HRM514: Competencies of an International MNC HR Director

This essay critically discusses the essential competencies of an international HR Director within a multinational corporation (MNC). It emphasizes the crucial role of an HR Director in managing human resources to achieve organizational goals across diverse cultures. The essay delves into four key competencies: cross-cultural sensitivity, effective communication skills, a high degree of empathy, and flexibility. It explores the importance of these competencies in establishing a positive work environment, motivating employees, and navigating the complexities of international business. The discussion analyzes the advantages and potential disadvantages of each competency, providing insights into how HR managers can effectively implement them to maximize employee potential and achieve organizational success. The essay uses academic references to support its discussion.

Running head: INTERNATIONAL HUMAN RESOURCE MANAGEMENT
Competency of MNC HR
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1INTERNATIONAL HUMAN RESOURCE MANAGEMENT
Introduction
The international HR Director in any multinational corporation (MNC) has very crucial
role in managing the human resources so that they can reach their maximum potential and the
goals and objectives of the company can be achieved in the most efficient manner. A HR director
must have the competency to create an environment that will not only address the cultural
differences but other aspects of an organization as well, such as, internal communication,
interpersonal relationships, motivations of the employees and many more (Kelly & Rapp, 2017).
This essay will present a critical discussion on the four key competencies of the HR Director or
Manager in an international organization which are very crucial for operating effectively across
different cultures in current and future business environment and for motivating the employees to
achieve the organizational goals and objectives in the most efficient manner.
Discussion
The HR director of a MNC must have many competencies for establishing a positive and
supportive work environment and employing the appropriate employees for the right positions in
the company for efficient production. However, there is variety of responsibilities of a HR
director or manager and to perform those, the managers or directors must have some crucial
competencies. Among these, the most crucial competencies include cross cultural sensitivity,
effective communication skills, high degree of empathy, and flexibility to motivate the
employees (Kelly & Rapp, 2017).
As stated by van den Berg (2015), in an international organization or MNC, cross
cultural sensitivity is a very critical competency for the HR directors. Countries have cultural
differences, which influence the behavior as well as attitude of the employees towards their
work. It also affects the work environment in a significant manner. For establishing a productive
organizational culture and environment, the HR professionals must have a very comprehensive
knowledge and understanding of the international business environment which is influenced by
the cultural differences and take measures accordingly (Noe et al., 2017). On the other hand,
Bird & Mendenhall (2016) stated that cross cultural sensitivity can lead to biasness towards
one’s own culture and cultural stereotypes can still exist in the workplace when one culture
becomes dominant in the workforce. Furthermore, different understandings of the etiquettes

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might not be helpful for implementing a sensitive workplace. Thus, it can be said that the HR
managers not only should have sensitivity towards different cultures, but they should also
increase their knowledge about different norms of different cultures for establishing a sensitive
work environment.
To implement measures according to cross cultural sensitivity, effective communication
skill is another key competency which is required for the HR professionals in a MNC. Cohen
(2015) pointed out that the international HR managers must have good knowledge about foreign
languages and overcome the language barriers. It is important as the managers must be able to
communicate as well also understand the communication nuances that come with cultural
differences. On the other hand, according to Lo, Macky & Pio (2015), effective communication
has its own disadvantages. It can result in negative acknowledgement if the other party is not
equally skilled in effective communication. In such cases, the purpose of communication is not
fulfilled resulting in inefficient production in the organization. Sometimes, communication
process also involves deceptions regarding the work process and culture. Thus, the HR managers
must be very careful about the content being communicated to the employees to avoid any future
complications.
Mencl & May (2016) highlighted that the international HR professionals must have high
degree of empathy as they need to deal with a variety of nationalities, races, cultures, and
religions and thus, must be able to understand the differences and specific factors that can
motivate the employees belonging to different backgrounds. Collings, Wood & Szamosi (2018)
stated that empathy is required to establish strong interpersonal relationships within the
organization, and it works as an encouragement for the employees. They feel more valued in the
organization and thus their motivation level increases. However, Stauss & Seidel (2019)
highlighted some disadvantages of high degree of empathy among the HR managers. As per the
authors, empathy can often lead to poor decisions, hamper the diversity due to biasness, and it
can be too narrow for an organization’s growth. When a HR manager is too empathetic, he can
be easily manipulated by the employees and out of morality, poor decisions can be made easily
by distorting rationality and judgment. It can also lead to biasness during recruitment and
selection resulting in a wrong decision, and as it is a narrow aspect, a decision taken out of

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empathy for one employee can have negative impact for another. Thus, a HR manager must be
able to implement empathy in a restricted manner such that it benefits every employee.
Lastly, flexibility is another key competency that is required for the international HR
managers, as it enables the professionals to blend all the different elements of different countries
and the cultures into a comprehensive set up that is beneficial for all the employees as well as for
the organization as a whole. Raguseo, Gastaldi & Neirotti (2016) stated that every nation and
region across the world has own set of the cultural norms and traditions, customs, practices,
regulations and legislations. Hence, for establishing a cooperative and positive work culture, the
HR managers in an international organization must apply their flexibility skill for managing the
complexities by blending all these differences into common practices that would help the
employees to remain motivated and increase their productivity without violating or discarding
their own cultural traditions and norms. On the other hand, according to Way et al. (2018),
excessive flexibility of the HR managers might lead to casual attitudes of the employees towards
their job responsibilities. They might take the advantage of the flexible attitude of the HR
manager to shirk their responsibilities and can become complacent in their job. Facilities such as
work from home in a different region can make the employees self-satisfied and content about
their performance and ultimately they lack the interest to improve their performances. This is
derogatory for the individual employees as well as for the organization as that hampers the
productivity and performance in the long run. Hence, it can be said that the HR managers must
implement their flexibility for managing the complexities in an international business
environment in a controlled manner so that the employees cannot exploit the advantages.
Conclusion
It can be concluded that the HR directors in international organizations must be able to
handle various HR issues which have cross cultural issues integrated. Addressing the issues in a
straight manner would not be beneficial for the employees as well as for the growth of the
organizations, but they should also have the understanding of the loopholes in the system that
can bring negative impact. All the above mentioned competencies must be practiced by the HR
of the MNCs in a controlled and tactful manner so that the disadvantages are minimized and the
full potential of the employees can be achieved by increasing their motivation.

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References
Bird, A., & Mendenhall, M. E. (2016). From cross-cultural management to global leadership:
Evolution and adaptation. Journal of World Business, 51(1), 115-126. DOI:
https://doi.org/10.1016/j.jwb.2015.10.005
Cohen, D. J. (2015). HR past, present and future: A call for consistent practices and a focus on
competencies. Human Resource Management Review, 25(2), 205-215. DOI:
https://doi.org/10.1016/j.hrmr.2015.01.006
Collings, D. G., Wood, G. T., & Szamosi, L. T. (2018). Human resource management: A critical
approach. In Human Resource Management (pp. 1-23). Routledge.
Kelly, C., & Rapp, K. (2017). The HR Function in 2021: Models & Competencies.
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van den Berg, M. (2015). Human resources strategy and change: Competence development in a
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