Strategies and Challenges in International HRM

This document discusses the strategies and approaches that a newly internationalizing company can adopt to train employees for overseas projects. It also explores the challenges faced by employees working abroad and how management and HR practices can help in dealing with these challenges and achieving success.

Strategic HRM

Table of Contents
INTRODUCTION...........................................................................................................................3
a) Explain the strategies as well as approaches a newly internationalizing company can adopt
to prepare & train groups of employees to work for it in overseas locations on projects along
with justification of best approach.........................................................................................3
b) Discuss challenges employees face when working abroad & how management and human
resource practices help in dealing with such challenges and gain success.............................3
CONCLUSION................................................................................................................................5
REFERENCE...................................................................................................................................7

INTRODUCTION
Strategic human resource management is defined as the practice of developing, attracting,
rewarding as well as retaining staff members for enhancing the performance and profitability of
an organization. Along with this, it is the process of linking strategic objective and human
resource function with an aim to enhance organizational performance (Armstrong and Taylor,
2020)(Bailey, 2018). For the present report, Verdant Leisure is taken into consideration. It is a
holiday park operator which offers caravan holidays and self-catering lodge and also home
ownership across Northern England and Scotland. The main purpose of company is to give
individuals time and space to explore and try new activities. The report will cover approaches
and strategies that a newly internationalizing business entity can adopt to train its staff members
to perform activities in overseas. In addition to this, challenges faced by employees while
working abroad is describe in the report. Later, HR practices and strategies is elaborated that
help company to deal with challenges ad attain success as well.
a) Explain the strategies as well as approaches a newly internationalizing company can adopt to
prepare & train groups of employees to work for it in overseas locations on projects along
with justification of best approach
Whenever an organization operate its function at a global level, it face various challenges
in order to understand business environment to the perception of customer in terms of finance
and business as well. For performing internationally, it is important for an organization to have
capable and effective employees who can deal with such issues and pressure as well. It is
analyzed that organization mainly sends managers to home country for two reasons. One of the
main reason is managers have experience and another is they are having more control towards
subsidiary.
One of the major issue that is arise while operating business across the borders is
cross cultural difference. It is analyzed that when culture are not followed by company
then it may leads to business failure in that particular country. For this, it is significant for
the company to give training to its employees and use effective approaches in order to go
internationally and train employees in an effective manner. The approaches are given
below in context to chosen organization:
Technology based training: This type of training is mainly given through
computer programs which consist of videos, interactive multimedia, online training

programs and many more (Brewster, 2017). In addition to this, it is useful for big
companies wherein trainings are continuous & on-site training is viable.
On the job training: It is consider as one of the most effective form of training
that starts from the time when employee initialize its work. On-the-job training involves
reading manuals, asking questions, continuous observation of practical situations and so
on.
Coaching: It consist of receiving training from experts and professional that is one-to-
one. The trainers receive tutorials, sessions, lectures in order to get knowledge. With the
help of this, organization develop strategies in order to guide and give training to
employees so that they can work at an international level.
Language training: It is important for employees to have knowledge about the
language of people using in that particular country as it help in dealing with customers and
resolving customer queries in an effective manner. In relation to Verdant Leisure, it
provide training to its staff members of different language before they going overseas so
that they can understand the requirements of customer and also make them clear about
product and service offered by them in an effective manner.
Cultural simulation Training: This training help employees to deal with the
various situations in a proper manner. In this type of training, a role play is given to
employees of different situation as well as practices associated with the cultural of other
country in which an entity is going to operate its functions. The employees provided with
cultural standards in context to individualism, power, social issues and collectivism that
will develop difference with in the operations of the organization. It is determine that
providing such process training is effective within the host country such as in England in
case of Verdant Leisure. Moreover, organization train the staff members to aware of
culture shock & its possible interference within the working environment.
Documentary Training: It is a form of classroom learning that emphasis on
training of employees about culture difference which will face after going to overseas. It
include human interactions that involves gender relations, greetings, vocabulary, language
and so on. In addition to this, organization often provide professional trainers in order to
give employees workshop, videos and lectures associated with cultural differences.

From the above discussion, it is analyzed that all the above training is important
for Verdant Leisure to give to its employees so that they can work overseas that is in
Scotland in an effective and proper manner (Kaufman, 2019). The company mainly offers
Caravan and self-lodging services in market that gain success if it is provided in a proper
manner. The culture of countries is different so it is significant for company to provide
cultural simulation training and language training to its employees so that they can deal
with customers in a proper manner and also make them understand about its services
effectively. It also assist in maintaining relation with customer and develop emotional
connection with them as well. All this types of training help Verdant Leisure to operate its
functions at an international level in a proper manner.
b) Discuss challenges employees face when working abroad & how management and human resource
practices help in dealing with such challenges and gain success
There are various issues or challenges faced by staff members while working across the national
boundaries and in international market as well. It is important for the higher authorities and HR manager
to focus on resolving such issues by developing effective practices and strategies as well. Verdant Leisure
is a holiday park company that expand its market in countries such as Scotland in order to enhance the
level of operations and to increase its customer base level in an effective manner. The company and its
employees facing many challenges that has negative impact on its performance level. Some of the
challenges related to internationalization is given below:
Cultural differences: It is consider as one of the main issue that us faced by workers of Verdant
Leisure at the time of working overseas. The culture of every country is different and it is sometimes
difficult for employees to understand it and work according to it. This arise the issue of not following
cultural norms and values that impact directly on performance of company in a negative. In order to get
rid out of such challenge, the higher authorities of Verdant Leisure is required to emphasis on tailoring
customs and providing training to employees as per the culture of other countries.
Family issues: Another issue that is faced by employees are family issues, which is an important
element for a person. If the employee is going to work on abroad, sometimes they need to leave their
families at their place or sometimes they take family together. In addition to this, the education of
children hampers or sometimes the environment does not suit to any of the family member. In relation to
Verdant Leisure, the manager of company is focusing on this issue and ensures a proper settling of
families at overseas.
Language Barriers: It is determine that every country has their own language to communicate and
interact with people. In addition to this, sometimes a word also has more than one meaning that is in

positive and negative manner. This create an issue for the employees of Verdant Leisure and due to this
they are not able to resolve customer queries and giving them proper response as well. It is important for
the top level authorities of respective organization to provide sessions or language classes to its
employees so that they can deal with customer prevailing at marketplace in an effective manner.
Stress and uncertainty of foreign posting: It is analyzed that sometimes employees overthink
and take stress because if foreign positing (Macke and Genari, 2019). This develops a mental pressure
and decline their level of efficiency to perform the activities in a proper manner.
Time zone differences: It is also consider as an issue that is faced by employees because if
different time of performing jobs. In some countries there is an option of flexile hours of working and in
some there is night shift. This develop an issue as employees are not able to maintain a balance in their
life in a proper manner. Along with this, they are not easily accept such challenges as well.
Regional based customization: In order to deal with countries such as Scotland and others, it is
important for company such as Verdant Leisure to adopt new technologies and provide offerings in
market according to the needs of customer so that it can retain in market for longer time period. For this,
it is significant for employees to learn how to use new technology which is consider as a challenge for the
employees. In addition to this, it is also significant for employees to understand the values, norms and
wants of customers so that the services is provide to them as per their choice. If not, then it will
negatively impact on the performance of both employee and company as well.
Compliance risk: It is also consider as a challenge employees working on overseas and these are legal
market, taxes and regulations as well. It is important for staff members to effectively follow all the legal
work in order to avoid conflicts and issues. It is analyzed that in some countries, there is high penalty and
punishment if all the laws and legal frameworks are not properly by an individual.
Building capacity: At the time of expanding operations internationally, there is always an issue
associated to interrogation with culture and values of other countries. It is determine that every country
has their own code of conduct and environment as wee. Some employees takes time to adjust themselves
with the environment and culture in order to be part of society and is consider as challenge for staff
members of Verdant Leisure.
From the above discussion, it is determine that it is important for managers and HR department of
Verdant Leisure to develop effective strategies and practices, which help in dealing with such issues and
also assist company to gain success in other countries as well. These are given below:
Providing training session to employees: One of the main Human resource practice that is
required to be adopt by managers of respective organization is to provide training to employee who are
working in overseas. This will help them to learn the language of other countries and gain knowledge

about the new market in an effective manner. In addition to this, it will also assist in providing good
services to customer of other countries in a proper manner.
Encourage open communication: In order to manage staff members within a new area, it is
significant for human resource manager to emphasis in using an effective and open communication
strategy. This help in bringing out the new idea of dealing with such issues and also assist in gaining
information about countries by other employees as well.
Embrace diversity: One of the effect strategy to deal with such challenges to embrace diversity
at workplace as it help in developing positive mind set of employees towards working (McClean and
Collins, 2019). In addition to this, it help in promoting people belong from different caste, background,
culture and so on.
Providing benefits and bonuses: In order to motivate employees to overcome with such issues,
it is significant for the company to give offers and benefits to employees who are performing operations
overseas. In addition to this, it help company to make employees contribute their best in performing
activities in international markets in an effective manner. With reference to verdant Leisure, it can give
both monetary and non-monetary benefits to staff members that can fulfil the requirements of its family
members and develop its social status as well. All this encourage employees to deal with the issue that has
positive impact on the growth and success of company.
Fostering strong and effective relationships between workforce: It is determine that
developing teams and focus on maintaining good relationship among employees help an entity to retain
staff members for longer time period and enhance their performance level. If it is talking about Verdant
Leisure, it is analyzed that after internationalization the company is focusing on maintain good relation
among employees so that staff members help other employees to deal with difficulties which they are
facing at new place.
From the above discussion, it is stated that all such strategy will assist company to deal with the
issues faced by employees due to internationalization. In addition to this, it also help company to gain
higher growth and success at marketplace and strengthen its brand image as well.
Concept of Culture shock:
Culture shock is defined as the feeling of anxiety, confusion and uncertainty that an
individual experience at the time of doing business, visiting or living in such society which is
different from their own. It is analyzed that culture shock can increase from a person
unfamiliarity with languages, local customs and behavior of people from other counties (Ridder
and Baluch, 2017). In relation to Verdant Leisure, it is expanding business internationally and for

this its employees are working in different locations that may daunt culture shock. In order to
deal with this, it is significant for HR manager and higher authorities of company to provide
training to workers that acclimatize staff members and also decline cultural gaffes that impact on
their performance level in a positive manner.
CONCLUSION
From the above discussion, it is analysed that strategic human resource management help
company to interrelate human resource with the organisational objective which in turn assist in
making improvement in productivity and profitability of company. Moreover, it is important for
a business entity to make use of an appropriate internationalisation strategy in order to perform
its operations in an effective manner. Furthermore, there are many challenges faced by
employees while working on other counties and for resolving this and dealing with issues,
organisations adopt effective practices such as providing training, embrace diversity, focusing of
fulfilling requirements of employees and many more. This help company to perform activities
properly at international level and enhance its performance and profitability level in an
appropriate and effective manner.

REFERENCE
Books & Journal
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Bailey, C., and et. al., 2018. Strategic human resource management. Oxford University Press.
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management practices, work organization, and strategy. Journal of Management &
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Macke, J. and Genari, D., 2019. Systematic literature review on sustainable human resource
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McClean, E. and Collins, C. J., 2019. Expanding the concept of fit in strategic human resource
management: An examination of the relationship between human resource practices and
charismatic leadership on organizational outcomes. Human Resource Management, 58(2),
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Ridder, H. G. and Baluch, A. M. C., 2017. Strategic human resource management. The Nonprofit
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Stewart, G. L. and Brown, K. G., 2019. Human resource management. John Wiley & Sons.
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