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Name of Institution

Amity Business School


MBA –GEN, HR, EFT Sem-II
Human Resource Management
Name of Faculty
Dr. Preeti Yadav
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Name of Institution

IHRM
IHRM is defined as the interplay between
the three important dimensions of human
resource management – types of
employees, human resource activities, and
the country of operations.
The process of procuring, allocation and
effectively utilising human resources in an
international business is called
International Human Resource
Management 2
Name of Institution

Human Resource Activities


• Procurement
• Allocation
• Utilisation

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Name of Institution

Types of Employees
• Host Country Nationals: The employees of
the company’s subsidiary who are the
citizens of the country where the subsidiary
is located
• Parent Country Nationals: The employees
(of a country or its subsidiaries located in
various countries) who are the citizens of
the country where the company’s
headquarters are located
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Name of Institution

Types of Employees
• Third Country Nationals: An employee of a
company’s subsidiary located in a country
which is not his home country
Example- Mr. X an Indian citizen is working
for an American subsidiary in France

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Name of Institution

Types of Countries
• Host Country: Where the subsidiary may
be located
• Home Country: Where the firm is
headquartered
• Third Country: Which may be source of
labour, finance etc.

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Name of Institution

Global Selection Approach


• The Ethnocentric Approach: Parent
country nationals are selected for all the
key management jobs. eg. Procter and
Gamble, Philips, Toyota etc
• The Polycentric Approach: The positions
including the senior management positions
of the subsidiaries are filled by the host
country nationals

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Name of Institution

Global Selection Approach


• The Geocentric Approach: The most
appropriate candidates are selected for
jobs from any part of the globe.

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Expatriates Name of Institution

The parent country nationals working in


foreign subsidiary and the third country
nationals are expatriates

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Name of Institution

Selection Criteria for Expatriates


• Technical Ability
• Cross Cultural Suitability
• Family Requirement
• Language
• Country Requirement
• Multinational Enterprise Requirements

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