After studying this chapter,
you should be able to:
1.List the HR challenges of international business.
2.Illustrate how intercountry differences affect HRM.
3.Discuss the global differences and similarities in HR practices.
4.Explain five ways to improve international assignments through selection.
5.Discuss how to train and maintain international employees.
The Management Challenges
of International Business
ØCoordinating market, product, and production plans on a worldwide basis
ØCreating organization structures capable of balancing centralized home-office control with adequate local autonomy.
ØExtending its HR policies and systems to service its staffing needs abroad:
The HR Challenges of
International Business
ØDeployment
–Easily getting the right skills to where we need them, regardless of geographic location.
ØKnowledge and innovation dissemination
–Spreading state-of-the-art knowledge and practices throughout the organization regardless of where they originate.
ØIdentifying and developing talent on a global basis
–Identifying can function effectively in a global organization and developing his or her abilities.
Global Staffing Issues
ØSelecting candidates for overseas assignment
ØAssignment terms and documentation
ØRelocation processing and vendor management
ØImmigration processing
ØCultural and language orientation and training
ØCompensation administration and payroll processing
ØTax administration
Øcareer planning and development
ØHandling of spouse and dependent matters
Intercountry Differences Affecting HRM
ØCultural Factors
ØEconomic Systems
ØLegal and Industrial Relations Factors
ØThe European Union
Global Differences and Similarities
in HR Practices
ØPersonnel Selection Procedure
ØThe Purpose of the Performance Appraisal
ØTraining and Development Practices
ØThe Use of Pay Incentives
A Global HR System
ØMaking the global HR system more acceptable
–Remember that global systems are more accepted in truly global organizations.
–Investigate pressures to differentiate and determine their legitimacy.
–Try to work within the context of a strong corporate culture.
A Global HR System (cont’d)
ØDeveloping a more effective global HR system
–Form global HR networks.
–Remember that it’s more important to standardize ends and competencies than specific methods.
ØImplementing the global HR system
–Remember, “You can’t communicate enough.”
–Dedicate adequate resources for the global HR effort.
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