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LectureTwoEnvironmentofHRM HowdoestheenvironmentaffectHRM Issues Whatisthedevelopmentofinternationalbusiness WhatistheimpactoftheenvironmentonHRMWhatistheinfluencesoflegalenvironmentuponHRM WhatorganizationalfactorsaffectHRactivities WhatareglobalHRMstrategies TheInternationalBusinessandHRM I DevelopmentofInternationalBusiness Stages ForeignTradeSalesSubsidiaryInternationalDivisionMultinationalEnterprise MNE GlobalizationAlliances Partnerships andConsortia II EnvironmentalFactorsAffectingHRM ExternalEnvironment thelaborforcelegalconsiderationssocietyunionshareholders competitioncustomerstechnologytheeconomy EnvironmentalFactorsAffectingHRM NAFTA EU APEC9 11TerroristAttackSARSRecentBirdFluMarketEconomicSystemGlobalVillageLaborMigrationLivingStandardsandPovertyEnvironmentProtection EnvironmentalFactorsAffectingHRM Technology SupersonicAirplane Sony sWirelessboard InformationTechnology Telegram Telex Fax InternetBiotech bioinformaticsEnergyTechnology ElectricCar EnvironmentalFactorsAffectingHRM KnowledgeEconomyvsTraditionalEconomy knowledgeandInnovationCompetitionforSource Market andTimeCorporateStrategy Cost DifferentiationVirtualOrganizationCapitalvs HumanCapitalTrainingandCareerDevelopment CompetitiononStandards SuperfirmssellStandardsFirstclassfirmssellBrandSecondclassfirmssellTechnologyThirdclasssellProductsFourthclassfirmsselllabor EnvironmentalFactorsAffectingHRM InternalEnvironment operationsmarketingfinanceR DAccounting ExternalAnalysisOpportunitiesThreats InternalAnalysisStrengthsWeakness StrategicChoice Mission Goals LegalEnvironment TypesofDiscrimination AgeDiscriminationReligiousDiscriminationRacialDiscriminationSexualDiscriminationSexualHarassment III TheOrganizationalContext thePathtoglobalStatus ExportdepartmentSalesSubsidiaryInternationalDivisionGlobalProductDivisionGlobalAreaDivisiontheMatrixBeyondtheMatrixU S European andJapaneseStructuralChangesControlMechanismsintheNetworkedMNCLinkingOperationModeandHRMDeterminantsofIHRMApproachesandActivities ManagingtheDiverseWorkforce IV ManagingtheDiverseWorkforce agefunctionalspecialtyprofessionsexualorientationgeographicoriginlifestyletenurewithorganizationorposition ComponentsandCharacteristicsofCulture DefinitionawayoflifesharedbymembersofsomesocialgroupOldermembersofthegrouppasstoyoungeronesshapesbehaviorandstructuresperceptionoftheworld Culture ComponentsandCharacteristicsofCulture Thinking ideas values beliefs myths andfolkloreDoing norms laws status customs regulations ceremonies fashions andetiquetteLiving materials food clothing naturalresources tools etc VI FactorsInfluencingtheCulturalEnvironment religioneducationeconomicspoliticsfamilyclassstructurelanguagehistorynaturalresources geography Thereligionplaysanimportantroleinthedifferenceofculture VII LevelsofCulture CorporatecultureEthniccultureRegionalcultureNationalcultureGlobalculture VIII DiversityintheWorkplace Theissueofdiversityisonerealityofbeinggloballycompetitive Thechallengeofmanagersinthecomingdecadeswillbetorecognizethatpeoplewithcommon butdifferencecharacteristicsfromthemainstream oftenthinkdifferently actdifferently learndifferently andcommunicatedifferently Becauseeveryperson culture andbusinesssituationisunique therearenosimplerulesformanagingdiversity DiversityintheWorkplace Weshouldallneedtodeveloppatience open mindedness acceptance andculturalawareness Onlysuchmeasurescanproductivitybemaximized DiversityintheWorkplace singleparentandworkingmotherdual careercouplesworkersofcolorolderworkerspeoplewithdisabilitiesimmigrantsyoungpersonswithlimitededucationorskilleducationallevelofemployees IX OrganizationalFactorsaffectHRActivities StageofinternationalizationModeofoperationusedinthevariousforeignmarketsMethodofcontrolandcoordinationStrategicimportanceoftheoverseasoperationstototalcorporateprofitability ProductStrategy TypesofInformation OrganizationalStructure RewardSystems Selection Training andDevelopmentofPeople TaskDesign Performance DimensionofHRMPractices ManagingTheHumanResourceEnvironment AcquiringandPreparingHumanResources AssessmentandDevelopmentofHumanResource CompensatingHumanResources Competitiveness BusinessCompetence ProfessionalandTechnicalKnowledge HRProfessional IntegrationCompetence AbilitytoManageChange X GlobalHRM GlobalHRM Theuseofglobalhumanresourcestoachieveorganizationalobjectiveswithoutregardtogeographicboundaries FivefunctionalareasassociatedwitheffectiveglobalHRM GlobalHRplanning recruitment andselectionGlobaltraininganddevelopmentGlobalcompensationandbenefitsGlobalsafetyandhealth andGlobalemployeeandlaborrelations 1 GlobalHRPlanning Recruitment andSelection AGlobalorganizationmusthavequalifiedindividualsinspecificjobsatspecificplacesandtimestoaccomplisheditsgoals ThisprocessinvolvesobtainingsuchpeoplegloballythroughHRplaning recruitment andselection Globalemployeescanbeselectedfromthreedifferentareasincludingexpatriatesfromparent countrynationals host countrynationals andthethirdcountrynationals Mercedes Benzwasabletoselectthemostqualified900employeesfromthe45 000 applicantpool 2 GlobalTrainingandDevelopment Globaltraininganddevelopmentisneededbecausepeople jobs andorganizationsareoftenquitedifferentgloballyfromthewaytheyaredomestically Thetraininganddevelopmentprocessshouldstartassoonastheworkforceisselected evenbeforebeginningglobaloperationsifpossible Mercedes BenzintheStatessent165earlyhirestoGermanyfortheirtraining Afterreceivingtheirtraining theseindividuals alongwith70Germans conductedemployeetrainingintheStates Large scaletraininganddevelopmentprogramsareessentialformostglobalrelocations 3 GlobalCompensationandBenefits Themainreasonthatorganizationsrelocatetootherareasoftheworldisprobablythehighwagepressuresthatthreatentheirabilitytocompeteonaglobalbasis WagepressuresandunioninflexibilityinGermanyweretheprimaryreason Mercedes Benzwentglobaltoavoidpaying 30anhourinGermany Mercedes Benzpaid 13 18anhourinAlabama Compensationlevelsareusuallymuchlowerglobally Variousinlaws livingcosts taxpolicies andotherfactorsallmustbeconsideredwhenacompanyisestablishedglobalcompensationpackages 4 GlobalSafetyandHealth Safetyandhealthlawsandregulationsvarygreatlyfromcountrytocountry Workplacesafetyvariessignificantlyamongdifferentcountries Healthcarefacilitiesacrosstheglobeshowwidediversityintheirstateofmodernization Firmsnotonlyconsidersafetyandhealthplans butalsohavedisasterplansforevacuatingexpatriatesifnaturaldisasters civilconflicts orwarsoccur 5 GlobalEmployeeandLaborRelations Therateofunionism U S 14 5 Sweden 96 U K 50 Germany 43 Canada 36 andJapan France 28 AlthoughtheratesappearimpressivecomparedwiththeStates unionsinthesescountriesaregenerallylessadversarialwithmanagementandlessfocusedonwagegains globalizationisamajorthreattowagegainsworldwide 6 GlobalEmployeeandLaborRelations Humanresourcepoliciesandpracticesmustbegearedtodealwiththeglobaldifferencesincollectivebargaining Thestrengthandnatureofunionsdifferfromcountrytocountry Somecountries likeGermany evenrequirefirmstohaveunionorworkerrepresentativesontheirboardsofdirectors ThispracticeisverycommoninEuropeancountries 7 EqualEmploymentOpportunityintheUnitedStatesandLaborLawinChina TheU S CivilRightsAct 1964 Anemployercannotdiscriminateonthebasisofrace color religion sex ornationoriginwithre
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