IHRM – INTERNATIONAL

RECRUITMENT AND SELECTION

CHAPTER – II
What is Recruitment

• Recruitment and Selection

Sources of International Recruitment

• Macro Level Sources

• Micro Level Sources

 Centralised Vs Decentralised
Recruitment
• Centralised Vs Decentralised Recruitment
Approaches of International
Business
 Approaches of IB

• Ethnocentric Approach
• Polycentric Approach
• Regiocentric Approach
• Geocentric Approach
 Ethnocentric Approach
• MNC at their HQ formulate mission, objectives
strategies, product design etc. and make important
decisions for the subsidiaries and expect the
subsidiaries to implement them and report back to
all functional managers at HQ level.
• P&G, Philips, Toyota Nationals
• Philips – Dutch others are ‘Dutch Mafia’
• Widely used before 1990.
• 71% subsidiaries of the Japanese MNC headed by
Japanese.
• Thus, maintenance of domestic approach towards
international business is called ethnocentric
approach.
• Why do MNC prefer ethnocentric approach?

• When should MNC prefer PCN ?

• Advantages ?

• Disadvantages?
 Polycentric Approach
• The company establishes a foreign subsidiary company and
decentralize all the operations and delegates decision-making
and policy making authority to its executives.
• Company appoints the key personnel from the home country
and all other vacancies are filled by the people of the host
country.
• The executive of the subsidiary formulate the policies and
strategies, design the product based on the host country’s
environment and preference of the local customers (Culture/
Customs/ laws/ economic/ govt)
• Polycentric approach mostly focuses on the conditions of the
host country in formulation and implementation of strategies.
• The CEO of the subsidiary directly reports the overall CEO of the
MNC.
Why do MNC prefer P.A When should

Advantages Disadvantages
 Regiocentric Approach
• The company after operating successfully in a foreign
country, thinks of exporting to the neighboring
countries of the host country.
• The foreign subsidiary considers the regional
environment for the formulating policies and
strategies.
• However, it markets more or less the same product
designed under polycentric approach in other
countries of the region, but with different market
strategies.
• HLL – Nepal, Srilanka,
• LG recruits Asian region
• CPL ltd – Australia, NZ, India and Philippines
• European MNC prefer – Germany, Italy, France and
• African – African countries
Why do MNC prefer Regiocentric When should

Advantages Disadvantages
 Geocentric Approach
• The entire world is just like a single country for
the company.
• They select employee from the entire globe and
operate with a number of subsidiaries.
• The HQ co-ordinates the activities of the
subsidiaries.
• Each subsidiary functions like an independent
and autonomous company in formulating
policies, strategies, product design, HR policies
and operations.
• Companies view the entire world as a single
country.
Why do MNC prefer geocentric When should

Advantages Disadvantages
 Micro Level Sources of Recruitment
TRADITIONAL:

• Subsidiaries
• Parent Company
• Campus Recruitment
• Private Employment Exchange
• Professional Organisation
• Data Banks
• Internships
• Scouting
• Advertising
• Employee Referrals
• Modern:

• Walk-in
• Consult-in
• Head-hunting
• Body shopping
• Business alliances
• Tele – recruitment
 Who is an Expatriate?
• An expatriate (often shortened to expat) is a person temporarily or
permanently residing in a country other than that of their citizenship.

• An individual living in a country other than their country of citizenship,

often temporarily and for work reasons. An expatriate can also be an
individual who has relinquished citizenship in their home country to
become a citizen of another. If your employer sends you from your job in
its New York office to work for an extended period in its London office,
once you are in London, you would be considered an expatriate or "expat."
 CAREER CYCLE FOR EXPATRIATES

RETURN

INTER SELECTION
JOBS IN THE
ASSIGNMENT/ BASED ON JOB
HOME COUNTRY
OFFER INTER… FIT
REPATRIATION

DEBRIEFING INTER.
DEPORT
ORIENTATION
FAILURE

FOREIGN
TRAINING
COUNTRY ASSIGN

SUCCESSFUL
OBTAIN PERMANENT RESIDENTSHIP/
CITIZENSHIP IN FOREIGN COUNTRY

JOBS IN FOREIGN COUNTRY SETTLEMENT IN FOREIGN COUNTRY

 International Selection
What is Selection?

• The process of interviewing and

evaluating candidates for a specific job and
selecting an individual for employment based on
certain criteria.
• Employee selection can range from a very simple
process to a very complicated process depending
on the firm hiring and the position. Certain
employment laws such as anti-discrimination
laws must be obeyed during employee selection.
 Why Expatriates fail?
• Inability of spouse to adjust to foreign environment
• Inability of employees to adjust
• Other family problem
• employee’s emotional maturity
• Inability to cope up with larger overseas responsibility
• Difficulties in new environment
• Absence of medical, educational, health and
recreational facilities
• Lack of technical/ job related competence
• Unsafe living and working condition in host country
Factors contributing to expatriate’s
failure
 Technical/
Personal &
Managerial Inability of spouse
emotional maturity
Competence

Other family
SHAKES-UP- problems
EMPLOYEE
CONFIDENCE

Unsafe Living & Loss of employee Employee Initiative

working Condition interest for Repatriate

Employee Fails
Poor Educational,
Unattractive Pay with Larger
Medical
Responsibilities

Employee’s
Inability to adjust
 Types of Expatriate Assignment

• Short Term Expatriate Assignment

• Long term expatriate assignment
 International Selection
• Selection based on
• Talent
• Job duties
• Job description in earlier
– Majority of the expat – PCN, HCN and TCN
– Expat meet strange cultures – who respond differently
for the same communication
– Expat use their (foreign language) to communicate
– Still treated as outsiders – after several years
– They live minorities
– Expat think of home country
• MNC prefer PCN to work in subsidiary
 Selection Techniques
• Self orientation
• Orientation towards others
• Ability t perceive accurately
• Cultural variations
• Technical and managerial competencies
• Adaptability
• Age, experience and education
• Spouse educational background, interest
• Achievement motivation and leadership
• Family status
• Language
• Strong desire to transfer knowledge and skills
• Positive attitude