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In the context of this research, national culture shall be considered to be the collective set of customs, beliefs, behaviours and norms that distinguish the populations of different sovereign nations. On the other hand, HRM will be considered to be the organisational function that is designed to maximise the performance of human resources (employees) in accordance with the organisational strategic objectives.
Culture generally has a significant and considerable impact on the approaches organisations use to manage their employee. For example, British management theories will generally mirror the British background in which they were designed. Ideally, this means that it may not be possible to separate British management from British culture. However, HRM, among all other management practices, appears to be the most influenced and affected by cultural differences (Trompenaars & Hampden-Turner, 2004). Essentially, cultural differences will have significant implications on the design of HRM strategies and how appropriate they will be. The typical work environment is characterised by business (organisational) goals. However, in international HRM, cultural differences give rise to divergent preferences and perceptions that consequently shape general organisational behaviour such as management style and decision making, work motivation, performance appraisal, rewarding, communications, work orientation and definition of objectives (Milikic, 2009). Further, apart from organisational culture, national culture will impact on HRM practices such as staffing, career development, management and compensation. Nations may differ in many significant aspects such as the educational characteristics of the labour force and regulatory and institutional environments, but cultural differences and especially cultural values shape HRM
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The paper includes a discussion on the aspects in which organizations practice HRM and the issues arising after implementation of HRM. The paper includes major discussion on the issues pertinent to job satisfaction of employees, selection of employees on merit basis and uprightness of Human Resource Managers.
The study tells that Australia enjoys 65% labor participation although there. The employment growth rate has been maintained at 2% per annum in the last two years. The country is recognized for improvements in its labor force leading to greater productivity in the last two decades. With regards to labor productivity per employed person, the country is ranked 11th globally.
Employees are sent to foreign locations based on their skills and achievements that they have demonstrated in the native country (Kwintessential, 2004). However, the business culture and the business doing ways of the host country may visibly be different from the native country’s business culture.
The main objective of the international human resource management is to minimize the risks related to the global human resource (Czenter, 2002). International Human Resource Management also attempts to evade cultural risks along with regional differences.
The main challenge in the IHRM is that it should achieve two conflicting objectives at the same time. Firstly the Human Resource Management (HRM) practices and policies should be integrated across all the subsidiaries in the different countries in such a way that the overall objective of the organization is also achieved.
This has raised new challenges for the managers. Companies face pressing needs of international human resource management (HRM) in the present age particularly with respect to recruitment, training, and compensation of the global employees. Differences between the countries affect the HRM processes of a company in a variety of ways.
Domestic human resource policies apply to those laws and regulation which are implemented in domestic organisation or companies with little or no relationship with international business. These companies generally cater to the local markets with products and services especially meant for the regional consumers.
The most important of these changes and adaptations are defined by the nature of human resource demands. Human resource can be said to be the most vital asset of the company since they formulate operations and work plans necessary for business. Multinational
According to Guseh & Oritsejafor (2007), Nigeria does not rank as one of Africa’s free countries and is in pursuit of democratic market institutions which new generation airlines including Arik is capable of achieving with the right strategy. Economically,
Every organization is developed for several benefits of individuals, such as small businesses, corporations, religious institutions and political parties. The goal of organization is to produce low entropy and provide a force that can help to motivate action.
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