Critical Evaluation Of The Three Approaches To IHR - Essay Example

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With globalization working as a ‘catalyst’ for the opening up the various countries’ markets all over the world, organizations in all sectors have optimal opportunities to tap in those markets. …
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Critical Evaluation Of The Three Approaches To IHR
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Download file to see previous pages Thus, “globalization is a process of interaction and integration among the companies as well as the people of different nations, a process which is mainly process driven by international trade and investment for the benefit of the investor as well as the host country” (Herbig 2008, p.6). Thus, in a way the globalisation from the last decade of the 20th century has optimized the opportunities for the companies, particularly the Multinational Companies (MNCs) to enter foreign countries, give employment to the local population as well as sell their products or services at competitive prices. In addition, firms cannot keep on operating in a saturated home market to achieve success. They have to break geographical boundaries as well as their economical limits to tap those opportunities in the foreign markets or countries, by following the process of internationalisation. Thus, internationalisation is a happening concept which is being used by many firms to expand their reach globally. “As the global economy expands, as more products and services compete on a global basis and as more and more firms operate outside their countries of origin, the impact on various business functions becomes more pronounced” (Briscoe and Schuler 2004, p. 20)....
ing, researching, applying and revising all human resource activities in their internal and external contexts as they impact the process of managing human resources in enterprises throughout the global environment” (Briscoe and Schuler 2004, p. 20). When this management of human resources or employees in the international context is focused, it can be categorized into three approaches: cross-cultural management; comparative human resource management; and multinational perspective in human resource management. The first approach of cross-cultural management focuses on understanding the cultural differences and similarities that may exist between the entering firm or the home country and the local employees or the host country. Each country will have distinct and unique cultural traditions, and so the employees will also imbue it in them and exhibit during the organizational processes. Thus, these cross-cultures of the firms as well as employees have to be managed under the auspices of IHRM approach of cross-cultural management. As Cieri, Fenwick and Hutchings (2005, p.588) states, cross-cultural management focuses on “identifying the likely impact of cross-culturally similar and different human behaviour on the functional elements of HRM, including recruitment and selection, training and development, performance management and reward management.” Even before the foreign firms enter new countries, the employees in those firms will not be all similar, as they could come from different background. Those employees could have been made into a unit through the formation of common organizational culture and other strategies. When these firms with their employees enter new countries, it will be more challenging for them. Most of the countries around the world will have ...Download file to see next pagesRead More
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