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1、HRM386International Dimensions of Human ResourceManagementFACULTY OF BUSINESSStudy Guide*HRM386大Firstly, IHRM is more complex than domestic HRM. Six reasons are given for this:1.2.3.4.5.6.More HR activitiesNeed for a broader perspectiveMore involvement in employees9 personal lives Variations in the
2、mix of expatriates and locals Risk exposureBroader external influences.You need to study these six factors, on pages 5-8, and be able to explain the nature of each one. Learn the examples also, or think or your own examples to illustrate each factor.The second part of the explanation of why IHRM is
3、different to domestic HRM relates to moderating variables. These are discussed on pages 9-16 of your textbook. There are four variables or factors that influence the way that HRM practices are applies across national boundaries. These moderators are:a. The cultural environmentb. The industry environ
4、mentc. Extent of reliance by the multinational on its home-country domestic market d. The attitudes of senior management.Many of these concepts are not new to you. They were covered in your previous studies in management and HRM. Here, we are looking at them from an international perspective. Model
5、1-4 on page 9 of your textbook provides a good summary of these factors.You should learn about these moderators, be able to explain them, and be able to use an example to illustrate each one. You can use an example from the textbook or think of your own example.Cultural context of IHRMAn adequate un
6、derstanding of the cultural context, as it impacts on the behavior of an organizations employees, is of critical importance. Thus, the results of cross- cultural comparative research may provide valuable hints to managers about how to cope with employees from foreign cultures. Furthermore, these res
7、earch results can form the basis for the development of intercultural training measures. These results could also be of great use to HRM in an international firm, because they could assist in undertaking a structured analysis of the transferability of specific elements of a parent firms existing HR
8、policy to foreign subsidiaries. In this context, it would be conceivable to decide whether incentive systems for groups or for individuals would be effective in a specific cultureTable 2.1 in the textbook summarizes these ideas about the cultural context and gives examples of environmental differenc
9、es which could lead to problems whenMNEs attempt to introduce worldwide standardized HRM practices. Within this context, it is important to recall the discussion on the convergence and divergence of HRM and work practices, as mentioned in chapter 1 of the textbook.The organisational contextLets now
10、identify the HR implications of the various options and responses that international growth places on the firm. In this phase of growth MNEs need to consider: Balancing the standardization and localization of operations, and how this balancing act runs throughout all human resource planning, process
11、es, activities, and systems. The organizational context in which IHRM activities take place. Different structural arrangements are required as the firm moves along the path to multinational status-from the export department through more complex variations such as matrix, heterarchy, transnational, a
12、nd networked structures. Control and coordination aspects. Formal and informal mechanisms are utilised in different circumstances. How international growth affects the firms approach to HRM. Firms vary from one to another as they go through the stages of international development, and they react in
13、different ways to the circumstances they encounter in various foreign markets. There is a wide variety of matches between IHRM approaches, organizational structure, and the stage of internationalization. Over twenty years ago, almost half of the US firms surveyed by Dowling reported that HR operatio
14、ns were unrelated to the nature of the firms international operations. A study by Monks of nine subsidiaries of multinationals operating in Ireland found that the majority adopted a local approach to the HR function, with headquarters involvement often limited to monitoring the financial implication
15、s of HR decisions. Stages of development and organizational forms should not to be taken into consideration, as normative research does suggest a pattern and a process of internationalization, although firms do vary in how they adapt to international operations.Review activityRead the jourbal articl
16、e, Saha, S. K. (June, 1993). Managing human resources: China vs. The West. Canadian Journal of Administrative Sciences, 10(2), 167-177.This reading is a comparative study of HRM practices in Chinese and western organisations. This reading will give you some insights into the practice of IHRM and the
17、 factors that help to explain why there are different approaches taken indifferent national settings. Make a few notes summarizing your thoughts about this article.Tutorial exercisesThe purpose of tutorial activities in this subject is to help you to understand the subject content better. They are a
18、lso good preparation for your exam.There are two questions to look at in the tutorial for this topic.1. Using what you have learned from chapter 1 the textbook, think of examples of how this IHRM model could be used to look at staffing in:a. A Chinese company based in Changchun, with operations in S
19、an Francisco and Brazil.b. A Brazilian company with operations in Changchun and in New Delhic. Indonesians employed by a Chinese company based in Changchun, with operations in Changchun and New Delhi.2. China has a large domestic market. It is also a major exporter of commodities and goods to the wo
20、rld. How would this affect IHRM strategy in Chinese multinationals? Look at chapter 1 of your textbook.3. In your tutorial group review chapter 2 of the text and discuss how culture can be conecptualised.INTERaCt4. In your tutorial group review chapter 3 of the text and discuss what are the specific
21、 HRM challenges in a networked firm?Review the Interact WebsiteReview the additional resources provided for this topic on the Interact Website.Topic summaryIn this first topic we have set down some foundations. Weve looked at the meaning of IHRM - what makes it different from domestic HRM. We have a
22、lso started to define some key terms that relate to this discipline. Finally, we have seen two important models - one that describes the basic structure of THRM, and a second model that shows how we can think of IHRM in a strategic way.There is an interconnection between IHRM approaches and activiti
23、es and the cultural and organizational context, and that HR managers have a crucial role to play in this respect. In order to better perform this role, it would seem important that HR managers understand various cultures and international structural options, along with the control and coordination d
24、emands imposed by international growth.Topic 2 IHRM in cross border mergers and acquisitions, international alliances and SMEsIn this topic we first concentrate on cross-border alliances, with a special emphasis on equity-based alliances. These alliances are given priority here due to their associat
25、ion with complex IHRM processes and practices, which are the main interest of study within this volume. Equity cross-border alliances include Mergers and acquisitions (M&As) and International joint ventures (IJVs).ReadThe textbook Chapter 4 Pp 82-100Park, B (2011), Key factors affecting acquisitions
26、 of technological capabilities from foreign acquiring firms by small and medium sized local firms. Journal of World Business, Vol. 46(1): 116-125.Rees, C. and Edwards, T. (2009) Management strategy and HR in international mergers: choice contrstaint and pragmatism. Human Resources Management Journal
27、, 19(1): 24-39.Stahl, G. and Mendenhall, M. (2005). Mergers and Acquisitions. Managing Cultures and Human Resources. Stanford, CA: Stanford Business Books.Learning objectivesUpon successful completion of this topic you should be acquainted with the implications that international mergers and acquisi
28、tions, joint ventures, and the context of SMEs have for international human resource management.In this topic we extend the discussion conducted in the previous topic about the organizational context of MNEs to other organizational forms which pose specific problems to IHRM, i.e. cross-border allian
29、ces and globalizing SMEs.Cross Boarder M&AsCross-border M&As have seen tremendous growth in the course of globalization. There are four important development phases: the pre-M&A phase, due diligence phase, integration planning phase, and implementation phase. In each of the phases specific strategic
30、 HR requirements need to be taken into account in order to manage the M&A process effectively. A comparative approach to HR inM&As indicates the complexity that emerges from the institutional and cultural environments in which the firms are embedded.Review activityRead pages 90-91 and describe the d
31、evelopment phases of an M&A and the respective HR implications.IJVsThe number of IJVs has increased significantly over the last few decades. The IJV formation process, poses considerable challenges for the HR function. Four stages are identified for the development of IJVs (formation, development, i
32、mplementation, advancement and beyond) that require specific HR measures and roles. Cross-cultural management in IJVs is an essential factor for effective cooperation across all levels of the IJV, including the top management team. Both types of equity-based cross-border alliances are very similar,
33、as they involve strategic, comparative, and cross-cultural HRM issues as well as specified expatriate roles.Review activityRead page 95 and outline the development phases of an IJV and the respective HR implications.In which way do cultural and institutional differences affect HR integration in M&As
34、 and in IJ Vs? Hint: See page 93.Describe the formation process of cross-border mergers, acquisitions, and international joint ventures. Hint see pages 86-90 and 93-954 of the textbook.The internationalized SMEThe third organization form we address is the case of the internationalized SME. In this c
35、ase, there are different challenges. First, the strategic importance of SMEs in international business and barriers to SME internationalization. There are important IHRM features distinguishing SMEs from MNEs: the founder/owner of the SME; recruitment, selection and retention; human resource develop
36、ment, with a special emphasis on learning; expatriate management; and the limited resources of the HR department in SMEs and outsourcing opportunities.Review activityWhat are the barriers to internationalization for SMEs? Hint: See pages 96-100 of your text.INTERaCtWhat are some of the typical chall
37、enges for HRM in internationalized SMEs? Hint: See pages 96-100 of your text.Review the Interact WebsiteReview the additional resources provided for this topic on the Interact Website.Topic 3 Sourcing human resources for global marketsIn this topic we begin our look at specific aspects of HRM in the
38、 international context. Staffing is the logical starting point: what approach do multinationals take to staffing their operations? How are international assignments developed? How do we measure the return on investment of international assignments? How should the HRM function be organised in a multi
39、national organisation? These are the key questions that we will be looking at in this topic.It is important to remember that sending staff overseas on international assignments is costly, and there are significant risks of failure. This is why organisations need to look very carefully at the need, t
40、he process and the return from using different approaches to staffing their operations. You will find that there are several more new terms in this topic. It may be worthwhile making your own glossary of terms and learning them throughout the session.Learning objectives for this topicUpon successful
41、 completion of this topic you should be able to: describe four approaches to staffing multinational organisations, and explain the advantages and disadvantages of each approach explain the HR implications of international staffing approaches understand the main elements of investment and return on i
42、nternational assignments, and be able to use this knowledge in providing an example. Explain the meaning of expatriate and the concept of expatriate failure. Discuss the reasons for expatriate failure, and how these reasons influencethe approach taken to selection. Explain the main factors involved
43、in expatriate selection.ReadThe textbook Chapter 5Beechler, S. and Woodward, LC. 2009. The Global Warfor Talent, Journal of International Management, Vol. 15, No. 3 (2009), pp. 273-285.Caligiuri, P., Tarique, L, and Jacobs, R. 2009. Selection for International Assignments, Human Resource Management
44、Review, Vol. 19, No. 3 (2009), pp. 251-262.Collings, D.，Scullion, H.，and Dowling, P. 2009. Global staffing: A review and thematic research agenda. International Journal of Human Resource Management, 20 (6): 1253-1272.Scullion, H. and Collings, D. 2010. Global Talent Management (London: Routledge, 20
45、10).Approaches to staffingThere are four approaches to staffing of multinational organisations. These approaches refer to managerial attitudes that reflect the sociocultural environment in which the internationalising firm is embedded. They are:1. Ethnocentric - where all key strategic decisions are
46、 made at headquarters, and all international appointments are from the parent country, i.e., PCNs.2. Polycentric - where subsidiaries have some decision making authority, and where subsidiary operations are managed by host country nationals, i.e., HCNs.3. Geocentric - where a global approach is take
47、n and nationality is ignored in favour of ability.4. Regiocentric - where staffing is based on ability, but movements are confined to a specific geographic area, such as South East Asia.Note that the freedom and flexibility of multinationals to follow one or more of these approaches may be limited b
48、y demands of host governments, for example, that key managerial positions are filled by its nationals.Review activitySummarise the advantages and disadvantages of the four approaches to staffing multinational organisations.International Dimensions of Human Resource ManagementHRM386 Study GuideFacult
49、y of BusinessWritten and compiled byDr Chrys GunasekaraUpdated byJay MyersHR implications of international staffing approachesNext, we will look at some of the HR implications of the four approaches to staffing multinational organisations. Another way to look at this is through a question: What HR purposes are served by international staffing?