Global HRM
Different set of challenges Deployment of right people to right place Spreading knowledge globally Identifying talent National Cultures Economic systems (Capitalism redefined) Legal and Labor Relations
Personnel Selection Interviews Technical skills and knowledge Job experience Different factors –Mexico “who do you know” –China - How well do you test
Pay Incentive pay important in China Incentive pay less important in USA
HRM Effectiveness Communicate Dedicate enough resources Network Focus on end result not how you get there
View of Global Operations Ethnocentric –Duplicate home country practices Polycentric –Indigenous staff off shore. Home country staff at HQ Geocentric –Find the best and put them where they can have the greatest impact
Staffing Expatriates –Live in one country work in another for a short period of time Offshoring
Why Expatriates Fail Personality Family pressure Selection Lack of close friends Screen, screen, screen
Compensation Equalize earning power Foreign service premium Hardship premium Education allowance Housing allowance Tax help (some countries tax rate up to 70% if high income individual.)
Other Challenges Union relationships Terrorism Kidnapping Repatriation