Critical Evaluation: International HRM for UK Call Centre in Japan

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This report critically evaluates the cultural and Human Resource Management (HRM) issues that UK companies must consider when establishing a call centre in Japan. It begins with an introduction to internationalization and its impact on HRM, specifically focusing on the cultural differences between the UK and Japan. The main body of the report analyzes key cultural elements such as language, work ethics, and values, and their impact on business operations. It then introduces and evaluates the Kluckhohn and Strodtbeck model for cultural analysis, linking it to the specific case of HSBC locating a call centre in Japan. Furthermore, the report assesses HRM issues, including the importance of employee satisfaction, cultural differences in mentality, and the need for a sense of belonging within the organization. It explores various IHRM practices like coaching, training, and talent management, along with models for cross-border people management. The report concludes with a summary of key findings and recommendations for UK companies to successfully navigate the complexities of international HRM in Japan. The report emphasizes the importance of understanding Japanese culture, adapting HRM practices, and creating an inclusive work environment to ensure the success of call centre operations.
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International HRM
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Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
A critical evaluation of cultural issues UK companies need to take into consideration when
locating a call centre operation in Japan ....................................................................................1
Important points or issues that relates to the ‘cultural element’ in your project: .......................1
Useful model about culture in international HRM......................................................................2
Linking the model to HBSC locating a call centre in Japan.......................................................3
Critical evaluation of the model/s or framework/s or theories cited .........................................3
Evaluation of HRM issues UK companies need to take into consideration when locating a call
centre operation in Japan.............................................................................................................4
Important points or issues that relates to the ‘IHRM practice’ or ‘management of people’ in
your project ................................................................................................................................4
Useful model/s or framework/s or theories about IHRM/ people management in a cross-
border setting...............................................................................................................................5
How do these model/s or framework/s or theories link or relate to the case/project .................6
-Critical evaluation of the model/s or framework/s or theories cited..........................................7
CONCLUSION ...............................................................................................................................8
REFERENCES................................................................................................................................9
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INTRODUCTION
Culture is defined the regional way of carrying out routine tasks along with an attitude
shared by majority of people. With globalisation in the business world the understanding of
cultures and related issues plays a major role in human resource management(Cooke and et. al.
2019). Internationalisation is term used to described the transition of a company from serving in
a single to expanding and extending its boundaries internationally. In this report a brief
evaluation of the cultural issue faced in an organisation is done; when a company from UK
establish its call centre in Japan. The process doesn't necessarily means that a company has to
serve in the international market but even carrying out its operations across nations. Based on the
cultural evaluation, included in the report is the HRM, i.e. human resource management issue
that are to be consideration when expanding its business another culture.
MAIN BODY
A critical evaluation of cultural issues UK companies need to take into consideration when
locating a call centre operation in Japan
The very idea of internationalisation brings in the concept of cultural differences that
could have a major impact on an organisation (Caligiuri and et. al. 2020). Culture plays a major
role in the society and likewise on the workforce of the company. Each and every individual is
influenced by their culture and while working in a foreign or multinational company there are
several issues faced due to this cultural difference. Following is an evaluation of cultural issue
that are to be considered by HSBC while locating a call centre operations in Japan,
Important points or issues that relates to the ‘cultural element’ in your project:
Call centres are the direct means of communication between a brand and its customers,
either existing or potential ones. Hence it is very important to analyse that their objective and
target is met carefully. For a foreign company it is necessary to provide a sense of belonging to
the people it is serving. HSBC being multinationally active is well aware of this concept.
Japanese people are known for their culture and work ethics all around the world. Some key
cultural points that impacts the business are language, ethics and values,
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Language: Japanese people are peculiar about the their language and demands that the
communicational dialogue between the brand and the customers must be done in the
same language (Thite, ed., 2018).
Work ethics: Japanese people are known for their brilliant work ethics and in order to
locate business related operation in the country this should be considered.
Value: It is the higher meaning that plays a major role in keeping the workforce of
Japanese people motivated.
Useful model about culture in international HRM
When a company extends its operation to another nation it has to completely understand
the culture and work values of respective nation. Only through this understanding of cultures
can the company manage its human resources (Aust, Muller-Camen, and Poutsma, 2018).
International human resource management can only be executed successfully by developing its
international branch according to the new nation.
From various models of the cultural analysis one of the most effective model is given by
Kluckhohn and Strodtbeck in 1961. It is as followed,
The fundamental criteria
for classification of the
culture.
Dominant belief
Understanding human
nature
People are either believed to emotional, logical, ethical or neutral
The relationship with
nature
Concerned towards nature, careless towards nature or neutral
towards nature
The nature of human
activity
People strive to achieve success and goals
People should strive to develop into a integrated whole.
People should focus on living in the moment (Poór and et. al.,
2019).
Relationship among
individuals
Individualistic- Only interested in their advantage.
Collateral- Priority is small group and care for them.
Lineal- relationship with the entire community and the common
growth is always a concern
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Time orientation Past, Present, Future
Understanding the space Private, Public, Mixed.
Linking the model to HBSC locating a call centre in Japan.
Call Centre are the operational department of a company that communicates with the
customer. With HBSC locating its call centre in Japan, a cultural analysis becomes the necessity
for setting up organisational behaviour sustainability(Reiche, Lee, and Quintanilla, 2018) . The
experience of any company becomes irrelevant it the case of cultural change and therefore the
internationalisation must always begin with knowing the culture. With the help of the cultural
analysis model given above a lot of valuable information about the Japanese culture is obtained
which is describe below.
Japanese culture involves logically derived individual with the emotional touch for on
another. In this culture people have a long history for their relations towards the nature although
the nation is 3rd largest economy in the world, they found a balance in economical success
keeping the nature safe. Japanese are derived to be work motivated as they connect their work to
a higher meaning and consider themselves as contributory part of a larger task. Futuristic in their
vision; Japanese culture is quite respective towards the private space of every individual.
Critical evaluation of the model/s or framework/s or theories cited
The model discussed above very carefully analyse the culture of the Japan and and nature
of its citizen; thus proves to be very helpful in managing the workforce of this nation. When a
company satisfies the cultural belief and the organisation revolves around the core values then
there is a high chance of employee and in turn achieving customer satisfaction(Bretos, Errasti
and Marcuello, 2018) . In order to get the good result from an operation the satisfaction of the
workforce is extremely crucial. Using the above model HBSC can understand the principles and
appreciated efforts of the Japanese culture and create a working environment.
The only cons or the negative side of the model is that it stereotypes the people of the
entire nation by analysis them on a core principles and belief. It would have been slightly more
helpful towards the understanding as a more specific region was considered in the analysis.
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Evaluation of HRM issues UK companies need to take into consideration when locating a call
centre operation in Japan
Human resource management is one of the major department in the sustainability of the
business as it focuses on keeping the satisfaction of the employees. This department's every
effort is a reflection of the needs and requirement of the workforce of a company. Hence it is the
duty of this department to make sure that all the employee are satisfied with the quality of
organisational behaviour(Mayrhofer, Gooderham and Brewster, 2019) . The company must take
care of the cultural issue that exist between the two countries. Although both the countries work
force is goal oriented and derived by the works ethics there is still a huge difference in the
mentality and perception towards work.
Cultural difference influence the mentality of the employee and a lack of belonging can
be felt by the Japanese people of the organisation is not structured on the cultural factors. In any
organisation there are many factors that provides the sense of belonging to the people host
nation. These points are pretty basic starting from the outlook of the building of organisation, the
appearance and structure of the building plays a huge role along with the structure and behaviour
of the management department. The language used in the office premises decides whether the
employee feel comfortable and belonging. In Japanese culture it is very important to find a
higher purpose in the work they are associated with. Hence a proper management must be kept
under observation from the managerial approach to the working structure of the organisation.
Important points or issues that relates to the ‘IHRM practice’ or ‘management of people’ in your
project
Internationalisation of any organisation makes the management of human resource one of
the most important function of business. International human resource management is the term
given to this business function because after the expansion of a company the process is now
internationally managed. In the call centre there are multiple level of people on the floor of the
organisation which are to be managed internationally,. With the company's vision of provide
better services to the Japanese people and present them with a sense of belonging through
carrying out the operation in japan the primary objective of the company must be the
management of the local employees. Following are some functions that the company should
focus on while managing international human resource.
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Coaching & Training: Although the tasks of a call centre organisation are pretty basic
and not much theoretical knowledges is required. There is still a lot of practical
information needed to be provided to the people(Gooderham, Mayrhofer, and
Brewster,2019). This includes the company policies, information along with the training
of employees for performing up to the expectations. In every multinational company's
vision included is the touch of originality and essence of the company merged with the
class and culture of the host nation. For this reason the coaching and training of the
employee in host nation becomes important.
Talent management & Age discrimination: Japanese culture is huge appreciator of
success of deserving, people not just keep a check on their own progress but are also
interested and aware about the performance of others and keep a close eye on their
deserving progress. This has to be kept in mind by the company for creating a goo public
image. Another important point in the international HR management in Japan is to be
able to recruit and make the relative older people in the organisation and providing them
a feel of belonging to the modern working ways and operations.
Useful model/s or framework/s or theories about IHRM/ people management in a cross-border
setting
Every multinational company must organise and analyse the differences in the culture
and behaviour of any two different countries. It is through this analysis only that the company
can make appropriate strategies and work upon providing a sense of belonging to the people in
each country. There are various methods and theories that help in the analysis of the human
nature. On of the most effective analysis includes following factors,
Attention to Details: This point informs the company about the specific nature of people
in a country, that is how much attention is given to the details of every objective. People
are generally very peculiar and attention giving to details and on the other hand there are
some people who tend to ignore the details and such an analysis proves out to be
effective for the company.
Decision making efficiency: This point in the analysis informs the company about the
quickness in the decision making and how effective these points turn out to be for the
company(Agarwal and Al Qouyatahi, 2018) . Such features are demographically
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influences by the culture of a country or region and tends to be similar in majority of the
people.
Importance of Work life: Through the analysis of this point company can be sure about
the mentality of the people of a region regarding the work life of people of a country.
This pretty much very well clears the way a company should deal with organising the
employee and the way they should be treated.
Additional efforts towards work: This analyse people based on the working ethics and
dedication towards the company. Although such an analysis proves out to give negative
results for majority of the nations and culture, there are some cultures which rise up to
give positive report form this analysis. This generally includes the observation of culture
on the efficiency of doing a little extra for the company they are working for fro their
own will. This is very much related to the cultural gratitude observed in majority of its
inhabitant.
How do these model/s or framework/s or theories link or relate to the case/project
The above discussed model when applied to the cultural and human behaviours
difference gave some of the key finding which are helpful to the company in understanding the
current situation and further in the formation of stargates (Peltonen, and Vaara, 2018)..
Following are the observation and findings of a survey that was conducted on the people
working in a multinational company in UK or Japan.
Basis Japanese natural approach UK employees natural approach
Details Japanese people pay attention to each and
every detail
People from UK feel that Japanese pay
a lot of attention to irrelevant details.
Meeting Always come to the meeting with
complete preparation and already
prepared answers
Prepare less for meeting and answers
are not effectively presented in the
meetings
Decision
making
They take a lot of time with the decision
because they cannot conclude with an ill
worked decision
Employee in UK tend to make quick
decision following the approach of
time saving.
Decision
strength
Their decision is generally final when it is
first presented
Normally their decision have
improvisation gaps
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Priority of
work life
Work for the Japanese people is the way
of life. They associate themselves a lot
with the work and find a higher meaning
of their work
UK culture consider work as just a
means of earning and are less
associated with the professional life.
Contributi
on in
meetings
In Japanese professional culture,
contribution is limited to the time when
someone has a unique and extremely
important points to add
In UK culture contribution in a meeting
is a way of showing efforts and self
belief. Hence not every time the
contribution in a meeting is
meaningful
The above analysis and observation is through the feedback research that the two cultures
gave about each other which is the best way to observe the ground reality and extend of cultural
differences.
-Critical evaluation of the model/s or framework/s or theories cited
Models use in the evaluation of the the international human resource management are
precise and critically analyse the nature and behaviours of the two cultures(Brewster and Cerdin,
2018). This analysis not only individually finds out the nature and behaviour of the people in
these two countries but also gives a comparative analysis, which will ultimately help in the
formation of stargates of organisation structure and human resource management. With the help
of model it is very well understood that the Japanese people are work derived individuals who
are inspired by the success and growth of the company in whole. Hence a relation between a
culture and work attributes must be vert carefully included in the management of the Japanese
workforce.
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CONCLUSION
It is concluded from the report that International human resource management depends
heavily on the cultures of different countries. This cultural differences needs to be analysed and
found out on the basis of preference and mentality of the people. Followed by the analysis comes
the next step of strategy formation which must be executed to flat the difference curve and create
a sense of belonging in the host country of a multinational company. Such an approach is
expected to give positive results in internationalisation of a company.
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REFERENCES
Books and Journals
Agarwal, S. and Al Qouyatahi, K.M.S., 2018. HRM Challenges in the Age of Globalisation.
International Research Journal of Business Studies.10(2). pp.89-98.
Aust, I., Muller-Camen, M. and Poutsma, E., 2018. Sustainable HRM: A comparative and
international perspective. In Handbook of Research on Comparative Human Resource
Management. Edward Elgar Publishing.
Bretos, I., Errasti, A. and Marcuello, C., 2018. Ownership, governance, and the diffusion of
HRM practices in multinational worker cooperatives: C ase‐study evidence from the M
ondragon group. Human Resource Management Journal .28 (1). pp.76-91.
Brewster, C. and Cerdin, J.L., 2018. HRM in mission driven organizations. Cham: Palgrave
Macmillan.
Caligiuri, P., and et. al. 2020. International HRM insights for navigating the COVID-19
pandemic: Implications for future research and practice.
Cooke, F.L., and et. al. 2019. How far has international HRM travelled? A systematic review of
literature on multinational corporations (2000–2014). Human Resource Management
Review .29 (1). pp.59-75.
Gooderham, P.N., Mayrhofer, W. and Brewster, C., 2019. A framework for comparative
institutional research on HRM. The International Journal of Human Resource
Management .30 (1). pp.5-30.
Mayrhofer, W., Gooderham, P.N. and Brewster, C., 2019. Context and HRM: theory, evidence,
and proposals. International Studies of Management & Organization .49 (4). pp.355-
371.
Peltonen, T. and Vaara, E., 2018. Critical approaches to comparative HRM. In Handbook of
research on comparative human resource management. Edward Elgar Publishing.
Poór, J., and et. al., 2019. Internationalisation of human resource management: focus on Central
and Eastern Europe. Nova Science Publishers.
Reiche, B.S., Lee, Y.T. and Quintanilla, J., 2018. Cultural perspectives on comparative HRM. In
handbook of research on comparative human resource management. Edward Elgar
Publishing.
Thite, M. ed., 2018. E-HRM: Digital approaches, directions & applications. Routledge.
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