnocentric recruitment approach to hire the employees for the global business
operation. This approach limit the career and promotion opportunity of local managers, which
may lead low moral. Hiring the expatriates can be expensive as compared to the hire local
people. It may limit the new and fresh talent in the company. It may create the clashes between
different level of employees be cause of cross cultural variation.
As per the view of Guest, (2017) In polycentric approaches adopt the strategy to limiting
the recruitment of the nationals to reduce the foreign operation cost. Many company adopt this
approach with the objectives that nationals or the local people have the better understand of the
local values, beliefs and culture and they can best fulfil the objective of the host company. In this
approach there is freedom top take decisions and formulated them according the local business
environment and visi0on and mission of the headquarter. With the help of this approach
managers of the host country can analyse the local market and local people easily. Both internal
and external business environment is possible with the better coordination. Advantage of this
approach is to there is no cultural issues arise. Hiring cost would be reduce by hiring local and
nationals. Knowledge of the local people and local market helps to make better strategies and
taking decisions.
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As per the Brewster and et.al. (2016) It may have other disadvantages too like, by
applying this approach coordination between the headquarter and subsidiaries may not be
created. Easy control on the operations and activities are not possible because the nationals
occupied the key managerial position. It may create the difficulty to maintain better
communication between the parent and host country management. Parent company does not
have the local market condition.
Wilton, (2016) stated that this is the best hiring approach applied by the international
human resource management professionals. In this approach suitable person is to be hired for
the available position in the global business operation. Human resource managers hire neither the
home country nationals or local nor the host country nationals. They recruit the right person for
the right vacant position. The main advantage of this approach is that it creates the opportunity
and scope for the best talented and skilled employees. It facilitates the competitive advantage and
also helps in reaching the organisational goals and market empire position. This approach also
helps in reducing and eliminating the unfair treatment and issues in the organisation. It also helps
in national identification of the managers and helps in developing the pool of talented employees
and managers.
According to Stone and Deadrick, (2015) Applying the geocentric approach may be
expensive approach for the organisation. Organisation need to spend more on expatriate
relocation allowance. Due to the different cultural employees there is high chances of arising the
cross cultural variation. It may very difficult to control and monitor the operations and activity of
the organisation by the parent country. This need highly centralised control of staffing. This
geocentric approach of hiring the right people for the right job at right time may be difficult to
implement that need to increased training, compensation and relocation costs. This approach may
be time consuming as proper scrutiny is required by the human resource to select the right and
most suitable employee for the job.
CONCLUSION
From the above study it can be concluded that the any company who planning to operate
its business internationally apply the same approaches and practices internationally as they
follow in the domestic level. To apply these approaches and practices in internationalize the
business may create some challenges in front of the management and they have to deal with
these challenges as to operate their business smoothly in international market. It has been also
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concluded that operating the business globally, the global human resource management
professionals apply the international hiring method which help them to hire the most suitable
candidate for the right job at right time for the organisation that help the organisation to meet its
overall global business objective.
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REFERENCES
Books and journals
Albrecht and et.al., 2015. Employee engagement, human resource management practices and
competitive advantage: An integrated approach. Journal of Organizational Effectiveness:
People and Performance. 2(1). pp.7-35.
Bondarouk, T., Trullen, J. and Valverde, M., 2016. Special Issue of International Journal of
Human Resource Management: Conceptual and empirical discoveries in successful HRM
implementation.
Brewster and et.al., 2016. International human resource management. Kogan Page Publishers.
Brewster, C., Chung, C. and Sparrow, P., 2016. Globalizing human resource management.
Routledge.
Collings, D.G., Wood, G.T. and Szamosi, L.T., 2018. Human resource management: A critical
approach. In Human Resource Management (pp. 1-23). Routledge.
Guest, D.E., 2017. Human resource management and employee well‐being: Towards a new
analytic framework. Human Resource Management Journal. 27(1). pp.22-38.
Noe and et.al., 2017. Human resource management: Gaining a competitive advantage. New
York, NY: McGraw-Hill Education.
Rabin, R., 2018. Recruitment and selection process of Rangs Industries Limited.
Reiche and et.al., 2016. Readings and cases in international human resource management.
Taylor & Francis.
Stone, D.L. and Deadrick, D.L., 2015. Challenges and opportunities affecting the future of
human resource management. Human Resource Management Review. 25(2). pp.139-145.
van Harten and et.al., 2017. Special issue of international human resource management journal
HRM and employability: an international perspective.
Wilton, N., 2016. An introduction to human resource management. Sage.
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