Managing HR in a Global Business Environment

INDEX

Topics

Introduction

Culture

Cross border strategic HRM

Knowledge management

Talent retention

Training and development

Managing Customer Relations

References

Appendix:-  Ritz hotel case study

 

Introduction:-

           Japan has a population of approximately 125 million people packed tightly into a rather small geographic area. The official language in Japan is Japanese. Japanese is spoken only in Japan. The literacy rate in Japan is very close to 100 percent and 95 percent of the Japanese population has a high school education.                                                                                                                    Japan’s form of government is parliamentarian democracy under the rule of a constitutional monarch. The Prime Minister is the chief government officer. The dominant religion is Shinto, which is exclusive to Japan. However, the Japanese have no official religion. Culturally, the Japanese tend to be somewhat introverted in their ways. They generally are not receptive to outsiders. When conducting business in Japan relationships and loyalty to the group is critical for success.

             ‘A chain is only as strong as its weakest link’

The challenge of HR managers is to hunt for human talent and make sure the company selects the right person for the right job. Only then all the links in the chain will be equally strong.

Today, managing the expectations and motivations of a skilled workforce has brought with it attendant complexities in terms of the need for robust HR practices and organizational procedures.

Earlier considered a support function for any business, HRM today is required to take on a more strategic role in order to align itself with the organization’s business strategies. Hence, the HR manager is expected to take on the mantle of a business partner along with managers of other line functions, in driving the firm's strategies.

The shift in focus from traditional HRM to strategic HRM was inevitable. Competitive advantage for an organization lies not just in differentiating a product or service or in becoming the low cost leader but in also being able to tap the company's special skills or core competencies and rapidly respond to customer's needs and competitor's moves. HR management can play a role in identifying and analyzing external opportunities and threats that may be crucial to the company's success. It is in a unique position to supply competitive intelligence that may be useful in the strategic planning process.

In the global service industry, it is essential to manage staff well as employee satisfaction should come before customer satisfaction. As employees are the internal customers. It is the employees who come in contact with your customers and deliver the service ultimately. The organization’s values and systems are reflected in this delivery of service.

The following are some of the ways and means in which staff can be managed critically to achieve success and growth in the service industry:

1. Safe, Healthy & Happy Workplace

Creating a safe, healthy and happy workplace will ensure that your employees feel at home and stay with your organization for a very long time. Capture their pulse through employee surveys.

2. Open Book Management Style

Sharing information about contracts, sales, new clients, management objectives, company policies, employee personal data, etc., ensures that the employees are as enthusiastic about the business as the management. Through this open book process, you can gradually create a culture of participative management and ignite the creative endeavor of your work force. It involves making people an interested party to your strategic decisions, thus, aligning them to your business objectives. Be as open as you can. It helps in building trust and motivates employees. Employee Self Service Portal, Manager On-Line, etc., are the tools available today to the management to practice this style.

3. Performance-linked Bonuses

Paying out bonuses or having any kind of variable compensation plan can be both an incentive and a disillusionment, based on how it is administered and communicated. Bonus must be designed in such a way that people understand that there is no payout unless the company hits a certain level of profitability. Additional criteria could be the team's success and the individual's performance. Never pay out bonus without measuring performance, unless it is a statuory obligation.

4. 360-Degree Performance Management Feedback System

This system, which solicits feedback from seniors (including the boss), peers and subordinates, has been increasingly embraced as the best of all available methods for collecting performance feedback. Gone are the days of working hard to impress only one person, now the opinions of all matter, especially if you are in a leadership role (at any level). Every person in the team is responsible for giving relevant, positive and constructive feedback. Such systems also help in identifying leaders for higher level positions in the organization. Senior managers could use this feedback for self development.

Join now!

5. Fair Evaluation System for Employees

Develop an evaluation system that clearly links individual performance to corporate business goals and priorities. Each employee should have well-defined reporting relationships. Self-rating as a part of evaluation process empowers employees. Evaluation becomes fairer if it is based on the records of periodic counseling and achievements of the employee, tracked over the year. For higher objectivity, besides the immediate boss, each employee should be screened by the next higher level (often called a Reviewer). Cross-functional feedback, if obtained by the immediate boss from another manager (for whom this employee's work is also important), will ...

This is a preview of the whole essay