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Globalization and IHRM

By Lewis Bell,2014-11-07 20:37
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Globalization and IHRM

    The globalization of human resource management

    At present, the newly interconnected world obviously indicates that the pace of globalization is continuing to increase. People's life closely related to globalization is a bearing on world peace and development and maintains the harmony of the world. Globalization becomes a great trendency from which we can’t escape affects all aspects of every enterprises.The conduct of business has truly global activity.The globalization of human resourse

    management,which attributes to firms to bulid sustainable competitive advantage in the economey , is urgently needed. So, what leads to the globalization of human resourse management? In our opnions, we mainly hold the following three points: the international division of labor , the rapid development of MNES,and the frequently flowing of labor. Besides,we all consider the international division of labor to be the most important one.

    The international division of labor, academically, is defined as the specialization of cooperative labor in specific, circumscribed tasks and roles, intended to increase efficiency of output in different fields through out the world. Now it plays a more crucial role in international trade and has a deep influence on HRM beyond our expectations. There are several reasons to support our issue.

    First of all, the international division of labor basically relates to many sides including rag trade, agriculture, industry and so on. Pratically, we can find that it has already penetrated all funtions of HRM. Computers, cars, network and other merchandise that are frequently used, to some extent, are the products of the international division of labor. Maybe we will be in disorder without these, which HRM can use their various funtions to guarantee the banlance among different posts and strengthen IHR’ cooperation. Moreover,

    the international division of labor has required the transfer of work force and the resonable allocation of resourses,which add considerable complexity to IHR management task.

    Secondly, the birth of international division of labor is based on absolute advantage or comparative advantage. Every firm can integrate their own favored resources to produce merchandise, which makes their limited resource more efficiently exploited and lets them to develop their own core industry. Under the cooperation among nations about International division of labor, it is obvious to find the cost decline quickly. In addition, due to accurate and meticulous division of work, the quality of goods improves, which can help fims keep a competitive advantage and occupy more sharing of the global

    market. With its assistance, fims can earn abundant profits and have a good performance. As a result, firms would invest more capital into HRM activities such as training and educating IHR staffs.

    Finally, according to international trade theory, the international division of labor irruptive expands the space of international trade, meanwhile,

    international trade can increase the level of national welfare. In order to meet the welfare needed to staff,HRM in the global context must turn into IHRM.

    The international division of labor might affect the performance of HRM over the next five years. The internationalization may bring tremendous pressure to IHR staffs,and lead to the happiness index decline but the compensation increase. Besides, one international enterprise provide a

    superior levels of salaries. Neverthless,with the intensification of the international division of labor and the increasing of competition, managers may

    face mounting pressure. In the physical and psychological, managers are faced with great weakness.

    Now,the international division of labor make it easier, faster, and cheaper to identify and to serve targeted micro-markets in ways that were physically impossible or prohibitively expensive in the past. Moreover, the trend feeds on itself, a business’s ability to serve sub-markts fuels customers’ appetites for

    more and more specialized offerings.

    According to this trend, HR managers may take on more HR obligations and change or update previous HR funtions to deal with issues.So IHR

    managers should develop a deeper and more special knowledge about management,culture differences,policies and laws from various countries and regions.For the high-level of HRM, HR managers should develop a broader perspective,making HRM more accurate and perfect. The international division of labor accelarates HR managers to improve their comprehensive abilities to acatively adapt to globalization. The demand of talented people will be on its rise with the rapid development of MNES. Otherwise, HR managers cant be

    competent to the job in the globlal context.

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