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Human Resource Management and culture

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Human Resource Management and culture
Q2. ‘An understanding of the international context, including national ‘cultures’, is increasingly important in HRM.’ To what extent do you agree with this statement?

Knowledge of the international context and culture is imperative for the survival of organizations whether based locally or internationally, since countries around the world are fast becoming a melting pot of people from different nations or as Multinational corporations (MNC’s) operating and competing across the globe. Culture influences every stage of the HR cycle from recruitment to termination and if properly managed it can be a resource and a pool of talent to ensure that the organization is dynamic and productive. Culture, in essence, is the values and beliefs shared by and unique to a society which creates its identity. It consists of things such as language, dress, mannerisms, symbols, stories, norms, values and practices. While it may be easier to transfer best practices in technology and processes, which is more impersonal, there are greater challenges in applying HRM best practices to a culturally diverse labour force that is not comprised of passive recipients devoid of thoughts and experiences.
The International context is also governed by how the different types of economies that exist in nation states- whether state controlled or market impacts on organizational structure, HR practices and technology use. The decision to start up an overseas location will not only be determined by the attractiveness of its natural resources, but also the government policies especially as it relates to issues of international significance such as religious tolerance, relationships with other governments, the stability of its financial structures, infrastructure, location, accessibility to a cheap or a skilled labour force depending on what is to be produced, availability of technology, tax incentives and the general economic and social stability of the host country. In this context what



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