Introduction Iran is country rich in resources, both natural and human. It has the world’s largest hydrocarbon reserve base, the third largest oil reserves and the largest gas reserves. Iran is also the third largest oil producer in the Organization of Petroleum Exporting Countries (OPEC) after Saudi Arabia and Iraq. Iran has been the Middle East and North Africa (MENA) region’s second largest economy, after Saudi Arabia, and has the second largest population, after Egypt. Although the Iranian economy has developed and industrialized significantly over the past decades, the country faces a number of significant challenges, both internally and externally. Internally, although Iran has witnessed economic growth it has been hampered, in addition to economic mismanagement, widespread economic inefficiency, corruption, political instability and social and demographic issues. External challenges are due to continued and heightened sanctions against Iran, mainly because of Iran’s nuclear ambitions. Various forms and measures of sanctions have been imposed on Iran since 1979, focused on isolating Iran from international financial and commercial systems. Recent sanctions on Iran, effective since July 2012, include an oil embargo imposed by European Union (EU), forcing countries to stop importing oil from Iran. This paper explores human resources management (HRM) in Iran. It begins by examining the Iranian context and explores factors such as history, economy, demography, national culture and socio-economic developments, religion, management and leadership in Iran. Further it discusses HR developments in Iran and shares research findings on HRM in private sector and multinational corporations (MNCs), to highlight the nature of the human resource function. Lastly, it presents the key challenges faces by HRM and its future in Iran. Keywords: The Iranian Context
History History has a role to play in how national culture is shaped, and, in turn, how HRM develops in a given country. Iran and Iranians show a strong ability to survive and adapt. Throughout its history, the Iranian race has places a great deal of importance on education and scientific and literally knowledge: however there has been in many cases a gap in the level of understanding between educated legislators and the needs of the ordinary people. But Iranian has survived by being individualistic and flexible, and by maintaining a strong in-group orientation, showing loyalty to friends and family and building strong networks. This shows the deep-rootedness of culture and how, as HRM takes shape in Iran, these factors will need to be heeded and developed in line with cultural realities.
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- Spring '14