International Human Resource Management Essay Example | Topics and Well Written Essays - 3000 words

International Human Resource Management - Essay casefulIn order to delve further, it is important to establish IHRM and its functions in todays multi-national companies (MNCs)....the International shaping will be called on to operate across a wide variety of competitive environments and further somehow balance these diverse social, political and economic contexts with the requirements of the original home context. (Dowling et al, 2008, pg25)IHRM is a relatively late(a) addition to the field of human resources, developed mainly because of the rapid pace at which businesses are getting internationalized as a result of sphericalization (Scullion, 2001). Even though IHRMs operations are found on the same four parameters of domestic HRM mentioned above, it is much more complex as it deals with sensitive cross-cultural issues and calls for proper education of the local behaviour in terms of culture, values, business practices, and employment laws of the host state of a subsidiary of an MNC (Torbiorn, 1997). Hence IHRM can be defined as, the HRM issues and problems arising from the internationalization of business, and the HRM strategies, policies and practices which firms pursue in answer to the internationalization of business (Scullion, 1995 cited in Scullion and Linehan, 2005, pg4).The four parameters of HRM are then extended into three main issues for IHRM, namely, the perplexity and development of expatriates the internationalisation of management throughout the organisation and, creating a new corporate culture that would chew over on internationalising the whole organisation, by focusing on increasing the international experience of staff, to be commensurate to effectively counter the frequency of cross-cultural interactions as a result of investing abroad (Hendry, 1994). As a result, IHRM covers a much wider spectrum of worldwide management of people (Dowling et al, 1999, 2008), and is concerned with how MNCs manage their geographically dispersed w orkforce by being able to dispose their resources to obtain and maintain local and global competitive advantage (Schuler et al, 2002, single quotes mine).