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International Business Strategy and Human Resource Management

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What is the link between an international business's strategy and its human resource management policies, particularly with regard to the use of expatriate employees and their pay scale?

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The business strategy is deciding about positioning of the product/ service based on firms core competency and competitive environment. The other relevant factor in Manpower Planning is availability and competence.

If the positioning is on cost competitiveness than the firm will try to save costs on all fronts. In that case it may use expatriate employees only if they save cost and their pay scale will be based on strategy of saving cost and accordingly pay scale will be different than the local employees. Even in this case if the talented manpower is a vital input then the best talent will be hired whether available locally or from outside.

The availability of ...

Solution Summary

The solution discusses the link between an international business strategy and its human resource management policies.

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International Human Resource Management: Working in China

QUESTION 1
As a consultant for a manufacturing company in Yemen, your client has indicated to you that the company is interested to send some of its employees for international assignment to China. You are required to prepare a proposal to provide a pre-departure training for the company's employees. The company does not have internal resources to conduct in-house-training. The proposal should include the following:
a) Description on some global challenges that the employees may face during their assignment in China.
b) The training programme components that the company's employees have to undergo. You are required to justify your proposal.
c) Your recommendation on how you are going to measure the effectiveness of the proposed pre-departure training program.

QUESTION 2
Write a short report on any Human resource management issue (strategy and analysis). In the report, you should only highlight the issues at hand.

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