Our academic experts are ready and waiting to assist with any writing project you may have. From simple essay plans, through to full dissertations, you can guarantee we have a service perfectly matched to your needs.
GET A 40% DISCOUNT ON YOU FIRST ORDER
This is the instructions to the term paper:
Textbook applicability and current events – Pick a chapter in the textbook and summarize each section. Then, find at least two articles published in the last 90 days related to the selected chapter and comment on how the article either supports or contradicts the principles discussed in the subject and what you think applies today.
Presentations must use PowerPoint; this is the only acceptable presentation format. If you do not know how to use Power Point, there are many tutorials available for learning it starting with MS Office help itself. There is no need for fancy transitions and or elaborate media. The Elluminate software cannot transpose it anyway. Present only the most interesting information collected from your research you will be graded on content, creativity and your ability to keep an audience interested in your presentation material. Remember that this is a Business Presentation and must be informative, but may also include humor to break the ice of a boring business meeting. (be professionally appropriate.) Inputting basic pictures or graphs found on the Internet is always a good idea. Remember you will be presenting with a microphone in the live chat room and I will give you moderator control and an explanation how to use it when your turn comes.
So far I have completed the summary and found two current events. I need help pulling it all together and making a power point presentation.
This is what I have completed so far:
Chapter 13 summary:
Chapter 13 first reviews the four main areas of Global Human Resource Management (HRM): (1) staffing, (2) training and development, (3) compensation and performance appraisal, and (4) labor relations. Second, Peng uses institution based and resource based views to shed light on these issues. Lastly, Peng outlines the five Cs of HRM.
Staffing is the human resource management (HRM) activities in hiring employees and filling positions. Multinational enterprises (MNE’s) consists of two types of employees; host-country nationals (HCNs) or known as locals and expatriates. Expatriates are nonnative employees that work in foreign countries. There are two types of expatriates, (1) parent-country nationals (PCNs) are employees that come from the parent country of the MNE, (2) third-country nationals (TCNs) are employees that are not from neither the parent country nor the host country. The majority of multinational enterprises employees are host-country nationals or called natives. Staffing choices are not random and the majority of the time are a reflection of the strategic posture.
There are three approaches for making staffing decisions for top positions. The ethnocentric approach emphasizes the norms and practices of the parent company. The PCNs ensure and facilitate control and coordination from the headquarters. These employees may also be the best qualified for the job because of experience or special skills. When the HCNs has a lack in talent and skills is when the ethnocentric approach would be necessary. The polycentric approach is the opposite of the ethnocentric approach. The polycentric approach focuses on the practices of the host country. What comes to mind when I hear this approach is from IBU430 Week 1 online video assignment, “When in China act like a Chinese”. Peng says, “When in Rome, do as the Romans do.” HCNs do not have language or cultural barriers. HCNs tend to stay in their positions longer providing more consistency in management, as well as by placing HCNs in top positions can send a morale-boosting signal to other HCNs that they can reach the top as well. The geocentric approach disregards nationality and focuses on finding the most suitable managers that can be PCNs, HCNs, or TCNs. This approach is characterized as being “color-blind”- color of the manager does not matter. In a geographically dispersed MNE, this approach can help create a corporate-wide cultural and identity. This reduces the typical them-versus-us feeling in firms that use either ethnocentric or polycentric approaches. But molding managers from a variety of nationalities is a lot more complex than integrating individuals from the parent or host countries. There are systematic link between MNEs strategic postures and staffing approaches.
Expatriates play four important roles. They are strategists representing the interests of the MNE’s headquarters. They are daily managers who run the operations and build local capabilities where local talent is lacking. They are ambassadors, representing headquarters’ interests. They build relationships with the host countries stakeholders. Importantly, expatriates also serve as ambassadors representing the interests of the subsidiaries when interacting with headquarters. Lastly, expatriates are trainers for their replacements. Overtime some localization in staffing is inevitable, calling for expatriates to train local employees.
Expatriates have a high failure rate because few can play the challenging multidimensional roles effectively. The failure of expatriates can be measured in three ways: (1) premature return (2) unmet business objectives, and (3) unfulfilled career development objectives. Because expatriates are normally the most expensive group of managers, the cost of each failure is major. This can cost between a quarter of a million and one million dollars. Expatriation can fail from a variety of different reasons. Surveys from the US and European MNEs found that the leading cause of failure was the spouse of family of the expatriates inability to adjust to life in a foreign country. In the survey from the Japanese MNEs, the leading cause is the inability to cope with the larger scope of responsibilities of living overseas. But it is normally a combination of work-related and family-related problems that leads to failures. When selecting an expatriate selection there are a few factors to consider; corporate headquarters preferences, host country/ subsidiary preferences, language, spouse and family preferences, cross-cultural adaptability, and technical ability and expertise. Peng states that many MNEs either select expatriates that are in their fifties because they are less likely to have children at home or promote younger expatriated in their late twenties and early thirties who may not have children.
13.2 Training and Development
Training is specific preparation to do a particular job. Development refers to long-term, broader preparation to improve managerial skills. Training and development focus on two groups: (1) expatriates (2) HCNs. Due to the importance and cost of expatriates and their high failure rates make training necessary. Firms that do provide training normally many offer short one-day programs that are inadequate for one person to comprehend. Depending on how long the expatriate is planning to stay should be the level of training that is provided. If it is just a short stay training can be short and less rigorous. However for a long stay of several years or more a more in-depth rigorous training would be imperative. Preparation should involve learning the language and culture. Because of the high failure rates firms often involve the spouse in the expatriate training as well.
13.3 Compensation and performance appraisal
Compensation is a part of HRM and refers to the salary and benefits employees receive. Performance appraisal is the evaluation of employees’ performance for the purpose of promotion, retention, and ending employment. Compensation for expatriates is a leading issue in international HRM. What is the proper compensation and motivation to retain expatriates? The going rate approach pays expatriates the going rate for similar positions in the host country. This approach fosters equality among all in the same industry. It also makes countries where pay is higher more appealing places to work. The balance sheet approach balances the cost of living differences relative to parent-country levels and then adds a bonus to make the package look attractive. This is the most used expatriate compensation. Because expatriates from developed economies offering higher pay are not going to leave and go to under-developed lower pay locations. Compensation for the host-country nationals is at the bottom end of the compensation scale. This is especially of those in developing countries, they have little bargaining power, and they accept wage levels substantially lower than in well developed countries.
Performance appraisal determines what the follow-up compensation will be. Performance appraisal helps managers make decisions regarding pay, and promotion, development, documentation, and subordinate expression. When expatriates evaluate HCNs cultural differences can create problems. Expatriates should be evaluated by their supervisors. In most cases their supervisors are senior executives based at the headquarters, not having any expatriate experience themselves.
13.4 Labor Relations
Labor relations refers to a firm’s relations with organized labor unions in both the host and home countries. Most MNEs choose to deal with nonunionized workforces. The reason being that, in developed countries labor unions are organized with the purpose of helping workers earn higher wages and improve benefits through a bargaining process. In the US unionized employees make 30% higher wages than nonunionized workers. Employees in union’s bargaining chip they use against the organization is strike, slow down work, refuse to work any overtime, or any other form of disruption with work. Organizations that have union’s bargaining chip is shutting down and offshoring jobs.
13.5 Institutions, Resources, and Human Resource Management
Formal and informal rules shape HRM significantly. Every country has formal laws and regulations governing the do’s and don’ts. Foreign firms that ignore these rules do so at their own peril. An example out of the course textbook (Peng, 2018) is Japanese discriminate against woman and minorities however when Japanese MNEs engage in those activities in the US they would face legal consequences.
Informal rules of the game; cultures, norms, and values are also a powerful influence. There are many different norms of staffing in other countries. While these topics are important HR managers have to avoid stereotyping. HR practices support organizational capabilities to accomplish performance goals. Too little or too much diversity can affect performance negatively.
13.6 The Four C’s
The four C’s for HR managers to follow during implications of actions:
Be curious by knowing all formal and informal rules governing HRM in all regions of the organizations operations.
Be competent by developing organizational capabilities that drive business success.
Be courageous and caring by nurturing and developing people into their talent.
Two Current Events:
I was able to find a current article on Bloomberg.com regarding China making Ethiopia into a giant Fast-Fashion Factory. In the article it discusses how a China business owner (Raghav Pattar) has built a brand new factory in Indochine called Hawassa Industrial Park. In the six months they have been open he is already employing 1,400 locals, and is planning to employ 20,000 Ethiopians by the year 2019. In the article it states Beijing’s big experiment in outsourcing, Africa has the potential to make $10 billion. All employees begin work by going through a five-day induction program that focuses on basic skills (personal hygiene, grooming, and self-discipline) and expatriates state that some just don’t get it. They make clothes for Children’s Place, Levi Strauss & Co., and Guess, they also make a lot of clothes that are sold in Walmart. In managing an untrained workforce is slightly more challenging for manufacturers then getting the goods out. Because they have choose to outsource in undeveloped country they feel like they have gone back into the 1980’s-1990’s in China. But this industry moving into the country has created a developing economy in Ethiopia. In the article an 18 year line worker states that since the opening of Hawassa Industrial Park people are living better than they were. They have a means to make money now. The articles states some challenges that managers and supervisors are facing in international management. Some challenges that are being noticed are abundant amount of unskilled HCNs, not knowing how to manage the Ethiopian culture, unfair conditions and unmet promises, and low wages because of lack of competition.
The second article I will be discussing in my term paper is about the tighter restrictions that Trump has put on obtaining the H-1B Visa (work permit). He wants America organizations to hire Americans. This has created difficulties in hiring highly skilled foreigners. We will allow them to enter our country to earn their degree but that does not give them a visa to work here. Canada currently allows foreigners to get a green card if they earn a degree in their country, because they will be able to hire them.
Visa issues are limiting our ability to hire the best of the best candidates. Most companies are now just looking at the next candidate because seeing they are from another country makes them hesitant. The article describes the difficulties this has caused on international students looking for work. One students says, because she is not an US citizen and needs a visa, unfortunately many firms will not even interview her.
This is causing many of our large US banks to start looking into opening in other locations. This shows that Trump is creating it to where American organizations have to hire HCN’s and not expatriates.
Donahue, B. (2018, March 02). China Is Turning Ethiopia Into a Giant Fast-Fashion Factory. Retrieved March 15, 2018, from https://www.bloomberg.com/news/features/2018-03-02/china-is-turning-ethiopia-into-a-giant-fast-fashion-factory
Peng, M. W. (2018). Global 4: Global business. Boston, Ma. Cengage Learning.
Yang, Y., & Pogkas, D. (2018, February 22). Big Banks in U.S. Forced to Reevaluate Hiring Foreign Workers. Retrieved March 17, 2018, from https://www.bloomberg.com/news/articles/2018-02-22/big-banks-in-u-s-forced-