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CU-MBA-SEM-III-Strategic HRM-Review Report Book-converted

Published by Teamlease Edtech Ltd (Amita Chitroda), 2021-04-20 04:06:59

Description: CU-MBA-SEM-III-Strategic HRM-Review Report Book-converted

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evaluated formally Percentage of employees who received performance feedback from multiple sources Training and Development Number of hours of training Rating of quality of training received by employees per received by trainees Career Management year Pay Management Welfare Management Number of training Rating of quantity of training programmes developed per by managers year Number of training programmes implemented per year Number of careerRating of quality of career management programmes management perceived by developed and implemented employees Percentage of jobs evaluatedTop and Departmental as per point method Managers’ satisfaction about Complaints about wrongpay management calculations of pays Number of delays in payingEmployees’ satisfaction about Number of pay surveys done pay management Number of cost-of-living surveys Percentage of employeesEmployees’ satisfaction about received welfare quality of welfare management Value of welfare cost per employee Complaints about welfare 201 CU IDOL SELF LEARNING MATERIAL (SLM)

administration Management of Incentives Percentage of employeesRating of quality of Employee Movement eligible for incentive pay management of incentives Number of incentive programmes implemented Percentage of workforce whose merit pay is tied to performance Percentage of difference in incentive payments between a poor employee and an excellent employee Percentage of jobs filled from Top and Departmental within Managers’ rating of Availability of a scheme formanagement of employee each type of employeemovements movement Percentage of requests for transfers settled Amount of delay in finalizing movements 202 CU IDOL SELF LEARNING MATERIAL (SLM)

Health and Safety Management Number of health and safetyEmployees’ rating of quality of programmes implemented health and safety management Number of occupationalRating of propensity to suffer accidents occurred from employee stress Percentage of employees who suffered from occupational diseases Cost of accidents Discipline Management Number of rule violations Managers’ rating of quality of Grievance Handling Percentage of employees who management of employee have not violated a single rule discipline of discipline Number of disciplinary cases Employees’/trade unions’ rating settled of quality of management of Number of legal cases filed employee discipline against the organization Number of legal cases failed Number of grievances Employees’/trade unions’ rating presented of quality of management of employee grievances Number of grievances settled Number of grievances settled to the satisfaction of the grievant 203 CU IDOL SELF LEARNING MATERIAL (SLM)

Labour Relations Number of industrial actions Perception of quality of LMR occurred by managers Number of industrial actions settled amicably Perception of quality of LMR by union leaders Duration of industrial actions Number of cases forwarded for arbitration or similar way of settlement Percentage of the employees covered by collective agreement Exhibit 21-12 Criteria for Evaluation of Achievement of HRM Objectives and Strategic Goals Objective/Strategic Goal Objective Criteria Subjective Criteria Procure right people at the right Number of complaints about job Managers’ satisfaction time to do the right jobs placements about procurement of right people at the right time to do the right jobs Complaints about appointments Retain the most appropriate Percentage of retention of high- Excellent Employees’ employees within the organization performing key employees Intention to retain- average survey score Rate of quits (excellent) as a 204 CU IDOL SELF LEARNING MATERIAL (SLM)

percentage of the employee force Get and improve organizational Percentage of resigned Average survey score of commitment of the employees employees over number of organizational employees worked commitment (the summated rating received Number of attempts to resign on a 7-item, 5-point Likert scale) Generate and enhance job Absence rate (all stay-away from Average survey score of involvement & organizational citizenship work/total possible working days job involvement (the × 100) summated rating received on a 7-item, 5-point Likert scale) Absenteeism rate (all absences on unauthorized leave (including sick leave)/total possible Average survey score of working days × 100) organizational citizenship (the summated rating Number of occasions of received on a 7-item, 5- Tardiness (average) point Likert scale) Percentage of employees who are chronic late comers Percentage of employees who are helpful Percentage of employees who worked more than they were supposed to work Motivate employees and Percentage of employees who Average survey score of enhance job satisfaction are enthusiastic to work job motivation and 205 CU IDOL SELF LEARNING MATERIAL (SLM)

satisfaction Number of complaints about (the summated rating dissatisfactions/frustrations received on a 10-item, 5- point Likert scale) Control the cost of employees Average rewards cost per Managerial perception of employee controlling the employee cost Total employment cost Improve employee productivity Profits per employee Sales value Average employee per employee performance evaluation Production value per employee score Number of units produced per Average performance employee evaluation score for quantity of work Number of units sold per Average performance employee evaluation score for quality of work Number of new customers per employee Employee development Percentage of employees who Rating of quality of Increase quality of work life were promoted employee development effort Number of hours of development programmes for employees Number of innovations Number Average survey score of of suggestions made quality of work life (the Percentage of employees making summated rating received suggestions on a 10-item, 5-point Likert scale) 206 CU IDOL SELF LEARNING MATERIAL (SLM)

Ensure legal compliance Number of suits against the Average survey score of Ensure customer compliance organization legal compliance (the summated rating received Number of violations of labour on a 10-item, 5-point law requirements Likert scale) Perception of the legality Cost of litigation per employee of the HRM practices Number of violations of Customer perception of customer requirements relating HRM practices-average to labour management survey score Number of customers lost due to mal HRM practices Exhibit 21-13 Criteria for Evaluation of the Effectiveness of the HR Department Objective Criteria Subjective Criteria Efficiency-HRM department budget/ population of Line Managers’ satisfaction about the employees served services of the HR Department-average survey value Complaints about weaknesses or defects of the HR Employees’ rating of quality of service Department provided by the HR Department Praises about service rendered by the HR Department Perception of efficiency (quickness) of Number of employees per HR professional HR responses to each request/problem Department cost per employee brought to the HR Department The CEO’s rating of the roles played by the HR Department HR Scorecard 207 CU IDOL SELF LEARNING MATERIAL (SLM)

Does HRM contribute to achievement of strategic goals of the organization? HR scorecard is an evaluative technique that attempts to get a more quantitative answer for the question. It is a framework that links HRM with strategic objectives and shows the causal link between HRM and strategic objectives in a quantitative way. Management ultimately judges the HR function based on whether it creates value for the organization, where “value creation” means contributing in a measurable way to achieving the organization’s strategic goals (Dessler, 2005). Hence HR scorecard is an evaluative approach showing how HRM creates value for the organization. The HR Scorecard derives from works of Robert Kaplan and David P. Norton on balanced scorecard perspective. Greer (2001, p. 307) writes: “Kaplan and Norton explain that satisfaction is a prerequisite for improvements in productivity, quality, responsiveness, and customer service. They note that the relationship with customer service is straightforward, as satisfied employees tend to have more satisfied customers. They also endorse annual surveys of employee satisfaction or monthly rolling surveys of samples of the workforce. Similarly, they endorse the measurement of employee retention for its importance in preserving the organization’s investments in intellectual capital.” This explanation presents two major criteria for HRM evaluation, i.e., job satisfaction and employee retention. Dessler (2005, p. 87) defines: “The HR Scorecard is a concise measurement system. It shows the quantitative standards, or “metrics” the firm uses to measure HR activities, and to measure the employee behaviours resulting from these activities, and to measure the strategically relevant organizational outcomes of those employee behaviours. In so doing, it highlights, in a concise but comprehensive way, the causal link between the HR activities, and the emergent employee behaviours, and the resulting firmwide strategic outcomes and performance.” Dessler’s definition stresses that the HR Scorecard is a concise measurement system highlighting the causal link between the HR activities, and the emergent employee behaviours, and the resulting firmwide strategic outcomes and performance. Also, he has used a term called HRM metrics. According to him, metrics are statistics used to measure the activities and results involved in a field and HRM metrics are a set of quantitative performance measures HR managers use to assess their operations. There are seven steps to be followed to develop an appropriate HR Scorecard so as to evaluate the linkage between HRM and the Strategy and the impact of HRM on the strategy. Each step is described as follows: 1. Ascertain the Strategic Needs of the Organization The vision, mission, and strategic goals of the organization are defined in the act of strategic planning, and these are the strategic needs of the organization. The most critical needs are strategic ones, and they should be given top priority. In terms of the strategic phase (the duration of the strategic plan), all other needs of the organization are secondary. The mission and vision serve as the foundation for strategic goals. As a result, prior to taking any other 208 CU IDOL SELF LEARNING MATERIAL (SLM)

steps, it is essential to research and comprehend the organization's strategic goals. Assume our company is a medium-sized hotel with the name Hotel Kandy. The hotel's goal is to become Kandy's best hotel and one of Sri Lanka's best hotels. One strategic target is to reach a 90 percent ‘excellent' customer satisfaction rating for the hotel Kandy's hospitality service by 2007. Another strategic goal is to boost total profit by 50% over the next three years (2005- 2007). 2. Identify Strategic Metrics Strategic metrics are statistics that are used to determine the degree to which an organization's strategic goals have been reached. They concentrate on determining the strategic outcomes that are expected of the organization. At least one strategic measure must be used to determine the degree to which one strategic target has been reached. Continuing with the example: The customer satisfaction index (the total rating on a 20-item, 5-point Likert scale) is a strategic metric for the strategic goal of achieving a 90 percent customer ‘excellent' satisfaction rating of the hotel Kandy's hospitality service by 2007. The percentage growth in annual profit is a financial measure in relation to the strategic goal of increasing gross profit by 50% in three years (2005-2007). 3. Identify Strategic HR Metrics Strategic HR metrics are statistics that are used to assess the degree to which HRM's strategic priorities and objectives have been reached. They are concerned with determining the quantity and quality of human resources required to meet the organization's strategic goals. They cover employee competencies, work-related attitudes, employee behaviours, and outcomes that are strategically relevant. Continuing with the example, the competency inventory index is a strategic metric for determining the availability and quantity of competencies. The metrics in Exhibit 21-12 are referred to as strategic HR metrics. 4. Identify Functional HRM Metrics Functional HRM metrics are statistics that are used to assess the degree to which HRM functions are performed successfully. They are concerned with determining the degree to which each HRM function is used in a systematic manner. They try to quantify the importance of each HRM function in the organization. Functional HRM metrics include measures known as criteria, such as those shown in Exhibit 21-11. 5. Determine Values of the Metrics at the Outset Values must be defined at the outset for each of the metrics that will be used. It is impossible to conduct a meaningful assessment without first establishing principles (no possibility of doing a comparison). Collecting data and measuring values for each metric is what needs to be accomplished. For this step to be efficient, proper recoding is needed. Continued example: a study was done and values at the beginning were as follows: Table 21-3 Values of the Metrics at the Beginning (Year 2004) 209 CU IDOL SELF LEARNING MATERIAL (SLM)

Types of Metrics Specific Metric Value at the beginning (Year 2004) Strategic Percentage of customer excellent rating 60% Strategic HRM Percentage increase of the annual profit 20% Functional HRM Competency Inventory Index 3.00 Job Satisfaction Index 3.2 Job Involvement Index 3.3 Organizational Commitment Index 3.1 Organizational Citizenship Index 2.2 Rate of Tardiness 45% Rate of Absenteeism 35% Rate of Employee Turnover 30% % Increase of Sales Value per Employee 15% % Increase of Profits per Employee 10% Number of New Customers per Employee 20 Overall Employee Performance Evaluation Score 58% Overall Intensity Index of HRM Practices 3.3 Number of complaints about job design 20 Number of jobs covered by job description and job 20% specification as a percentage Number of job vacancies not forecasted 80% Ratio of qualified recruits to unqualified recruits 0.25 210 CU IDOL SELF LEARNING MATERIAL (SLM)

Percentage of employees selected based on validated 10% selection methods Complaints about lapses of the employment 20 appointments Percentage of employees inducted formally 10% Percentage of employees whose performance is 40% evaluated formally Percentage of employees who received performance feedback from multiple sources 20% Number of hours of training received by employees 30 per year Number of career management programmes 01 developed and implemented Complaints about wrong calculations of pays 34 211 CU IDOL SELF LEARNING MATERIAL (SLM)

Number of delays in paying 04 Value of welfare cost per employee Rs. 20000/- Percentage of workforce whose merit pay is tied to 70% performance Percentage of jobs filled from within 50% Percentage of employees who suffered from 15% occupational diseases Number of accidents 11 57% Percentage of employees who have not violated a single rule of discipline Number of legal cases filed against the organization 04 Number of grievances settled as a percentage 70% 6. Determine Values of the Metrics at the End At the end of the process, values for and of the metrics chosen must be given. It is impossible to make a valid evaluation without values at the top. What needs to be done is to collect data and measure values under each metric in the same way that the starting values were calculated. 7. Compare and Determine the Link and the Impact In order to calculate variances, the values at the start must be compared to the values at the end. These variances may be both negative (indicating a decline) and positive (indicating an increase) (showing an improvement). Variances would be optimistic if HRM is handled better. In reality, the organization is expected to develop and execute successful HRM strategies (courses of actions). Both HRM systems are subject to change or discontinuation. It's possible that new HRM systems will be implemented. Variances in the metrics should be positive if new and/or updated HRM schemes/systems performed effectively during the time of concern. They'll be pessimistic otherwise. To evaluate the connection and its effect, statistical analyses 212 CU IDOL SELF LEARNING MATERIAL (SLM)

such as correlation analysis, multiple regression analysis, and other forms of statistical analyses may be used. Assume that the values of the metrics were measured correctly at the conclusion of the strategic plan's three years., i.e., 2005, 2006 and 2007. Relevant values are given in Table 21-4. Table 21-4 Values of the Metrics (Years 2005, 2006 and 2007) Types of Metrics Specific Metric 2005 2006 2007 Strategic Percentage of customer excellent 70% 80% 90% rating Percentage increase of the annual 30% 38% 45% profit Strategic HRM Competency Inventory Index 3.4 3.9 4.2 Job Satisfaction Index 3.6 3.9 4.5 Job Involvement Index 3.7 4.4 4.7 Organizational Commitment Index 3.6 4.0 4.5 Organizational Citizenship Index 2.7 2.9 3.5 Rate of Tardiness 40% 30% 18% Rate of Absenteeism 30% 28% 24% Rate of Employee Turnover 27% 23% 18% % Increase of Sales Value per 20% 32% 45% 213 CU IDOL SELF LEARNING MATERIAL (SLM)

Employee % Increase of Profits per Employee 20% 40% 50% 45 50 Number of New Customers per 30 75% 85% Employee 4.4 4.8 06 02 Overall Employee Performance 67% 70% 100% Evaluation Score 20% 10% Functional HRM Overall Intensity Index of HRM 3.8 .60 .70 Practices 70% 100% 07 03 Number of complaints about job 10 80% 100% design 90% 100% Number of jobs covered by job50% description and job specification as a percentage Number of job vacancies not 50% forecasted Ratio of qualified recruits to unqualified0.40 recruits Percentage of employees selected 40% based on validated selection methods Complaints about laps of the 10 employment appointments Percentage of employees inducted 50% formally Percentage of employees whose 70% performance is evaluated formally 214 CU IDOL SELF LEARNING MATERIAL (SLM)

Percentage of employees who received 80% 100% 60 77 performance feedback from multiple 50% 10 14 sources 15 07 Number of hours of training 50 received by employees per year Number of career management 05 programmes developed and implemented Complaints about wrong calculations of20 pays Number of delays in paying 03 02 01 Value of welfare cost per employee Rs. 22000/- Rs.25000 Rs. 30000 Percentage of workforce whose merit 80% 90% 100% pay is tied to performance Percentage of jobs filled from within 60% 70% 80% Percentage of employees who suffered11% 08% 05% from occupational diseases Number of accidents 07 04 02 75% 90% Percentage of employees who have not68% violated a single rule of discipline Number of legal cases filed against the organization 03 02 00 90% 100% Number of grievances settled as a 80% 215 CU IDOL SELF LEARNING MATERIAL (SLM)

percentage As per the Table it is possible to see that there are considerable changes (positive) with regard to each metric. It indicates that the hotel took a very serious effort to improve its HRM resulting positive results under the functional HRM metrics and the strategic HRM metrics. So, how do you figure out the connections? The relationships can be revealed by correlation analysis. Consider the competency index (a strategic HRM metric) and the number of hours of training employees undergo per year (a functional HRM metric). The correlation coefficient would be.98, indicating that both variables are highly significant and linked. Then there's the competency index (a strategic HRM metric) and the number of customers who rate you as excellent (a strategic metric). The correlation coefficient would be.99, suggesting a strong positive relationship. Similarly, a meaningful statistical analysis can be performed to demonstrate correlations between functional HRM metrics and strategic HRM metrics, as well as correlations between strategic HRM metrics and strategic metrics. As a result, it is possible to quantify how HRM contributes to business strategic needs. 10.3 MEASUREMENT AND STRATEGIC CHALLENGE OF SHRM SHRM (Strategic Human Resource Management) is a link between human resources and the company's strategic goals and objectives. Above all, the goal is to enhance business efficiency and cultivate an organizational culture that encourages creativity, flexibility, and competitive advantage. In other words, HR is seen as a strategic partner who assists the organization in implementing and formulating plans, as well as achieving its objectives and flourishing. The HR department's key responsibilities include finding and hiring the best candidates for the job, as well as preparing and rewarding them. SHRM is often confused with HRM. SHRM takes a more long-term approach to achieving goals. It does not concentrate on internal human resource problems; rather, it concentrates on discussing and resolving issues that have a long-term impact on management systems. To put it another way, SHRM focuses on challenges that exist outside of human resources and tyres in order to improve employee productivity. As a result, one of the most important tasks for a SHRM manager is to find key HR areas where initiatives can be applied in the long run to boost overall employee motivation and productivity. SHRM is carried out by the use of tactics. The methods vary because each organization is unique, but they all express the same idea: what the organization wants to do with its human resource management policies and procedures, and how they can be aligned with the business plan and with each other. There are two types of strategies: 1) high-performance working (overall strategies) and 2) strategies relating to various aspects of HRM, such as learning and growth (specific strategies). A successful HR plan is one that accomplishes what it sets out to 216 CU IDOL SELF LEARNING MATERIAL (SLM)

do while still meeting the needs of both employers and workers. One of SHRM's main focuses is the creation of HR strategies. It can be a challenging job since there is no one-size-fits-all approach to designing them. Perhaps more critical than the substance of the techniques is the mechanism. In addition, integrating HR strategies with business strategies is a time-consuming operation. There are two methods for achieving integration: Vertical fit integration is the method of merging company and human resource strategies. Vertical fit refers to the alignment of HR metrics with the company's overall plan. In order to improve overall results, the organization must develop or obtain the best human resource package possible. Generally speaking, vertical fit is regarded as a key phase in achieving organizational goals through human resource practices. Bundling is a horizontal fit integration technique. Horizontal fit is the degree to which different HRM activities are in harmony with one another. HR policy, HR policy choices, and HRM budget are the three factors that affect horizontal fit. To put it another way, horizontal fit is concerned with the HRM system's composition and configuration, as well as the organization's HRM policies, in order to achieve a high degree of fit among individual HR practices. In summary, all forms of fit contribute significantly to a company's competitiveness, and it is critical to organize a number of HR activities in a coordinated manner. These methods, when properly applied, can have a significant positive effect on a company's success. HR methods are difficult to implement. First and foremost, they must be \"translated\" from abstractions into projects with explicitly defined targets and deliverables. And then, there are other impediments that make implementation difficult. The following are only a few examples of potential barriers: • Employees' proclivity to consider only projects that are important to their own areas; • Workers who have been with the company for a long time have a propensity to stick to the status quo; • In large, diverse organizations, not all workers understand or interpret complex or ambiguous policies in the same way; • The measures are perceived as a hazard at times. • The level of confidence placed in senior management, and so on. 217 CU IDOL SELF LEARNING MATERIAL (SLM)

These kinds of roadblocks can emerge when realistic implementation issues aren't given enough attention. The position of a line manager is crucial here, as is the need for the initiative to have developed supporting processes. To resolve these obstacles, it is critical to properly develop the strategy, ensure that it has support, assess barriers, and prepare action plans, among other things. But the key point is that there is a disconnect between what the plan suggests and what actually happens in reality. Strategic Human Resource Management Issues It's crucial to figure out what effect SHRM has on business success. In other words, as HRM is concerned with the company's human consequences, how can it alter the organization's future vision and assist in achieving the mission? The critical role of strategic HR management is well understood, and HR strategy can address the following issues: Structure is essential. Whether or not a proper management system is in place has a significant impact on the company's performance. Collaboration. A history of team building is generated by removing old conventional hierarchies. In certain situations, the fewer layers between the staff and the director, the more harmonious the working environment becomes. Additionally, staff contact is smoother and more efficient. Furthermore, it has the potential to have far-reaching effects on flexibility and efficiency, as well as improved business coordination. The desire to succeed. This approach is focused on a review of the key success factors and the levels of performance achieved in relation to them. Training, implementation, reorganization, the development of performance improvement systems, business process re-engineering, and other measures can all help to enhance performance. Many organizations have already implemented performance management systems that focus on performance enhancement and growth rather than compensation. This initiative puts a new focus on engagement, collaboration, and self-improvement. Customer service and quality. The aim of most businesses is to gain a competitive advantage. Customer satisfaction, and therefore loyalty and retention, are often used to assess competitive advantage. While cost cutting and innovation are significant, the main focus of attention should be on the consumers, because if they reject the product because it does not meet their standards, anything else becomes meaningless. As a consequence, the quality strategy should be incorporated into the overall business strategy. It's difficult to achieve a full integration of HR and company strategies. Part of the explanation for this is that in the past, the HR boss was not considered a member of the company's general management team. In addition, the personnel recommendation was not part of the strategic plan. HR, on the other hand, is critical in today's business world. 218 CU IDOL SELF LEARNING MATERIAL (SLM)

10.4 SUMMARY • Global human resource management is the practice of managing employees in a public or private organization that operates across several countries or continents. • It involves helping, overseeing, and engaging workers all over the world, while enforcing standard strategies and also considering local rules, customs, and culture. • While a company may use a single brand to provide identical goods and services all over the world, workers in different operating countries may have very different requirements. • Salary benchmarks and standard working hours can vary. • Workplace services, communication protocols, and management systems can be influenced by cultural differences. 10.5 KEYWORDS • BPR – Business Process Re – Engineering • HRM – Human Resource Management • SHRM – Strategic Human Resource Management 10.6 LEARNING ACITIVITY 1. Visit the BPO service industry and collect the data on challenges facing for Talent Acquisition ____________________________________________________________________________ ____________________________________________________________________________ 2. Visit the manufacturing industry and collect the data on HR Strategies ____________________________________________________________________________ ____________________________________________________________________________ 10.7 UNIT END QUESTIONS A. Descriptive Questions 219 Short Questions 1. What are the 5 main areas of HR? 2. What are the environmental factors affecting HRM? 3. What are 3 examples of human resources 4. What impact does the Human resource environment on our daily lives? CU IDOL SELF LEARNING MATERIAL (SLM)

5. HR environment in India Long Questions 1. Discuss various applications of job analysis. 2. Discuss the classical approaches to job design. 3. What are the four components of 360-degree appraisal? 4. Explain the objectives of job evaluation. 5. Discuss material and non-material incentives. B. Multiple Choice Questions 1. All of the following are sources of internal recruiting except: a. job posting. b. employee recommendations. c. advertisements. d. transfers. 2. An individualised outline of training, experience and possibly education designed to facilitate an employee's growth and enhance opportunities for advancement are called: a. job description. b. career development plan. c. assessment sheet. d. interview form. 3. A structured, systematic evaluation of an employee's qualitative and quantitative performance is known as: a. performance evaluation. b. performance appraisal. c. performance analysis. d. orientation. 4. Which of the above is not an advantage to the individual? a. sick leave. b. flex benefit. c. sales bonus. d. dental plan. 5. According to SHRM, the HR department must schedule its tasks in advance______a way. a. Strategic 220 CU IDOL SELF LEARNING MATERIAL (SLM)

b. Modern c. Technical d. Systematic Answer 1 – c, 2 – b, 3 – a, 4 – c, 5 – a. 10.8 REFERENCES Text Books – • Armstrong, Michael & Baron Angela. (2005). Handbook of Strategic HRM (1st ed.). New Delhi: Jaico Publishing House. • Mello, Jeffrey A. (2007). Strategic Human Resource Management (2nd ed.). India: Thomson South Western. Reference Books – • Regis, Richard. (2008). Strategic Human Resource Management & Development (1st ed.). New Delhi: Excel Books. • Agarwal., T. (2007). Strategic Human Resource Management. New Delhi: Oxford University Press. • Dhar, Rajib Lochan. (2008). Strategic Human Resource Management (1st ed.). New Delhi: Excel Books. 221 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT - 11: GLOBAL HUMAN RESOURCE MANAGEMENT Structure 11.0 Learning Objectives 11.1 Introduction 11.2 Competencies of HR Professional in a SHRM Scenario (“Global human resource management: two short cases” published IBS centre for Management Research 11.3 Summary 11.4 Keywords 11.5 Learning Activity 11.6 Unit End Questions 11.7 References 11.0 LEARNING OBJECTIVES After studying this unit, you will be able to: • Describe Global HRM • Describe the scope of Global HRM • Describe the effectiveness of SHRM • Strategic challenge of SHRM • Scope for SHRM 11.1 INTRODUCTION Organizations, large and small, have ceased to be local and have become multinational as a result of globalization. As a result, the workforce has become more diverse, and cultural sensitivities have surfaced in ways never seen before. As a result of all of this, Global Human Resource Management was born. Also, organizations that consider themselves resistant to cross-border transactions are connected to the global network. They are reliant on organizations that they may or may not be aware of in any way. Organizations are interdependent in a variety of areas and roles. The first role of global Human Resource Management is to ensure that the company has a local appeal in the host country while retaining an international appearance. To offer an example, 222 CU IDOL SELF LEARNING MATERIAL (SLM)

every multinational / foreign corporation does not want to be referred to as a local company, but it does want a domestic touch in the host country, which is the challenge. We may therefore, enumerate the objectives of global HRM as follows: 1. Create a local appeal without compromising upon the global identity. 2. Generating awareness of cross-cultural sensitivities among managers globally and hiring of staff across geographic boundaries. 3. Training upon cultures and sensitivities of the host country. In such a situation, Human Resources Management's strategic position is to ensure that HRM policies are aligned with and supportive of the company's strategy, structure, and controls. In the sense of global HRM, the following become especially noteworthy when we address systems and controls. • Operating Decision-Making: There is some centralization of operating decision-making. In the international strategy, the main competencies are centralized, while the rest is dispersed. • Coordination: Because of the cross-cultural sensitivities, a high level of coordination is necessary. In addition, there is a strong demand for cultural regulation. • Integrating Mechanisms: Many integrating mechanisms are active at the same time. Global HRM and the Staffing Policy The job is similar in this case, namely, recruiting individuals with the appropriate skills to perform a specific task. The challenge here is to build resources to foster a corporate culture that is virtually similar everywhere except for local sensitivities. Furthermore, deciding on top management or key roles can be difficult. It's debatable whether to hire a local from the host country for a key role or send one from the headquarters; and, ultimately, whether or not to have a global recruiting strategy is a major challenge. However, a company can choose to recruit according to any of the following hiring policies: • Ethnocentric: Here, key management roles are filled by people from the parent country. • Polycentric staffing: In a polycentric staffing policy, host country nationals oversee branches while parent company nationals manage headquarters. • Geocentric: In this staffing strategy, the brightest and most qualified people, regardless of nationality, occupy key positions. When it comes to global HRM, it seems that geocentric staffing strategy is the strongest. Human resources are effectively used, and it also aids in the development of a broad cultural and informal management network. Human resources, on the other hand, become more costly 223 CU IDOL SELF LEARNING MATERIAL (SLM)

when employed on a geocentric basis. National immigration policies, on the other hand, can stymie implementation. As a result, global HRM is a very difficult front in HRM. The job is half finished if one can hit the right chord while constructing systems and controls. Different subsidiaries can only work coherently when they are supported by efficient systems and controls, which are kept together by global HRM. 11.2 COMPETENCIES OF HR PROFESSIONAL IN A SHRM SCENARIO (“GLOBAL HUMAN RESOURCE MANAGEMENT: TWO SHORT CASES” PUBLISHED IBS CENTRE FOR MANAGEMENT RESEARCH A case analysis of an emerging Indian multinational's strategic global human resource management With the rising importance of emerging economies, researchers argue that non-Western management models should be studied in order to establish an integrated approach. This article explores the core ingredients of an Indian multinational firm in the IT industry's success in managing a global workforce, including diffused and motivated leadership, indicators and value-driven performance and reward management, and the HR function's strategic mindset. It proposes a versatile approach to global HR practice that allows for cross-pollination of best practices. Emerging multinationals; India; international HRM strategies; information technology services industry Keywords: emerging multinationals; India; international HRM strategies; information technology services industry Strategic Human Resource Management (SHRM) is seen as a primary competitive advantage and is taken into account when making strategic decisions. However, the majority of SHRM best practice literature is based primarily on a Western context, especially with regard to multinational corporations (MNCs), ignoring the global economy's fundamental changes (Ferner 2009). For example, the number of MNCs from developing countries and transition economies, also known as the \"new, infant, third world, or emerging multinationals,\" has grown faster than that of MNCs from developed countries over the last 15 years (UNCTAD 2008). Asian multinational corporations (MNCs) dominate the list of the top 100 largest MNCs in developing countries, indicating Asia's rising significance (UNCTAD 2006). China and India are two of the most attractive countries for inbound and outbound foreign direct investment (FDI) (UNCTAD 2007). In terms of Indian multinationals, seven were included in the Fortune 500. The Boston Consulting Group's BCG 100 new Global Challengers list includes 20 individuals (Sirkin, Hemerling, and Bhattacharya 2008). Unlike China, Indian multinationals are predominantly privately owned and operate across a broad range of industries, including oil, information technology (IT) services, pharmaceuticals, engineering products, and natural-resource-based manufacturing (Ramamurti and Singh 2009). In 2006, the service sector accounted for 38 224 CU IDOL SELF LEARNING MATERIAL (SLM)

percent of Indian FDI, primarily in IT, communication, and software, followed by advertising, broadcasting, and publishing. Indian multinationals now have a broader range of competitive advantages, including technology, skills, management knowledge, efficiency, and production size (Pradhan 2005; Thite and Dasgupta 2011). The Indian multinationals, according to Jonsson (2008, 6), \"represent a new breed of multinationals that develop their competitive advantage in novel ways; multinational companies that derive their advantage from service rather than technological advances, and manufacturing MNCs that straddle a low-cost and medium-technology role.\" Market-related considerations, such as \"the need to target consumers for niche goods – for example, in IT services – and the lack of international linkages,\" are the primary drivers of internationalization for Indian MNCs (UNCTAD 2006, 25). Indian IT firms stand out as a shining illustration of Indian innovation and entrepreneurship on a global scale. They are thought to be in the forefront when it comes to gaining the most quality certifications and accreditations in the IT services market. Top Indian IT firms have also pioneered an end- to-end market service model, with construction and distribution centers spread through on- shore, near-shore, and off-shore locations (NASSCOM 2009). The case study in this article is about Alpha Computers, an Indian multinational IT corporation (name changed to protect confidentiality). It explains why and how Alpha was able to become a world-class IT firm by emphasizing the importance of intellectual capital in its corporate philosophy and strategy. The article starts with a theoretical review of the SHRM best practice literature. It then goes on to explain the core elements of the case study organization's corporate human resource (HR) culture, strategies, and processes in order to see how and how they align with best practices in the strategic global HRM literature. The article wraps up with a summary of the case study's implications for international HR theory and practice. A theoretical viewpoint on strategic global HRM: There is mounting evidence that HR practices have an effect on organizational success and competitive advantage, and that businesses that use effective people management practices benefit. Thite (2004) concludes that effective organizations implement some traditional high performance/high participation work practices after reviewing the literature on strategic human resource management (SHRM): In these organizations, the HR feature forms business partnerships with line managers who have a direct interest and participation in HR delivery. HR professionals become an extension of the strategic business units (SBUs), customizing HR strategies to provide fast and efficient service. Their approach to internal and external customer service is what sets them apart from conventional HR services. They recognize, operationalize, and put into practice the competencies and personalities they believe are at the heart of their company's culture. They institutionalize a lifelong learning philosophy to maximize human resources inside and outside the company. 225 CU IDOL SELF LEARNING MATERIAL (SLM)

By carefully cultivating the picture of a desired employer, they hope to attract the best talent available on the market. Their remuneration is focused on success and profit sharing, and it is paid on time. It acknowledges and reinforces the skills and characteristics that organizational members respect. Their dedication to their staff is expressed in a variety of ways, including ongoing training and the ability to work on difficult projects. They create organizational frameworks based on autonomy, self-leadership, and team-based problem solving and learning. The strategic HRM literature cautions that when defining HR best practices, they are not uniformly applicable or appropriate in a global economy. Their performance is determined by national and organizational culture, as well as their scale, industry form, occupational category, and other factors. Furthermore, these procedures must be viewed in their entirety rather than in isolation. They are interconnected components of a human resource ‘bundle' or structure that is internally consistent. A company that takes a punitive approach to one aspect of its HRM framework would not be able to pursue a collaborative approach to another. In a global context, strategic HRM becomes much more relevant, focusing on ‘optimizing, value-driven, reciprocal global leadership as a core competency of a global organization facing environmental discontinuities (Harvey, Buckley, and Novicevic 2000). Case study Methodology The case study organization was part of a larger research project on Indian multinational firms. It adopts an ‘exploratory case study approach’ involving in- depth interviews with the business and HR leaders of the organization at its Indian headquarters and subsidiaries in both the developed market (namely, USA) and a developing market (namely, China). A total of 15 interviews were conducted between the period 2008–2009 with the senior managers across the global network of the organization, involving eight business and seven HR leaders. All the interviews were tape recorded and later transcribed verbatim. Even though the interviews covered a wide range of topics, such as the company’s history and internationalization process, its business strategies in developed and developing market subsidiaries, management control and coordination between headquarters and subsidiaries and the evolution, philosophy, global practices and role of HR, this article presents only the findings related to HR processes, policies and practices of the organization. An ‘inductive’ data analysis method was employed by extracting research findings from the dominant themes that emerged from raw data. It involved three steps: data reduction, data display and reaching conclusion via verification (Miles and Huberman 1994). The research design employed adds value to international HRM research by giving ‘equal weight to both the subsidiary level and to corporate headquarters within a firm’ (Ferner 2009) as well as covering sectoral variables (Colling and Clark 2002) by looking at different industry segments that the organization operates in globally. 226 CU IDOL SELF LEARNING MATERIAL (SLM)

Please note that some sections of the data presented below are reproduced or adapted from Thite, Wilkinson and Shah (forthcoming). Overview of Alpha Alpha was established as a private limited company in India in 1987 but today is a publicly listed company both in India and New York Stock Exchange (NYSE). In 2010, Alpha was one of the top five Indian consulting and IT services companies with a turnover of about US$ 2.5 billion from its operations in over 44 countries that employ around 45,000 professionals. Alpha’s operations cover three business segments, namely, IT services, business process outsourcing (BPO), and software products, catering to a wide range of industry segments. It aims to be one of the most valued global integrated IT services companies. It derives its overseas revenue from the North America (59%), Europe (21%) and the Asia Pacific region (20%). The company has been aggressively diversifying to other regions as well to spread its geographical diversification. It has its software development and delivery centers in India, North America, UK, Brazil, Hungary, Egypt, UAE, China Malaysia, Singapore and Australia. The breadth and depth of Alpha’s world class organizational, technological and people management excellence are demonstrated by a number of international awards, accolades and quality certifications that include SEI CMM Level 5 Certification, ISO9001:2000, several national and international awards, such as Best Employer and training excellence award from the American Society for Training and Development (ASTD). HR philosophy In line with Alpha’s policy of decentralization, distributed leadership, employee empowerment and non-hierarchical work environment, every employee in the organization is known as an ‘associate’. Its leadership motto is ‘every Alphaite is a leader’. Everything that the organization does is underpinned by its philosophy of enabling leadership which has come to life around the core concepts of ‘full life cycle business’ (FLCB) and ‘full life cycle leaders’ (FLCL). Alpha encourages employees to ‘think like CEOs’ and accordingly they are expected to run their ‘business’ as any CEO would do to achieve a reasonable return on investment in time, efforts and money. As a consequence, the same performance metrics apply to every employee and position, as explained later. Collectively, it is known as the ‘Alpha Way’ of doing business. The Alpha Way is more than a handbook that is distributed to every new employee. It is embedded in the corporate DNA of the organization and is the common currency that circulates across the length and breadth of the organization in its day-to-day life. Recognizing that the greatest motivation for people comes not from monetary rewards but from a sense of achievement, Alpha believes that by empowering every employee to be and act like the CEO of their own world of work, it can retain people and engage them to their full potential. 227 CU IDOL SELF LEARNING MATERIAL (SLM)

The Alpha School of Leadership brings this vision to fruition through continuous learning programmes at its sprawling corporate training centre in India as well as at its units throughout the world. Its mission is to develop 80% of the leadership requirements from within. In the words of the Head of Leadership Development, ‘at Alpha, the reward for a good job is a bigger job’, reflecting the organization’s desire to enable and encourage employees to achieve their full potential. Alpha believes that it is the ordinary people of the company who are capable of doing extraordinary things provided their talent is recognized, nurtured and rewarded. It uses star performers to act as role models and spread best practices so that their collective wisdom is distilled, institutionalized, automated and then spread across the corporate DNA. Metrics – the lifeblood of Alpha The most potent symbol of Alpha Way is the incorporation of performance metrics. According to the Global Head of HR, ‘metrics is the most common communication tool at Alpha’. Designed in line with a similar system at General Electric (GE), Alpha’s key business partner, the metrics are built around five outcome measures (5 R’s) and six built measures (6 P’s). The outcome measures ask the questions: ‘is your business doing ● Better (aiming for zero defects), ● Larger (that results in repeat business), ● Faster (reduced turn-around-time), ● Cheaper (reduced resource cost) and ● Steadier (adherence service standards). In order to produce these outcomes, the built measures ask the questions about ● People (do you have the right technical skills?), ● Process (how process oriented is your job in demystifying knowledge?), ● Product (how much of your work processes are automated?), ● Proliferation (are you aware of and benchmarking against best practices, inside and outside the organization?), ● Patent (how innovative are you in cost management?) and ● Promotion (do you motivate people by appreciating and celebrating team achievements?) These measures apply to every employee irrespective of their position, task and location. The achievements are highlighted by different colors: shining is green, bright is blue, visible is orange, twilight is brown and invisible is red (in the descending order). The weightage for each measure differ for different jobs – triple platinum, platinum and gold. The targets are stretched to the extent where they are challenging enough against global benchmarks for comparable jobs. Those who fall behind targets are placed under a performance improvement plan (PIP). 228 CU IDOL SELF LEARNING MATERIAL (SLM)

The measures take into account both hard and soft aspects of the job. For example, when it comes to resolving employee grievances, both the response time and resolution time are taken into account as it is not enough just responding quickly but it is equally important to resolve it satisfactorily which may take time and involve other people. As with many organizations that use team-based organizational structures, most teams at Alpha are cross-functional which can be challenging for performance measurement. Alpha uses a ‘collaboration index’ to account for the degree of collaboration between members and teams. The idea is to promote the culture of ‘competing to collaborate’. This forces employees to shed their silo mentality and look beyond the boundaries of their tasks and departments in the interests of the overall organization. Flexibility is built into the metrics system to ensure that it is not rigidly implemented irrespective of the situation. Employees have a say in what measures apply to their position, why and how. The collaboration meetings take place across different levels, and functions to achieve consensus before performance targets are agreed upon both in terms of soft and hard deliverables. Alpha is taking its metrics driven business approach beyond organizational boundaries by involving customers and suppliers as part of its eco-system. The customers are given access to the live performance monitoring database for all of their projects. Similarly, suppliers are trained in how the same metrics can be applied by them to improve their performance. HR Strategy One of the most distinguishing features that demonstrate how HR is strongly embedded at the strategic level in Alpha is the fact that today, most of the critical HR functions at the corporate level are staffed by managers who have come from business background. Even at lower levels, technical personnel are being inducted into HR roles and responsibilities. It is the result of a conscious decision by the top management because as in any technology company, people are the most important assets and can make or break its future. Another equally notable feature that illustrates the strategic nature of HR function at Alpha is the incorporation of the ‘full life cycle leadership’ (FLCL) and ‘full life cycle business’ (FLCB) into HR policy making and practice. For example, the recruitment function is a regarded as a ‘business’ in its own right. Within that business, campus recruitment and lateral recruitment (of experienced people) are separate business lines. Within campus recruitment, business colleges and technical colleges are again treated as sub-businesses. The managers in charge of all these business lines are the full life-cycle leaders subject to the same 11 performance metrics as discussed above. The leader in charge of campus recruitment is assessed every month on relevant critical measures, such as how many top educational institutes have been signed up for recruitment, how many offers have been released and how many joined and so on. 229 CU IDOL SELF LEARNING MATERIAL (SLM)

Similarly, any manager in charge of people management will be assessed on ‘associate delight index’, that is, how fast and how effectively employee concerns have been addressed in a given period and whether there is a gradual improvement over time. This exercise of feeling the employee pulse is qualitatively different than the annual ritual of conducting employee survey because it is done more frequently and monitored more closely. According to the Head of Global Delivery and Leadership Development, ‘Alpha is a listening organization’. Global staffing Alpha believes that with over 45,000 employees spread over 40 countries, it is poised to reach the next level in becoming a truly global company with firm local roots. The statement from Alpha’s Head of HR in China that ‘Alpha wants to be a Chinese company in China but provide the same global experience to clients, no matter where the operations are carried out’ reflects this ambition. At lower levels, Alpha is committed to localize the workforce in its overseas offices to the extent possible but this effort is somewhat hampered by many reasons, such as the need for cost effectiveness in an offshored business model necessitating the bulk of project execution in India, the diminishing attractiveness of IT as a career in the developed world with fewer people opting to study IT courses and, in some countries, the poor perception of Indian companies as employers of choice. As a policy, Alpha strives to staff locally at least 20% of all positions in all of its overseas operations, 50% of entry level positions and 90% in its non-English speaking geographies, such as China, where possible. With regards to lateral recruitment (of experienced people), Alpha prefers local managers for their knowledge of the local market and environment. Global HR policies and practices One of the critical challenges for any multinational enterprise (MNE) relates to the control and coordination between the headquarters and subsidiaries. The MNE is faced with the constant need to balance between ‘push for control from headquarters’ and ‘pull for autonomy from subsidiaries. The headquarters may assert its control over its subsidiaries by a variety of means, such as sending expatriates from corporate office to staff key positions in subsidiaries, formulating and implementing organization wide management policies and controlling finances and other output measures. With regard to the standardization of HR policies and practices, where local laws and conditions permit, uniform policies are rolled out across all the units of the organization. For instance, in terms of remuneration and reward management, 80% of compensation-related policies at Alpha are common across the world. Similarly, every Alphaite is offered a fixed and variable pay, the latter being tied to performance at individual, team, unit and organizational levels. The proportion of variable pay increases at higher levels. So, performance pay is a common practice throughout the organization whereas the fixed pay is subject to local laws and 230 CU IDOL SELF LEARNING MATERIAL (SLM)

conditions. The two basic principles that determine compensation policies at Alpha are comparability in the local market and affordability as an employer. While Alpha strives to maintain a cohesive organizational culture throughout its global network, some of the managers at its overseas subsidiaries believe that there is too much centralization of power in the corporate office and decisions are more often India- centric than global. Discussion As can be seen from above, Alpha is well on its way to become a truly globalized MNC with best-in-class organizational capabilities in its corporate strategy, leadership vision, organizational structure and HR policies and practices. Alpha’s process driven performance and reward management systems, global mindset and strategic positioning of HR auger well in its evolution. Despite the liabilities of foreignness, country of origin, newness and smallness that firms from emerging economies face (Thite, Wilkinson, and Shah forthcoming), Alpha’s internationalization process shows an ‘adaptive or polycentric approach’ in learning from and embedding the best practices from its subsidiaries in global markets, particularly in advanced countries. Recent research on Indian firms shows that one of their distinguishing characteristics is that they take a long-term view of their businesses, invest heavily in HRM practices and empower their employees in decision making (Cappelli et al. 2010; Khavul, Benson, and Datta 2010). As demonstrated by several studies, the Indian IT companies are known for their progressive and world class people management strategies and practices (Hamm 2007; Gurjar 2009). However, several studies also point out the HR challenges, such as lack of trainability and employability of the Indian workforce, high employee turnover and escalating wages in the Indian IT and IT- enabled services sector (ITES) (Wallace 2009; Thite 2010). One of the limitations of the case study in this article is that while it captures the strategic intent of the organization at the senior management level, the ‘employee voice’ which is the true reflection of the effectiveness of the HR function is missing. After the data collection ended, a senior leader of Alpha was embroiled in financial irregularities which severely dented the image of the organization and even though the company bounced back later to regain its standing in the market place under new management, it illustrates how shaky the foundations of a firm can be but at the same time, it attests to Alpha’s resilience to emerge relatively unscathed from unexpected shocks. Despite the above limitations, the case study illustrates that the managers in the emerging economy firms are ‘mixing and matching’ progressive HR policies and practices in a multi-polar world that only stands to benefit from cross- integration of emerging business and people management models. Acknowledgements This study was funded by a grant from the SHRM Foundation, USA. However, the interpretations, conclusions and recommendations are those of the author and do not necessarily represent the views of the SHRM Foundation. The author would also like to thank 231 CU IDOL SELF LEARNING MATERIAL (SLM)

Alexandre Ardichvili for her helpful comments in the revision of this article. References Cappelli, P., H. Singh, J. Singh, and M. Useem. 2010. The India way: Lessons for the U.S. Academy of Management Perspectives 24, no. 2: 6–24. Colling, T., and I. Clark. 2002. Looking for ‘‘Americanness’’: Home-country, sector and firm effects on employment systems in an engineering services company. European Journal of Industrial Relations 8, no. 3: 301–25. Ferner, A. 2009. HRM in multinational companies. In the Sage handbook of human resource management, eds. A. Wilkinson, N. Bacon, T. Redman and S. Snells, 539–58. Thousand Oaks, CA: Sage. Gurjar, N. 2009. A practitioner’s perspective on the Indian info-services industry. In The next available operator: Managing human resources in Indian business process outsourcing industry, eds. M. Thite and R. Russell, 115–44. New Delhi: Sage. Hamm, S. 2007. Bangalore tiger: How Indian tech upstart Wipro is rewriting the rules of global competition. New York: McGraw-Hill. Harvey, M., M. Buckley, and M. Novicevic. 2000. Strategic global human resource management: A necessity when entering emerging markets. Research in Personnel and Human Resource Management 19: 175–242. Jonsson, S. 2008. Indian multinational corporations: Low-cost, high-tech or both? Ostersund, Sweden: Swedish Institute for Growth Policy Studies. Khavul, S., G.S. Benson, and D.K. Datta. 2010. Is internationalization associated with investments in HRM? A study of entrepreneurial firms in emerging markets. Human Resource Management 49, no. 4: 693–713. Miles, M.B. and A.M. Huberman. 1994. Qualitative data analysis: An expanded sourcebook. NASSCOM. 2009. National Strategic Review, 2009. National Association of Software & Services Companies. http://www.nasscom.in/upload/60452/Executive_summary.pdf (ac- cessed December 21, 2011). Pradhan, J.P. 2005. Outward foreign direct investment from India: Recent trends and patterns. In GIDR Working Paper No. 153. Ahmedabad: Gujarat Institute of Development Research. Ramamurti, R., and J.V. Singh. 2009. Indian multinationals: Generic internationalization strategies. In Emerging multinationals from emerging markets, eds. R. Ramamurti and J.V. Singh, 110–66. London: Cambridge University Press. Sirkin, H.L., J.W. Hemerling, and A.K. Bhattacharya. 2008. Globality: Competing with everyone from everywhere for everything. London: Headline. 232 CU IDOL SELF LEARNING MATERIAL (SLM)

Thite, M. 2004. Managing people in the new economy. New Delhi: Sage. Thite, M. 2010. All that glitters is not gold: Employee retention in offshore Indian information technology enabled services. Journal of Organizational Computing and Electronic Commerce 20, no. 1: 7–22. Thite, M. and B. Dasgupta. 2011. Indian multinationals overseas: Tracking their global footprints. In Doing Business in India, eds. P. Budhwar and V. Varma, 250–65. Abingdon: Routledge. Thite, M., A. Wilkinson, and D. Shah. forthcoming. Internationalization & HRM strategies across subsidiaries in multinational corporations from emerging economies – A conceptual framework. Journal of World Business. http://dx.doi.org/10.1016/j.jwb.2011.04.012. UNCTAD. 2006. World investment report 2006: FDI from developing and transition economies: Implications for development. New York: United Nations Conference on Trade and Development. UNCTAD. 2007. World investment report 2007: Transnational corporations, extractive industries and development. New York: United Nations Conference on Trade and Development. UNCTAD. 2008. World investment report 2008: Transnational corporations and the infrastructure challenge. New York: United Nations Conference on Trade and Development. Wallace, C. 2009. An overview of the Indian contact centre industry. In The next available operator: Managing human resources in Indian business process outsourcing industry, eds. M. Thite and R. Russell, 13–32. New Delhi: Sage. 11.3 SUMMARY • Technological advancements, cost efficiency, and trade specialization are some of the fundamental factors for companies to go global; however, these are only the tip of the iceberg; there are several more benefits that encourage companies to go global. However, as businesses look to expand their market, many overlook the role of international human resource management (IHRM). • Organizations that place little to no value on IHRM often face setbacks and \"chain effect\" implications. • While internationalization of business has expanded opportunities for businesses and employees, it has inexorably generated a slew of human resource management (HRM) challenges related to a diverse multicultural workforce. These problems are often even more nuanced and subtle in nature. • In this article, we'll look at the differences between domestic and foreign HRM, as well 233 CU IDOL SELF LEARNING MATERIAL (SLM)

as the factors and elements that drive the importance of IHRM, as well as the expertise and skills that are so important but so scarce in today's organizations. Furthermore, we will investigate the issues and difficulties that HR managers and expatriates face on a regular basis. 11.4 KEYWORDS • Workforce Diversity Workforce diversity means the heterogeneous composition of employees of an organization • Network Organizations: They are also called virtual corporations • Unbundled Corporations: They employ portfolio/conglomerate approach to their peripheral business units 11.5 LEARNING ACITIVITY 1. Visit the BPO service industry and collect the data on Retention Strategies ____________________________________________________________________________ ____________________________________________________________________________ 2. Visit the manufacturing industry and collect the data on Training and Development Strategies ____________________________________________________________________________ ____________________________________________________________________________ 11.6 UNIT END QUESTIONS A. Descriptive type Questions Short Questions 1. What is the scope of strategic human resource management? 2. What should be the strategy of human resource management 3. Which of the following is closely associated with strategic HRM? 4. What is strategic approach to human resource management 5. How do you implement strategic human resource management? Long Questions 1. What are the features of profit sharing? 2. What are the different kinds of pension? 234 CU IDOL SELF LEARNING MATERIAL (SLM)

3. What is the importance of HR? 4. Critically discuss the principal methods of wage and salary payment. 5. What are the functions of HRD? B. Multiple choice Question 1. Which of the items mentioned below is not a recruitment technique? a. Interviews b. performance appraisal c. psychometric testing d. ability tests 2. Which of the following best describes '360-degree feedback'? a. a method used to appraise employees b. a system where managers give feedback to all their staff c. a system where feedback on any individual is derived from peers, subordinates’ supervisors and occasionally, customers d. a development tool 3. Which of the following would not form part of a flexible reward package? a. ability to 'buy and sell' leave days b. non-pay items such as child care vouchers c. cafeteria benefits d. performance-related pay 4. Which of the factors mentioned below becomes a creative factor in production? a. Land b. Capital c. Consumers d. Human Resources 235 CU IDOL SELF LEARNING MATERIAL (SLM)

5. People cast in the role of contributors to production are called ______ a. Capitalist b. Land owners c. Human Resources d. Consumers Answers 1. (b) 2. (e) 3. (d) 4. (d) 5. (e) 11.7 REFERENCES Text Books – • Armstrong, Michael & Baron Angela. (2005). Handbook of Strategic HRM (1st ed.). New Delhi: Jaico Publishing House. • Mello, Jeffrey A. (2007). Strategic Human Resource Management (2nd ed.). India: Thomson South Western. Reference Books – • Regis, Richard. (2008). Strategic Human Resource Management & Development (1st ed.). New Delhi: Excel Books. • Agarwal., T. (2007). Strategic Human Resource Management. New Delhi: Oxford University Press. • Dhar, Rajib Lochan. (2008). Strategic Human Resource Management (1st ed.). New Delhi: Excel Books. 236 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT - 12: STRATEGIC HR ISSUES IN GLOBAL ASSIGNMENTS Structure 12.0 Learning Objectives 12.1 Introduction 12.2 Expatriates’ selection and repatriation 12.3 Summary 12.4 Keywords 12.5 Learning Activity 12.6 Unit End Questions 12.7 References 12.0 LEARNING OBJECTIVES After studying this unit, you will be able to: • Describe Strategic HRM • Describe the HR Issues in Global assignments • Describe the Expatriates selection • Define Repatriation • Strategic challenge of SHRM 12.1 INTRODUCTION For small-business owners and administrators, managing human capital across regional and cultural borders may be challenging. Nonetheless, international HR concerns are crucial to consider, considering the widespread use of technology, the opportunity to communicate with everyone in the world, and access to new and diverse markets. Compliance and International HRM Issues Businesses can have to adjust to new labour regulations and tax obligations as they grow into the global marketplace or recruit workers from various regional and cultural backgrounds. Doing business in Europe, for example, would necessitate the payment of VAT. Hiring non- naturalized US citizens can necessitate HR filing work visa applications and reporting economic data to the federal government. Since international law is complicated and often difficult to enforce, compliance with it can be a challenge for the undereducated business 237 CU IDOL SELF LEARNING MATERIAL (SLM)

owner or HR manager. Keeping up to date with the legal regulations that relate to the company's activities will help to mitigate some of this uncertainty and reduce the chances of running into legal trouble. Scope of Human Resource Management With a growing number of businesses operating on a global scale, navigating the effect of globalisation on human resources can be difficult. When it comes to onboarding and HR rules, globalisation means taking into account a variety of policies, traditions, and norms. Some countries are more inclusive than others when it comes to gender issues, and this difference may lead to miscommunications or, worse, the loss of key staff. Just in case, having a male manager conduct day-to-day activities in an environment where female managers are frowned upon would not be difficult. Understanding what makes each culture tick and introducing as little or as much as is appropriate to maintain equilibrium is something to aim for. Cultural Diversity and Global HR Issues Understanding and preserving cultural diversity is a crucial topic in international HR. Working with people from various locations and cultural backgrounds necessitates adjusting the company's work style to new concepts, new methods of interacting, and unfamiliar social behaviours. If you recruit an employee from England, for example, she will have different ideas on how to handle staff or operate technology processes based on her previous experiences. Cultural diversity in HR is described by an openness to new work styles and cultural differences. Benefits and Compensation Benefits and compensation are the cornerstone of every HR policy, but they are much more important in foreign HR when it comes to concentrating on employees' work-life balance. Work-life balance is a concept that aims to provide workers with services and projects that can help them develop their personal and professional lives. Since several global corporations have already adopted services such as flexible working hours, paternity leave, extended breaks, and on-site childcare, this is considered part of international HR. In fact, several countries around the world, including most of Europe, have passed legislation requiring these programmes. One of the difficulties and, eventually, benefits of international HR is putting them into practise on a local level. Training and Development Education and professional development services are closely related to the concept of benefits and rewards in international HR. In-house workshops and meetings are common in training programmes, and they are intended to provide staff with on-the-job knowledge of skills that are essential to doing business internationally. HR can, for example, include language classes. Professional development refers to HR's \"extra\" preparation for staff, such as encouraging them to attend networking activities and conferences, global training workshops, and other competency-based initiatives. Employees can improve their expertise in global marketing, international business growth, and financial developments through professional development. 238 CU IDOL SELF LEARNING MATERIAL (SLM)

12.2 EXPATRIATION AND REPATRIATION Expatriation An expatriate is a worker who has relocated from his home country to work and live in a foreign country. An expatriate is a person who has given up citizenship in their home country in order to become a citizen of another. The definition comes from the Latin term’s ex (out of) and patria (fatherland) (fatherland). Expatriates are employees of a company who are moved from their home base to another part of the company's foreign operations. Global versatility of a company's workers aids in the creation of competitive advantages. When employed in a foreign country, all expatriate workers are entitled to an expatriate premium. This covers both monetary and non-monetary benefits such as housing and schooling. Self-initiated expatriation happens when people, rather than employers, take the initiative to migrate (SIE). The fact that some Asian businesses have recently employed a number of Western managers is an example of this. The population of Dubai is mostly made up of expatriates from countries such as India, Pakistan, Bangladesh, and the Philippines, with just 20% of the population being natives. Spain is the most popular expat destination, followed by Germany and the United Kingdom. Repatriation Before going into detail about the phases of the repatriation process, it's important to note that when an expatriate's overseas assignment is completed, the MNC returns the expatriate to his or her home country. However, not all international assignments conclude with a move home; instead, the expatriate is reassigned to another foreign assignments. Some workers are required to fly around the world on a regular basis, and they become part of the MNC's international management team. Even with such managers, resettlement is necessary, particularly when they retire. 239 CU IDOL SELF LEARNING MATERIAL (SLM)

Figure 12.1: Repatriation Process Preparation entails making long-term preparations and collecting details about the new job. The company may have a checklist of things to remember before returning home (for example, closing bank accounts and paying bills) or a thorough preparation of the employee and his or her family for the transition. Physical transfer involves saying goodbye to co-workers and friends and moving to the next assignment, which is normally back home. The amount of confusion, tension, and disturbance faced by the repatriate and family is reduced with customised relocation. Transitioning includes relocating to temporary accommodation if necessary, paying for housing and education, and performing other administrative tasks such as renewing a driver's licence and opening a bank account. Coping with reverse culture shock and job expectations are both part of the readjusting process. The most difficult step in the repatriation process is readjusting. Because of a number of variables, re-entry adjusting is a challenging process. First, there is anxiety when he or she returns home, which is heightened by uncertainty about the firm's placement, job opportunities, and a sense of alienation, as well as a sense of devaluing the foreign experience, dealing with new role demands, and the possibility of losing rank and pay. MNCs approach the repatriation issue in a number of ways. Many companies have formal repatriation policies in place. Some businesses appoint the expatriate to a godfather, who is a mentor to the expatriate. The tutor is typically in a higher role than the expatriate and is acquainted with him or her. The aim of using a mentor is to alleviate feelings of isolation by constantly providing information (e.g., job changes) so that the expatriate is better prepared for 240 CU IDOL SELF LEARNING MATERIAL (SLM)

the circumstances he or she will face upon re-entry. The mentor should also make certain that the expatriate is not overlooked when important decisions about jobs and promotions are made. Challenging of re-entry: Some issues that emerge during repatriation are more serious than those that arise during expatriation. In fact, expatriation is seen as a reward for exceptional performance, while repatriation is seen as the end of a career honeymoon. Both the individual assignee and the MNC are affected by re-entry challenges. Individual perspective: There are personal as well as technical challenges for the assignee. On a personal basis, the assignee encounters reverse culture shock. The returnee wishes for the country to revert to its previous state before he or she left. However, when the assignee returns home, he or she finds that things have changed. The political, economic, social, and cultural climates have all changed. Furthermore, the people who return are not the same as they were before. As a result of their experience abroad, their experiences, attitudes, behaviours, and habits have all improved. These changes have raised aspirations for the homeland, but reality does not match expectations. They are picky about everything, which sets them apart from citizens of their home country. It isn't just the assignee who is struggling to adjust. The problem also affects the partner. Kids, too, find re-entry difficult. Returning to school, reintegrating into peer groups, and losing touch with current slang, sports, and fashion can all cause problems. Reduced social status, lost spendable income, housing issues, school issues, club membership difficulties, and other issues exacerbate the problems of re-entrants. Returnees' problems are exacerbated by job losses. The repartee claims that the skills he or she acquired while serving in the military in another country are no longer relevant. When a repatriate feels his or her job at home is disorganised, he or she is overlooking the returnee's global competence. Worse, employers may be unable to give the returnee a job. As a result of insufficient job training, repatriates are often placed in limbo, with roles assigned to them based on their abilities, capacities, and needs. Many returnees complain that when they return to work, they are given a limited number of job options and are rarely considered for promotions, making them feel cut off from the company's main stream of growth. Challenges from organization Perspective: The majority of returnees, as is well known, consider leaving the company. Given the MNC's investment in preparation, role, and retaining the assignee while on duty, his or her departure would have a negative impact on the company's bottom line. Sometimes, a multinational's loss becomes a competitor's advantage. When an accomplished assignee leaves to enter a competitor, the latter gains a competitive advantage. Furthermore, high returnee withdrawals could jeopardise the company's ability to recruit talented people in the future. 12.3 SUMMARY • With a growing number of companies operating on a global scale, balancing the effect of globalisation on human capital can be difficult. 241 CU IDOL SELF LEARNING MATERIAL (SLM)

• As a result of globalisation, different rules, traditions, and standards must be considered when onboarding and drafting HR policies. • Certain countries are more inclusive than others when it comes to gender issues, and this difference may lead to miscommunications or, worse, the loss of key staff. • Just in case, having a male manager conduct day-to-day activities in an environment where female managers are frowned upon would not be difficult. • Aim for understanding the mechanisms that make each culture tick and incorporating as little or as much as necessary to achieve harmony. 12.4 KEYWORDS • MNC – Multinational Company • HRD – Human Resource Development • IHRM – International Human Resource Management 12.5 LEARNING ACITIVITY 1. Visit the BPO service industry and collect the data on Expatriates Selection ____________________________________________________________________________ ____________________________________________________________________________ 2. Visit the manufacturing industry and collect the data on Appraisal Model ____________________________________________________________________________ ____________________________________________________________________________ 12.6 UNIT END QUESTIONS A. Descriptive Questions Short Questions 1. Define Expatriates Selection 2. Define Repatriation 3. What the issues in Global Assignments 4. What are the Strategic HR issues? 5. What are the steps involved in SHRM? Long Questions 1. Briefly explain the importance of career planning. 2. Is performance appraisal advantageous? 242 CU IDOL SELF LEARNING MATERIAL (SLM)

3. Why is training needed? 4. What is learning? 5. Explain the importance of management development. B. Multiple choice Questions 1. Wright and Snell contributed significantly to the creation of: a. Strategic fit model b. Strategic labour allocation process model c. Business-oriented model d. None of these 2. The typical strategic management process consists of phases. a. Four b. Five c. Six d. Seven 3. The following is an example of a corporate level strategy component: a. growth strategy' b. portfolio strategy c. parenting strategy d. All of these 4. Establishing an atmosphere that allows for a constant and two-way flow of information between the parties. The relationship between superiors and subordinates is at the heart of: a. High involvement management model b. High commitment management model c. High performance management model d. None of these 5. Crossing a border is a fun experience. a. Creates internal organisational conflict between different departments as they compete to generate new practices b. Occurs when organisations advance into new areas of the market c. Undermines the integration of an organisation through the breakdown of the departmental boundaries. d. Is focused upon achieving internal organisational integration between various organisational roles and units in order to generate creativity and synergy 243 CU IDOL SELF LEARNING MATERIAL (SLM)

Answers 1. (e) 2. (b) 3. (d) 4. (a) 5. (d) 12.7 REFERENCES Text Books – • Armstrong, Michael & Baron Angela. (2005). Handbook of Strategic HRM (1st ed.). New Delhi: Jaico Publishing House. • Mello, Jeffrey A. (2007). Strategic Human Resource Management (2nd ed.). India: Thomson South Western. Reference Books – • Regis, Richard. (2008). Strategic Human Resource Management & Development (1st ed.). New Delhi: Excel Books. • Agarwal., T. (2007). Strategic Human Resource Management. New Delhi: Oxford University Press. • Dhar, Rajib Lochan. (2008). Strategic Human Resource Management (1st ed.). New Delhi: Excel Books. 244 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT - 13: STRATEGIC HR ISSUES IN GLOBAL ASSIGNMENTS Structure 13.0 Learning Objectives 13.1 Introduction 13.2 Global Environment of HR 13.3 Change & Diversity Management 13.4 Summary 13.5 Keywords 13.6 Learning Activity 13.7 Unit End Questions 13.8 References 13.0 LEARNING OBJECTIVES After studying this unit, you will be able to: • Describe Strategic HRM • Describe the HR Issues in Global assignments • Describe the Global Environment of HR • Define Change & Diversity Management • Challenge of SHRM 13.1 INTRODUCTION Human resources departments (HR) must adapt as organizations evolve in order to keep employees happy and efficient. Strategic management, according to business author John Bratton, became a necessary part of companies in the mid-1990s. Strategic analysis was used by human resources to assess current personnel requirements and how they could evolve in the future. Getting Paid For an HR agency, both the process and the sum of payments for workers are strategic concerns. Employee retention would be helped by a competitive pay package, but it can put a strain on the budget. Employees are praised for their past success, and it acts as a motivation 245 CU IDOL SELF LEARNING MATERIAL (SLM)

for them to do even better in the future. Payment must be consistent with the organization's principles and policies while remaining affordable. Some firms offer flexible compensation packages, while others limit payment options. Preparation Effective enterprises are the product of putting the right people in the right jobs and supplying them with the training they need. Training projects must be cost-effective when concentrating on specific targets. Managers must understand why certain forms of training are required and communicate this knowledge to their subordinates effectively. And the best training programme in the world will fail if it is not applied and understood properly. Employees must also be prepared to fill potential vacancies in higher roles by training. Retention is an important factor. The retention of staff is one of the key reasons for the existence of an HR department. A successful employee retention plan ensures that workers are happy with their jobs. Corporate culture, quality of life, and professional development are all factors that influence how well an organization performs in this field. If an organization does not concentrate on keeping its workers satisfied at any stage, it will almost certainly experience high turnover. Searching for candidates Every year, a substantial number of intelligent employees graduate from college or graduate school and enter the workforce. To ensure that potential future workers are interested in working for the company, it must provide an attractive combination of rewards, compensation, and a clear message. A plan for hiring these workers must be in place in the HR department. There must be a standard interview procedure in which the interviewee is briefed about the company's culture, aspirations, and goals. Internal promotions can also be used to fill vacancies, which would necessitate the use of training and compensation strategies. 13.2 GLOBAL ENVIRONMENT OF HR On a daily basis, HR professionals are confronted with a growing number of global issues. This is valid also for companies that have traditionally only worked in the domestic market. Global product and service competitiveness, global talent management, risk and privacy, global diversity and cultural problems, flexible incentive schemes, leadership challenges, and handling foreign assignments are all issues to address. Although many of the HR competencies extend to domestic HR professionals, dealing with international issues necessitates new and enhanced global skills. This article will offer a high-level overview of some key issues and competencies that global HR practitioners must possess. Global Talent Environment 246 CU IDOL SELF LEARNING MATERIAL (SLM)

Working with an increasingly mobile workforce poses a challenge, as trade and visa restrictions make it easier for workers to travel from country to country. To successfully promote and handle talent across borders, HR practitioners must consider the different types and methods of visas, as well as employer obligations, including employee taxation issues. Remote access, networking, handling workers on a 24/7 basis, and project transition have all improved as technology progresses, enabling operations to “follow the sun” as they travel from one geographic area to another during the workday in other regions. All facets of talent management, including recruiting, selection, onboarding, coaching, training, performance management, compensation, and retirement issues, are affected by various generations in the workplace, as well as country and cultural differences. Since a \"one-size-fits- all\" solution is ineffective, a delicate balance between globalisation and localization is required. Among the problems to be tackled in terms of talent are: • Coping with multinational operations that run 24 hours a day, seven days a week • Generational gaps in beliefs and workplace standards • Human resources and information transfer • Difficulties with mobility • Market skill gaps and talent rivalry • Problems with staggered retirement and early retirement Technology and Privacy Issues Understanding and adhering to global technology, data collection, and privacy regulations is important. Factors such as identity theft, hacking, privacy notification, and computer security must all be considered. HRMS tools must be set up to decide the best system design for monitoring personal information, currency conversion, language, pay rates, and frequency methods, all while encrypting data. Global Economy Within global markets, new entrants, evolving labour markets, labour force availability, currency and inflation variables, tariffs, customs and import rules, grease payments, and corporate social responsibility must all be taken into account. • Labour markets that are new or evolving • Inflation and taxes of businesses and workers • Expanded skill sets • The rate of unemployment Understanding Cultural Diversity 247 CU IDOL SELF LEARNING MATERIAL (SLM)

Understanding and reconciling cultural differences within the organisation, as well as harmonising these relationships, is a key trait of effective human resource management. On a country-by-country basis, various cultural norms and complexities, colour and numerology problems, gestures, social norms, power/distance relationships, recruitment activities, and performance management must all be fully understood. Agility with Reward Systems Total incentive programmes (base compensation, variable pay, and benefits) must be implemented successfully in - nation. A total reward philosophy statement will help with designing global programmes based on what the home country provides, normative practises, taxation levels, and employee expectations. In certain countries, for example, the government offers universal health coverage, life insurance, disability insurance, and retirement benefits. In other countries, the government can provide minimum health coverage, with the employer providing supplementary health insurance as a standard practise. Managing Global Leadership Integrity, trust, interpersonal communication skills, people growth, vision, problem solving, and strategic planning are only a few of the core characteristics that successful global leaders possess. Greater adaptability and versatility, an appreciation for subtle and not so subtle cultural nuances, diversity and inclusion understanding, influencing skills, international business experience, and the ability to travel abroad are some of the main differences. Managing International Assignments Most businesses struggle with expatriation and repatriation. In general, assignee evaluation and planning are lacking, including family interviews, wider cultural and language training, ongoing input and discussion, visa requirements, knowledge of local customs and regulations, tax reconciliation, and repatriation process recognition. Usually, international assignments cost three times an individual's base salary, and approximately 60% of repatriations result in the assignee leaving within six months of their return. It would be easier to handle assignments if you are mindful of culture shock and reverse culture shock. Having extra services to help with travel, emergency evacuations, language and cultural instruction, balance sheet assessment of fair wages and living expenses, tax equalisation, and accommodation assistance is highly helpful. Communication Skills It's a big bonus if you can understand more than one language. In addition to English, French, Spanish, German, and Flemish are preferred. However, in addition to language skills, knowing cultural differences and avoiding US-based idioms or phrases can cause problems and strain relationships. Executives who have served in other countries would have a stronger understanding of the problems. 248 CU IDOL SELF LEARNING MATERIAL (SLM)

13.3 CHANGE & DIVERSITY MANAGEMENT In the coming years, companies who understand how to effectively manage diversity in the workplace will have a distinct advantage when it comes to recruiting and hiring talent. This post explores how organizations can best approach and manage diversity in the workplace, with actionable tips and advice. What is Diversity in the Workplace? For an organization trying to cultivate a more diverse and inclusive culture, understanding what constitutes workplace diversity is important. The broad range of differences that occur among employees in a company is referred to as workplace diversity. Not only does diversity refer to how people describe themselves, but it also refers to how they are viewed by others. Diversity in the workplace includes race, gender, ethnic groups, age, religion, sexual orientation, citizenship status, military service, mental and physical disabilities, and other distinct differences between individuals. What are the Benefits of Diversity in the Workplace? Working in a diverse culture has many benefits. Businesses that commit to recruiting a diverse workforce, for example, have a larger pool of applicants to choose from, which can lead to more qualified candidates and reduce the time it takes to fill open positions. Businesses that don't hire from a diverse pool of candidate’s risk missing out on qualified candidates and may have a tougher time filling key positions, resulting in higher recruitment costs. According to a Glassdoor survey, 67% of job seekers expect a diverse workforce when evaluating job prospects, while 57% of employees believe their companies should be more diverse. These numbers reveal a great deal. Organizations would not only be able to fill positions with qualified candidates quicker if they hire from a variety of talent pools, but a diverse workforce would also support their employer brand, which is important when it comes to recruiting top talent. Multilingual employees and employees from various ethnic backgrounds may support organizations looking to expand or grow operations in international, national, regional, or local markets. MORE BENEFITS TO HAVING DIVERSITY IN THE WORKPLACE: Employees from a variety of backgrounds bring new perspectives and ideas to businesses that are shaped by their cultural experiences. If companies work in a diverse setting, they can gain a deeper understanding of target demographics and what motivates them. A diverse workplace can help an organization's culture align with the demographics of the United States. Customer satisfaction increased as a result of improved employee interactions 249 CU IDOL SELF LEARNING MATERIAL (SLM)

with a broader range of clients and the general public. How to Manage Diversity in the Workplace? When it comes to discussing diversity in the workplace, HR professionals face a diverse collection of challenges. These issues can be mitigated if an organization makes a conscious effort to cultivate a more diverse environment by promoting a culture of diversity, encouraging open communication, and adopting dispute resolution techniques to deal with any issues that arise. To navigate diversity in the workplace effectively, leaders must first consider their own experiences, as well as how their attitudes and values can influence their decision-making in a diverse environment. Tips for Addressing Diversity in the Workplace: PRIORITIZE COMMUNICATION In order to manage a diverse workforce, companies must ensure that they communicate with employees effectively. Policies, policies, safety rules, and other relevant information should be written in a way that overcomes linguistic and cultural barriers, such as by reading materials and, where appropriate, using pictures and symbols. TREAT EACH EMPLOYEE AS AN INDIVIDUAL Make no assumptions about people from different walks of life. Look at each employee as an entity and judge their accomplishments and shortcomings on their own merits, rather than attributing behaviour to their past. ENCOURAGE EMPLOYEES TO WORK IN DIVERSE GROUPS Staff in diverse work groups can get to know and trust one another on a more personal level, which can help dispel prejudices and cultural misunderstandings. BASE STANDARDS ON OBJECTIVE CRITERIA Establish a uniform set of rules for all employees, regardless of their backgrounds. Ensure that all employment behaviour, including discipline, meets this standard requirement to ensure that each employee is treated equally. BE OPEN-MINDED Recognize, and motivate employees to recognize, that one's own background, past, and culture aren't the only things that matter to the organization. Look for ways to put a diverse range of skills and perspectives to bear on achieving organizational goals. HIRING To build a diverse workplace, it is vital to recruit and hire talent from a variety of backgrounds. Hiring managers and others must overcome bias when interviewing and assessing applicants in order to do this. If businesses can transcend biases and hire the most qualified applicants, those with the right education, qualifications, experience, and skill sets, a diverse workplace should 250 CU IDOL SELF LEARNING MATERIAL (SLM)


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