Bron: http://www.munichre.com/en/career/munich-re-as-an-employer/what-we-offer/international-assignment/default.aspx international assignments Messiah College Drs. Kor van der Helm January 22, 2014 attribution Attribution in this presentation: all figures come from Peter J. Dowling, a.o., International Human Resource Management, South-Western Cencage Learning, 2008, ISBN 978-1-84480-542-6, unless mentioned otherwise. World top ten non-financial transnational corps., ranked by transnational index Differences between domestic HRM and IHRM The complexity of IHRM can be attributed to six factors: 1. More HR activities 2. The need for a broader perspective 3. Move involvement in employees’ personal lives 4. Changes in emphasis as the workforce mix of expatriates and locals varies 5. Risk exposure 6. Broader external influences Variables that moderate differences between domestic and international HRM 1. The complexity involved in operating in different countries and employing different national categories of employees 2. The cultural environment 3. The industry (or industries) with which the MNE is primarily involved 4. The extent of reliance of the MNE on its home-country domestic market 5. The attitudes of senior management Selection criteria (Tung) • technical competence • personal traits or relational abilities • ability to cope with environmental variables (language skills) • family situation Components of the expatriate adjustment process: – – – – self orientation dimension (self confidence) other’s orientation dimension (interact effectively) perceptual dimension (understand behavior) cultural toughness dimension (modify the first three dimensions. Esp. in countries which are very different) content / focus of preparation • the individual’s cultural background • culture specific features of the host country government • the individual degree of contract with the host environment • the assignment length • the individual’s family situation • the individual’s language skills The roles of an expatriate 8 Reasons for International Assignments 1. Position filling 2. Management development 3. Organization development 9 International assignees as knowledge agents • Understanding of the company’s global organization and the corporate culture at HQ • Factual knowledge about the assignment culture • The acquisition of culture-specific repertoires – establish social relationships – interpersonal trust – shared values with the host-unit staff share and acquire knowledge facilitate cross-unit knowledge exchange Roles for International Assignments • bear • bumble-bee • spider Types of international assignments Short term up to 3months Extended up to 1year Long term (traditional expatriate assignment) 1 to 5 years Some non-standard assignments: • Commuter go home every one to two weeks • Rotational commute for a set period followed by a break in the home country • Contractual specific skills employees hired for 6 to 12 months on specific projects • Virtual employee manages international responsibilities from home country base • • • 12 criteria for international transfers A model of the variables that moderate differences between domestic and international HRM three dimensions of HRM International assignments create expatriates The advantages and disadvantages of using PCNs 17 The advantages and disadvantages of using HCNs 18 The advantages and disadvantages of using TCNs 19 Inpatriate assignments Transfer of subsidiary managers to HQ for a specific period of time. – problems which might occur: status differences cultural adjustment challenges (need for socialization) differences in the underlying MNC’s staffing problems (cultural diversity and multicultural staff composition at HQ. – purpose: addition to companies repertoire add knowledge to the company help to transfer knowledge improver HQ-subsidiary relationships develop managers Determinants of staffing choices 21 choice between HCN - PCN Differences between traditional and short-term assignments 23 truly international HRM require following steps 1. Recognize that one’s own HRM reflects home culture assumptions and values. 2. Recognize that one’s own peculiar ways are neither universally better nor worse than others - just different and likely to exhibit strengths and weaknesses, particularly abroad. 3. Recognize that organization’s foreign subsidiaries may prefer other ways to manage people – ways that are neither intrinsically better nor worse, but possibly more effective locally. 4. Headquarters willingness to acknowledge cultural differences and steps to make them discussable and therefore usable. 5. Build shared genuine belief that cross-cultural learning will result in more creative and effective ways of managing people. World top ten non-financial transnational corps., ranked only by foreign assets Discussion Questions 1. What are the main similarities and differences between domestic and international HRM? 2. Define these terms: IHRM, PCN, HCN, and TCN. 3. Discuss two HR activities in which a MNE must engage that would not be required in a domestic environment. 4. Why is a greater degree of involvement in employees’ personal lives inevitable in many IHRM activities? 5. Discuss at least two of the variables that moderate differences between domestic and international HR practices The end