international hrm final 28-01-11

8/7/2019 International Hrm Final 28-01-11

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Recruitment

Selection

Staffing

Training &Development

Performance Appraisal

Compensation

Labor Relations


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Host country orexpatriate?


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Do they have the expertise for the position? Can we recruit them from outside the

company?


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Do parent country managers have theappropriate skills?

Are they willing to take expatriateassignments?

Do any laws affect the assignment ofexpatriate managers?


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Professional/technical competence

Relational abilities

Motivation

Family situation

Language skills

Willingness to accept position


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Difference between domestic single nation andmultinational-multicultural firm in the processof recruitment and selection.

Both are different due to societal and internalorganizational factors.

In advanced industrialized countries such asUS, because of managers high level of

professionalism, formal procedures such asassessment centers, interviews and writtentests are employed to select the appropriateperson.


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Recruitment especially to higher ranks islargely done through informal networks ofrelatives, friends and acquaintances.

It is in response to the limited scope anddevelopment of mass communications mediaand their use for advertising job vacancies.

So these nations dont have highly specializeddepartments for selection and training of newrecruits.


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Injapan, companies aim at selecting someonewith broad educational qualifications who willthen be put formal training and on the job

cross-functional experience.

The aim is to create a flexible and skilled

internal workforce which would then be able toperform nearly any job if called upon.


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In the US, selection criteria are primary basedon specialism which would allow the newrecruit to fit the already determined position.

In response to such policies Americaneducational establishments such as businessschools, which have close relationships withmajor companies, are also geared up to providespecialist managers and employees.

They do in fact, arguably, provide trainingrather then education for future managers.


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In Britain, where such close relationshipsbetween industry and academia do not exist toany great extent, new recruits are selected on a

broadly fit-the-job basis, and are then trained toperform that job properly


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Three specific areas of IHRM

1. The Scope of Labor legislation

Chemical Industry Of France- Ex-employee in previoussix months,

Germany Personnel Questionnaire

Spain High Salary to continuously shifting employees

2. The type of Labor MarketInternal Germany, Japan, France & Switzerland

External USA, Britain, Denmark, HongKong &Netherland


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3. Recruitment Sources

Internally- Canada &Italy

Recruitment Agency-UK

Adv- Slovakia,Greece, Norway

Internet- Sweden,Turkey


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Employees in

Multinational Organizations

Home/Parent-

Country nationals

Host-Countrynationals

Third-Countrynationals


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Employees belonging to home country of the

firm where the corporate head quarteris situated.

For American company came in Indian market.

But recruitment of American people. So,American employees are Home/Parent county

Employees.

Home/Parent country ---- America

Home/Parent-Country

Nationals


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Employeesbelonging to the nation in which the

subsidiary is situated.

For Example- American company came in

Indian market and Recruitment of Indian

people. So, The Indian employed is a Host

country employee.

Host-Country---- India


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These are the employees who are not from

Home country or Host country but employees

are other country. Example American company came in Indian

market and Recruitment of French people. So,The Frenchman employed is a third

country employee.Third-country---- French

A TCN living on a US militarybase near Fallujah, Iraq.


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StaffingApproach

Ethnocentric

Polycentric

Regiocentric

Geocentric


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There are recruitment of the employees inHome/Parent - country. (People of Home country)

At Royal Dutch Shell, for instance, most

financial officers around the world are DutchNationals.

Advantages

Lack of qualified host-country nationals

The need to maintain good communication,coordination, and control link with corporateheadquarter.

Reduce the perceived high risk

Trust on employees


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Disadvantage

Reduce productivityand increased

turnover Very expensive to

maintain in overseaslocation.


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There are recruitment of the employees inHost- country. (People of local Nationality)

Advantage

Eliminates of Language barriers

Avoid adjustment problem and turnover ofemployees

Employment of HCNs is less expensive

Disadvantage

Bridging the gap between HCN & PCN managerand employees (language, culture, attitude)

Career paths of HCN and PCN manager


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There are recruitment of the employees fromall around the world.

Advantage

Develop international team

Support cooperation and resource sharing acrossunit.

Disadvantage

Expensive for the implement.

Gap between different countrys manager andemployees. ( culture, attitude, language, training)


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There are recruitment of the employees withinthe particular geographic region/areas.

For Example- American company came inIndian market and recruitment of employees in

near region of India like that- Pakistan, Sri-Lanka, Nepal, etc.


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Objectives of control of local Operation.

Maintain trust in key foreign Business.

Tendency for company to give youngerManagers International experience muchearlier in their career.

The performance of foreign subsidiaries also

emerging as significant factor influencing theuse of Expatriate.

Lack of Availability and technical skills.


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A dearth of qualified locals.(Ex. China, EasternEurope, South east Asia, Middle east ,Africa)

High turn over among locals.

Lack of Corporate Culture.

Poor Expatriate Selection.

Over Compensating Expatriate .


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Japan Life long Employment .

Performance evaluation once or twice in a year.

Rewards are based on group and Companyperformance rather than individual contribution.

USA

Employees are selected from Education institutionsand other Companies.

Switching jobs are often found in US.

Performance Appraisal is usually done once in a year.

Promotions in US companies are based on individualPerformance.


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India and China

Employees stay with acompany for considerabletime duration.

Employees receive regular

increase in salary butPromotion is slow throughhierarchies and it is based onperformance, education and

ability of employee. Performance reviews are

conducted once in a year.


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Thank You

international hrm final 28-01-11

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