unit 9 review

unit 9 review - CHAPTER 9 STAFFING, TRAINING, AND...

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CHAPTER 9 STAFFING, TRAINING, AND COMPENSATION FOR GLOBAL OPERATIONS I. Staffing Philosophies for Global Operations A. Alternate philosophies of managerial staffing abroad are known as the ethnocentric, or polycentric. 1. Firms using the ethnocentric approach fill key managerial positions with persons from headquarters. They use PCNs—parent company nationals. Using PCNs offers the advantages of maintaining close control. Its disadvantages include the lack of opportunities for local managers (which could result in poor morale), expense, poor adaptation and lack of effectiveness of expatriates. 2. With a polycentric staffing policy, local managers (HCNs—host country nationals) are hired to fill key positions in their own company. This approach is good when a firm is implementing a multinational strategy. It allows the firm to “act local.” In addition, these managers are familiar with the culture, language, and local norms. One disadvantage of a polycentric policy is the difficulty of coordinating activities and goals between the subsidiary and the parent company, including the potentially conflicting loyalties of the local manager. B. Many factors may influence the choice of staffing policy, including the strategy, organizational structure, duration of the operation, types of technology used, and the marketing and production techniques involved. Factors related to the host country may also play a part, such as the level of economic and technological development, political instability, regulations, and the sociocultural setting II. Global Selection A. The initial phase of setting up criteria for global selection is to consider which
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This note was uploaded on 05/04/2008 for the course MGMT 4070 taught by Professor Gordon,ken during the Spring '08 term at Colorado.

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unit 9 review - CHAPTER 9 STAFFING, TRAINING, AND...

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