Human Resource Management - Chapter 17 potx

© 2008 Prentice Hall, Inc.
© 2008 Prentice Hall, Inc.
All rights reserved.
All rights reserved.
PowerPoint Presentation by Charlie Cook
PowerPoint Presentation by Charlie Cook
The University of West Alabama
The University of West Alabama
1
Human Resource
Human Resource
Management
Management
ELEVENTH EDITION
ELEVENTH EDITION
G A R Y D E S S L E R
G A R Y D E S S L E R
Managing Global Human Resources
Managing Global Human Resources
Chapter
Chapter
17
17
Part 5 | Employee Relations
Part 5 | Employee Relations
© 2008 Prentice Hall, Inc. All
rights reserved. 17–2
After studying this chapter, you should be able to:
1.
1.
List the HR challenges of international business.

List the HR challenges of international business.
2.
2.
Illustrate how intercountry differences affect HRM.
Illustrate how intercountry differences affect HRM.
3.
3.
Discuss the global differences and similarities in HR
Discuss the global differences and similarities in HR
practices.
practices.
4.
4.
Explain five ways to improve international
Explain five ways to improve international
assignments through selection.
assignments through selection.
5.
5.
Discuss how to train and maintain international
Discuss how to train and maintain international
employees.
employees.
© 2008 Prentice Hall, Inc. All
rights reserved. 17–3
HR and the Internationalization of Business
HR and the Internationalization of Business
•
The Global Challenges
The Global Challenges


Coordinating market, product, and production plans
Coordinating market, product, and production plans
on a worldwide basis.
on a worldwide basis.

Creating organization structures capable of
Creating organization structures capable of
balancing centralized home-office control with
balancing centralized home-office control with
adequate local autonomy.
adequate local autonomy.

Extending HR policies and systems to service
Extending HR policies and systems to service
staffing needs abroad.
staffing needs abroad.
© 2008 Prentice Hall, Inc. All
rights reserved. 17–4
Intercountry Differences Affecting HRM
Intercountry Differences Affecting HRM
International
Human Resource
Management
Cultural
Factors
Legal and Industrial
Relations Factors
Economic
Systems

© 2008 Prentice Hall, Inc. All
rights reserved. 17–5
Global Differences and Similarities
Global Differences and Similarities
in HR Practices
in HR Practices
International
Human Resource
Management
Training and
Development
Practices
Use of Pay
Incentives
Purpose of
Performance
Appraisal
Personnel
Selection
Procedure
© 2008 Prentice Hall, Inc. All
rights reserved. 17–6
How to Implement a Global HR System
How to Implement a Global HR System
•
Best practices for making a global HR system
Best practices for making a global HR system
more acceptable to local managers:
more acceptable to local managers:
1.

1.
Remembering that global systems are more
Remembering that global systems are more
accepted in truly global organizations.
accepted in truly global organizations.
2.
2.
Investigating pressures to differentiate and
Investigating pressures to differentiate and
determine their legitimacy.
determine their legitimacy.
3.
3.
Working within the context of a strong corporate
Working within the context of a strong corporate
culture is best.
culture is best.
© 2008 Prentice Hall, Inc. All
rights reserved. 17–7
A Global HR System (cont’d)
A Global HR System (cont’d)
•
Best practices for developing a more effective
Best practices for developing a more effective
global HR system:
global HR system:

Form global HR networks that make local HR
Form global HR networks that make local HR
managers a part of global teams.

managers a part of global teams.

Remember that it’s more important to standardize
Remember that it’s more important to standardize
ends and competencies than specific methods.
ends and competencies than specific methods.
•
Best practices for implementing the global HR
Best practices for implementing the global HR
system:
system:

Remember, “You can’t communicate enough.”
Remember, “You can’t communicate enough.”

Dedicate adequate resources for the global HR
Dedicate adequate resources for the global HR
effort.
effort.
© 2008 Prentice Hall, Inc. All
rights reserved. 17–8
Staffing the Global Organization (cont’d)
Staffing the Global Organization (cont’d)
Ethnocentric
Polycentric
Geocentric
International
Staffing
Policy
Top Management Values

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Staffing the Global Organization (cont’d)
Staffing the Global Organization (cont’d)
Inability of Spouse
to Adjust
Inability to Cope
with Overseas
Responsibilities
Lack of
Cultural Skills
Why Expatriate
Assignments
Fail
Personality
Personal
Intentions
Family
Pressures
© 2008 Prentice Hall, Inc. All
rights reserved. 17–10
Staffing the Global Organization (cont’d)
Staffing the Global Organization (cont’d)
Realistic Previews
Careful Screening
Cultural and Language Training
Improved Benefits Packages
Improved Orientation
Helping Expatriate
Assignments Succeed

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Selecting Expatriate Managers
Selecting Expatriate Managers
•
Adaptability Screening
Adaptability Screening

Assessing the assignee’s (and spouse’s) probable
Assessing the assignee’s (and spouse’s) probable
success in handling the foreign transfer.
success in handling the foreign transfer.

Overseas Assignment Inventory
Overseas Assignment Inventory

A test that identifies the characteristics and attitudes
A test that identifies the characteristics and attitudes
international assignment candidates should have.
international assignment candidates should have.
•
Realistic Previews
Realistic Previews

The problems to expect in the new job, as well as the
The problems to expect in the new job, as well as the
cultural benefits, problems, and idiosyncrasies of the
cultural benefits, problems, and idiosyncrasies of the
country.
country.

© 2008 Prentice Hall, Inc. All
rights reserved. 17–12
Compensating Expatriates
Compensating Expatriates
•
The “Balance Sheet Approach”
The “Balance Sheet Approach”

Home-country groups of expenses—income taxes,
Home-country groups of expenses—income taxes,
housing, goods and services, and discretionary
housing, goods and services, and discretionary
expenses—are the focus of attention.
expenses—are the focus of attention.

The employer estimates what each of these four
The employer estimates what each of these four
expenses is in the expatriate’s home country, and
expenses is in the expatriate’s home country, and
what each will be in the host country.
what each will be in the host country.

The employer then pays any differences such as
The employer then pays any differences such as
additional income taxes or housing expenses.
additional income taxes or housing expenses.
© 2008 Prentice Hall, Inc. All
rights reserved. 17–13
International Labor Relations
International Labor Relations

Industry-Wide
Centralization
Content and
Scope of
Bargaining
Employer
Organization
Multiple Union
Recognition
Characteristics of
European Labor
Relations
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K E Y T E R M S
codetermination
codetermination
expatriates (expats)
expatriates (expats)
home-country nationals
home-country nationals
third-country nationals
third-country nationals
offshoring
offshoring
ethnocentric
ethnocentric
polycentric
polycentric
geocentric

geocentric
adaptability screening
adaptability screening
foreign service premiums
foreign service premiums
hardship allowances
hardship allowances
mobility premiums
mobility premiums