Strategic Human Resource Management at Diageo Plc: A Report

This report provides an in-depth analysis of Diageo Plc's strategic human resource management (HRM) practices, particularly focusing on its international operations. It explores various training strategies employed by Diageo to develop its workforce across different global locations, including standardized approaches, documentary training, cultural simulation, technical aspects, personality development, and language training. The report also identifies and discusses the key challenges that employees face when working in international locations, such as language barriers, cultural differences, financial instability, and mental health issues. Furthermore, it highlights the role of management and HR practices in mitigating these challenges to ensure employee well-being and facilitate successful business expansion. The content is contributed by a student and available on Desklib, a platform offering valuable study resources.

Strategic HRM

Table of Contents
INTRODUCTION.................................................................................................................................3
MAIN BODY........................................................................................................................................3
Strategies and approaches to train the employees at international location........................................3
Challenges employees face at international locations........................................................................6
CONCLUSION.....................................................................................................................................9
REFERENCES....................................................................................................................................10

INTRODUCTION
Human resource management is defined as managing the company’s need and
requirements in respect to its human resources. This report is based on the case study of
Diageo Plc in respect to its strategic human resource management at its international
locations. The organisation was established in the year 1997. Company is operating its
business in beverages sector. Headquarter of the company is located in London, United
Kingdom. Company offer alcoholic beverages, spirits, beer and wine to its customers. In this
report company’s approaches in respect to its strategic human resource management will be
discussed. Henceforth, report will emphasis on company’s strategic approaches at its
international locations to train its human resources at such locations. Various strategies
company has channelized to enhance the potential of human resources at such locations will
be discussed in this section. Furthermore, report will also emphasis on what is the key
challenges employees face when they work abroad. This report would also highlight all such
approaches company and HRM use to cope up with such challenges of employees while
working in any of the international location of company.
MAIN BODY
Strategies and approaches to train the employees at international location
Strategic human resources are associated with the strategic human resource
management of company at international locations of company’s business. This involves
forming proper strategies that can support the employees of company in the best way
possible. Different strategies human resource management at the Diageo Plc use to train its
work force at the international locations. Human resource department of the company follow
the following approaches and strategies to train the employees of company in its international
locations.
Standardized approach for all types of training at international locations
Human resource department at Diageo Plc follow the standardized approach to train
the work force at all its international locations. The standardized approach of training involve
following the standard methods and techniques to train employees. This involve proper
planning of all types of training, conducting sessions for training programs and also tae
feedbacks at the end of each training from the employees of company took part in training
program. Standardized approach of department make the process simple and steady for the

company. It also resists any kind of confusion in the mind of company’s employees and also
for the management. Planning cover all aspects of training such as timing, resources, control
and proper management of training sessions (Ardito and Petruzzelli, 2017). Taking feedback
is also a part of this approach which allows the human resource department to address all the
key areas of development in the training sessions. It becomes necessary to overcome the
negative side of training or that barriers involve in training session company has undertaken
to enhance the overall outcome form the training sessions. This approach followed by human
resource department has guided the company to trained efficiently all its work force at all the
international locations company is currently associated. This approach of training allows
company to conduct proper planning at all level of training and employee development.
Documentary training
Human resource department at Diageo Plc conducts documentary training in the
employee training and development activity. Documentary training allows the department to
manage the training of employees with the support of class room learning sessions. This
involves proper brief reviews about different areas of employee’s development (Jiang, 2016).
Orator takes the complete step by step training with the support of presentations and
attractive video learning methods. Different skills are guided to employees of company under
this approach. In this practice all areas of skills are cover by employees of company.
Documentary training drives the department to allocate the precise knowledge over various
topics with the support of documentary notes and journals. This training helps the employees
to understand detailed overview on various skill development strategies. This training also
covers the way to assess the development in skill improvement of employees.
Cultural simulation strategy
Cultural simulation strategy is also a part of employee training at international
locations of Diageo Plc. This training is granted to employees of company so that cultural
development of employees of company can be entertained. In case of employees of company
get transferred at international business locations cultural awareness of such international
locations play a crucial role for the employees. It becomes important for employees of
company to get to know about the culture at such international locations. Cultural simulation
training is the best way to initiate cultural development in employees of company specially in
case of international locations (Chen and et.al., 2016). This training makes the employee of
Diageo Plc aware about the culture at such locations. It becomes essential for the employees

of company to get aware in respect to all cultural values at international transfers so that they
can get adjust in the environment. Cultural development of employees in case international
transfers provides them ease in enhancing the growth potential at such international locations.
Cultural training allows the company to provide cultural exposure to employees of company.
Technical aspect strategy
Human resource department at Diageo Plc also conduct technical; training at the
organisation. In case of employees recruited at international locations of business this training
allows them to understand all the technicalities at such locations. This training makes the
employee aware about the system and techniques use at such locations (Jiang and Li, 2019).
Technical training make the employee more confident about the ability at meet the functional
duties at such locations. Technicalities become a huge concern for the employees of company
transfer at international locations. Technical training makes the employees more comfortable
about the machineries and system installed at such international locations.
Personality development strategy
Employees at Diageo Plc also grant the proper personality development training. This
involves guiding employees of company to grow and develop the overall personality so that
employees of company can meet up all its role and responsibility at the organisation (Gupta,
2016). Personality development training allows the employees to work on key areas of
personality of employees. International locations also serve the challenges and new
dimensions of business environment which are totally unaware by employees in most of the
cases due to different regional and cultural values. This training make the employee ready to
afce such new challenges employee is going to entertain at such international locations.
Language training strategy
Human resource department at Diageo Plc conducts language training in case of
employees transfer at some international locations. Especially in case of new locations. This
training drives company to guide the employees about the native language of such
international locations to employees (Cooke, Xiao and Xiao, 2020). Employees provide
training about the local language of such international locations. Language is also among the
key barrier employee face in case of international transfer. This training makes the
organisation able to deal with the language issue of employees in case of international
transfer. Local language of the place is guided to employees in the descriptive manner.

The above mentioned trainings are allotted to employees of Diageo Plc in case of
international transfer of such employees of company. All these training allow the employee to
develop and grow the impactful personality which makes them able to meet up all different
challenges part of the business. The above mentioned approaches allows the company to
make the employee ready to establish a proper base for the company at such new locations so
that all different objectives of company can meet against the business operations.
Challenges employees face at international locations
In case of international business expansion company requires to send employees at
such locations that can overlook all different function company needed to conduct in order to
expand business at such locations. In the process of transfer of employees at such locations
various challenges also become part of the employees of company. All such challenges
employee face can be projected in the following points.
Language
Language becomes a huge challenge employee’s face in case of international
transfers. Every place is different and also offers new language and religious values. In case
of employee transfer to international locations they need to get used too with the new
language people speak at such places. Language is the best way to communicate with the
native people over such locations. Due to different language employees face problems and
challenges in communicating with different stakeholders at such new location (Kasule and
Bisaso, 2019). It makes the process more challenging as employees of company do not get to
communicate properly about the values and beliefs of company. This also create barrier for
such stakeholders in establishing trust with the organisation values and beliefs.
Sharing knowledge across boarder
Sharing knowledge across boarder is another key challenge employee face at new
international locations. In case of Diageo Plc where the organisation has always engaged in
expanding business at any of the international locations that can allow better growth
opportunities to organisation. Company always needed to transfer its employees at
international locations to crack business deals and make the positive atmosphere for the
company in order to expand business at such locations. Employees stated that they faced
challenge in sharing the values and beliefs at such international locations with other

employees and stakeholders at such locations. Different culture also create differentiation in
values and beliefs at such locations.
Financial instability
In case of international transfer of employees in most of the cases organisation face
financial instability at such international locations. International transfers allow employees of
company to make financial investment of visa, tickets and in doing other formalities.
Employee also needs to arrange its stay at such locations (Kundu, Mor and Gahlawat, 2020).
All the expenditure employees require to do create financial instability for the poor or middle
class economic category employees. This is among the major challenge employee face at
international transfers. This also creates negative impact over the employee confidence in
these kinds of situations. In many cases due to unavailability of proper financial resources
many talented and skilled employees needs to skip the opportunity in order to search for
better growth opportunities.
Cultural barrier
International transfers of employee also create cultural differences. All cultures are
different and not all employees adjust in new cultures easily. At new places new culture can
be seen. Religious values are also change at such locations. New environment are always
welcome to employees of company at such new locations. In many cases at Diageo Plc
employees who had international transfer majority of such employees get the challenges in
adjusting at these international locations due to cultural barriers. In case of cultural barrier
employees of company do not get to adjust easily at these locations. Cultural barrier probably
noticed as the key barrier and challenge associated with the employee transferred at
international locations.
Mental challenges
International transfer of employees of company also crates mental and emotional
challenges for employees. In case of international transfers of work force in the initial stages
especially employees needed to go alone. Company in most of the cases do not sponsor the
trips of family members at such international locations. Employees need to stay alone at such
locations. They do not have any one to share the things and communicate. This creates a huge
challenge for employees to get adjusted in such new locations.

All the above mentioned challenges are the key challenges employees face in case
they sent to any international locations due to business expansion of company. Employees at
Diageo Plc also face these challenges in case the organisation expands at international
locations. Especially in case of initial time these challenges are major. Management follow
various strategies so that employees of company can cope up with these challenges.
Management and HR practices assist the challenge
Management at the Diageo Plc follow the various policies with the support of human
resources department to overcome various challenges employees face at international
locations in case of business expansion. These strategies cover all different areas that create
challenge for the employees.
Training and development
With the support of human resource department employee training is conducted by
company. Company conducts various skill developments training which make the employees
more capable of performing all duties and responsibilities at such international locations.
These training allows the employees of company to develop different skills like
communication skill, technical skill, presentation skill and different other hard and soft skills
that employees are needed to achieve the overall objectives behind the authority they
allocated by company (Roca-Puig, Beltrán-Martín and García-Juan, 2019). Training play
huge role in the growth and development of employee’s personality to meet all different
duties and responsibilities assigned to them.
Language training
Management at Diageo Plc follow the practice to allocate language training to
employees of company in case of international transfer of employees. These training allow
the company to make the employee aware about the local language of the international
location. This training makes the employee able to understand the local language of the
destination. Language barrier is one of the major challenge employee’s faces in case of
international transfers. It becomes essential for employees to understand the local language.
This technique will make the employee capable to deal efficiently with all the key
stakeholder associated with the business expansion at new location. This creates better and
more profitable space for company at sch locations to achieve all different objectives of
business expansion.

Financial support
In case of employee appointed at Diageo Plc for any of the international expansion
project company allocate financial assistance to such employee with the support of human
resource department. In order to export employees at such location this financial assistance
grant to such employees will help them in meeting all different expenditures like visa, hotel
stay, tickets and many other expenditure employees need to incur in process to go at such
destinations (Widyanty and et.al., 2020). Financial support is an effective strategy that also
makes the poor financial background people more confident towards approaching these
opportunities. Company only sent the best talent at these locations so this opportunity is a key
growth opportunity for such employees. Financial assistance makes the employees more
confident towards putting extra efforts to achieve the growth potential.
Cultural training
Human resource department at Diageo Plc also conduct cultural training so that
employees of company get aware about the cultural aspects related to the new international
location. This is a crucial technique company follow to transfer the employees at international
business locations. It becomes essential for the company to understand the cultural values at
such places as it support in generating growth and development strategies of the business of
company. This training allows the employees to overcome the cultural barrier at such
locations.
The above mentioned strategies are the key strategies and tactics company follow to
overcome various challenges associated with the international transfer of employees in case
of business expansion.
CONCLUSION
This report have projected about all different barriers of international transfer of
employees. Barriers like cultural differences, lack of skills, language, mental barriers and
many other challenges employees face in case of international transfer of such employees of
company. Different techniques company use like training, language training, and financial
assistance to overcome all these challenges employees face in case of international transfer of
such employees.

REFERENCES
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