Term Paper: Global Human Resources Management

Pages: 5 (1478 words)  ·  Bibliography Sources: 5  ·  Level: Master's  ·  Topic: Business - Management  ·  Buy This Paper


[. . .] (ITAP International, nd, p.1) Palthe (2008) reports "HR could also play a leading role in helping to define the values and associated norms organizations should foster in order to generate a corporate culture that fundamentally respects, promotes, and protects the human rights of all its stakeholders. For example, HR departments could proactively build performance management systems that incorporate human rights values and principles in their behavioral expectations." (p.6) Haile (2002) writes that due to the growth of international business operations that there will be a requirement of "… effective international human resource management (IHRM)." (p.2) International HRM is stated to involve "moving people around the world." (Haile, 2002, p.2) Therefore, the job of the HR manager is "to formulate and implement policies and activities in the home-office headquarters." (Haile, 2002, p.3) Staffing international operations presents managers with a "confusing array of choices in recruiting and selecting from one of three types of employees of an international firm." (Haile, 2002, p.3) The three types are stated to include:: (1) the host-country where the subsidiary may be located, (2) the home country where the firm is headquartered, and (3) "other" countries that may be the source of labor or finance. (Haile, 2002, p.4) It is reported that there are differences in the cultural backgrounds of these types of employees and that this makes a requirement that managers "coordinate policies and procedures to manage from the firm's home country as well as in subsidiaries around the world in shaping international compensation and reward systems." (Haile, 2002, p.5) According to Haile (2002) "Failure to recognize differences in managing human resources in international environment frequently results in major difficulties in international operations." (p.6)

V. Challenges in Compensating Employees from Other Countries

The work of Haile (2002) entitled "Challenges in International Benefits and Compensation Systems of Multinational Corporation" reports The impact of the growth of international economy has become a major force in business in general and in human resource management in particular. These practices are important realities faced by MNCs doing business overseas. MNCs must coordinate policies and procedures that effectively balance the needs and desires of host country nationals (HCNs), parent country nationals (PCNs) and third country nationals (TCNs). Compensation is one of the most complex areas of international human resource management." (p.6) Pay systems are required to "conform of local laws and customs for employee compensation while also fitting into global MNC policies. It is also important for MNCs to consider carefully the motivational use of incentives and rewards among the employees drawn from three national or country categories." (Haile, 2002, p. 6)

VI. How Employers Prepare Managers for International Assignments

The work of Plessis and Beaver (2008) entitled "The Changing Role of Human Resource Managers for International Assignments" reports that the management of human resources in overseas locations "poses different problems and challenges for HR managers, than if employees were based in the home base." (p.166) It is stated that effective international managers are those who are "adaptable, flexible, open-minded, speak in foreign language and making friends with those of many nationalities." (Plessis and Beaver, 2008, p.169) Additionally reported is that when a representative of a company travels overseas to a new region that person is challenged by the need to make adjustments to "a new lifestyle, language, conditions of employment or different ways of operating human resource activities." (Plessis and Beaver, 2008, p.170) The need for flexibility and adaptability is clear for those taking on international assignments.

Summary and Conclusion

Global international business pursuits make a requirement of organizational and individual adaptability and flexibility in order to accommodate the various cultures that integrate in the international and global oriented working place. Organizations must be mindful of the needs of the various individuals employed within and across the organization in order to ensure organizational competitiveness and success.


Global Human Resources Management and Organizational Development (nd) ITAP International. Retrieved from: http://www.itapintl.com/whatwedo/globalhrmod.html

Haile, Semere (2002) Challenges in International Benefits and Compensation Systems of Multinational Corporation. The African Economic and Business Review. Vol. 3 No. 1 Spring 2002. Retrieved from http://www.theaebr.com/v3n1Haille.pdf

Palthe, Jennifer (2008) Managing Human Rights and Human Resources: The Dual Responsibility of Global Corporations. Forum on Public Policy. Retrieved from: http://forumonpublicpolicy.com/summer08papers/archivesummer08/palthe.pdf

Plessis, AJ and Beaver, B. (2008) The Changing Role of Human Resource Managers for International Assignments. International Review of… [END OF PREVIEW]

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