SECTION A

A1. Read the information carefully & answers the following Questions.

i. What are the advantages of choosing a host-country national staffing strategy?

There are three main staffing strategies a company can implement when entering an overseas market,
with each having its advantages and disadvantages. staffing strategy is a host-country national
strategy, which means to employ people who were born in the country in which the business is
operating.

Advantages

Language barrier is eliminated: there will be easy communication and understanding between the
customer and the organization employees and as well government authorities. As the communication and
understanding is to most essential thing in human to deal and exchanging the service or the product. As
if there is a good communication there will be less errors happening in the organization while dealing with
customers.

Possible better understanding of local rules and laws: host country nation employee will be more aware
of the rules and regulation of the country while practicing the business and the fundamental rites of the
employees and the employee. If the staffing is hot country nation, there will be less time spending to
understand and deliver the rules and regulation and policys tot eh employees and as well employees will
be working according to the rules and regulation of the country policys and regulation in every aspect.

Hiring costs such as visas are eliminated: hiring host country nation employee to the job will reduce the
company recruitment cost and the other expanses to the organization such as transport cost,
accommodation, visa matters, etc such coast will be cute off by the organization and there will be a good
moral with the employees working in their own country.
 ii. Develop a compensation plan for each of the two countries, revising the current
compensation for managers in the Maldives, if necessary. The compensation plan should
include salary, benefits, and any fringe benefits to attract the most qualified people. The
plan should also address any legal compensation requirements for both countries.

Structuring Salaries is an inevitable task for every HR and Payroll professional. Despite the importance of
the activity, professionals are often uninformed of the technical and best practices of a drafting a
complete and efficient salary structure.

The pay structure of a company depends on several factors such as labour market conditions, companys
paying capacity and legal provisions.

Wages:

In India, different acts include different items under wages though all the Acts include basic wage and
dearness allowance under the term wages. Under the workmens compensation act, 1923 wages for leave
period, holiday pay, overtime pay, bonus and good conduct bonus form part of wages.

Under the payments of wages act, 1936, section 2(vi) any awards of settlement and production bonus, if
paid constitute wages.

Under the payment of wages act 1948, retrenchment compensation payment in lieu of notices and
gratuity payable on discharge constitute wages.

However the following types of remuneration if paid do not amount to wages under any of the acts.

1) Bonus or other payments under a profit sharing scheme which do not form a part of contract of
employment.

2) Value of any house accommodation supply of light water, medical attendance, travelling
allowances, or payment in lieu thereof or any other concession.

3) A sum paid to defray special expenses entailed by the nature of the employment of a workman

4) Any contribution to pension, provident fund or a scheme of social security and social insurance
benefits.

5) Any other amenity or service excluded from the computation of wages by general or special order
of an appropriate governmental authority.

The term Allowances includes amounts paid in addition to wages over a period of time including holiday
pay, overtime pay, bonus, social security benefit etc. The wage structure in India may be examined broadly
under the following heads:
Basic wage:

The basic wage in India corresponds with what has been recommended by the Fair wages committee
(1948) and the 15th Indian Labour conference (1957). The various awards by wage tribunals, wage boards,
pay commission reports and job evaluation also serve as guiding principles in determining basic wage.
While deciding the basic wage, the following criteria may be considered : (1) Skills needed for the job (2)
Experience needed (3) Difficulty of work; mental as well as physical (4) Training needed (5) Responsibilities
involved (6) hazardous nature of job.

Dearness allowance (DA):

It is the allowance paid to employees in order to enable them to face the increasing dearness of essential
commodities. It serves as a cushion. A sort of insurance against increase in price levels of commodities.
Instead of increasing wages every time there is a rise in price level. DA is paid to neutralize the effects of
inflation, when prices go down. DA can always be reduced. This has, however, remained a hypothetical
situation as prices never come down to necessitate cut in dearness allowances payable to employees.

Indian Manager Compensation Plan

Monthly Yearly
Compensation
BASIC $1,000.00 $12,000.00

Darned Allowance (DA) $500.00 $6,000.00

Accommodation Allowance $350.00 $4,200.00

Attendance Allowance $100.00 $1,200.00

Risk Allowance $250.00 $3,000.00

Phone Allowance $50.00 $600.00

Qualification Allowance $600.00 $7,200.00

provident fund (5%) $50.00 $360.00

Total Compensation $2,900.00 $34,560.00

profit sharing 1% (Annual)

Medical & Insurance

Paid Leaves
MINIMUM WAGES

As per the National Minimum Wage of Workers Act No.3 of 2016 which came into function with effect
from the 1st January 2016, the minimum monthly wage for all employees (irrespective of industry) is LKR
10,000/- and the minimum daily wage will be LKR.400/-

Overtime

Overtime will be due to be paid where a worker is necessitated to work beyond the prescribed hours of
working. The SOEA regulation confines overtime to 12 hours per week. This restriction however is not
strictly imposed.

Additionally, in practice, administrative staff are not salaried overtime on the foundation that such
employees are not salaried relative to the hours worked but for the fulfillment of responsibilities and
occupations that are related to the relevant designations.
Wherever appropriate, overtime is to be paid at one and a half times the hourly charge and an amount in
proportion for less than an hour. The procedure for the calculation of overtime is illustrated below:
Payment on a daily charge- 1/8 of the daily fee
Payment on a monthly charge- 1/8 of the monthly fee that is divided by 30
Payment on a fortnightly charge- 1/8 of the fortnightly fee that is divided by 14
Payment on a weekly charge- 1/8 of the weekly fee that is divided by 7

Sri Lankan Manager Compensation Plan

Monthly Yearly
Compensation
Basic $850.00 $10,200.00

Accommodation Allowance $500.00 $6,000.00

Attendance Allowance $100.00 $1,200.00

Risk Allowance $200.00 $2,400.00

Phone Allowance $70.00 $840.00

Qualification Allowance $600.00 $7,200.00

provident fund (5%) $60.00 $720.00

Total Compensation $2,380.00 $28,560.00

profit sharing 1% (Annual)

Medical & Insurance

Paid Leaves
iii. Develop an outline for a training plan, making reasonable assumptions about the
information a new manager would need to know at Fish to Go
A2. Write a recruitment advertisement for the new positions which can be sent to existing managers by
e-mail.

RECRUITMENT

Recruitment can be defined as searching for and obtaining a pool of potential candidates with the desired
knowledge, skills and experience to allow an organisation to select the most appropriate people to fill job
vacancies against defined position descriptions and specifications.

The purpose of the recruitment process is to find the widest pool of applicants to provide the greatest
opportunity to select the best people for the required roles in an organisation.

Acquiring the best applicants for a role can be a competitive advantage for an organisation whereas
ineffective recruitment and selection can result in enormous disruption, reduced productivity,
interpersonal difficulties and interruptions to operations, customer service and long term costs.

SELECTION
Once a pool of candidates has been identified through the recruitment process the most appropriate
candidate, or candidates are identified through a selection process including but not limited to
interviewing, reference checking and testing. The purpose of the selection process is to ensure that the
best person or people are appointed to the role or roles using effective, fair and equitable assessment
activities.

STRATEGY
Having an effective recruitment strategy is paramount to the success of any organisation. The recruitment
and selection function can become a costly and inefficient process if not approached in a systematic and
proactive manner. A recruitment and selection strategy:

Ensures the organization has the necessary skills, knowledge and attributes to meet current and
future strategic and operational requirements
Ensures supply meets demand requirements
Increases the pool of potential applicants
Improves the selection process by ensuring that only those applicants that meet the requirements
of the position are selected for further investigation
Can impact on the likelihood that a suitable candidate will accept a job offer
Increases organizational effectiveness
Job Advertisement
A3. Create a checklist that could be used to ensure that expatriates receive the relevant information
about the new country in which they are going to work and explain why this information are important
to expatriates.

Check list checked

1.Banking

2.Tax rates

3.Working ours

4.Holidays

5.Visa/ Work permit/ Travel document

6.Accommodation

7.Family commitments

8.legal documents

9.Insurance

10.Regulatoryissues
Explanation

Banking

Moving abroad is a strange and exciting new experience. But in all the excitement, you want to
make sure youre not worrying about money issues once youre there. Make sure your salary is
paid to you correctly by setting up an overseas bank account as soon as possible, preferably before
you leave.

Tax rates / cost of living

Negotiating your salary can be a delicate issue, so finding out how tax rates and the cost of living
differ will give you a good starting point. What may seem like a very generous pay rise, or even a
pay cut, may in fact just be in line with local tax rates.

Working hours

While there may never be a standard number of hours every person works in one country, there
are some differences between other cultures and markets. You should do your best to find out how
they differ from yours so you know what youre in for.

Holidays

The amount of paid leave youre entitled to can vary, depending what country youre in. Finding
out how much time off you will have before accepting a job offer, will make planning your visits
home that much easier!

Visa / work permit / travel documents

As part of your travel documentation, youll need to get your visa sorted as soon as possible. Many
employees or recruitment agencies will actively help you out with this, but its something you need
to keep in mind when youre applying for overseas work especially if you have past criminal
convictions. Also, is your passport up to date? Dont leave it too late to renew. Turning up to the
airport with a copy of your application form wont go down too well with security.
Accommodation

Its not just where youre going to live that you need to think about what are you going to do
with your current property? Do you rent and plan on simply moving out, or do you own and want
to keep your house?

Create a plan for what you want to do: both before you move and once youre there. This will help
you plan long term and decide whether this relocation is a permanent move or a temporary
placement.

Family commitments

Possibly the biggest question youll need to ask yourself is how will this affect my family? Are
you married? Do you have children? Do you have any family members that are dependent on you?

Unlike taking a new job back home, you need to think carefully about how your family could cope
with such a big upheaval. Its best to get everyone on board before attending your first interview,
rather than finding out after the job offer that you cant take it.

Check youve completed all legal documents

When leaving, you should always get in touch with your local government. Websites will help
with moving abroad and ensure you dont forget any legal issues. The last thing you want two
months into your new job is a tax official chasing you down for non-payment!

Insurance (Health/life)

The level of cover of insurance also needs to be documented in the contract.

Regulatory issue

Is there a need for accreditation with the competent new countrys authorities?

If so, what is the process?

How long will it take?

Who is responsible?

You dont want to find that the employee cannot work in the new country after all.

Ensure your employee is fully briefed as regards to the Bribery Act and other relevant
legislation in the Host country.
A4.

1. Explain what kinds of broad cultural differences we are likely to find between the Japanese and
the British.

Culture is the characteristics and knowledge of a particular group of people, encompassing

language, religion, cuisine, social habits, music and arts.

The term "Western culture" has come to define the culture of European countries as well as those
that have been heavily influenced by European immigration, such as the United States. Western
culture has its roots in the Classical Period of the Greco-Roman era and the rise of Christianity in
the 14th century.

Other drivers of Western culture include Latin, Celtic, Germanic and Hellenic ethnic and linguistic
groups. Today, the influences of Western culture can be seen in almost every country in the world.

As any westerner who has lived in Japan for any considerable time can tell you, Japan is certainly
not a "western culture". It remains a deeply traditional culture with its own way of doing things,
and if it were not so you'd hardly ever find any non-Japanese who has had any culture shock. Japan
is certainly not the Japan of a century ago in terms of its government, international outlook, and
acceptance of imperial ambitions - but while MacArthur may have made a very progressive
constitution for Japan to follow, there are still many ways where Japan has remained stuck in the
past and un-western.

2. What impression do you think the Scottish engineer made on the Japanese executives?

In this case study also the Scottish manager misbehave in the meeting so, the Japanese executive
things they dont respect their culture. However their first impression is bad for the Scottish people
so then Japanese manager dont want to work with them.
 3. What steps could the Scottish firm have taken to avoid this kind of mistake?

When Scottish firm interacting with Japanese business partner, it has become necessary to be
aware of the differences between the two cultures. Ignoring the differences in language, culture,
business practices, and management styles can cause misunderstandings, failed expectations, and
all around disaster. With this in mind, its very important to avoid these culture-related
misunderstandings by trying to at least learn a bit about Japanese culture before heading out to do
business with Japanese companies.

1. Run meetings to expose your employees to other cultures.

2. Conduct activities to demonstrate how dependent we are on language

3. Provide workshops, tips and techniques for communicating effectively in cross-cultural work
environments. People act according to the values of their own culture. Others from another
culture might interpret behavior differently. Practicing such strategies as active listening
(paraphrasing what is said to ensure understanding can be achieved) and using multiple forms of
communication, such as written, audio and visual, can enhance employee involvement in
assuring that conflicts do not arise because of cultural misunderstandings due to lack of
awareness.

4. Coach employees to mediate conflicts related to cultural misunderstandings. Provide

opportunities for employees to respond to situations from viewpoints different than their own.

4. How easy is it to do a simple costbenefit analysis on investments into improved cultural awareness
among employees?

Cost benefit analysis is one of the ways business decision makers can avoid making poor strategic
decisions in an unforgiving economic climate. Learning to do a simple cost benefit analysis allows
business leaders to decide whether making a capital investment or failure to make that capital
investment represents more risk to the company.

It is not easy to do, because it needs lot of preparation and various steps like calculate all inclusive
cost, it include direct and indirect cost. Calculating benefit is not also very easy, especially when
it comes to aware the employees towards culture it is not easy, it very much depend on employees
thinking and interest.