Novo Nordisk Case Study: Mexican Experience from a Danish Firm: “Changing” Mexican Culture
Mexican Experience from a Danish Firm: “Changing” Mexican Culture
i. Introduction
Nowadays is common to hear that the trend of business world is located in Emerging Markets, therefore most of the biggest and important companies in the world are startin to enter to those undeveloped economies that have a great potential.
Develop assertive HRM practices in those new markets are key issues in order to achieve the expected success.
The international human resource management models developed in the last decade pursues a contextual analysis of the standardization (global integration) of multinational parent companies ' human resource management policies and practices and localization (local differentiation) of host countries practices.(Stevens, 2012)
In order to have effective results within the Human Resources in the new market, the design and development of the HRM strategies (of local units) must incorporate some aspects of local practices. The main challenge for the companies (and the ideal context) is to find a balance between the practices of the business culture in the host country and with the one of the home country.
Novo Nordisk a Danish practices which started operations in Mexico in 2004, it is an interesting case that provides a clear example about how to get that ideal equilibrium between standardization and localization.
ii. Questions and anwers
1. Given the Mexican and Danish business cultures, what are the most important HRM challenges faced by Novo Nordisk Mexico? What does the company need to do to succeed?
Novo Nordisk faces a pretty different cultural context between the Mexico and the Company´s philosophy (influenced by the Danish culture), the big dilemma is how to balance those several differences and find out the way to design HRM practice and policies that are efficient and effective.
Regarding the HRM practices in Mexico, “despite the implementation of “modern” HRM policies, Mexico present particularities in the HRM practices
i. Introduction
Nowadays is common to hear that the trend of business world is located in Emerging Markets, therefore most of the biggest and important companies in the world are startin to enter to those undeveloped economies that have a great potential.
Develop assertive HRM practices in those new markets are key issues in order to achieve the expected success.
The international human resource management models developed in the last decade pursues a contextual analysis of the standardization (global integration) of multinational parent companies ' human resource management policies and practices and localization (local differentiation) of host countries practices.(Stevens, 2012)
In order to have effective results within the Human Resources in the new market, the design and development of the HRM strategies (of local units) must incorporate some aspects of local practices. The main challenge for the companies (and the ideal context) is to find a balance between the practices of the business culture in the host country and with the one of the home country.
Novo Nordisk a Danish practices which started operations in Mexico in 2004, it is an interesting case that provides a clear example about how to get that ideal equilibrium between standardization and localization.
ii. Questions and anwers
1. Given the Mexican and Danish business cultures, what are the most important HRM challenges faced by Novo Nordisk Mexico? What does the company need to do to succeed?
Novo Nordisk faces a pretty different cultural context between the Mexico and the Company´s philosophy (influenced by the Danish culture), the big dilemma is how to balance those several differences and find out the way to design HRM practice and policies that are efficient and effective.
Regarding the HRM practices in Mexico, “despite the implementation of “modern” HRM policies, Mexico present particularities in the HRM practices
Bibliography: (s.f.). Hofstede. (2012). Hofstede centre. Retrieved from http://geert-hofstede.com/national-culture.html Ramirez, J., & Zapata Cantú, L. (2009). Mexican Experiences from a Danish Firm:"Changing" Mexican Cuture. 368-381. Stevens. (2012). Standardization and localization of HRM practices. Obtenido de http://www.transtutors.com/homework-help/human-resource-management/international-hrm/hrm-practices-standardization-localization/ Zhang, M. (2003). Transferring human resource management across national boundaries: The case of Chinese multinational companies in the UK. . 613–627.