1、Importance of International Human Resource management Types of International CompaniesKey issues in Key issues in International HRMInternational HRMCulture and IHRM Culture and IHRM FunctionsFunctionsInternational Mergers and AcquisitionsGlobal CompetitionImportance of International Human Resources
2、ManagementForeign Human ResourcesMarket Access Opportunities1.International Corporation Domestic firm that uses its existing capabilities to move into overseas markets.Firm that attempts to balance local responsiveness and global scale via a network of specialized operating units.Attitudes VaryMotiv
3、ational Tools are Distinctly Different1.Worldwide Human Resources PlanningRecruiting and SelectionExpatriate orientation and trainingRepatriationPerformance appraisal2.CompensationDealing with inflation and unexpected changes in exchange ratesProviding sufficient pay to keep individualsShould compan
4、y pay hardship allowance?Dissatisfaction with cost of living allowances3.Housing(Complex problems at home and overseas)4.Benefits PlanningDeveloping equity among employeesSeveral plans necessary for different categories of personnel5.Taxation(Proliferation of new laws)6.Communication of HR Policies
5、and Programs WorldwideTreat communication as a continuous processFace-to-Face contact frequentlyMake policy manuals brief and simpleBe sensitive to needs of receiverSend regular written explanations of policy changesPeriodic rotation of overseas HR managers desirableSecurityRole of CompetitionRole o
6、f BlameRole of ShameRole of Participation:Japan(hi)Role of Autocratic:Europe(hi)and South America(hi)Home Country Nationals(Expatriates)Host Country Nationals(Natives)Third Country Nationals(Non-Home/Host)Host CountryHome CountryThird CountryLess costPreference of host country governmentKnowledge of
7、 environmentLanguage facilityTalent available within companyGreater controlCompany experienceMobilityExperience provided to corporate executivesBroad experienceInternational outlookMulti-lingualismInability of the managers spouse to adjust to a different cultural environment.The managers inability t
8、o adapt to a different physical or cultural environment.Other family-related problems.The managers personality or emotional immaturity.The managers inability to cope with the responsibilities posed by the overseas work.The managers lack of technical competence.The managers lack of motivation to work
9、 overseas.Interviews(executives and psychologists)Assessment Centers(exercises)Tests(language and special tests)Role of FamilyStart the Selection ProcessStart the Selection ProcessCan the position be filled by a local national?Identify degree of interaction required with local community using a 7-or
10、 9-point scale,ranging from low to high,indicate the degree of interaction with local community required for successful performance on the job.Select local national and subject him/her to training basically aimed at improving technical and managerial skills.Emphasis*on tasks variables.Second but by
11、no means unimportant question is to ask whether the individual is willing to serve abroad.Is candidate willing?Probably not suitable for positionProbably not suitable for positionEmphasis*on task variablesIdentify degree of similarity/dissimilarity between cultures using a 7-or 9-point scale,ranging
12、 from similar to highly diverse,indicate the magnitude of differences between the two cultures,Emphasis*on“relational abilities”factor.“Family situation”factor must also be taken into consideration.Start orientation(most rigorous)Start orientation(most rigorous)Start orientationStart orientation(mod
13、erate to high rigor)(moderate to high rigor)Start orientationStart orientation(moderate to high rigor)(moderate to high rigor)Probably not suitable for positionProbably not suitable for positionYESNOYESYESNONOHIGHLOWHIGHLY DIVERSEVERY SIMILARStudy the following subjects:Social and business etiquette
14、.History and folklore.Current affairs,including relations between the country and the United States.The cultures values and priorities.Geography,especially the cities.Sources of pride:artists,musicians,novelists,sports,great achievements of the culture,including things to see and do.Religion and the
15、 role of religion in daily life.Political structure and current players.Practical matters such as currency,transportation,time zones,hours of business.The language.A Disorientation that Causes Perpetual StressDisorienting IncidentsImpossible CommunicationTelephone DifficultiesFamily FrustrationsCare
16、er Development RisksReentry ProblemsManaging Family LifeTerrorismGovernment RegulationsWork Permits Universally RequiredRecruitment of Locals VariesGuest WorkersRole of Church,Family,PoliticsMerit Versus Best FamilyFamily TiesSocial StandingOriginIndustrialized versus Less DevelopedLocal ResourcesLe
17、ss Technical CapabilitiesApprenticeship Strengths in EuropeManagement Development(US Leader)Language(English Need)Host Country EmployeesProduction Standard or Time or CombinationBenefits(often higher than U.S.)Profit Sharing(may be Required)ManagersNarrowing of Salary Gap with USABase PayDifferentia
18、lsIncentivesCompany AssistanceCost:3-4 times USA Rate1.Provide an incentive to leave the united states.2.Maintain an American standard of living.3.Facilitate reentry into the united states.4.Provide for the education of children.5.Maintain relationships with family,friends,and business associates.To
19、 be effective,a compensationprogram must:Programs used by most U.S.Based MNCs have four elements:Base pay equal to pay of domestic counterparts in comparably evaluated jobs.Differentials to offset the higher costs of overseas goods,services,and housing.Incentives to compensate the person for separation from family,friends,and domestic support systems.Company assistance programs to cover added costs such as moving and storage costs,automobile,and education expenses.
