International Human Resource Management - Fall 2024 PDF

INTERNATIONAL HUMAN RESOURCE MANAGEMENT Dr. Gouri Mohan Fall 2024 [email protected] Dr. Gouri Mohan Assistant Professor People and Organizations Department, IESEG  International HRM = Organizational Behaviour + Cross- cultural Management  Leadership &...

INTERNATIONAL HUMAN RESOURCE MANAGEMENT Dr. Gouri Mohan Fall 2024 [email protected] Dr. Gouri Mohan Assistant Professor People and Organizations Department, IESEG  International HRM = Organizational Behaviour + Cross- cultural Management  Leadership & Culture Research Leadership and Gender Multinational Teams Social Networks Teaching Leadership HRM Research Methods https://www.gourimohan.com/ [email protected] What are my values, based on my story ? Ground rules in the classroom Participation o Discipline o No social media while class is in session. o No cross-talk. o No non-class related assignments/emails/prep work. o No Laptops while class is in session o Except for wooclap and ieseg-online o No Late coming o Also applies for after breaks Would you like to add something ? International HRM Cross-cultural psychology International HRM Business  9 sessions covering the following HRM topics : 1. Introduction to IHRM 2. Cross-cultural management and global work 3. Organizational design 4. HR Planning & Staffing 5. Recruitment and Selection COURSE 6. International Performance Management 7. Compensation Overview 8. Training and (Career) Development 9. Concluding session Each session will have two broad topics: The basics of an HRM practice The HRM practice in an international context Course Details  Course Evaluation Criteria Assessment Weight Deadline Individual written paper 40% One week after the end of classes Group Project 30% Presentation in session+ report Participation during the course 20% Assessed by the professor Peer-assessment about effort in the 10% To be done at the end of the course group project Total 100%  Exam will be based on content covered in class and its Final application. Pen and paper. Exam Guidelines and grading criteria will be shared in Session 8. Total weightage – 40%. What is Human Resources Management ? What do HR Managers do? Make a list of keywords Basics of HRM Human Resource Management The policies, practices, and systems that influence employees’ behavior, attitudes and performance HR Roles Strategic partner Generalist HR HR Specialists Contributing to Developing and group of subfunctions company strategy executing HR systems within HR through understanding to support strategy that use best practices how HR practices can implementation to develop and support give a company a critical capabilities that competitive edge. align with the organizational priorities Elements of HRM Organizational Recruitment & Performance Design Selection Management Training & Compensation Development Management  International Human Resource Management Why International HRM? Cultural differences can also have important consequences for organizations  3 cultural “idiosyncrasies” that contributed to Wal- Mart’s failure in Germany Chanting! Walmart employees start their day with stretching and chanting exercises meant to instill loyalty and build morale. Germans may have found this too silly/ aggressive/ regimented Employees are meant to smile at customers at checkout German culture does not welcome smiling at total strangers Ethics code: Employees are meant to spy on each other and report any misconduct but cannot have intimate relationships with each other German court struck down this ethics code in 2005. Structure of Multinational/Global Companies Third Sources of labour, countries finance, and other inputs Parent-, host- or third-country national is defined based on : 1. Employees’ nationality 2. Location of headquarters/subsidiaries Example!  Parent CN : Employee with US nationality (regardless of where he/she works) US Headquarters PCN HCN Host CN: Employee with French/ British nationality in the US UK subsidiary French TCN :Employee with Chinese subsidiary nationality in UK OR Employee with French TCN nationality in UK  HRM in multinational companies involves: HR Planning HR activities: Recruitment Training & development Parent/Home country: In a wide range of Host country: countries: Third/Other countries Parent-country nationals For different categories of Host-country nationals employees in a firm Third-country nationals Final definition IHRM is All typical HRM activities, covers… yet applied within different countries, and for both local employees and expatriates Expatriates Employees performing a job assignment outside of their own country, because of… International Hires International Assignments  CASE STUDY: Andrew Robinson goes to Taiwan Read the case and discuss questions in your group: Prepare your answers in your group HR Planning How many people are assigned to the project? How many PCN? How many HCN? How many TCN? Did they overestimate or underestimate HR requirements ? Did they have infrastructure to support expatriates? What could have been planned better ? What were the biggest limitation in HR Planning for the Taicom project? Recruitment Was Andrew a host country national/parent country national/third country national in Taiwan? What was the basis for selecting Andrew ? Why was Andrew a good fit for the assignment? Why was Andrew a bad fit for the assignment? Factors in expatriate selection Family requirements MNE Language requirements Selection decision Cross-cultural Technical suitability ability Compensation Was there a change in salary? Should there have been a hike in salary ? What compensation structure would have helped ? Why did Telequip have to lower the stipend ? What could Telequip have done better to make Andrew’s compensation more effective ? Training & Development Was Andrew given any training ? What types of training/support may have been helpful for Andrew? Did it have a positive or negative effect on Andrew’s career ? Is Andrew likely to say yes to expatriate assignments in future ? ISSUE HR PRACTICE SOLUTION? Andrew did not necessarily Recruitment & Selecting right person for international have the right prerequisites for Selection project should be carefully done this project (no language Training Training should be given to adequately knowledge; no international prepare employees for international project experience; complex private situation) Dealing with expenses through Compensation Telequip should take care of expenses private credit card instead of employees Daily stipend was reduced over Compensation Clear and transparent rules necessary for the course of the project expat compensation packages ISSUE HR PRACTICE SOLUTION? Daily stipend paid in Australian Compensation Tax information should be given in advance dollars on Australian bank and company should be aware of it account + tax issue No assistance in housing Compensation Assistance in housing should be provided and Andrew should be either given housing or a budget for it No certainty that there is a job Career Before starting the project, it should be for him when he returns development clear what the goal of the project is and what will happen when Andrew returns → prepare for repatriation No clarity on the length of the HR planning Clear plans should be made in advance on assignment beforehand the expatriate assignment, its length and its exact purpose. Why is IHRM more complex than domestic HRM? More HR activities: international taxation, international relocation and orientation, administration for expatriates, language translation, career development, HR planning, etc. A need for a broader perspective: managing HCN’s, PCN’s and TCN’s all at the same time as many of them are expatriates More involvement in employees’ personal lives: especially for expatriates Changes in emphasis as the workforce mix of expatriates and locals varies Broader external influences: local government, traditions surrounding how “business is done” More risk exposure: expatriate failure, terrorism, pandemic