International Human Resource Management Practices

build human capital it must develop strategies for locating the best talent, enhancing skills, training programs, and professional development. Human Capital is vital to an organization as it is an investment towards stronger performance and better financial results. Additionally, organizations even attempt to practice globalization with HRM strategies; which is known as international human resource management (IHRM). IHRM is to coordinate and manage diverse people on a global scale. However, every strategy would not work for every organization; especially for internal organizations.

International Human Resource Management (IHRM) is the management of Human Resource in business operations in at least two nations and IHRM issues are the HRM issues and problems arising from the internationalization of business, and the HRM strategies, policies and practices which firms pursue in response to the internationalization process (Rajan, 2013).

While there are many various global issues that affect the International Human Resource Management to run efficiently, there are two key concepts that play a major role in understanding how to approach them with cohesive and a well coherent strategy; they are the International Human Recourse Management Strategy and Understanding the Cultural Environment. In the International Resource Management strategy, many companies will do their research in finding companies that offer the

Dowling Peter J and Welch Denice E and Schular Randall S(1999), International Human Resource Management, South-Western College

In an increasingly globalized world economy, the aggravation of global competition, the most important factor of national competitiveness are highly qualified and motivated employees (Storey 2007). Gubman (1996) pointed out the three challenges for the organizations that will never change: first, the major mission of human resources is to gain, develop, retain talent; second, adjust the workforces with the business; lastly, a superlative contributor to the business. Moreover, human resource management is characterized by the fact that the staff seen as an important strategic resource for the organization, which requires investment, modernization, planning, staffing, training, etc. This paper will introduce an overall review of the International Human Resource Management (IHRM) theories and studies. The analyzed concepts and approaches will be applied to the case study about Yarden Mex chain of Mexican Grill Restaurants and its Subsidiaries. The paper will include definitions of Global Talent Management (GTM) and Global Diversity Management (GDM). In addition, the applied theories to the case study will generate suggestions.

Managing HR in MNC is different from the way the HR is being managed in the country, According to Morgan (1986) there are three factors that differentiate between IHRM and domestic HR: First, the countries of operations such as the -country where a subsidiary may be located, the host-country where the subsidiaries are located, and other countries. Second, the different types of employee, in international environment the HR management have to deal with the host-country nationals (HCNs), expatriates or home-country nationals (PCNs) and third country nationals (TCNs), for example if L’Oreal hired an Indonesian employee in their Indonesian subsidiary the employee is a HCNs, and when manager from L’Oreal Headquarter in France came to work in Indonesian subsidiary the manager is a PCNs, and if L’Oreal employs manager neither from Indonesia nor France to work in their Indonesian subsidiary the manager is TCNs. Third, is the way HR practices (eg. staffing, compensation, training, and etc) are conducted. Although IHR practices seems to have the same activities as domestic HR, in IHR the manager will be dealing with different environment and diversity of employees from different cultural background. Moreover, as mentioned earlier dissimilarities between domestic and international HR management mostly due to profound differences between host and home countries in term of culture,

In the past decade, globalization and rapid technology advancement have change the way organisation do business from international conference calls to the hiring of employees. This has also transform how Human Resources Management (HRM) operates.

The environment in which business competes is rapidly becoming globalized. More and more companies are entering international markets by exporting their products overseas, building plants in other countries, and entering into alliances with foreign companies. Global competition is driving changes in organizations throughout the world. Companies are attempting to gain a competitive advantage, which can be provided by international expansion. Deciding whether to enter foreign markets and whether to develop plants or other facilities in other countries is no simple matter and many human resource issues surface. (Noe, Hollenbeck, Gerhart, and Wright; 534)

Over the last ten years, numerous firms have continued to embrace international operations. However, the international operations come with numerous obstacles. For instance, culture is one of the bottlenecks faced by the firms operating in the global arena. Studies indicate that language problems and difficulties along with culture collisions are some of the cultural bottlenecks that an international firm must handle. The firms operating in the international market must recognize that different cultures have own modus operandi in terms of business transactions. In this regard, a subsidiary operating in the host country is obliged to respect the culture of the host nation.

According to Greetz (1973) “saw culture as the way groups of people solve problems and reconcile dilemmas,” whereas Seelye (1993) “defined culture as patterns of everyday life that enables individuals to relate their place under the sun”. As Hofstede specified five major dimensions “of culture all which are embedded in people’s values and standards”.

Human resource managers, outlines, directs and facilitates the regulatory elements of an association. They supervise the selecting, meeting, and contracting of new staff; counsel with top officials on the key Strategic obligation; and fill in as a connection between an association 's administration and its workers. To flourish in the disorderly and turbulent business condition, firms need to always enhance and be “on the ball” regarding business practices and methodologies. It is from this inspiration to be at the highest point of the pack that HRM turns into an important apparatus for administration to guarantee achievement.

• It is generally accepted that, to be effective, the expatriate employee must adapt to and not feel isolated from the host country.

Strategy relates to the scope and domain of a corporation's activities and the main issues to use while evaluating its success. Activity pattern in the strategy is on resource acquisition, commitment and allocation in accordance to an organization's need, environment, management network and intended goals(Chew & Sharma, 2006).

'Culture is the collective programming of the mind which distinguishes the members of one category of people from another.' (Hofstede, 1991)

Human Resource management represents a fusion of personal management and industrial relations that is managerially focused and derives from a managerial agenda. It is a resource based conception of the employment relationship, some elements of which incorporate a development role for the individual employee and some elements of profit. It is an approach to organizations most important and value assets - People working there and the clients who indirectly plays a role in the development of the company. It may from inside the business or outside the business. If we talk about Globalization and Human Resource comes under International Human Resource management. The major function of