International Recruitment -Prof. Nishikant C. WarbhuwanResearch
Scholar, S.R.T.M. University Nanded, S.R.T.M. University, Sub
centre, Latur, India. Email:
nishikant.arbhuan!srtmun.ac.inInternational Recruitment
Whilerecruitingpeopleforinternationaloperations,theinternationalHR
managers must identify the global competitiveness of the potential
applicants at the time of the recruiting
process.ApproachestoRecruitmentinIHRMThoughthegeneralaimofany
recruitmentpolicyistoselecttherightpeoplefortherighttaskattheright
time,theHRdepartmentofinternationalcompaniesmayadoptoneofthe
folloingthreespecificapproachesavailableforrecruitingemployeesfor
global
[email protected]@srtmun.ac.inInternational
Recruitment Approaches /Sources !. "thnocentric
Approach#.$olycentric Approach%. Region¢ric Approach'.
(eocentric
[email protected]@srtmun.ac.in1.
thnocentric Approach
)nderthisapproachM*+,sattheirhead-uartersformulatemission,ob.ectives,
importantdecisionsforthesubsidiariesande/pectthesubsidiariestoimplementthem
and report back to all functional managers at head-uarters
levelThereforeitsourcesHRforsubsidiariesfromitsoncountriesorthecountryhere
head-uarters are
situatedWhenacompanyfollosthestrategyofchoosingonlyfromtheciti0ensoftheparent
country to ork in host nations, it is called anethnocentric
approach. *ormally, higher&level foreign positions are filled
ith e/patriate employees from the parent country. The
generalrationalebehindtheethnocentricapproachisthatthestafffromtheparent
countryouldrepresentthe interests ofthe
head-uarterseffectivelyandlinkellith the parent country.
[email protected]@srtmun.ac.in1.
thnocentric Approach "/& $rocter 1 (amble, $hilips,
2amsung$hilipsfilledimportantvacanciesby3utchnationalsbefore!445sasitasa3utch
+ompanyIn !446, 7!8 of subsidiaries of 9apanese M*+,s ere headed by
9apanese nationalsToyota, 2amsung follo this approach even todayWh!
"o #NC$s Prefer thnocentric Approach %!. *on availability of
-ualified HR in Host country#. High cost of host country
nationals%. $arent country nationals hen ork in foreign they are
more committed'. $arent country nationals hen ork in foreign shos
highest
[email protected]@srtmun.ac.innishikant.arbhuan:srtmun.ac.in1.
thnocentric Approach When Shoul" #NC$s Prefer Parent Countr!
Nationals%!. 3uring early stage of establishment of subsidiary#.
Inade-uacy of managerial and technical skills in host country%.
(rater need for maintaining close communication and coordination
ith head-uarters'. . (rater need for maintaininguniform corporate
culture;. When the head-uarters has core competencies 6. hen home
country nationals are less costly than
"#[email protected]@srtmun.ac.in1.
thnocentric Approach A"&anta'es%!. $arent country nationals are
familiar ith head-uarters, policies, systems#. maintain close
communication netork$. maintain close coordination
(isa"&anta'es%!. reduction in catching opportunities for host
country#. 3ecline in morale%. local people?, it is called a
polycentric approach"/& +oca +ola
[email protected]@srtmun.ac.innishikant.arbhuan:srtmun.ac.in).
Pol!centric Approach Wh! "o #NC$s Prefer Pol!centric Approach
$olicy of developing H+*,s2ocial ResponsibilityHigh cost of
"/patriates+ultural fit for M*+s(lobal Approach of M*+s
[email protected]@srtmun.ac.in).
Pol!centric Approach When Shoul" #NC$s Prefer *ost Countr!
Nationals 3uring (roth 2tage of subsidiaryHR of Host +ountry is
developed andfully -ualified3istinctive in ay of serving customers
and mode business+ost of e/patriates is HighHost govt.
conditionsWhen Head -uarters do not have any
[email protected]@srtmun.ac.in).
Pol!centric Approach A"&anta'es@ess +ost of HR+ultural
fit"mployee retention"mployee .ob satisfactionAppreciation by
[email protected]@srtmun.ac.in).
Pol!centric Approach (isa"&anta'es+oordination becomes
comple/@ess promotional opportunities*o hands on e/perience both in
head -uarters and subsidiaries@imits mobility3ifferent cultures at
head -uarters and
[email protected]@srtmun.ac.in+.
Re'ion centric Approach M*+s after operating successfully in a
foreign country, think of e/porting to the neighboring countries of
the host country"/& Hindustan @ever e/ports to 2ri @anka,
*epal, AangladeshAt this stage foreign subsidiary considers the
regional environment >Asian or "uropean? for formulating common
strategies like pricing for that region2imilarly M*+s sources the
prospective employees ithin the region in hich subsidiary is
located"/& Aata >India? @td sources its employees from south
east Asian regions"/& @( sources its employees from Asian
[email protected]@srtmun.ac.in+.
Re'ion centric Approach Wh! "o #NC$s Prefer Re'ion centric Approach
% *on availability of -ualified personnel from host
country*eighboring nationals possess more similar cultural
valuesavailability of -ualified personnel at neighboring countries
at lo cost
[email protected]@srtmun.ac.in+.
Re'ion centric ApproachWhen Shoul" #NC$s Prefer Re'ion centric
Approach % 3uring transition beteen groth and maturity stagesWhen
subsidiaries e/pand operations in neighboring countriesInade-uacy
of managerial 1 technical skills host
[email protected]@srtmun.ac.in+.
Re'ion centric ApproachA"&anta'es% +ulture fit+omparatively
less HR +ostMeets e/pansion needs of HR$erform better in
neighboring
[email protected]@srtmun.ac.in,.
-eocentric Approach/ -lobal Approach)nder this approach the entire
orld is .ust like a single country for M*+sThey source all kinds of
resources from all countries of orld"ach subsidiary functions
independently and autonomouslyM*+s source for the best prospective
employees in terms of suitability from entire orldWhen a company
adopts the strategy of recruiting the most suitable persons for the
positions available in it, irrespective of their nationalities, it
is called a geocentric approach."/ B Ms. Indra *ooyi, the Indian
national appointed as a +"C of $epsi +ola @td, Many "uropean M*+s
follo this
[email protected]@srtmun.ac.innishikant.arbhuan:srtmun.ac.in,.
-eocentric Approach/ -lobal ApproachWh! "o #NCs prefer -eocentric
Approach (lobal Ausiness $olicyIntensifying
+ompetitionTechnological RevolutionInnovative $ractices in
