International Human Resource Management (IHRM)

• Human Resource Management (HRM) involves hiring, developing, and managing employees for organizational effectiveness.
• HRM originated around 1900, addressing technology changes, organizational growth, unionization, and government intervention.
• By the 1920s, HRM focused on resolving employee-management conflicts.

Types of International Organizations

• International Corporations are domestic firms expanding overseas using existing capabilities, exemplified by Honda, Procter & Gamble.
• Multinational Corporations have subsidiaries operating as independent units in foreign countries, such as Shell and Xerox.
• Global Corporations maintain control over worldwide operations, treating the world as a single market, like Panasonic.
• Transnational Corporations integrate independent country operations through a networked structure, combining local responsiveness with global efficiency, as seen in Ford.

International HRM (IHRM)

• IHRM involves managing people in international settings.
• It includes employees of multiple nationalities and addresses broader HR activities than domestic HRM.
• IHRM faces greater exposure to political, legal, and cultural risks and involves managing government regulations in foreign countries.

Domestic HRM

• Activities are narrow
• A single nationality work force
• Limited to work-related issues for manager's roles
• Minimal Risks
• Limited external factors

International HRM (IHRM)

• Activities are borad
• Multi-national workforce.
• Manager's role extends to personal and cultural aspects
• Higher risks due to international factors
• Extensive external factors, such as foreign government regulations

International Staffing

• Selecting employees for international operations based on sources is involved.
• Parent Country Nationals (PCN) are employees from the company's home country.
• Host Country Nationals (HCN) are local employees in the host country.
• Third Country Nationals (TCN) are employees from a different country other than the home or host nation.

Pre-departure Training for International Assignments

• Preparing employees for roles in foreign countries and facilitating cultural and personal adaptation.
• Includes language training, cultural training, and family support programs.

Repatriation

• A process of bringing employees home after completed international assignment
• Organizations can create knowledge and develop global leadership skills.
• Guarantee candidates gave cross-cultural skills to match their tech abilities and prepare people to transition back to their home offices.

Performance Management in International Assignments

• A combination of factors, including compensation package and task assigned.
• Considers headquarter's support, environment, and cultural adjustment.

HR Functions

• Hiring
• Talent development
• Compensation
• Safety
• Labor relations

Hiring Process

• Job valuation establishes fair compensation and ranks job roles objectively.

Job Analysis

• Job Tasks are studied using methods like observation and surveys.

Job Description

• Includes job title, summary of the role, responsibilities, experience and qualifications, skills, reporting structure, and employment conditions.

Job Evaluation

Use methods like ranking or point systems to assign job value.

Skills

• Technical skills
• Scope of management
• Interpersonal relationships

Problem Solving

• Freedom of thinking
• Problem requirements

Accountability

• Freedom of action

• Influence type

• Field of action

• Job valuation profile is calculated by subtracting the value of the scope of responsibility from the value of problem-solving and is expressed in Hay steps, every 15%.

• The Hay method measures jobs by assessing knowledge needed, problem-solving/thinking required, and accountability.

• The profile can be positive or negative, indicating measurable vs. difficult-to-measure results.

Benefits of Position Clarification

• Clarification of expectations, enhancing clear responsibilities.
• Social climate building enhances communication.
• HR policy foundation of recruitment, training, and career development.
• Functional efficiency, aligning positions with goals.
• Strategy monitoring.
• Market-based remuneration systems ensure fair and competitive salary structures.

Recruitment Process

• Includes candidate verification, recruitment meetings, candidate selection with determination of conditions, acceptance of terms, and presenting a job offer.

Job Advertisement

• Includes job title, start date, description of the role, requirements and qualifications, salary and benefits, recruitment process, and company mission.

Hiring Manager Responsibilities

• Determining reporting, obtaining approval to begin recruitment, creating job descriptions.
• Participating in interviews, evaluating candidates, and building relationships from offer acceptance to the job's start.

Recruitment Techniques

• Behavioral interviews predict future behavior based on past actions.
• S- situation
• T- task
• A- action
• R- result

Candidate experience

• Overall perception of the organization during the recruitment process.
• Important aspects are a simple application process, a nice atmosphere, timely communication, feedback, and well-conducted onboarding.

Net Promoter Score (NPS)

• Measures customer retention of brand loyalty
• Asked, would you recommend applying to this company to a friend.
• Uses scaling from 0 (not recommend) to 10 recommend.
• Ratings will be grouped in 3 groups : critics (0-6) neutral (7-8) and promoters (9-10)
• The value oscillating between -100% and 100% with good being >0 and excellent score being >50

Performance Appraisal

• Provide feedback on how well the employee does their job
• Improves future performance
• Determines compensation and plans for staffing
• Set new goals and improves communication

Performance Appraisal Process

• Define performance standards using KPIs Communicate those standards clearly (SMART goals)
• Measure performance regularly
• Compare performance to standards and goals
• Rank/reconcile assessed performance by e.g. providing bonuses and incentives
• Discuss outcomes and develop action plans

SMART goals

• S → Specific: clearly defined goals = what are you trying to achieve?
• M→ Measurable: track progress = how will you know when you've achieved it?
• A→ Achievable: set realistic targets based on resources = is it possible to achieve it?
• R→ Relevant: align goals with company objectives = does it contribute to your agency's revenue growth?
• T → Timed: assign deadlines for the goal = when do you want to achieve this by?

Generations

• Silent Generation (1928–1945): loyal, disciplined, risk-averse with long-term loyalty and a strong work ethic.
• Baby Boomers (1946-1964): experience, hardworking, diligent, prefer recognition and stability.
• Generation X (1965-1980): independent, adaptable, loyal, demanding with work-life balance and family holidays
• Millennials (Gen Y) (1981-1996): confident, open-minded, tolerant, seek advice on SM, value independence, take short holidays
• Generation Z (1997–2012): digital natives, environmentally conscious, tolerant, open-minded, value automation, holidays 3-4x a year Generation Alpha (2010-2024): tech-savvy, innovation focus, intuitive