HRM in a MNE

[Name of the Institute]Question # 1

Answer.

The main difference between the domestic cultural diversification and international HRM is that the in domestic Human Resource Management the HR manager has to recruit the employees within the boundary, so there is no much cultural difference between the people while in the international HRM which is outside the boundary, the HR has to select those people outside the boundary. Another difference between these two domestic cultural diversification and international HRM is that in international HRM, there is more diversification based on the culture because people are inside the boundary while outside the boundary, there is more cultural diversity (Briscoe, 2012).

Question # 2

Answer.

The two factors that drive the diversity standardization in practices of human resource management are as follows.

Organizational Context

Host Country Culture and workplace environment

Organizational Context

In an organizational context, various other factors are involved such as the mode of operation involved, the strategy and structure of organization, size and the maturity of the organization and the relative importance of the subsidiary such as Schering AG and Motorola etc. In organizational structure, these factors drive the standardization for the practices of the human resource management.

Host Country Culture and workplace environment

Host country culture and workplace environment includes factors like Germany and Britain or USA and China. The workplace culture and environment is different and therefore, these factors affect the practices of Human Resource Management to drive standardization.

Yes, it is an advantage for Multinational enterprise to adopt the world wide cooperate culture because it the MNE adopts the world wide cooperate culture then it will be helpful for them. If HR of MNE adopts the world wide culture, where the people in the subsidy belongs to the same culture then it will be beneficial for the organization. If people in the subsidiary belongs to the respective culture and environment like the people in India do not prefer beef so, local people knows about their taste and preferences and manufactures accordingly in the fast food restaurant. Thus, local people plays an important role so for Human Resource Management it is essential for them to hire a person who belongs to the specific area to have cultural guidance and preference of the people which is helpful and beneficial for Multinational Enterprise.

Question # 3

Answer.

The Role of Subsidiary

The subsidiary identifies the position for a particular unit with respect to the expected performance and the rest of the business contributions. Its role varies in power, relationships of resources, functions and taking initiatives. It actively participates in the champing for the management of subsidiary and predisposition of the top management and also the environment of the host country.

The Role of Subsidiary

Global Innovators

Subsidiary acts as the fountain head of knowledge for other units. In the start of their development, the Multinational corporations served as the Global innovators while on the other hand, the role of the foreign units is the role of the implementer (Farndale, 2010).

Integrated Player

The role of the subsidiary is the responsibility of the creation of information like the ...