What is International Human Resource Management?

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December 12, 2010 by Hajara Saleeth in HRM with 9 Comments Human Resource Management (HRM is set o! organi"ational acti#ities aime$ at e!!ecti#ely managing an$ $irecting human resources%labour towar$s achie#ing organi"ational goals& 'y(ical !unctions (er!orme$ by HRM sta!! woul$ be recruitment, selection, training an$ $e#elo(ment, (er!ormance a((raisal, $ismissal, managing (romotions an$ so on& 'hen what is )nternational Human Resource Management ()HRM * )HRM can be $e!ine$ as set o! acti#ities aime$ managing organi"ational human resources at international le#el to achie#e organi"ational objecti#es an$ achie#e com(etiti#e a$#antage o#er com(etitors at national an$ international le#el& )HRM inclu$es ty(ical HRM !unctions such as recruitment, selection, training an$ $e#elo(ment, (er!ormance a((raisal an$ $ismissal $one at international le#el an$ a$$itional acti#ities such as global s+ills management, e,(atriate management an$ so on& )n sim(le terms, )HRM is concerne$ about managing human resources at Multinational Com(anies (M-C an$ it in#ol#es managing 0. ty(es o! em(loyees namely, 1& Home country em(loyees/ 0m(loyees belonging to home country o! the !irm where the cor(orate hea$ 1uarter is situate$& 2& Host country em(loyees/ 0m(loyees belonging to the nation in which the subsi$iary is situate$& .& 'hir$ country em(loyees/ 'hese are the em(loyees who are not !rom home country%host country but are em(loye$ at subsi$iary or cor(orate hea$ 1uarters& 2s an e,am(le a 2merican M-C which has a subsi$iary at )n$ia may em(loy a 3rench (erson as the C04 to the subsi$iary& 'he 3renchman em(loye$ is a thir$ country em(loyee& Di!!erences between $omestic HRM an$ )nternational HRM ()HRM are summari"e$ below5

Domestic HRM is $one at national le#el an$ )HRM is $one at international le#el& Domestic HRM is concerne$ with managing em(loyees belonging to one nation an$ )HRM is concerne$ with managing em(loyees belonging to many nations (Home country, host country an$ thir$ country em(loyees

Domestic HRM is concerne$ with managing limite$ number o! HRM acti#ities at national le#el an$ )HRM has concerne$ with managing a$$itional acti#ities such as e,(atriate management& Domestic HRM is less com(licate$ $ue to less in!luence !rom the e,ternal en#ironment& )HRM is #ery com(licate$ as it is a!!ecte$ hea#ily by e,ternal !actors such as cultural $istance an$ institutional !actors&