Globalization has given genesis to the Multinational Corporations (MNCs).
MNCS
Globalization has given genesis
to the Multinational Corporations (MNCs). The MNCs are characterized by their cultural
diversities, intensified competition, and variations in business
practices. The bottom line is that the growing integration of the world economy
into a single, huge market place is increasing the intensity of competition in
a wide range of manufacturing and service industries. Given these conditions,
from tapping the global labour force to formulating selection, training and
compensation policies for expatriate employees are major challenges for HRM in
the organizations or international organizations separately.
Organizational restructuring is
used to make the organization competitive. From this point of view, mergers and
acquisitions of firms have become common forms of restructuring to ensure
organizational competitiveness. The mega mergers in the banking,
telecommunications and petroleum companies have been visible in our country.
Downsizing is yet another form of restructuring. As a part of the
organizational changes, many organizations have “right sized” themselves by
various ways like eliminating layers of managers, closing facilities, merging
with other organizations, or out-placing workers. There is also a practice to
flatten organizations by removing several layers of management and to improve
productivity, quality and service while also reducing costs. Whatever is the
form of restructuring, jobs are redesigned and people get affected. One of the
challenges that HRM faces with organizational restructuring is dealing with
human consequences of change.
HRM activities are widening.
Particularly the world scenario of globalization along with modern
technological explosion and fastness of information technology have made lot of
change both in selection and needed skill of personnel.
HRM has to give coaching.
Coaching need not be construed as training. Coaching is needed to employees to
deal with and to adjust the culture and requirements of people of different
countries. Mentoring is standing a model organization should develop leadership
qualities, tolerance and adjustment to cross-country cultures.
Tags : Human Resources Management - HRM Issues – Global Scenario
Last 30 days 283 views