Recruitment and selection in International Human Resource Management is crucial; finding the right people to fill key positions can determine a company’s international operation. Furthermore, it is extremely costly for the company if the expatriate fails. The performance of an expatriate is often determined by factors like (in)ability to adjust to foreign culture, the length of the assignment, willingness to move and work-related factors. What should be considered when selecting an expatriate are therefore criteria like technical ability, cross-cultural suitability, family requirements, country requirements as well as language and company requirements. However, recruitment and selection are only the first step for international Human Resource Management.
The aim of this paper is therefore to point out the increasing importance of Human Resource Management especially from internationally operating companies’ point of view. Furthermore, it will be pointed out what International Human Resource Management is and why it is necessary for Multi National Companies (MNCs) to concern about this topic. In addition, challenges and requirements of HRM will be illustrated and highlighted.
This work will furthermore portray the recruitment and selection process as well as the necessity of training and development within global companies. It will describe the workplace conflict and deal with subjects such as industrial relations and employment law.
Table of Contents
1. EXECUTIVE SUMMARY
2. STRATEGIC HUMAN RESOURCE MANAGEMENT AND THE INTERNATIONAL MARKETS
2.1 Introduction
2.2 International Human Resource Management
2.3 The importance of HRM for firms operating in international markets
3. RECRUITMENT AND SELECTION
3.1 Expatriate failure
3.2 Factors in expatriate selection
4. TRAINING AND DEVELOPMENT
4.1 Definition and overview of traditional training and development
4.2 The effect of Globalisation on Human Resource Management
4.3 Training and development and international assignments
5. WORKPLACE CONFLICT AND NEGOTIATIONS
5.1 Classifications of conflict and conflict management
5.2 How to handle conflict / picking the right style:
6. PERFORMANCE MANAGEMENT IN INTERNATIONAL HRM
6.1 Multinational Performance Management
6.2 International employees and Performance Management
6.3 Performance appraisal of international employees
6.4 Appraisal of HCN employees
7. INDUSTRIAL RELATIONS AND EMPLOYMENT LAW
7.1 International Industrial Relation
7.2 Collective Bargaining
7.3 Industrial Relation History
7.4 International Human Resource Management Strategies for entering into the Global Market
Objectives and Scope
This paper examines the critical role of International Human Resource Management (IHRM) within multinational corporations, focusing on how strategic management of human capital enables successful global market integration. It investigates the essential processes of recruitment, training, conflict resolution, performance appraisal, and industrial relations, seeking to answer how firms can effectively navigate cultural and legal differences to maintain a competitive advantage.
- Strategic importance of IHRM for multinational companies
- Best practices in expatriate recruitment and selection
- Methods for training and organizational development in international assignments
- Frameworks for conflict management and performance appraisal in diverse environments
- Navigating global industrial relations and employment law
Excerpt from the Book
3.2 Factors in expatriate selection
The examples mentioned above are all examples of what can go wrong when recruiting expatriates. The solution is a proper selection process and appropriate selection criterion. Selection is defined as the process of gathering information for the purposes of evaluating and deciding whom to employ in particular jobs. Generally there are six criteria involved in the selection for an expatriate:
Technical ability is very important to ensure that the person chosen for a specific task abroad actually has the competencies required and is able to perform well. The cross-cultural suitability is essential as well, as this is often the reason for expatriate failures. Having the ability to understand the culture and to adapt to it, to show diplomacy and having a positive attitude towards different ways of living tells a lot about the person. This criterion is rather difficult to measure. For example, the ability to build relations and networks is important for being an expatriate, but in applications or interviews this is difficult to reveal.
Family requirements can be an important selection criteria as well, because often it is not just the choice of one person for the job, but the choice of a couple. Research shows that there is a high correlation between the adjustment of the spouse and the adjustment of the expatriate. Just as it shows that if the spouse has a favourable attitude towards an international assignment, it is positively related to the adjustment of the partner.
Summary of Chapters
1. EXECUTIVE SUMMARY: Outlines the purpose of the paper, highlighting the necessity of IHRM for multinational companies and providing an overview of recruitment, training, conflict, and industrial relations.
2. STRATEGIC HUMAN RESOURCE MANAGEMENT AND THE INTERNATIONAL MARKETS: Discusses the rising importance of people as a competitive advantage and defines the core responsibilities of HRM within a global scope.
3. RECRUITMENT AND SELECTION: Examines the causes of expatriate failure and identifies six key criteria for the effective selection of staff for international assignments.
4. TRAINING AND DEVELOPMENT: Defines training and development, explores the impact of globalization on these processes, and emphasizes the importance of pre-departure cultural training.
5. WORKPLACE CONFLICT AND NEGOTIATIONS: Classifies types of organizational conflict and details five management styles used to resolve disputes effectively.
6. PERFORMANCE MANAGEMENT IN INTERNATIONAL HRM: Explores challenges in managing global performance and proposes the use of hard, soft, and contextual goals for appraisal.
7. INDUSTRIAL RELATIONS AND EMPLOYMENT LAW: Analyzes the complexities of international industrial relations, collective bargaining, and the importance of adapting to local labor laws.
Keywords
Human Resource Management, IHRM, Expatriate, Recruitment, Selection, Global Market, Multinational Corporations, Training and Development, Conflict Management, Performance Appraisal, Industrial Relations, Employment Law, Cultural Awareness, Strategic Management, Organizational Development
Frequently Asked Questions
What is the fundamental focus of this paper?
The paper focuses on the vital role of Human Resource Management for multinational companies, exploring how managing international staff, navigating cultural differences, and complying with foreign labor laws are essential for global success.
What are the central thematic areas?
The key themes include expatriate recruitment and selection, international training and development, cross-cultural conflict resolution, performance management systems, and the legal aspects of international industrial relations.
What is the primary objective of this work?
The primary objective is to illustrate how firms can enhance their international competitiveness by integrating IHRM practices and identifying the specific challenges associated with managing a global workforce.
Which scientific methods are primarily utilized?
The paper relies on a comprehensive literature review, synthesizing research, definitions, and frameworks from established international business and HRM experts, supplemented by specific case examples and graphical representations of management processes.
What topics are discussed in the main body?
The main body covers the strategic importance of IHRM, the costs and risks of expatriate failure, methods for cross-cultural training, taxonomies of workplace conflict, performance appraisal models for multinational subsidiaries, and the history and application of industrial relations.
Which keywords characterize this paper?
Key terms include International Human Resource Management (IHRM), Expatriate Failure, Performance Appraisal, Industrial Relations, Cross-cultural Suitability, and Multinational Corporations.
Why is expatriate failure considered so costly for a company?
Expatriate failure involves not only direct costs like airfare, salary, and relocation, but also significant indirect costs such as loss of market share, damaged relationships with key customers, and disrupted business networks.
How does the 'dual-career couple' issue impact international assignments?
Dual-career couples represent a growing barrier to mobility; if a spouse is unwilling or unable to give up their own career, the employee is much more likely to reject an international assignment, particularly in western firms.
- Quote paper
- Johannes Bauernberger (Author), 2005, Human Resources in the Global Market, Munich, GRIN Verlag, https://www.grin.com/document/70113
