International Human Resource Management
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Transcript of International Human Resource Management
International Human Resource ManagementManaging people in a multinational context
v IHRM Chapter 1 2
• Define key IHRM terms• Review expatriate management evolution• Outline differences between domestic and
international HRM• Discover the increasing complexity and
potential challenges of current IHRM
Chapter Objectives
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Terms
3IHRM Chapter 1
MNEculture shockemi-etic distinction
HCNPCNTCN
NAFTAUNCTAD
expatriateinpatriate
HRMIHRM
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Inter-relationships between approaches to a field
Figure1-1
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Defining HRM
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An organization’s HRM activities include:1. Human resource planning2. Staffing (recruitment, selection, placement)3. Performance management4. Training and development5. Compensation (remuneration) and benefits6. Industrial relations
v 6IHRM Chapter 1
Inter-relationships between approaches to the field
Figure1-2
v 7IHRM Chapter 1
International assignments create expatriates
Figure1-3
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Differences between domestic HRM and IHRM
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IHRM complexity can be attributed to six factors:1. Human resource planning2. Staffing (recruitment, selection, placement)3. Performance management4. Training and development5. Compensation (remuneration) and benefits6. Industrial relations
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Variables that moderate differences between domestic and international HRM
Figure1-4
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Laurent’s steps to truly international HRM
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1. Recognize that one’s own HRM reflects home cultureassumptions and values.
2. Recognize that one’s own peculiar ways are neither universally better nor worse than others - just different and likely to exhibit strengths and weaknesses, particularly abroad.
3. Recognize that organization’s foreign subsidiaries may prefer other ways to manage people – ways that are neither intrinsically better nor worse, but possibly more effective locally.
4. Headquarters willingness to acknowledge cultural differences and steps to make them discussable and therefore usable.
5. Build shared genuine belief that cross-cultural learning will result in more creative and effective ways of managing people.
v 11IHRM Chapter 1
Table1-1
World top ten non-financial transnational corps., ranked by transnational index
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Table1-2
World top ten non-financial transnational corps., ranked only by foreign assets
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Strategic HRM in multinational enterprises
Figure1-5
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Discussion Questions
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1. What are the main similarities and differences between domestic and international HRM?
2. Define these terms: IHRM, PCN, HCN, and TCN.3. Discuss two HR activities in which a MNE must engage
that would not be required in a domestic environment.4. Why is a greater degree of involvement in employees’
personal lives inevitable in many IHRM activities?5. Discuss at least two of the variables that moderate
differences between domestic and international HR practices.