Molex Case Study
Running head: MOLEX CASE STUDY
Molex Case Study
Global Business Strategies
Molex Case Study
Molex Molex is a global 1.84 billion dollar company that manufactures electronic components; the company is based in Chicago and is the world’s second largest manufacturer of electronic components. Although the company started as a local company, the vision of Molex was much greater. Molex now generates about 61 percent of its business from out side of the United States. Molex has stayed true to its set goal, which is to build a truly global company that is at home wherever in the world it operates and that proactively shares valuable knowledge across operations in different countries. The company operates about 50 manufacturing plants in 21 countries and has more than 16,000 employees worldwide, with only one-third of them located in the United States (Hill, 2009 p.698). Molex has confronted legal, cultural, and ethical challenges in a way that has made the company unique and set apart from their competitors. The human resource department of Molex has been instrumental in this process. Molex’s policy is to hire experienced human resource managers from other companies in the same country in which it has operations. The idea is to hire people who know the language, have credibility, know the law, and know how to recruit in that country (Hill, 2009 p. 698). Since every country has a different legal system, managers from the operating country will have first hand insight on employment law policies, compensation norms, and the cultural attitude toward work in that particular country. This important because even though the company is the same, the legal polices varies from country to country. This strategy ensures a solid legal foundation and sets the tone for the company. Molex is a culturally diverse company, in addition to Americans; individuals of Greek, German, Austrian, Japanese, and British origin have all sat on the company’s executive committee, and have
Molex Case Study
Global Business Strategies
Molex Case Study
Molex Molex is a global 1.84 billion dollar company that manufactures electronic components; the company is based in Chicago and is the world’s second largest manufacturer of electronic components. Although the company started as a local company, the vision of Molex was much greater. Molex now generates about 61 percent of its business from out side of the United States. Molex has stayed true to its set goal, which is to build a truly global company that is at home wherever in the world it operates and that proactively shares valuable knowledge across operations in different countries. The company operates about 50 manufacturing plants in 21 countries and has more than 16,000 employees worldwide, with only one-third of them located in the United States (Hill, 2009 p.698). Molex has confronted legal, cultural, and ethical challenges in a way that has made the company unique and set apart from their competitors. The human resource department of Molex has been instrumental in this process. Molex’s policy is to hire experienced human resource managers from other companies in the same country in which it has operations. The idea is to hire people who know the language, have credibility, know the law, and know how to recruit in that country (Hill, 2009 p. 698). Since every country has a different legal system, managers from the operating country will have first hand insight on employment law policies, compensation norms, and the cultural attitude toward work in that particular country. This important because even though the company is the same, the legal polices varies from country to country. This strategy ensures a solid legal foundation and sets the tone for the company. Molex is a culturally diverse company, in addition to Americans; individuals of Greek, German, Austrian, Japanese, and British origin have all sat on the company’s executive committee, and have
References: International Business. Competing in the Global Marketplace, Seventh Edition Chapter 20: Financial Management in the International Business, Charles W. L. Hill, 2009