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Globalization and Factors Influence Human Resource Management - Essay Example

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In the paper “Globalization and Factors Influence Human Resource Management” the author will analyse the process of globalization and its impact on the human resource management (HRM). The factors involving the social, political, legal, economic and cultural aspects…
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Globalization and Factors Influence Human Resource Management
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Download file to see previous pages However, at the same time, the diversity in the HR practices has also been exhibited. The cultural differences among the countries are clearly reflected in the organizational structure and practices, which gives rise to several independent HR management processes. This makes it quite important for the international organizations to adopt cross cultural practices (GPF, 2015). The process of globalization and its impact on the human resource management (HRM) have been discussed in the paper. The factors involving the social, political, legal, economic and cultural aspects that influence the management of cross border business practices have been added.
Globalization can be described as a process or a set of processes that leads to integration of international entities leading to exchange of views towards business, culture, technology and national economy (Pieterse, 2015). It is a process by which the world is becoming more interconnected, owing to the cross border trade and adoption of cultural practices. It has allowed the firms to have access to new target customers in different nations, thereby increasing their target customer base (Held et al, 1999). This in turn has also increased the production of goods and services over the decades. The large companies have now been transformed to multinational organizations, as they own multiple subsidiaries in several other nations. It has also made it easier for the firms to conduct their business operations, as they can now leverage the comparative advantage of other countries by outsourcing resources or activities. In terms of the global economy, globalization has helped to improve the economic conditions of several developing countries. However, it has also been argued that globalization in certain cases have led to suppression of local firms in the developing countries (BBC, 2014).
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