Impact of Cultural Differences on Performance Appraisal and Recruitment

Running head: INTERNATIONAL HUMAN RESOURCE MANAGEMENT
International Human Resource Management
Name of the Student
Name of the University
Author Note

INTERNATIONAL HUMAN RESOURCE MANAGEMENT1
Introduction:
The significance of the effective management of the human resource is observed to be
associated with a rapid increment. The organizations operating in the modern world of
business, are observed to be concise about their approach for the management of the
employment relations. The global business industry is subjected to an intense competition
and the globalization is acting as the key influencer in increasing the degree of the business
competition. Ford and Håkansson (2013) claimed that the introduction of new business
organizations in various business industries is able to reduce the market monopoly and at the
same time, it is increasing the difficulty of the established business organizations in
maintaining their growth in various business industries. As the business competition between
the organizations is increasing, the companies are facing the need to restructure their
strategies for making sure that the sustainability of their business operations is maintained.
Hence, the ability of the companies in providing the desired quality in their operations and
maintain their value propositions becomes crucial.
As the service quality offered by the companies is seen to be associated with greater
significance, the companies are facing the necessity to manage their human resources in an
efficient manner. The retention of the talented employees becomes important and two of the
aspects of the strategic human resource management that are the performance appraisal along
with the recruitment and selection of the employees are observed to achieve maximum
spotlight. However, both the aspects are observed to be significantly influenced by the
concept of cultural differences. The paper discusses regarding the impact of the cultural
differences on two of the important aspects of the human resource management which are the
performance appraisal and recruitment and selection of the employees. For the elaboration of
the cultural differences, the differences between two nations which are Australia and

INTERNATIONAL HUMAN RESOURCE MANAGEMENT2
Singapore will be discussed on the basis of the aspects such as the power distance,
individualism and masculinity and uncertainty avoidance.
Importance of the Performance Appraisal:
With a precise focus on the current labour and employment industry, it is evident that
the companies are facing considerable amount of difficulty in retaining the skilled and
experienced employees. According to Cortis (2013), with the higher number of skilled and
experienced employees in an organization, the company is expected to be in a favourable
position for improving their service quality which is notably important for the effective
management of their business operations in the modern world of business. The companies
with the capability of offering higher quality in their business operations are considered to in
advantageous position for retaining their customers and in increasing the customer loyalty.
With a precise focus on the fact, it is evident that the importance and requirement of the
skilled and efficient employees in the modern world of business is increasing in each and
every passing day. Hence, it becomes for the managers of the companies operating in the
global business world to make sure that they retain the skilful and experienced employees.
However, Arshadi and Damiri (2013) claimed that there are considerable number of
factors that have the potential to affect the interest of the employees in staying associated
with a particular organization such as the job stress, work life imbalance and inappropriate
working environment. However, the role of performance appraisal in increasing the
disassociation of the employees is gradually becoming a major concern for the managers.
Mohrman and Lawler (2017) stated that the variation in the expected appraisal and the actual
performance appraisal is observed to be one of the crucial factors increasing the
dissatisfaction of the employees. The dissatisfaction has the potential to lead the employees
towards an increased employment turnover which decreases the sustainability and service