HR

Management of International Human Resources



Table of Contents

Introduction1

Expatriate failure1

Expatriate management1

Possible outcomes3

Missing talent3

Enough qualified talent4

Expatriate management and workplace diversity4

Reasons for diversity in workforce5

Conclusion5

References7

Management of International Human Resources

Introduction

The role of Human Resource Management in the success or failure of an organization is an evolving one. The changing market environment and the realization that human resource management may be used as a strategic tool in aiding the organization achieve its objectives are the major reason behind this evolution in the role of human resource department. The importance of the role of the HR department increases multifold in international organizations as these organizations have a diverse expatriate organization (McMullen & Rutherford, 2003, p. 321). Organizations that have the competitive advantage in their human resource are the most successful in that this is one aspect which cannot be copied by the competition easily. Expatriate failure has led to the enhancement in the role of human resource department of an international organization in the form of expatriate management.

Expatriate failure

The use of expatriates in international organizations is very common. These organizations employ expatriates for critical assignments as these expatriates help the international organization in getting entry into new geographical regions. In addition, these expatriates also bring with them the local market intelligence and competence. The expatriate failure refers to the situation where the expatriates return to their own country. This is because of two reasons (Chew, 2004, p. 1). Either the assignment on which these expatriates are working on fail or it is the international organization that fails to retain the expatriates. There are certain scenarios where the selection of the expatriate is not appropriate or the expatriates feel that they do not fit into the new environment. A major reason for this is the cultural diversity in the international organization and the failure of the human resource department to manage it.

It is imperative to state here in detail that expatriate failure is not limited to premature return only. It also encompasses the low performance of the expatriate employees, the issues related employee adjustment in the new environment and others. Expatriate failure is also called expatriate transfer or expatriate turnover.

Expatriate management

In the study of several organizations that have failed to manage their expatriate workforce revealed that there are certain steps that if taken by the human resource department can save the organization from the probability of facing an expatriate crisis. The following figure illustrates the ideal international assignment cycle (Forster Johnson 1996 pp. 177):

Figure 1) International Assignment Cycle

In the above diagram, the cycle begins with the recruitment and selection whereby a profile is developed for the kind of people who would be needed in the international assignment. This profile is in relevance with the requirements of the assignment. The internal as well as external people may be required to work on the assignment. Hence, an international project does not mean that only the expatriates will be working on it. In the second stage, the shortlisted candidates are passes through a rigorous recruitment process to ...