Section 20: International Human Resource Management and Labor Relations

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Section 20: International Human Resource Management and Labor Relations International Business, 4 th Edition Griffin & Pustay ©2004 Prentice Hall

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Chapter Objectives_1 Describe the way of human asset administration in worldwide business Detail how firms enlist and select chiefs for universal assignments Explain how universal organizations prepare and create exile directors Describe work relations in global business ©2004 Prentice Hall

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Chapter Objectives_2 Discuss how global firms lead execution examinations and decide remuneration for their ostracize administrators Analyze maintenance and turnover issues in global business Explain essential human asset issues including non-administrative representatives ©2004 Prentice Hall

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Human Resource Management (HRM) Set of exercises coordinated at pulling in, creating, and keeping up the successful workforce important to accomplish an association's target Differences in culture, levels of financial advancement, and lawful frameworks among nations may constrain changes in HRM frameworks ©2004 Prentice Hall

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Figure 20.1 The International Human Resource Management Process HRM's Strategic Content Recruitment and Selection Training and Development Performance Appraisal Compensation and Benefits Labor Relations Contribution to Organizational Effectiveness ©2004 Prentice Hall

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International Managerial Staffing Needs Staffing Issues Recruiting Training Retaining Staffing Categories Managerial and Executive Employees Non-administrative Employees ©2004 Prentice Hall

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Scope of Internationalization Size of staffing errands relies on upon extent of company's universal inclusion Export office International division Global association ©2004 Prentice Hall

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Centralization versus Decentralization of Control Centralized firms Favor home nation supervisors Most basic among worldwide division shape Decentralized firms Favor have nation supervisors Most regular among multidomestic firms ©2004 Prentice Hall

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Staffing Philosophy Parent Country Nationals (PCNs) Host Country Nationals (HCNs) Third Country Nationals (TCNs) ©2004 Prentice Hall

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Strategies for Staffing Ethnocentric staffing model Polycentric staffing model Geocentric staffing model ©2004 Prentice Hall

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Figure 20.2 Necessary Skills and Abilities for International Managers Skills and Abilities Necessary to Do The Job Technical Functional Managerial Skills and Abilities Necessary to Work In a Foreign Location Adaptability Location-particular aptitudes Personal attributes Improved Chances of Succeeding in An International Job Assignment ©2004 Prentice Hall

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Recruitment Experienced Managers Younger Managers ©2004 Prentice Hall

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Selecting exiles in a critical component in global human asset administration ©2004 Prentice Hall

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Managerial Selection Managerial fitness Appropriate preparing Adaptability to new circumstances ©2004 Prentice Hall

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Table 20.1 Questions from AT&T's Questionnaire for Screening Overseas Transferees_1 Would your mate be interfering with a vocation to go with you on a global task? Provided that this is true, how would you think this will influence your life partner and your association with each other? Do you appreciate the test of making your own particular manner in new circumstances? Securing an occupation upon reentry will be essentially your obligation. How would you feel about systems administration and being your own supporter? How capable would you say you are in starting new social contacts Can you envision living without a TV? ©2004 Prentice Hall

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Table 20.1 Questions from AT&T's Questionnaire for Screening Overseas Transferees_2 How essential is it for you to invest noteworthy measures of energy with individuals of your own ethnic, racial, religious, and national foundation? As you take a gander at your own history, would you be able to seclude any scenes that show a genuine enthusiasm for finding out about different people groups and societies? Has it been your propensity to relax in remote nations? Do you appreciate inspecting outside cooking? What is your resistance for sitting tight for repairs? ©2004 Prentice Hall

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Culture Shock Psychological wonder that may prompt to sentiments of dread, weakness, crabbiness, and confusion ©2004 Prentice Hall

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Figure 20.3 Phases in Acculturation Honeymoon Disillusionment Adaptation Biculturalism ©2004 Prentice Hall

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Honeymoon Phase New culture appears to be outlandish and empowering Excitement of working in new condition makes worker overestimate simplicity of modifying Lasts for initial few days or months ©2004 Prentice Hall

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Disillusionment Phase Differences amongst new and old situations are dramatically overemphasized Challenges of ordinary living Many remain stuck in this stage ©2004 Prentice Hall

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Adaptation Phase Employee starts to comprehend examples of new culture Gains dialect fitness Adjusts to regular living ©2004 Prentice Hall

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Biculturalism Anxiety has finished Employee picks up trust in capacity to work profitably in new culture Repatriation might be troublesome ©2004 Prentice Hall

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Overseas Success Likelihood of directors being fruitful at abroad task increments if the supervisors Can openly pick whether to acknowledge or dismiss the task Have been given a reasonable see of the occupation and task Have been given a sensible desire of what their repatriation task will be Have a tutor back home who will monitor their interests and offer help See an unmistakable connection between the exile task and their long haul vocation way ©2004 Prentice Hall

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Training and Development Assessing preparing needs Basic preparing techniques Standardized Customized Developing more youthful administrators ©2004 Prentice Hall

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Performance Appraisal Process of surveying how successfully individuals are playing out their employments Purpose To give criticism to people about how well they are getting along To give a premise to remunerating top entertainers To distinguish ranges in which extra preparing and improvement might be expected To recognize issue regions that may require an adjustment in task ©2004 Prentice Hall

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Compensation Packages Include pay and nonsalary things Determined by Labor showcase strengths Occupational status Professional authorizing necessities Standards of living Government controls Tax codes ©2004 Prentice Hall

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Table 20.2 Annual Cost of Living in Selected Locations Worldwide, 2003 ©2004 Prentice Hall

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Differential Compensation Cost-of-living stipend Hardship premium or remote administration premium Tax evening out framework ©2004 Prentice Hall

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Figure 20.5 An Expatriate Balance Sheet Foreign and Excess U.S. Charges Paid by organization Excess Foreign Costs Paid by organization Foreign Service Premium/Hardship Added by organization U.S. Residential Base Salary Taxes Consumption Savings U.S. Spendable Income U.S. Theoretical Housing and Utilities U.S. Auto Purchase U.S. Theoretical Tax and Social Security U.S. Levels ©2004 Prentice Hall

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Labor Relations Labor relations in a host nation regularly reflects laws, culture, social structure, and monetary conditions Union participation might be high ©2004 Prentice Hall

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These striking South Korean specialists are picketing government workplaces in Seoul ©2004 Prentice Hall