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Issues found in the Global HRM when the activities of the firms expand.

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Question: Define Global Human resource management

Answer: Global Human resource management

The concept incorporates the involvement of the management of people worldwide. The international or multinational company operates globally and it focuses on the business expertise or capacity to manufacturing of the parent company. Such multinational company has distinctive management attitude and different business style (Christiansen et al., 2017). Human Resource management hardly ignores the influence of the internationalization on the associated work.

Issues in Global HRM
There are various kind so issues found in the Global HRM when the activities of the firms expand to the other countries or cross the physical borders. The global issues in HRM incorporate:
• There exist various kinds of models in the international globalization.
• There is a necessity of variation of policy and procedures within different countries.
• There exists the problem of management of people in different environment and culture.
• International organizational style

Coordinated federation: It allows the development of sophisticated management style prompting to fully control the local market along with the link with the parent companies (Hitka et al., 2018). It lays stress on the local market scenario.

Decentralized federation: In the management style local unit is separated from the global unites and regarded as the separate entity for optimizing its performance in the locally build market.

Transnational model: in the model, the focus remains on the local market along with the global extension. The local market requirement is not ignored in the model.

Centralized hub model: The global market is emphasized more preferably than the local market. Such organizations are truly global or multinational.

Convergence and divergence is an important issue in the HR practices. The issues are a challenge to the HR department to manage the HR policy to remain same without making any changes. The multinational company focuses n making the similar kind of policy and procedure in the local and global market (Zhu and Warner, 2019). The parents company focuses on the imposing the key decisions on the global corporation, but there is a strong argument related to the local autonomy to be offered to each Global HR department to function independently. The convergence is improving due to some important factors which are given below:
• the cost importance
• market power
• productivity and quality pressure
• the management of like-minded global personnel
• the benchmarking best practice

Cultural diversity
Environment and cultural diversity is a important issues to be focuses in the equitable application of HR policies in the international context regulated by large multinational corporations. cultural differences play significant role in formulation of HR policies. There are four dimensions of cultural diversity which are to be focused:

Collectivism v individualism: There is culture which gives high priority to self and family. It comes under the category of individualism. In the collectivism, people give priority to the group and others.

Power distance: I the high power culture, there is a huge different between the bottom and top society, and on low power distance, there is slight different or little gap between bottom and top society.

Avoidance of uncertainty: there is a society in which t attitude is not favoured, and there are the kinds of society where tolerant attitude is favoured.

Femininity versus masculinity: The national prefers materialism or assertiveness, and there are some nations which prefer people's welfare and relationship.

In the current context, it is found that Japans organizations offer employment for life time whereas the America multinational organizations provide short term employment. The Japanese organization promotes from inside while American multinationals focuses on the recruitment form outside. The japans firms focuses on eth shared discussion while American firm focuses on the individual decisions makings. The japans firms are associated with the long-term appraisal while American multinational companies consider the short-term performance.


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