As business activities become increasingly global and cross-nationally intertwined, human resource management is no longer defined by national boundaries. In particular, multinational corporations (MNCs) face the challenge of managing their globally dispersed work force effectively. Yet, the field of international human resource management (IHRM) remains an understudied domain, lacking substantial empirical and conceptual research. Also, a prevailing focus on quantitative data suggests a need for deeper qualitative investigations, which allows a more profound assessment of the context in which IHRM unfolds.
Thus, a multiple case study was conducted through exploratory and semi-structured interviews with managerial employees at six western MNCs which maintain their regional headquarters for South-East Asia in Singapore. The initial guiding objective was to provide a more thorough understanding of the forces that influence IHRM. Due to the exploratory nature of the research set-up, this broad focus has narrowed during the conduct of the study and the subsequent data analysis. Based on the interviews, employee turnover emerged as a key concern for international organizations operating in Singapore. Although a tight local labour market has led to the effect that job turnover is a widespread phenomenon, there is a lack of research addressing this issue and the resulting implications for foreign MNCs.
The present study’s focus on employee turnover also takes into account the growing importance of local staff for MNCs. Indeed, by acknowledging the critical role that local nationals play at the host country level, it will be increasingly imperative for international organizations to establish effective retention strategies. Despite this obvious significance, the field of managing employee turnover also remains considerably underdeveloped.
Building on the results of the conducted multiple case study, the purpose of this work is to fill the described research void and generate well-grounded theory in a process that is twofold. First, the text aims at providing an in-depth analysis of potential determinants of employee turnover at international organizations. In the second step, these factors will serve as a basis for developing effective coping mechanisms in the context of IHRM at MNCs.
Table of Contents
1. Introduction
1.1 Human Resource Management in an International Context: Purpose and Scope of this Work
1.2 Outline and Structure of this Work
2. Case Study Research in Singapore: National Context, Research Methodology and Results
2.1 Relevant Factors of the Singaporean Context
2.1.1 Resource-related Characteristics
2.1.2 Institutional Characteristics
2.1.3 Cultural Characteristics
2.2 The Methodological Framework
2.2.1 Case Study Research as Approach to Qualitative Investigation
2.2.2 The Research Design
2.3 Approaching the Case Data: Results of the Study
2.3.1 Major Challenges and Issues in the Singaporean Context
2.3.2 Cross-Case Analysis of Variables and Relationships
2.4 Employee Turnover – A Holistic Perspective on the Findings from Singapore
2.5 Summary: Employee Turnover as a Key Concern at Multinational Corporations in Singapore
3 Employee Turnover at Multinational Corporations – An Assessment of Derived Variables and Relationships
3.1 Research in the Field of Employee Turnover: An Overview
3.2 Multinational Corporations as Key Players in the Global Arena
3.2.1 Multinationals in the Face of Multiple Organizational Environments
3.2.2 The Role of Regional Headquarters
3.3 Conceptual and Empirical Perspectives on Employee Turnover at Multinational Corporations
3.3.1 Evaluation of Contextual Variables
3.3.2 Evaluation of Firm-Specific Variables
3.4 Toward a Framework for Contextual and Organization-Level Determinants of Employee Turnover at Multinational Corporations
3.5 Summary: Multinational Corporations Have to Cope with Multiple Determinants of Employee Turnover
4 Managing Employee Turnover – An Analysis of Adequate Coping Systems for Multinational Corporations
4.1 The Function and Design of Organizational Coping Mechanisms in the Context of Employee Turnover
4.1.1 The Nature of Organizational Coping with Employee Turnover
4.1.2 A Typology of Turnover-Related Coping Mechanisms
4.1.3 Expanding the Scope: An International Perspective
4.2 Assessing Turnover-Oriented Coping Mechanisms at Multinational Corporations: The Impact of Country-of-Origin Effects
4.2.1 The Role of National Origin for Multinational Corporations
4.2.2 Implications for the Design of Turnover-Oriented Coping Strategies at Multinational Corporations
4.2.3 Limitations to Country-of-Origin Influences: The Issue of Transferring Human Resource Practices Across Cultures
4.3 Tackling Employee Turnover through International Staffing and Expatriation Policies
4.3.1 The Role and Design of International Staffing Systems
4.3.2 The Impact of Expatriation Policies on Host Country Nationals’ Attachment to Multinational Corporations
4.3.3 Components of Expatriation-Related Coping Mechanisms for Employee Turnover at Multinational Corporations
4.4 A Comprehensive Coping System for Employee Turnover at Multinational Corporations
4.5 Summary: Multinationals’ Effective Management of Turnover Is Subject to Diverse Influences and Coping Strategies
5 Conclusion
Objectives and Research Themes
This work aims to provide an in-depth analysis of the determinants of employee turnover within international organizations, specifically multinational corporations (MNCs) operating in Singapore. By utilizing an inductive, qualitative case study approach, the research seeks to identify variables and relationships that influence job turnover, ultimately serving as a foundation for developing effective, well-grounded coping mechanisms for IHRM.
- Qualitative exploration of employee turnover in multinational corporations.
- Analysis of national context factors and their impact on HR practices in Singapore.
- Development of a typology of organizational coping mechanisms.
- Assessment of country-of-origin effects on HR strategy and employee retention.
- Investigation of international staffing and expatriation policies in the context of turnover management.
Excerpt from the Book
1.1 Human Resource Management in an International Context: Purpose and Scope of this Work
As business activities become increasingly global and cross-nationally intertwined, human resource management (HRM) is no longer defined by national boundaries. In particular, internationally operating organizations, commonly labelled ‘multinational corporations’ (MNCs), face the challenge of designing their HRM systems in a way that permits to effectively manage their global work force being dispersed across different culturally and institutionally distinct environments. Besides, it is noticeable that emerging and developing countries become ever more important by providing attractive market opportunities. Yet, by entering these new markets, MNCs frequently encounter an unprecedented cultural, social and economic gap which is difficult to bridge. In this regard, the growing diversity renders an MNC’s task to balance the conflicting needs of global integration as well as local responsiveness much more complicated.
This reasoning indicates that international human resource management (IHRM) adds new and more complex dimensions to the scope of domestic HRM. Accordingly, the above-stated developments have contributed to an enhanced focus on IHRM, mainly along three distinct lines of inquiry. A first and early approach addressed cross-cultural management issues, a second area has centred on comparative HRM research and a third field has examined HRM in MNCs, with a principal interest in the transfer of employees and management practices across national boundaries. In addition to these mainly micro-level analyses, researchers have increasingly concentrated on the strategic nature of IHRM which resulted in the emergence of the field of strategic international human resource management (SIHRM).
Summary of Chapters
1. Introduction: This chapter defines the research scope and objectives, contextualizing IHRM within modern, globalized multinational corporations.
2. Case Study Research in Singapore: National Context, Research Methodology and Results: This chapter outlines the empirical basis of the study, describing the Singaporean context and the qualitative research design applied to investigate employee turnover.
3. Employee Turnover at Multinational Corporations – An Assessment of Derived Variables and Relationships: This chapter provides an overview of existing research and links the study's emergent variables with literature to refine a framework for understanding turnover at MNCs.
4. Managing Employee Turnover – An Analysis of Adequate Coping Systems for Multinational Corporations: This chapter develops strategies and coping mechanisms for managing turnover, specifically focusing on the influence of country-of-origin effects and expatriation policies.
5. Conclusion: The final chapter synthesizes the research findings, offers theoretical contributions to the field of IHRM, and suggests directions for future academic inquiry.
Keywords
International Human Resource Management (IHRM), Multinational Corporations (MNCs), Employee Turnover, Singapore, Qualitative Case Study, Organizational Coping Mechanisms, Expatriation, Host Country Nationals, Retention Strategies, Country-of-Origin Effects, Strategic IHRM, Employee Participation, Organizational Identification, Job Embeddedness, Labour Mobility.
Frequently Asked Questions
What is the core focus of this research?
The research fundamentally investigates the phenomenon of employee turnover at multinational corporations based in Singapore and seeks to develop effective organizational coping strategies.
What are the primary themes analyzed in the book?
The book centers on contextual factors (national environment), firm-specific variables (heterogeneity, product nature), employee participation, country-of-origin effects, and the design of expatriation and staffing policies.
What is the primary objective of this work?
The primary goal is to fill the research void regarding employee turnover in international settings and to generate well-grounded theory that helps organizations manage turnover effectively.
Which scientific methodology is applied?
The author employs an inductive, comparative multiple case study research design, primarily based on qualitative, exploratory, and semi-structured interviews with managers at six western MNCs.
What is discussed in the main body of the work?
The main body examines the determinants of employee turnover, assesses how organizational characteristics and context influence these, and outlines a comprehensive coping system for MNCs to improve retention.
Which keywords characterize this work?
Key terms include IHRM, MNCs, employee turnover, Singapore, qualitative case study, organizational coping, expatriation, and retention strategies.
How does the author explain the high turnover rates in Singapore?
The author identifies high job-hopping mentality among the local workforce, driven by materialistic traits, career orientation, and a tight local labor market, as primary contributors to employee turnover.
Why is the "country-of-origin" effect significant in this study?
The study finds that an MNC's national background shapes its corporate culture, management style, and subsequently its HR policies, directly affecting how it chooses to cope with turnover.
What role do Regional Headquarters (RHQs) play?
RHQs act as critical organizational units for coordinating regional activities and serve as essential links between the region and corporate headquarters, thereby impacting the local integration and retention of staff.
How do organizational coping mechanisms differ across MNCs?
The effectiveness of coping mechanisms depends on their internal consistency and their alignment with the company's home country traditions, while remaining flexible enough to adapt to local cultural and institutional requirements in the host country.
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- Sebastian Reiche (Autor:in), 2002, Coping Systems for Employee Turnover. A Case Study Research of Multinational Corporations in Singapore, München, GRIN Verlag, https://www.grin.com/document/185821
