MN 7181 - Effects of Globalization of HR

Effects of Globalization of HR

With the rapid changing global trade and business environment, the competition between the business organizations rapidly increasing while the delivering of the expectations of the stakeholders are challenging (Beausaert et al., 2011). It is identified that the business organizations are monetizing the benefits of the globalization where it is mainly focused over the connecting different geographical locations without any boundaries through the business operations (Beauregard & Henry, 2009). In that case, it is understood that human resource management is becoming more challenging task with the effect of globalization.

With the globalization, it is identified that the human resource management professionals required to align their overall operations to different cultural and social requirements. In this case, the maintaining the balance between the different cultures are creating a higher level of impact which requires higher effort also (Bahuguna & Kumari, 2012). In addition to that, it is identified that the maintaining the compliance requirements among the cross boundaries will be another vital task for the human resource management professionals with the globalization. Even though the businesses are engaged with only one or selected products, the multi-national corporations could not override the territory laws and regulations. Hence, the compliance with them will be another key effect (Anyim et al., 2011). 

Furthermore, it is understood that the application of the standard operating procedures which are applied in many developed countries may not be viable to apply in developing nations due to barriers such as lack of infrastructures, lack of education levels, lack of technology support etc. Hence, management of those aspects also could make a significant impact over the human resource management function in a multi-national organization (Ali, 2013). Finally, it is identified that the management of the training and development needs, finding expert knowledge and resources in remote locations or different cultures could create another key impact to the business organizations.

However, the globalization could create better avenues to find effective and cost effective human capital as a solution for the limited human resources in many countries (Adewoye & Obasan, 2012). Furthermore, this could create better level of harmony and unity among the different cultures and countries to support the world economic development and the peace (Fapohunda, 2011). Accordingly, it is understood that the effects of the globalization could create a higher level of impact over the human resource management professionals and overall operations. 

References 

Adewoye, JO & Obasan, KA 2012, The Impact of Information Technology (IT) on Human Resource Management (HRM): Empirical evidence from Nigeria Banking Sector. Case Study of Selected Banks from Lagos State and Oyo State in South-West Nigeria. European Journal of Business and Management, 4(6), pp. 28-37.

Ali, A 2013, Significance of Human Resource Management in Organizations: Linking Global Practices with Local Perspective. Researchers World, 4(1), p. 78.

Anyim, FC, Ikemefuna, CO & Mbah, SE 2011, Human Resource Management Challenges In Nigeria Under a Globalized Economy, International Journal of Economics and Management Sciences, 2011(4).

Bahuguna, PC & Kumari, P 2012, Strategic Human Resource Management and Organizational Performance. [Online]
Available at: https://igi-global.com/chapter/strategic-human-resource-management-organizational/67148

Beauregard, TA & Henry, LC 2009,  Making the link between work-life balance practices and organizational performance. Human Resource Management Review, 19(1), pp. 9-22.

Beausaert, S, Segers, M & Gijselaers, WH 2011, The use of a personal development plan and the undertaking of learning activities, expertise-growth, flexibility and performance: the role of supporting assessment conditions. Human Resource Development International, 14(5), pp. 527-543.

Fapohunda, T 2011, The Global Economic Recession:Impact and Strategies for Human Resources Management in Nigeria. International Journal of Economics and Management Sciences, 1(6).