International HRM: A Comprehensive Analysis of Practices and Issues

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Added on  2023/01/12

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This report provides a comprehensive overview of International Human Resource Management (IHRM). It begins with an introduction to IHRM, emphasizing its strategic role in achieving competitive advantage at a global level, using Apple Inc. as an example. The report then explores the importance of IHRM, highlighting its differences from traditional HRM and the need to manage diverse nationalities and cultural environments. It details key IHRM practices, including recruitment and selection, training and development, and cross-cultural considerations, with a focus on Apple Inc.'s innovative approach. A critical analysis of these practices is presented, pointing out both strengths and weaknesses. The report concludes by identifying key issues in IHRM at a global level, such as cross-cultural training challenges, communication problems, and compliance with laws and regulations. The document is supported by references from various academic sources.
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INTERNATIONAL HRM
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Table of content
Introduction
Importance of IHRM
IHRM Practices
Critical Analysis
Key issues of IHRM in a global level
Conclusion
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INTRODUCTION
HRM is referred to the strategic approach which is used to manage people in
organization that helps business to achieve competitive advantage.
It is specifically planned to enhance employees performance to gain organization's
strategic objectives (Haak-Saheem, Festing, and Darwish, 2017).
On the other hand international HRM refers as the set of activities for targeting human
resource management at the global level.
It supports organization to meet their objectives as well creates competitive advantage
over competitors at national and international level.
To understand IHRM role in international level there is an example of Apple Inc.
company.
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Importance of IHRM
According to Wilton, (2016) international HRM deals with both type management
such as personal management, strategic management and development of key staff
along with diverse cultures, religions and ethical values.
Ihrm covers large number of fields from internal and external factors i.e. such as
diverse cultures in the local and international level (Horak, 2017).
International HRM is quite different from normal HRM because they involve with
employees of diverse nationalities and cultural environment.
Internal human resource management is the set of activities which has aimed to
manage human resource and global level for achieving employers objectives.
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Cont.
IHRM plays essential role within organization such as restructuring their organization
structure, technological changes, recruiting international employees etc.
There are three major activities i.e. procurement, allocation and utilization.
International HRM perform various functions such as designing, organizing,
implementing, controlling and coordinating within organization.
Ihrm functions are similar as HRM but major difference IHRM perform their function
at global level while HRM perform their functions based on organization.
The main objective of ihrm is to generate awareness of cross culture sensitivities
among managers at international level and recruits key staff around geographical
boundaries.
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Cont.
On the basis of other perspectives Moore, and Jennings, (2017) has illustrated in their
published article is that most of the organization adapts IHRM approach because they
support to rise MNCs franchise in multiple countries.
The main different between HRM and IHRM is that it provides training to employees
through cross cultural communication workshops and seminars to reducing barriers and
enhance team working across the cultures.
As illustrated by Boella, and Goss-Turner, (2019) various multinational companies
emerges IHRM practices within business to achieve competitive advantage from global
market.
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Cont.
The main goal of the company to design product or service in such a way
that meets global customs objectives.
IHRM department helps company to restructure organization so that
complexity create out so that competitors can't imitate their structure.
For example currently Apple Inc. has hierarchical structure along with
divisional structure in which hierarchical structure is used for business
structure.
while divisional structure is used for the product which is based on
grouping within Apple i.e. iOS and macOS.
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Cont.
Utilization is third activity of human resource which is used to maximize skills and
efficiency of HR and fruitfulness.
Apple Inc. is famous as technology company which designs, develop and sells
customers electronics, computer software and online services.
To tackle overall operation within company involves ihrm which supports organization
to promote brand image in international level.
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Cont.
However, some Horak, (2017) has criticized in their research paper is that Ihrm has
some disadvantage as well for example international human resource system requires
high cost to set up management at intentional level.
It is time-consuming procedure because to set various operations within organization
at international level automatically will take time.
Even some Reiche and et. al., (2016) has explained demerits of Ihrm through their
published articles.
According to them ihrm requires high maintenance and top-level resources which they
can use to improve management practices which is major weakness of ihrm.
Another limitation when ihrm is inefficient to create global strategy that automatically
can weak performance of employees within workplace.
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IHRM Practices
There are various practices of ihrm such as international staffing, training, compensation, cross
cultural issues, performance management etc. comprises to fulfil goal of the business.
IHRM of Apple Inc, is more innovative nature which is practices three major practices such as:
Recruitment and selection practice
IT is major practices of ihrm in organization because it helps them to get success in global
market.
Apple Inc. invests high funds in recruitment and selection procedure so that can find the best
talent who can fit for organizational culture.
Organization requires such kind employees who gives high efforts and commits activities of
the enterprises.
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Ihrm doesn't promise to their employees on career progression but supports them to improve their
skills that automatically develop employees career within workplace.
Ihrm recruits large number of talent beyond local boundaries so that gets right talent for right job
profile.
Ihrm always search for new recruitment in different local market as regular sis so that access the
best talent who can help company to meet their objectives.
To attract the best talent offers high incentives and job security policies by HR that helps
organization to screen out the best talent for vacant position.
IHRM implements outsource agreement with IBM that also attracts employees to apply for job.
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Cont.
Training and development :
It is second practices of human resource which is used at international level.
IHR applies unique training approach which gives assurance to employee that they are
equipped with right skills for the job.
Human resources encourages employee to develop innovative skills while working at
workplace (Lee, Lin, and Huang, 2017).
Manager uses different approach for assigning roles in diverse teams.
For example HR assigns several team for particular task so that they perform well.
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