CASE STUDY ANALYSIS

Case Study Analysis

Answer to Question 11

Introduction1

Content1

1.HRM in MNC Subsidiaries in China1

2.Societal Cultural Impact on HRM practices in China2

3.Equal Treatment of Expatriates Managers and Local Managers3

4.High Tech Organizations and Human Resource Management in China3

5.Management of Human Resources4

6.Relationship between Firm's Performance and HRM Practices4

Conclusion5

Answer to Question 26

Introduction6

Content6

1.Performance Appraisal System6

2.Western Performance Management System in China9

Conclusion10

References11

Appendix15

Case Study Analysis

Answer to Question 1

Introduction

The cultural background has a deep impact on the various activities of HRM such as training course design, selection activities and delivery of training. The people from different cultures have their own way of responding to standardized practices of HRM. Therefore, the companies that have global operations should try to consider the background of the local people in that country for the successful implementation of the HR policies.

Content

HRM in MNC Subsidiaries in China

The multinational corporations try to use various methods to create integration between the human resource practices that are used in all of its foreign subsidiaries. The MNCs are trying to use various integration mechanisms which are both formal and informal in different combinations and different levels of intensity. The use of HR coordination process in the foreign subsidiaries emphasizes on the heterarchical MNC. The MNCs that have the same national origin also use different mechanisms. The subsidiary is considered to be important based on its size. The large subsidiaries are assumed to have more resources which they can devote to the development of knowledge which will add value to the MNCs operations. The integration mechanism also depends on the degree of dependency on the foreign subsidiary by the MNC. The higher level of interdependence leads to the high degree of integration which enhances the efficiency of the company as a whole. The numbers of expatriates serve the purpose of integration. They play a very important role in linking the foreign subsidiary to the MNC. The HR manager of the subsidiary also plays a very important role in the integration mechanism of HRM. The managers that will have the experience of working with the Chinese firms or have not worked in HR also affects the utilization of HRM for integration mechanism. The lower level of absorptive capacity along with the lower level of strategic capabilities of HRM also acts as hindrance or barrier towards the transfer of HRM policies and practices (Smale et al, 2012: 01).

Societal Cultural Impact on HRM practices in China

In China, the business organizations manage their people in an efficient manner because the human resource practices in China are purely customized so that the needs of the local people are taken into consideration properly. Therefore, the local organizations manage their employees in a different manner as compared to the western companies. The societal culture is the important factor that helps to analyse the systematic differences in the HRM policies and practices. The cultural factors create a natural cohesiveness in the various entities in a cultural environment that shape the behaviors, values and beliefs of people. The attitude and behavior is consistent in a particular cultural ...