Professional Documents
Culture Documents
Introduction to SHRM
SHRM= Strategic + Human Resource Management
Strategic: means devising a comprehensive decision plans that sets critical
direction for an organization and guides the allocation of resources.
ADMINISTRATIVE
EXPERT
STRATEGIC PARTNER
CHANGE AGENT
HRs Role in Formulating
Strategy
HRs
in
Executing
Strategy
HR & Technology
Help in creating
learning orgn
EMPLOYEE
CHAMPION
International HRM
Communication is normal.
differences
According to Morgan:
International HRM is the interplay among these 3 dimensions Human Resource
Activities, types of employees, and countries of operation.
It is essential to maintain good communication among all the parts and people
of the organization at the global level.
Why Go International?
Profit Advantages
Growth Opportunities
Domestic Market Constraints
Competition
Government Policies & Regulations
Cultural
Factors
Economic
Systems
International
Human Resource
Management
environment.
in IHRM.
International Recruitment
International HR managers must identify the global competitiveness of the
potential applicants at the time of the recruiting process.
International HR managers must keep international knowledge and
experience as criteria in the recruitment and selection process.
International HR department must have a fairly good idea about the skills
Ethnocentric approach
Polycentric approach
Geocentric approach
Ethnocentric approach
When an international company follows the strategy of choosing only from the
nationals of the parent country, it is called an ethnocentric approach.
The general rationale behind the ethnocentric approach is that the staff from
the parent country would represent the interests of the headquarters
effectively and link well with the parent country.
Advantages:
1.
2.
3.
4.
Polycentric approach
When a company adopts the strategy of limiting recruitment to the nationals of the
host country, it is called a polycentric approach.
The purpose of adopting this approach is to reduce the cost of foreign operations
gradually.
The companies that adopt this method normally have a localized HR department,
which manages the human resources of the company in that country.
Advantages:
1.
Provide knowledge of PESTEL for different country and reduce the training &
development cost, May create local career options for host country nationals.
Disadvantages:
1. Increase coordination cost, Home country nationals will be having less opportunities
Geocentric approach
When a company adopts the strategy of recruiting the most suitable persons for the
positions available in it, irrespective of their nationality, it is called a geocentric
approach.
Advantages:
1. Creates greater career options at home & abroad for all employees.
2. Increases applicant pools and support company which really wanted to go global.
Disadvantages:
1.
Increase recruitment & coordination cost & employee adjustment problems also.
2.
3.
International selection
The selection criteria for international jobs usually revolves around the five core
Expatriates
From Ancient Times, Businesses have been sending members of their own
groups to other parts of the mind.
All of these people can be sub named under the generic term Expatriate
Expatriate Means Individuals who go overseas to accomplish a job-related
goal.
Personality
Personal
Intentions
Why Expatriate
Assignments
Fail
Lack of
Cultural Skills
Family
Pressures
1726
Inability to Cope
with Overseas
Responsibilities
programmes.
IHRM can provide training to expatriate employees in three stages.
TYPES OF TRAINING & DEVELOPMENT INTIATIVES FOR INTERNATIONAL HRM
Pre-move training- This refers to training the employees who are selected
for foreign assignments.
Cultural Briefing
Assignment Briefing
Shipping Requirement
IMPORTANCE OF ORIENTATION:
Promotes a feeling of Belongingness
Provides Company information to new employees
multinationals.
TABLE 172
Annual Expense
Housing & utilities
Chicago, U.S.
Brussels, Belgium
(U.S.$ Equivalent)
Allowance
$35,000
$67,600
$32,600
6,000
9,500
3,500
Taxes
22,400
56,000
33,600
Discretionary income
10,000
10,000
$73,400
$143,100
$69,700
Total
1732
Typically, the salary in this method is decided on the basis of the survey
undertaken in the host country where the business is located.
Base Pay and benefits may be supplemented by additional payments for lowpay countries.
benefits model.
The multinational companies may either follow local laws in providing health
and safety facilities or adopt consistent health and safety policies across all
locations without violating the prevailing laws.
Repatriation
Returning home may evoke mixed feelings on the part of the expatriate and the
family. At worst, reverse culture shock may emerge.
The most Professional issue is finding a proper place in the corporate hierarchy.
If no provision has been made, a returning manager may be caught in holding
for an intolerable length of time.
Additional Planning for Housing & Accommodation facility.
Thus Planning for Repatriation is necessary.
Repatriation Problems
A) General Cultural Readjustment:
Lifestyle has been changed as they live in host country which is having different
lifestyle.
B) Job Readjustment:
Employees performance are often ordinary as it give secondary importance.
High performer will perform at home and occupy the best job, thus limiting the
positions available to returning expatriate.
Opportunity are less as orgn want that expatriate start their role from the position
he hold before going to international assignment.
Support & Coping: Apart from job, social & emotional support, support
should be provided to expatriate & their family.
Company should talk with those expatriate who have successfully transit to
home country to understand problems encounter by them.
Recorded videos can be shown to expatriate in understanding others.