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International Human Resrouce Management

Decent Essays

Chapter 9: IHRM in the host-country context
Standardization and localization of HRM practices * Controlling cross-border operations of an MNE centres around what processes, routines, procedures and practices can be and should be transferred abroad. In the process of transferring systems and know-how the role of people is critical. * The aim of global standardization of HRM practices is to reach consistency, transparency and an alignment of geographically fragmented workforce around common principles and objectives * The aim of realizing local responsiveness is to respect local cultural values, traditions, legislation or other constraints such as government policy. Though attempting to implement methods and techniques that have …show more content…

This problem threatens to increase with changing workforce demographics as well as changes in attitudes and values.

Chapter 11: Performance Management
Multinational performance management
MNEs have specific expectations for each of its foreign subsidiaries, cooperative ventures and other forms of operations modes, in terms of market performance and contribution to total profits and competitiveness. It is important to recognise constraints that affect goal attainment when evaluating subsidiary performance. These include: * Whole versus part – a multinational is a single entity that faces a global environment. Integration and control imperative often place the multinational in the positions where it decides that the good of the whole is more important than the subsidiary’s short-term profitability. * Volatility of the global environment – because subsidiaries operate under such volatility and fluctuation, they must tailor long-term goals to the specific situation in a given market. Problems arise when subsidiary managers perceive that goals are set by distant HQs strategy team are unrealistic and inflexible, due to a failure to take into account local conditions that change as a result of a volatile environment. * Separation by

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