Staffing for global operations
For example, many US MNCs use home-country managers to get the operations started, and then hand it over to the host-country managers.
Global staffing choices
Employees and families often have to be relocated across country boundaries and long distances. The polycentric approach to staffing has both merits as well as demerits. Japanese, European, U. Post navigation. These choices are outlined briefly below. The need of training and development for the globalised workforce is addressed latter in the paper. Also, this staffing policy approach could block locals from promotion in the organization. However, this promotion is limited to key positions in the local operations, and does not include central or corporate top positions. For example, under this model, a South African company setting up an office in Brazil would hire a Brazilian to fill an open position. Produces resentment in host country. Relocation costs are usually much lower and a standard compensation package consistent with the local market is usually sufficient. Although home-country personnel fill top management positions, this is not always the case. Among its advantages is the possibility of making the best use of its human resources and it enables the firm to build a cadre of international executives who feel at home working in a number of cultures.
An international human resource manager must proceed with the job of hiring the right number of people of the right type. The additional global interaction taking place can foster teamwork across countries and a better cross-border understanding of company operations.
Repatriation happens when the worker needs to come back to the home country, usually to continue working for the company. The nature and characteristics of international business are more complicated than domestic or local business.
This article presents the types of human resource management issues in international business, the types of staffing policy approaches in international HRM, and the use of expatriate management in the case of the UAE.
Polycentric Staffing: The polycentric staffing policy requires host-country nationals to be hired to manage subsidiaries, while parent-country nationals occupy key positions at corporate headquarters.
Inexpensive to implement. Overcomes lack of qualified managers in host country.
Staffing for global operations
International human resource management covers how physically and geographically detached employees are managed in multinational corporations in the efforts of making human resources competitive edge both locally and globally Sparrow, Two tax bills, from the host country and the U. Uses human resources efficiently. The UAE government supports expatriate workers and allows expatriate management policies that require expatriate workers in top ranking positions. The polycentric approach to staffing has both merits as well as demerits. This staffing policy approach also provides better opportunities for locals to improve their careers through promotion. Thus, other things being equal, a geocentric policy seems to be the most attractive. Society for Human Resource Management.
Ethnocentric staffing involves staffing overseas positions with home country personnel. Society for Human Resource Management. Objectives: Provide background information on host country business and national culture, basic information on company operation.
In Brazil, for example, two-thirds of the employees in any foreign subsidiary traditionally had to be Brazilians. Regiocentric Staffing: With regiocentric approach, a firms recruitment for its international operation is done on a regional basis and the managers are selected on the basis of the best in the region with international transfers that are restricted to regions.
Staffing policy pdf
The paper ends with recommendations for the multinational organization's international human resource management. Employees and families often have to be relocated across country boundaries and long distances. HR managers must also address the issue of repatriation. The four global staffing approaches having been described, it may be stated that based on top management attitude, an international business can pursue one of the three philosophies. Two tax bills, from the host country and the U. This is especially the case where the host country does not have enough qualified workers for staffing top positions in the organization. The regional structure may also lead to the mergence of silomentalities as regional managers will be trying to hold and protect their top talent within the region rather than allowing them to develop outside their region. International human resource management and human resource management has the same core functions. Greater pool of qualified candidates. Types of Staffing Policy Approaches in International HRM In international human resource management, the types of staffing policy approaches are as follows: Ethnocentric staffing Polycentric staffing Geocentric staffing The ethnocentric policy approach to staffing designates home country nationals as top ranking employees in global operations. Welch, D. More specifically, when an organization uses citizens of different countries for its staffing, different tax laws and other significant HR-related factors may apply and therefore it highly recommended that HR professionals need to be knowledgeable about the laws and customs of each country that its workforce belong to. It is also important to note that cultural and language differences will often be significant factors even within region.
The company can search the entire global workforce to find the most qualified candidate for a certain position.
based on 93 review