A contingency matrix approach to IHRM

The global economy is a reality. The challenge facing international human resource management (IHRM) is not whether to use widely recognized HR concepts and techniques but rather how to effectively adapt and fit them across cultures. The purpose of this article is to suggest and demonstrate a contingency matrix approach to IHRM. After first explaining what is meant by the contingency matrix approach, the remainder of the article uses a sampling of the HR research literature from Japan, Germany, Mexico, and China to show how a contingency matrix could be used for effective IHRM. © 1997 John Wiley & Sons, Inc.     

Globalization of HR at function level: four UK-based case studies of the international recruitment and selection process

A series of the changes are being wrought on a range of IHRM functions – recruitment, global staffing, management development and careers, and rewards – by the process of globalization highlighting the difference between globally standardized, optimized or localized HR processes. However, our theoretical understanding of the issues involved is still driven by concepts rooted in global staffing strategies based on the management of small cadres of international managers, such as expatriates. The fragmentation of international employee populations and the changing structure and role of international HR functions has raised three important questions. The first concerns the study of globalization processes at functional level (staffing) and whether this can provide useful insights for the IHRM literature. The second concerns the indicators that best evidence globalization of staffing at the functional level, and whether these might form the basis of useful future research. The third concerns the patterns or strategies within the global HR recruitment activity of organizations across domestic and overseas labour markets and whether these patterns can be explained by existing theory. This paper reports on a study of firm-level developments in international recruitment and selection, drawing upon an analysis of four case studies each conducted in four theoretically derived contexts of centralized or decentralized control and co-ordination, and focus on domestic or overseas markets. It examines the disparities between policy and practice through interview of HR actors at corporate level and in country operations.     

Context‐bound configurations of corporate HR functions in multinational corporations

Considerable attention has focused on how multinational corporations (MNCs) deal with the simultaneous pressures of globalization and localization when it comes to human resource management (HRM). HR function activities in this process, however, have received less focus. The study presented here identifies configurations of the corporate HR function based on international HRM (IHRM) structures, exploring how issues of interdependency shape corporate HR roles. The study is based on 248 interviews in 16 MNCs based in 19 countries. The findings are applied to develop a contextually based framework outlining the main corporate HR function configurations in MNCs, including new insights into methods of IHRM practice design. © 2010 Wiley Periodicals, Inc.     

The benefits of global teams for international organizations: HR implications

Abstract

In this special issue we aim to advance the theoretical, conceptual and empirical knowledge about the relationship between global teams and human resource management in international organizations. We argue that although the prevalence of global teams in international organizations is rapidly rising, simultaneously affecting the management of firms on global, regional and local levels, the response of firms and scholars alike to such changes has been slower, especially in the area of IHRM. The HR function in organizations could play a vital role in understanding, managing and leveraging the benefits of global teams to ensure that they contribute positively to the performance of firms, organizational units, and people. We demonstrate that there is still a disconnect in this respect and we highlight several areas in which the increasing use of global teams may challenge our conventional understanding of IHRM issues, and at the same time offer solutions for improvement in international organizations. The selected articles in this special issue provide both theoretical and practitioner implications by highlighting the need to explore the relationship between global teams and IHRM more generally and fully, as well as the need for HR practitioners and IHRM scholars to focus more on the ‘human’ and less on the ‘resources’ aspect. We trust that readers of this issue will agree that the articles all offer novel insights into key issues that open new avenues for further research in this nascent yet promising area.     

The challenge of international human resource management: balancing the duality of strategy and practice

Over the last two decades there has been an unprecedented increase in the number of organizations that have internationalized their operations. The international movement of labour that has been concomitant with such expansion of international business has meant that issues associated with the management of human resources across international borders are increasingly important to international human resource managers and academics. The research presented in this paper examines international human resource management (IHRM) pedagogy and practice in Australia. It reports IHRM academicians' and practitioners' understanding of the major issues for teaching and practice in IHRM and elucidates current developments and directions for this field.     

A typology of international human resource management strategies and processes

This paper develops a framework of international human resource management (IHRM) that moves beyond strategy and structure to focus on processes. The results of six case studies of large German multinational corporations in three countries show different configurations of IHRM strategies and policies. International knowledge flows and coordination varied in intensity, content, direction and mechanisms used. With ‘cognofederate’ IHRM one type was identified that has been hitherto neglected.     

Looking East: diffusing high performance work practices in the southern Afro-Asian context

Most cross-cultural international human resource management (IHRM) literature contains instructive comparative analyses of East Asian and Western countries and lessons from Japanese best operating practice. There is a paucity of literature extending this debate to the African context and of comparative IHRM work between East Asia and African countries. This article fills a contextual gap in offering a comparative analysis of diffusion and adoption of high performance work practices from East Asia in southern African firms. The continued relevance of 'context' is critically evaluated, given powerful forces for convergence in the global economy. However, much of the debate on the convergence/divergence framework appears to neglect process dynamics and cross-vergence in the development and implementation of hybrid practices as well as reverse diffusion. This article highlights the importance of considering certain variables of local distinctiveness and diversity as features of the notion of cross-vergence which shape particular human resource practices.     

Managing the HR dimension of international project operations

While much is known about the role of HRM in achieving positive outcomes in foreign subsidiary and international joint venture contexts, there has been a paucity of research into HRM issues in international project operations. In this paper, we develop an analytical framework to demonstrate the HR activities of each stage of the international project lifecycle, drawing upon supporting data from a study of Australian firms in international development projects. The discontinuous, complex and unique characteristics of international projects produce distinct IHRM challenges: for the supplying firm, particularly staff deployment and HR planning; and for project workers, in terms of career trajectory and job security.     

Auditing Human Resource Management in the Global Environment

The globalization of business is making it increasingly important to understand how multinational enterprises (MNEs) can operate more effectively. Human resource management can be a critical determinant of corporate effectiveness, particularly as it plays out in the global arena. This article discusses how MNEs enhance their ability to utilize human resources and internal labour markets for competitive advantage through audits of the international human resource management (IHRM) function. A multidimensional auditing framework is developed and applied to the strategic aspects of IHRM in MNEs and international joint ventures.     

Strategic international human resource management approaches in the maquiladora industry: a comparison of Japanese,Korean and US firms

The maquiladora option has made Mexico an increasingly attractive off-shore manufacturing site for multinational enterprises (MNEs) seeking global competitiveness. However, MNEs often encounter human resource management (HRM) challenges as they attempt to leverage these maquiladora benefits. MNEs use three approaches to international human resource management (IHRM) design in addressing these challenges – a mechanistic, ‘control’ approach; a paternalistic, ‘human relations’ approach; and a developmental, ‘human resource’ approach. This paper compares and contrasts these IHRM design approaches in Japanese, Korean and US maquiladora manufacturing operations in Mexico, identifies implications for the management of diversity based on these findings, and discusses the related competitiveness implications.     

An investigation of paradigm choice in Australian international human resource management research

This paper addresses the question of whether Australian international human resource management (IHRM) research is dominated by either a universalist or contextualist paradigm. Using a systematic review approach, 82 peer reviewed papers were analysed using a basic extraction tool to record publication and research design details. The universalist/contextualist distinction decision was based on the point at which theory became evident in each publication. Results indicated an almost even split in the universalist/contextualist paradigm choice suggesting a balanced rather than dominant research preference. This finding may reflect the impact of both European and North American influences in Australian IHRM research. A second finding is a high level of papers without proposed theoretical relationships: this second finding has a number of ramifications for IHRM research and practice in Australia.     

Issue Information

The international human resource management (IHRM) field naturally lends itself to spotlighting the importance of internal and external organizational contexts to help understand how to manage employees in organizations effectively. However, we argue that the range of opportunities that the field creates to understand this context has not yet been fully embraced by IHRM scholars. To address this gap, this special issue explores: (a) the variety of approaches to theorizing how contexts promote or constrain organizational practice; and (b) relevant methodologies that might allow us to unearth novel context-dependent theory in international HRM. We propose a distinction between variable-oriented theorizing (that explains the effects of internal and external contexts on the phenomena under study) and context-dependent theorizing (that requires researchers become intimately familiar with the setting under study to understand context as a shaper of meaning). This editorial also highlights how the articles in the special issue contribute to stimulating further context-dependent IHRM research.     

International human resource management in the introductory HRM course

This paper explores the extent to which students in the introductory HRM course in US institutions are likely to be exposed to information on international and cross-cultural aspects of HRM. Two methods are used: (1) an analysis of international content in fifteen popular introductory HRM textbooks and (2) a survey of professors teaching introductory HRM. The vast majority of responding instructors said their classes got some exposure to international issues in HRM, and most introductory texts included some relevant content. Critiques of international boxed features and dedicated IHRM chapters are provided, and suggestions for improving the quality and depth of IHRM content in introductory textbooks are made.     

Singing the same song: translating HRM messages across management hierarchies in Australian hospitals

The management of expatriation has grown in importance as the numbers of multinational companies has grown significantly since the 1970s. However, public and non-government sector organizations have long traditions of managing expatriates. This paper presents the results of research that compared the manner in which Australian private, public and non-government sector organizations selected their expatriates. The results confirm the numerous reports in the international human resource management (IHRM) literature that, in private sector organizations, selection is carried out largely on the basis of technical competence, with minimal attention being paid to the interpersonal skills and domestic situations of potential expatriates. The limited role of HR managers in this process is also identified. The selection practices of public sector organizations reflect the merit selection policies of this sector. The non-government sector organizations' selection practices differ markedly from those of the organizations in the other two sectors, in that psychological testing is widely used and the family is treated as a unit and included in the selection process.     

In the line of fire: managing expatriates in hostile environments

Abstract

This study explores best practice in the preparation and protection of strategic HRs deployed by Multinational corporations (MNCs) in hostile environments. By building on the literature from the areas of strategic and IHRM, expatriation, as well as risk and crisis management, the limitations and gaps of the extant research are highlighted. This provides a foundation for our investigation through a series of in-depth interviews with corporate executives, and insurers and relocation specialists with professional expertise in protecting and supporting HRs. This represents the first time such a detailed picture of the partnerships between MNCs and the specialists, required to deliver preparation and protection in hostile environments, has been depicted in the IHRM literature. The findings identify the challenges MNCs face when protecting their HRs and highlights the importance of specialist expertise, knowledge, and management. A framework for managing HRs within international hostile environments is subsequently developed offering an opportunity to systematically consider some of the ethical and strategic issues associated with the contemporary challenges of international mobility.     

Internationalisation of Chinese banks and financial institutions and its implications for IHRM

Abstract

In this special issue (SI), we aim to advance the theoretical and empirical knowledge of emerging market service firms by analysing some of the key IHRM implications of the internationalisation of Chinese banks and financial institutions (BFIs). The selected articles in this SI provide rich insight into the human resource management (HRM) challenges these firms face when they establish operations in overseas markets and draws attention to trends and developments which challenge the way HRM has been understood in Chinese multinational enterprises (MNEs). The articles address the importance of Chinese BFIs relationship with the state and the influence of political ties in the formation of management leadership styles and managerial mindset. Included, as part of our contribution to this SI, is an analysis of a major Chinese bank’s subsidiary operation highlighting its human resources practices, adaptation strategies and relationship with its head office.     

Uncovering competitive and institutional drivers of HRM practices in multinational corporations

Current international human resource management (IHRM) literature focusing on multinational corporations (MNCs) presents evidence of both similarities and differences in the HR practices adopted in different global locations. However, the drivers behind this duality require more detailed investigation. This article focuses on exploring why MNCs position themselves within global markets as they do, exploring how extant theory can help explain the drivers behind both global and national HR practices. Based on a worldwide sample of in‐depth interview‐based case studies of well‐known MNCs, we explore the ways in which different firms react to both institutional and competitive pressures in selecting their approach to HRM. The findings uncover a differentiation between external global competitive isomorphic pressures, external national institutional isomorphic pressures, and internal processes of strategic choice and competitive differentiation. It is suggested that MNCs face all three drivers of HRM simultaneously, leading to different patterns of practice adoption, adaptation and innovation.     

Flexpatriate assignments: a neglected issue in global staffing

The demands of managing international assignments are major considerations within strategic IHRM theory and most frequently considered within long-term employment choices between parent-country expatriates or host-country nationals. Yet recent studies from the Centre for Research into the Management of Expatriation (CReME) (Harris, ; Petrovic, ) have highlighted the frequency of alternative types of international assignment, which they classify as ‘short-term’, ‘commuter’ and ‘frequent flyer’ assignments, which are now a regular part of global business life. This paper reports on a case study of one Austrian multinational organization and highlights management issues in terms of incidence, purpose, management and personal impact for assignments involving frequent travel without relocation (flexible expatriation) compared with traditional expatriate assignments. It begins by reviewing the emphasis on expatriate assignment before presenting evidence regarding the extent of alternative forms of international assignment. The research method and background to the study are then discussed before the findings are presented and discussed.