Chapter 19 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Chapter 19 - 1 International Human Resource Management and Labor Relations
MBA 713 - Chapter 19
Sep 14, 2014
MBA 713 - Chapter 19
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Chapter 19 - 1
Chapter 19
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
International Human Resource
Management and Labor Relations
Chapter 19 - 2
Learning Objectives
• Discuss human resource management in international business
• Detail how firms recruit and select managers for international assignments
• Explain how international businesses train and develop expatriate managers
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 19 - 3
Learning Objectives
• Discuss how international firms conduct performance appraisals and determine compensation for expatriate managers
• Analyze retention and turnover issues in international business
• Explain human resource issues involving nonmanagerial employees
• Describe international labor relationsCopyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 19 - 4
International Human Resource Management
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 19 - 5
Challenges of International Human Resource Management
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Cultural Differences
Legal Systems
Training & Developing
Economic Level
Employee Mix
Compensation
Chapter 19 - 6Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Strategic HRM
•Corporate
•Business
Chapter 19 - 7
International HRM Strategic Context
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Recruitment and Selection
Training and Development
Performance Appraisal
Compensation and Benefits
Labor Relations
Organizational Effectiveness
Chapter 19 - 8
Summary of Discussion
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Chapter 19 - 9
International Managerial Staffing Needs
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 19 - 10
International Scope
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•Export Department
•International Division
•Global Organization
Chapter 19 - 11Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Decision-Making
Centralized
Decentralized
Chapter 19 - 12
Staffing Philosophy
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
International Managers
Parent Country Nationals (PCNs)
Host Country Nationals (HCNs)
Third-Country Nationals (TCNs)
Chapter 19 - 13Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Staffing Models
• Ethnocentric
• Polycentric
• Geocentric
Chapter 19 - 14
Summary of Discussion
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 19 - 15
Recruitment and Selection
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 19 - 16Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Necessary Skills and Abilities for International Managers
The Job
Technical
Functional
Managerial
The Location
Adaptability
Location-Specific
Personal-Qualities
Chapter 19 - 17
Recruiting Managers
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Pool of Qualified Applicants
Experienced Managers
Recent Graduates
Chapter 19 - 18Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Selecting Managers
•Competence•Training•Adaptability
Chapter 19 - 19
Expatriate Failure
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Performance Issues
Cultural Adaptability
Motivation and Interest
Chapter 19 - 20
Additional Challenges
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•Culture Shock•Repatriation
Chapter 19 - 21
1. Freedom of Choice
2. Realistic Previews
3. Realistic Expectations
4. Home-Based Mentorship
5. Clear Link to Career Prospects
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Promoting Success
Chapter 19 - 22
Summary of Discussion
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Chapter 19 - 23
Training and Development
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 19 - 24
Assess Training Needs
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Start-Up Businesse
sEstablished
Businesses
Chapter 19 - 25
•Programs•Locations•Methods
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Basic Training
Chapter 19 - 26Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Knowledge Integration
Awareness Assignments
Competence Career Paths
Developing Younger International Managers
Chapter 19 - 27
Summary of Discussion
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Chapter 19 - 28
Performance Appraisal and Compensation
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 19 - 29
Assessing Performance
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Individual Performance Feedback
Rewards for Top-Performance
Training and Development Needs
Problem Areas in Assignments
Chapter 19 - 30Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Assessing Managers
• Goals
• Measures
• Frequency
Chapter 19 - 31
Compensation in International Business
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Supply and Demand
Status and Requirements
Government Regulations
Living Standards
Chapter 19 - 32
Compensating Expatriate Managers
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Cost-of-Living Allowance
Foreign-Service Premium
Tax Equalization System
Chapter 19 - 33Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
An Expatriate Balance Sheet
U.S. Domestic Base Salary
Consumption
U.S. Hypothetical Tax and Social Security U.S. Levels
U.S. Spendable IncomeU.S. Hypothetical Housing
U.S. Auto Purchase
Foreign and Excess U.S. Taxes Paid by Firm
Foreign Service Premium Added by Firm
Excess Foreign Costs Paid by Firm
Taxes Savings
Chapter 19 - 34
Benefits Packages for Expatriate Managers
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Housing Job-Location
Education Medical Benefits
Travel Allowances Activities
Chapter 19 - 35
Equity in Compensation
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•Consider Length of Assignments
•Compare Home and Host Country
•Home Country Salary with Adjustments
Chapter 19 - 36
Summary of Discussion
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Chapter 19 - 37
Retention and Turnover
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 19 - 38
What Causes Turnover?
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Dissatisfaction with the Job
Better Offers of Employment
Job-Related Transitions
High-Demand Job Skills
Chapter 19 - 39Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Career Development
Cross-CultureTraining
Exit InterviewsInducements
and Incentives
Turnover Management
Chapter 19 - 40
Summary of Discussion
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 19 - 41
Human Resource Issues for Nonmanagerial
Employees
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 19 - 42Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Recruiting and Selecting
• Economics
• Planning
• Regulations
Chapter 19 - 43Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
• Operations• Production
Training & Development
Chapter 19 - 44
Compensation and Performance Appraisal
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Local Laws Customs
EconomicsCultures
Chapter 19 - 45
Summary of Discussion
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Chapter 19 - 46
Labor Relations
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Chapter 19 - 47
• Laws• Culture• Society• Economy
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Labor Relations
Chapter 19 - 48
Collective Bargaining
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Labor and Management
The Role of Government
Types of Agreements
Chapter 19 - 49
Union Influence
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Industrial DemocracyCodetermination
Social Charter
Chapter 19 - 50
Summary of Discussion
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 19 - 51
Chapter 19
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
International Human Resource
Management and Labor Relations
Chapter 19 - 52Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America.
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