Cultural Differences between Countries Challenging Human Resources Management - Coursework Example

Evaluating Cultural Differences between Countries Challenging Human Resources Management to MNC’s Ability to Transfer HR Practices between Countries Student’s Name University Name Lecture Name Course Date Evaluating Cultural Differences between Countries Challenging Human Resources Management to MNC’s Ability to Transfer HR Practices between Countries Depending on the country of origin, the MNC Corporation and cultural characteristics are considered as the dominant factor that influences human resource management practices. The home country of the multinational corporation exerts distinctive influences to the human resource management practices, especially on the cultural perspective. The parent company depends on with the institutional environment depending on the cultural practices in the home country. The human resource operation depends on with the nature of the cultural perspectives of the home country of the parent company. The cultural features of the home country tend to be integrated into all the operations of MNC in identifying its identity, shape and international orientation (Kirkman, Lowe, & Gibson, 2006, p. 289). The general philosophy and goals of the MNC take the approach of the parent company. The mission and visions help in defining and designing the HRM systems and hence being used in the subsidiary companies overseas. The ethnocentricity and polycentrism are among the cultural characteristic that is related to the influence of MNC of different origins. Therefore, the research focuses on evaluating cultural differences and how they influence the HRM practices to MNC operating in different countries. Culture Influencing Ability of HRM Practices HRM practices are influenced by the cultural distances and the business systems, differences among the MNC subsidiaries. The MNC subsidiaries are faced with the challenge of establishing and maintaining the external and legitimacy in their host environment within the MNC business operating systems. The subsidiaries of MNC are supposed to adopt the business operating models and systems used by the parent MNC. The pressure to meet the expectation of the head office of the MNC, complying with the policies and practices faces a lot of challenges in different cultures. The subsidiaries operating overseas are supposed to seek balance between the local cultural demand and the central coordination need of the central MNC operation systems (Javidan, Dorfman, Luque, & House, 2006, p. 72). The cultural differences tend to influence the MNC HR practices as these corporations are supposed to adapt and meet the demands of the host country’s culture. If the MNC does not satisfy these culture faces the problems in their performances. The MNC has to adapt to the host country’s culture and norms to ensure they achieve their success in business demand and especially on the human resource practices. Other issues such as religion pose cultural challenges to the MNC. Spiritual beliefs in different communities are considered powerful and transcending to the cultural aspects. The religion focuses on the moral and economic norms and hence influencing the business transactions, the nature of the jobs operations and behavior, the consumption of certain goods and services (Mornah & MacDermott, 2016, p. 73). Traditional cultures do not accept the drastic changes and hence influencing the multinational corporation drive. The MNC focuses in presenting new products and services in different cultural diversities and hence facing the reluctance of the traditional practices. Aesthetics are considered as the cultural aspect challenging the MNC operation in different countries. The aesthetics provides the cultural sense of the beauty as well as the good taste of the products or services being provided. The most affected sector is the art whereby the cultural challenge on the different symbolic meaning influences the acceptance as it may portray different meaning to the people depending on their culture [Hus08]. For instance, colors are used to portray different meanings under the cultural perspectives. For example, the color green in Asia connotes illness or death of forest whereas in the Islamic, advertising or even packaging products with color green the product looks favorable. This requires the human resource management practices to focus on the cultural impact of their operation depending on the targeted market. Therefore, MNC through the marketing operation, it should focus on the colors meaning while advertising and packaging their products and services. Every country has set of culture, attitudes, and beliefs that tend to influence the human behavior and consumption of goods and services. The HRM of MNC is supposed to learn the host country culture. This would ensure they are in a position of understanding their customers perfectly on their consumption behavior. The aspect of attitude influencing the international business is the cultural change and consumption pattern. Issues such as time and work have been categorized as the culture of the people living in the specific country (Kirkman, Lowe, & Gibson, 2006, p. 310). The approach can be defined on how people respond to the tight schedule as Japan and United States are identified on working on the tight schedule whereas other cultures such as Mediterranean accommodated flexible schedule culture. Cultural Impact of HRM Practices Performance orientation; the cultural changes in different countries influences the performance of the MNC especially in the human resource management. The MNC companies are supposed to focus on the issues such as encouraging the workers through rewarding performance improvement. The human resource management is supposed to enhance training and development to enhance the cultural dynamic of the communities (Kirkman, Lowe, & Gibson, 2006, p. 302). Countries that depend on with the attributes of cultures relate the success of the business to the operations improvement and excellence complying with the cultural practices. Assertiveness; this indicates the degree to which an individual or community relates to the MNC products and services. The communities can use posses’ similar cultural values and beliefs and hence providing a platform for the HR practices conformity. The MNC can practice business model in the countries that have similar cultural values to extend business competition (Mornah & MacDermott, 2016, p. 74). Some countries such as the United States and Australia have a can-do attitude, and hence MNC can introduce the similar HRM practices model to enhance the business operation in the regions. Future orientation; the cultural behaviors and attitudes should provide the MNC with the understanding of the community and business feature in the host country. Future-oriented behaviors help the HRM to practice on the essential planning and investment goals depending on whether long-run or short-run objectives [Hus08]. This would be possible due to the cultural behavior of the community and the expectation in future. The countries with the high future-oriented practices provide the MNC with appropriate mechanisms of setting long-term systematic planning programs and process. Institutional collectiveness; the MNC and the community are supposed to operate in a manner that encourages and reward the collective contribution toward the success achievement. The MNC is supposed to focus on the cultural aspect of the host country regarding the resource distribution and teamwork contribution toward the organizational development. The human resource management practices should focus on the culture of the community to develop an appropriate mechanism to encourage and reward their effort [MCN15]. The MNC in the respective country is supposed to enhance the operations that focus on the collective interest of both society and business success. The host country culture is considered as an imperative component that influences the MNC business operation process. The communities in the host countries have consistent traditions influence the business. Some of the countries have a homogeneous culture whereby the communities’ shares a similar history, culture, and languages. In such communities, the MNC management and especially the human resource practices should focus on products and services that would meet transient and implicative qualities (Mornah & MacDermott, 2016, p. 71). The decision-making should focus on the need of the entire community on specific good and services they consume. The parent MNC should allow the firm operating in these homogeneity communities to have flexible operations that focus on the culture of the community. This would allow the firm to focus attentively on the need of the community and ensuring they make decision compatible with the community culture need and not primarily on the parent MNC policies demand. Cultural masculinity indicates the measure of the cultural understanding focusing on the products and services being introduced by the MNC. Most of the culture believes on their understanding of the product and services they are consuming. It is hard and challenging to convince them to accept the services and products from an international corporation. These communities are held by their cultural practices and beliefs on their history and norms. The human resource management practices would be influenced in seeking an appropriate mechanism to attract and change the cultural dynamic of the community [MCN15]. The newly introduced products are not valued as the traditionally accepted product and services. Therefore, it is challenging for the MNC communities to adopt a new culture. Long term orientation focuses on the MNC intention inducing long-term projects in the subsidiaries MNC in respective countries. The approach relates to the human resource operations in achieving the parent MNC policies and regulations. The MNC operating overseas are supposed to comply with the visions and mission of the MNC to portray branding the firm (Javidan, Dorfman, Luque, & House, 2006, p. 83). The challenges are based on the differences of the cultural perspective in these countries whereby the human resource management systems are directly affected. The HRM practices are supposed to ensure the resources and policies from the parent MNC meet the standards on the ground [Ngu14]. The differences in the cultural practices may influence the results demanded and hence challenged the HRM processes. The objectives of the human resource management are influenced by the culture of the communities. The aspects of the long-term or short-term objectives are valued in the future of the community. Therefore, the HRM would be responsible for assessing the changes in the cultural practices as well as the MNC initiated policies to comply with the community demands. MNC Responses to Cultural Challenge HR managers are supposed to undertake the societal roles and engaging the community in different cultural activities. This would introduce the firm to the societal operations and engage them on the products and services being offered. The HRM practices should be aligned with the culture and practices of the community [Ngu14]. The beliefs and norms of these communities are supposed to be integrated into the production of goods and services. Through the HR practices, the community should relate the organization, operation to their culture and hence embracing the firms’ products and services (Javidan, Dorfman, Luque, & House, 2006, p. 85). The major role of the manager is considering making the community understand the benefits of the proposed changes and how it would have a positive impact on their culture. A close relationship with the community, culture would enable the MNC to penetrate in business operation depending on the magnitude of cultural acceptance by the society. In different aspects, culture forces the firms to adjust and comply with the cultural practices. HRM practices through the business policies are supposed to change its operations and meet the requirement in setting strong business operation environment [Ngu14]. Culture may dictate on the motivation of employees on how they work and respond to rewards and promotions. The HRM is supposed to make the changes that would suit the local culture, focusing on the working condition, job evaluation and reward systems (Mornah & MacDermott, 2016, p. 84). This would help in improving the relationship that exists between the firms with the locals. Changing the organization, operation system, the HRM practices should focus on expanding the cultural line to attract more customers and achieving the success of the firm. Cultural imperialism can be avoided by focusing on the cultural sensitivity in the HRM practices. The MNC operating overseas is supposed to meet the demand from the community. These overseas MNCs’ are supposed to improve their activities and production to meet the tradition of the community regarding consumption habit. The MNC are considered as the agent of the cultural changes as they contribute in influencing consumption behavior [Ngu14]. Cultural diversity depicts the integration of the firms with the objective of reaching the customer and meeting their demands. The HRM practices and operating systems are supposed to prioritize on the customers demand to achieve the objective of succeeding in cultural diversity (Javidan, Dorfman, Luque, & House, 2006). Therefore, the parent MNC should consider the HRM practices and operating systems to meet the cultural difference demand and improving in the business operation in different countries. Cultural diversity shows wider business approach, and MNC should target these approaches in diversifying the production and services delivery. Conclusion Cultural differences influence the HRM practices to MNC operating in different countries. The parent MNC identifies the branding name that is supposed to be portrayed by the subsidiaries MNC overseas. This is not possible as the cultural difference challenges the process and designs set by the MNC management. The policies and decision making in the subsidiaries MNC depends on with the cultural setting and cultural practices. The MNC’s are supposed to comply with the culture to succeed with its operation. The central management should provide some allowance degree to the HRM personnel in respective subsidiary MNC overseas in making decision that fit cultural operations. The activities of the firm are supposed to be aligned with the cultural practices and diversity. This would contribute to improving the production of goods and services that are consumed in a particular community. Therefore, the MNC management should empower the HRM in subsidiaries MNC to perform their roles with the intention of complying with cultural diversity. References Hus08: , (Husted & Allen, 2008, p. 294), Hus08: , (Husted & Allen, 2008, p. 303), MCN15: , (MCNAUGHTON, 2015, p. 70), MCN15: , (MCNAUGHTON, 2015, p. 69), Ngu14: , (Nguyen & Nguyen, 2014, p. 80), Ngu14: , (Nguyen & Nguyen, 2014, p. 85), Ngu14: , (Nguyen & Nguyen, 2014, p. 74), Ngu14: , (Nguyen & Nguyen, 2014, p. 86), Read More