Global Human Resource Management: Swathi V.N (09MBA113)
Global Human Resource Management: Swathi V.N (09MBA113)
MANAGEMENT
Swathi V.N
(09MBA113)
Global Human Resource Management is a process concerned
broadly with recruiting of persons, training them and putting them
to the most productive usage. It is also concerned with maintaining
of congenial international industrial relations. It is the essential
prerequisite for the success of the international firm owning to its
complexities.
Advantages:
› Overcomes lack of qualified managers in host nation
› Unified culture
› Helps transfer core competencies
Disadvantages:
› Produces resentment in host country
› Can lead to cultural myopia
2) POLYCENTRIC POLICY
Best suited to multi-domestic businesses
Advantages:
› Alleviates cultural myopia
› Inexpensive to implement
› Helps transfer core competencies
Disadvantages:
› Limits opportunity to gain experience of host country nationals
outside their own country
› Can create gap between home and host country operations
3)GEOCENTRIC POLICY
Best suited to global and trans-national businesses
Advantages:
› Enables the firm to make best use of its human resources
› Equips executives to work in a number of cultures
› Helps build strong unifying culture and informal management
network
Disadvantages:
› National immigration policies may limit implementation
› Expensive to implement due to training and relocation
› Compensation structure can be a problem
Four Attributes that Predict Success
Self-Orientation
Possessing high self-esteem, self-confidence and mental well-
being
Others-Orientation
Ability to develop relationships with host country nationals
willingness to communicate
Perceptual Ability-
The ability to understand why people of other countries behave
the way they do. Being nonjudgmental and flexible in
management style
Cultural Toughness
Relationship between country of assignment and the
expatriate’s adjustment to it
Training and Management
Development
Training: Obtaining skills for a particular foreign posting
› Cultural training: Seeks to foster an appreciation of the host
country’s culture
› Language training: Can improve expatriate’s effectiveness,
aids in relating more easily to foreign culture, and fosters a
better firm image
› Practical training: Ease into day-to-day life of the host country
CULTURE SHOCK : A leading cause of expatriate failure is culture shock -- the confusion
and anxiety, often akin to mental depression, that can result from living in a foreign culture for
an extended period.
Inpatriates: expatriates who are citizens of a foreign country working in the home country of
their multinational employ
Managing the mix of expatriates versus locals. Organizations must be staffed in each national
location with personnel from the home country, the host country, or third countries. The mix
of staff depends upon several factors, including the international experience of the firm, cost-
of-living in the foreign location, and availability of qualified local staff.
Reasons for Expatriate Failure
•US multinationals Japanese Firms
• Inability of spouse to adjust • Inability to cope with larger
overseas responsibilities
• Manager’s inability to adjust
• Difficulties with the new
• Other family problems
environment
• Manager’s personal or
emotional immaturity • Personal or emotional
problems
• Inability to cope with larger
overseas responsibilities • Lack of technical competence