PGMB136 International Human Resource Management Assignment Sample
Module code and Title: PGMB136 International Human Resource Management Assignment Sample
Introduction
Globalization is creating a lot of challenges and opportunities and that is why the performance of multinational companies needs to accept a few factors. This study suggests how important it is to motivate expatriate workers in the global business environment which can lead to competitive advantage and performance for the multinational corporation or a company. The study describes the great significance in a workplace as the competition is increasing day by day all over the world.
The study introduces the need for globalization in organizations and includes the impact of globalization on organization success in MNC. The study covers various factors in the development of the organization. The study aims to develop the business by including the effect of globalization on its success in Human resource management. The study includes the expatriation of the business while making globalization of the business. The study includes several factors in the expatriation and includes the impact on the business.
Question 2
The benefits of motivating expatriate workers in the global business environment
In the performance of any company and on individual employees, employee motivation and satisfaction have a significant influence. The term expatriate means home country nationals who are allocate from headquarters for working in overseas subsidiaries for 4-5 years.
They are considering important and special employees in MNCs; it mainly promotes localization (Oviatt et al. 2018). In a workplace, the main thing that matters is time and the next conversation is expatriate benefits. The performance of a multinational organization needs to observe both factors to lead the company very well.
Multinational corporations appoint expatriates to manage the business perfectly in an organization, expert territories that can increase the financial control and business over the local operations (Collings et al. 2019). Allocating them to a multinational company, they establish all the operational and financial targets with the stakeholders or business partners and working with them they can achieve all the aims and can monitor the performances.
Getting success in a global marketplace MNCs wants professional and experienced expatriate workers who can help the company or an organization by developing management skill. It is not only important to hire professional expatriate workers for the success of a company but it also needs to understand that the motivation of an employee is the main key to the global business success of a company (Cuervo-Cazurra et al. 2019).
In a workplace, it is important to maintain a perfect environment where a level of commitment, confidence, energy, self-boost, and drive is necessary to bring, this can only done by motivation, and it should be done every day. Without motivation, a multinational company can reduce productivity, a lower level of outcomes can come, a lack of positive attitude in employees can develop and the company will fail to reach its targets (Meyer et al. 2018).
The expatriate can be motivated in a workplace by giving some bonuses, compensation, incentives, promotions, expanded responsibility, travelling, an opportunity for on-job and off-job training, and many more. The expatriate can also be motivated by some positive emotions when they need it, also some favourable relationships are important in the global business environment.
Figure 1: The benefits of motivating expatriate workers in the global business environment (Source: Radović-Marković et al. 2019)
Role of motivating expatriate workers in a competitive advantage for MNCs
Appointing expatriate workers in a global business environment can lead the organization on the right path and perform all the functions of a company in a better way. It is important to have motivated expatriate workers in an MNCs company as they help their competencies and management skills.
The role of motivated employees in a workplace is necessary as they develop the interpersonal skill and leadership to collaborate or manage with the multicultural team in a multinational corporation (He et al. 2019). In developing a multinational company in reaching the goals of competitive advantage, it is necessary to have all the members motivated.
It is very important to observe the matter as it is a matter of the results, if the motivation of all the expatriates done perfectly, then this will increase the loyalty and faith of an employee towards the company. It will also reduce the conflict and negotiations and enhance relationships and further it will increase the employee turnover (Xiao et al. 2019).
Motivating employees in workplace managers might play an important role. In an organization, a manager should know which factors are necessary for motivating the expatriate and how they can influence the business.
According to some of the resources of multinational companies, it shows that 41.6% were employees whose motivation increased by the pay, 30% of the employees were influenced by the motivation by the company’s policy and 10% of the employees were motivated by both pay and promotion. This method of motivating the employees has a great impact on the company and the company gets a positive result in the field of business.
Poor motivation and communication might conflict with the environment of a workplace and greatly affect the organization’s success and performance might decrease (Burmeister et al. 2018). This leads to challenges in a company and the manager gets all the responsibilities they should prevent to reach the goal of the company.
The benefit of motivating expatriate workers for MNCs
The motivation in the MNC might help to maximize the profits and oversees the investment. This might attribute to economic behaviour, capital, and a decline long term profit in the business market. The motivation in the MNC organisation helps to inspire the employee for working best to achieve the desired goal of the organisation. Motivating expatriates might help to bring job satisfaction among employees while building a good relationship with the other employee and team members.
In addition, it creates a friendly environment and flexible working atmosphere which helps to work smoothly in the organisation. A motivating expatriate can build effective cooperation skill among the employee which creates stability in the organisation. Moreover, the employees can adopt the new changes and there will no resistance to new changes in the organisation (Kaur, 2021). This will help to run the organisation smoothly and increase the profit by maximising productivity.
The motivation in the organisation plays a vital role to the employee as the employees are becoming less energised for working same day by day. The motivation helps them to create more empowered and the make the team more efficient for the organisation for upcoming projects. The more efficiency in the teamwork might get the fruitful results for the organisation. In addition, motivation might create the adoption skills of new changes and new creations.
The motivation in the organisations might help to plan betters strategies to get success in the business market (Montenero and Cazorzi, 2021). There might have many people with individual thought in the organisation who might not flexible in the working palace but the motivating expertise help employee or team member to participate in every incident of the organisation.
Figure 2: Impact of motivating expatriates in the MNCs (Source: Dickmann, 2021)
The motivation in the organisation might help to create new thoughts among the employee or team members which help to take the bold decision about the organisation as well as new thoughts that might help benefit the organisation. The organisation might measure the potentiality and the efficiency of work by disclosing new thoughts to everyone in the organisation.
The motivation in the organisation can help to disclose more opportunity in the business market and gathers talent (Amoore, 2018). The team member should know the skill and knowledge of each other which might help to manage the project by the team member as the best-skilled person to manage the different aspects of the project within their own categories.
The implication of motivating expatriates in the MNCs
The organisation is run successfully for the employee who works hard to achieve success in the business market. Therefore, the employee must feel valued for their work in the organisation while going through different types of incentives with the help of motivation in the skill. The motivation in the organisations might affect the organisation both positively and negatively.
Positive implication
The main and basic positive implication of motivation is to improve the job performance at higher levels for the employee who feels unmotivated in their work to give their best for the organisation. The employee can work more with more efficiency in their project or work which gives fruitful production to the organisation.
The business might run successfully while the employee can predict the risk factor and find the solution and alternative solutions to mitigate the risk factor. Recent research shows that when the employee has the aim to achieve a milestone for the organisation they can give outstanding performance in their workplace without wasting time or getting delayed by anything.
The motivational thoughts might improve the job satisfaction among the employee while the employee can get the monetary incentive for their job performance. This will help the employee to feel valued for the organisation and think about the importance of the organisation which is co-related to the job satisfaction of the employee of the organisation.
Negative implication
The motivating expatriate might create a negative impact by creating conflict in the working place for different thoughts of an individual. This can happen in the organisation because the employee who cannot get the same level of motivation or positive thoughts from the motivational thoughts might feel irritated with other employees or team members of the organisation.
It is not easy to process to identify the adoption of motivational thoughts in energy employees in the organisation (Wiemann and Fuchs, 2018). The employee who has a little less performance than the high-level performance employee might need the motivation to improve the job performance.
In another hand, the one more negative impact is the employee only focuses on the incentive. The employees might work hard for their incentive only because when they reach their goal they do not push more for the organisation. The employees focus more on the incentive rather than their work performance to satisfy the clients and customers of the organisation in the business market.
Interrelationship between a workers and managers
It is very important in a workplace to maintain a perfect relationship between a manager and a worker, because if the perfect relationship not maintained in a multinational company, then they cannot reach the target. The relationship can be maintained between both of them through proper communication, collaboration and problem sharing. It is necessary to have a perfect relationship and it could do only by communication. Apart from that, it is also necessary to share a problem which faced by a worker and this way they can share a perfect relationship.
Question 4
Globalisation might play a vital role in the modern world of organisation. Globalisation in the organisation might refer to the process of developing the international influence or international sales in the business market. It is the open flow of technology, information, goods and services, among customers and countries. The effect of globalisation on the organisation might discuss below.
Effect of globalisation on the organisation
Globalisation makes it easier to access a new culture, habit including food, movies and work culture. Globalisation might help Mnc to create collaboration with other countries with the help of the organisation. Knowing the other culture and habits of the other countries might help to create a good bond with other organisations of countries.
Globalisation also spread innovation and technology. Many countries are connected by the advantages of technological advances in the organisation which make scientific advances the countries. The employee of the organisation might share the knowledge of advanced technology while collaborating with other organisations of the countries both domestically and internationally.
Globalisation might help to access new talent and new markets including customers which grow their business in the market. The customer collaborating with other companies in the other countries might help to disclose a new opportunity while booming the market with technical knowledge. The organisations recruit more employee as per the technological knowledge and skill for better performance in the organisation.
Challenges of globalisation
Globalisation might help with more benefits in the organisation as well as it has some challenges which are discussed below.
Managing the displacement of the organisation
In some countries, the law and policies of the organisation might change often while ensuring the position of the employee might be most difficult to handle. In addition, the employee also gets attached to old policies which take time to relocate the workplace and new laws regarding the displacement.
Affects on the tariff and export fees.
Globalisation might affect the tariff plan and export fees which are quite difficult to control. As an example, the UK and USA face the incurring of tariffs and export fees in their global business. Approx 29% of people agreed that this was the most difficult to control for the organisation in the business market (Dickmann, 2021). For the business, the organisation company might focus on the sale of the products and the expensive items overseas depending on the business market.
Loss of cultural identity
Globalisation helps to access new culture and habit very easily which collaboratation the different culture together. The success of certain cultural collaborations might help to know the reproduction of products in different cultures. The collaboration of culture might mitigate the identity of individual culture in the organisation in the business market.
Supporting foreign culture
Globalisation might help to adopt new culture while supporting the foreign culture for the business organisation. In addition, globalisation supports the new countries and the new organisation by offering the products. This can create a loss at the domestic level of business organisations that only support the MNCs.
Impact on MNCs’ organisational effectiveness during expatriation
The impact of the organisational effectiveness in the MNCs might increase the productivity and efficiency of the organisation. This will help to grow more in the business market and focus on the achieving desired goal of the organisation. The impact of expatriation will increase the collaboration with other companies within other countries. In addition, this will help to create a strong bond with the employees and team members to complete the project successfully.
The basic function of expatriation is to control the finance of the business over the local action of the organisation. They also make the financial target for the organisation and other collaborating companies to achieve success in the business market (Wiemann and Fuchs, 2018). This will help to enhance the work performance of the employees if they are also satisfied with the financial control of expatriation.
The organisation might help to change the law of displacement and control the cost of the organisation. The organisation might get a conflict environment by controlling the finances of the company which create a negative impact on the organisation. The collaboration and good communication skills might mitigate this.
Needs of globalization for organizational success
Organization in today’s world faces several problems in their business market. This happens due to the growth in competition in the market. Therefore, the business needs to apply various strategies in the business model. The application of this implementation depends on the activity of the Human resource management in the organization (Carbery and Cross-, 2018).
Therefore, this success also affects the human resource department. The business needs to develop its model to spread the business throughout the world. Human resource management takes responsibility for the development of the organization.
The HR department grows the business market by engaging and maintaining the workers in the organization to conduct the overall process of the business. The department also looks into the matter of the intercontinental export policy to conduct the whole business process in the organization (Brewster et al. 2018). There are several norms and policies in the business model around the globe.
Therefore, the department has the responsibility to manage those policies to conduct a business successfully. HR department focuses on the legal and political factors in the business market to conduct a smooth business marketing system and this helps the business to grow its international relationship with various customers of the business to make a good profit.
Figure 3: Impact of globalization on MNC (Source: Romani et al. 2018)
The business needs to globalize the business models and spread the business accordingly to make a growth in the business market. The business may face several advantages and limitations in the globalization model. The business needs to manage all parameters to maintain the balance in the business profit (Brewster and Haak-Saheem, 2020).
The HR is responsible in this scenario as the business has some different cultures and religious people; therefore, the HR department needs to maintain a healthy environment in the business process to conduct a smooth business throughout the world. The HR department also needs to focus on the satisfaction levels of both the employees and customers in the business to maintain the productivity and business market.
The business may globalize the business model by considering the choice of the customers in the world and may plan accordingly to conduct the business (Dickmann, 2021). Therefore, this process may help to earn good revenue in the business and helps the business grow in the business market. Moreover, the business needs to develop the skills of the employees to perform well in business production (Bretos et al. 2019).
This may include some training programs in the organization and the HR department may schedule those training programs as per the requirements of the business (Anwar and Abdullah, 2021). The business needs some modern technology to meet the customer needs and therefore, the business needs to skill up the employees to work with the modern technology to grow the business market.
The business needs to plan about the probable customer craze throughout the world and plans to produce some different products for some different countries as per the customer needs (Cooke, 2018). Therefore, the business may earn more revenue and can grow the customer interest in the business product and this may help the business to grow the business market.
Impact of globalization on MNCs during expatriation
The impact of the globalization model on the MNCs’ has marks in the business revenue section. However, the impact of globalization marks a negative side of the MNCs’ as the company expatriate the worker from the company. The expatriation process shows the image of cultural diversification, political issues, and discrimination (Gallardo-Gallardo et al. 2020). The cultural diversification excludes several employees from the company as the company enlarges the business model throughout the world to make globalization in the business.
In addition, the HR department sometime may balance the manpower in the business to maintain the overall profit of the business as the company explores the business model in the larger area, therefore, the business needs manpower in those new sectors of the business. Therefore, the HR department reduces the workers in the existing sector and includes some new workers in the new sector of the business as a different county has different cultures (Zhang et al. 2022).
The expatriation may happen due to some political issues between some different countries and therefore, the business cut some existing workers to prefer hierarchical management. This may exclude some low-level employees in the business.
Figure 4: Expatriation statistics in different countries (Source: Wiernik et al. 2018)
Another impact of globalization may come as the discrimination in the business model. This happens when some people may get more preference than the other people in the business. Therefore, the business may expatriate some employees who get less preference in the business. Therefore, the abovementioned factors affect the expatriation in the company while making the globalization in the company (Tahir and Ertek, 2018).
This may hamper the business’s reputation and the business may suffer several losses as the mass of the people may restrict the business by protesting against the expatriation. Therefore, the business may decrease the business revenue and may get some decrement in the business market.
Conclusion
The study concludes that the business model needs to globalize to spread the business to grow the business market. Therefore, the business needs to measure ethics and moral factors in the business to make sustainable development throughout the world. The study shows the importance of HR management in the MNCs’ and includes the effect of globalization on Human resource management in the MNCs’.
The study aims to discuss the important factors the globalization and Human resource management in the MNCs’ and suggest the MNCs’ the effect of expatriation on the company and helps the business to make development in the business market. In this research it is found that to reach the global market, the first thing that is necessary to motivate their employees and the motivation done by the processes like a bonus, incentives, compensation, etc.
Reaching the goal is also necessary for the multinational company to maintain a good environment in the workplace. Therefore, to get success, it needs to motivate expatriate workers in a workplace and the study shows how motivation can implemented in getting a better result.
Dickmann, M., 2021. INTERNATIONAL HUMAN RESOURCE MANAGEMENT–HISTORICAL DEVELOPMENTS, MODELS, POLICIES AND PRACTICES IN MNCs (p. 225). USA: SAGE.
Journals
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Anwar, G. and Abdullah, N.N., 2021. The impact of Human resource management practice on Organizational performance. International journal of Engineering, Business and Management (IJEBM), 5.
Bretos, I., Errasti, A. and Marcuello, C., 2019. Multinational expansion of worker cooperatives and their employment practices: Markets, institutions, and politics in Mondragon. ILR Review, 72(3), pp.580-605.
Brewster, C. and Haak-Saheem, W., 2020. Comparative human resource management.
Burmeister, A., Lazarova, M.B. and Deller, J., 2018. Repatriate knowledge transfer: Antecedents and boundary conditions of a dyadic process. Journal of World Business, 53(6), pp.806-816.
Collings, D.G., Mellahi, K. and Cascio, W.F., 2019. Global talent management and performance in multinational enterprises: A multilevel perspective. Journal of management, 45(2), pp.540-566.
Cooke, F.L., 2018. Concepts, contexts, and mindsets: Putting human resource management research in perspectives. Human Resource Management Journal, 28(1), pp.1-13.
Cooke, F.L., Liu, M., Liu, L.A. and Chen, C.C., 2019. Human resource management and industrial relations in multinational corporations in and from China: Challenges and new insights. Human Resource Management, 58(5), pp.455-471.
Cuervo-Cazurra, A., Luo, Y., Ramamurti, R. and Ang, S.H., 2018. The impact of the home country on internationalization. Journal of World Business, 53(5), pp.593-604.
Gallardo-Gallardo, E., Thunnissen, M. and Scullion, H., 2020. Talent management: context matters. The International Journal of Human Resource Management, 31(4), pp.457-473.
He, S., Khan, Z., Lew, Y.K. and Fallon, G., 2019. Technological innovation as a source of Chinese multinationals’ firm-specific advantages and internationalization. International Journal of Emerging Markets.
Kaur, V., 2021. Analaysis Of Agro Processing Industry In Punjab, India. Turkish Journal of Computer and Mathematics Education (TURCOMAT), 12(10), pp.525-543.
Meyer, K.E. and Xin, K.R., 2018. Managing talent in emerging economy multinationals: Integrating strategic management and human resource management. The International Journal of Human Resource Management, 29(11), pp.1827-1855.
Montenero, V. and Cazorzi, C., 2021. ATTEMPTS BY MNCs TO EXPAND THE CREATIVE AND INNOVATIVE SPIRIT THROUGH THE CONCEPT OF AGILITY: ROLE OF GLOBAL MANAGERS. Central European Business Review, 10(2).
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Radović-Marković, M., Salamzadeh, A. and Vujičić, S., 2019. Selection of organization models and creation of competences of the employed people for the sake of competitiveness growth in global business environment. International Review, (1-2), pp.64-71.
Romani, L., Barmeyer, C., Primecz, H. and Pilhofer, K., 2018. Cross-cultural management studies: state of the field in the four research paradigms. International Studies of Management & Organization, 48(3), pp.247-263.
Tahir, R. and Ertek, G., 2018. Cross-cultural training: a crucial approach to improve the success of expatriate assignment in the United Arab Emirates. Middle East Journal of Management, 5(1), pp.50-74.
Wiemann, J. and Fuchs, M., 2018. The export of Germany’s “secret of success” dual technical VET: MNCs and multiscalar stakeholders changing the skill formation system in Mexico. Cambridge Journal of Regions, Economy and Society, 11(2), pp.373-386.
Wiernik, B.M., Rüger, H. and Ones, D.S., 2018. Advancing expatriate research in public and private sectors. Managing Expatriates, p.15.
Xiao, S.S., Lew, Y.K. and Il Park, B., 2019. ‘2R-based view’on the internationalization of service MNEs from emerging economies: Evidence from China. Management International Review, 59(4), pp.643-673.
Zhang, W., Chin, T., Li, F., Lin, C.L., Shan, Y.N. and Ventimiglia, F., 2022. The Impact of Career Competence on Career Sustainability Among Chinese Expatriate Managers Amid Digital Transformation in Vietnam: The Role of Lifelong Learning. Frontiers in Psychology, 13, p.791636.
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