a) Different cultures will affect how companies select and how those operate.

If we use
Hofstede’s cultural dimension model, we understand that selection and organization
culture should be adapted to each country characteristics. The type of interview, job
description, training and many of human resources practices have to take into
account these differences. For example, the selection process within a country that
is not comfortable with uncertainty should have a very detailed description. That is
also the case for organizational culture. In countries where power distant is
significant (Japan), the norms of the firm on employee and authority relation is
normally more rigid. This can have posite and negative effects. Studies have found
that the considerable power distance in South Korea was responsible for many
flights accidents as the co-pilot would not advise his superior, the pilot, in case of
emergencies, as it was seen as a lack of respect.

b) Culture has a great influence for divergences in human resources practices because
what people value and what they think is right or wrong will naturally shape how
employees perceive the different practices. Indeed, human resources managers
should understand local norms and their impact on how people understand work
practices. On the other hand, in a growing interdependent world, companies are
standardizing international best practices in some feasible industries.
(a) How should potential Global Managers be trained? (b) To what extent should
multinational corporations (MNCs) control knowledge management and centralize
information? (c) What factors make the learning experience more effective?

a) Potential global managers should be trained following according to many variables.

First, according to the industry they will be performing, and how does this industry
functions in the different areas of the globe. It is important for those managers to
understand the culture, politics, economy and history of those places as to have a more
educated view and have a better decision making.
b) Multinational corporations may have different approaches on how to manage their
know-how. It should be centralized (ethnocentric view) if the countries where they have
subsidiaries have bad intellectual property enforcement laws. MNC’s englobe a
multitude of companies. According to their strategy (Global, international etc) it should
consider how the flow of information should go.
c) Many factors make the learning experience more effective. First, earning experiences
need to be somehow challenging but reachable, in order to motivate the employee to
achieve but without making it too hard. Intellectual stimuli. Physical factors are
important, as health, nutrition are crucial for better learning process. Following
Herzberg theory, we can say that some factors will create learning experience
dissatisfaction: work conditions and relations. Other will help increase the learning
experience: responsibility and recognition.

(a) What factors should an employer consider before recruiting a new employee? (b) How
about sending an employee on expatriate assignments

a) The employer should first of all have a precise job analysis in order to understand the
skills and accountabilities related to the job. It should also have a job specification as to
understand the type of personality that fit better the position. In other words, the
employer should try to find the perfect job-person fit and person-organization fit. The
person needs to have the competence to perform the job but also fit the culture of the
firm. Company culture is essential when assessing a potential employee as it will shape
their attitude and behavior with colleagues and superiors.
b) An employer should first assess why it would be beneficial to send an employee in
expatriate assignments. There are many reasons. Second, according to the purpose of
the mission, the manager should train and develop skills as to prepare the expatriate to
the local reality: new culture, politics, language, business practices, economy among
others.
(a) What are the advantages of developing and implementing a transparent reward
philosophy? (b) How to design a compensation system that supports innovative work
behaviors (IWB) and firm innovation? (c) Are collective incentives productive?

a) It is crucial to develop transparent reward philosophy for many reasons. First, to avoid
incorrect inequalities (due to gender, race) and to make sure that differences in reward
are due to seniority or to performance. Everyone should understand why they are being
reward in that way. Secondly, to avoid very large gaps in payments. Indeed, often in
MNC’S, the CEO might earn 50 times more than a line manager, which often does not
make sense. This is only acceptable as companies hide, they keep private their rewards.
b) First, employees should feel they have a fair compensation system in order to have an
IWB. Indeed, in order to develop this behavior, employees need high commitment and
autonomy. In that sense, compensation system should not follow individual
performance, but mostly group performance. According to the self-determination
theory rewards can reduce employee’s motivation to engage in IWB. Employees need to
have the feeling that their innovative attitudes and behaviors are recognized and valued
c) Collective incentives are productive or not according to what one’s expect from it. If one
look for innovation, it might be productive as it needs lot of group work and
communication, where rewarding the group is better. Sometimes it might lead to some
problematic case as the “free ride”, where employees leave the work for others as the
whole group will be rewarded together. Thus, collective payment might be a good idea
in clan cultures. However, in industries where financial outcomes are more important,
individual reward is more productive as often competition will lead to better
performance. That is the case in market cultures.