Globalization Has Reshaped The World Essay example

705 Words Nov 30th, 2015 3 Pages
The globalization has reshaped the world. The growth of international competition and the opportunities for foreign investment have contributed to the increases in the number and size of TNCs (Transnational Corporation). To achieve competitive advantages, business strategies should be developed in conjunction with their human resource management (Caligiuri and Stroh, 1995). IHRM (International Human Resource Management) plays a crucial role in helping firms evaluate the human resource skills, abilities and potentials involved in moving to different regions around world (Luthans, Marsnik and Luthans, 1997). The human resource practices should be consistent with the corporations’ strategic plans in order to facilitate effective implementation of their business strategies (Caligiuri and Stroh, 1995). Porter (1990) claims that the human resource management’s function is to maximize employees’ effectiveness based on their organizations’ missions, objective and goals for competitive advantage. In TNCs, one of the most critical concerns for the practice of IHRM is how to manage the tension between global integration and local responsiveness. The conceptions of global integration and local responsiveness have been used widely to explore international human resource management strategy and practices of transnational corporations. The aim of this paper is to examine how international human resource management responds the dual demands of global integration and local responsiveness.…

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