Globalizing Human Resource Management Narrative Essay Example
Globalizing Human Resource Management Narrative Essay Example

Globalizing Human Resource Management Narrative Essay Example

Available Only on StudyHippo
  • Pages: 5 (1126 words)
  • Published: October 28, 2018
  • Type: Essay
View Entire Sample
Text preview

In the last two centuries, the perception of knowledge and expertise by countries has undergone significant changes due to socioeconomic factors. The world's transformation into a global village, fueled by globalization driven by free trade, removal of trade barriers, increased foreign direct investment, unrestricted labor movement, and technological advancements (Robertson, 2005), has prompted nations like India to reevaluate their opportunities for success in this rapidly expanding global community.

Companies need to transform in order to survive and grow in the globalizing world. Currently, public firms in India are experiencing significant changes. Therefore, Human Resources must play a crucial role, along with business functions, in managing these complexities (Sparrow, Brewster and Harris, 2004). Now, let's concentrate on comprehending the true meaning of globalization.

The Genuine Definition of Globalization

To define globalization accurately, we must initially establish the concept of international trade.

International tr

...

ade refers to the exchange of goods and services between countries or the movement of labor and capital across borders. In contrast, globalization involves expanding markets beyond regional, national, and international boundaries and conducting business with an international perspective rather than a local one. Technological advancements have accelerated globalization by facilitating international trade through integration in telecommunications and financial markets. From an economic and political standpoint, globalization entails companies becoming denationalized and participating in cross-border exchanges (Kassai, 2008).

Globalization refers to the process that entails alterations in political ideologies, legal structure, and the establishment of global economies, including urban industries, financial markets, and village markets. When businesses opt to engage in foreign markets and establish their presence there, it is considered the globalization of their activities. Initially, they must acquaint themselves with various cultures and languages to adapt thei

View entire sample
Join StudyHippo to see entire essay

products or services. Subsequently, they can take advantage of the rapidly expanding internet industry by establishing a virtual presence in the fiercely competitive global markets.

Finally, by creating multilingual websites (Brewster et al 2004), businesses can tap into the existing e-business like Amazon. Globalization encompasses four major components: the exchange of goods and services through trade, the movement of capital across borders, the movement of people, and the exchange of technology.

Globalization can be driven by:

  • Market forces that can be influenced by changes in a country's per capita income, changes in citizens' lifestyles, and changes in organizational behavior.
  • Cost factors that may include lobbying for economies of production and low labor costs due to the rise of newly industrialized nations with high production capacity.
  • Competition forces such as the emergence of strong global companies creating interdependency among countries, the rise of counterfeit goods produced by a new class of competition, and increased alliances globally.
  • Government forces including tariff reduction and removal of trade barriers, privatization of key firms worldwide,andthe formationoftradeblocsliketheEuropeanUnionandECOWAS (Carson,
    2009).

Globalization has emphasized the importanceoftheHuman Resource department within organizations.

Globalization has led to the belief that human resources are assets rather than liabilities for organizations competing globally. Proponents of globalization argue that the functions of human resources are changing due to international work transfers, advancements in HR technology, competition for talented employees, establishment of new structures for international HR operations, and a focus on marketing and corporate communications (Pinnington, 2007). In response to these developments, the HR function is adapting by forming alliances with other departments and acquiring new skills necessary for effective HR management.

The Role of Human Resource Managers in an Evolving Environment

Given the current changes in the HR field,

human resource professionals are expected to take on a leadership role. They must develop policies that will guide the future growth and evolution of HR departments.

The implementation of virtual offices will give priority to job performance rather than traditional working hours, leading to increased workplace flexibility with more employees working remotely. This will subsequently result in reduced meeting obligations for offsite employees and an evolution of job roles towards greater specialization and collaboration.

According to Pinnington (2007), managers will spend a considerable amount of time managing their teams, resulting in increased autonomy within the working groups. This decentralized Human Resource Management system will require managers to oversee employee orientation, foster corporate culture, and promote socialization in the workplace. They must also act as experts within the organization, shaping employee behavior even without face-to-face communication.

Thus, the HR department will need to find a way to incorporate all employees into their virtual work stations.

Challenges Faced by HR Managers

The concept of global business has presented a significant obstacle for HR managers in organizations. Small firms are experiencing rapid growth and anticipate their future success to be tied to the global market. These organizations heavily rely on the HR department to facilitate their international operations. HR managers must possess the knowledge and skills necessary to navigate various risks, such as cultural differences, language barriers, political ideologies, legal environments, and economic backgrounds. They will have the responsibility of managing global employees and implementing corporate policies across multiple countries.

Senior managers must be kept informed of the potential risks that non-compliance with international issues could bring to the company. HR managers will need to share their expertise with all company branches worldwide.

Additionally, if HR managers need to hire employees from different cultures, they should consider learning additional foreign languages themselves or hiring a translator.

Globalization facilitates the use of English as the preferred language by multinational companies. The relationship between globalization and culture, as well as their impact on business activities and HR professionals' attitudes, should be considered. Companies must acknowledge cultural differences and shape managers' character when expanding internationally (Kassai, 2008). This includes recognizing individual achievements, autonomy, competent supervision, fringe benefits, security, and societal norms. Embracing cultural diversity is crucial for organizations. HR managers should familiarize themselves with these norms to promote and appreciate the existing cultures within the organization. Appreciating cultural diversity helps attract and retain customers, reducing competition in the international market through the language and skills provided by employees from diverse backgrounds.

Competencies for a Human Resource Manager

HR managers must acquire the necessary knowledge and skills to effectively carry out their responsibilities (Czebter, 2009). These skills include being adaptable, cooperative, and adept at teamwork. Additionally, they should possess excellent communication skills, decisiveness, and leadership abilities.

Conclusion

Numerous researchers have emphasized the importance of HR departments facing significant challenges in order to function effectively in a global setting. In conclusion, the role of an HR manager can be summarized by distinguishing between local and global HR managers.

Global recruitment, management, and reward have been ailing, necessitating the establishment of a functional connection between them. In the future, HR managers will shift from administrative tasks to more complex responsibilities and will be consistently required to demonstrate their authority.

Get an explanation on any task
Get unstuck with the help of our AI assistant in seconds
New