International HRM compared to domestic HRM is more clearly understood. HR activities include recruitment and selection, training and development, peformace management, compensation and benefits etc. are specific extend to other countries. There has been a growing interest in international human resource management in international areas. As more and more markets internationalize, more countries expand their business to the international world economy. Efficient and effective IHRM is a key factor to success of international business. This essay compares two countries of China and USA in some major different activities of international HRM.
“International HRM is the process of procuring, allocating and effectively utilizing human resources in a multinational corporation, while balancing the integration and differentiations of HR activities in foreign locations. Objective of International HRM is to reduce the risk of international human resource, avoid cultural risks and regional disparities. ”
Figure 1: A model of IHRM
Source: Adapted from P.V. Morgan, ‘International Human Resource Management: Fact or Faction’, Personnel Administrator, Vol.31, No.9 (1986).
Selection and recruitment
International selection and recruitment is a formality and an integrated system that include internal and external factors that the company should take into consider. When company sent persons to do oversea assignments, they fulfill certain key factors for both organization and individual.
Difference in recruitment practices, depends on the type and level of employee required in different countries. Two different cultural values of uncertainty avoidance and power distance in China and America make them take different factors to consider, such as the legislation of the government and labor market factors.
But in similarities, most selection system in these two countries pays more attention to the technical requirements of the job as well as the potential...