KOL605HRM International Human Resource Management Assignment Sample

Introduction

Every organization is in dire need of Human Resource Management so that it can gain a competitive advantage in terms of its business. Moreover, it involves all the management actions and decisions associated with the organization and the employees(Ziaei,2020).http://KOL605HRM International Human Resource Management Assignment Sample

A Human resource manager is in charge of ensuring higher performance levels from employees in order to achieve the desired outcomes. Most managers in private and public sector firms whole heartedly agree that employees are the major asset of any organization or firm. The main objective of HRM is to maximize the contributions put forward by the employees for achieving optimal effectiveness and productivity.

He also performs a critical role in the evolution of Corporate Social Responsibility and promotes it at a societal and organizational level. The primary aim of the report is to analyze how the organizational culture impacts human resource management. Besides, it would also lay down an in-depth comparison regarding the key areas of connection between the different international human resource practices. The report will also observe the core areas of corporate social responsibility and how it assists the organization to engage in business practices aligning with the general ethical standards.

Assessment of Hennes & Mautriz policy on Corporate Social Responsibities

Hennes & Mautriz Retail Private Limited is one of the most popular clothing and design brands. The company has actively participated and cooperated in social activities which also contributed to enhancing the ‘quality of life’ in the communities in which it currently operates.

H&M fulfills the four principles of ‘Corporate Social Responsibility’ namely ‘environmental, philanthropic, ethical, and economic’ responsibility. And this can be proved with the following objectives explained below.

According to a annual report published by the company, it can be observed that almost 58% of customers have acknowledged its drive for transparency, 57% of people reported its promotion in scale innovation, and 71% of the employees acknowledged the company for providing fair jobs, and constantly working towards the goal of reaching greater inclusion and diversity(Mohelska,2018).http://KOL605HRM International Human Resource Management Assignment Sample According to the committee in charge of maintaining Corporate Social Responsibility the company’s main focus would be to:

Provide water and sanitation facilities– The Company believes that there is an undeniable water crisis in many parts of the world(Calderón,2019).http://KOL605HRM International Human Resource Management Assignment Sample Hence the company is constantly working for increasing awareness for water and offering proper sanitation for ensuring hygiene and safety for individuals.

Environment and Education– As the company incorporates sustainability in all its operations the main area of focus would be on the projects that raise environmental awareness and education and also believing in the concept of ‘reuse, reduce, and recycle’.

The company is also implementing ways to encourage providing quality education to all.

Livelihood and Empowerment- As employment is a major concern of the society in recent years the company works towards guaranteeing equal opportunities for ensuring employment, enhancing livelihood, and empowering the youth especially young girls and women. For instance, In India, the company is donating about 20,000 products to NGOs like Goonj.

The company has also donated clothing items to a small organization and providing relief to 16 children who are suffering from HIV/AIDS(Ivy,2018). http://KOL605HRM International Human Resource Management Assignment SampleThe company is also actively involved with its stakeholders including the government, non-governmental organizations, and other experts.

Implementation of activities related to CSR– The Company is responsible enough to execute CSR programs through Company partnerships and personnel involving different expert agencies, government, and NGOs.

Role of Human Resource Management in fulfilling Corporate Social Responsibility

According to a report published by the ‘Society for Human Resource Management’ in 2018 it can be concluded that 50% of employees have agreed that CSR practices have greatly contributed in boosting employee morale, loyalty has increased by 41%, there was a scope for retention by 29%, and recruitment of talent and productivity has increased by 25% and 12% respectively(Sánchez,2019).http://KOL605HRM International Human Resource Management Assignment Sample In an organization like H&M the role of an Hr is to develop and implement policies, ideas, and practices that enhance the CSR. Human Resource Management wholeheartedly encourages various activities related to CSR. He is capable enough to provide the framework and tools for the CEO and the executive to promote the CSR culture and ethics. It is important to consider that the collective attempts of Human Resource Management and Corporate Social Responsibility.

The department of Human Resource of H&M perform engages in three key responsibilities to ensure the Corporate Social Responsibility of the company. They include:

Partnering– The leadership of Human Resource management plays a major role in assisting the organization to communicate its social vision and the role of buisness in the society beyond its sales and profits. HRM also encourages alignment in the mission at the ‘executive-leadership level’ by presenting employee interests and stakeholder perspectives.
Engaging– Human Resource Management engages with both the internal and external stakeholders for identifying and observing the methods in which the organization can work for securing a proper environmental and social vitality for the individuals who are mostly affected by the actions of the company(Khan,2017). http://KOL605HRM International Human Resource Management Assignment SampleThe aspect of engaging in this case might also account for setting up partnerships with external organizations such as NGOs which will then assist in recognizing and addressing the effects of the organization’s operations. A good example for this would be the partnership between Unilever and ‘World Wide Fund’ for developing the ‘Marine Stewardship Council’ for the purpose of establishing an ‘environmental standard for sustainable fisheries’
Aligning- HRM consists of the most crucial tools for encouraging the execution of a ‘sustainability mission’ greatly relating to the social responsibility. The key processes associated with Human Resource Management should pay an important role in supporting business strategies for sustainability.
These practices can range from selection and recruitment, compensation and development, employee training, communication and managerial support, and ‘organizational climate creation’.
‘Managerial support and Communication’- The tools of human resource management can be employed for observing that the employees possesses proper support for sustainability behaviors.
Research proves that employees who have recognize ‘string signals of organizational and supervisory encouragement’ most definitely engage in positive behaviors ensuring a natural environment.

Critical analysis of culture on organizational behavior

Organizational culture is considered to be one of the major determinants in organizational behavior and success as it heavily influences the performance levels and behavior. 80% of employees agree that organizational culture is the ultimate driving force behind business success(Santana,2020). http://KOL605HRM International Human Resource Management Assignment SampleHennis and Mortiz strongly believe in an organizational culture that promotes teamwork.

The company also encourages a motto of ‘defining who they are, what they do, and how they do it. Their primary values lies in believing in people, constant teamwork and improvement, open-mindedness and having a straightforward nature, having an entrepreneurial spirit, keeping it simple, and promoting a cost-conscious environment.

Having a strong culture within the organization can lead to an increased cooperation and trust, fewer controversial arguments, and effective decision-making. Some of the positive aspects of culture on organizational life and behavior include:

Defining the internal and external identity of the organization- According to Peter Ashworth, organizational culture speaks for an individual and the rest, shows how the organization is executing buisness, signifying the interaction between an individual and his organization, and also represents the interaction of the team with its stakeholders including customers, partners, employees, media, suppliers, and so on.
The organizational culture will greatly resonate across all business aspects as it portrays the ‘way in which a business is performed’.
Establishing a brand image for the organization- Organizational culture is responsible for boosting the brand value and image of the organization (Stahl,2020).http://KOL605HRM International Human Resource Management Assignment Sample In other words the organization is mainly known for its culture and how they promote diversity, creativity, and innovation in the organization.
Building an ideal balance- A healthy organizational culture contributes to a proper work-life balance. Organizational cultures that promote diversity assists the employees for engaging in impactful collaboration
Collective commitment– Good organizational culture helps in building trust among the employees and they end up having strong commitment and respect for the company(Collings,2020).http://KOL605HRM International Human Resource Management Assignment Sample The employees will also actively participate in social practices and activities and promote a healthy organizational culture.

Similarities and Comparison between HR practices between countries

‘Human Resources is not one size fits all across the globe.” The practices associated with human resource practices vary accordingly from country to country. However, some employers tend to use similar HR practices in some scenarios.

Selection procedures of personnel– In the United States the selection procedure is generally performed on the basis of ranking personal interviews. The organization decides the ability of the candidate to operate technical requirements related to the job and also judges them according to their previous work experiences. However, there were some cultural differences in Latin America and Australia(Úbeda-García,2021).http://KOL605HRM International Human Resource Management Assignment Sample In Mexico the candidates possessing the right connection are more likely to get hired by the organization. Indonesia, Korea, and China conduct employee tests for the selection procedure. Whilst Taiwan and Japan judges candidates on their ability to get along with others. It can be observed that the recruitment procedures vary in different countries and are greatly dependent on their work culture.

Performance Appraisals- Employers in different countries generally execute the practice of performance appraisal differently. For example, the employers in the United States, Canada, and Taiwan rank the employees for determining their pay and performance appraisal.

On the other hand, Mexico and Korea pay less importance to this practice all together. Taiwan, Australia, and the United States employ appraisal as a medium for recording the performance levels of employees while the employers in Japan and Mexico recognizes the subordinates for implementing out the practice of performance appraisals.

‘Training and Development Practices’- Training expenditures varied in different countries. In Asia training expenditures for employees usually ranges from 241 dollars to 359 dollars most particularly in Japan(Gambacorta,2020).http://KOL605HRM International Human Resource Management Assignment Sample

However, the United States provides a training expenditure of 724 dollars. The total training period allotted to the employees is also different in many countries. In Asia the training period for eligible employees ranges from 26 hours to almost 49 hours per year in Europe.

Motivation Programs– Eastern and Western Countries have slightly different thoughts and opinions regarding motivation. Western Countries lays more focus on individual compensation packages and reward for enhancing personal career development. Whilst, Eastern countries value steady progression and collective rewards.

The individual workers in western countries are considered exceptional performers personal initiative and are rewarded with opportunities for growth and development and through ‘competitive remuneration.’ Eastern Countries considers Buddhism and Confucianism and the workers are mainly offered promotion and rewards on the basis of their level of seniority(Lee,2019). http://KOL605HRM International Human Resource Management Assignment SampleThey also believe in rewarding them as rather than as individuals for boosting motivation and unity.

Resolution of Conflicts– Solving internal issues and conflicts is an integral responsibility of Human Resource Management. Western Countries are more dedicated in carrying out this practice than the Eastern Countries.

The style of competing in the United States focus more on ignoring or withdrawing a conflict all together whereas Eastern Countries leans toward harmony and a more holistic approach and they believe in solving conflicts through compromise and accommodation. The holistic approach symbolizes that “all people are a part of the system’ and they all perform some role or the other.

Organizational structure

Leadership styles, ‘people-management philosophies’ and organizational structure differ in both Eastern and Western Countries due to their value systems. Eastern countries like to stick to organizational heirachy and have a more ‘autocratic style of leadership’. On the other hand in Western Countries, organizations have more liberty as the leaders seem to be more democratic. In countries like China, Middle East, and Korea the organizations encourages a more ‘collectivist culture’ where the group is comes over employees, individuals and are organized into particular teams [refer to Appendix 2].

Some Similarities can also be observed between the Human resource practices in domestic and international countries include:

Procurement – One of the primary responsibilities of an Human Resource Manager is implementing the process of procurement (Janovská,2017). Procurement involves finding and obtaining important resources for the business. In other words, it is the role of the HR to procure and employ people who are best suited for the position and has suitable attitude, knowledge, skills, and mindset. Procurement usually accounts for performing key functions like job analysis, manpower planning, recruitment, selection, placement, induction, internal mobility, and so on.
Administering disciplinary action– Disciplining employees when needed is an important aspect of Human Resource Management worldwide. HR personnel are responsible for ensuring a disciplinary process and the employees are required to be aware of it as an important step for on boarding.
Function Evaluation– It is considered to a technical aspect of the Human Resource Management. Function Evaluation mainly involves laying down a detailed comparison of the different operation of human resource. This includes availability of workers, quality, economic situation, working time, job responsibilities, and so on.
Industrial Relations- An integral function of the Human Resource Department is to maintain and cultivate relations with collectives, labor unions, and their members. This will help in observing and resolving potential conflicts efficiently and will also lend a hand in handling difficult economic times, when there are requirements of layoff or other actions.
Health and Safety– A HR is in charge of developing and implementing regulations related to health and safety. It is the responsibility of an HR to observe the employee’s well being and mental state during work(Rizzo,2017). http://KOL605HRM International Human Resource Management Assignment SampleThe employees should report any issue or concern in the workplace that is bothering them or making them feel uneasy.
Predicting the fate of the organization– One of the most daunting tasks of a HR is to decide the future of the firm. Nowadays, many economies are struggling with tough times and the working patterns have undergone major transformations which have forced individuals to work in service-based industries rather than in agricultural and manufacturing industries.

Another major similarity strongly relates to the environmental forces including ‘political, economical, legal, and cultural ‘that play a major role in influencing the human resources practices in domestic as well as in international environment.

Strategic international HR with international business strategy approaches

Strategic International Human Resource Management mainly includes a ‘future-oriented process’ of establishing and executing human resource programs that directs and provides solutions for problems and have a positive influence for maintaining a company’s ‘long-term business objectives’.

International human resource management is greatly involved in managing performance, hiring, compensation, training and development, and maintaining good relations with the internal employees. Strategic Human Resource Management is very effective in maintaining competitive advantage and responding to the needs of the customers. In other words the benefits of SHRM include [refer to Appendix 1]:

Enhancing employee productivity and the overall performance levels of the organization.
Giving direction to the operating process for achieving the desired outcomes.
Providing a systematic focus for guiding training and fulfilling development initiatives.

There is more emphasis on Strategic International Human Resource management due to some factors. They are:

Focuses on ‘Core Competency’– Several organizations have been emphasizing on core competence and the businesses associated with that. Core competence can be considered as a unique trait of an organization which may not be the same for others. It can vary from financial resources, technological capability, marketing capability, and so on. This has led to many organizations and firms restructuring their buisness practices.
Reorganization– Strategic International Human resource Management also focuses on restructuring their organizational structure (HACHIMI,2018). The reorganization strategy requires more additional skills and this can be fulfilled by recruiting managerial talents and establishing the ‘existing human resources’.
Requirement of ‘Workforce Empowerment’– The role of IHRM in empowering and managing workforce who belong to different geographical countries and locations is very critical. Workforce Empowerment requires a change in the skills and mindset of a workforce. This is where Human Resource management comes in. It assists employees in making decisions, setting their work-related objectives, and resolve problems within their authority and responsibility.
Training and Development– At an international level, Strategic Human resource Management helps in establishing training and development for employees who are located in subsidiaries all over the world.
They have the responsibility in preparing expatriates for upcoming projects and assignments. The programs associated with international human resource development are usually performed two ways. They include the ‘centralized and decentralized approach.’

According to the centralized approach, training mainly originates at the headquarters and the corporate trainers travels to the subsidiaries and are in charge of adjusting to the local situation. Whilst in a decentralized approach, training is provided locally according to a polycentric model (Xu,2018). http://KOL605HRM International Human Resource Management Assignment Sample

In a decentralized training the cultural background of the trainees and trainers are kind of similar. The local people are responsible for developing techniques and training materials for implementing in their respective areas.

Strategic International Human Resource Management helps in managing business strategy approaches globally including ‘Multi-domestic Strategy’ which involves in sacrificing effectiveness for focusing on the ‘responsiveness to local requirements’ arising from each of the markets.

The IHRM is responsible in organizing the firm so that the ‘foreign subsidiaries’ possess substantial managerial autonomy and perform a differentiated role within the framework of the organization.
Establishing vertical and lateral global communication which will help in developing joint knowledge across the borders.
Acquire global scale economies combining activities for the minimization of costs.

According to ‘Barlett and Ghoshal’ the primary strength of the multi domestic firm is establishing local responsiveness. This strength can be termed as efficiency while the hallmark of a multinational firm lie in innovating buisness practices.

In a Transnational Strategy, the role of IHRM is to create a balance between the ‘desire for efficiency aligning with the requirement to adjust to local preferences in different countries’.

This can be explained with an example of fast food chains like KFC and McDonalds as they heavily depend on their brand names and use the same menus all around the world. They are also responsible for observing performance evaluation and granting rewards, promotions, and layoffs to the employees judging their performance levels.

Analysis of the impact and effectiveness of international assignments

International assignments are known to be expensive particularly in times where there is economic downturn. According to some reports, international assignments have grown by 25% since 2000 because of the strategic function they perform.

A survey conducted by ‘KPMG’ in 2015. Almost 86% of the participants have mentioned that international assignments might be constant or increase over the years.

International assignments will help in:

Expanding into both existing and new markets– It has been observed that international assignments help in developing a small office into a strong ‘international arm of a business’. International assignments also help in establishing a talented and efficient workforce abroad which in turn helps the organization to boost up their global revenue and influence(BENCHEKROUN,2019).http://KOL605HRM International Human Resource Management Assignment Sample
Industries and organizations are gradually developing their global presence and recognizing unique opportunities in different cities which are considered to be the upcoming ‘centres of commerce’.
Cross-Cultural Communication- By actively engaging in international assignments the employees will be able to establish a cross-cultural communication. The employees of different organizations can come together and share similar goals and objectives.
They will be able to discuss and share their business strategies and planning with one another leading to more effective and forward thinking. International assignments will also enable employees from different countries to come together and learn more about different cultural practices back in their home countries.
Expanding the professional Network- International assignments will assist individuals in gaining more experience and sharpening their interpersonal skills. They will be useful in increasing their professional knowledge and skills(Niu,2018). http://KOL605HRM International Human Resource Management Assignment Sample
Through the involvement of employees in international assignments they are able to work with people who are more experienced and skilled which in turn help them to gain major insights regarding key business practices and implement them in their work later on.
Motivating employees- According to scholars like ‘Suutari and Brewster’, in the field of International Human Resource Management, it has been observed that international assignments enhance the motivation of employees in the workplace. It makes them feel that the higher authorities believe in their capabilities and are confident enough to send them to work abroad.
Moreover, international assignments also help the employees in gaining more income and have more suitable opportunities in the future to work on similar or more advanced assignments. This will automatically encourage them to put in more efforts toward their performance and achieve business objectives.
Streamlined Operations- International assignments can help create streamline operations.
A domestic employee who is sent overseas possesses the company experience and knowledge to swiftly adjust themselves in the business activities in the market abroad. However, a shortage of skilled and qualified talent in the local areas of business can greatly harm overseas business operations.

With the growing opportunities of international assignments, there have been certain challenges that employees face while working on international projects. They include

‘Less job Flexibility’- Working on international assignments might accompany limited flexibility as some processes would be totally different from the business practices that you have carried own in your own country.

Also, as the employee lacks knowledge about the language and the local experience it might give him less opportunities to form an opinion and creatively execute some processes there.

Effort and Costs- Cost can be the primary downside for international assignments. There will be more expenses associated with the housing and relocation. The cost of an international assignment is considered to be two or three times than that of the same position in your home country.

‘Risk of Assignment Failure’- Assignment failures often arises due to the incapability of the employee to make a transition. As the employee is new to the business practices and environment there is a high chance of failure in the projects.

For a successful international assignment it is important for the organization to allow proper training to know the whereabouts of the project. International assignments may appear to be attractive but it also proves to be a professional and personal challenge for the employee.

‘Risks of Non-compliance’- In case of sending local employees for international projects there is bound to be some compliance risks. In the case of expats the employers might keep them for the home payroll, but that is only suitable for short term assignments.

There will be an urgent requirement for running a local payroll through a ‘valid entity in the host country’ Similar to that, locals will also need to get paid according to the local requirements.

Conclusion

It is necessary for the organization to align human resources for fulfilling the strategic business objectives. In case of a failure it ultimately leads to wastage of time, resources, and energy. An organization with effective corporate objectives is most likely to achieve this alignment. Human Resources Management requires comprehending the liability and duty of the employees for achieving business objectives.

The report mainly dealt with analyzing the primary responsibilities of human resource management in any organization. Besides, it also discussed the main areas of similarity between domestic and international human resource practices and the key differences in performance evaluation, employee management, and risk taking in both western and eastern countries.

In case of economic challenges in human resource departments the organizations is required to embrace accurate and functional policies and requirements that will not only mitigate these challenges but also establish effective mechanisms for managing such challenges which can disrupt the internal as well as the external environment of an organization.

Thus, it can be concluded that Strategic Human Resource Management greatly emphasizes on the outcomes and not on the rules, it assists employees in grooming and developing their potential and productivity, and motivates employees to provide best results and perform diligently for the organization.

Reference List

Journals

Ziaei Nafchi, M. and Mohelská, H., 2020. Organizational culture as an indication of readiness to implement industry 4.0. Information, 11(3), p.174.

Mohelska, H. and Sokolova, M., 2018. Management approaches for Industry 4.0–the organizational culture perspective. Technological and Economic Development of Economy, 24(6), pp.2225-2240.

Calderón Carrillo, J.M., 2019. Relationship analysis between culture and business within the indian market. Case: Mcdonald’s, Hennes & Mauritz and L’oréal (Bachelor’s thesis, PUCE-Quito).

Ivy, P.R., 2018. “An Analysis of Employees’ Performance Appraisal System: A Study on Hennes & Mauritz AB (H&M) (Doctoral dissertation, Daffodil International University).

Sánchez-Marín, G., Meroño-Cerdán, Á.L. and Carrasco-Hernández, A.J., 2019. Formalized HR practices and firm performance: an empirical comparison of family and non-family firms. The International Journal of Human Resource Management, 30(7), pp.1084-1110.

Del Giudice, M., Khan, Z., De Silva, M., Scuotto, V., Caputo, F. and Carayannis, E., 2017. The microlevel actions undertaken by owner‐managers in improving the sustainability practices of cultural and creative small and medium enterprises: A United Kingdom–Italy comparison. Journal of Organizational Behavior, 38(9), pp.1396-1414.

Santana, M., Morales-Sánchez, R. and Pasamar, S., 2020. Mapping the link between corporate social responsibility (CSR) and human resource management (HRM): How is this relationship measured?. Sustainability, 12(4), p.1678.

Stahl, G.K., Brewster, C.J., Collings, D.G. and Hajro, A., 2020. Enhancing the role of human resource management in corporate sustainability and social responsibility: A multi-stakeholder, multidimensional approach to HRM. Human Resource Management Review, 30(3), p.100708.

Úbeda-García, M., Claver-Cortés, E., Marco-Lajara, B. and Zaragoza-Sáez, P., 2021. Corporate social responsibility and firm performance in the hotel industry. The mediating role of green human resource management and environmental outcomes. Journal of Business Research, 123, pp.57-69.

Gambacorta, S., 2020. La corporate social responsibility: una visione d’insieme e un’analisi comparativa tra i brand H&M e Gucci.

Lee, Stacy, Sojin Jung, and Jung E. Ha-Brookshire. “A Framework of Perceived Corporate Social Responsibility Gaps between Internal and External Stakeholders: A Stakeholder Theory Approach.” In International Textile and Apparel Association Annual Conference Proceedings, vol. 77, no. 1. Iowa State University Digital Press, 2020.

Janovská, K., 2017. Corporate Social Responsibility společnosti H&M.

Rizzo, S., 2017. Corporate Social Responsibility-La gestione del rischio reputazionale e la violazione dei diritti civili. Analisi del caso H&M (Bachelor’s thesis, Università Ca’Foscari Venezia).

Xu, J., Hsu, V.N. and Niu, B., 2018. The impacts of markets and tax on a multinational firm’s procurement strategy in China. Production and Operations Management, 27(2), pp.251-264.

BENCHEKROUN, H.T., BENMAMOUN, Z. and HACHIMI, H., 2019, April. How to select suppliers when implementing a sustainable procurement strategy. In 2019 5th International Conference on Optimization and Applications (ICOA) (pp. 1-4). IEEE.