INTERNATIONAL HUMAN

RESOURCES MANAGEMENT
AN INTRODUCTION
• HRM varies according to the cultural &
institutional environment in which it is
conducted. A crucial aspect of this
environment is the country in which HRM is
conducted. So it varies from country to
country.
• A key task for org operates across national
boundaries is manage difference stress of the
drive for integration & differentiation
(adaptive)
Key Trends
• World is becoming more international.
• This applies to our technology, our travel, our
economies & our communications
• The growth of global enterprises leads to
increased permeability in traditional bus
boundaries, which in turns leads to high rates
of economic change, a growing number &
diversity of participants, rising complexity &
uncertainty
Key Trends: key indicators
• Multinationals are economically dominant:
world’s 1000 largest companies produce 80% of
world’s industrial output
• The physical location of economic value creation
is difficult to ascertain
• Economic consolidation through mergers &
acquisitions remains a potent force of
globalization
• Global transfer of work- either in terms of
creation of new jobs or thru the global sourcing
of certain parts of woks
International HRM
• In all international organization or multinational HRM is
a key to success. HR is the largest single item of opting
cost that can be controlled & adapted to circumstances
• Need for HR specialists to adopt an increasingly
international orientation in their functional activities
• Review of world events over the last few years will
emphasise essentially the unpredictable & rapidly
changing nature PEST upheavals.
• Managers working in international environment are
more subject to the impact of multi-country, regional &
global change & dynamism than operating in single
country
International HR professionals need to
address
• Any strategy for becoming international firm?
• What type of managers required to be successful? & how do
we find & develop them?
• How to find out the way HRM is conducted in other
countries: laws, Trade Union, labour market, expectation?
• What impact of local cultural norms on home based ways of
working? Can all/any of the be used in other countries?
• How to choose whether to send expatriates or use local
employees?
• How to manage international move if chosen to send people
out
• How to manage knowledge across geographical & cultural
distance?
Diff mind set & skill for practitioners
• Interpersonal skills (specially cultural empathy
• Influencing & negotiating skills
• Analytical & conceptual skills
• Strategic thinking
Broader base of knowledge in areas
like
• International business
• International finance
• International labour legislation
• Local labour markets
• Cultural differences
• International compensation & benefits
Need to deal with such groups as
• Headquarters, regional & subsidiary line
managers
• Headquarters & subsidiary employees
• National, European levels & international
Trade Union bodies
• National & European level legislative bodies
• Local & regional communities
Cross cultural management
• A key factor in IHRM is cultural difference
between nations
• Difference in national values & attitudes
• Stereotype perception
• Difference values affect the way people organize,
conduct & manage works.
• An awareness of cultural difference is essential
• Host country values & practice affect recruitment,
selection, training/developing, reward &
performance appraisal
Comparative HRM
• Comparative HRM explores the extent to
which HRM difference between difference
countries or difference regions or difference
areas within a country
International HRM
• International HRM examine the way in which
international organizations manage their
human resources across these difference
national contexts. The international context
adds extra complexity to the management of
people beyond that found in a purely national
setting.