Main Challenge in International Staffing

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ADRIEN KARCHER EIM4 UB1

International Human Resources Management

2nd Assignment : Describe the main challenges in International Staffing.

Ever since the globalization began, companies became more aware of the competitive environments they operate in. It is obvious that a competitive advantage such as technology, resources and quality can be imitated. It’s the peoples that a company employs that makes the difference. Making the right selection and most efficient use of it will surely provide the advantage needed. In this assignment, we will define in a first part the four main approaches to staffing within International Human Resource Management and what are the advantages and disadvantages of each approach to international management. In a second part we will speak about recruitment and selection of the staff in foreign subsidiaries.

Heenan and Perlmutter identified approaches to manage foreign subsidiaries which are, ethnocentric, polycentric, geocentric and regiocentric. In this part we will examine the connection between this approaches and staffing practices as well as the advantages and disadvantages of this differents approaches. The first approach is called ethnocentric. Employees from headquarters base it on the occupation of a key position. It is assumed that expatriates can manage subsidiaries more efficiently. This is because expatriates are more informed about the company's goals and objectives, strategies compared to the local managers. This method is used when expanding globally and there is need of good communication, cooperation and control of activities. Consequently, PCNs are assigned to top management positions who implement strategic decisions coming from headquarters. Hence, the selection of expatriates will depend on the technical knowledge required or the type of international expansion a company is planning. The ethnocentric approach provides the parent company with more control, which is vital when expanding to...
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