XAVIER UNIVERSITY – ATENEO DE CAGAYAN

SCHOOL OF BUSINESS AND MANAGEMENT

CHAPTER 11
GLOBAL
HUMAN RESOURCE MANAGEMENT
11-1
Global Strategic Human Resource Management

In partial fulfilment of the requirements of

AEC 35: International Business and Trade

Submitted by:
CABUNGCAL, Jhonica G.
GALLENERO, Darl James L.
MAGLUNSOD, Joy Camille E.
OBASA, Hanz Jefferson A.
BSAC 2- ACB

Submitted to:
CAUMBAN, Zola Mae D., CPA, MBA

06 September 2019
11-1-1 STATISTICAL OVERVIEW o This relates to a culture's desire for
predictability or the lack of the same
o The conduct of human resource
in the workplace and otherwise.
management differs markedly
o High uncertainty avoidance - people
throughout the world. Many of these
want clear rules, procedures, and
are related to cultural factors that vary
structures (e.g. Germany and
from country to country. Other
Austria).
differences from regulations such as
o Low uncertainty avoidance - have a
labor and tax laws, immigration and
more "hang loose," live-and-let-live
border security. Global strategic
attitude about things (e.g. Jamaica).
HRM also involves outsourcing and
offshoring. 3. Individualism/Collectivism
o This relates to the extent that people
o Examining recent statistical analysis
think of themselves as members of a
is one way to understand strategic
group or collective, as opposed to as
HRM on a global scale. The nature of
discrete individuals.
work engaged in also varies
o High individualism - employees tend
considerably in countries throughout
to be evaluated and rewarded in great
the world. Statistics also reflect how
measure for their individual
immigration rules and the ability of
achievements and performances (e.g.
foreign-born individuals to work in a
United States).
given country vary widely throughout
o High collectivism - people tend to
the world. Norms also differ widely
think of themselves as part of a group
regarding the prevalence of part-time
and measure their success by the
versus full-time employment.
success of the group (e.g. South
Korea, Japan, and Taiwan).
o Global human resource statistics give
us a helpful clue into establishing and 4. Masculinity/Femininity
running operations in various
countries, as well as into given o This dimension is not to be confused
national cultures. with male dominance or women's
rights, instead it relates to values that
are traditionally associated with one
gender or the other.
11-1-2 CULTURAL ISSUES AND
o High masculinity - place a high value
DIFFERENCES
on things like competition,
1. Power Distance assertiveness, and achievement (e.g.
Japan, Austria, and Mexico).
o This deals with the degree of equality
o High femininity - putting high values
of authority distribution in a given
on things like care for the weak and
society and its workplaces and
relationships (e.g. Sweden and
employee expectations related to the
Norway)
same.
o Low power distance - employees may 5. Long-term/Short-term Orientation
address their bosses by their first
o This involves the extent to which
names (e.g. Denmark and
members of a given society value
Netherlands).
long-term planning and looking to the
o High power distance - have more
future as opposed to a more
centralized, hierarchical, and perhaps
immediate short-term perspective.
even autocratic workplace decision-
o Long-term orientation - may place
making structures (e.g. Mexico,
greater emphasis on worker
Japan, and Russia).
retirement savings programs (e.g.
2. Uncertainty Avoidance China and Japan).
 o Short-term orientation - (e.g. United goods and services may not
States and Great Britain) always be on par with
products manufactured or
services provided by the
11-1-3 REGULATORY ISSUES company's own US-based
INCLUDING IMMIGRATION workers.
AND BORDER SECURITY o there have been allegations of
arguably unethical behavior
• Countries have different regulatory (e.g. unsafe working
legal-political systems and structures conditions) in some
that govern HRM. outsourced offshore
o Some regulations pertain to operations serving US
the ability of the employees to corporate customers.
form labor unions and engage o Nevertheless, increasing
in collective bargaining. globalization, technological
advances, and consumer
• Provincial regulation makes it pressure for lower prices
easier for employees to join labor ensure that the outsourcing
unions. and offshoring trend is here to
stay.
• Most important in International HRM
– Governmental regulations
related to immigration and border
security.

11-1-4 OUTSOURCING AND

OFFSHORING
• Outsourcing - involves a company
subcontracting a certain production
function to a third party.

• Offshoring - involves transferring an

organizational function in another
country, regardless of whether this
function is outsourced or stays within
the same company or corporation.

• The offshoring and outsourcing

phenomenon has been extremely
controversial among US workers and
labor unions because it essentially
involves transforming US corporate
into jobs with other companies
overseas.

• Cost - rationale as to why companies

engage in such phenomenon.

• Counterarguments:
o the "quality" of such
outsourced or offshored