Managing Global Human Resources

The environment in which business competes is rapidly becoming globalized. More and more companies are entering international markets by exporting their products overseas, building plants in other countries, and entering into alliances with foreign companies. Global competition is driving changes in organizations throughout the world. Companies are attempting to gain a competitive advantage, which can be provided by international expansion. Deciding whether to enter foreign markets and whether to develop plants or other facilities in other countries is no simple matter and many human resource issues surface. (Noe, Hollenbeck, Gerhart, and Wright; 534)

Doing business globally requires that adaptations be made to reflect cultural and other factors that differ from country to country and from continent to continent. The nature and stability of political systems vary in character and stability, with contracts suddenly becoming unenforceable because of internal political factors. Human resource regulations and laws vary among countries in character and detail. In many countries in Western Europe, laws on labor unions and employment make it difficult to reduce the number of workers because required payments to ex-employees can be very high. Equal employment legislation exists to varying degrees. In some countries, laws address issues such as employment discrimination and sexual harassment.

Cultural forces represent another important concern affecting international human resource management. Culture is composed of the societal forces affecting the values, beliefs, and actions of a distinct group of people. (Mathis & Jackson, 171) Cultural differences certainly exist between nations, but also between countries. Getting individuals from different ethic or tribal backgrounds to work together may be very difficult in some parts of the world. Culture is important to human resources for two reasons. It determines the other factors ? political-legal, economic, and education-human capital factors. Culture affects human capital, because if education is greatly valued by culture, then members of the community try to increase their human capital. (Noe, Hollenbeck, Gerhart, and Wright; 537) Economic conditions vary also from country to country. Many lesser-developed nations are receptive to foreign investment in order to create jobs for their growing populations. In man...

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...en employers deal with the union they are dealing indirectly with the government. There is a greater tendency in Europe for salaried employees to be unionized.

The global expansion of IHRIM is in direct support of IHRIM?s mission statement:

?To be, internationally, the leading association enabling customers to achieve strategic objective through the integration of information technology and human resource management.? (IHRIN, 05-29-2000)

Works Cited

Cherrington, David J., Laura Zaugg Middleton. An Introduction To Global Business Issues. http://www.elibrary.com

HR Magazine. 06-01-1995

Internet available:

http://www.ihrin.org/affiliates/index.cfm

Mathis, Robert L., John H. Jackson. Human Resource Management. Essential Perspectives. 1st edition. South-Western College Publishing. Cincinnati, 1999.

Noe, Raymond A., John R. Hollenbeck, Barry Gerhart, and Patrick M. Wright. Human Resource Management. Gaining A Competitive Advantage. 3rd edition. Irwin McGraw-Hull. Boston, 2000.

Sherman, Arthur, George Bohlander, and Scott Snell. Managing Human Resources. 11th edition. South-Western College Publishing. Cincinnati, 1998.