International Human Resources

1. International Human Resources Human Resource Management Session 14

2. Human Resource Management Discuss avenues to maintain strong employment relationships Explain the importance of the person-job-organization match and how it can be established Interpret & analyze how HRM policies & practices support the entire organization Identify & explain HR policies & practices that motivate workers Labor relations International HR Employee relations: Justice Safety & health

3. Backlash Against Globalization • Insecurity • Mistrust • Policy • Priorities • Technophobia

4. Definitions • Type of countries • Type of employees • HCN • PCN • TCN

5. International HR Management • Is interplay between • HR functions • Countries • Employees • Workplace diversity

6. International Versus Domestic HR • More functions & activities • Broader perspective • More involvement in personal lives • Changes as mix of PCNs & HCNs varies • Risk exposure • More external influences

7. More Functions & Activities • Activities unnecessary in domestic HR • Taxation • Relocation • Orientation • Administration • Host government relations • Language translation

8. Broader Perspective • Design & administration of programs for • PCNs • HCNs • TCNs • Compensation & benefits • Equity

9. More Involvement in Personal Lives • Health care, compensation, housing • Banking, investments, home rental, coordinate home visits • Schooling, housing • Recreational programs in under-developed areas

10. Changes in Emphasis • Foreign operations mature • Emphasis on HR functions change • Accommodate more HCNs

11. Typical US Expatriate Compensation Package

12. Risk Exposure • Consequences of failure • Expatriate failure • Terrorism

13. More External Influences • Type of government • State of economy(ies) • Accepted business practices

14. Attitudes of Senior Management • International orientation • Problems • International operations may be undervalued in goals & objectives • Focus on domestic issues • Minimize international & domestic environments

15. Regarding Cross-Cultural Differences • Do not export headquarters-country bias • Think in global terms • Recognize that no country has all the answers

16. Cultural Understanding • Local perspective • Inherent superiority of own group & culture • Look down on “foreigners” • Cosmopolitan perspective • Sensitive to cultural differences • Respect distinctive practices of others • Allowances when communicating different cultural groups

17. Sense of self & space Dress & appearance Food & eating habits Communication Verbal Nonverbal Time & time sense Relationships Values & norms Beliefs & attitudes Work motivation & practices Mental processes & learning Cultural Differences Factors

18. Hofstede’s Cultural Dimensions • Power distance • Uncertainty avoidance • Individualism • Masculinity • Long-term vs. short-term orientation

19. International Staffing • Ethnocentrism • Select from national group parent company only • Recruit only from within own country & host country • Geocentrism • International perspective & emphasize unrestricted use of all nationalities

20. International Staffing • Initial Orientation • Cultural briefing • Assignment briefing • Relocation requirements • Pre-departure Orientation • Introduction to language • Reinforcement of values, especially open-mindedness • En route, emergency, & arrival information • Post-arrival Orientation • Orientation to environment • Orientation to work unit & fellow employees • Orientation to job

21. Expatriates • Expatriate • Foreign-service employee • Anyone working outside home country • Planned return to home or third country

22. Culture Shock Symptoms • Homesickness • Boredom • Excessive sleep • Irritability • Marital stress • Family tension & conflict • Hostility toward HCN • Loss of ability to work effectively • Psychosomatic ailments

23. Expatriate Compensation • Localization • Higher-of-home-or-host • Localizes • Establishes compensation floor • Expats never receive less than at home • Balance sheet • Objective is that expatriates neither gain nor lose financially • No financial advantage to being in one country over another • Facilitates mobility • Cost-effective

24. Human Resource Management Interpret & analyze how HRM policies & practices support the entire organization Explain the importance of the person-job-organization match and how it can be established Identify & explain HR policies & practices that motivate workers Discuss avenues to maintain strong employment relationships Legal, ethical & bottom-line foundations of HR policies Performance management for maximum productivity Labor relations Planning for human resources Contemporary environmental issues affecting HR Understanding work: Job/work analysis Rewards: Direct compensation Employee relations: Justice The financial impact of HR policies & practices Staffing: Attraction & selection for maximum P-J-O fit Rewards: Indirect compensation Safety & health The legal context within which HR operates Principles of training & development Rewards: The work experience Diversity & its relationship to organizational effectiveness Careers & their relationships to personal & organizational effectiveness International HR