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CU-MBA-SEM-IV-International HRM

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Description: CU-MBA-SEM-IV-International HRM

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o Human Resource Planning Is A Difficult Activity To Be Performed In The Organization. o Human Resource Information Often Is Incompatible With The Information Used In Strategy Formulation. o Conflicts May Exist Between Short-Term And Long-Term Human Resource Needs. o There Is Conflict Between Quantitative Approaches To Human Resource Planning. o Non-Involvement Of Operating Managers Renders Human Resource Planning Ineffective. 9.5 KEYWORDS 1. Labour cost or total labour cost is the total expenditure borne by employers for employing staff. 2. Optimum Utilization of Resources Management utilizes all the physical & human resources productively. 3. Corrective action is a process of communicating with the employee to improve unacceptable behavior or performance after other methods such as coaching and performance appraisal have not been successful. 4. A strategic plan is a document used to communicate with the organization the organizations goals, the actions needed to achieve those goals and all of the other critical elements developed during the planning exercise. 5. Cultural nuance is what distinguish one culture from another. it can be as simple as the way a certain culture greets each other or as complex as their social norms and mores. 9.6 LEARNING ACTIVITY 1. Why it is important to match demand and supply in HRP? Explain the implications. ___________________________________________________________________________ ___________________________________________________________________________ 2. Discuss the impact of Reward system on the HRP in International Business. ___________________________________________________________________________ ___________________________________________________________________________ 201 CU IDOL SELF LEARNING MATERIAL (SLM)

9.7 UNIT END QUESTIONS A. Descriptive Questions: Short Answers 1. Write a note on characteristics of the Human Resource Planning 2. Define Human resource Planning and state its meaning. 3. How Organizational Strategy affect Human Resource Planning? 4. Explain the consideration in International Human Resource Planning. 5. State and describe the barriers to Human Resource Planning. Long Answers: 1. Discuss the significance of Human Resource Planning in International Business 2. Explain the different factors affecting Human Resource Planning. 3. Describe the Human Resource Planning Process 4. What is the significance of Labour market in HRP? 5. Enumerate the Global Factors that are considered in Human Resource Planning B. Multiple Choice Questions: 1. The major issue of Global HRM are a. Global Integration b. National Responsiveness c. Measured initiated by IMF d. Both a & b 2. What is the fourth stage of Human Resource Planning? a. Demand Forecasting b. Assessment of Human Resource c. Supply Forecasting d. Integrating HR Planning and Corporate Planning 3. Which step of HRP is concerned with a surplus and shortages of human resources? a. Assessment of Human Resource b. Action Plan c. Assessment of Environmental Factor d. Matching Demand and Supply 202 CU IDOL SELF LEARNING MATERIAL (SLM)

4. The strategic plan of the organization defines the _____________ a. Labour Market condition b. Importance of PCN c. organization’s HR needs d. Importance of HCN 5. What is the focus of the declining stage of the HRP? a. Diplomatic relations with unions b. Sources of Recruitment c. Selection Test d. Layoff, retrenchment and retirement Answers 1 – d; 2 –a; 3 – b; 4 – c; 5 – a; 9.8 REFERENCE Text Book:  Wilhelm Schmeisser, Dieter Krimphove, Rebecca Popp, International Human Resource Management and International Labour Law, De Gruyter Oldenbourg,  Peter J. Dowling, Marion Festing and Allen D. Engle, Sr., International Human Resource Management, Cengage Learning EMEA  By Veronica Velo, Cross-Cultural Management, Business Expert Press  Srinivas R. Kandula International Human Resource Management , SAGE Publications Pvt. Ltd  Pravin Durai, Human Resource Management, Pearson India Reference Book  K Aswathappa , Sadhna Dash, International Human Resource Management, McGraw Hill  Gary Dessler, Fundamentals of Human Resource Management, Pearson  Ekta Sharma, Strategic Human Resource Management and Development, Pearson India  Parissa Haghirian, Successful Cross-Cultural Management, Business Expert Press Open Sources:  https://www.Shrm.org/  https://www.ncbi.nlm.nih.gov/  https://www.futurelearn.com/ 203 CU IDOL SELF LEARNING MATERIAL (SLM)

 International Journal of Human Resource Studies  changingminds.org  assignmentpoint.com  interculturalmanagement.fandom.com  diva-portal.org  cvs.edu.in  strategy-business.com  www.mbaknol.com (Integrity-Asia & ispatguru)  publications.anveshanaindia.com  smallbusiness.chron.com  resources.workable.com  whatishumanresource.com  resources.workable.com  jigsawacademy.com  www.personio.com 204 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT - 10: RECRUITMENT AND SELECTION: 205 STRUCTURE 10.0 Learning Activity 10.1 Introduction 10.2 Recruitment 10.2.1 Concept 10.2.2 International Recruitment 10.2.3 Features of International Recruitment 10.3 Recruitment Process 10.3.1 International Recruitment Process 10.3.2 Sources of Recruitment 10.3.3Pre-Requisites of International Recruitment Process: 10.4 International Recruitment Practices 10.5 Difference between Recruitment and Selection 10.6 Summary 10.7 Keywords 10.8 Learning Activity 10.9 Unit End Questions 10.10 Suggested Readings 10.0 LEARNING OBJECTIVE After studying this unit, you will be able to:  Explain the Concept and significance of International Recruitment  Describe the different sources of International Recruitment  Illustrate the International Recruitment Practices  Compare the Process of Recruitment and Selection CU IDOL SELF LEARNING MATERIAL (SLM)

10.1 INTRODUCTION Even the small firms can have a worldwide component to because of innovations in communication and movement of goods made possible by the Internet and contemporary logistics. With this in mind, you might want to start seeking for talent across boundaries, just as you might be doing business across countries. A global recruiting plan can utilize the world's talent to transfer earnings back home to you, whether you're importing foreign workers or staffing offices overseas. Expanded Talent Pools In 2010, Steve Jobs explained that one of the reasons that Apple manufactured in China was that he couldn't find enough engineers in America to support manufacturing on the scale he needed. While your small business might not need the quantity of talent that some large businesses need, foreign markets have different types of labor with unique skillsets. Many markets are turning out programmers, engineers and other skilled workers at a faster rate than the US, making it easier to find talent there than to hire domestically. Better Local Management When you have a local office in a foreign country, one strategy can be to ship a US manager over to run it. This might make it easier for you to communicate with that manager, but it can carry additional costs and complexity for you. It also potentially creates a cultural challenge as that worker tries to integrate into the foreign country. Hiring a local to run an overseas office can reduce cultural misunderstandings as she manages that workforce. She can also help to translate that country's business climate to you so that you can better understand what is going on. Deeper Global Understanding Bringing foreign workers into your company helps you to build a deeper understanding of global business. Their reactions to your products and their advice can help you to create offerings that are more palatable both here and abroad. In the long run, this can increase your sales and your success. Creating a Global Brand 206 CU IDOL SELF LEARNING MATERIAL (SLM)

Recruiting globally doesn't just help you to make better products and find better people. It also gives you a way to build your brand in those countries. Your recruiting activities can be a marketing tool that increases awareness of your brand in those countries, as well as a way to get a foothold in talent communities both from a recruiting and from a marketing perspective. 10.2 RECRUITMENT 10.2.1 Concept Recruitment refers to the process of identifying, attracting, interviewing, selecting, hiring and onboarding employees. In other words, it involves everything from the identification of a staffing need to filling it. Recruitment is the first step in building an organization's human capital. At a high level, the goals are to locate and hire the best candidates, on time, and on budget. Recruitment is a good process of locating potential employees and encouraging them to apply for positions inside the company. When more people apply for employment, there will be more opportunities to hire better people. On the other side, job seekers are looking for firms that will hire them. Recruitment is a connection activity that connects individuals who have jobs and those who are looking for jobs. In simple terms, recruiting is the process of identifying a source from which potential employees might be chosen. Higher productivity, better salaries, greater morale, lower labour turnover, and a better reputation are all benefits of a scientific recruitment process. It stimulates people to apply for jobs; hence it is a positive process. It is a process of bringing together prospective employees and employer with a view to stimulate the prospective employees to offer their services in the working organization. What is International Recruitment and Selection? International or global recruitment is simply the process involved in the searching and hiring of talented candidates from anywhere across the globe. The recruitment and selection process has a long history with man. We’ve always been involved in nominating and selecting representatives for sports, politics, associations, leadership, etc. Oftentimes, we always desire and opt for the most capable, skilled, efficient, and qualified individuals to champion the specific course as to which we are selecting people. Hiring and selection of candidates internationally have a different twist when compare to local or domestic recruitment processes. The variation in market, culture, languages, policies, 207 CU IDOL SELF LEARNING MATERIAL (SLM)

etc. have given global recruiting of talents a new perspective. For instance, the rules and regulations binding employees’ hiring in Europe will have a different taste to the system used in America. For instance, the resume/CV format for job hiring in America doesn’t need information like date of birth, marital status, etc. compared to how this information is required in some countries. Also, in America, most job CV/resume must be skill and result- driven compared to the duty-based resumes/CV required in some regions of the world. 10.2.2 FEATURES OF INTERNATIONAL RECRUITMENT A wider talent pools Hiring internationally means you’re no longer restricted to a local talent pool that, while interesting and full of skilled workers, might be getting stagnant. The most productive workers in the world come from a diverse number of locations, so by limiting your talent pool to what is immediately around you, you are doing genuine damage to your potential. This talent pool is looking to be picked up and given a chance to work in a role within a new work environment. They are often trained in unique skills that may not be as widely used or studied within your country, giving you a valuable edge over your competitors. This pool of workers is also generally more engaged, especially if they are actively looking to relocate for work. For a business that needs to fill a role quickly to advance with a new project or a recruiter looking to fill a monthly quota, this type of energized applicant is a lifeline that quickly fills a role and provinces you with all kinds of new opportunities. Enriched workplace culture Many businesses will struggle to diversify their workforce in a way that improves their culture, turning to recruiters to do the hard work for them. Hiring from abroad is just the answer to your problems. Businesses owe it to themselves to build a diverse team and culture. They need to add different types of people and thought processes to every stage of their structure, for both legal requirements and to expand the scope of their vision. Hiring internationally can be just the change in perspective a company needed and act as the catalyst for a more significant and welcomed change. Welcoming and then sharing global perspectives will help boost the internal and external perception of a business. 208 CU IDOL SELF LEARNING MATERIAL (SLM)

Workplace diversity has many benefits. A work culture enriched by a diverse team is a happier one that tries new things, builds connections and develops a community atmosphere that can be bragged about as unique within the sector. Extended working hours As a recruiter, you’re always on the lookout for someone who can bring something unique to a business. Hiring overseas offers the unique asset of a team member who will be working different hours to the rest of your staff, should they choose not to relocate. Rather than limiting their interactivity with the rest of the business, this actually allows them to provide a unique, around the clock service. Many international hirees will be looking to work remotely and will see doing so as an opportunity to establish themselves at the forefront of a business’ international expansion. This kind of worker is looking to impress and can do so independently without having to be monitored on a day-to-day basis, so they can be trusted to work to the highest level possible remotely. These extended business hours let you cover multiple time zones as a business. It also gives your customers and clients an improved overall experience around the clock, whether you work in a B2B or B2C industry. If you’re looking to bring in more international clients or customers, hiring this type of team member is essential. Enhanced branding Branding is a huge part of building a successful modern company, and having a diverse, internationally hired team is an essential step of branding you shouldn’t overlook. This is not to say you should look at hiring internationally as a cynical marketing stunt. But instead, you should look to take advantage of the incredibly talented team you have assembled from all kinds of different backgrounds and locations within your branding. It shows you’re a company that focuses on bringing in the best talent they can find, even if it involves a more complicated and expensive hiring process. It screams that you’re a business that only wants the best. These are the kind of messages that potential applicants look for when applying for a position. 209 CU IDOL SELF LEARNING MATERIAL (SLM)

Upgraded customer service If your business or the business you’re recruiting for is international, your customer service needs to be international. Hiring internationally allows businesses to provide a better overall service to their growing worldwide customer base. There are two main benefits here. If you hire internationally, your employees are more likely to be bilingual, allowing them to provide clear, straight forward customer service communicated in the customer’s native language. A language barrier can be a huge detriment to your service and ultimately have an impact on the number of retained customers, as the company will come across as ignorant. Secondly, having a diverse customer service team gives you more insight into the unique problems facing your base in other countries. This can help inform your strategy and lead to important reforms across your business and website. An international customer in one country will face completely different issues to a local one, issues that a team may never have noticed without this more holistic view to customer service that hiring internationally provides. This issue extends deeper than just customer service too, an international team is one that is better at solving a wider spectrum of problems and providing solutions that suit that particular customer. 10.3 RECRUITMENT PROCESS Whenever a position opens, hiring teams should follow this process: 1. Decide which staffing approach is most suitable for this particular case. Use this policy to determine whether the regiocentric, ethnocentric or polycentric approach suits best. Discuss the budget with finance to make sure you’re able to apply the chosen approach and whether another one could work equally well with lower costs. If there’s no particular reason to use any of them, then the [geocentric approach] should prevail. 2. Determine the recruitment methods that work for this approach. For example, if you decided on the polycentric approach, then consider local job boards and locally- based recruiters in the host country. 3. Allocate your budget. To make sure you can coordinate recruitment activities, look into your budget. For example, if you’ve chosen the ethnocentric approach, you’ll 210 CU IDOL SELF LEARNING MATERIAL (SLM)

need to factor in relocation costs for your new hire. Also, you may decide you need to meet candidates from the host country in-person so pay attention to travel expenses. Work with [finance/ HR] to determine the available resources. 4. Evaluate candidates. When it comes to resume and phone screening, we evaluate all candidates the same way. The preferred method for interviewing video interviews for remote candidates. Each role will demand a different skillset, but to make sure our employees can work well together, look for people who:  Are self-motivated and can work independently (especially if their manager is remote).  Can communicate well even through cultural and language barriers.  Have a global mindset.  Are tech-savvy.  Also, depending on the approach you’ll use, make sure to discuss if a candidate is legally permitted to work in the country where the open position is. If it’s agreed upon, discuss immigration procedures. 5. Close the hire and discuss paperwork. Once a candidate accepts a job offer, ask HR how to proceed with any legal procedures regarding visas, immigration policies or taxes. Be in close collaboration with the new hire until everything is resolved. 10.3.2 SOURCES OF RECRUITMENT: 1. ETHNOCENTRIC APPROACH Countries with branches in foreign countries have to decide how to select management level employees. Ethnocentric staffing means to hire management that is of same nationality of parent company. When a company follows the strategy of choosing only from the citizens of the parent country to work in host nations, it is called an ethnocentric approach. Normally, higher-level foreign positions are filled with expatriate employees from the parent country. The general rationale behind the ethnocentric approach is that the staff from the parent country would represent the interests of the headquarters effectively and link well with the parent country. The recruitment process in this method involves four stages: 211 o self-selection, o creating a candidate pool, o technical skills assessment, and CU IDOL SELF LEARNING MATERIAL (SLM)

o making a mutual decision. Self-selection involves the decision by the employee about his future course of action in the international arena. In the next stage, the employee database is prepared according to the manpower requirement of the company for international operations. Then the database is analysed for choosing the best and most suitable persons for global assignments and this process is called technical skills assessment. Finally, the best candidate is identified for foreign assignment and sent abroad with his consent. The ethnocentric approach places natives of the home country of a business in key positions at home and abroad. In this example, the U.S. parent company places natives from the United States in key positions in both the United States and Mexico. 212 CU IDOL SELF LEARNING MATERIAL (SLM)

Fig10.3.1: Ethnocentric Approach Advantages of Ethnocentric Approach 1. Better coordination between the host and the parent company. 2. The culture of the parent company can be easily transferred to the subsidiary company, thereby infusing beliefs and practices into the foreign country. 3. Effective control over the subsidiary. 4. The parent company can have a close watch on the operations of the subsidiary. 5. Better transfer of technical know-how. 6. Effective communication between the host and the parent company. 7. No need to have a well-developed international local labor market. Disadvantages of Ethnocentric Approach 1. The staff of the parent country may find it difficult to adjust in the host country due to the cultural differences. 2. Difficulty in guiding employees living far away from the parent country. 3. Missed out the opportunity to hire the best personnel from the host country. 4. The cultural clashes between the executives of parent country and the staff members of the host country. 5. The expatriates from the parent country are much expensive as compared to the employees in the host country. 6. The government restrictions in the host country may hamper the business of the parent company. 7. The failure rate is very high. This approach is beneficial in a situation when a new subsidiary is set up in the host country, and the employees of the parent company visit there and initializes its operations. 2. Polycentric approach When a company adopts the strategy of limiting recruitment to the nationals of the host country (local people), it is called a polycentric approach. The purpose of adopting this 213 CU IDOL SELF LEARNING MATERIAL (SLM)

approach is to reduce the cost of foreign operations gradually. Even those organizations which initially adopt the ethnocentric approach may eventually switch over lo the polycentric approach. The primary purpose of handing over the management to the local people is to ensure that the company understands the local market conditions, political scenario, cultural and legal requirements better. The companies that adopt this method normally have a localized HR department, which manages the human resources of the company in that country. Many international companies operating their branches in advanced countries like Britain and Japan predominantly adopt this approach for recruiting executives lo manage the branches.\" 214 CU IDOL SELF LEARNING MATERIAL (SLM)

Fig 10.3.2 Polycentric Approach The polycentric approach uses natives of the host country to manage operations in their country and natives of the parent country to manage in the home office. In this example, the Australian parent company uses natives of India to manage operations at the Indian subsidiary. Natives of Australia manage the home office. Advantages of Polycentric Approach 1. The difficulty in the adjustment of expatriates from the parent country gets eliminated. 2. The hiring of locals or the nationals of the host country is comparatively less expensive. 3. The morale of the local staff increases. 4. Better productivity due to better knowledge about the host market. 5. The career opportunities for the nationals of the host country increases. 6. Better government support. 7. Chances of success are high. Disadvantages of Polycentric Approach 1. Lack of coordination between the host and the parent company, due to the absence of a link that gets created when expatriates from the parent country hold the managerial positions at the subsidiary. 2. The lack of effective communication between the staff members of both the host and the parent company, due to the language barrier. 3. Difficult to exercise control over the subsidiary. 4. Lack of knowledge about the market conditions of the host country. 215 CU IDOL SELF LEARNING MATERIAL (SLM)

5. The conflict may arise between the managers of both the host and the parent company due to the different thinking processes. 3. GEOCENTRIC APPROACH When a company adopts the strategy of recruiting the most suitable persons for the positions available in it, irrespective of their nationalities, it is called a geocentric approach. Companies that are truly global in nature adopt this approach since it utilizes a globally integrated business strategy. Since the HR operations are constrained by several factors like political and ethnical factors and government laws, it is difficult to adopt this approach. However, large international companies generally adopt the geocentric strategy with considerable success. For international recruitment, especially on foreign soil, organizations generally use manpower agencies or consultants with international connections and repute to source candidates, in addition to the conventional sources. For an effective utilization of the internal source of recruitment, global companies need to develop an internal database of employees and an effective tracking system to identify the most suitable persons for global postings. Fig 10.3.3 Geocentric Approach 216 CU IDOL SELF LEARNING MATERIAL (SLM)

The geocentric approach uses the best available managers for a business without regard for their country of origin. In this example, the UK parent company uses natives of many countries at company headquarters and at the U.S. subsidiary. Advantages of Geocentric Approach 1. MNC’s can develop a pool of senior executives with international experiences and contacts across the borders. 2. The expertise of each manager can be used for the accomplishment of MNC’s objective as a whole. 3. Reduction in resentment, i.e. the sense of unfair treatment reduces. 4. Shared learning, the employees, will learn from each other’s experiences. Disadvantages of Geocentric Approach 1. The cost of training, compensation, and relocation of an employee is too high. 2. Highly centralized control of staffing is required. 3. Proper scrutiny is required by the HR to select the most suitable person for the job, which could be time-consuming. 4. This approach is very costly since the recruitment agencies or the consultants are to be hired for the global search for eligible candidate 4. REGIO CENTRIC APPROACH The Geocentric Approach is one of the methods of international recruitment where the Multi-National Companies recruit the most suitable employee for the job irrespective of their Nationality. The Regio centric approach uses managers from various countries within the geographic regions of business. Although the managers operate relatively independently in the region, they are not normally moved to the company headquarters. The Regio centric approach is adaptable to the company and product strategies. When regional expertise is needed, natives of the region are hired. If product knowledge is crucial, then parent-country nationals, who have ready access to corporate sources of information, can be brought in. 217 CU IDOL SELF LEARNING MATERIAL (SLM)

One shortcoming of the Regio centric approach is that managers from the region may not understand the view of the managers at headquarters. Also, corporate headquarters may not employ enough managers with international experience. Fig 10.3.4 Regio Centric Approach www.whatishumanresource.com/ Advantages of Regiocentric Approach 1. Culture fit, i.e. the managers from the same region as that of the host country may not encounter any problem with respect to the culture and the language followed there. 2. Less cost is incurred in hiring the natives of the host country. 3. The managers work well in all the neighboring countries within the geographic region of the business. 4. The nationals of host country can better influence the decision of managers at headquarters with respect to the entire region. Disadvantages of Regiocentric Approach 1. The managers in different regions may not understand the viewpoint of the managers employed at the headquarters. 2. There could be a communication barrier because of different languages. 218 CU IDOL SELF LEARNING MATERIAL (SLM)

3. The manager selected from a particular region may lack the international experience. 4. It may lead to the confusion between the regional objectives and the global objectives. The regional managers may only focus on accomplishing the regional targets and may oversee the impact on the firm as a whole. 10.3.3 PRE-REQUISITES OF INTERNATIONAL RECRUITMENT PROCESS: There are three specific areas of country differentiation that international HR managers must be aware of: The type of labour legislation – which varies from country to country in terms of scope , whether it conveys an employer or employee bias, and in particular areas of deficiency in the behavior of individuals, organizations and institutions. The scope of labour legislation and associated collective agreements and custom or practices varies markedly. For example, some constitutions convey rights in relation to appointment. The type of labour market – There are marked differences in countries in terms of labour market. Germany, Japan, France and Switzerland generally noted for internal labour markets and recruitment here is focused on specialized entry points at low levels followed by promotions based on internal assessment. Although Internal labour markets are considered to have the benefits like improved morale, commitment and security amongst employees, competencies and accrued knowledge, more specialized HR skills around dedicated HR points (such as graduate recruitment), the downturn is that there can be high levels of political behavior, informal ‘glass ceilings’, complacency and structural shocks when market and technological changes force whole vocational system for a significant overhaul of HR system. The advantages of external labour markets in this context is that it gives an opportunity to bring new blood as part of culture-change processes, insights into competitor capabilities and the ability to respond in the equal opportunities issues more visibly. Examples are Britain, USA, Denmark, The Netherlands and HongKong etc The recruitment methods – Recruitment occurs through both formal and informal methods. Informal methods rely on the contacts of existing employees or on people just applying. International differences in the use of informal recruitment are substantial but it is widespread throughout the world, especially in developing countries. 219 CU IDOL SELF LEARNING MATERIAL (SLM)

10.4 INTERNATIONAL RECRUITMENT PRACTICES The elements of International Recruitment Practices are as follows: EMPLOYMENT BRAND The first step of implementing a global recruitment strategy is building an employment brand that is truly global. Many employers, especially those in the B2B space, don’t have a strong consumer brand. Without a strong consumer brand, most organizations need to rely on their employer brand to attract talent. There are many ways for an organization to build its employer brand, including developing employee ambassadors, using social media and digitizing brand strategy while putting mobile first. When implementing a global recruitment strategy, organizations need to build an employer brand that is effective across the world. It is important to work with local employees to ensure employer branding and recruitment marketing campaigns are culturally appropriate in each region in which an employer recruits. To accomplish this effectively, HR should work with marketing, so the strategy is aligned with and deployed alongside traditional marketing messages. CANDIDATE EXPERIENCE A strong end-to-end candidate experience is important regardless of where candidates are from. Candidates around the world want mobile-friendly applications that are fast and easy to fill out, well-written job descriptions that engage candidates and convince them to apply, positive interview experiences and consistent communication. EMPLOYEE REFERRAL PROGRAM The process should also include a strong employee referral program for each country as employee referrals account for nearly a third of all hires, according to SHRM. It is important to ensure an equivalent referral bonus in each country. The amount should be based on a percentage of the average income in each location. If referral bonuses are too varied in different countries, it can make employees in one location feel less valued. CONSISTENT ONBOARDING PROCESS The onboarding process should also be as consistent as possible in each location. According to SHRM, 69 percent of employees are more likely to stay with a company for three years if they experience great onboarding. While some countries have exceptions, like requiring a new hire to come into the office for a signature before the start date, but otherwise the process should be as consistent as possible. 220 CU IDOL SELF LEARNING MATERIAL (SLM)

STANDARDIZED TECHNOLOGY When building a global recruitment strategy, it is important to standardize technology as much as possible across the globe. While there are exceptions, like Russia where, by law, you need to have an ATS on the ground in the country, you should use the same technology systems wherever possible. A centralized technology system for all global locations gives you better data and a better view of your entire workforce. This gives you the ability to better spot trends and make strategic decisions. GLOBAL LABOR MARKET DATA ANALYSIS If the talent market starts to tighten in one part of the world, you can easily see how your workforce compares throughout the region and other areas of the world. That insight can be used to make high-level business decisions. 10.5 DIFFERENCE BETWEEN RECRUITMENT AND SELECTION S.No. RECRUITMENT SELECTION Selection refers to the process of 01. Recruitment refers to a process of shortlisting the applicants and selecting the best applicants who are suitable for simulating applicants for a vacant job that job position. It attempts to reject unsuitable position and finding qualified applicants candidates and picking up suitable candidates. for the job. That’s why it is considered as a negative process/approach. 02. It attracts and encourages a large number Selection follows recruitment. Selection is a complicated process. of candidates for a job. It is the final process so takes place after selection. 03. That’s why it is considered as a positive It is an expensive method. process/approach. In this more time time is required. The main objective of selection is to get 04. Recruitment proceeds selection. the best candidates selected for the job 05. Recruitment is a simple process. 06. It is the initial process so takes place before selection. 07. It is an economical method. 08. In this less time is required. 09. The main objective of recruitment is to create a pool of eligible candidates for 221 CU IDOL SELF LEARNING MATERIAL (SLM)

the purpose of selection. role. 10. It involves everything from identification It involves choosing the right candidate of a hiring need to filling. from the applications received. 11. In this no contractual relation for the After selection for the job role a service is created. contractual relation for the service is created. 12. During recruitment large number of During and after selection very less and talent pools or candidates are involved. limited number of candidates are involved. 10.6 SUMMARY  Recruitment refers to the process of identifying, attracting, interviewing, selecting, hiring and onboarding employees. In other words, it involves everything from the identification of a staffing need to filling it.  International or global recruitment is simply the process involved in the searching and hiring of talented candidates from anywhere across the globe.  Features of International Recruitment o A wider talent pools o Enriched workplace culture o Extended working hours o Enhanced branding o Upgraded customer service  Recruitment Process: o Decide which staffing approach is most suitable for this particular case.. o Determine the recruitment methods that work for this approach. o Allocate your budget. o Evaluate candidates. o Close the hire and discuss paperwork. o Sources of Recruitment:  Ethnocentric staffing means to hire management that is of same nationality of parent company. 222 CU IDOL SELF LEARNING MATERIAL (SLM)

 Polycentric approach: When a company adopts the strategy of limiting recruitment to the nationals of the host country (local people), it is called a polycentric approach.  When a company adopts the strategy of recruiting the most suitable persons for the positions available in it, irrespective of their nationalities, it is called a geocentric approach.  When a company adopts the strategy of recruiting the most suitable persons for the positions available in it, irrespective of their nationalities, it is called a geocentric approach.  The Regio centric approach uses managers from various countries within the geographic regions of business. Although the managers operate relatively independently in the region, they are not normally moved to the company headquarters.  There are three specific areas of country differentiation that international HR managers must be aware of: o The type of labour legislation o The type of labour market o The recruitment methods  The elements of International Recruitment Practices are as follows: O Employment Brand O Candidate Experience O Employee Referral Program O Consistent Onboarding Process O Standardized Technology 10.7 KEYWORDS 1. Work culture is a collection of attitudes, beliefs and behaviors that make up the regular atmosphere in a work environment. 2. Branding is the perpetual process of identifying, creating, and managing the cumulative assets and actions that shape the perception of a brand in stakeholders’ minds. 3. Bilingual - able to speak two languages equally well. 4. A global mindset is defined as the ability to recognize, read, and adapt to cultural signals, both overt and subtle, so that your effectiveness isn't compromised when you're dealing with people from different backgrounds 223 CU IDOL SELF LEARNING MATERIAL (SLM)

5. Resentment - a feeling of anger because you have been forced to accept something that you do not like. 10.8 LEARNING ACTIVITY 1. If product knowledge is crucial, then parent-country nationals are preferred. State the valid reason. ___________________________________________________________________________ ___________________________________________________________________________ 2. What are the important legal proceedings taken care by the HR Manager in the International Recruitment? ___________________________________________________________________________ ___________________________________________________________________________ 10.9 UNIT END QUESTIONS A. Descriptive Questions: Short Answers 1. What is International Recruitment? 2. Describe the process of International Recruitment. 3. State the concept of Polycentric approach. 4. What differentiation needs to be taken care by HR manager in the International Recruitment? 5. State the difference between Recruitment and Selection. Long Answers: 1. Explain the features of International Recruitment. 2. Discuss the sources of the International Recruitment. 224 CU IDOL SELF LEARNING MATERIAL (SLM)

3. Compare the Ethnocentric and Polycentric Approach. 4. Differentiate between Geocentric Approach and Regiocentric Approach. 5. What are the challenges involved in the International Recruitment? B. Multiple Choice Questions: 1. Which approach of the Recruitment helps to reduce the cost of foreign operations gradually? a. Polycentric Approach b. Ethnocentric c. Geocentric d. Regiocentric 2. The disadvantage associated with the Regiocentric Approach is a. Culture fit b. Communication barrier c. Reduction in resentment d. Highly centralized control 3. What will help the business hours let you cover multiple time zones as a business? a. Training Programs b. Rewards c. The extended Business Hours d. Quality of the product 4. When the database is analyzed for choosing the best and most suitable persons for global assignments and this process is called _______________. a. Technical Skill Assessment b. Soft Skill Assessment c. Hard Skill Assessment d. Global Assessment 5. Recruitment is an ____________ method. a. Expensive b. Strategic c. Normal d. Economical 225 CU IDOL SELF LEARNING MATERIAL (SLM)

Answers 1 – a; 2 – b; 3 - c; 4 -d; 5 -d; 10.10 REFERENCE Text Book:  Wilhelm Schmeisser, Dieter Krimphove, Rebecca Popp, International Human Resource Management and International Labour Law, De Gruyter Oldenbourg,  Peter J. Dowling, Marion Festing and Allen D. Engle, Sr., International Human Resource Management, Cengage Learning EMEA  By Veronica Velo, Cross-Cultural Management, Business Expert Press  Srinivas R. Kandula International Human Resource Management , SAGE Publications Pvt. Ltd  Pravin Durai, Human Resource Management, Pearson India Reference Book  K Aswathappa , Sadhna Dash, International Human Resource Management, McGraw Hill  Gary Dessler, Fundamentals of Human Resource Management, Pearson  Ekta Sharma, Strategic Human Resource Management and Development, Pearson India  Parissa Haghirian, Successful Cross-Cultural Management, Business Expert Press Open Sources:  https://www.Shrm.org/  https://www.ncbi.nlm.nih.gov/  https://www.futurelearn.com/  International Journal of Human Resource Studies  changingminds.org  assignmentpoint.com  interculturalmanagement.fandom.com  diva-portal.org 226 CU IDOL SELF LEARNING MATERIAL (SLM)

 cvs.edu.in  strategy-business.com  www.mbaknol.com (Integrity-Asia & ispatguru)  publications.anveshanaindia.com  smallbusiness.chron.com  resources.workable.com  whatishumanresource.com  resources.workable.com  jigsawacademy.com  www.personio.com 227 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT - 11: RECRUITMENT AND SELECTION STRUCTURE 11.0 Learning Objectives 11.1 Introduction 11.2 Selection 11.2.1 Concept and Definition 11.2.2 Selection Process 11.3 Selection Methods 11.4 Elements in International selection 11.5 Challenges in International Selection 11.6 Summary 11.7 Keywords 11.8 Learning Activity 11.9 Unit End Questions 11.10 References 11.0 LEARNING OBJECTIVES After studying this unit, you will be able to:  Describe the significance and concept of International Selection Process  Explain the different Selection Methods  Explain the Elements in Selection Process  Illustrate the Challenges in International Selection Process 11.1 INTRODUCTION In today's globalized society, more and more people are being sent abroad by their employers. The majority of these businesses are multinational corporations (MNCs) with subsidiaries, cross-border alliances, international joint ventures, or foreign joint venture partners. Companies deploy personnel abroad for a variety of reasons, including preparing 228 CU IDOL SELF LEARNING MATERIAL (SLM)

and executing a merger and acquisition or simply gaining international experience to improve intercultural understanding between the home and host companies. Knowledge transfer and shared corporate management are the ultimate goals. It is expected that once a corporation leaves its national borders, it will want workers who can manage in an international environment. The IHRM (International Human Resource Management) of a company has therefore a difficult selection process to handle Selection is the process by which job seekers are separated into two groups: those who will be offered jobs and those who will not. The process of selecting the best candidate from a pool of applications is known as selection. This procedure is in place to ensure that the job requirements and the talents and motivations of the candidates are a good match. Human resources must be adaptable not only to job and organisational requirements, but also to the cultural requirements of different countries. As a result, global job selection strategies differ from those used for local occupations. Following the selection of applicants, global firms assign them to various nations, the majority of them are in the developing world.Thus, the employees of global companies mostly work and live in the foreign countries with their family members also live in those countries. 11.2 SELECTION 11.1 CONCEPT AND DEFINITION Selection is the process of choosing the most suitable candidates from those who apply for the job. It is a process of offering jobs to desired candidates. According to Harold Koontz, “Selection is the process of choosing from the candidates, from within the organization or from outside, the most suitable person for the current position or for the future positions.” Dale Yoder said, “Selection is the process by which candidates for employment are divided into classes those who will be offered employment and those who will not.” David and Robbins said, “Selection process is a managerial decision-making process as to predict which job applicants will be successful if hired.” According to R.M. Hodgetts, “Selection is the process in which an enterprise chooses the applicants who best meet the criteria for the available positions.” 229 CU IDOL SELF LEARNING MATERIAL (SLM)

Selection is the process of choosing from a group of applicants those individuals best suited for a particular position. 11.2 SELECTION PROCESS: 1. Preliminary Interview Once a requirement is posted, a company may receive hundreds of thousands of applications. A granular pre-process, the preliminary interview is conducted to weed out all candidates who do not meet the essential eligibility criteria – educational qualifications, required skill sets, proven certifications, experience. Candidates may also be assessed based on their background and level of interest. Some companies employ innovative techniques to bring the right candidates to the table right from the get-go. For example, Uber deployed “Code on the road,” an in-app coding game that took candidates straight to the next stage of the selection process if they passed the challenge! Gamifying recruitment selection is among the latest trends in HRM. 2. Receiving Applications Once candidates pass the preliminary interview, organizations must aim to standardize the application process. Here, candidates must fill out a standard application form that collects bio-data, qualification, experience, background, and educational information. The application could gather a broader understanding of the candidate, such as hobbies and interests. A comprehensive application form will come in handy during the final selection process when decisions are to be made between similar candidates. 3. Screening Applications This stage includes shortlisting potential candidates from the pool of applicants who applied. The screening committee constitutes various team leads, department members, inter- department associates, and coordinators who would be working closely with the selected candidates. Screening can include multiple criteria, including educational prowess, relevancy in terms of experience, etc. The interview details and requirements are shared with potential candidates via a call or an email. 4. Preliminary Tests Preliminary tests are an essential part of the job selection process. They assess the aptitude, IQ, emotional intelligence, proficiency, and personality of candidates. While some 230 CU IDOL SELF LEARNING MATERIAL (SLM)

organizations hold these tests remotely, many prefer to arrange a test-venue generally within organizational premises. Should they be held at the premises, the candidates are informed of the itinerary. 5. Employment Interview The selection interview is the crux of the entire process. It could be defined as an in-person conversation that puts candidates on their feet. This step signals how well he/she fits into the company ethos. During this stage, companies provide a detailed brief of the job profile, including the roles and responsibilities that the candidate is expected to shoulder. Likewise, the candidate is encouraged to share his/her concerns or queries with the employer. The employment interview itself may be divided into several rounds, including group discussions and other activities. In-person interviews allow employers to judge the candidate’s caliber, personality, teamwork, and leadership skills. 6. Checking References Although in-person interviews provide a fair idea about the candidate, contacting references allows employers to verify their understanding. Through discussions with references who vouch for the candidates’ professionalism and work ethics, they may discover other qualities about him/her. For this stage of the recruitment process in HRM, organizations may reach out to previous employers or the concerned educational institutions. 7. Medical Examination Although not strictly followed, medical examinations are slowly becoming commonplace among organizations today. Modern companies are viewing medical fitness (both mental and physical) as a cost function. A healthy employee would require fewer sick leaves and handle stress relatively quickly, allowing greater productivity in dynamic, fast-paced environments. Some employers view this matter seriously and consider this a preliminary phase during the screening stage. 8. Final Selection The last phase of the selection process is to cross the t’s and dot the i’s; candidates who have successfully qualified through all rounds of the recruitment and selection in HRM receive an offer/appointment letter by the organization. More often than not, candidates receive a temporary position with an assurance of permanency on completion of the probation period. 231 CU IDOL SELF LEARNING MATERIAL (SLM)

The appointment letter typically includes all such details, including salary and company policies. Candidates may also be asked to sign an NDA (Non-Disclosure Agreement) that ensures the protection of company data. 11.3 SELECTION METHODS A. Interviews: An interview may be defined as a systematic and scientific process used in the employee selection which helps to acquire needed information with regard to the candidate’s capabilities and his interest, aptitude and knowledge required for the job and also to provide him the requisite information about the concerned organisation through face-to-face communication, thus creating a feeling of trust and confidence in the mind of the prospective candidate. According to Jucius Michael, “An interview is a face-to-face, oral observational and personal appraisal method”. It is used as a means of getting information from the candidate. It also includes giving information that will help the applicant make his mind about the company. Interviews are of following types:- According to Scott and others, “An interview is a purposeful exchange of ideas, answering of questions and communication between two or more persons.” Thus, interview is a tool of selection by which an effort is made to collect complete information about a candidate, his knowledge, personality, interest, communication skills, etc. However, interview can be used for other purposes also such as for making discipline, problem solving, appraisal and counselling. Interview is a face-to-face contact between interviewer and interviewee where interviewee is allowed to speak freely so that interviewers can draw useful information about person through his thoughts and speaking. This useful information is regarding his education, experience, training, family background, communication skills etc. Types of Interviews: 232 CU IDOL SELF LEARNING MATERIAL (SLM)

Various kinds of interviews are conducted depending on the purpose of the organisation. Different interviews are different due to attitude of interviewer, questions asked, structure of interview, etc. Interviews are of following types: 1. Preliminary Interview: This interview is conducted as the first step of selection process. Its purpose is to eliminate totally unsuitable candidates in the very beginning of selection process. 2. Patterned or Structured Interview: This is most common interview. In this, every aspect of questionnaire is decided in advance such as questions to be asked, sequence of questions, time to be allotted to it, etc. At the time of interview, there is no or little deviation in this planning. The scores of candidates are compared with a standard score to determine the selection. 3. Non-Directive Interview: This is also known as free or unorganized interview. This interview is unstructured and unplanned. In this interview, interviewee is allowed to express himself; he is free to talk about the subject selected by interviewer. Candidate is encouraged to tell about himself, his likes, dislikes, choices, family background, upbringing, expectations, etc. The purpose of this interview is to check the inner qualities of a person. 4. Depth or Action Interview: This interview studies the interviewee deeply, his beliefs, values, home life, experience, aptitude, hobbies, interests, etc. The idea of this interview is to get a complete picture about the interviewee. 5. Group Discussion Interview: Groups are interviewed in this interview, not the individuals. A situation is given to the teams for group discussion without telling the traits which would be tested. Interviewer locates those in the interview. Team which takes the lead in the group discussion, who speak well, who clarify issues, who have the knowledge and who summaries. Through this analysis, the interviewer can form the opinion about group members and base his selection decision on the assumption that candidates will perform in the same way in the organisation as they did in group discussion. 6. Panel or Board Interview: 233 CU IDOL SELF LEARNING MATERIAL (SLM)

When one person is interviewed by several persons at the same time, it is called as panel interview. Interviewers may ask questions turn wise or randomly or as the situation demands. Generally, all candidates are asked same questions so that answers can be compared. Panel interviews are also known as committee interviews. 7. Stress Interview: This interview is conducted to test how a person performs under stress. Stress is created at the time of interview by the interviewer. To create stress, interviewer asks rapid questions, criticizes the answers of interviewee, annoys him, disturbs him, argues with him and puts him in awkward situation. The result of interview talks about the performance of candidate whether he remains calm or loses temper or gets confused. Judicial use of stress interview may be helpful for interviewer in selection. B. Assessment Centres: An Assessment Center consists of a standardized evaluation of behavior based on multiple evaluations including: job-related simulations, interviews, and/or psychological tests. Job Simulations are used to evaluate candidates on behaviors relevant to the most critical aspects (or competencies) of the job. Several trained observers and techniques are used. Judgments about behavior are made and recorded. These judgments are pooled in a meeting among the assessors or by an averaging process. In discussion among assessors, comprehensive accounts of behavior, often including ratings, are pooled. The discussion results in evaluations of the performance of the assessees on the dimensions or other variables. Leaderless Group Discussion The leaderless group discussion is a type of assessment center exercise where groups of applicants meet as a group to discuss an actual job-related problem. As the meeting proceeds, the behavior of the candidates is observed to see how they interact and what leadership and communications skills each person displays (Schultz & Schultz, 1994). Problems with this technique: 234 CU IDOL SELF LEARNING MATERIAL (SLM)

This type of exercise was not feasible for selecting candidates from a potential applicant pool of 8000 individuals because of the time and cost involved with training the individuals rating the applicants. Since every group would be different, individuals could argue that the process is biased or unfair.The process is not standardized. Role Playing Role playing is a type of assessment center exercise where the candidate assumes the role of the incumbent of the position and must deal with another person in a job- related situation. A trained role player is used and responds \"in character\" to the actions of the candidate. Performance is assessed by observing raters. Problems with this technique: Since this technique is not conducive to group administration, test security would be an issue. Job content areas identified in the job analysis were not as amenable to this type of exercise as they were to the selection techniques utilized in the final test Assessment Center Exercises An Assessment Center can be defined as \"a variety of testing techniques designed to allow candidates to demonstrate, under standardized conditions, the skills and abilities that are most essential for success in a given job\" (Coleman, 1987). The term \"assessment center\" is really a catch-all term that can consist of some or all of a variety of exercises. Assessment centers usually have some sort of in-basket exercise which contains contents similar to those which are found in the in-basket for the job which is being tested. Other possibilities include oral exercises, counseling simulations, problem analysis exercises, interview simulations, role play exercises, written report/analysis exercises, and leaderless group exercises (Coleman, 1987; Filer, 1979; Joiner, 1984). Assessment centers allow candidates to demonstrate more of their skills through a number of job relevant situations (Joiner, 1984). While assessment centers vary in the number and type of exercises included, two of the most common exercises are the in-basket and the oral exercise. In a traditional in-basket exercise, candidates are given time to review the material and initiate in writing whatever actions they believe to be most appropriate in relation to each in-basket item. When time is called for the exercise, the in-basket materials and any notes, letters, memos, or other correspondence written by the candidate are collected for review by one or more assessors. Often the candidates are then interviewed to ensure that the assessor(s) understand actions taken by the 235 CU IDOL SELF LEARNING MATERIAL (SLM)

candidate and the rationale for the actions. If an interview is not possible, it is also quite common to have the candidate complete a summary sheet (i.e., a questionnaire). Thus, a more recent trend over the past ten (10) years has been the development of selection procedures which are based upon the assessment center model, but which can be turned into low- fidelity simulations (Motowidlo, et al., 1990). Some low-fidelity simulations involve having an applicant read about a work situation. The applicant then responds to the situation by choosing one of five alternative answers. Some procedures have the applicant choose the response he/she would most likely make in a situation and the response that he/she would least likely make. These samples of hypothetical work behavior have been found to be valid predictors of job performance (Motowidlo, et al., 1990). Recently, the in-basket has become a focus of interest because of it's usefulness in selection across a wide variety of jobs (Schippmann, Prien, & Katz, 1990). A variety of techniques have been used to develop in-baskets. Quite often information on an in-basket's development is not available for review because the reports do not contain the critical information. It is not uncommon for armchair methods to be used, or for in-baskets to be taken off the shelf. A recent review indicated that nearly 50% of the studies do not describe how the in-basket was constructed (Schippmann, et al., 1990). There is also a great deal of variation among the ways in which the in-basket is scored. There is a range of objectivity in scoring with some scoring systems utilize almost entirely human judgment, while others utilize a purely objective approach. The in-basket exercise may be thought of as an approach which assesses a candidate's \"practical thinking\" ability (Scribner, 1986; 1984), by having a candidate engage in implicit problem solving for a job-relevant task. It is now well recognized that a content valid approach to constructing an in-basket is one which is professionally accepted as a technique which has passed legal scrutiny. However, despite the acceptance by the courts and practitioners, the reporting basis for content validity is often deficient. Schippmann et al. (1990) point out that all the studies they reviewed failed to establish a link between the task portion, and the knowledge, skill, and ability portion of the job analysis in order to provide a firm foundation for the construction of the in-basket. Often there has been no procedure for translating the job analysis information into development or choice of the test. Like all assessment center exercises, oral exercises can take many forms depending on the work behaviors or factors of the job being simulated. Common forms of oral exercises include press conference exercises, formal presentations, and informal presentations (briefing exercise). In oral presentation exercises, candidates are given a brief period of time in which 236 CU IDOL SELF LEARNING MATERIAL (SLM)

to plan/organize their thoughts, make notes, etc., for the presentation/briefing. Traditionally, the audience is played by the assessor(s) who observes the presentation and makes ratings. Candidates may also be asked a series of questions following their briefing/presentation. The questions may or may not relate directly to the topic of the presentation. Today, the assessment center method is utilized in a variety of settings including industry and business, government, armed forces, educational institutions, and safety forces to select individuals for supervisory, technical, sales, or management positions. These assessment centers vary in length, time, and selection of exercises. The current trend is in the development of assessment centers amenable to mass testing. The traditional assessment center exercises require the use of live raters, and generally are not able to assess more than a few candidates per day. This then becomes an extremely costly form of selection for organizations. Today, the use of audio taping, and the use of objectively scored in-basket exercises permits the assessment of a much larger number of candidates per day, because the rating of the exercise takes place at a later date. This allows a more widespread use of the assessment center technique, because it is becoming a more time and cost-effective method. C. Psychometric Testing: What is a psychometric test? While the word ‘psychometric’ sounds overly technical, it simply defines ways of ‘measuring’ the mind. The concept has also been around longer than some may realise. Psychometric research has been around since the late 19th Century. One of the first examples was the University of Cambridge's psychometric lab, which studied subjects’ memories, reactions, and attention spans. When it comes to hiring, psychometric tests can be used to measure an array of skills. These range from verbal and numerical reasoning to identifying trends and patterns. Those who are unfamiliar with ‘psychometrics’ may be envisioning some form of Freudian scenario. However, they've likely encountered one of the most common psychometric tests, the Myer Briggs Personality Test. That’s right, it’s psychometric testing that tells you whether you’re an Inspector, a Campaigner or a Crafter. This is one of many examples of psychometric tests used by recruiters over the years. Here are just a few more examples (we hope you like acronyms!). Occupational Personality Questionnaire (OPQ) 237 CU IDOL SELF LEARNING MATERIAL (SLM)

In this test, 32 personality traits are categorised based on how they impact both your work and your relationships with others. Examples include a person's thinking style, their sense of empathy and how they influence others. The OPQ also includes a ‘social desirability measure.’ This supposedly roots out those who may be hiding their true colours. In other words, the test deters people from offering answers that they think will 'appease' the interviewer. SHL Managerial and Graduate Item Bank (MGIB) The SHL Management and Graduate Item Bank (MGIB) is a test battery, with a range of assessments to measure logical reasoning skills. These assessments test numerical and verbal abilities, using questions based on business scenarios. As the title suggests, these tests are often used to identify candidates for managerial positions or graduate fast-track schemes. Raven's Progressive Matrices (RPM) Raven’s Progressive Matrices (RPM) are a group of non-verbal tests. Candidates have to identify sequences using geometric designs. These tests help determine a person’s capacity for abstract thinking and problem-solving. RPM was originally developed to determine the genetic and environmental factors of cognitive ability. Nowadays it is used across many educational and workplace environments. RPM is particularly common as a pre-interview screening tool, filtering out unsuitable candidates. For Instance: Role of Receptionist in Airline Lounge has following responsibilities. Receptionist, Airline Lounge Admits members and guests to airline lounge, serves beverages and snacks, and provides other personal services as requested: Opens door to lounge in response to sound of buzzer, verifies membership cards, and admits and seats members and guests. Serves refreshments such as cocktails, coffee and snacks. Answers questions regarding scheduled flights and terminal facilities. Verifies passengers’ reservations. Directs or accompanies passengers to departure gates, rest rooms and other terminal facilities. Relays requests for paging service, using telephone. Opens cans, bottles, and packages; brews coffee; and arranges pastry, nuts, and appetizers on serving trays. 238 CU IDOL SELF LEARNING MATERIAL (SLM)

Removes used ash trays, glasses, and dishes from tables and picks up trash. What are the benefits of psychometric testing in Selections? Psychometric testing evaluates (and importantly, quantifies) a candidate’s ability to perform a range of tasks, taking their result as indicative of skill. Many argue that this effectively reduces risk in the hiring process. According to their research, 81% of organisations believe psychometric tools have helped them make less risky hiring decisions. One of the big problems with both CVs and traditional interviews is that they’re both subjective ways of measuring a person's skills. Moreover, some of the evaluation criteria can vary on a person-by-person basis. Both of these issues are somewhat rectified by psychometric testing. Not only does psychometric testing offer a standardised approach, but it also provides performance benchmarks. If anyone falls below a certain criterion, they can be quickly taken out of the running. Psychometric tests can be particularly beneficial for higher-level job vacancies. There is often more of a focus on a candidate's personal attributes and character. These jobs require someone with leadership skills. The successful candidate could be a driver of large-scale organisational change. In that case, that person needs to be able to motivate and inspire others. For these kinds of positions, psychometric testing can quickly weed out unsuitable candidates. 11.4 ELEMENTS IN INTERNATIONAL SELECTION 239 CU IDOL SELF LEARNING MATERIAL (SLM)

Fig 11. 4. 1: Key Competencies required for Expatriates Figure shows the most frequently cited key competencies for expatriates. Most of these competencies can be categorized as either cultural adaptability or communication skills. The following discussion examines those ideas. COMMUNICATION SKILLS One of the most basic skills needed by expatriate employees is the ability to communicate orally and in writing in the host-country language. Inability to communicate adequately in the language may significantly inhibit the success of an expatriate. Numerous firms with international operations select individuals based on their technical and managerial capabilities and then have the selected individuals take foreign language training. Intensive 10-day courses offered by Berlitz and other schools teach basic foreign language skills. But in any language there is more to communication than simply vocabulary. Greetings, gestures, pace, and proximity all are different in various countries. Basic values about other people and interacting with them are at least as important as speaking the language. FAMILY FACTORS The preferences and attitudes of spouses and other family members also are major staffing considerations. Two of the most common reasons for turning down international assignments are family considerations and spouses’ careers. Nearly three-fourths of expatriates are married, and most are male. Of the expatriates who are married, only about 13% are not accompanied on overseas assignments by their spouse. With the growth in dual-career couples, the difficulty of transferring international employees is likely to increase, particularly given work-permit restrictions common in many countries. 240 CU IDOL SELF LEARNING MATERIAL (SLM)

Some international firms have begun career services to assist spouses in getting jobs with other international firms. EQUAL EMPLOYMENT OPPORTUNITY (EEO) CONCERNS The assignment of women and members of racial/ethnic minorities to international posts involves legal issues, because these individuals may be protected by U.S. Equal Employment Opportunity (EEO) regulations. Many U.S. firms operating internationally have limited assignments of women and other protected-class individuals in deference to cultural concerns. The Civil Rights Act of 1991 extended coverage of EEO laws and regulations to U.S. citizens working internationally for U.S.- controlled companies. However, the act states that if laws in a foreign country require actions that conflict with U.S. EEO laws, the foreign laws will apply. If no laws exist, only customs or cultural considerations, then the U.S. EEO laws will apply. In a related area, some foreign firms in the United States, particularly those owned by Japan, have “reserved” top-level positions for those from the home country. Consequently, EEO charges have been brought against these firms. Previous court decisions have ruled that because of a treaty between Japan and the United States, Japanese subsidiaries can give preference to Japanese over U.S. citizens. However, it should be noted that most other EEO regulations and laws do apply to foreign- owned firms. In a closely related area, women have brought sexual harassment charges against foreign managers, and other protected-class individuals have brought EEO charges for refusal to hire or promote them.34 In those cases, courts have treated the foreign-owned firms just as they would U.S.-owned employers. The Equal Employment Opportunity Commission requires larger employers to file an EEO-1 report each year, which provides a breakdown of the employer's work force by race, sex, and national origin. Employers with fewer than 100 employees and federal contractors with fewer than 50 employees and contracts under $50,000 are exempt from this requirement. 11.5 CHALLENGES IN INTERNATIONAL SELECTION Making an effective selection decision for an overseas assignment can prove to be a major problem. Typically, this decision is based on international selection criteria, which are factors used to choose international managers. These selections are influenced by the Multinational Corporations experience and often are culturally based. Sometimes as many as a dozen criteria are used, although most Multinational Corporations give serious consideration to only five or six. 241 CU IDOL SELF LEARNING MATERIAL (SLM)

1. Adaptability to Cultural Change Overseas managers must be able to adapt to change. They also need a degree of cultural toughness. Research shows that many managers are exhilarated at the beginning of their overseas assignment. After a few months, however, a form of culture shock creeps in, and they begin to encounter frustration and feel confused in their new environment. One analysis noted that many of the most effective international managers suffer this cultural shock. Organizations examine a number of characteristics to determine whether an individual is sufficiently adaptable. Examples include work experiences with cultures other than one’s own, previous overseas travel, knowledge of foreign languages (fluency generally is not necessary), and recent immigration background or heritage. Others include (1) the ability to integrate with different people, cultures, and types of business organizations; the ability to sense developments in the host country and accurately evaluate them; the ability to solve problems within different frameworks and from different perspectives; (4) sensitivity to the fine print of differences of culture, politics, religion, and ethics, in addition to individual differences; and (5) flexibility in managing operations on a continuous basis despite lack of assistance and gaps in information. 2. Physical and Emotional Health “Most organizations require that their overseas managers have good physical and emotional health. Some examples are fairly obvious. An employee with a heart condition would be rejected for overseas assignment; likewise, an individual with a nervous disorder would not be considered. The psychological ability of individuals to withstand culture shock also would be considered, as would the current marital status as it affects the individual’s ability to cope in a foreign environment. 3. Age, Experience, and Education Most Multinational Corporations strive for a balance between age and experience. There is evidence that younger managers are more eager for international assignments. These managers tend to be more “worldly” and have a greater appreciation of other cultures than older managers do. By the same token, young people often are the least developed in management experience and technical skills; they lack real-world experience. To gain the desired balance, many firms send both young and seasoned personnel to the same overseas post. Many companies consider an academic degree, preferably a graduate degree, to be of critical importance to an international executive; however, universal agreement regarding tie ideal type of degree is nonexistent. MNC’s, of course, use formal education only as a point of departure for their own training and development efforts. 242 CU IDOL SELF LEARNING MATERIAL (SLM)

4. Language Training One recognized weakness of many Multinational Corporations is that they do not give sufficient attention to the importance of language training. English is the primary language of international business, and most expatriates from all countries can converse in English. Those who can speak only are at a distinct disadvantage when doing business in non-English- speaking countries. 5. Motivation for a Foreign Assignment Although individuals being sent overseas should have a desire to work abroad, this usually is not sufficient motivation. International management experts contend that the candidate also must believe in the importance of the job and even have something of an element of idealism or a sense of mission. Applicants who are unhappy with their current situation at home and are looking to get away seldom make effective overseas managers. Some experts believe that a desire for adventure or a pioneering spirit is an acceptable reason for wanting to go overseas. Other motivators that often are cited include the desire to increase one’s chances for promotion and the opportunity to improve one’s economic status. For example, many U.S. MNCs regard international experience as being critical for promotion to the upper ranks. In addition, thanks to the supplemental wage and benefit package, U.S. managers sometimes find that they can make, and especially save, more money than if they remained stateside. 6. Spouses and Dependents or Work-Family Issues Spouses and dependents are another important consideration when a person is to be chosen for an overseas assignment. If the family is not happy, the manager often performs poorly and may either be terminated or simply decide to leave the organization. One popular approach in appraising the family’s suitability for an overseas assignment is called adaptability screening. This process evaluates how well the family is likely to stand up to the rigors and stress of overseas life. The company will look for a number of things in this screening, including how closely knit the family is, how well it can withstand stress, and how well it can adjust to a new culture and climate. 7. Leadership Ability The ability to influence people to act in a particular way-leadership-is another important criterion in selecting managers for an international assignment. Determining whether a person who is an effective leader in the home country will be equally effective in an overseas environment can be difficult, however. When determining whether an applicant has the desired leadership ability, many firms look for specific characteristics, such as maturity, emotional stability, the ability to communicate well, independence, initiative, creativity, and 243 CU IDOL SELF LEARNING MATERIAL (SLM)

good health. If these characteristics are present and the person has been an effective leader in the home country, MNC’s assume that the individual also will do well overseas. 8. Organization-Specific Requirements The human resource practitioner needs to consider the organizations requirements before selecting a candidate, host country governments can stop the transfer of expatriates. The host government, is the ones that issue the working permits and visas to the expatriates; therefore, the parent countryneeds to prove that there is no available host national country. Legislations and changes of the employee must be addressed; assignments abroad means that the expatriate must move to another country with family to remote or war-torn environments, where living conditions can be challenging. Some host countries do not issue work permits to females, this can make it difficult, for the spouse to adapt. An organisation-specific requirement is implemented during the formation of an independent relationship flanked by computer resources, which includes the evaluation of the comparative precedence between default recommendation and alternative recommendation; and using the highest precedence recommendations to set up a link among the computer resources. 11.6 SUMMARY Selection is the process of choosing the most suitable candidates from those who apply for the job. It is a process of offering jobs to desired candidates. Selection Process: o Preliminary Interview o Receiving Applications o Screening Applications o Preliminary Tests o Employment Interview o Checking References o Medical Examination o Final Selection Selection Methods Interview is a face-to-face contact between interviewer and interviewee where interviewee is allowed to speak freely so that interviewers can draw useful information about person through his thoughts and speaking. Types of Interviews: 244 CU IDOL SELF LEARNING MATERIAL (SLM)

1. Preliminary Interview: 2. Patterned or Structured Interview: 3. Non-Directive Interview: 4. Depth or Action Interview: 5. Group Discussion Interview: 6. Panel or Board Interview: 7. Stress Interview: B. Assessment Centres: An Assessment Center consists of a standardized evaluation of behavior based on multiple evaluations including: job-related simulations, interviews, and/or psychological tests. C. A psychometric test is any activity or assessment that is conducted in order to evaluate a candidate performance and includes, but is not limited to, skills, knowledge, abilities, personality traits, attitudes and job/academic potential. Key Competencies required for Expatriates: Communication Skills Family Factors Equal Employment Opportunity (EEO) Concerns Challenges in International Selection-Making an effective selection decision for an overseas assignment can prove to be a major problem. 1. Adaptability to Cultural Change 2. Physical and Emotional Health 3. Age, Experience, and Education 4. Language Training 5. Motivation for a Foreign Assignment 6. Spouses and Dependents or Work-Family Issues 7. Leadership Ability 8. Organization-Specific Requirements 11.7 KEYWORDS 1. Aptitude - inherent or acquired ability 2. Deviation means doing something that is different from what people consider to be normal or acceptable 3. Assumption - something that is believed to be true or probably true but that is not known to be true. 4. Awkward - inconvenient to use; hard to handle; unwieldy 245 CU IDOL SELF LEARNING MATERIAL (SLM)

5. Critical Aspects - containing or making severe or negative judgments 11.8 LEARNING ACTIVITY 1.Why the ability to influence people to act in a particular way is another important criterion? ___________________________________________________________________________ ___________________________________________________________________________ 2. Discuss the problem with Leaderless Group Discussion. ___________________________________________________________________________ ___________________________________________________________________________ 11.9 UNIT END QUESTIONS A. Descriptive Questions: Short Answers: 1. State the concept and significance of the Selection Process. 2. Explain the concept of In-Basket Exercise. 3. Compare the Group Discussion with Role Play Method 4. State any two Psychometric Test. 5. What is the competency expected in the expatriates? Long Answers: 1. State and explain Different types of Interviews 2. Explain the Selection Process 3. Write a note on Assessment Centre. 4. Discuss the significance of the Psychometric Test in the International Selection Methods 5. Enumerate the various challenges involved in the International Selection Process. B. Multiple Choice Questions 246 CU IDOL SELF LEARNING MATERIAL (SLM)

1.In which interview, interviewer will ask questions turn wise or randomly? a. Stress Interview b. Structured Interview c. Panel Interview d. Unstructured Interview 2. An ____________consists of a standardized evaluation of behavior based on multiple evaluations including: job-related simulations, interviews, and/or psychological tests a. Assessment Centre b. Psychometric Test c. Interview d. Exclusive Interview 3. What is the main issue with the Role-Playing Method? a. Written Reports b. job Content Areas c. Leaderless task d. Props used 4. How many personality traits are categorized in Occupational Personality Questionnaire? a. 40 b. 30 c. 62 d. 32 5. Why difficulty is increased in transferring international employees? a. Dual Career Couple b. Communication Skills c. Financial Issues d. Inflation Answers 247 CU IDOL SELF LEARNING MATERIAL (SLM)

1 – c ; 2 – a ; 3 – b; 4 – d; 5 -a ; 11.10 REFERENCE Text Book:  Wilhelm Schmeisser, Dieter Krimphove, Rebecca Popp, International Human Resource Management and International Labour Law, De Gruyter Oldenbourg,  Peter J. Dowling, Marion Festing and Allen D. Engle, Sr., International Human Resource Management, Cengage Learning EMEA  By Veronica Velo, Cross-Cultural Management, Business Expert Press  Srinivas R. Kandula International Human Resource Management , SAGE Publications Pvt. Ltd  Pravin Durai, Human Resource Management, Pearson India Reference Book  K Aswathappa , Sadhna Dash, International Human Resource Management, McGraw Hill  Gary Dessler, Fundamentals of Human Resource Management, Pearson  Ekta Sharma, Strategic Human Resource Management and Development, Pearson India  Parissa Haghirian, Successful Cross-Cultural Management, Business Expert Press Open Sources: 248  https://www.Shrm.org/  https://www.ncbi.nlm.nih.gov/  https://www.futurelearn.com/  International Journal of Human Resource Studies  changingminds.org  assignmentpoint.com  interculturalmanagement.fandom.com  diva-portal.org  cvs.edu.in CU IDOL SELF LEARNING MATERIAL (SLM)

 strategy-business.com  www.mbaknol.com (Integrity-Asia & ispatguru)  publications.anveshanaindia.com  smallbusiness.chron.com  resources.workable.com  whatishumanresource.com  resources.workable.com  jigsawacademy.com  www.personio.com 249 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT - 12: INTERNATIONAL TRAINING AND DEVELOPMENT STRUCTURE 12.0 Learning Objectives 12.1 Introduction 12.2 Difference between Training and Development 12.3 Expatriate training programs 12.3.1 Expatriate training should focus on 12.3.2 Importance of Expatriate Training 12.4 Training Process 12.5 Developing an International Mindset 12.6 Summary 12.7 Keywords 12.8 Learning Activity 12.9 Unit End Questions 12.10 References 12.0 LEARNING OBJECTIVE After studying this unit, you will be able to:  Describe the significance and concept of Training in Global Organization  Compare the difference between Training and Development  Explain the Elements in Expatriate training programs  Comprehend the Training Process  Highlight the significance of Developing an International Mindset 250 CU IDOL SELF LEARNING MATERIAL (SLM)


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