International Human Resource Management Assessment
Essay1: Identity and critically discuss the benefits of motivating expatriate workers in global business environment, as well as how this can lead to competitive advantage for MNCs?
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The main objective behind conducting this essay is to show the advantages of inspiring an expatriate employee within the international business world. Along with this the study will also focus in discussing how this will helps in leading to a cutthroat benefit for various multinational companies. Before starting the main discussion it will be important to know what the meaning of expatriate worker is. Expatriate can be denoted as a migrant employee who is expert employee in their field of work. The global business environment is changing frequently and in this type of companies are looking forward to take only those workers who are very much proficient in their field of work. As the costing also increasing due to this pandemic situation thus companies are also looking to give proper remuneration to those employees who can handle their work without any fail or help. In order to recruit this kind of worker they need extra motivation as they do some of the toughest part of the work for any big companies. And it is also a fact that big MNC’s can only afford expatriate worker as their up keeping cost is bit high as compared to any usual employee.
The benefits of motivating expatriate workers in global business environment
Inspiration alludes to how determined and blissful a representative is in their job. Assuming that a representative is inspired specially the expatriate, they are bound to work effectively and really buckle down. Inspiration is vital for drawing in workers, holding representatives and general degrees of efficiency in a business. Expatriate workers satisfaction as well as motivation has a pivotal impact over the company as well as over the performance of the worker. In global business world as well as advertising where expatriate plays a pivotal function, local norms as well as institutional factors also affect their satisfaction and inspiration. Expatriate workers are acknowledged as exceptional and significant representatives in MNCs. For example, the Japanese MNCs principally advance localization within Europe and America. On the other hand, in abroad auxiliaries of Japanese MNCs in Asian nations, Japanese expatriates from central command actually assume significant parts, rather than nearby representatives, despite the fact that limitation is likewise led slowly in these auxiliaries (Zhou,Yanghua , 2020).
Having a spurred labour force has a scope of benefits, for example, deprived degree of truancy, maintenance of labourers and low degrees of employee turnover, further developed relations among the executives and labourers, further developed specialist execution, further developed quality and further developed client support. Some of the majorly seen benefits of motivating expatriate workers within the international business ecology are described in detail below.
- Augmented expatriate involvement into the work: Expatriate's inspiration and commitment are characteristically connected. A mentally involved worker is important for an association, with research showing that profoundly drawn in groups bring about 21% expanded business productivity. For example some of the big companies like IBM are using tactics like giving them perks as blue points which the expatriate worker can en-cash any time. This not only gives them a motivation to work however it also makes them additionally engaged towards their work which directly leads to organizational development.
- Decreased levels of non-attendance - Expatriate workers usually take their profession very seriously still there are cases where it has been seen after delivering the work they take leaves for no reason. Thus if the company provides them proper motivation to work the level of absenteeism decrease and they become more productive (Singh, 2018).
- Further developed relations among the administration and labourers: This could imply that workers are almost certain to acknowledge changes without question, and will be more averse to make either lawful or modern move against directors.
- Lower attrition rate: One of the noticeable benefits of motivating the expatriate worker is that companies can identify lower attrition rate. Any employee will always look for better opportunities and as they get jobs which are paying them additional as compared to the current organization they immediately switch to that company. As a result motivating this employees by not only giving them rewards but also by praising their work will help the companies in holding the expatriate for a longer period of time which is both beneficial for company and for the expatriate too.
- Enhanced association among the executives and expatriate: While motivating the expatriate workers management as well as the mangers always focus on getting the maximum out of them. In order to do so they need to create proper alliances with the expatriate this can be done through by motivating. This directly helps in creating a bond with the managers which also lead to better performance of the expatriate (Mensah, 2016).
So, from the overall discussion it can be said that motivating the expatriate worker helps the employees as well as companies and return they both get benefited vice versa. The global business environment also needs more these kinds of workers so that companies can get better performance and in return the employees get more enthusiasm to work for their betterment too.
Ways in which this leads to competitive advantage for MNCs
Employee satisfaction and motivation has been one of the major influences on individual employees and their performance within the companies. It is a very well-known fact that in international business in marketing the expatriate plays an important role in amalgamation of regional cultures and institutional factors which has impacted the satisfaction and motivational levels of the employees working for the company (Fang et al., 2020). It can be noticed that expatriates play an important role in globalisation in international marketing in trading which impact the performance of multinational corporations and trading industry due to the culture that has been inculcated by these individuals into the organisational context. Expatriates help in promoting localisation in the countries. Globalisation of trade within the countries has encouraged multinational corporations to operate in different geographic areas. This has resulted in the mobility of talent as one of the key channels through which it has been able to help the Global organisations to develop competitive advantages (Rui et al., 2017). Expatriates help the companies in establishing their operations in other countries by entering overseas markets or transferring their skills and knowledge to the business partner of their companies which helps in bringing a competitive edge to the MNCs.
Expatriates have a better understanding and deeper knowledge of the local market conditions along with the different business practices and cultural factors than the employees who try to conduct business on an overseas platform from the headquarters. This local understanding and awareness of these expatriates help the organisations in terms of reducing risk and avoiding mistakes that could have resulted in limited market success (Widmier et al., 2018). The expatriates have a better understanding of the culture, standards and values of their parent companies as they work very closely with the overseas distributors, subsidiaries, agents and joint venture partners. By instilling the culture and practices of the parent company within the MNCs, the expatriates have helped in ensuring that the customers receive proper and consistent standards of products and services in all their export territories. These individuals have the ability of transferring the skills and knowledge to the overseas partners which has been one of the major aspects of leading the organisations to gaining competitive advantage in the local and global market (Dahms, 2019). For example, these individuals can help the business partners to implement corporate working practices and various policies to maintain quality standards by utilising techniques and technologies that have been developed in the parent company. The expatriates who are working with local distributors or agents are able to provide their partners with different products and several market knowledge in order to develop joint programs for the purpose of improving market penetration which can ensure that the MNCs receive a competitive edge in the working business environment (Bednarova et al., 2018). The multinational corporation has been able to increase their business activities and financial control over the local operations by appointing different expatriates to manage various business activities in export territories. We provide the headquarters with systematic and accurate reports and are in a position to take any form of remedial actions if the partners are not able to fulfil the achievable targets. They also focus on ensuring that all the local partners are complying with various policies and procedures within the organisational context in order to maintain the quality of the product and customer service standard (Valk, 2021). Appointing employees overseas assignment has been helpful for the organisations in terms of developing their management skills and competencies where these expatriates learn to recognise and understand different aspects and diversity of the local market conditions in various territories. This provides them with a broader perspective on marketing and enhances the competitive advantage of the multinational corporations.
To conclude, this essay has been successful and shows the advantages of motivating and encouraging and expatriate employees within the international business world. It has significantly found out that motivating the expatriate workers has been helpful for the multinational corporation in terms of organisational benefit along with receiving a competitive edge within the business environment. It is very well known that the Global Business Environment needs employees who can help in improving the performance of the company by contributing their skills and knowledge to develop organisational operation. It also successfully describes the ways in which a motivated expatriate employee can be beneficial for the companies in terms of bringing competitive edge. It has been significantly found out that the expatriates who work in international projects have a greater perspective on different areas of the market which enhances the comparative advantage of the multinational corporations operating across the globe. With the help of appointing an expatriate in global operations, the MNCs have been able to take charge of financial and business control within all the operational areas.
Essay 2: The concept of globalisation is fundamental to organisational success in international human resource management. Critically identify and examine its impact on MNCs’
The second essay is related to the topic of globalisation and how it is important to corporal achievement in global HRM. The focus of the essay is primarily on the effect of integration of the global market on HRM and how it is impacting the MNC. In general the term globalisation can be defined to illustrate in what manner the business as well as IT have created the globe additionally linked as well as inter-reliant place. The globalisation is also known as the integration of the global market which again holds in its range the financial as well as communal modification which have brought as an outcome. Also, international human resource management is eluded as a group of works which is focussing on managing the human asset at global level. It endeavours to meet hierarchical targets and accomplish the upper hand over contenders at the local and global levels. Overall from the entire an idea can also be gained on how these concepts are linked with each other and impacting the working of the global companies.
Explanation on how globalisation is fundamental to organisational success in international human resource management
The integration of the global market has the most significant effect over the human asset the executives practice overall. As far as some might be concerned, globalization makes pressures for taking best, an adaptable arrangement of HRM rehearses that can spread all over the planet. A power contacts the existences of individuals living in all nations of the world. Because of the integration of the global business sector a varied set of workers toil altogether within the same company that give generation to betterment of international human resource management segment as well as the association among workers from all across the planet which has finally give generation to an augmented in confidence in the place of work of workers. Globalization represents free progression of innovation and HR across public limits introducing an always showing signs of change and cutthroat business climate. This part of globalization has additionally impacted the IHRM in the business universe of today. HR administrators these days do not have to depend on a little restricted market to track down the right workers expected to address the worldwide difficulty, yet today they can select the workers from across the globe. The future outcome of any associations depends on the capacity to deal with a different collection of ability that can bring creative thoughts, viewpoints and perspectives to their work. In this way, a HR director should be careful and may utilize a 'Think Global, Act Local' approach much of the time. Numerous neighbourhood HR administrators need to go through social based Human Resource Management preparing to additional their capacities to inspire a gathering of expert that are exceptionally qualified yet socially assorted. Some of the notable impact of globalisation on IHRM is:
- Administering the national diversity
- Overseeing Expatriates
- The distinction in the Employment Regulation
- Overseeing Outsourcing of representatives
- Overseeing virtual representatives
- Corporate Social Responsibility
- Adapting to adaptable working hour
- Development of additional temporary work
- Dealing with the developing IT notions as well as class measured
- Modifying viewpoint from assistants to stakeholders (Dr. Sharma, 2018).
Globalization impact on MNCs’ organisational effectiveness during expatriation
In recent times, all the individuals and organisations operating in the global environment are living in a global context where the companies have the ability to expand all over the world. Expatriation is a phenomenon that stands out in the wider context of globalisation. It can be significantly seen that the world is said to be a globalised place with the help of an implication where individuals and money have the ability to move around the globe more frequently than previous times (Roque and Ramos, 2019). Expatriation is a direct product of the globalisation process that has allowed the individuals to work in overseas locations. One of the most common practices that take place within the multinational operation is to delegate their important managerial role in overseas operations with individuals from the company's country of origin (Maley et al., 2020). Globalisation has been able to facilitate expatriation that can be typically used for the purpose of supporting foreign operations within the same company operating in a global business market. With the help of globalisation, the expatriate has been able to develop their talents and share their knowledge with all the individuals working across the globe which has also helped in strengthening the flow of cultural knowledge between all the operational offices in various countries within the multinational corporations (Miocevic et al., 2021). The organisations have been able to understand the requirement of information exchange between their headquarters and the local offices and it has been possible only due to globalisation that has resulted in developing potential talents through various missions of expatriation. Globalisation has affected and resulted in the rising number of expatriates in developing countries that has helped in improving the effectiveness of the organisational outcomes and goal attainment of the organisation.
It can be stated that globalisation has resulted in accelerating the intensification in interaction of individuals and integrating various processes within the operational aspects of the company which has improved the organisational outcomes and efficiency of the employees along with their competencies (Dabic et al., 2015). Globalisation has also increased sophisticated communication and transportation of different technologies and services across the borders that have helped in mass migration and individual mobility. Globalisation is a process that has helped in integrating different nations and individuals at political, economic and cultural levels. With all the organisations and businesses becoming increasingly global, the individuals who possess International experience have become one of the integral parts for multinational corporations. Globalisation has not only resulted in the mobility of goods and services across borders, it has also resulted in individuals moving across countries in order to develop themselves and find better employment opportunities that will provide them with better wages (Baruch et al., 2016). Most of the expatriates benefit from this by improving their skills and experience which they have been able to contribute successfully in terms of developing organisational operation and facilities in order to bring competitive edge to the multinational corporations. Expatriate has always made an important contribution in terms of helping the organisation develop their export markets along with their changing role within the organisational context that has been beneficial to the organisation operating in a competitive business environment (Sarkiunaite and Rocke, 2015). The organisation has been significantly able to increase and recognise the value of developing local talent in export markets that will help them in meeting various needs of the individual along with the market demands.
The employees who have been working on overseas assignments can be helpful for the organisation in terms of development of their own management skills and competencies that take and contribute to recognising and identifying the different needs of the local market across borders. It has been helpful for them to receive a broader perspective on marketing activities that increases the experience of developing the leadership qualities and interpersonal skills in order to manage and collaborate with multicultural teams (Chen, 2019). It has been found out that developing management along with the help of expatriate assignment has been helpful for the organisation in terms of developing the skills of an individual for the purpose of succeeding in global markets. The companies have received opportunities of developing and managing their business operations in export territories that have been helpful for them in improving the organisational performances and outcomes (Roque and Ramos, 2019). With the help of expatriate knowledge and skills, these companies have been able to establish their operational and financial control over the business by achieving the target and monitoring performance of the employees. The expatriates have a better understanding of the culture and the ways in which the companies operate which will help them in getting their activities done both professionally and personally. It will also help them improve the ways in which they work with their colleagues when they repatriate (Selmer et al., 2017).
The expatriates are better at nurturing and maintaining different relationships that have been helpful for them in facilitating better communication within the organisation and bring prospective clients for organisational benefits that have been helpful in contributing towards developing the operational aspects of the company and improving the effectiveness of the organisation. The organisations also focus on developing strategies for the purpose of improving the productivity of expatriates which includes providing them with organisational support in the form of diverse job training, cultural and language training, pre-departure and post-arrival mentoring, health and stress-reduction training (Gai et al., 2022). It has also been found out that expatriation is one of the basic aspects and integral ways of gaining foreign markets along with increasing the international reputation and profitability of the firm. Globalisation has been impactful for providing the employees with the opportunity of accepting international assignments in order to advance their expectations of career upon return. Globalisation has also increased the carrier mobility of the individuals in the global era which has been one of the major aspects of improving organisational operations and developing the functional aspects of the company thus bringing out the best outcomes and performances within the company.
This has been able to successfully demonstrate the term globalisation and how it has been significant in achieving the corporate objectives of the companies. Globalisation has been helpful in integrating most of the activities of the company which has helped them in developing organisational benefits and improving the outcomes of the organisation in different ways. It has also been helpful in identifying the ways in which globalisation has been able to increase the organisational effectiveness with the help of expatriation. It has also focused on analysing the ways in which globalisation has been able to contribute towards organisational success in terms of managing international human resources. Not only that, this essay also focuses on the notable impact of globalisation on international human resource management within the company and the way it has been able to contribute towards developing organisational outcomes and goal attainment of these organisations operating and global environment. It has been observed that the future outcome of any association depends on the capacity to deal with a different collection of abilities that can bring creative thoughts, viewpoints and perspectives to their work.
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