Human Resource Management has become a major concern in most companies as it affects the performance and thus, the competitive advantages of organizations. Nowadays, the competition is getting stronger and stronger, especially at the international level. The integration of HRM into the international strategy of companies is necessary to ensure the international expansion of organizations. HRM in global companies has a strategic importance and the consequences of any change involved in the globalization process require a strategic and scientific approach of Human Resources for all functional levels (Ramangalahy and Joyal, 1993), and a competences development. Internationalization is a phenomenon which has been growing for the 20 last years and which affects all the actors of the international economy. Today, the international aspect is necessary for most companies to survive.
[...] The challenges of International Human Resources Management in the future With globalization, companies are getting more and more organized on an global plan. They have to face intercultural issues among their employees and according to the sites, countries and actors. The management of expatriates, the different ways to develop and reward the risk taking, the cultural conflicts within teams or through hierarchy are some new issues that appear with the growth of merger and acquisitions or any major organizational change in a company which is developing abroad. [...]
[...] From this framework, we can analyze the cultural differences within the organization and then to adapt the management style. For instance, communication in individualistic culture is more explicit and verbal whereas it is more indirect in collectivistic cultures. Also, attitudes toward hierarchy and authority will differ according to the power distance dimension. Finally, decision making are affected because the analysis process may be very different from a culture ton another. So, managers will have to consider all dimensions in their methods. [...]
[...] The costs of sending expatriates are also a key factor in this choice. All this must be done according to the current phase of internationalization of the company: domestic, international, multinational and global (Adler & Ghadar, 1990). The mission can be defined as “getting the right people into the right place at the right times”. The final goal is to avoid intercultural conflicting pressures and to effectively develop the global strategy of the company. In our IBM example, the global company chose to set up a call centre in UK in 1999 serving 92,000 employees and managers. [...]
APA Style referenceFor your bibliography
Online readingwith our online reader
Content validatedby our reading committee