Evaluating an International HRM strategy - Essay Example

 EVALUATING AN INTERNATIONAL HRM STRATEGY Executive Summary This report will provide a relevant human resource strategy for Tesco’s joint venturein Thailand. The report will provide detailed backgrounds to the Tesco Plc. Company, the host company Thailand, the industry drivers, as well as the desired human resource management strategy. The objective of the report is to develop an appropriate human resource strategy that can help Tesco Plc. Thrive in the retail industry in Thailand. Thailand is a South East Asian country presenting numerous opportunities for retailers and supermarkets. Thailand’s economy has exhibited remarkable growth in the recent years, becoming the second largest economy in the region. The country has desirable policies that promote free trade and encourage foreign investments. Entry into the Thailand market does not require unnecessary procedures, but rather takes a minimal period. Thailand presents an emerging market and middle-class population in its urban cities. From the PESTLE analysis presented, it is evident that Thailand is a favourable destination for Tesco. The human resource management strategy presented highlights the relevant recruitment and selection processes, reward management structures, performance management and appraisal, training and development, as well as employee involvement. The strategy highlights how Tesco and its partner can maximize its human resources to promote performance, job satisfaction and quality services to the customers. The report presents some recommendations that can help the joint venture to become more successful. 1.0 Introduction Globalization is becoming a reality in the modern business world. Therefore, companies are responding positively to the increased globalization by exploring foreign markets. Many companies have become multinational companies because of their exhibited efforts in taking advantages of emerging markets in different regions. Human resource is of critical importance to companies in their venture of international expansion. Without the proper human resource management strategies, many of the expansion ventures are bound to fail. Human resource personnel are tasked with four critical functions, namely the staffing, performance management, administration, as well as change management. Therefore, human resource managers and practitioners must develop effective strategies that multinational companies can rely on foreign markets. International human resource management requires the human resource practitioners to give attention to aspects such as global workforce, international context, the national context, operational issues, strategic issues, competencies, and have projections for the future. During efforts of venturing into a new market, the human resource department needs to develop effective strategies of staffing the foreign subsidiary. The human resource department must balance competencies of the parent company and the foreign subsidiary. In cases whereby a company adopts a joint venture approach, international human resource management becomes very important. The supermarket industry requires competent staff who can deliver quality support services to promote customer satisfaction. Any successful business must be able to register high levels of customer satisfaction. Managers and supervisors of supermarket stores play a critical role in ensuring that the store runs effectively and that it can meet the customer needs. It is imperative for players in the supermarket industry to carry out rigorous training and development of employees as well as establish effective communication and consultation channels. If the business is to be successful, the human resource department must also introduce reward and benefit schemes that serve to motivate employees. However, the level of performance exhibited by employees depends on different factors. The recruitment and selection process is of critical importance as it determines whether the organization brings on board individuals who are self-motivated and who are willing to learn and register increased levels of productivity. Without a doubt, the human resource management is a critical aspect in determining the success of supermarkets. Tesco is facing challenges in its international expansion venture because of the evident globalization effect. Globalization has led to the increasing spread of popular culture. For this reason, Tesco has to consider global cultural aspects and its reception in new markets. Therefore, as Tesco ventures into Thailand, it has to make adjustments so that its business practices conform to Thailand practices. 2.0 Company Profile Tesco Plc. is a renowned food retailer with its headquarters in the United Kingdom. Jack Cohen, who began selling groceries, founded the company in 1914. The name Tesco would later emerge in the 1920s. The first self-service store under Tesco was opened in 1914. The self-service stores would later expand to become supermarkets in the 1960s. Tesco gained popularity as a supermarket that specialized in both household goods and clothing. The United Kingdom remains Tesco’s core market ('Tesco Corporation' 2015, p. 3). However, Tesco indulged in a rigorous international expansion in the 1990s, a move that led to the establishment of the store in different countries. Currently, Tesco has stores in over 13 countries. Over the years, Tesco has opened Increasing stores in the different countries. In the United Kingdom, Tesco has four banners namely Tesco Extra, Tesco superstore, Tesco Metro, and Tesco Express. Tesco has introduced a strategy of stocking an increasing number of food products, as well as other nonfood products. In many superstores, Tesco stocks over 40,000 food products. The Tesco company had developed its label products that come in three varieties namely value, normal, and finest ('Tesco Corporation' 2015, p. 13). Fifty percent of the company’s sales results from Tesco’s label products. In many of Tesco’s store, the company has opened gas stations making the company a recognized retailer of petrol. The company also indulges in other retailing services such as finance, providing customers with a variety of products and services. Tesco has recognized the emerging opportunities in Asian countries after the globally recognized economic growth in Asia. For this reason, the company has exhibited efforts of exploiting the evident opportunities available in the Asian countries. Figure 2: Tesco’s UK Market Share Available at http://www.google.com/imgres?imgurl=http://www.pangasius-vietnam.com/Uploads/image/Dinh-Ngoc-Ha/image/SUPA-UKmarket.jpg&imgrefurl=http://www.pangasius-vietnam.com/Daily-News/442_4861/SUPA-Study-Chapter-V-Market-analysis-of-trends-and-key-stakeholder-sourcing-policies-in-the-UK.htm&h=434&w=727&tbnid=5hJhfEILXAuYbM:&zoom=1&docid=xzpRsjRV74ZMWM&ei=V_t-VciROcn4Usa5g9AL&tbm=isch&ved=0CFoQMyg2MDZqFQoTCIiZyrWNksYCFUm8FAodxtwAug 3.0 Industry Drivers 3.1 Host Country Profile Thailand is recognized a middle-class economy located in South East Asia. The country’s economic boom began in the 1980s after a remarkable progress was registered in the agricultural sector. Experts have projected Thailand’s economy to reach the level of US $522 billion by 2017 (Kananukul, Hodges, & Watchravesringkan 2015, p. 659). In recent years, the country’s economic growth has resulted from a rigorous domestic consumer market, high export value, increasing foreign investors, as well as government policies that promote free trade. Buddhism is the main religion in Thailand. The country has an intriguing history as the only South East Asian country that did not experience colonialism. However, the country has registered remarkable conflicts and political instabilities in the recent years. The Thai government has exhibited its commitment to promoting industries such as automobile, agricultural, electronic, as well as the private sector industries. Since the country has a remarkably expanding market, multinational companies have recognized its emerging opportunities and been attracted to the country. The expanding market has also contributed to a remarkable innovation at the local level, success of domestic producers, as well as the formation of business clusters, a factor that maximizes the competitive advantage ('Thailand: Country Risk Report' 2015, p. 38). The country has intriguing social dynamics. It has adopted technological advancement in recent years, factors that are of critical importance to foreign investors. The country’s economy has been ranked the second largest in South East Asia. In 2014, Thailand formed a new government through the military a factor that highlights its causes of political instability. 3.2 Thailand’s PESTLE Analysis Political Thailand has policies that promote public investment, a factor that promotes economic growth. The country has a good reputation in its diplomatic relationships with key world players as well as other South East Asian countries. However, Thailand presents certain challenges, especially because of political corruption and high poor governance indicators. Worth noting is the fact that political corruption, poor governance indicators, are likely to fuel political instability, which affects economic growth negatively. Therefore, the country’s political instability is not a positive aspect of the supermarket industry ('Pestle analysis' 2008, p. 12). Economic Thailand is a globally recognized international financial centre with well-established fiscal and monetary policies. Therefore, the monetary policies have been promoting economic growth over the years. The government has exhibited its commitment to invest further in infrastructure and continue promoting foreign investments ('Pestle analysis' 2008, p. 16). Thailand is expected to register an economic growth of about 2.9% considering the level of growth it exhibited in 2014. If the political unrest is solved, Thailand economy may grow to a level of about 5% similar to the rates exhibited in 2013. Social Thailand has an educated population, which is willing to accept the global culture. Therefore, the Thailand consumers are likely to be receptive of multinational companies. The country has remarkable income levels because of social welfare schemes established by the government. Currently, Thailand has a strong social security system, factors that are favourable for the supermarket industry (Shannon 2014, p. 531). Technological Thailand has a remarkable and sophisticated technological infrastructure, which is a desirable aspect that can promote the success of Tesco in the country. The government’s investment in infrastructure over the years has been commendable. The country has established science and technology canters that promote different types of innovation. Moreover, Tesco promotes the production of skilled human resources, a factor that serves as an advantage for Tesco’s venture in the country ('Pestle analysis' 2008, p. 20). Legal Thailand has a desirable remarkable independent judicial system, which promotes law and order in the country. Also, Thailand has policies and regulations that allow high levels of business and labour freedom. Such factors are favourable for Tesco, since it will enjoy an environment of free trade ('Pestle analysis' 2008, p. 23). However, Thailand has stringent taxation systems, which have been discouraging foreign investors. Obtaining business licences in Thailand takes a remarkably shorter period, compared to other countries, a factor that is beneficial for Tesco. Environment Thailand has a strong environmental policy framework, which seeks to protect and conserve the environment. Therefore, such a strong environmental framework translates to the need for Tesco to exhibit high levels of compliance and minimize pollution levels ('Pestle analysis' 2008, p. 26). Why Tesco should go to Thailand Figure 3: Thailand’s Index of Economic Freedom Available at http://www.heritage.org/index/country/thailand As the figure above highlights, Thailand is one of the South East Asian countries that promote economic freedom. Multinational companies are likely to be successful in countries that have economic freedom. The increased economic freedom is a favourable reason for Tesco to invest in Thailand ('Thailand: Country Risk Report' 2015, p. 10). As mentioned above, Tesco’s economy is the second largest in the region, a factor that triggers a higher consumption rate by the people. In a stable economy, consumers are more likely to register increased spending. Therefore, Thailand is a favourable destination for Tesco. Moreover, Tesco registers an increasing urban population evident from the development of new cities. Tesco stores are more likely to be located in the high-end market specifically in big cities. Therefore, the country’s commitment to urbanization and investment in infrastructure presents a remarkable opportunity for Tesco. Figure 4: Urban Population Growth Rate in Thailand Available at http://ww2.unhabitat.org/habrdd/conditions/soeastasia/thailand.htm As the figure above illustrates, Thailand has been exhibiting a remarkable rate of urban growth. Busy shoppers who want accessibility to a diverse range of products define the urban growth. Tesco can take advantage of the available market by opening convenience stores in all the big cities sin Thailand ('Thailand: Country Risk Report' 2015, p. 23). In its joint venture in Thailand, the expansion will be much easier. Economic projections depict that Thailand is likely to continue registering a remarkable economic growth as long as the issue of political instability is addressed. According to the current projections, Thailand’s future is likely to support thriving business. With the increasing economic growth, a greater percentage of Thailand’s population will move to the middle-class level, a factor that is beneficial for foreign investors such as Tesco ('Thailand: Country Risk Report' 2015, p. 30). Thailand’s investment in infrastructure is a desirable aspect that makes it more favourable for foreign investment. Therefore, Tesco can confidently invest in Thailand because the remarkable infrastructure will offer critical support to the business. Worth noting is the fact that investing in countries with well-established infrastructure reduces the transportation cost and increases the level of convenience. The fact that Thailand has government policies that promote foreign investment and the procedures for obtaining business licences are minimal should justify Tesco’s investment in Thailand ('Thailand: Country Risk Report' 2015, p. 34). The country’s monetary policies are favourable for any business, a factor that favours Tesco. 4.0 Human Resource Management Strategy 4.1 Recruitment and Selection Recruitment The recruitment process targets to bring on board people with the right competencies to occupy positions whose job responsibilities match with their competencies. Recruitment is the significant process conducted by the human resource department. In the case of Tesco’s joint venture in Thailand, recruitment should be well structured in order to ensure that the right individuals are brought on board as they can contribute to the success of the business (Valeria-Liliana-Amelia 2011, p. 170). Worth noting is the fact that the top management positions will be occupied by individuals from the parent company, Tesco United Kingdom. The lower level employees will be recruited from the local people. Therefore, supervisors and managers as well as the executive team of the subsidiary will comprise of individuals from the parent company. Tesco has exhibited a remarkable expertise in the retail business in the United Kingdom over the years. For this reason, it is only logical for Tesco to allow individuals from Tesco United Kingdom to occupy the key positions so that they can have a direct control of the operations of all the stores (Armstrong 2010, p. 45). The recruitment process will conform to Frazer's fivefold grading system. Therefore, the recruitment of employees will have several categories that conform to the different ranks of employees at Tesco. The first category will comprise of high-level managers while the second category will comprise of middle-level managers. The third category will comprise of store managers. Other categories will include front-line staff and other assistants who will offer support services in different stores. The high-level managers must exhibit high levels of competencies and must have a strong academic background in management. Middle-level managers should have a minimum of a bachelor’s degree as well as extensive job experience in management positions (Petrescu & Konrad 2012, p. 51). The individuals preferred for the positions should exhibit desirable personal qualities, high levels of efficiency, independence, and self-motivation. High-level Managers Middle-level Managers Store Managers Frontline Staff Assistants Impact on others -Highly professional in all aspects -Ability to inspire others - Good communication skills -High levels of professionalism -Ability to inspire and respect others -Good communication skills - High levels of professionalism - Ability to inspire and respect others - Good communication skills - Proper dressing - Good communication skills - Fluent speech - Ability to smile and welcome customers - Proper dressing and hygiene levels Acquired qualifications -Master’s degree in management -Additional courses in project management or business administration -Preferably a master’s degree in business administration and management or a bachelor’s degree with diverse experience - Bachelor’s degree in business management or administration - Experience in store management -Fluency in both English and the Thailand language - A minimum of a diploma certificate with diverse experience in frontline jobs - Diploma in sales management and extensive experience in sales - Fluency in the Thailand languages Innate Ability -High levels of responsibility and intellectual capacity - Willingness to learn new strategies -High mental capacities and problem-solving skills - High intellectual capacity - High levels of responsibility - Willingness and the capacity to learn -High levels of responsibility -Proper organization of tasks -High intellectual capacities -Good coordination and remarkable learning capacities - Willingness to learn and adapt to new situations - High levels of responsibility -Enthusiasm - Friendliness - High mentality -Knowledgeable -Good time management - Enthusiasm - Friendliness - Self-organized -Service mindedness Motivation -Self-motivated individuals with clear personal goals -Demonstrated ability to register efficiency and transform organizations - Self-motivated individuals with clear personal goals - Demonstrated ability to initiate strategies of promoting performance - Self-motivated and focused with the willingness to build a successful career -Willingness to provide customers with the required services -Self-motivated - Ability to help customers Adjustment -Ability to lead a team while conforming to organizational goals - Ability to respond to different working environments -Ability to respond positively to different working environments and situations - Demonstrated potential to lead a team - Ability to coordinate activities that affect performance -Ability to work under pressure - The potential to cooperate in a team - Ability to understand customer needs - Ability to work under pressure - Ability to respond promptly to customer needs Figure 5: Recruitment Process Flow Chart Available at https://bzowy.wordpress.com/2010/11/08/alec-rodgers-seven-point-plan-and-munro-frasers-five-fold-grading-system/ The recruitment process followed the steps illustrated in the diagram above. As highlighted, the recruitment procedure will follow Rodger’s Seven-Point Plan. Many multinational companies face the compulsion of deciding upon the best approach to recruiting employees in the host country. Experts have described three main staffing policies. The ethnocentric approach, which was common in the past focused on hiring all the executives and managers from the parent country. The justification for this approach was that many emerging markets did not have the required level of expertise and competencies to manage the subsidiary. Therefore, many companies opted for hiring individuals from the parent country and only recruiting low-level employees from the host country (Abdulla 2014, p. 8). A modern approach to staffing is the polycentric approach, which gives nationals of the host country an opportunity to manage the subsidiaries. In this approach, employees from the parent country remain at the headquarters while host country nationals occupy managerial positions in different branches. The polycentric approach has been appraised for its potential to lead to a cultural integration at a faster rate. However, many host country nationals may not have the required expertise to hold the managerial positions. Therefore, a gap develops between managers in the parent country and those in the host country (Abdulla 2014, p. 7). The third staffing policy is the geocentric approach, which hires people based on their competencies without considering nationality. Many companies venturing into international expansion are more focused on bringing on board a team of experts who have the capacity to run the subsidiary successfully. The joint venture of Tesco will use the polycentric approach while recruiting low-level employees among the Thai people. Adopting the polycentric approach will promote cultural integration in Thailand and promote the success of the subsidiary. The joint venture assumes that the Thai people will develop the required competencies in order to be able to hold managerial positions. Figure 1: Types of Staffing Policies Available at http://www.slideshare.net/leanhoang1184/international-business-chap018-presentation Selection The selection process is of critical importance as it ensures that the human resource managers select the individuals with the relevant qualifications for the different positions. In the case of Tesco’s joint venture in Thailand, the selection process will involve a close analysis of all the applications and academic certificates attached ('How training and development supports business growth' 2014, p. 2). The diagram below represents a typical selection process that Tesco and its partner can follow. Figure 6: Selection Methods 4.2 Training and Development Training Training and development are a critical aspect of human resource management that can increase productivity, service quality, employee personal growth, and high levels of customer satisfaction. Tesco should introduce training programs for all the different levels of employees so that they can acquire new skills and be able to grow and occupy new positions. Tesco’s training programs in the United Kingdom have proven to be exemplary as each employee has an opportunity to undertake further training and gain new levels of competency ('How training and development supports business growth' 2014, p. 3). Both Tesco and Thailand will cooperate in the training programs and sharing of knowledge concerning the host market so that all the employees are well prepared for the new market challenges. Evidently, implementing both on the job and off the job training will present employees with remarkable skill sand competencies. How Training will take Place The joint venture needs to train employees on how to deliver quality customer care in both onjob and off bob training programs. The joint venture will also train managers on how to effectively manage different stores and coordinate all the branch activities. Store managers need adequate training on how to oversee all the operations of the store. Managers and supervisors need leadership skills as well as effective communication skills, which are essential for proper leadership. Front office staff and other assistant staff will receive training on how to receive customers and offer the relevant assistance while remaining cheerful and enthusiastic. Whereas some training programs will be suitable for all the employees, each level of employees will have unique programs that conform to the needs of their position. The first step towards developing training programs is the assessment of the employee needs. Therefore, Tesco will carry out an assessment of the employee needs and develop training programs that have the capacity to meet employee needs. The employees will be requested to register for training programs that conform to their identified needs. After the implementation of the training programs, Tesco will carry out a post training assessment in order to determine whether the programs were effective. Development Tesco should also introduce the optional development programs that employees may choose to undertake in their path towards professional development. The optional programs will ensure that individuals can achieve personal growth and can explore new career paths (Kennett 2013, p. 123). The Ask Model illustrated below can help the joint venture determine the required attitudes, skills, and knowledge that employees need and that they will exhibit after the training. The training programs will ensure that the employees develop attitudes such as open-mindedness, resilience, willingness to help and be helped, leaning from mistakes, welcoming new experiences, and remaining focused. Moreover, the employees will need to develop different types of skills such as intellectual skills, social skill, communicative skills, and physical skills that make them more competent in their job positions. The employees will also acquire a diverse range of knowledge concerning the industry, Tesco’s objectives, as well as their responsibilities. Figure 7: Training and Development Available at http://www.icoachacademy.com/blog/coaching-resources/coaching-models/shubha-rajan-ask/ 4.3 Reward Management Reward management is an additional role played by the human resource managers. Reward structures serve to motivate employees and lead to increased performance. Reward management ensures that employees are well vast with organizational goals and that they work towards the achievement of such goals. It is an intrinsic approach to motivating employees. The joint venture can introduce both monetary and non-monetary rewards as a strategy of motivating their employees ('Business expansion through training and development' 2014, p. 2). Worth noting is the fact that rewards must have a direct link to performance either on a daily, monthly or yearly basis depending on the quality and quantity of work performed by either employees or teams. Different levels of employees can have different reward schemes. The companies should ensure that the selected reward structures have a direct relationship with performance. Nonmonetary rewards may include recognition and appreciation of good work in the form of trophies or certificates. In other cases, Tesco may give shopping vouchers to the employees who prove to be highly productive. For the managers, the joint venture can consider introducing monetary rewards such as 10% bonuses if stores register increased sales. Such bonuses have the capacity to motivate the managers to develop strategies of improving sales in each store. The frontline staff can also receive bonuses of 5% depending on the sales registered by the store. Moreover, the staff members can receive appreciation notes and messages with the joint venture recognizing their efforts and contribution to the success of the stores. During other occasions, the joint venture can address cards to all the staff members in recognition of their hard work and appreciation of their efforts. The figure below highlights the total reward model. Figure 9: Total Reward Model Available at http://e-hrminc.blogspot.com/2014/01/introduction-to-worldatwork-total.html The following figure summarises the reward strategy that Tesco and its partner can adopt in its efforts to motivate employees. Figure 10: Reward Strategy 4.4 Performance Management and Appraisal Performance management and appraisal are important aspects of the human resources department. The purpose of performance management and appraisal is to assess employee performance and develop strategies for promoting desirable behaviour while eliminating undesirable behaviours (Aksakal & Dağdeviren 2014, p. 148). Performance appraisal should be conducted regularly and there should be effective communication channels between supervisors and employees so that feedback can be given. Performance appraisal should allow employees to identify the skills that they lack and develop strategies for acquiring such skills. Performance appraisal also determines an employee’s strengths and weaknesses as well as personal goals and how they conform to organizational goals (White & Druker 2007, p. 67). Performance appraisal has both administrative and developmental benefits as highlighted in the figure below. Figure 11: Performance Appraisal Uses Available at http://www.slideshare.net/FaezahAbdullah/ch-07-performance-appraisal On the other hand, performance management ensures that all the activities of an organization are geared towards organizational goals. The organization should develop effective measures that can serve as quantitative indices of measuring performance. There should be different assessment forms for different levels of employees (Venkateswara Rao 2004, p. 71). Therefore, Tesco and its partner should establish effective performance management measures that it will use in its Thailand subsidiary. The 360-degree feedback model will be effective for Tesco and its partner so that supervisors can ensure that all employees can receive feedback from colleagues and other individuals around them. Therefore, according to the model, managers, peers, and other selected individuals should complete a feedback for each employee (Shukla & Singh 2014, p. 665). The following figure depicts the 360-degree feedback model. The human resource department of the joint venture will develop appraisal forms for the different levels of employees. The performance appraisal will take place after every 6 months. The joint venture will communicate the specific dates of the appraisal and request all the employees to obtain their appraisal forms. In addition, the joint venture will train employees on how to rate their peers and how to fill in the appraisal forms. Employees will receive feedback from their managers in order to learn their scores and ratings form customers, immediate superiors, subordinates, peers, and the top management. Figure 12: 360-degree Feedback Model Available at http://www.surveyonics.com/surveycourseware/conducting-a-360-degree-feedback-survey.aspx 4.5 Employee Involvement The human resource department has a critical role in ensuring that there is a positive relationship between employees and the company. Therefore, employees should have a measure of authority in contributing to the decision-making processes. Employee participation in decision making ensures that they can voice out their ideas. Employees should be engaged both emotionally and intellectually (Armstrong 2010, p. 40). Employee engagement and involvement determines the levels of satisfaction. The figure below highlights some of the satisfaction drivers that Tesco’s joint venture in Thailand should give consideration to when developing its strategies of employee involvement. One of the strategies that the joint venture will establish is introducing annual activities that will require the employees to participate in a community project. The employees will be required to plan and coordinate the annual activities and participate actively. During the activities, employees will have a bonding session a factor that is likely to improve teamwork and corporation. The joint venture can also introduce an annual trip to the Tesco headquarters to the United Kingdom for selected managers and employees so that they can learn new skills and interact with other employees of Tesco. Figure 13: Engagement Driver Model Available at http://www.willerbyhill.co.uk/model-of-employee-engagement/ Tesco and Thailand can involve their employees by introducing a suggestion box, carrying out surveys to determine employee attitudes towards the organization, developing an empowerment policy, appointing employee representatives, and establishing two-way communication channels (Petrescu & Konrad 2012, p. 49). The figure below represents employee involvement and relations that have the capacity to increase job satisfaction, motivation, and commitment levels and culminate in a high performance. Figure 14: The Involvement-commitment Cycle 5.0 Conclusion Without a doubt, the human resource department is of critical importance to the success of any organization. In the modern efforts of multinational companies to indulge in international expansion, there is a salient need to give consideration to proper human resource management practices. The roles of human resource management are recruitment and selection, training and development, reward management, performance management and appraisal, as well as the involvement and engagement of employees. Recruitment and selections ensure that an organization can bring onboard the right people to occupy positions that match with their competencies. Training and development ensure that employees develop new skills and register professional growth, a factor that prepares them for increased roles in the organization. Reward management serves to motivate employees while performance appraisal and management ensures that all the employees understand their strengths and weaknesses and that they can improve to meet organizational goals. Involving employees creates a form of attachment to the organization, a factor that leads to the development of job satisfaction. If Tesco is to succeed in a joint venture to Thailand, there is a salient need for the adoption of effective human resource management strategies. As highlighted above, Thailand presents numerous opportunities for Tesco. Therefore, the joint venture should take initiatives of developing proper recruitment and selection processes, training and development strategies, reward management strategies, as well as performance management strategies. Finally, the two companies should ensure that employees experience a form of attachment through effective employee involvement. The implementation of these approaches will ensure that the joint venture is successful. 6.0 Recommendations The following recommendations will ensure that the joint venture in Thailand is successful. Tesco and its partner should give consideration to the polycentric approach to benefit from the expertise of the local staff The recruitment process should follow globally recognized standards to ensure that competent employees are brought on board The level of training offered to employees should ensure that they have similar qualifications to those in the Tesco United Kingdom Tesco and its partner should carry out a critical assessment of training outcomes to assess the new knowledge and skills acquired Reward systems should be established that promote fair competition without placing unnecessary pressure on the employees Implementing employee involvement strategies will promote employee loyalty and commitment Bibliography Abdulla, H 2014, 'Thailand: "Grab-and-go" lifestyles prompt Tesco c-store launch', Aroq - Just-Food.Com (Global News), p. 7, Publisher Provided Full Text Searching File, EBSCOhost, viewed 15 June 2015. 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