Post on 18-Nov-2014
transcript
A PRESENTATION ON
INTERNATIONAL HUMAN RESOURCE MANAGEMENT
Presented by:Anjali Nair
Manish SinghPrateek Shrivastava
Devendra PrasadRounit Roy
Human Resource Management:
Human Resource Management (HRM) involves all management decisions and practices that directly affect the people who work for the organization.
INTERNATIONAL HUMAN RESOURCE MANAGEMENT:
INTERNATIONAL HUMAN RESOURCE MANAGEMENT(IHRM) is a process of procuring, allocating, and effectively utilizing human resources in a multinational corporation , while balancing the integration and differentiation of Human Resource activities in foreign locations.
OBJECTIVES OF I-HRM:
To reduce the risk of international human resource.
To avoid cultural risks.
To manage diversifies human capital.
P. MORGAN’S MODEL OF IHRM
Human resource activities
Procurement
Allocation
Utilization of human resources
Host countryA country in which the MNE seeks to locate or has
already located a facility.
Parent country
The country in which a company’s corporate headquarters is located.Third country
Countries other than the one in which the MNC is headquartered or the one in which it is assigned to work by the MNC.
Nations categories where firms expand and operate
Categories of employees in an MNE
Host-country nationals (HCNs)
Employees born and raised in a host country.
Advantages
No problems with language and
culture.
Reduced hiring costs.
No work permits required.
Disadvantages
Head Quarters may have less
control over operations.
HCNs may still have limited career
opportunities outside the
subsidiary.
Parent-country nationals (PCNs)
Employees who were born and live in a parent country.
Advantages
Control and co-ordination by HQ is maintained.
Promising managers get international experience.
Assurance that the subsidiary will comply with company objectives policies etc.
Disadvantages
HCNs promotion opportunities are limited.
PCNs may impose an inappropriate HQ style.
Compensation differences between PCNs and HCNs may cause problems.
Third-country nationals (TCNs)
Employees born in a country other than a parent or host country.
Advantages
Salary and compensation may be lower than for PCNs.
May be more familiar with host country than the PCNs.
Disadvantages
Transfers must consider national animosities.
TCNs may not want to return after assignment.
International Recruitment and Selection
Recruitment
It is defined as searching for and obtaining potential job candidates in
sufficient numbers for and quality so that the organization can select the most
appropriate persons for its job needs.
Selection
It is defined as the process of gathering information for the purposes
of evaluating and deciding whom should be employed in particular jobs.
Criteria for Selecting Staff for International Assignments
Difference between IHRM and Domestic HRM
· Responsible for a greater number of functions
and activities
· Broader knowledge of foreign county
employment law
· Closely involved with employees lives
· Cope with more external influences
· Exposure to problems and liabilities
· Management of differential compensation
· Diversity management
· More coordination and travel
· More risk management
Variables that moderate difference between Domestic HRM and IHRM
Main Challenges in IHRM:
Talent identification and development – identify capable people who
are able to function effectively
Language (e.g. spoken, written, body)
Different labor laws
Different political climate
Different stage(s) of technological advancement
Educational level attained
THANK—YOU…