Human Resource Management

Essay by Wardie August 2006

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Human resource management is somewhat different in the global environment that in the domestic environment. Several factors contribute to this. One factor is the differences in worldwide labor markets. Each country has a different min of workers, labor costs, and companies. Companies can choose the mix of human resources that is best for them. Another factor is differences in worker mobility. Various obstacles make it difficult or impossible to move workers form one country to another. These include physical, economic, legal, and cultural barriers.

Still another factor is managerial practices. Different business subcultures choose to manage their resources, including people, in different ways. The more countries in which a company operates, the greater the problem of conflicting managerial practices. Yet another factor is the difference between national and global orientations. Companies aspire toward global approaches. However, getting workers to set aside their national approaches is challenging. A final factor is control.

Managing diverse people in faraway places is more difficult than managing employees at home.


Most companies obtain unskilled and semiskilled workers in local markets unless the supply is inadequate. Locals or host- country nationals are natives of the country in which they work. For skilled, technical, and managerial workers, companies have several options. They can sometimes hire these workers locally. In other cases, the companies must choose expatriates. Expatriates are people who live and work outside their native courtiers. Expatriates from the country where the company for whom they work is headquartered are called parent- country national or home- county nationals. Expatriates form other countries are called third- country nationals.

Each company must balance the advantages and disadvantages of hiring each type of worker. Locals are usually culturally sensitive and easy to find, but they may not have the knowledge and skills...