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Challenges Faced by Global Organizations in Operating Performance Management Program

   

Added on  2019-09-22

12 Pages3356 Words223 Views
PEOPLE MANAGEMENT[Document subtitle]

PEOPLE MANAGEMENT1IntroductionThe main objective of the international strategy must be to manage the great differences which might occur at the borders of the markets. The executives do not succeed in order to explore the market and the discrepancies of the production; they mainly focus on the functions among the localization and the standardization. The global organizations face such challenges because of the inappropriate program of the performance management. Further, managing the global organizations has become the biggest challenge for the companies in order to expand their operations and achieve the sustainable competitive advantage by maximizing the profitability and improve the image of the brand. Moreover, the assignment will discuss the various challenges which are being faced by the organizations in operating the performance managementprogram. Then the various theories will be given to leadership, change management, etc. along with the effective implementation in the international context. Further, the ethical and professional approach to the organizations will be encouraged.The Challenges faced by Global Organizations Below are the major challenges which the global organizations are facing in operating the program of the performance management across the operations of the company (Birkinshaw, J. M., & Morrison, A. J. 2005).Environmental variations The environmental variations persuade through the subsidiaries along with the distinct growth rates of the performance of the employees, environment across the various subsidiaries that might not be measured by utilizing the invariant scale and criteria of performance management and the appraisal. Further, the factors of the environment became vibrant soon after the globalization phase which established drift towards the corrosion of the national culture and also

PEOPLE MANAGEMENT2the formation of the culture globally, creation of WTO, European Union and its currency, maximized mobility of the personnel, revolution of the information technology, outsourcing at the larger scale, the strategy of the glocalization, etc. (Bradley, L. M., & Ashkanasy, N. M. 2001). Therefore, every country has different factors of the environment which somehow impacts the businesses of the global organizations in order to operate effectively and maximize the profitability by attracting a great number of customers and achieving a sustainable competitive advantage. The variations in the environment are the biggest challenges for the global organizations in order to operate the program of the performance management effectively and efficiently.Distance and time variationsThe performance of the various activities of the global companies is complex around the distanceand the distinct time zones among the subsidiaries and the parent country. The dimension of the employee’s performance who are working in the global companies is very challenging in comparison to the employees who are working in the domestic organizations because they have an opportunity in order to interact with their colleagues directly whereas, the employees of the global organizations have a restricted choice in order to do this. Further, the advanced technology has helped in reducing the problems of interaction to a great extent who are working in other countries like e-mails, video conferencing, etc. Therefore, the time and distance is the greatest challenge for the global organizations in order to operate the program of the performance management because it is very complicated to measure the performance of the employees of the parent and the home country on the same criteria.Cultural adjustments

PEOPLE MANAGEMENT3Some of the employees are not able to adjust to the culture of the organization of the parent country, and this impacts their performance adversely. And, even they are not able to adjust to the culture of that country. The families of the employee suffer a lot because of the cultural differences and further the pressure from the family influences the performance of the employees. Most of the global organizations do not consider this fact while evaluating the performance of the employees (Chiang, F. F., & Birtch, T. A. 2010). Further, it has been observed that it is very complicated in order to measure the performance of the parent country nationals and the home country nationals who are performing in the headquarters, also face cultural problems while barreling with the foreign delegates. Therefore, the cultural adjustment isone of the biggest challenges which the global organizations are facing in order to operate the program of the performance management efficiently to motivate the employees so that they can perform much better than before.Host environmentThe internal environment such as the structure of the company of host country, the pattern of the ownership influences the performance of the expatriates. The maximum ownership by thePCN upon the joint venture enables the parent country national in order to work more productively in the parent country. The employees are not able to adjust with the parent company environment, and they are not able to give their 100 percent to the given task, and as a result, their performance declines. Further, the cultural environment such as the cultural and the social issues, economic and the political issues impacts the performance of the employees. And if the employees don't get other facilities like medical, educational, etc. then they are not able to do their work appropriately, and this makes difficult for the global organizations in order to operate the program of the performance management effectively.

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