International Human Resource Management: Dr. Marwa Tarek

International
Human Resource
Management
Dr. Marwa Tarek
Course Aims and Relationship to
HRM course
It examines from both applied and theoretical

perspectives the effect of national differences on
the processes and systems associated with
managing human resources across national
boundaries, as in the case of multinational
corporations.
These parts will cover key issues in IHRM (within the mid-term
duration) which include;
The differences between domestic and international HRM
The impact of culture in IHRM
Alternatives for international staffing
DOMESTIC HUMAN RESOURCE
MANAGEMENT VS. INTERNATIONAL
HUMAN RESOURCE MANAGEMENT
HR management refers to those activities which

organizations use to effectively and efficiently manage
their employees.
Among the most important activities which HR

departments develop are:
Domestic HRM
Conducting job analyses
Job Analysis is a process to identify and determine in detail the
particular job duties and requirements and the relative importance
of these duties for a given job.
Job analysis produces information for writing job descriptions (

a list of what the job entails) and job specifications ( what kind
of people to hire for the job). We’ll see in a moment that every
manager should understand the mechanics of analyzing jobs.
Every personnel-related action you take-interviewing

applicants, and training, compensating and appraising
employees, for instance- depends on knowing what the job
entails and what human traits one needs to do the job well.
Domestic HRM
Recruiting job candidates
Recruitment is the process of acquiring a pool of
candidates with the desired knowledge, skills,
attributes and experience so you can select the right
person who will assist your business to achieve its
goals.
Recruitment is based on three aspects:
The needs arising from changes in your business
(business restructure / employee retirement) or
Anticipated needs where you can predict
personnel movement based on trends in the
internal / external environment or
Unexpected needs (resignation, deaths,
accidents, illness)
Domestic HRM
Selecting job candidates
Selection is the process of interviews,
reference checking and testing or
assessment that assists you to ensure the
best person is appointed; using effective,
fair and equitable practices.
Selection is usually a series of hurdles or
steps… each one must be successfully
cleared before the applicant proceeds to the
next step. The time, emphasis and sequence
of steps will vary between organizations.
Domestic HRM
Orienting and training new employees
Orientation means providing new
employees with basic information about
the employer.
Training programs are used to ensure that
the new employee has the basic knowledge
required to perform the job satisfactorily.
Domestic HRM
Managing wages and salaries
underestimating the importance of managing wages
and salaries
▪ risk of high turnover and low employee morale,
productivity and retention.
▪ There also is a potential liability for claims arising from
unfair employment practices and discriminatory pay
practices.
Two different forms of employee compensation.
▪ The term “wages” typically refers to hourly compensation
▪ The term “salaries” refers to monthly or annual
compensation are a fixed upon payment agreed upon by
both the employer and employee.
Domestic HRM
Providing incentives and benefits
Benefits; they might include a company pension
scheme; private health insurance; and paid
vacation.
Incentives; they are linked to targets, and the

nature of the incentive offered will frequently
depend on the performance of the employee in
question. annual bonus. The size of this bonus,
however, depends on the success of the employee
during the year.
Domestic HRM
Appraising performance
is a regular review of an employee's job
performance and overall contribution to
a company.
management evaluates and provides

feedback on employee job performance,
including steps to improve or redirect
activities as needed.
Definition of IHRM
• The process of recruiting, allocating and effectively utilizing
human resources in an international business context
• The issue is that when we consider International

Management, all of these activities become more complex
and others could also be added.
Recruitment and Selection:
The HR departments must take into account that the contracting
needs of MNCs are different from those of firms which only act
nationally. For instance, questions arise such as whether to select
people from the host country or expatriates, or what should be
the appropriate recruitment sources based on the location, among
others.
Performance Appraisal: An international firm’s
performance appraisal system must take into account the
competency of the employees, but it also has to consider
intercultural personal skills, sensitivity toward foreign
norms and values, and the capacity to adapt to new
environments.
- Therefore, when appraising the managers of MNCs, there
must be a simultaneous consideration of global
performance and the results of the subsidiary.
- There may be factors, such as work legislation and/or
market conditions, among others, which hinder the
measuring and comparison of results.
Training: The function of training for international HR
departments also has a greater complexity. Normally, the
decisions about training and improvement are taken based on
the firm’s degree of internationalization. For example, in the
global activity phase, the firm should consider the cultural and
geographic differences to create training strategies in a
manner which may be broader than the regional expansion.
The training of managers of global firms tends to be oriented to
increase their capacity to process and exchange social,
technological and market tendency information, among other
skills.
Pay system: The design of a globally appropriate pay
policy is one of the greatest challenges HR departments
are faced with. To design and administer an appropriate
remuneration policy requires a thorough knowledge of
the legislation, the customs and the employment
practices of many countries.
The economic climate changes quickly and firms must
create remuneration proposals for their employees that are
competitive.
The aim is not to design global remuneration policies
but rather for them to be equitable, fair and uniform
for all the contexts within the organization.
Reasons for Growing Interest in IHRM
Globalization of Business
Business starts operating on an international scale because of the effect of
globalization in getting open flow of information, technology, and goods
among countries and consumers.
Effective HRM becomes one of the determinants of

success of any international business.
HRM covers two large performance areas. On the one hand, it deals with
matters related to leadership and employees’ motivation. It can identifies
each person’s skills, that motivates employees to use those skills and
places the appropriate individuals at the key positions which have a great
impact on the international business’s effectiveness. and, on the other
hand, it treats aspects linked with human resources practices (recruitment
and selection, training, performance appraisal and finally, compensation
management).
Characteristics of IHRM
More HR activities with broader perspective.
More involvement in employee personal lives
Changes in emphasis as the workforce mix of expatriates
and locals vary
Risk exposure
More external influences
The impact of culture: CONVERGENCE VS.
DIVERGENCE
More HR activities with broader
perspective
Human Resource Planning
• Difficulty in implementing HR in host countries
• Developmental opportunities for international managers.
Employee Hiring
• Ability to mix with organization's culture
• Applying different staffing approach
• Selection of expatriates
• Managing repatriation process
Training and development
• Emphasis on cultural training
• Language training
• Training of manners.
More HR activities with broader perspective
more HR activities (international taxation; international relocation and
orientation; additional services for expatriates; host-government relations;
and language translation services)
Compensation
• Devising an appropriate strategy to compensate expatriates
• Minimizing difference in pay between parent, host & third country nationals
• Issues relating to the re-entry of expatriates into home country
Performance Management
• Constraints while operating in host countries need to be considered.
• Physical distance, time differences & cost of reporting system add to the
complexity.
Industrial Relations
• Handling industrial relations problems in a subsidiary.
• Attitude of parent company towards unions in a subsidiary.
More Involvement in Employee’s Personal Lives
More involvement for :
Housing arrangements
Health care
Remuneration packages
Assist children left behind in boarding schools
Changes in Emphasis
There are changes in emphasis as the workforce mix of expatriates and
locals varies
Need for parent-country & third-country nationals decrease as more trained
locals become available.
Resources reallocated to selection, training & management.
Risk Exposure
Physical safety of the employees.
Failure of expatriates to perform well (Financial losses to the
firm).
More external Influence

Dealing with ministries, embassies, economic & social interest
groups
Hiring procedures dictated by host country.
Catch up with local ways of doing business.
THE IMPACT OF CULTURE:
CONVERGENCE VS. DIVERGENCE
A question that all HR managers should ask
themselves is whether the organization should
implement similar policies in all the countries in
which it operates (convergence or standardization).
OR,
Whether each subsidiary should adopt its own
HR policies, or at least modifying the general
policies of the parent company to suit local
requirements (divergence or localization).
THE IMPACT OF CULTURE: CONVERGENCE VS.
DIVERGENCE
the convergence or divergence of HR policies is also associated
respectively with the centralization and decentralization of the
practices.
Centralization is the concentration of authority and responsibility for

decision making in the hands of the top managers.
Decentralization implies that the authority and responsibility for
decision making is dispersed among lower levels.
Convergence tends towards a concentration of decision making in the

parent company and Divergence tends towards the decentralization of
functions and of decision making, granting the subsidiaries greater
autonomy.
THE IMPACT OF CULTURE: CONVERGENCE
VS. DIVERGENCE
From this increasing interest in understanding the influence that culture has
in IHRM, it could be said that, in general, there are two strands of thought
with respect to the role played by culture in current society and in
businesses:
Convergence : This maintains that the world will converge toward what
we know as Western culture, due in part to the globalization process.
From this perspective, HRM practices are standardizable worldwide,
irrespective of the country and the culture which is concerned.
Example 1: the appearance and development of the unified markets
(EEC, NAFTA, etc.).
Example 2: the advance of information technologies capable of
connecting people (and firms) from anywhere in the world.
??The impact of culture: Convergent OR Divergent
Divergence: This maintains that there will continue to be a

diversity of cultures in the world due mainly to the influence
of numerous religions. Their followers do not agree
collectively that the same set of HR practices is applicable
regardless of the international context.
To a manager wanting to internationalize his or her
company, or wanting to manage their employees, it is
important to understand how culture influences IHRM.
THE IMPACT OF CULTURE:
CONVERGENCE VS. DIVERGENCE
Some authors pointed out that the dilemma for those in
charge of MNCs’ HR is often centered on achieving a
balance between international consistency and local
autonomy.
In this respect, they suggest that firms tend not to

standardize an entire HR system but center on specific
practices in an individualized manner and try to adapt
them to each context.
Staffing in IHRM
Staffing in IHRM
One of the activities of IHRM revolves around how to fill
international vacancies or how to staff internationally.
There are four main approaches to staffing in multinationals
(MNCs):
• Ethnocentric approach: This is based on the presumption that the
parent company’s professionals, functions and approaches to
management are better than the subsidiaries’.
All the top positions in the host country’s firm are covered by
expatriates.
Fundamental decisions are made at the headquarters and foreign
subsidiaries have little autonomy.
Among the business reasons for pursuing an ethnocentric
staffing policy is the perception that there is a lack of qualified
professionals in the host country.
Japanese companies (e.g. Panasonic and Hitachi) are examples
of Ethnocentric companies
Advantages and disadvantages of the
recruitement approaches
Ethnocentric approach
Advantages
•The obvious advantage to ethnocentric staffing is the
alignment of interests and perspective of the home office with
all foreign subsidiaries abroad.
•The company may also be able to transfer employees with a
clear performance record that will provide some level of
predictability.
Ethnocentric approach
Disadvantages
• You can lose local perspective and insights that local employees can
provide which may help overcome unique obstacles in each foreign office.
•Hiring expatriates tends to be expensive compared to hiring locally.
Additionally, a high ratio of expatriates may create local resentment at
foreign subsidiaries, which may hurt morale.
•The company assumes that the host country will be unable to supply
skilled labor. Although it will recruit local people for low-level positions,
however it will reserve skilled positions and managerial roles for employees
from its home country.
•The company may suffer from the risks of imposing cultural norms from
its home country.
Host government may use immigration controls in order to increase HCNs
employment.
Staffing in IHRM
Polycentric Approach: The management is based on staff
contracted from the country where the subsidiary exists, supporting
it with authority to make decisions.
The top positions are occupied by local employees. This approach
assumes that the cultures are different, and that headquarters may
find the people in the host country difficult to understand.
Therefore, the organization considers that the local people are
better placed to make decisions about what happens in each
location.
The headquarters considers subsidiaries as independent entities and
autonomy is granted to a great extent.
Philips and Xerox are Polycentric companies
Polycentric approach
Advantages
• Host-country nationals (HCN) will be able to better guide the
company on local market conditions, politics, laws and culture at
each foreign location.
•Use of local employees also sends a message to the country and its
consumers that the company is willing to make a commitment to the
country and its people.
•Local employees are also cheaper, as there are no relocation expenses
and premium compensation for working abroad.
•Employment of HCNs eliminates language barriers, avoids
adaptation of Parent Company Nationals (PCN), reduces the need for
cultural awareness training programs
•Employment of HCNs allows a multinational company to take a
lower profile in sensitive political situations.
Polycentric approach
Disadvantages
Relying on locals means there may be some disconnect in perspective
and interests with the home country. Locals may put local interests
above the company's broader interests.
•Difficult to bridge the gap between HCN subsidiary managers and
PCN managers at headquarters ( language barriers, conflicting national
loyalties, cultural differences).
•HCN managers have limited opportunities to gain experience outside
their own country.
•PCN managers have limited opportunities to gain international
experience.
•Resource allocation and strategic decision making will be
constrained when headquarter is filled only by PCNs who have
limited exposure to international assignment.
Staffing in IHRM
Geocentric Approach: This approach is to say, nationality is
not viewed as the basis of superiority.
Here, management is based on searching for the most suitable
person to solve a problem or do a job, regardless of their
nationality.
The subsidiaries do not function as independent satellites, but
together contribute to the identity of the multinational
organization.
The aims of each business are both local and global, each one of
them offering a unique contribution based on unique competence.
This approach requires a great effort of collaboration between all
the units (headquarters and subsidiaries).
McDonalds is a Geocentric company
Geocentric approach
Advantages
•It enhances the ability of the firm to develop an international
executive team.
•It enhances a subsidiary’s learning, innovation potential and

performance by facilitating the knowledge integration process
•It supports cooperation and resource sharing across units.

Geocentric approach
Disadvantages
•Host government may use immigration controls in order to
increase HCNs employment.
•Expensive to implement due to increased training and relocation
costs.
•Large numbers of PCNs, HCNs, and TCNs need to be sent
across borders.
•Reduced independence of subsidiary management.
Staffing in IHRM
Regiocentric Approach: In this case, international vacancies
are filled by people whose personal profile fits the specific host
region. Staff may move outside their countries but only within
the particular geographic region. Here subsidiaries are
interconnected and regulated by a regional center.
Regional managers are not usually promoted to headquarter
positions. For example, a US-based firm can create three
different regions, Europe, South America and Asia. So,
managers from Europe can be moved through Europe (from
Madrid to Brussels) but will rarely be moved to the Asian region
or to the headquarters in the USA.
Coca-Cola and Pepsi are regiocentric companies
Regiocentric approach
Advantages
•Culture familiarity of the candidates with that of the host
country.
•Less cost of staff compared to parent country nationals.
•Subsidiary can perform its business operations efficiently in
neighbouring countries by recruiting neighbouring country
nationals.
•Loyalty and commitment of neighbouring country nationals
towards subsidiary.
•Stability in employment of neighbouring country nationals
compared to that of other foreigners.
Regiocentric approach
Disadvantages
•It limits the employees career paths within a given region.
•Managers from the region may not understand the view of the
managers at headquarters.
Recruitement in IHRM
Copyright © 2013 Pearson
Education
The steps in the recruitment and selection process
Positions
Candidates
Screening
Selection
Offers
Chapter 5-41
Education
Employment Planning and Forecasting

Employment Planning: is the process of deciding what
positions the company will have to fill, and how to fill them. It
embraces all future positions, from the maintenance clerk to
vice president.
Employment planning should flow from the company strategic
plan.
Therefore, plans to enter new businesses or reduce costs all

influence the types of positions you will need to fill
(eliminate).
Chapter 5-42
Education
Chapter 5-43
Education

One big question is whether to fill projected openings within
or from outside the firm.
Each option requires different personal plan.
Current employees may require training & development plans.
Going outside requires planning what recruiting sources you’ll
use.
Like all good plans, personnel plans require some forecasts or
estimates of three things:
Forecasting personnel needs,
The supply of inside candidates,
The supply of outside candidates.
Chapter 5-44
Recruitment Methods
When an international organization is looking to recruit, they
may follow either External sources for hiring or Internal.
Internal sources External sources
Headhunting
Promotions
Cross National
Advertising
Transfers
Internet
recruitment
Internal Sources
•Recruiting from existing employees (whether by promoting or
transfering them) is beneficial because those employees already know
the products and services provided by the organization, and are
committed to the organization.
•Having the opportunity for international placements can also be
motivating for employees, and can be a key part of their development.
•However, there are considerable costs associated with overseas
placements that might make internal promotion less attractive.
•The benefits of internal promotion have to be balanced against the
recruitment of new employees, which can result in fresh ideas and
knowledge being added to the organization.
External sources
There are three external methods of particular relevance to IHRM
1. Headhunting:
In this method, recruitment agencies are work as service provider and they
supply companies with recruits to put via their own selection procedures. This
process is most common for managerial positions in developed countries like
as USA, UK etc.
Headhunters actively pursue any professional with the experience and
qualifications required for a managerial position.
Sometimes multinational companies would like to recruit in a country for

the first time, so they may not have local idea that would be essential. For
this reason, they take help from the recruitment agencies as they are
expert in this section and can do recruitment of higher level or higher
skill.
- Agencies can be expected to charge a considerable payment for their

services.
2. Cross national Advertising:
At present many companies seek to carry out cross border when
they recruiting senior staffs through targeted outdoor poster sites
-airport lounges, airline magazines and journey to work routes.
Simultaneously, international publications like as The Economist
magazines, The wall street journal represents some advertisement
for high level posts in many organizations all over the world.
3. Internet Recruitment:
Today internet is an important source of job and used to cheaply mass market
the recruitment messages that organizations interested to forward potential
applicants.
1. It widens recruitment sourcing at relatively low cost
a) Fixed cost of designing a website have been incurred, while the marginal cost
of further website visitor is mostly zero.
b) At present internet user has grown highly, not only developed countries but
also third world countries .So, now internet allows to firms reach potential
applicants anywhere in the globe.
c) Similarly, now it is very easy for potential employees to apply for any kind of
job and first stage is to fill a web form or email a copy of CV.
The main disadvantage of this is that the cheapness of applying by internet

sometimes may encourage not only proper applicant but also large amount
of unsuitable applicants too.
Selection Methods
•Selecting candidates involves two main processes: shortlisting,
and assessing applicants to decide who should be made a job
offer.
•A range of different methods can be used to assess candidates.
•These vary in their reliability as a predictor of performance in

the job and in their ease and expense to administer.
•Whatever method is used it is important to ensure that candidates

know in advance what to expect from the selection process.
Selection Methods
1. Interviews
Interviews are commonly used, but the approach to them differs.
•In the UK it is increasingly common to have a structured interview, and

panel interviews are not uncommon.
•In the USA almost all interviews follow a very structured process where all
applicants are asked exactly the same questions.
•In Northern Europe it is common for the HR Manager to be one of the

interviewers, but this is less likely in other countries in the world.
A structured interview is a type of interview in which the interviewer asks a

particular set of predetermined questions. In structured interviews,
questions are planned and created in advance, which means that all
candidates are asked the same questions in the same order.
Selection Methods
1. Interviews
In a simple face to face interview, the assessors may be

confronted by considerable problem.
As for example can mention here that one American multinational

company recruiting managers in South Korea and found that
interviewers had to be trained in multicultural awareness.
According to the cultural rule of Korea, when asked a good

question, to keep silent is known as sign of respect and similarly
the better the question ,the longer period of silence the applicant
maintains. Moreover,according to the American culture, if anybody
ask a good question and receive silence, it is like as ignorance.
Selection Methods
1. Interviews problems
The similar-to-me effect
Interviewers sometimes give preference to candidates they perceive as having a similar background,
career history, personality or attitudes to themselves.
The personal liking effect
Interviewers may make decisions on the basis of whether they personally like or dislike the candidate.
The stereotyping effect
Interviewers sometimes assume that particular characteristics are typical of members of a particular
group. In the case of gender, disability, marital status or ex-offenders, decisions made on this basis are
often illegal. However, the effect occurs in the case of all kinds of social groups.
Halo effect
is when one trait of a person or thing is used to make an overall judgment of that person or thing. It
supports rapid decisions, even if biased ones.
Selection Methods
2. The monitoring and targeting of disadvantaged groups:
- In most countries negative discrimination against the interests
of some disadvantaged group is not legal; similarly a small
number of countries positive discrimination in support of
interests of disadvantaged may be allowed or encouraged.
- As for example, many European countries do ban

discrimination on the basis of age, but the application of age
restrictions’ varies considerably by country. It is not
applicable in UK but common in Germany.
Selection Methods
3. Assessment Centers
Assessment centers are regarded as one of the most strong and
suitable selection techniques and it should be expected that
they would be used to assess capability for global manager.
An Assessment Center consists of a standardized evaluation of

behavior based on multiple evaluations including: job-related
simulations, situational interviews, role playing and/or
psychological tests.
Training &
Developing
Employees
Chapter 8-56
The Purposes of Employee Training
• Training and development are an
important strategy issue in IHRM policies
and practices.
• Training means giving new or current

employees the skills that they need to
perform their jobs, such as showing new
salespeople how to sell your product.
Chapter 8-57
• MNEs need to train expatriates effectively in
host-country nationals (HCN) and third-country
nationals (TCNs) and develop the (IHRM) team.
• The training programs aim to improve the

expatriate’s operational performance to achieve
MNEs’ goals.
Chapter 8-58
Aligning Strategy and Training
The employer’s strategic plans should govern its
training goals. In essence, the aim is to identify
the employee behaviors the firm will need to
execute its strategy, and from that deduce what
competencies (for instance skills and
knowledge) employees will need. Then, put in
place training goals and programs to instill these
competencies.
Chapter 8-59
For example, Caterpillar created Caterpillar
University to oversee all its training and development
programs. Company executives set the university’s
policies and oversee “the alignment of the
corporation’s learning needs with the enterprises’
business strategy.”
SERVICE FUNDAMENTALS: Training programs

specified for Learning the fundamental systems on Cat
machines and engines.
SAFETY TRAINING: Through providing over 100
safety training courses on Environmental Health and
Safety (EHS). Chapter 8-60
https://www.caterpillaruniversity.com/
Obstacles of training in MNEs
Firms of the parent country can use training program
sufficiently in their country, but when they use the training
program for subsidiary company in the host country, it is not
successful.
Maybe it has the other significant organizational factors that

the organizations do not consider in training operation such
as culture, language and practical training.
Firms should consider cultural factors to affect on training

practices before real operations
Cross-CULTURAL TRAINING
An expatriate’s success in the host country is largely determined
by his or her cross-cultural adjustment to the host country.
Expatriates who are not prepared to confront the challenges (e.g.,
to cope with culture shock) find it difficult to adjust and hence,
perform poorly.
Thus, improving cross-cultural adjustment has been the focus of
many international HR interventions.
Since cross-cultural adjustment can be facilitated if the expatriate
has an awareness of the norms and behaviors that are appropriate
in the host country, many MNCs offer cross-cultural training
(CCT) to teach their expatriates the host country’s appropriate
norms and behaviors.
Cultural training explores to feed suitability for the culture of the host
country that it help expatriate to understand in dealing with the host
nation’s culture.
The aspects of the culture are necessary in training that comprise of
history, politics, culture, economy, social and religion of the host
environment which affect the professional effectiveness of expatriate’s
achievement.
The intensity of cultural training depends on two factors:

▪ The degree of interaction required between the expatriate and the host
country citizens
▪ The similarity between the assignees native culture and the new culture.
▪ For example: If the expected interaction between the expatriate and
the host country citizens is low, and the degree of similarity between
the home culture and of the host country’s culture is high, then
training could focus more on task and job-related issues rather than
culture-related issues.
In order to improve the effectiveness of cross cultural training
programs, it is important to determine the specific cross-cultural
training across three levels:
1. The organizational level, to determine the organizational context for CCT
2. The individual (or expatriate) level, to determine any special needs that
have to be addressed in CCT for a given person; and
3. The assignment level, to determine the cross-cultural knowledge and
skills required to effectively complete a given assignment.
Goals of Cross-Cultural training
Short-term goals
Cognitive goals focus on helping the expatriates understand the role of cultural
values on behavior in the host country.
Knowledge about managing stress
Awareness of the norms required to effectively interact with host country
nationals.
Affective goals seek to manage his or her attitude towards the new culture and
effectively handle negative emotions.
Changing the expatriates perception about the host culture.
Enhancing his or her self-confidence to communicate with people from other
cultures
Behavioral goals help the adaptive behavior by the cross- cultural skills and
interpersonal skills.
Developing negotiating skills.
Relationship building skills.
Goals of Cross-Cultural training
Long-term goals means the expected outcome of the expatriate
performance.
Cross-cultural adjustment.
Success on the assignment.
SEQUENCING OF SESSIONS
• Pre-Departure CCT: – This is the most widely used method of imparting
training and is at best learning something without actually experiencing it.
Training on basic information - currency, exchange rate, hotels,
transportation systems and hospitals
• Post-Arrival or In-Country Training: – Facilitates learning by
experiencing the host country culture, beliefs and values. – Training on
deeper cultural learning about a new country and its culture and the
awareness of the skills and behaviors needed to be successful in another
culture.
Language training
No matter in which language we communicate, we have
to communicate, whether we like it or not. It is very
important to make oneself understood, therefore we have
often to communicate in the company's language.
to have a language not only means to have an instrument

to represent events in particular ways, it also means to
have the ability to interact with such events, affect them
or be affected by them”.
PRACTICAL TRAINING
Practical training is necessary for day-to-day life of the
expatriates that it can help to adapt successfully at the workplace.
Consequently, expatriates are quick integrated with workmate.
For example, Toyota opens the training center in North
America. It offers the training practices for employees who
work at the plant in the U.S., Mexico and Canada. It trains
about the best practice globally in the standard manner.
Training programs focus on simulate hand–on operation that
involve body weld, stamping, paint, assembly, internal logistics
and quality control practices.
Or Expatriates are considered as trainers who show how systems
and procedures work, ensure adoption, and monitor performance
of HCNs.
Analyzing New Employees’ Training Needs
• The aim is to give these new employees the skills &

knowledge they need to do the job.
• Task analysis is a detailed study of the job to determine

what specific skills— like Java (in the case of a Web
developer)—the job requires.
• For task analysis, job descriptions and job

specifications are essential. They list the job’s specific
duties and skills, which are the basic reference in
determining the training required. Chapter 8-70
Analyzing Current Employees’ Training Needs
• For under performing current employees, you can’t
assume that training is the solution. In other words, is it
lack of training, or something else?
• Performance analysis is the process of verifying that

there is a performance deficiency and determining
whether the employer should correct such deficiencies
through training or some other means (like transferring
the employee).
Chapter 8-71
There are several ways to identify how a current
employee is doing. These include :
• Performance appraisals Job-related performance
data (including productivity, absenteeism, waste,
late deliveries, product quality, downtime, repairs,
equipment utilization, and customer complaints).
• Observations by supervisors
• Interviews with the employee
Chapter 8-72
• Can’t Do/Won’t Do Uncovering why
performance is down is the heart of performance
analysis. The aim is to distinguish can’t-do and
won’t-do.
• First, determine whether it is a can’t-do problem and,
if so, its specific causes.
• For example: The employees don’t know what to do
or what your standards are; there are obstacles in the
system such as lack of tools or supplies or finally
there is inadequate training.
Chapter 8-73
Performance Analysis: Analyzing Current
Employees’ Training Needs
• Can’t Do/Won’t Do

Or, it might be a won’t-do problem. Here employees
could do a good job if they wanted to. One expert says,
“Perhaps the biggest trap that trainers fall into is
[developing] training for problems that training just
won’t fix.” For instance, the better solution might be to
change the incentives.
Chapter 8-74
Performance Analysis: Analyzing Current
Employees’ Training Needs

1) When They Need to Learn a New Skill
The introduction of new technology, tools, or
equipment: You may have to train both the internal
users (your employees) and external users (vendors,
third-party service providers, etc.)
The introduction of new procedures or modification
of the current ones: Both scenarios necessitate that you
provide training to your employees.
Chapter 8-75
Designing the Training Program
Design means planning the overall training program

especially training objectives supported by detailed
training outline, delivery methods (such as lectures or
Web) and finally, verifying the overall program design
with management.
Chapter 8-76
A- Setting Learning Objectives
The learning objectives should first address the
performance deficiencies that you identified via the
needs analysis.
Training objectives should specify in measurable terms what
the trainee should be able to do after successfully completing
the training program.
For example: The technical service representative will be

able to do……..within ……minutes according to the device’s
specifications.
Thus, if the sales are too low, the objectives should focus on
ensuring they get the knowledge, skills, and attitudes they
Chapter 8-77
need to boost sales.
B- Define the constraints
But at the same time, the learning objectives must be
practical, given the constraints.
One constraint is financial.
The employer will generally want to see and approve a
training budget for the program.
Typical costs include the development costs (of having, say, a

human resource specialist working on the program for a week or
two), the direct and indirect (overhead) costs of the trainers’
time, participant compensation (for the time they’re actually
being trained), and the cost of evaluating the program.
Chapter 8-78
C- Creating a Motivational Learning Environment
Learning requires both ability and motivation, and the
training program’s design should consider both.
In terms of ability , the learner– trainee needs the required reading,
writing, and mathematics skills, and the knowledge base.
In setting the learning environment, the manager therefore should

address several trainee-ability issues. For example, how will our
program accommodate differences in trainee abilities?
Second, the learner must also be motivated. No manager should waste

his or her time showing a disinterested employee how to do something
(even if he or she has the requisite ability).
Chapter 8-79
C- Creating a Motivational Learning Environment
1- Make Skills Transfer Obvious and Easy from the training
site to the job site:
Make it easy to transfer new skills through
1. Maximize the similarity between the training situation and the
work situation.
2. Provide adequate practice.
3. Direct the trainees’ attention to important aspects of the job.
For example, if you’re training a customer service rep. to handle
calls, explain the different types of calls he or she will encounter.
4. Provide “heads-up” information. For example, supervisors
often face stressful conditions. You can reduce the negative
impact of such events by letting supervisory trainees know they
might occur.
Chapter 8-80
Ensure Transfer of Learning to the Job
Unfortunately, less than 35% of trainees seem to be
transferring what they learned in training to their jobs
Improving on that statistic requires steps at each stage
of training.
Prior to training , get trainee and supervisor input in
designing the program, institute a training attendance
policy, and encourage employees to participate.
Chapter 8-81
During training , provide trainees with training
experiences and conditions (surroundings, equipment)
that resemble the actual work environment. Goal-setting
is important. In one study, some trainees set goals at the
start of the program for the skills they were being
taught.
Chapter 8-82
After training, they were rated them more highly on
these skills than were those who hadn’t set goals.
After training , reinforce what trainees learned, for
instance, by appraising and rewarding employees for
using new skills, and by making sure that they have the
tools and materials they need to use their new skills.
Chapter 8-83
Developing the Program
Program development means actually assembling the
program’s training content and materials.
It means choosing the actual content the program will

present, as well as designing/choosing the specific
instructional methods (lectures, cases, Web-based, etc.)
you will use.
Chapter 8-84
Developing the Program
Some employers create their own training content, but
there’s also a vast selection of online and offline content.
Once you design, approve, and develop the program,

management can implement and then evaluate it.
Chapter 8-85
Implementing the Training Program
With objectives set and the program designed and

developed, you can turn to implementing the training
program. This means actually doing the training,
using one or more of the following training methods.
On-the-Job Training (OJT)
means having a person learn a job by actually doing
it. In many firms, OJT is the only training available.
Chapter 8-86
On-the-Job Training (OJT)
The most familiar on-the-job training is the coaching or
understudy method . Here, an experienced worker or
the trainee’s supervisor trains the employee. This may
involve simply observing the supervisor, or (preferably)
having the supervisor or job expert show the new
employee the tasks, step-by-step.
Chapter 8-87
Informal learning
Means that employees learn through informal means,
including performing their jobs while interacting every
day with their colleagues.
Although managers don’t manage informal learning,

there is still much they can do to ensure that it occurs.
Chapter 8-88
Job Instruction Training (JIT)

Many jobs (or parts of jobs) consist of a sequence of
steps best learned step-by-step..
First, list the job’s required steps each in its proper

sequence. Then list a corresponding “key point” (if
any) beside each step. The steps in such a job
instruction training sheet show trainees what to do, and
the key points show how it’s to be done— and why.
Chapter 8-89
Lectures
Lecturing is a quick and simple way to present
knowledge to large groups of trainees, as when the
sales force needs to learn a new product’s features.
Here are some guidelines for a good lecture
1- Don’t start out on the wrong foot, for instance, with an
irrelevant joke. Speak only about what you know well.
2- Maintain eye contact with the audience.
3- Repeat questions that you get from trainees.
4-Talk from notes or PowerPoint slides, rather than from a
script.
Chapter 8-90
Programmed learning:
Programmed Learning is a step-by-step, self-learning

method that consists of three parts: 1. Presenting
questions, facts, or problems to the learner 2. Allowing
the person to respond 3. Providing feedback on the
accuracy of answers, with instructions on what to do
next.
Chapter 8-91
It needs carefully designed materials in order to meet

specific training objectives. The information is
presented in logically sequenced small frames or sets
and is followed by a series of practice exercises
requiring immediate feedback from the learner.
Chapter 8-92
It needs carefully designed materials in order to meet
specific training objectives. The information is presented
in logically sequenced small frames or sets and is
followed by a series of practice exercises requiring
immediate feedback from the learner.
This method met the criteria of giving uniform training

and cutting down training costs.It paved the way for
computer-based instruction and distance learning
Vestibule Training
With vestibule training, trainees learn on the actual or
simulated equipment but are trained off the job (perhaps
in a separate room or vestibule ). Vestibule training is
necessary when it’s too costly or dangerous to train
employees on the job.
When safety is a concern— as with pilots— simulated

training may be the only practical alternative.
Electronic performance support systems (EPSS)
are computerized tools and displays that automate
training, documentation, and phone support. When you
call a Vodafone service rep, he or she is probably asking
questions prompted by an EPSS; it takes you through
step-by-step and an analytical sequence. Without the
EPSS, Vodafone would have to train its service reps to
memorize an unrealistically large number of solutions.
Electronic performance support systems (EPSS)
Job aids. Job aids are sets of instructions, diagrams, or
similar methods available at the job site to guide the
worker.
Job aids work particularly well on complex jobs that

require multiple steps, or where it’s dangerous to
forget a step.
For example, airline pilots use job aids (a checklist of

things to do prior to takeoff).
Computer-based training
It refers to training methods that use interactive
computer-based systems to increase knowledge or
skills.
It integrates the use of text, video, graphics, photos,

animation, and sound to create a complex training
environment with which the trainee interacts.
It is more effective when paired with actual practice

under a trainer’s watchful eye.
Virtual reality
It puts the trainee in an artificial three-dimensional
environment that simulates events and situations
experienced on the job.
Sensory devices transmit how the trainee is

responding to the computer, and the trainee “sees, feels
and hears” what is going on, assisted by special
sensory devices.
The U.S. Armed Forces use simulation-based training

programs for soldiers and officers. For example, the
army developed video game– type training programs
called Full-Spectrum
Virtual reality
Orlando-based Environmental Tectonics Corporation

created an Advanced Disaster Management simulation
for emergency medical response trainees. One
simulated scenario involves a plane crash. It involves
trainees who are firefighters and airport officials
respond to the simulated crash’s sights and sounds via
pointing devices and radios.
Virtual reality
Training simulations are expensive to create, but for

large companies the cost per employee is usually
reasonable. In general, interactive and simulated
technologies reduce learning time by an average of
50%.
Performance
Management and
Appraisal
Copyright © 2013 Pearson Education Chapter 6-101

Performance Management and Appraisal
At this stage of human resource management

(HRM), we now have employees in our
organization who can do the work, we’ve given
them at least some initial training, and they are
now doing their individual jobs.
What’s next? The next issue that we need to figure

out is how to manage their performance over time
to ensure that they remain productive, and
hopefully become even more capable, as they
progress in their careers.
Performance Management Versus
Performance Appraisal
Performance appraisal process is not the only

thing that’s done in performance management.
Performance management : is the process of
identifying, measuring, managing, and developing
the performance of the human resources in an
organization. Basically we are trying to figure out
how well employees perform and then to ultimately
improve that performance level.

Performance appraisal ,on the other hand, is

the ongoing process of evaluating employee
performance. Performance appraisals are
reviews of employee performance over time, so
appraisal is just one piece of performance
management.

The Performance Appraisal Process

Step 1. Job analysis.
This is logically our first step because if we don’t know what a job
consists of, how can we possibly evaluate an employee’s performance?
Step 2. Develop standards and measurement methods.

If we don’t have standards of acceptable behavior and methods to
measure performance, how can we assess performance?

The Performance Appraisal Process

Step 3. Informal performance appraisal
Performance appraisal should not be simply a once- or twice-yearly
formal interview. As its definition states, performance appraisal is an
ongoing process.
While a formal evaluation may only take place once or twice a year,
people need regular feedback on their performance to know how they
are doing.
Step 4. Prepare for and conduct the formal performance appraisal

The common practice is to have a formal performance review with the
boss once or sometimes twice a year using one or more of the
measurement forms that we will be learning about.

Accurate Performance Measures
To be an accurate measure of performance, our measure must be valid and

reliable, acceptable and feasible, specific, and based on the mission and
objectives.
1- Valid and reliable.
When a measure is valid, it is a fact-based measure that measures the
process that you want to measure.
A reliable measure has to be consistent. This means that it works in the same
way each time we use it.
Example: A manager in a governmental agency might use application
typed per day, client requests completed per hour, or average time to
process paperwork.

2- Acceptable and feasible. Acceptability means that the use of the measure
is satisfactory or appropriate to the people who must use it. However, in
performance appraisal, this isn’t enough. Acceptability must include whether
or not the evaluation tool is feasible.
As an example, if the performance evaluation form is two or three pages long
and covers the major aspects of the job that is being evaluated, and both
managers and employees believe that the form truly evaluates performance
measures that identify success in the job, then the tool is acceptable and
feasible.
However, if the manager must fill out a 25-page form that has very little to do
with the job being evaluated, the manager may not feel that the form is
acceptable or feasible, at least partially due to its length.

3- Specific
Next, we want any evaluation measure to be specific enough to identify what
is going well and what is not. The word specific means that something is
explicitly identified, or defined well enough.
In performance appraisal, specific means that the form provides enough

information to understand what level of performance has been achieved
by a particular employee within a well-identified job.
4- Based on the mission

As with everything else we do in HR, we need to ensure that the performance
management process guides our employees toward achievement of the
company’s mission and objectives over time. Typically, each employee’s
performance outcome has to lead to accurate assessment that can increase
performance towards achieving the organizational goals.

A Mission Statement defines the company's

business, its objectives and its approach to
reach those objectives. A Vision Statement
describes the desired future position of the
company. Elements of Mission and Vision
Statements are often combined to provide a
statement of the company's purposes, goals
and values.

The criteria of performance appraisal
There are three criteria against which a PA system

should be evaluated; utilisation, qualitative and
quantitative criteria.
1- Utilisation criteria address the purpose for which
appraisal is conducted, including administrative
decisions (promotion, disciplinary, selection) and
employee development (feedback, training,
diagnosis).
2- Qualitative criteria include the relevance of the
appraisal to job performance, data availability,
equivalence, interpretability and practicality.
3- Quantitative criteria, include reliability and validity
of the performance appraisal tools.
Chapter 9-111
The influence of structure and strategy on
performance appraisal characteristics
• It could then be expected that the nature and conduct of
PA in subsidiaries of international companies are
influenced by the company’s particular strategy and
structure.
• These strategies and structures reflect the various
stages of internationalisation.
• The first international strategy involves subsidiaries
being viewed as an extension of the parent and as a
result human resource policies are exported to the
subsidiaries

• The second multinational strategy in which subsidiaries have
specialised capabilities and are able to develop their subsidiary
specific human resource policies.
• The third strategy is the global strategy in which a cost effective

approach to the market is adopted and a highly centralized control
structure, which also includes human resource policies.
• The final strategy is a transnational strategy in which subsidiaries

are provided with the opportunity to exert control on many issues,
including their human resource policies. This strategy views the
firm as a complex integrated network in which co-ordination and
co-operation across entities create value and network flexibility
CEducation Chapter 9-113

• Firms can use a mixture of approaches and use

a variety of strategies and structures across
their subsidiaries, for instance regiocentric in the
Asian Pacific and geocentric in another region

The effect of culture on performance appraisal
• Performance appraisal is based on similar

fundamental notions in many countries, although
its specific purpose and practice may vary
between nations.
• They found that high individualistic cultures,
Australians for example, place an enormous
emphasis on subordinate expression and view
this as a crucial part of the appraisal purpose.

• Individualist cultures stress the importance of

each person taking care of his or her self without
depending on others for assistance.
• Those in collectivist cultures may instead

stress sharing the burden of care with the group
as a whole.

• US firms are more likely to export their HRM

than European and British firms. There were
variations within Europe, with Germany having
an authority structure based on technical
expertise; while in French companies political
skills and technical ability have been found to be
vital.

Host country manager
- The HCM is usually known as the Country Manager

within the MNC. HCMs have responsibility for the
management and profitability of the subsidiary and
are able to manage within the objectives and
guidelines handed down by the board and the MNC.
- Collectively, the HCMs handle a large percentage of

the MNC’s revenue and profit, and are typically
responsible for a large number of the company’s
employees worldwide. Moreover, evidence suggests
that, as a firm moves outside their domestic borders
into the world of international business, there is an
increase reliance on the subsidiary manager.
What Do We Assess?
We have to decide what aspects of the individuals and their

performance we’re going to measure. The best option for
what we evaluate would come from analyzing the essential
functions and qualifications required for a particular job or,
in HR terms, our job analysis.
We can use these facts to design an appraisal
instrument with which performance can be evaluated.
However, we can’t evaluate everything that is done., we

have to choose what we will focus on.
Hence, Our three primary options are traits, behaviors,
and results.
Traits identify the physical or psychological characteristics of a person. We
can evaluate the traits of an employee during performance appraisal process.
Certainly, there’s some evidence that particular types of traits are valuable in
jobs that require management skills. Conscientiousness has been shown to
have a reasonable “link” to job performance.
Would you consider this to be a valid and reliable measure of your work
performance?
Actually, it’s difficult when measuring traits to meet the objective and the
consistent in effect requirements as different people would quite likely
evaluate our traits differently.
Behavioral Appraisals Our second option in the assessment process is to
evaluate employees based on behaviors. You will recall that behaviors are
simply the actions taken by individuals—the things that they do and say.
Behavioral appraisals measure what individuals do at work, not their
personal characteristics. Is this a good option to use in a performance
appraisal process?
Can we accurately measure behaviors that affect job performance?
Generally, behaviors are much better to use in an appraisal than traits.
While an individual supervisor or manager may make a mistake in judgment
of the traits of an employee, behaviors can be directly observed, and as a
result they are more likely to be a valid assessment of the individual’s
performance because behaviors are directly job-related.
Results/Outcomes Appraisals Our final option concerning what we
evaluate is the results, or outcomes, of the work process.
Using results as an evaluation measure provides management of the

organization with an assessment of the goals that were achieved in a
particular job over time.
Measuring the outcomes of a particular individual’s job is a valid and reliable
measure of that person’s performance, it is final organizational measure of
success.
Employees readily accept results-based appraisals because they feel that

such measures are one of the fairest methods of analyzing their
performance. After all, results are the most concrete form of evaluation
that can be performed. Either the result was achieved, or it wasn’t.
The formal performance appraisal usually involves the use of a
standard form developed by the HR department to measure employee
performance.
Again, “If you can’t measure it, you can’t manage it.” However,
the assessment should be as objective as possible, not
subjective.
Employees need to know the standards and understand what good
performance looks like, and they need to be able to measure their own
performance through different performance appraisal measurement
methods.
The critical incidents method is a performance appraisal method in
which a manager keeps a written record of positive and negative
performance of employees throughout the performance period. There
is no standard form used.
There are 2 questions: Why & when is it used, and how is it used?
Why and when do we use the critical incidents method?
Most formal reviews take place only once or twice a year. Do you
want to wait for formal reviews to talk to employees about what they
are doing well and when they are not performing up to expectations?
Of course you want to let them know how they are doing on an
ongoing basis. However, many managers don’t keep a record of
critical incidents, which leads to problems of accurate measures
during the formal review meeting.
Critical Incidents Method. How do we use critical incidents?
Managers simply have a file folder for each employee, which can be hard
copy or electronic. Critical incidents are important employee actions, not
minor ones, which help or hurt performance.
• Every time employees do something very well, such as beat a
tough deadline or save angry customers from terminating their
business relationship with the firm, a note goes in the employees’
file. Notes also go into the file every time the employees’ behavior
hurts performance, such as coming to work late or the quality of
work not meeting standards. The note is usually written by the
manager in form of documentation.
Coaching is part of this ongoing process, and it involves helping
employees succeed by monitoring performance through giving feedback
to praise progress and to redirect inappropriate behavior.
One error managers tend to make is to focus on the negative

actions of employees. Don’t forget that a good balanced evaluation
includes both positive and negative aspects.
The Management by Objectives (MBO) method is a process
in which managers and employees jointly set objectives for the
employees, periodically evaluate performance, and reward
according to the results. Although it is a three-step process
Why and when do we use the MBO method?
The MBO method is one of the best methods of developing
employees. Like critical incidents, employees get ongoing
feed-back on how they are doing, usually at scheduled interval
meetings.
On an organization-wide basis, MBO is not too commonly used
as the sole assessment method.
One difficult part of MBO is that in many situations, most

employees have different goals, making MBO more difficult and
time-consuming than using a standard assessment form.
How do we use the MBO method?
MBO is a three-step process:
Step 1. Set individual objectives and plans
The manager sets objectives jointly with each employee. Objectives
should be accurate measures of performance results. To be accurate,
objectives should be SMART. They need to be Specific, Measurable,
Attainable, Relevant, and Time-based.
Step 2. Give feedback and evaluate performance
Communication is the key factor in determining MBO’s success or
failure, & employees should continually critique their own performance.
Step 3. Reward according to performance
Employees’ performance should be measured against their objectives.
Employees who meet their objectives should be rewarded through
recognition, praise, pay raises, promotions, and so on. Employees who
do not meet their goals usually have rewards withheld and even
punishment when necessary.
It requires a manager to write a statement about the employee’s
performance. There often is no actual standard form used
Why and when do we use the narrative method or form?
A narrative gives managers the opportunity to give their
evaluative assessment in a written form that can go beyond a
simple “check of a box” to describe an assessment item.
Narratives can be used alone, but are often combined with
another method or form.
How do we use the narrative method or form? The system
can vary. Managers may be allowed to write whatever they want
(method), or they may be required to answer questions with a
written narrative about the employee’s performance (form).
It is a performance appraisal checklist on which a manager
sim-ply rates performance on a continuum such as excellent,
good, average, fair, and poor. The continuum often includes a
numerical scale, for example from 1 (lowest performance level)
to 5 (highest performance level).
Why and when do we use the graphic rating scale form?
Graphic rating scales are probably the most commonly used form
during the formal performance appraisal.
Why the popularity? Because graphic rating scales can be used
for many different types of jobs, they are a kind of “one form fits
all” form that requires minimal time, effort, cost, and training.
But on the negative side, they are not very accurate measures of
performance because the selection of one rating over another,
such as an excellent versus good rating, is very subjective.
How do we use the graphic rating scale form? It is very
simple, and we have most likely all used one.
It is a performance appraisal that provides a description of each
assessment along a continuum. Like with rating scales, the
continuum often includes a numerical scale from low to high.
Why and when do we use the BARS form? The answer to why
and when is the same as for graphic rating scales. So let’s focus
on the differences between graphic rating scale and BARS
forms.
BARS forms overcome the problem of subjectivity by providing
an actual description of the performance for each rating along the
continuum, rather than one simple word (excellent, good, etc.)
like graphic rating scales.
A description of each level of performance makes the

assessment a more objective accurate measure.
So if BARS forms are more accurate, why aren’t they more
commonly used than graphic rating scale forms? It’s partly
economics and partly expertise.
Again, the graphic rating scale can be used for many different
jobs, but BARS forms have to be customized to every different
type of job. And developing potentially hundreds of different
BARS forms takes a lot of time (which costs money) and
expertise.
How do we use BARS forms? Like graphic rating scales, we
simply select a level of performance along the continuum with
describing in some detail the difference between excellent (A),
good (B), average (C), poor (D), and not acceptable (F).
It is used to evaluate employee performance from best to worst.
There often is no actual standard form used, and we don’t always
have to rank all employees.
Managers have to make evaluative decisions, such as who is the
employee of the month, who gets a raise or promotion, and who
gets laid off. So when we have to make evaluative decisions, we
generally have to use ranking.
Ranking can also be used for developmental purposes by letting

employees know where they stand in comparison to their
peers—they can be motivated to improve performance.
How do we use the ranking method? Under the ranking method,
the manager compares an employee to other similar employees,
rather than to a standard measurement..
Which Option Is Best?
Determining the best appraisal method or form to use depends on
the objectives of the organization. A combination of the methods
and forms is usually superior to any one used by itself.
Remember that the success of the performance appraisal process
does not just lie in the formal method or form used once or twice a
year.
It depends on: 1- the manager’s human relations

2-The effective measures of performance that are
accurate so that everyone knows why they are rated
at a given level (evaluative), as well as how to
improve (develop) for the next assessment.

Common Problems With the Performance Appraisal Process
1- Bias. Bias is simply a personality-based tendency, either toward or

against something.
2- Stereotyping. Stereotyping is mentally classifying a person into an
affinity group, and then identifying the person as having the same
assumed characteristics as the group. Regardless of whether the
stereotype is positive or negative, making membership in a group,
rather than explicitly identifying the characteristics of the individuals,
creates the potential for significant error in evaluations. So we can
avoid stereotyping by getting to know each employee as an individual
and objectively evaluating individual employees based on their actual
performance.
3- Halo error occurs when the evaluator has a generally positive or
negative impression of an individual, and the evaluator then artificially
extends that general impression to many individual categories of
performance to create an overall evaluation of the individual that is
either positive or negative.

Common Problems With the Performance Appraisal Process
4- Similarity error This error occurs when raters evaluate subordinates

that they consider more similar to themselves as better employees, and
subordinates that they consider different from themselves as poorer
employees.
5- Recency error This error occurs when raters use only the last few
weeks or month of a rating period as evidence of their ratings of others.

Avoiding Performance Appraisal Process Problems
1- Develop Accurate Performance Measures

2- Train evaluators to:
▪ overcome the common problems of assessment.
▪ use the measurement methods and forms.
3- Use Multiple Raters.
The next tool to minimize errors in the evaluation process, at least in
some cases, is to use multiple raters to evaluate an individual as it is an
expensive action. So we must decide whether or not the value inherent
in using multiple evaluators overcomes the cost of the process.

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International

It examines from both applied and theoretical

HR management refers to those activities which

Among the most important activities which HR

Job analysis produces information for writing job descriptions (

Every personnel-related action you take-interviewing

Incentives; they are linked to targets, and the

management evaluates and provides

• The issue is that when we consider International

Effective HRM becomes one of the determinants of

More external Influence

Centralization is the concentration of authority and responsibility for

Convergence tends towards a concentration of decision making in the

Divergence: This maintains that there will continue to be a

In this respect, they suggest that firms tend not to

•It enhances a subsidiary’s learning, innovation potential and

•It supports cooperation and resource sharing across units.

The steps in the recruitment and selection process

Employment Planning and Forecasting

Therefore, plans to enter new businesses or reduce costs all

Employment Planning and Forecasting

Employment Planning and Forecasting

Internal sources External sources

Sometimes multinational companies would like to recruit in a country for

- Agencies can be expected to charge a considerable payment for their

1. It widens recruitment sourcing at relatively low cost

The main disadvantage of this is that the cheapness of applying by internet

•A range of different methods can be used to assess candidates.

•These vary in their reliability as a predictor of performance in

•Whatever method is used it is important to ensure that candidates

Interviews are commonly used, but the approach to them differs.

•In the UK it is increasingly common to have a structured interview, and

•In Northern Europe it is common for the HR Manager to be one of the

A structured interview is a type of interview in which the interviewer asks a

In a simple face to face interview, the assessors may be

As for example can mention here that one American multinational

According to the cultural rule of Korea, when asked a good

The similar-to-me effect

The personal liking effect

The stereotyping effect

- As for example, many European countries do ban

An Assessment Center consists of a standardized evaluation of

• Training means giving new or current

• The training programs aim to improve the

SERVICE FUNDAMENTALS: Training programs

Maybe it has the other significant organizational factors that

Firms should consider cultural factors to affect on training

The intensity of cultural training depends on two factors:

to have a language not only means to have an instrument

• The aim is to give these new employees the skills &

• Task analysis is a detailed study of the job to determine

• For task analysis, job descriptions and job

• Performance analysis is the process of verifying that

Design means planning the overall training program

For example: The technical service representative will be

Typical costs include the development costs (of having, say, a

In setting the learning environment, the manager therefore should

Second, the learner must also be motivated. No manager should waste

It means choosing the actual content the program will

Once you design, approve, and develop the program,

With objectives set and the program designed and

Although managers don’t manage informal learning,

Job Instruction Training (JIT)