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International Human Resource Management and Labor RelationsLearning ObjectivesArticulate the strategic role of human resource management in the international business.Discuss the pros and cons of different approaches to staffing policy in the international business.Explain why managers may fail to thrive in foreign postings.Articulate how management development and training programs can increase the value of human capital in the international business firm.Explain how and why performance appraisal systems&compensation systems might vary across nations.Training for the WorldWhen an international business opens a new facility in a foreign country,one of its most important tasks is staffing that new facility with managers and operating employees.当一个国际企业在外国开设一个新项目时,最重要的任务之一是给新项目配备经理和员工。To do this,the firm must decide how many employees it needs for the new facility,what skills they must have,where they will be hired,how much they will be paid,and many other issues.The Nature of International Human Resource ManagementHuman resource management(HRM)is the set of activities directed at attracting,developing,and maintaining the effective workforce necessary to achieve a firms objectives.一系列针对吸引、发展和保持工作效率达到企业目标所必需的活动。The Nature of International Human Resource ManagementDetermining the firms human resource strategy 制定公司人力资源战略Staffing 人员配备Performance evaluation 业绩评估Management development 管理发展Compensation 报酬Labor relations 劳工关系The Nature of International Human Resource ManagementDifferences in cultures,levels of economic development,and legal systems among the countries in which a firm operates may force it to customize its hiring,firing,training,and compensation programs on the country-by-country basis.Eg.Compensation practices may vary from country to country,depending on prevailing management customsLabor laws may prohibit union organization in one country and mandate it in another.ExampleProhibitions against gender discrimination in U.S.equal employment opportunity laws conflict with Saudi Arabian custom and law regarding the role of women.Such conflicts cause problems for U.S.MNCs that want to ensure their female executives receive overseas assignments equivalent to those given to their male colleagues.HRM function must deal with a host of issues:How to staff key management posts in the companyHow to develop managers so they are familiar with the nuances of doing business in different countriesHow to compensate people in different nationsHow to evaluate the performance of managers based in different countriesDeal with a host of issues related to expatriate managers.Expatriate managersExpatriate managers is a citizen of one country who is working abroad in one of the firms subsidiaries.指在本国以外的子公司工作的经理人员It must decide when to use expatriates,determine whom to send on expatriate postings,be clear about why they are doing it,compensate appropriately,and make sure that they are adequately debriefed and reoriented once they return home.何时需要外派经理及人选,清楚告知选择的原因,向外派经理支付合理的薪酬,确保给外派经理的咨询和其归国后的具体安排以充分的答复Strategic Significance of HRMThe basic elements of the international HRM process are shown in Figure 15.1,which provides the framework around which this chapter is organized.International Management Staffing NeedsInternational HR managers can be divided into two broad categories.Recruiting,training,and retaining managerial and executive employees.Recruiting,training,and retaining nonmanagerial employees,such as bule-collar production workers and white-collar office staff.Scope of InternationalizationWe begin by focusing on recruiting,training,and retaining managers.The size of this task depends on the scope of the firms international involvement.Export department:A firms initial foray into international business usually involves small-scale exporting using output from existing domestic production facilities.出口部门:一个企业进入国际市场的最初运作,通常是小规模出口国内现有生产设备生产的产品。Scope of InternationalizationInternational division:As its international operations grow in importance,a firm often creates a separate international division to administer all of its international activities.国际部门:随着国际运营重要性的增加,企业通常设立一个单独的国际部门来管理其所有的国际业务。Scope of InternationalizationGlobal organization:A firm further along in the internationalization process often adopts a global organization formTo operate successfully,a global firm needs a team of managers that collectively possess expertise in and knowledge of the following:The firms product lineThe functional skills(accounting,logistics,marketing,manufacturing management,and so on)necessary to ensure global competitivenessThe individual country markets in which the firm dose businessThe firms global strategyStaffing PolicyIt is concerned with the selection of employees for particular jobs,it can be a tool for developing and promoting the desired corporate culture of the firm.为特定的工作岗位选择员工,也是发展和促进企业文化的手段Corporate culture is the organizations norms and corporate culture of the firm.Eg.GMTypes of staffing policyThe ethnocentric staffing policy 一国为中心的人员配备政策(以民族为中心)The polycentric approach 多国为中心The geocentric approach 全球为中心The ethnocentric staffing policyIt is one in which parent-country national fill all key management positions.Parent country nationals(PCNs)are residents of the international businesss home country.母国居民指国际企业母国的居民。Eg.P&G,Philips,Matsushita,Toyota,SamsungReasons for pursuing ethnocentricThe firm may believe the host country lacks qualified individuals to fill senior management positions.缺乏合格的高层管理人员The firm may see an ethnocentric staffing policy as the best way to maintain a unified corporate culture.维系统一的公司文化的最佳方法It may believe that the best way to accomplish this goal is transfer parent-country nationals who have knowledge of hat competency to the foreign operation.当公司实施国际战略,力图通过向国外子公司转移核心能力创造价值时,会认为最好的途径是将那些具有相关知识能力的母国员工转移到国外子公司。Benefits of PCNsUse of PCNs in an MNCs foreign operations provides many advantages to the firm because PCNs typically share a common culture and educational background with corporate headquarters.Disadvantages of PCNsPCNs typically lack knowledge of the host countrys laws,culture,economic conditions,social structure,and political processes.PCNs are often expensive to relocate and maintain in the host country.Many host countries restrict the number of foreign employees who can be transferred.The ethnocentric staffing policyIt requires host-country nationals to be recruited to manage subsidiaries,while parent-country nationals occupy key positions at corporate headquarters.要求在母国人员占据了公司总部的关键职位的同时,子公司管理层由东道国人员担任。Host country nationals(HCNs)are residents of the host country.HCNs are commonly used by international businesses to fill middle-level jobs,but they also often appear in managerial and professional positions.HCNsEg.Experienced MNCs such as IBM often hire HCNs instead of transferring home country employees to work in professional positions in the firms foreign operations.Eg.Many smaller firms setting up operations abroad hire HCNs as the firms do not have enough managerial talent at home to send someone on a foreign assignment.Advantages of HCNsHCNs already understand the local laws,culture,and economic conditions.The firm avoids the expenses associated with expatriate managers,such as relocation costs,supplemental wages paid for foreign service,and private schooling for children.Disadvantages of HCNsHost-country nationals have limited opportunities to gain experience outside their own country and thus cannot progress beyond senior positions in their own subsidiary.缺乏本土以外的经验,因而难以在本国子公司的高级职位谋得发展The gap that can form between host-country managers and parent-country managers(language barriers,national loyalties etc.)Geocentric staffing policyIt seeks the best people for key jobs throughout the organization,regardless of nationality.Eg.LenovoAn international firm may hire third-country nationals(TCNs),who are not citizens of the firms home country or of the host country.TCNs are most likely to be used in upper-level and or technical positions.TCNs and PCNs collectively are known as expatriates,or people working and residing in countries other than their native country.Some firms rely on the ethnocentric staffing model,whereby they primarily use PCNs to staff high-level foreign positions.(种族中心主义的职位安置模式母国居民担任高级外国职位)exampleFirms such as Nestle and Philips rely heavily on TCNs because they believe those managers bring broader perspectives and experiences to the firms host country operations.Other international firms follows a polycentric staffing model;that is,they emphasize the use of HCNs in the belief that HCNs know the local market best.(中心主义的职位安置模式-强调东道国居民的使用,认为东道国居民最了解当地市场,最后以全球为中心的职位安置模式使母国和东道国居民和第三国居民置于相同地位)ExamplesEuropean MNCs are more likely than U.S.or Japanese MNCs to adopt the geocentric approach.This is encouraged by the European Union to improve the mobility of workers and managers throughout its member countries.Japanese firms favor the ethnocentric staffing model,partly because their consensus-oriented approach to decision making is facilitated by employing Japanese managers in key roles in the firms foreign subsidiaries.人员配备政策 战略适应性 优势劣势以一国为中心国际战略克服东道国缺少称职的管理者的不足统一的文化有助于转移核心竞争力在东道国产生不满导致文化短视以多国为中心本土化战略避免文化短视实施成本低限制职业流动性隔离总部与国外子公司以全球为中心全球标准化战略和跨国战略有效利用人力资源有助于建立浓厚的企业文化和非正式的管理网络国家移民政策可能会限制实施成本高Expatriate managersThe ethnocentric and geocentricrely on extensive use of expatriate managers.Expatriates are citizens of one country who are working in another country.Inpatriates is used to identify a subset of expatriates who are citizens of a foreign country working in the home country of their multinational employer.指外国公民受跨国公司的聘用到母国工作Expatriate failure 外派失败:the premature return of an expatriate manager to his or her home countryExpatriate failure ratesPremature return from a foreign posting and high resignation ratesRecall Rate PercentPercent of CompaniesU.S.multinationals20-40%10-20107%6924European multinationals11-15%6-1053%3859Japanese multinationals11-19%6-10514%1076For U.S.multinationals,the reasons,in order of importance,were:Inability of spouse to adjustManagers inability to adjustOther family problemsManagers personal or emotional maturity Inability to cope with larger overseas responsibilitiesFor Japanese multinationals,the reasonsInability to cope with larger overseas responsibilitiesDifficulties with new environmentPersonal or emotional problemsLack of technical competenceInability of spouse to adjustRecruitment and SelectionAs shown in Figure 15.2,these skills and abilities fall into two general categories:those needed to do the job and those needed to work in a foreign location.Recruitment of ManagersRecruitment of Experienced Managers For high-level positions firms often rely on so-called headhunters to help them locate prospective candidates.Recruitment of Younger ManagersRecruitment of Younger ManagersIt is uncommon for large MNCs to hire new college graduates for immediate foreign assignments.Some firms,however,will hire new graduates they ultimately intend to send abroad.Particularly attractive are graduates with foreign-language skills,international travel experience,and a major in international business or a related field.(Coca-cola)Selection of ManagersThe most promising candidates share the following characteristics:Managerial competence(technical and leadership skills,knowledge of the corporate culture)Appropriate training(formal education,knowledge of the host market and its culture and language)Adaptability to new situations(ability to deal simultaneously with adjusting to a new work and job environment,adjusting to working with HCNs,and adjusting to a new national culture)Training and DevelopmentTraining is instruction directed at enhancing specific job-related skills and abilities.(提高与工作相关的技术和能力的指导)Development is general education for concerned with preparing managers for new assignments and/or high-level positions.(为新任务准备管理者和高级职位的一般教育)Training for expatriate managersCultural trainingLanguage trainingPractical trainingRepatriation of expatriates 外派人员归国Assessing Training NeedsBefore a firm can undertake a meaningful training or development program,it must assess its exact training and development needs.(eg.Spanish)Firms that underestimate training needs can encounter serious difficulties;lack of knowledge about foreign customers and markets is a major barrier to successful entry into such markets.Cross-cultural Training Lack of understanding of foreign customers and markets 38%Regulations 24%Lack of international talent 19%Lack of foreign partners 15%Lack of information 15%Language 12%Economic instability 12%Assessing Training NeedsBasic Training Methods and Procedures(CDs,training department,lectured,assigned readings,multimedia technologies,role-playing.)Developing Younger International ManagersEg.GE provides language and cross-cultural training to its professional staff even though they may no be scheduled for overseas postings.such training is important as these employees,even if they never leave their home countries,are likely to work with GE employees form other countries and to deal with visiting executives from GEs foreign partners,suppliers,and customers.Such training also helps the employees gain a better understanding of the international markets.Performance Appraisal and CompensationPerformance appraisal is the process of assessing how effectively people are performing their job.Eg.In assessing a managers actual performance,the firm may consider sales,profit margin,market share growth,or any other measures.Determining Compensation in International BusinessTo remain competitive,firms must provide prevailing compensation packages for their managers in a given market.These packages include salary,nonsalary items and supply and demand of managerial talent,occupational status,professional licensing requirements,standards of living,government regulations,tax codes etc.ExamplesIn Germany employers customarily reimburse their executives for car expenses.In Japan the executive may actually get a car plus expenses.Japanese executives also receive generous entertainment allowances and an allowance for business gifts.Similarly,British companies typically provide company cars to managers.In the United States firms offer managers health care benefits because such benefits are free from income taxes.Compensating Expatriate ManagersWhen managers are on short-term assignments abroad,their home country salaries normally continue unchanged.(Of course,the managers are reimbursed for short-term living expenses such as for hotel rooms,meals,and transportation)Compensating Expatriate ManagersIf foreign assignments are indefinite or longer term,compensation is routinely adjusted to allow the managers to maintain their home country standard of living.The adjustment is particularly important if a manager is transferred from a low-cost location to a high-cost location or from a country with a high standard of living to one with a lower standard of living.Compensating Expatriate Manag
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