The Strategic Role of Hrm in Multinational Corporations
The Strategic Role of HRM in Multinational Corporations – A Holistic Perspective.
Sanjay Bhavnani
Director & Chief Operating Officer
MMS Maritime Agency(I) Pvt Ltd
Mumbai.
A Subsidiary Company of Meiji Shipping Group, Japan
To say that Human Resource Management is assuming a key importance in all organizations would be an understatement. It would be far more realistic to recognize the fact that the field of HRM is being perceived as more strategic in nature at all levels of an Organization which till very recently was being viewed traditionally as primarily operational in its function.
As more firms move outside their domestic borders into the dynamic world of international business, the globalization of world markets appears to be gaining momentum. The last two decades, in particular, have seen dramatic changes in international trade and business. Once-safe markets are now fierce battlegrounds where firms aggressively fight for markets share against foreign and domestic competitors. It is, therefore, not surprising to find that a large proportion of the workforce in an increasing number of firms, regardless of their national origin, is located in other countries. These trends are likely to continue well into the 21st century.
This globalization of business is forcing managers to grapple with complex issues as they seek to gain or sustain a competitive advantage. Faced with unprecedented levels of foreign competition at home and abroad, firms are beginning to recognize not only that international business is high on top management’s list of priorities but also that finding and nurturing the human resources required to implement an international or global strategy is of critical importance. Effective human resource management (HRM) is essential, especially for small and medium firms where international expansion places additional stress on limited resources, particularly people.
Virtually any type of international problem, in the final analysis, is either
Sanjay Bhavnani
Director & Chief Operating Officer
MMS Maritime Agency(I) Pvt Ltd
Mumbai.
A Subsidiary Company of Meiji Shipping Group, Japan
To say that Human Resource Management is assuming a key importance in all organizations would be an understatement. It would be far more realistic to recognize the fact that the field of HRM is being perceived as more strategic in nature at all levels of an Organization which till very recently was being viewed traditionally as primarily operational in its function.
As more firms move outside their domestic borders into the dynamic world of international business, the globalization of world markets appears to be gaining momentum. The last two decades, in particular, have seen dramatic changes in international trade and business. Once-safe markets are now fierce battlegrounds where firms aggressively fight for markets share against foreign and domestic competitors. It is, therefore, not surprising to find that a large proportion of the workforce in an increasing number of firms, regardless of their national origin, is located in other countries. These trends are likely to continue well into the 21st century.
This globalization of business is forcing managers to grapple with complex issues as they seek to gain or sustain a competitive advantage. Faced with unprecedented levels of foreign competition at home and abroad, firms are beginning to recognize not only that international business is high on top management’s list of priorities but also that finding and nurturing the human resources required to implement an international or global strategy is of critical importance. Effective human resource management (HRM) is essential, especially for small and medium firms where international expansion places additional stress on limited resources, particularly people.
Virtually any type of international problem, in the final analysis, is either
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