Customer Recruitment And Selection Part

Martin, Whiting & Jackson 5th Edition - Human Resource Practice – Recruitment & Selection – Assessment Centres Pg 140

When companies engage in a cross-national border business, there is often the need to send employees among the parent country nationals (PCNs) to manage the company’s activities. This strategy of staffing is known as ethnocentric staffing and these employees are regarded as expatriate while the host country nationals (HCNs) are regarded as local staff (Robson & Society for Human Resource Management (U.S.), 2008).

Whinch-it can pursue one of several approaches to international staffing, with each having its advantages and disadvantages. These staffing methods include ethnocentric staffing method which the strategic decisions are made at the headquarters and the foreign subsidiaries have limited autonomy. If Whinch-it feels there are no qualified personals in the host country then ethnocentric approach will prove to be the best one. Having a parent company national will also maintain the communication, coordination and control links to corporate headquarters. Disadvantages of this staffing model include reduced productivity and high turnover as a result of limited promotional opportunities to the host country nationals. Another staffing method that can be used is polycentric, this models allows each subsidiary to be managed by a host country national with some decision making autonomy, this will eliminate some of the problems that ethnocentric have while also eliminating adjustment periods, language barriers and it gives continuity of management of foreign subsidiaries Dowling et.al 2008. Polycentric however has its disadvantages such as language barriers with parent company national and the loyalty to the PCN might be lower that the loyalty to the HCN’s nationality. Geocentric method of staffing takes no account of the

The globalization of Business has had a significant impact on human resource management. The rapid expansion of global trade & geographical diversification are forcing organizations for the change in their management structure and human resource management. Another factor driving the need for international assignments is the global merger & acquisitions. Acquisitions of new business in an international context creates the need for appropriate staffing and allocation of human resources to the organization’s numerous international operations to ensure effective strategic outcomes. As international assignments are an important vehicle for staffing, it is critical that they are managed effectively and finding the right people

“WASHINGTON: A bipartisan group of six US lawmakers has introduced legislation in the Congress that would make it tough for companies to outsource their call centers overseas including India” (Economic Times, 2013). In view of the aforementioned citation, it presents an intuitive frame of reference into the principal purpose of this module one case assignment. As this case assignment will be composed of an essay that will initially specify whether or not, I as a student of this course oppose or favor outsourcing jobs overseas. Secondly, this essay will deliberate upon the pros and cons of outsourcing overseas to a developing nation. Additionally, this paper will touch upon a situation with a human resource (HR) manager by the name of Jenny. With respect to, identifying whether Jenny should focus on her current career with her company or challenge her CEO contingent upon her own personal values and principles in relation to overseas outsourcing. Moreover, this paper will highlight a few possible complications with outsourcing to India. Lastly, this case assignment will provide a handful of alternate solutions that Company XYZ could employ, in order that their employees do not have to endure a potential lay-off. Accordingly, some advice will be given to Company XYZ, which they may exploit for the purposes of saving money. Nevertheless, this paper will go into immediately enumerating my opposition of overseas outsourcing.

Selection is the process of gathering the related useful information in order to evaluate and decide who should be employed to fill the job vacancies, select the best talent is a critical competitive advantage to the organization.

When companies engage in a cross-national border business, there is often the need to send employees among the parent country nationals (PCNs) to manage the company’s activities. This strategy of staffing is known as ethnocentric staffing and these employees are regarded as expatriates while the host country nationals (HCNs) are regarded as local staff (Robson & Society for Human Resource Management (U.S.), 2008).

The company can hire individuals from the country the headquarters are located (home country), hire individuals from the country the new location is in (host country), or hire individuals from other countries other than the home or host company (third country). Of course, the company could hire any combination of the three. When hiring from either the host or third country option, the person hired is considered an expatriate. The hiring decision for a multinational company opening in a new country could be an immense one for the Human Resources Department (HR). The HR department has to consider the cost to the company with hiring locally or hiring expatriates and the reliability and production of the new employees that they will hire. Each of these crucial choices has their pros and cons to each side of them. Recruiting locally, within the country, could benefit the company with many factors such as cost benefits, the new employees having knowledge of local professional customs and regulations, etc. Recruiting from the home or third country category, better known as expatriates, to work for the company has many advantages which could assist the company in many ways that local recruitment could not. The following pages go into greater detail on the processes and issues companies must complete when deciding between a local hire and an expatriate.

A selection of perceived and valid reasons encourage Multi National companies (MNCs) to recruit Parent country nationals (PCNs) for managerial positions at overseas subsidiaries rather than employing Host or Third Country Nationals (HCN/TCNs). The reasons range from a good ‘fit’, of the person to their environment (Tarique, 2006) and, the employees actual capabilities of doing the job. However, limitations exist when adopting this approach in various aspects of the process.

There are three international business strategies that firms can peruse. The first is ethnocentric staffing model. This is when a parent-country uses people from that reason to staff the higher- level forging positions. This helps in a few ways one being that the person that is hired knows the area and he demographic better and able to better assist the firm. A second strategy is the polycentric staffing model. This is when the firm uses host-country nationals throughout the company. This helps ensure that the employees are better able to deal with the local market. The third, and last, strategy is the geocentric model. This is when a firm puts parent-country host-county and third-country nationals all in to the same group and hires the person that is best suited for

This study highlights problems in the preparation and selection process and hopefully will provide a HR department with a HRM strategy for any company operating internationally to select and prepare staff for expatriate management roles.

There are many factors, which determine which type of international employee MNCs will target. Factors such as living costs in the host country, cultural distance between subsidiaries and its headquarters and international employee’s role expectations need to be considered (Treven, 2006). MNCs also need to examine the advantages and disadvantages of each alternative approach and determine a general approach to international recruitment and selection. An ethnocentric approach is where the cultural values and business practices of the home country are executed because key management positions are all held by parent-country nationals (PCNs). Companies utilising the ethnocentric approach assume that their home country approach is the most successful for international recruitment and selection as it facilitates communication between subsidiaries and its headquarters and enables deeper understanding of the MNC’s goals (Kang & Shen, 2013). However, this approach should only be used when the business needs to maintain close control with the host country or when there is a lack of suitable HCNs. There are also negative consequences resulting from an ethnocentric approach, which include high costs associated with maintaining PCNs and their families in host countries, difficulties in adapting to the host-country environment and limited job and career opportunities for HCNs (Caligiuri & Stroh, 1995). In contrast, the polycentric approach

Companies at home and abroad compete, not only to become bigger and even better, but employ the best labor force available. Some companies will even take extreme measures in order to be successful, and remain competitive. Global business offers companies to seek out and find the best employees available, even if this means hiring outside of their own country. Human Resource Management (HRM) continues to become more complex, as they try to keep up with the changing laws of every countries government, as well as developing competitive salary packages and training plans for new employees’, as well as their current employees. Moreover, businesses are struggling to keep their best employees as their competitors are offering different

The human resource management refers to the activities that an organization uses, to implement a labor force in an effective manner; these activities are: the determination of the human resources strategy of the company, recruitment, performance evaluation, the administrative development, and remuneration and labor relations. The strategic role of human resource management in itself is complex in a national company, but it is even more in an international company, where recruitment activities, administrative development, performance appraisal and remuneration are complicated due to the profound differences in the labor markets, culture, legal systems and economic systems, among others. Staffing is one of the activities used by the Human Resources Management, to fill position with in a company with the best resources. Staffing has different approaches; ethnocentric, polycentric and geocentric. Based on the video, Job Abroad, it can be determine that the staffing approach used by the company in Dubai is the geocentric approach.

A very important role of IHR managers in every MNC is the management of expatriates. An expatriate is an employee who is assigned a position in another country which can either be headquarter countries or third countries. The most important role of the human resource is the selection, training, acculturation and finally the evaluation of the expatriates (Sepehri, 2011). However, the rate of attrition of expatriates is about double that of non-expatriates. Therefore the MNCs have to come up with a way of ensuring that they retain their expatriates. The paper will look at some of the ways through which MNCs increase their expatriate retention.it will also look at the three reasons for poor expatriate retention.