ccihrm a1
TRANSCRIPT
-
8/8/2019 CCIHRM A1
1/12
Context of IHRMContext of IHRM
Chapter A 1Chapter A 1
DowlingDowling WelchWelch
-
8/8/2019 CCIHRM A1
2/12
Salient PointsSalient Points
Understanding key elementsUnderstanding key elements
Difference between domestic &Difference between domestic &
international HRMinternational HRM Trends , challenges in global workTrends , challenges in global work
environmentenvironment
22
-
8/8/2019 CCIHRM A1
3/12
HRM : Essential ElementsHRM : Essential Elements
Activities undertaken by an organisation to useActivities undertaken by an organisation to use
its human resources effectivelyits human resources effectively
Essentially should includeEssentially should include
Human resources planning ( Numbers , skills , needHuman resources planning ( Numbers , skills , need
gaps , succession )gaps , succession )
Staffing ( recruitment , selection , placement )Staffing ( recruitment , selection , placement )
Performance managementPerformance management
Training & developmentTraining & development
Compensation & benefitsCompensation & benefits
Industrial relationsIndustrial relations
-
8/8/2019 CCIHRM A1
4/12
International HRM ContextInternational HRM Context
3 D model which spins domestic HRM arm3 D model which spins domestic HRM arm
across location , employee mobilityacross location , employee mobility
Broad HR activitiesBroad HR activities
Procure , allocate , utiliseProcure , allocate , utilise
Country of operationCountry of operation
Home , Host , OtherHome , Host , Other
Category of employeeCategory of employee
PCNs, HCNs , TCNsPCNs, HCNs , TCNs
Multinational v/s Multidomestic operationMultinational v/s Multidomestic operation
Expatriates , InpatriatesExpatriates , Inpatriates
-
8/8/2019 CCIHRM A1
5/12
Difference between Domestic &Difference between Domestic &
IHRMIHRM While Human Resources ManagementWhile Human Resources Management
remains at core for both ; IHRM differsremains at core for both ; IHRM differs
from Domestic HRM on followingfrom Domestic HRM on followingparametersparameters
Complexity of operationComplexity of operation
Cultural environmentCultural environment
Industry typeIndustry type
Reliance on home country salesReliance on home country sales
-
8/8/2019 CCIHRM A1
6/12
IHRM : Complexity of OperationIHRM : Complexity of Operation
More HR activities :More HR activities : International taxationInternational taxation
International relocation , orientationInternational relocation , orientation
Added admin : Transitioning , interface between expat &Added admin : Transitioning , interface between expat &
authorities .Ethical issues . Dealing with authoritiesauthorities .Ethical issues . Dealing with authorities
Greater involvement in employee personal lifeGreater involvement in employee personal life
More than domestic operations due nature of transitionMore than domestic operations due nature of transition
Children schooling ( home country ) , Spouse jobChildren schooling ( home country ) , Spouse job
Recreation facilities in remote , less hospitable set upRecreation facilities in remote , less hospitable set up
Need for broader perspectiveNeed for broader perspective
Deft at straddling across policies for PCN/HCN/TCNDeft at straddling across policies for PCN/HCN/TCN
Equity issues on differential compensation issuesEquity issues on differential compensation issues
-
8/8/2019 CCIHRM A1
7/12
IHRM : Complexity of OperationIHRM : Complexity of Operation
Job emphasis with changing employee mix :Job emphasis with changing employee mix :
Maturity of operations changes mix : ExpatsMaturity of operations changes mix : Expats LocalsLocals HRHR
Export . Changes work patternExport . Changes work pattern
Risk exposureRisk exposure
Disruption & costs due Expat failure . Impact on moraleDisruption & costs due Expat failure . Impact on morale
Disruptions due policy change , law & order around ExpatDisruptions due policy change , law & order around Expat
workingworking
Sensitivity in handling local bribery within HO frameworkSensitivity in handling local bribery within HO framework
Broader external influencesBroader external influences
Government interference ( official / unofficial ) reGovernment interference ( official / unofficial ) re
employment of locals ( Ref Malaysia , India )employment of locals ( Ref Malaysia , India )
-
8/8/2019 CCIHRM A1
8/12
IHRM : Cultural EnvironmentIHRM : Cultural Environment
Multicultural workforce is a part ofMulticultural workforce is a part of
conscious work ethos at MNCsconscious work ethos at MNCs
HR managers need to be aware of culturalHR managers need to be aware of culturalnuances of a country while workingnuances of a country while working
through HR processesthrough HR processes
Task also to sensitise staff / facilities toTask also to sensitise staff / facilities to
work in a multi culture set upwork in a multi culture set up
-
8/8/2019 CCIHRM A1
9/12
IHRM : Industry TypeIHRM : Industry Type
Different approaches on policy , practice ,Different approaches on policy , practice ,
training , performance management ,training , performance management ,
employee mobility etc , depending on :employee mobility etc , depending on :
Global Industry with multinational competitionGlobal Industry with multinational competition
will need Globally integrated strategywill need Globally integrated strategy
Multi domestic Industry with country specificMulti domestic Industry with country specific
competition ( e.g. Retail , Real estate ,competition ( e.g. Retail , Real estate ,Distribution , Insurance ) will need domestic Distribution , Insurance ) will need domestic
strategystrategy
-
8/8/2019 CCIHRM A1
10/12
IHRM : Size of Domestic SalesIHRM : Size of Domestic Sales
Relative size of domestic sales will decideRelative size of domestic sales will decide
top management involvement intop management involvement in
International operationsInternational operations
Smaller business size , non strategicSmaller business size , non strategic
areas get low organisational attention;areas get low organisational attention;
consequently are lesser integrated intoconsequently are lesser integrated into
Corporate ways Corporate ways
-
8/8/2019 CCIHRM A1
11/12
-
8/8/2019 CCIHRM A1
12/12
Challenges for MultinationalChallenges for Multinational
ManagementManagement BureaucracyBureaucracy Growth , size may impact flexibility . Need for greaterGrowth , size may impact flexibility . Need for greater
control may make it over bureaucratic , slowcontrol may make it over bureaucratic , slow
Knowledge sharingKnowledge sharing Need to guard against discontinuity due departures .Need to guard against discontinuity due departures .
More critical is Tacit knowledge .More critical is Tacit knowledge .
Tools : Interactive forums , reports / bulletins / webTools : Interactive forums , reports / bulletins / webposting , reward system , ambience , training programsposting , reward system , ambience , training programs
Transfer of competenceTransfer of competence Mind orientation , MentorsMind orientation , Mentors
Tools : Cross function workgroups , International projects /Tools : Cross function workgroups , International projects /assignments , T & D programsassignments , T & D programs