Global HRM and Information Technology

 Global HRM and Information Technology

Figure 01

What is Global HRM? 

Under the global context, understanding how multinational Corporations (MNCs) can operate more effectively becomes more important than ever. This links an MNC with the need for an internationalized strategy that can direct its subsidiaries’ operation not only in the home country but also in different parts of the world. There are several reasons to develop an IHRM strategy: 1) at any level, HRM is important to strategy implementation (Hamel & Prahalad, 1986; Schuler and Jackson 2001); 2)major strategic components of multinational enterprises have a major influence on international management issues, functions, and policies and practices(Edstrom and Galbraith, 1977; Robers et al., 1998); 3) 3) the attainment of the concerns and goals of MNCs can be influenced by many of these characteristics of IHRM (Kobrin,1992);

Human resource management at a public or private company that operates across multiple countries or continents is known as global human resource management

 Organizations, large and small, have become global as a result of the coming of globalization. As a result, the workforce has become more diverse, and cultural sensitivities have become more prominent than ever. As a result of all of this, Global Human Resource Management was born.

  It can be classified the objectives of global HRM as follows (ManagementStudyGuide,2018).

• Create a local appeal without compromising upon the global identity.
• Generating awareness of cross-cultural sensitivities among managers globally and hiring of staff across geographic boundaries.
• Training upon cultures and sensitivities of the host country.

Figure 02

The Impact of Technology on Global HRM

The growth of service center models is inextricably linked to technological advancements. As a result, an increasing number of service center activities can now be conducted online to foster an ethos of employee self-service or self-reliance. Behind-the-scenes operations for this service can be managed in-house or outsourced to companies with the technological skills to provide such services at a cheap cost.

Ghoshal and Gratton (2002) express four important integration activities that the corporate HR center can make a unique contribution as noted below,

 Operational integration through standardized technology:

On a worldwide scale, E-enablement of HR. Employees can use portals to get a unified view of the HR department and to assist consolidate HR processes.

Intellectual integration through the creation of a shared knowledge base:

Corporate HR functions may ensure that the function's intellectual capital is quickly codified and shared among constituent HR functions by focusing on developing, sharing, and exchanging knowledge both within and beyond the HR community.

Social integration through the creation of collective bonds of performance.

This is where the function determines what it wants to accomplish and how it will accomplish it. New patterns of social integration can be seen in the shift within global HR toward working through global networks.

Emotional integration through a sense of shared identity and meaning.

This is about mobilizing hearts and minds to support change initiatives. Examine the necessity for foreign HR practitioners to act as cultural guardians as they strike a new balance between the application of global rule sets to HR procedures and the need for local cultural responsiveness.

References : 

https://www.sage.com/en-gb/blog/glossary/what-is-global-human-resources-management/ [Accessed on: 5th May 2022].

https://www.sage.com/en-gb/blog/glossary/what-is-global-human-resources-management/ [Accessed on: 5th May 2022].

https://www.textroad.com/pdf/JBASR/J.%20Basic.%20Appl.%20Sci.%20Res.,%203(1)1034-1038,%202013.pdf [Accessed on: 5th May 2022].

https://www.ukessays.com/essays/business/international-human-resource-management-a-literature-review-business-essay.php [Accessed on: 5th May 2022].