Human resource management international hr
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Human Resource Management International HR. Stages of International Involvement. Stage 1 Markets are exclusively domestic Stage 2 Markets expanded to foreign countries, but production remains domestic Stage 3 Some operations moved out of home country

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Human resource management international hr

Human Resource ManagementInternational HR


Stages of international involvement

Stages of International Involvement

  • Stage 1 Markets are exclusively domestic

  • Stage 2 Markets expanded to foreign countries, but production remains domestic

  • Stage 3 Some operations moved out of home country

  • Stage 4 Firm in a multinational corporation (MNC) where assembly/production is in several countries

  • Stage 5 Transnational corporations where control is diffuse with little allegiance to any one country


Locals vs expatriates

Locals vs. Expatriates

  • Pluses and minuses of locals

  • Pluses and minuses of expatriates


Expatriate assignments

Expatriate Assignments

  • Problems

    • U.S. failure rate 20 – 40%

      • 3 to 4 times higher than Europeans or Asians

    • (In 2006 failures cost $170,000 to $360,000 each - Total of over $4 billion)

      • Career Blockage

      • Culture Shock

      • Lack of Pre-departure Cross-cultural Training

      • Overemphasis on Technical Skills

      • Family Problems


Expatriate assignments1

Expatriate Assignments

  • Problems

    • Difficulties upon Return

      • Lack of respect

      • Loss of status – status reversal

      • Reverse culture shock


Levels of culture

Levels of Culture

  • Manifest

  • Expressed values

  • Basic assumptions


Frameworks

Frameworks

  • Kluckhohn & Strodtbeck- Variation in Values Orientation

  • Bigoness & Blakely’s Dimensions

  • Hofstede’s Dimensions

  • Hall’s Culture Context

  • Trompenaars’ Seven Dimensions


Kluckhohn strodtbeck

Kluckhohn & Strodtbeck

Values orientationVariations

Relation to natureSubjugationHarmonyMastery

Time orientationPastPresentFuture

Basic human natureEvilNeutral/MixedGood

Activity orientationBeingContaining/Doing

controlling

Relationships amongIndividualisticGroupHierarchical

people

Space orientationPrivateMixedPublic


Bigoness blakely

Bigoness & Blakely

PleasantnessGood CitizenCompetentGood Thinker

(Cheerful,loving,(Responsible,(Capable,(Imaginative,

helpful) polite, obedient) courageous) intellectual)

Australia (n=36)12.710.95.68.3

Brazil (n=30)11.710.1*4.7*6.8*

Denmark (n=37)11.911.55.28.6

France (n=32)13.1*11.35.67.8

Great Britain

(n=89)12.511.76.27.7

Germany (n=106)13.0*10.85.58.0

Italy (n=31)12.211.75.26.7*

Japan (n=20)10.0*9.8*6.27.5

Holland (n=31)12.211.85.47.5

Norway (n=46)11.511.45.28.0

Sweden (n=69)12.812.04.5*8.1

USA (n=42)12.111.56.7*7.7

Overall12.311.35.67.9


Human resource management international hr

Hofstede’s Dimensions of Cultural Differences:

  • Individualism versus collectivism

  • -concern for self vs. others

  • Power distance

    • -acceptance of unequal power distribution

  • Uncertainty avoidance

    • -preference for structure

  • Materialism versus concern for others (Masculinity/Femininity)

    • -tough vs. tender

  • Long-run versus short-run orientation (Bond)

    • -future vs. past/present


Human resource management international hr

Collective

PAK

COL

TAI

PER

VEN

THA

SIN

HOK

GRE

PHI

JAP

IND

IC

NZL

CAN

NET

GBR

USA

Individual

AUL

Low

High

Power Distance


Hofstede dimension scores for 10 countries

Hofstede Dimension Scores for 10 Countries

PDICMFUALT

USA40L91H62H46L29L

Germany35L67H66H65M31M

Japan54M46M95H92H80H

France68H71H43M86H30L

Netherlands38L80H14L53M44M

Hong Kong68H25L57H29L96H

Indonesia78H14L46M48L25L

West Africa77H20L46M54M16L

Russia95H50M40L90H10L

China80H20L50M60M118H

PD – H = accepts unequal power

IC – H = individualistic

MF – H = masculine

UA – H = avoid uncertainty

LT – H = long-term orientation

From Hostede, 1993

Academy of Management Executive


What can be done

What Can Be Done?

  • Reward Practices-

    • Hi Power Distance vs Low Power Distance

    • Collectivistic vs Individualistic

    • Hi Uncertainty Avoidance vs Hi Ambiguity

    • Hi Masculinity vs. Hi Femininity

    • Long-term vs. short-term orientation

  • Staffing/Appraisal Practices

    • Hi Power Distance vs Low Power Distance

    • Collectivistic vs Individualistic

    • Hi Uncertainty Avoidance vs Hi Ambiguity

    • Hi Masculinity vs. Hi Femininity

    • Long-term vs. short-term orientation


Hall s culture context

Hall’s Culture Context

  • High-context

    • China, Egypt, France, Italy

  • Low-context

    • Australia, Canada, England, United States


Culturally based differences in management style stereotypes

United StatesEmotional,egalitarians

ChinaLow-profile,tough negotiators

GermanyTechnically expert,authoritarians

FranceElitist,authoritarians

JapanFormal,consensus seekers

Culturally Based Differences in Management Style: Stereotypes


Multicultural managers and organizations

Multicultural Managers and Organizations

  • The Multicultural Manager

    • Has the skills and attitudes to relate effectively to and motivate people across race, gender, age, social attitudes, and lifestyles. Respects and values the cultural differences.

    • Has the ability (e.g., is bilingual) to conduct business in a diverse, international environment.

    • Has a cultural sensitivity in being aware and interested in why people of other culture act as they do.

    • Is not parochial in assuming that the ways of one’s culture are the only ways things should be done.

    • Is not ethnocentric in assuming that the superiority of one’s culture over that of another culture.


Protocol do s and don t s in several countries

Protocol Do’s and Don’t’s in Several Countries

Great Britain

DO say please and thank you often.

DO arrive promptly.

DON’T ask personal questions because the British protect their privacy.

DON’T gossip about British royalty

France

DO shake hands when greeting. Only close friends give light, brushing kisses on cheeks.

DO dress more formally than in the United States. Elegant dress is highly valued.

-

DON’T expect to complete any work during the French two hour lunch

DON’T chew gum in a work setting.

Italy

DO write business correspondence in Italian for priority attention.

DO make appointments between 10:00 and 11:00 or after 3:00.

DON’T eat too much pasta, as it is not the main course.

DON’T hand

out business cards too freely. Italians use them infrequently.


Protocol do s and don t s in several countries1

Protocol Do’s and Don’t’s in Several Countries

Greece

DO distribute business cards freely so people will know how to spell your name.

DO be prompt even if your hosts are not.

DON’T expect to meet deadlines. A project takes as long as the

Greeks think is

necessary.

DON’T address people by formal or professional titles. The Greeks want more informality.

Japan

DO present your business cards with both hands and a slight bow as a gesture of

respect.

DO present gifts, American

-

made and wrapped

.

DON’T knock competitors.

DON’T present the same gift to everyone, unless all members are the same organizational

rank.


Improving the expatriate assignment

Improving the Expatriate Assignment

  • Emphasize cultural sensitivity in selection and include spouse in assessment

  • Conduct cross-cultural training with more for longer assignments

  • Position international assignments as career enhancing

  • Use compensation as an incentive


Most expensive cities

Most Expensive Cities

1TokyoJapan152

2Osaka KobeJapan145

3ParisFrance132

4CopenhagenDenmark124

5OsloNorway123

6ZurichSwitzerland122

7FrankfurtGermany118

8HelsinkiFinland115

9GenevaSwitzerland115

10SingaporeSingapore112

11Hong KongHong Kong110

12ViennaAustria109

13DublinIreland108

14New YorkUnited States100

15MorgantownUnited States 56


Eeo in the international context

EEO in the International Context

  • EEO prohibition of discrimination based on age, sex, race, etc. apply to international assignments too

  • Foreign national employees of U.S. companies working outside the US are not covered by U.S. employment law

  • Immigration and Control Act (1986)

    • Non-U.S. citizens living and working in the U.S.

    • May not be discriminated against


Other international hr considerations

Other International HR Considerations

  • Ethics and Social Responsibility

    • Many ethical dilemmas face expatriates

    • Ethical and legal are not the sameForeign Corrupt Practices Act (1977)

  • Political Risk

    • Possibility that social or government pressures negatively impact operations

    • Expatriates often caught in middle

      • Should understand political situation


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