Talent available within company able to understand strengths and weaknesses of

Talent available within company able to understand

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- Talent available within company, able to understand strengths and weaknesses of the person- Greater organizational fit, able to apply more consistent organizational culture- Company experience, understands the core values of the company- Valuable experiences provided to top execs Éâ Éã þÙ CONS OF HIRING FROM HOME COUNTRY (NATIONALS) - Promotions in Host National Firms are limited- Adaption to Host Countries may be limited (cultural values and country etiquettes)- Expensive to send expatriates to different countries (compensation differences may be difficult to control) Éâ Éã þÙ PROS OF HIRING FROM HOST COUNTRY - cheaper, more economically sounds- preference of government of host country (provide more jobs to local workers)- local knowledge and understanding of culture- continuity (more incentives to stay longer, grow with the company) Éâ
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Éã þÙ CONS OF HIRING FROM HOST COUNTRY - less control- limited career opportunities outside of the subsidiary- potential for disintegration of national units rather than one global unit. Éâ Éã þÙ PROS OF HIRING FROM 3RD PARTY COUNTRIES - comes with broad experiences outside of the firm- International outlook- Able to speak multiple languages Éâ Éã þÙ CONS OF HIRING FROM 3RD PARTY COUNTRIES - Transfers may face national hostilities (may not be well accepted in the working environment)- May not fit or adapt well into the corporate environment- Host government may dislike hiring from 3rd countries as much as home countries Éâ Éã þÙ IMPORTANCE OF Global Human Resource Management - Global Competition (World is slowly becoming more connected)- Market Access Opportunities (markets around the world are able to access different
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opportunities (resources, markets)- Availability of skilled foreign talent (hiring skilled workers with different skills)- International Mergers and Acquisitions Éâ Éã þÙ Balancing Global Standardization and Localization (GLOBAL STANDARDIZATION): Wanting company around the world to be as TRANSPARENT as possible (Global requirements)1. strategy and culture2. Corporate culture3. Firm size and maturity LOCALIZATION: being a good player in the market you are working in.(host country context)1. cultural environment2. institutional environment3. firm size and maturity Éâ Éã þÙ AIM FOR GLOBAL STANDARDIZATION - consistency- transparency- ease of administration- efficiency and effectiveness- sense of equality Éâ Éã þÙ AIM OF LOCALIZATION - respect for local cultures and traditions- adaption to local institutional requirements (legislations, government policies)- Fit with educational systems- Fit with employee expectations Éâ
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Éã þÙ Standardization is more effective when NATIONAL CULTURES are similar or when there is a STRONG CORPORATE CULTURE with which all employees identify ... Éâ Éã þÙ ETHNOCENTRIC VIEW - Believes that home culture is superior- centralized HR- Key positions should be held by nationals- Pay is based on local market for host nationals, home country for home nationals- Local alignment with home office but LACK OF LOCAL insights and expensive Éâ Éã þÙ POLYCENTRIC VIEW
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