Managing Global Human Resources

MANAGING GLOBAL HUMAN RESOURCES

The environment in which business competes is rapidly becoming globalized. More and more companies are entering international markets by exporting their products overseas, building plants in other countries, and entering into alliances with foreign companies. Global competition is driving changes in organizations throughout the world. Companies are attempting to gain a competitive advantage, which can be provided by international expansion. Deciding whether to enter foreign markets and whether to develop plants or other facilities in other countries is no simple matter and many human resource issues surface. (Noe, Hollenbeck, Gerhart, and Wright; 534)

Doing business globally requires that adaptations be made to reflect cultural and other factors that differ from country to country and from continent to continent. The nature and stability of political systems vary in character and stability, with contracts suddenly becoming unenforceable because of internal political factors. Human resource regulations and laws vary among countries in character and detail. In many countries in Western Europe, laws on labor unions and employment make it