Impact of globalization on HRM
Impact of globalization on HRM
Figure 1: Impact of globalization on
HRM
An organization's administrative section that deals
with all issues involving employees is known as human resource management.
Recruitment, workplace safety, benefits and compensations, policy
administration, performance management, training, etc. are some of these
difficulties. Every organization's HR policy is influenced by the country's
legislative framework and labor legislation. Also, as a result of
globalization, there is now an increase in the competitive business climate due
to the unrestricted cross-border movement of people and technology.
Understandably, this had an effect on how every organization ran on a daily
basis, and HR management was no exception. In order to comprehend the effects
of globalization on HR management, we must first comprehend the shifting goals
of hiring, the new advantages, and the difficulties of globalization in HR
management
Globalization has a substantial effect on the
management and development of human resources when an organization expands its
operations into other nations. To be able to employ, train, retain, and support
a workforce that is frequently dispersed across numerous nations with
frequently differing cultural identities, businesses must take a wide variety
of practical adaptations into consideration. Departments of human resources
must change the way they think and behave to account for technological
advancements, international laws, and cultural variations
Figure 2: Globalization & HRM
Here are
various areas of how globalization is affecting Human Resource Management:
·
Recruitment
When a business does international hiring, the hiring dynamics shift significantly. For instance, if an applicant's minimum educational qualification is an MBA, different countries may have different requirements for this degree. It may go by a different name or even the same name, but if the grades and credits are different, it might be challenging to grasp the candidate's level of education.
· Training
Every
new employee must go through orientation to learn about the company's rules and
processes as well as his or her work responsibilities. Globalization, though,
necessitates various training programs. For instance, if you are sending a
local applicant abroad, you must teach them about the culture and expectations
of offshore employment.
Of course, labor rules differ from one nation to the next. It won't be the same in China, the UK, the US, Australia, or any other nation if the minimum pay is "x" and the maximum working hours are "y" in India. The corporation might end up in legal hot water if the human resource managers don't have a firm grasp of both local and international labor rules.
· Communication
The planet is always awake! As one country closes its doors,
another may be opening up or having regular business hours. Communication is
challenging for businesses operating in many nations. The human resources
department must come up with communication plans that can provide synchronized
coordination without requiring distant workers to change their sleep schedules
Conclusion
Globalization
represents the unrestricted transfer of technology and human resources across
international borders, creating a dynamic and aggressive commercial climate.
People from all over the world are coming together as part of the process of
globalization, which is facilitated by the extensive network of communication
technology. HRM in the modern corporate world has also been impacted by this
feature of globalization. HR managers no longer have to rely on a narrow,
constrained market to obtain the qualified workers they need to tackle the
globe's challenges; instead, they may hire people from all over the world.
Every organization's capacity to manage a varied pool of individuals that can
contribute cutting-edge ideas, thoughts, and viewpoints to their job will
determine its level of success in the future.
References
Multiplier, 2023. Globalization
in Human Resource Management. [Online]
Available at: https://www.usemultiplier.com/blog/globalization-in-human-resource-management#:~:text=Thanks%20to%20globalization%2C%20companies%20must,%2C%20retaining%2C%20and%20motivating%20expats.
[Accessed 29 March 2023].
Natter,
E., 2020. Chron. [Online]
Available at: https://smallbusiness.chron.com/effects-globalization-human-resources-management-61611.html
[Accessed 29 March 2023].
Talent
Edge, 2023. Talent Edge. [Online]
Available at: https://talentedge.com/articles/effects-globalization-human-resources-management/
[Accessed 29 March 2023].
Figure 1:Impact of
globalization on HRM
In fact, globalization in human resource management develop exclusive strategies for recruiting, training, retaining, and motivating expats.you have explained various areas of how globalization is affecting Human Resource Management. Good content Mahinda
ReplyDeleteyes , HRM is essential for businesses to have access to technology and resources, allowing them to hire employees from all over the world to address global issues.
ReplyDeletegood one. Figure 2 explained the impacts all in short. Nicely written. Thank you for sharing your knowledge.
ReplyDeletegood topic, Figure 2 clearly explain the impact of globalization in HR. Thank you for sharing your knowledge.
ReplyDeleteBlog posts have helpful information. Procedures for human resource management must take into account the possibility of individuals working for global enterprises from anywhere in the world.
ReplyDeleteIn the modern environment, HRM must concentrate on the global context.
International human resources need to adapt their thinking and behavior to take into account technological improvements, global regulations, and cultural differences.
ReplyDelete