It is for Europe that this comment is applicable to. It can be said that the emphasis is more on this particular country than on any other nation. Even if the Europeans fight for thousands of years, their common heritage has become wide spread in the form of Christianity in every nationality. It has been more than 150 years when the fights between Europeans and North Americans have come to a conclusion. This was because of their sharing of religious aspect as well as language. Again there has been a higher chance of misunderstanding between North America and Europe. Still they share and practice westernisation concept.
However, you will find a huge differential factor when you move to countries like South East Asia, China, India, or any Arab countries. These are few of the sections that HRM has to deal with when working on an international level.
If you take a closer look, you will find that by the end of 20th century there had been an arising concern in the form of hike in multinational companies. This was because the local companies did not get the full advantage in the global market. So this did affect the employment sector and the engagement of workers on a disproportionate level.
With the ills that are generated in the general economy and in this developing world, one of the dirtiest words in this context is globalisation. Even though it is a known factor, the implications of the human resource have to be seen by HRM. Whenever there has been an international moved or any strategic initiative, there has been a dimension given by HRM. The sole reason for this is opportunities and implications aren’t obvious immediately.
On considering about international HRM, it can be described as a combination of HR role that has been expanded with time and a specific decentralisation type. Decentralization degree sees a hike because a company’s international activities increase. However, you cannot consider the same for internationalisation. Internationalization is a complicated operations category of decentralisation which includes sections like:
- Management styles
- Legislative frameworks
- Political systems
- Economic system
But then again, you will not find these on consideration of diversification and organisational growth.
When these situations arise, the logical aspect of HRM states it to follow on the basis of operational, marketing, and financial decisions. Where HR is considered as last centralising force, the actual operation is completely different from different patterns. So they have to perform their job with control, consistency, order and equity. In most cases related to internal labour market on a corporate level, the operations get relinquished by personnel functions.
It is imperative to understand that for subsidiary empowerment, the requirement of decentralisation is a must have factor. This in the corporate family creates multiple autonomous units in place of creating overseas subsidiaries within a parent organisation. Negotiable features, in this case,are industrial relations and recruitment where centrally driving and coordinated policies are required.
HR role expansion can be achieved via integration. This is to acquire all the useful coordination so that a business remains complete. ‘Corporate glue’ is a term given to the added features like advanced remuneration schemes for emigrant employees or inclusion of latest features. Even if selection and recruitment procedure is decentralised, these additions can come as a huge help to international managers belonging from elite corps.