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Human Resources Management
HRM 200
Katrina Di Gravio

CHAPTER SEVENTEEN Globalization of Business and Strategic HR  globalization means that companies must be managed globally  HR is one of the top three most important business functions in executing global strategy (#1 sales, #2 customer service/support, #3 is HR – look at graph in textbook)  relocation specialists a strategic partner, as family issues have resulted in move to short-term relocations Three Broad Global HR Challenges  Deployment of skills where needed  Knowledge and innovation dissemination – spreading knowledge throughout organization regardless of origin  Identifying and developing talent on a global basis Practical Issues for Global Employees  candidate identification, assessment, selection  global assignment cost projections  specific assignment letters which is basically a contract  compensation, benefits, and tax programs  relocation assistance  family support Inter-country Differences Affect HRM  Cultural factors  Economic systems  Labour cost factors  Industrial relations factors  The European Union Selection for Global Assignments  expatriate selection process must consider: o family/personal issues o level of cultural skills  global assignments vary: o full family relocation o short-term assignments with home leave o dual households home and abroad o extended business travel International Staffing: Sources of Managers  locals: citizen of country where working  expatriates: non-citizen of country where working  home-country nationals: citizens of home/parent country i.e. hire Canadian to go work in branch in U.S  third-country nationals: non-citizen of parent or host country International Staffing Policy  ethnocentric: home country management style superior to host country – we know best  polycentric: host country management style most appropriate for host country – they know best  geocentric: best managers may be found anywhere – just get the best Five Important Factors for International Assignee Success  job knowledge and motivation (managerial and organizational ability and creativity)  relational skills (respect, courtesy, and tact)  flexibility/adaptability (emotional stability)  extra-cultural openness (outside interests i.e. interest in foreign countries)  family situation (children, partner and marriage stability) Adaptability Screening  past experience  realistic job previews  paper and pencil tests, e.g. Overseas Assignment Inventory Maintaining Global Employees: Orientation and Training  raise awareness of cultural differences and their impact (i.e. wearing a burqa)  understand our attitudes and their effects on our behaviour  factual knowledge about target country  language skills, adjustment and adaptation Maintaining International Employees: International Compensation
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