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What is International human resource management

IHRM can be defined as set of activities aimed managing organizational human resources at international level to achieve organizational objectives and achieve competitive advantage over competitors at national and international level. IHRM includes typical HRM functions such as recruitment, selection, training and development, performance appraisal and dismissal done at international level and additional activities such as global skills management, expatriate management and so on. In simple terms, IHRM is concerned about managing human resources at Multinational Companies (MNC) and it involves managing 03 types of employees namely, 1. Home country employees- Employees belonging to home country of the firm where the corporate head quarter is situated. 2. Host country employees- Employees belonging to the nation in which the subsidiary is situated. 3. Third country employees- These are the employees who are not from home country/host country but are employed at subsidiary or corporate head quarters. As an example a American MNC which has a subsidiary at India may employ a French person as the CEO to the subsidiary. The Frenchman employed is a third country employee. Human Resource Management: Nature Human Resource Management is a process of bringing people and organizations together so that the goals of each are met. The various features of HRM include: It is pervasive in nature as it is present in all enterprises. Its focus is on results rather than on rules. It tries to help employees develop their potential fully. It encourages employees to give their best to the organization. It is all about people at work, both as individuals and groups. It tries to put people on assigned jobs in order to produce good results. It helps an organization meet its goals in the future by providing for competent and well-motivated employees. It tries to build and maintain cordial relations between people working at various levels in the organization.

It is a multidisciplinary activity, utilizing knowledge and inputs drawn from psychology, economics, etc.

------------------------------------------------------------------------------------------------------------Compensation management, also known as wage and salaryadministration, remuneration management, or reward management, isconcernedwith designing and implementing total compensation package. Thetraditionalconcept of wage and salary administration emphasised on onlydetermination of wage and salary structures in organisational settings. However, over thepassageof time, many more forms of compensation as discussed earlier, entered thebusiness field which necessiated to take wage and salary administration incomprehensive way with a suitable change in its nomenclature. Beach hasdefined wage and salary administration as follows: "wage and salary administration refers to the establishment and implementation of sound policies and practices of employeecompensation. It includes such areas as job evaluational, surveys of wages and salaries, analysis of relevant organisational problems,development and maintenance of wage structure, establishing rules for administering wages. wage payments, incentives, profit sharing, wagechanges and adjustments, supplementary payments, control of compensation costs and other related items

5)Human resource planning having been done, the international human resource manager must proceed with the job of hiring the right number of people of the right type. The international human resource manager must not only select people with skills, but also employees who can jell with the organisation's culture. ;so it wants to hire employees whose styles, beliefs, and value systems are consistent with those of the firm. Approaches of Staffing International businesses are said to adopt three approaches to staffing: (1) Ethnocentric, (2) Polycentric, and (3) Geocentric.

Ethnocentric Approach In this approach, all key management positions are held by parent-country nationals. This strategy may be appropriate during the early phases of international business, because fums at that stage are concerned with transplanting a part of the business that has worked in their home country. This practice was widespread at one time. Firms such as P & G, Philips NY, and Matsushita originally followed the ethnocentric approach. Reasons : Perceived lack of qualified host country nationals; Understanding that a united corporate culture can be maintained; and Need to maintain good communication, coordination, and control links with headquarters. Disadvantages: Denial of promotional opportunities to host-country nationals, leading to reduced productivity and increased turnover. The adaptation of expatriate managers to host countries takes a long time during which home-country nationals make poor decisions and commit mistakes. For many expatriates a key international posting means new status, authority, and increased standard of living. The changes may affect expatriates' sensitivity to the needs and expectations of their host country subordinates. Polycentric Approach The polycentric staffing policy requires host-country nationals to be hired to manage subsidiaries, while parent-country nationals occupy key positions at corporate headquarters. Although top management positions are filled by home-country personnel, this is not always the case. For example, many US MNCs use home-country managers to get the operations started, then hand it over to the host-country managers. Hindustan Lever Ltd, (HLL), the Indian subsidiary of Unilever, has locals as its chiefs.

The Geocentric Approach This staffing philosophy seeks the best people for key jobs throughout the organisation, regardless of nationality. Seeking the best person for the job, irrespective of nationally is most consistent with the underlying philosophy of a global corporation. Colgate Palmolive is an example of a company that follows the geocentric approach. It has been operating internationally for more than 50 years, and its products are household names in more than 170 countries. 60 per cent of the company's expatriates are from countries other than the US. All the top executives speak atleast two languages, and important meetings routinely take place all over the globe. 8th Performance management is the process of creating a work environment or setting in which people are enabled to perform to the best of their abilities. Performance management is a whole work system that begins when a job is defined as needed. It ends when an employee leaves your organization. Many writers and consultants are using the term performance management as a substitution for the traditional appraisal system. I encourage you to think of the term in this broader work system context. A performance management system includes the following actions. * Develop clear job descriptions. * Select appropriate people with an appropriate selection process. * Negotiate requirements and accomplishment-based performance standards, outcomes, and measures. * Provide effective orientation, education, and training. * Provide on-going coaching and feedback. * Conduct quarterly performance development discussions. * Design effective compensation and recognition systems that reward people for their contributions. * Provide promotional/career development opportunities for staff. * Assist with exit interviews to understand WHY valued employees leave the organization.

10)International Industrial Relations

Industrial relation means interaction between employers, employees, and the government; and the institutions and associations through which such interactions are mediated." Sometimes treated as the equivalent of labor relations, industrial relations consider the impact of these interactions on humans and organizations. This article considers industrial relations from the perspectives of researchers, governments, managers and workers

Features of Industrial Relations:

1. Industrial relations are outcomes of employment relationships in an industrial enterprise. These relations cannot exist without the two parties namely employers and employees. 2. Industrial relations system creates rules and regulations to maintain harmonious relations. 3. The government intervenes to shape the industrial relations through laws, rules, agreements, terms, charters etc. 4. Industrial relations include both individual relations and collective relationships. Objectives of Industrial Relations:

1. To maintain industrial democracy based on participation of labour in the management and gains of industry. 2. To raise productivity by reducing tendency of high labour turnover and absenteeism. 3. To increase the morale and discipline of the employees. Importance of Industrial Relations:

1. Uninterrupted Production: The most important benefit of industrial benefits is that it ensures continuity of production. This means continuous employment for all involved right from managers to workers. There is uninterrupted flow of income for all. Good industrial relations bring industrial peace which in turn tends to increase production.

2. Reduction in Industrial disputes: Good Industrial relations reduce Industrial disputes. Strikes, grievances and lockouts are some of the reflections of Industrial unrest. Industrial peace helps in promoting co-operation and increasing production. Thus good Industrial relations help in establishing Industrial democracy, discipline and a conducive workplace environment. 3. High morale: Good Industrial relations improve the morale of the employees and motivate the worker workers to work more and better. 4. Reduced wastage: Good Industrial relations are maintained on the basis of cooperation and recognition of each other. It helps to reduce wastage of material, manpower and costs. 5. Contributes to economic growth and development. --------------------------------------------------------------------------------------------------------------------Human resource management 9) the importance of human resource management to a large extent depends on human resource development and training is its important technique.Training is important to develop the employee and make him suitable to the job.training works towards value addition to the company through HRD. Trained employees would be a valuable asset to an organization. areas content knowledge purpose duration for whom training technical skills and knowledge development managerial and behavioural skills and

specific job related short term mostly technical and non managerial personnel

conceptual and general knowledge long term mostly for managerial personnel

Organizational efficiency, productivity, progress, and development to a greater extent depend on training. Organizational objectives like viability, stability, and growth can also be achieved through training. Training is important as it constitiutes a significant part of management control. Training enchances 4Cs that is competence, commitment, creativity and contribution for the organization.

Benefits of training a) Leads to improved profitability and more positive attitudes toward profits orientation b) Improves the job knowledge and skill at all the level of aorganisation c) Improves the morale of workforce d) Helps people identify with organizational goals e) Helps create a better corporate image. Training objectives a)to prepare employees for higher level tasks b) to develop the potentialities of people for the next level job c)to ensure economical output of required quality Training Methods are divided into on-the-job training method and off the job training method On the job training method under this method the individual is places on a regular job and taught the skills necessary to perform that job. The trainee learns under the supervision and guidance of a qualified worker or instructor. Some of the methods under this are Job rotation- This method gives an opportunity to the trainee to understand and learn the different jobs Coaching-the trainee is places under a particular supervision who functions as a coach in training the individual Job instruction-under this method the trainer explains to the trainee the way of doing job and other skills Off the job method Vestibule training- actual work conditions are simulated in a class room.this type of training used for training personnel for clerical and semi skilled jobs

Role playing- this method of training involves action, doing and practice. This method is used for inter personal interactions and relations Lecture method- the instructor organizes the material and gives it to a group of trainee in the form of a talk. Discussion- this method involves a group of people who pose ideas, examine and share facts, ideas and data, test assunptions and daw conclusions, all of which contribute to the improvement of job performance Programmed instruction- the subject matter to be learned is presented in a series of carefully planned sequential units

OB Case study 3 1)Core Values Any organisation which espouses particular values will tell you that those values underpin their vision. Values at work assist us by; Providing a framework for how we treat one another at work. Providing a framework for how we treat our customers. Helping us make sense of our working life and how we fit in the big picture. . Values at work are increasingly important because; We work in stressful times, and they give us guidelines for our behaviour. People are increasingly aware of organisational values and look for them, frequently choosing one organisation over another because of their values. They provide the basis for achieving culture change. They help enable people and organisations to succeed. Underlying Organizational Development are humanistic values. Providing opportunities for people to function as human beings rather than as resources in the productive process.

1. Providing opportunities for each organization member, as well as for the organization itself, to develop to his full potential. 2. Seeking to increase the effectiveness of the organization in terms of all of its goals. 3. Attempting to create an environment in which it is possible to find exciting and challenging work.

2) Busineses have two types of environments: internal and external. Each serve a different purpose in the business world but also have the potential to directly impact and influence employees in the workplace. 1. External Environment o A business's external environment consists of elements and variables that exist outside of an organization's structure but can still impact the organization's practices, processes, operations and, of course, their employees. External environments include, but are not limited to, economical, technological, environmental and stakeholder variables. These are the most general types of external environments. Economic Effects on Employees
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The reason employees can be influenced by the external economical environment is because these elements have a direct impact on a business's operations and ability to perform. In turn, it can affect how an organization manages their employees. Things such as inflation and labor laws can hinder organizational growth, thereby affecting employee morale, motivation and commitment.

Technological Effects on Employees


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It is important to understand the relationship that technology has on a business's ability to operate effectively and efficiently. Technological advances in the external environment can have a positive effect on employees. Newer, progressive technology can create easier work environments that make employees' jobs more efficient behavior will most likely be negative, as employees may respond with fear and anxiety.

Social Effects on Employees


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What happens in the social external environment can affect how employees feel toward their jobs, how motivated they are to perform and produce and what they value. Social stressors can induce negative employee behaviors, even if employees do not feel negatively about their work. But the opposite is also true. If employees are satisfied with the social environment, they may be more apt to perform and produce in the workplace.

Stakeholder Effects on Employees


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The stakeholder environment consists of people and organizations that are external to the business, but are directly concerned with the organization and its performance. They have a personal interest, and oftentimes an investment, in the organization, which drives their involvement. The reason stakeholders can influence employee behavior is because stakeholders can impact where a business goes, what the budgets are, what the funding can be used for and other types of operational controls.

What was the critical catalyst that led Kodak to start taking the Japanese market seriously? Ans : As I have studied from various sources , Though Kodak entered the Japanese market in 1905, the company never took the Japanese market seriously. In the early 1980s, Japan emerged as the second largest market in photographic products. In January 1998, the top management of the US-based Eastman Kodak Company (Kodak) in Rochester, New York, was extremely worried after reviewing the company's financial results for the year ending December 1997. The company's revenues had come down from $15.97 billion in 1996 to $14.36 billion in 1997, a fall of more than 10%. Kodak's net earnings had taken a big hit falling from $1.29 billion to just $5 million for the same period (Refer Exhibit I). However, the most worrying factor for Kodak's management was the more than five percent points decline (from 80.1% to 74.7%) in its US market share. Kodak had been consistently losing its market share to its competitors since the early 1980s even when it enjoyed almost a monopoly status in the photographic film and paper industry in the US with more than

85% market share. However, the fall of 5-percentage points in just one year was alarming. Market observers wondered what had happened to Kodak, which had built a strong presence in the US markets and had established a household brand name synonymous for films. Since the beginning, Fuji focused on providing quality and innovative products to its US consumers. The company spent millions of dollars to design a new 8-mm home movie system. In 1967, when Fuji planned to introduce the movie system, Kodak introduced its Super 8 movie camera, which had a larger film format that could not use Fuji film. Since Kodak had introduced its new system ahead of Fuji, Fuji shelved the plan of introducing its system in the US. After this, Fuji felt that it made more strategic sense to follow Kodak's lead, avoid attracting Kodak's attention, and not take...

Write a detailed note on ethics & social responsibility


Business ethics is a form of applied ethics that examines just rules and principles within a commercial context; the various moral or ethical problems that can arise in a business setting; and any special duties or obligations that apply to persons who are engaged in commerce. Generally speaking, business ethics is a normative discipline, whereby particular ethical standards are advocated and then applied. It makes specific judgments about what is right or wrong, which is to say, it makes claims about what ought to be done or what ought not to be done. While there are some exceptions, business ethicists are usually less concerned with the foundations of ethics (meta-ethics), or with justifying the most basic ethical principles, and are more concerned with practical problems and applications, and any specific duties that might apply to business relationships. Business ethics can be examined from various perspectives, including the perspective of the employee, the commercial enterprise, and society as a whole. Very often, situations arise in which there is conflict between one and more of the parties, such that serving the interest of one party is a detriment to the other(s). For example, a particular outcome might be good for the employee, whereas, it would be bad for the company, society, or vice versa. Some ethicists see the principal role of ethics as the harmonization and reconciliation of conflicting interests. Ethical issues can arise when companies must comply with multiple and sometimes conflicting legal or cultural standards, as in the case of multinational companies that operate in countries with varying practices. The question arises, for example, ought a company obey the laws of its home country, or should it follow the less stringent laws of

the developing country in which it does business? To illustrate, United States law forbids companies from paying bribes either domestically or overseas; however, in other parts of the world, bribery is a customary, accepted way of doing business. Similar problems can occur with regard to child labor, employee safety, work hours, wages, discrimination, and environmental protection laws. Business ethics should be distinguished from the philosophy of business, the branch of philosophy that deals with the philosophical, political, and ethical underpinnings of business and economics. Business ethics operates on the premise, for example, that the ethical operation of a private business is possible those who dispute that premise, such as libertarian socialists, (who contend that business ethics is an oxymoron) do so by definition outside of the domain of business ethics proper. The philosophy of business also deals with questions such as what, if any, are the social responsibilities of a business; business management theory; theories of individualism vs. collectivism; free will among participants in the marketplace; the role of self interest; invisible hand theories; the requirements of social justice; and natural rights, especially property rights, in relation to the business enterprise. Business ethics is also related to political economy, which is economic analysis from political and historical perspectives. Political economy deals with the distributive consequences of economic actions. It asks who gains and who loses from economic activity, and is the resultant distribution fair or just, which are central ethical issues.

Ethics and Social Responsibility Ethics are talked about frequently and addressed in the news when unethical decisions are found. Sadly, people do not hear about ethics when others are engaging in ethical behavior on a daily basis. Keep in mind that things that are not illegal may be unethical. Ethics are an individual belief system that consists of knowing what is right and wrong. Ethics can vary person to person. Ethics is in part analyzing decisions, beliefs, and actions. Within the business context, businesses are expected to have good ethical values and act socially responsible. The problem is that the ethics of a business is a mixture of individual sets of ethics. This is why it is important to have good individuals as employees. It is also equally important that when you go to work somewhere that you

feel like you share the values of those you work with. Ethics is not just talking about the right thing. It is doing what is right in every decision that is made. Social responsibility can be an example of ethical behavior. It is enhancing society in general. However, a business cant afford to go around doing good deeds if there is no potential pay off. If the business were to loose too much money, then it would cease to exist, hurt customers, and leave employees jobless. There are some that argue that social responsibility is shown only when companies go beyond what is optional, and really intend to create a benefit for others besides the company. Additionally, some companies may not benefit from some forms of social responsibility. These businesses should focus on what they do best as a business and give back what they can. Examples of socially responsible behavior range from projects that raise money for research on diseases, raising money for the needy, requiring workers to volunteer within the community, recalling products that may be dangerous, promoting recycling, and offering free services to the disadvantaged. There are innumerable ethical dilemmas that may arise in a business setting. Some of them are more obvious while some of them are more obscure. There is a simple basis that helps keep decisions in perspective. Businesses should operate in a manner that is legal, profitable, ethical, and within social norms. By being within social norms means that you need to use society to gauge if your decisions are appropriate. Some cultures would define what is ethical differently from other cultures. Due to the fact that all businesses need to be profitable, sometimes there is an over emphasis on making more money. Social norms should govern what is appropriate to compensate individuals as well as to charge customers. Profit expectations and goals should not require a business to cut corners in an unethical way or to misrepresent or twist facts. Then where do ethics come from? People begin to develop their internal beliefs from the time they are small children. Factors such as the conditions that an individual grows up in affect the way that they see the world. For example if a child was raised in a household with a lot of violence, they might feel that fighting is okay. The beliefs of the peers around you may influence how you see things. It is human nature to want to belong and some are more apt to give into peer pressure. People have a lot in common with their

peers due to similar values in the first place. However, it is hard to find two people that feel exactly the same about every situation. Some people would feel that if they found money that they should be able to stick it in their pocket and keep it. Others would feel as if they should take it to the lost and found area. Keeping money that you find on the ground in a public place is not illegal, but some people would not be able to benefit from a situation while the person who lost it could be potentially found. Powerful situational factors may cause people to compromise their values and resort to measures that they would not normally take. If someone is having financial problems, then they are more likely to steal. An individual that is very angry with another person may have a hard time being objective and fair. Then why do people engage in unethical behaviors? Many people feel that they wont be caught. An employee that steals a few dollars out of petty cash may eventually result to taking large amounts of cash if they are never caught. Someone with lots of authority may feel like they can cover their tracks by lying to subordinates. Some people are unethical because they can justify what they are doing. If an employee sees other people not being punished for unethical behavior, then they may feel like they should be able to do it to. Some individuals make a poor choice and instead of coming clean about it feel the need to make more choices to cover it up. Once bad decisions are made, they tend to get worse until they are eventually caught. The biggest reason people are unethical is because they feel that they can gain from it, or that they need to hide something that can hurt them. There are many things that an organization can do to facilitate good ethical behaviors. One of the best things to do is to make sure that the underlying culture of an organization promotes strong values. People should not be punished for coming forward with problems. As a matter of fact, workers should be allowed to communicate problems anonymously. Some organizations have a phone number to call or a suggestion box. Always allow employees to share any ethical concerns with authority above them when there are ambiguities about the right thing to do. Include a code of ethics as a written document for employees to read. Develop brochures, mission statements, and other media that express the company beliefs. Higher authorities within the organization should

possess the beliefs and demonstrate the values that they want to see their employees have. Another method for implementing ethical conduct is to make sure that unethical conduct cant occur. The ability to safeguard resources is an important function of internal controls. Examples of internal controls are to make sure that more than one employee works with cash and accounting related materials. This way there is more than one person who knows what is going on and can identify theft. Other methods are to require signatures, to lock up valuables, use security cameras, have employees rotate jobs, and randomly check employee work. The more secure your business is, the less likely that individuals within the organization will make unethical decisions. References: Griffin, Ricky W. (1993). Management 4 th Edition. Geneva: Houghton Mifflin.

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