Managinglobal Human Resources

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Managing Global HumanResources

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HR and the Internationalization ofBusiness

The Global Challenges

Coordinating market, product, and production planson a worldwide basis

Creating organization structures capable ofbalancing centralized home-office control withadequate local autonomy

Extending HR policies and systems

to service staffing needs abroad

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Challenges of International HRM Deployment

Getting the right skills to where they are needed,regardless of geographic location

Knowledge and Innovation Dissemination Spreading state-of-the-art knowledge and

practices throughout the organization regardlessof their origin

Identifying and Developing Talent

on a Global Basis Identifying those who can function effectively in a

global organization and developing their abilities

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Intercountry Differences AffectingHRM

International

Human Resource

Management

Labor

relations

Political/Legal

systems

Economic

systems

Cultural factors and

ethics issues

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Global Differences and Similaritiesin HR Practices

InternationalHRM

Training and

development

practices

Use of pay and

other incentives

Purpose of

performance

appraisal

Personnel

selection

procedures

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Staffing the Global Organization International staffing: Home or local?

Expatriates (expats)

Home-country nationals

Third-country nationals

Offshoring Having local employees abroad do jobs that the

firms domestic employees previously did in-house

Offshoring Issues Effective local supervisory/management structure Screening and required training for locals

Local compensation policies and working conditions

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Management Values andInternational Staffing Policy

Ethnocentric Geocentric

Top Management Values

Polycentric

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Top Management value Ethnocentric: The notion that home country

attitudes, management style, knowledge,evaluation criteria and managers are superior toanything the host country has to offer.

Polycentric: A conscious belief that only the hostcountry managers can ever really understand theculture and behaviour of the host country market.

Geocentric: The belief that the firms whole

management staff must be scoured on a globalbasis, on the assumption that the best managerof a specific position anywhere may be in any ofthe countries where the firm operates.

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Selecting Expatriate Managers

Adaptability ScreeningAssessing the assignees (and spouses)

probable success in handling the foreign transfer.

Overseas Assignment Inventory

A test that identifies the characteristics and attitudesinternational assignment candidates should have.

Realistic Previews

Cover problems to expect in the new job, as well asthe cultural benefits, problems, and idiosyncrasiesof the country.

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Five Factors Important in InternationalAssignee Success and Their Components . Job Knowledge and Motivation

Managerial ability

Organizational ability

Imagination

Creativity

Administrative skills

Alertness

Responsibility

Industriousness

Initiative and energy

High motivation

Frankness

Belief in mission and job

Perseverance

II. Relational Skills

Respect

Courtesy

Display of respect

Kindness

Empathy

Nonjudgmental

Integrity

Confidence

III. Flexibility/Adaptability

Resourcefulness

Ability to deal with stress

Flexibility

Emotional stability

Willingness to change

Tolerance for ambiguity

Adaptability

Independence

Dependability

Political sensitivity

Positive self-image

IV. Extracultural Openness

Variety of outside interests

Interest in foreign cultures

Openness

Knowledge of local language(s)

Outgoingness and extraversion

Overseas experience

V. Family Situation

Adaptability of spouse and family

Spouses positive opinion

Willingness of spouse to live abroad

Stable marriage

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Overseas Assignment Inventory

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Why expatriate assignment fail

Inability of spouse

to adjust

Inability to cope

with overseas

responsibilities

Lack of cultural

skills

Why ExpatriateAssignments

Fail

Personality of

expatriate

Personal

intentions

Family

pressures

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Documents

Managinglobal Human Resources