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A COMPARATIVE ANALISYS OF HUMAN RESEOURCE APPROACHES IN

INTERNATIONAL BUSINESS VIA SAMSUNG AND TATA MOTORS

OLUSOLA SAMSON FOLORUNSO


CENTRE FOR SUSTAINBALE DEVELOPMENT
UNIVERSITY OF IBADAN, NIGERIA
OCTOBER, 2021

INTRODUTION
Samsung
Samsung Group is a South Korean multinational manufacturing company which is located at
Seoul, South Korea. It is a conglomerate group in which different companies work under the
Samsung brand. It is the largest company in South Korea and Samsung has 7th highest brand
value at global level (Annual Report, 2021).

1. Hard or Soft Approach to HRM


Human Resource Managers in Samsung plays a vital role in designing strategies and company
policies by practicing the major functions like planning, organizing, staffing, direction and
controlling strategies. The Human Resource selects the right person for the right job and it
provides a proper training and development of employees for achieving organizational
objectives. The management in Samsung has been using soft approach to HRM as it has been
performing long-term planning for the business as well as staff. Employees earns a competitive
salary and bonuses and they are empowered (Heisler, 2016). All employees get proper appraisal
according to their performance and training programs are offered for poor performed employees.

2. Changing patterns of work practices to manage complexities of multicultural


organisations
Diversity becomes strength to a company, if it is managed correctly but the diversity leads to the
discrimination issues when it will be managed improperly. In the face of Covid-19, management
in Samsung practices precautionary measures and manage the complexities effectively. The
company fosters a diverse culture to make a better feature as the Samsung runs a campaign that
names “Be Yourself, We build a better tomorrow”. Samsung introduces innovative culture which
is due to the diverse workforce. To manage complexities, management offers equal
opportunities, inspires talent by proper rewarding and training program and builds a better future
by establish strong management (Nisen, 2021)
3. the cultural dimensions in which organisations operate in the global environment
and the impact these have on HR
Organizations have different cultures operating in the global environment which impacts on the
HR functions of the company. Organizational culture is a collective programming of mind that
differentiates the employees form one organization to others. Samsung has innovative-centered
organizational culture and it is a part of organizational design which focuses on employee’s
knowledge, skills, abilities for producing innovative products. The primary impact of this
innovative culture is on the employee’s recruitment, motivation and training department. These
are the major impacts of innovative centered organization culture which are the given below:

1. Developing training opportunities for employees


2. Recruiting Innovative staff
3. Acceptance of change
4. Passion for excellence
4. Challenges the HR function faces being strategic in the management of international
organisations

The major challenges for Samsung are to get human capital that play a vital role in achieving
organizational objectives. The human capital requires for misplaced staff and talented innovative
staff for coordinating working activities. In the face of Covid-19, the pattern of work has been
changed and it ultimately impacts on the human resource functions of the company. It was
difficult for Samsung to continue its business operations due to the change in management
practices. Thereby, management builds strategies and inspires future society and works for
creating new future.

Tata Motors (India)


Tata Motors Limited is an Indian multinational automotive manufacturing company,
headquartered in the city of Mumbai, India which is part of Tata Group. The company produces
passenger cars, trucks, vans, coaches, buses, luxury cars, sports cars, construction equipment
(Annual Report, 2021).
1. Hard or Soft Approach to HRM
In Tata Motors, a soft management approach is implemented as management perform long term
planning for business. In case of decreasing employees’ performance, organization provides
training to employees, employees motivation is also increased by providing intrinsic and
extrinsic rewards. Management provides empowerment to its staff and provide competitive
salary and bonuses. It also introduces volunteering program and learning programs. However,
soft management in the organization could frustrate employees due to the micro-management
and it creates a high turnover and fuel the recruitment cost (Newsroom, 2021).

2. Changing patterns of work practices to manage complexities of multicultural


organisations
Tata Motors need work practices that are leaner and more agile, focusing on finding value from
consumer perspectives and recruit innovative staff that bring innovation and creativity in the
business operations of the company. Management recruits’ employees through proper tests and
on merit. It develops an innovative culture which are helpful in brining innovation in auto
vehicles.
3. Cultural dimensions in which organisations operate in the global environment and
the impact these have on HR
Tata Motor believes in progressive people culture in which every employee plays a vital role in
achieving organizational objectives. In the organization, people of different cultures work
together and develop an inclusive culture. It has impacts on the training and development of
employees as Tata Motor has to spend a huge amount of money. So, Progressive people culture
develops a performance culture in the Tata Motors. Progressive people culture develops by
providing training opportunities and change acceptance (Goldstein, 2018).
4. Challenges the HR function faces being strategic in the management of international
organisations

Tata motors face ethical issues in the quest for global expansion. It has to face challenges in
implementing standardized HR policies. In the face of Covid-19 employee motivation and
employee engagement are the big challenge for Tata motors. The company has to bring change
in HR management practices in the shape of online training, online job, and career counselling.
Figure 1.1: The Diagram Showing the Factors that Influences Human Resources Approaches

COMPARISON BETWEEN TWO COMPANIES

Samsung and Tata Motors implement soft management approach as both companies
offers training and development opportunities, reward on better performance, and
market competitive salary. Samsung practices innovative culture in the organization
while maintain cultural diversity. Tata Autos practices progressive people culture in its
organization. Diversity becomes strength to a company as shown in Fig 1.1 above, if it is
managed correctly but the diversity leads to the discrimination issues when it will be managed
improperly. Tata Motors need work practices that are leaner and more agile, focusing on finding
value from consumer perspectives and recruit innovative staff that bring innovation and
creativity in the business operations of the company (Newsroom, 2021). Management recruits’
employees through proper tests and on merit. The company fosters a diverse culture to make a
better feature as the Samsung runs a campaign that names “Be Yourself, we build a better
tomorrow”. Samsung introduces innovative culture which is due to the diverse workforce
(Sushil, 2019). To manage complexities, management offers equal opportunities, inspires talent
by proper rewarding and training program and builds a better future by establish strong
management.

REFERENCES
Annual Report (2021). Samsung Report. www.sumsung.com

Annual Report (2021). Tata Motors Human Resource Management. www.Tatamators.com

Heisler, Y. (2016) “A look back at when Samsung copied every single thing about the
iPhone” BGR,  Available at: http://bgr.com/2016/12/29/iphone-vs-android-samsung-copycat/

Nisen, M. (2021) “Samsung Has A Totally Different Strategy From Apple, And It’s Working
Great” Business Insider, Available at: http://www.businessinsider.com/samsung-corporate-
strategy-2013-3

Samsung Newsroom (2016). Samsung Electronics Unveils Transformative Innovations for


Smarter Living at the Southeast Asia Forum 2016. Retrieved February 1, 2016, from https://
news.samsung.com/global/samsung-electronics-unveils-transformative-innovations-
forsmarter-living-at-the-southeast-asia-forum-201

Samsung Newsroom (2021). SKIP TO CONTENT Samsung’s Product Innovation Team: How
Ideas Becomes Streamlined. HTTPs://news.samsung.com/global/ Samsung-product-
innovation-team-how-ideas-becomes-streamlined.

Goldstein, A. (2018). Emerging economies transnational corporations: The case of Tata.


Transnational Corporations, 17(3), 85.

Sushil, (2019). Flexible strategy framework for managing continuity and change. International
Journal of Global Business and Competitiveness, 1(1), 22–32

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