International Human Resource Management: Manager Relocation Report

This report delves into the complexities of International Human Resource Management (IHRM), focusing on the challenges faced by a National Railway manager relocated from the United Kingdom to Australia. It examines the significant cultural differences and their impact on employment relations and human resource management practices. The report addresses key issues, including compensation disparities, disciplinary action approaches, collective bargaining power, power dynamics, communication styles, conflict management strategies, and worker participation. It highlights the differences in workplace cultures between the UK and Australia, analyzing how these differences affect the manager's ability to effectively lead and manage employees. The report provides a comprehensive overview of the potential challenges and offers insights into navigating these complexities to ensure successful IHRM practices, drawing on academic research and practical examples. The report also covers issues in disciplinary actions, collective consultation, bargaining power, power and knowledge, communication, conflict management, grievance handling, problems with employees, worker participation, performance management, and motivation. The conclusion summarizes the key findings and offers recommendations for effective IHRM strategies in a globalized environment.

Running head: INTERNATIONAL HUMAN RESOURCE MANAGEMENT
International Human Resource Management
Name of the Student:
Name of the University:
Author’s Note:

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Executive Summary
International Human Resource Management defines the process of procuring, allocating and
effectively utilizing the human resources in Multinational Corporation. International human
resource managers integrate human resource policies and practices of the subsidiaries across the
countries for achieving same level of success for all those subsidiaries. Moreover, the
international human resource managers should have high level of cultural sensitivity for
understanding the employees at international level. This study has defined a manager of National
Railway, who has been relocated from United Kingdom to Australia. The social and business
culture of these two countries highly differs from each other. In such situation, the working life
of relocated manager is highly affected by the employment relation issues and human resource
management issues, which is more likely to face in Australian branch. The manager is mostly
habituated with the authoritative leading style followed in the United Kingdom branch. However,
the flexible leading style is followed in the Australian branch of National Railway. In such
situation, the manager will face huge issues in properly managing the employees. On the other
hand, the manager can also face issues in dealing with the trade union for properly handling the
conflicts of the employees.

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Table of Contents
1.0 Introduction................................................................................................................................3
2.0 Employment Relation and Human Resource Management Issue..............................................3
2.1 Compensation Issues.............................................................................................................3
2.2 Issues in Disciplinary Actions...............................................................................................4
2.3 Issues in Collective Consultation and Bargaining Power......................................................5
2.4 Power and Knowledge Issue..................................................................................................6
2.5 Communication with Employees and Cultural Diversity......................................................7
2.6 Conflict Management and Grievance Handling....................................................................8
2.7 Problems with Employees.....................................................................................................9
2.8 Worker Participation Issues.................................................................................................10
2.9 Issues in Performance Management....................................................................................10
2.10 Motivation Issue................................................................................................................11
3.0 Conclusion...............................................................................................................................12
Reference List................................................................................................................................13

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1.0 Introduction
International Human Resource Management defines the set of activities towards
managing the organizational human resource at international level towards achieving
organizational objectives and competitive advantage at both national and international level
(Dartey-Baah 2013). International human resource managers are more likely to face issues in
employment relation and human resource management due to the difference in the culture of the
employees at international level. Most of the managers fail in managing the employees at
international level die to their cultural difference. This study will define a manager of National
Railway, who has been relocated from the United Kingdom to Australia. The social culture and
working culture of United Kingdom and Australia is quite different from each other. Therefore,
the relocated manager is likely to face several employment relation and human resource
management issue in Australian branch of National Railway. Moreover, the study will discuss
several employment relation issue and human resource management issues, which will impact
the working life of the relocated manager.
2.0 Employment Relation and Human Resource Management Issue
2.1 Compensation Issues
The manager of National Railway can face issues in terms of compensation preparation
for the employees. Different countries have different types of employee compensation policy.
According to Markoulli et al. (2017), the minimum wage for the employees of United Kingdom
is £7.20 per hour. On the other hand, Sikora and Ferris (2014) opined that the minimum wage for
the employees of Australia is $18.29 per hour. The manager of National Railway, who has been

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relocated from UK to Australia, can face confusion regarding preparation of the compensation
for the employees. In this way, the manager can face tough challenge in making the payroll of
the employees in Australia.
As per Kehoe and Wright (2013), the employees of United Kingdom get 28 paid holidays
from their associated organization. On the other hand, Alfes et al. (2013) opined that the
employees of Australia get 30 paid holidays from their organizations. In such situation, the
relocated manager can have lack of proper knowledge regarding the paid holidays for the
employees. Therefore, the manager can face issues in preparing the holiday list for the
employees without having proper ideas of Australian holidays. Furthermore, lack of knowledge
about the holidays of Australia can lead him to prepare wrong holiday list, which can make the
employee offended.
2.2 Issues in Disciplinary Actions
The manager of National Railway, who has been relocated from UK to Australia, may
face employment relation issue in terms of adopting appropriate disciplinary action for the
employees. Disciplinary actions define the process for dealing with the job related behavior,
which does not meet the communicated and expected performance standard. The purpose behind
such disciplinary actions is to facilitate the employees towards understanding their mistakes and
provide them with the opportunities towards getting an improvement over their behavior.
According to Turchick Hakak and Al Ariss (2013), the work culture of United Kingdom
is highly strict and the managers are more likely to send warning letter to the employees upon
any of their misbehavior in the workplace. The relocated manager is actually accustomed with
such strict disciplinary actions for improving the behavior of the employees. On the other hand,

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Trunk Širca, Babnik and Breznik (2013) opined that the workplace culture of Australia is quite
flexible and the employees get enough opportunities for justifying their behavior. Moreover, the
workplace culture of Australian organizations is non-threatening to the employees. They mostly
follow counseling for rectifying the behavior of the employees. The managers often advise
specific behavior to the employees. However, the relocated manager can face issues in handing
the disciplinary procedures of the employees in such non-threatening working environment.
Moreover, if he continues of follow strict nature of disciplinary actions, then it can lead to
employee issues in further.
2.3 Issues in Collective Consultation and Bargaining Power
The relocated manager of National Railway can face huge employment relation issue in
regard to bargaining power of the trade union. There have been significant differences between
different countries in regards to the subject areas of Collective bargaining. Moreover, some
countries have flexile collective consultation with the trade union or staff representatives, while
some other countries has strict collective consultation with the trade union and staff
representatives.
According to Li et al. (2015), in the last two decades, the power of trade union in UK to
negotiate the wage rate and working condition is declining rapidly. UK organizations do not
allow staff representatives to bargain in the matter of management prerogative like redundancy,
promotions and transfers. Therefore, the relocated manager is usually acquainted with such
limited power of the trade union in the UK branch of National Railway. On the other hand,
Kramar (2014) opined that Australian organizations follow decentralized bargaining
arrangement. Australian organizations allow more freedom to the trade union or staff
representatives for negotiating the interest of the employees with the management bodies.

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Moreover, in Australian organizations allow enough bargaining power to the trade union for
negotiating the interest areas of the employees with the management bodies. In such situation,
the relocated manager of National Railway can face huge pressure from the trade union in
Australia. Moreover, he can face tough challenge in the negotiation with the trade union or staff
representatives in regards to the interest areas of the employees.
2.4 Power and Knowledge Issue
The manager can face issues in terms of power and knowledge to be applied in managing
the employees of Australian Branch. Moreover, different countries have different types of
organizational culture, where the employees get enough power to raise their voice. Moreover, the
authoritative power of the managers depends on the working culture of different countries.
According to Karin Andreassi et al. (2014), UK organizations mostly have high power
distance index, where less powerful employees are more likely to accept the most powerful
employers. Moreover, power is distributed quite unequally within the organizations. Therefore,
the low level employees get less scope to raise their concern. Furthermore, the managers of UK
organizations mostly follow authoritative style for managing the employees. The manager of
National Railway is usually acquainted with the working condition of United Kingdom. On the
other hand, Florén, Rundquist and Fischer (2016) opined that Australian Organizations have low
score in power distance matrix, where the employees get enough power to demonstrate their
individualism. Moreover, the power of these organizations is distributed equally among the
employees. The employees get enough power to raise their concern to the management bodies.
Moreover, the managers of Australian organizations mostly follow supportive and shared
leadership style for managing the employees. In such situation, the authoritative style of the
relocated manager will clash with the supportive leadership style of Australian branch.

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Moreover, the relocated manager can be assessed in negative way in Australian branch of
National Railway, if he continues to follow his authoritative style in managing the employees.
2.5 Communication with Employees and Cultural Diversity
The relocated manager will mostly face issues in regards to the communication with
other employees in the Australian branch of National Railway. Communication with the
individuals, who have different cultural orientation and different language background, is
extremely difficult. According to Chowhan, Pries and Mann (2017), the managers of UK
organizations mostly follow highly formal communication within the workplace. They are direct
in their communication, but they are very modest in their communication with the employees.
Furthermore, the people from United Kingdom are somewhat reserved at the initial stage of
interaction. Furthermore, the written communication of UK also follows strict rules of protocol.
Therefore, the relocated manager of National Rail is usually habituated with the strict and high
formal communication style within the workplace. On the other hand, Guerci et al. (2015)
opined that managers of Australian are very open and flexible in their communication.
Moreover, the working culture of Australian organizations is quite flexible and interactive. They
are very straight forward and the communication flow is both upward and downward within the
workplace. In such situation, the reserved communication style of relocated manager can create
huge problems in managing the employees of Australian branch of National Railway. The
manager will be incapable to flexibly communicate with the employees of Australian branch.
As per Markus, Sekiguchi and Takeuchi (2015), the managers of National Railway in
United Kingdom mostly follow English as their main language in the workplace. On the other
hand, Wright, Coff and Moliterno (2014) the managers of National Railway in Australia mostly
follow Australian English as their main language in the workplace. Moreover, there is difference

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in the accent of the English language between these two countries. Therefore, the relocated
manager can also face accent issues of English language in the Australia branch of National
Railway.
2.6 Conflict Management and Grievance Handling
Conflicts are more likely to arise from the disagreement between the employees and
employers of the organization. Managers are highly responsible for implementing specific
procedures for providing resolution to the conflict and maintain effective relationship with the
employees. According to Shantz, Alfes and Latham (2016), managers need to have proper
understanding of the employees’ issues for providing accurate resolution to those problems.
Furthermore, Theeboom, Beersma and van Vianen (2014) stated that the managers need to have
adequate emotional competence for understanding the values and issues of the employees
towards mitigating their conflicts. However, the relocated manager of National Railway will
have lack of emotional competence in dealing with the employees of Australian branch.
Moreover, the manager will be incapable of understanding the values and issues of the
Australian employees, as he is not much aware of Australian values and culture. Therefore, the
manager may fail to provide accurate resolution for ultimately mitigating the conflicts of the
employees.
Sparrow, Farndale and Scullion (2013) pointed out that the branch of National Railway in
UK provides less scope to the trade union and staff representatives in handling the conflicts of
the employees. Therefore, the relocated manager of National Railway has little idea in properly
dealing with the staff representatives or trade union towards conflict management. On the other
hand, Alharbi and Mamman (2015) opined that the branch of National Railway in Australia
provides enough freedom to the trade union or staff representatives for handling the conflicts of

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the employees. Therefore, the manager needs to have proper experience in effectively dealing
with the trade union and staff representatives towards managing the employee conflicts.
However, the relocated manager of National Railway has little idea in dealing with the trade
union and staff representatives, which can hinder his ability towards effectively handling the
employee conflicts.
2.7 Problems with Employees
Problems with the employees are actually enumerated in connection with the employee
and employer relations. Lack of proper communication is the prime reason behind the problems
with the employees. According to Den Hartog et al. (2013), employees are more likely raise
problems, when their interests are not fulfilled within their organization. Furthermore, they are
also more likely raise problems, when they do not get adequate value and respect in the
workplace. According to Shaw, Park and Kim (2013), the managers of UK National Railway
follow authoritative style of leadership in managing the employees. Moreover, they are
somewhat aggressive in managing the employees of the organization. On the other hand, Hong et
al. (2014) opined that the employees of Australian National Railway are mostly acquainted with
supportive managerial style in managing the employees. Moreover, the managers are mostly
flexible and kind in their behavior, while dealing with the employees. The relocated manager is
actually habituated with the authoritative managerial style in dealing with the employees. In such
situation, it will be difficult for him to get support of the employees in Australian National
Railway, if he continues to follow aggressive managerial style with them.
As per Chowhan, Pries and Mann (2017), the communication style with the UK National
Railway is somewhat rigid and strict. In such situation, the relocated manager National Railway
is habituated with such strict communication style in managing the human resources. On the

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other hand, Markus, Sekiguchi and Takeuchi (2015) opined that the communication style in
Australian National Railway is quite open and flexible. The managers openly communicate with
the employees for understanding their problems. In such situation, the relocated manager may
fail in understanding the problems of the employees with his rigid and strict communication
style, which he used to follow in UK branch of National Railway.
2.8 Worker Participation Issues
The relocated manager of National Railway can also face the issues of worker
participation in Australia. According to Wright, Coff and Moliterno (2014), the managers of UK
National Railway mostly follow autocratic managerial style for managing the employees.
Moreover, they usually do not allow the employees in the decision making process. They do not
usually consider the ideas of the employees in the progress of organization. On the other hand,
Sikora and Ferris (2014) opined that the managers of Australian National Railway always allow
the employees to participate in the organizational decision making process. Moreover, they
highly value the ideas and inputs of the employees in organizational decision making process.
Therefore, the employee participation level in Australia is quite more as compared to that of
United Kingdom. However, the manager is not habituated with such kind of employee
participation. Therefore, the relocated manager may face huge issue in engaging the employee in
organizational decision making process and enhance the participation level of the employees.
2.9 Issues in Performance Management
The relocated manager of National Railway can face huge issues regarding the
performance management of the employees in Australian branch. Performance management is
the process of assessing the performance of the employees in systematic way. According to
Kramar (2014), performances of the employees are measured against various job related factors

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as well as individual factors. However, in this case, the relocated manager of National Railway
has very little idea about the Australian employees in terms of their individual factors. Therefore,
the manager would face issues in relating the individual factors of the employees with their job
related factors. On the other hand, Guerci et al. (2015) opined that managers need high level of
emotional competence for understanding the actual performance level of the employees and
provide appropriate training and development to the employees. However, the relocated manager
coming from United Kingdom will have lack of emotional competence in Australian brand of
National Railway. Therefore, the manager will fail to understand the internal motivation and
strength for developing the skills and talent of the employees. In this way, the relocated manager
will face issues in assessing the performance level and developing the skills level of the
employees in Australia National Railway branch.
2.10 Motivation Issue
The relocated manager will face issues in motivating the employees of Australian
National Branch. According to Kehoe and Wright (2013), employee motivation is highly
dependent on the ability of the managers towards understanding the basic needs of the
employees. However, the relocated manager of National Railway can fail to understand the
internal perspectives of the employees in Australian branch towards their ultimate motivation.
On the other hand, Karin Andreassi et al. (2014) opined that employees are not only motivated
through monetary rewards, but also they need some non-monetary benefits. Employees from
different cultural backgrounds have different types of motivational factors. Moreover, the
employees in UK National Railway are usually motivated through monetary benefits than those
of non-monetary benefits. However, the employees in Australian National Railway need both
monetary as well as non-monetary benefits (sense of ownership, recognition, praise and others)

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for their ultimate motivation. In such situation, the relocated manager can face issues in
providing accurate non-monetary benefits to Australian employees, which can limit the ultimate
motivation of the employees.
3.0 Conclusion
While concluding the study, it can be said that the manager relocated from United
Kingdom to Australian branch of National Railway will face huge issues in his working life in
relation to employment relation and human resource management issue. The compensation and
annual leave structure of United Kingdom is quite different from Australia. Therefore, the
manager can face issue in terms of preparing compensation and annual leave policy for the
Australian employees, which can ultimately impact the employment relation of the organization.
On the other hand, the working life of the manager can also be affected by the issues in the
disciplinary actions of Australian branch. Moreover, the manager is usually habituated with strict
policies of disciplinary actions. However, Australia follows non-threatening and counseling
process for disciplinary actions. Therefore, having being habituation with strict disciplinary
action, the manager will face issues in properly handling the disciplinary actions of Australian
branch. Apart from that, National Railway in United Kingdom does not much allow trade union
towards handling employee conflicts. On the other hand, Australian branch provides enough
freedom to the trade union for raise voice for employees’ concern and solving employee conflict.
However, the relocated manger has less idea about the way of dealing with the trade union.
Therefore, the manager will face huge issues in properly dealing with the trade union.

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