HR Management Essay Example | Topics and Well Written Essays - 2500 words

HR Management - Essay Example Even though man material and machine are some of the essential resources needed for an organization, mobilization or effective utilization of these resources is possible only with the help of the human resources. Cross cultural business or international business is growing day by day because of the huge popularity of the globalization, liberalization and privatization policies. All the countries realized the importance of foreign direct investments in their economic growth. Many of the big organizations which faced saturation in their home country are currently trying to exploit the opportunities in international market and as a result of that international business is growing rapidly today. The growth of international business brought many new challenges to organizations and the communication problem is one among them. Human resource management department is responsible for formulating necessary strategies needed to avoid communication problems in international business. Culture and communication plays a vital role in international business and hence the training given to an employee/ manager before an overseas assignment must target cultural and communicational differences between the native country of the employee and the target country. When organizations move into foreign markets they must adapt to communication, culture and human resource issues. Domestic business and international businesses have more differences than similarities. It is easy to start a business in the home country whereas it is difficult to establish a business in a foreign country because of the difficulties in communicating with different stakeholders in the foreign country. This paper briefly analyses different communication problems faced by companies while engage in international business and the HRM strategies needed to overcome it. Before the establishment of business in another country, the entrepreneur must know some basic facts about the target country. The political, social, cultural, legal and economical aspects of the target country could be entirely different from that of his home country. For example, suppose an American company is trying to establish a business unit in China. China is a communist country whereas America is a democratic country. English is the official language of America whereas that of China is Mandarin. The Chinese economy is developing at a much faster rate than that of America. Human rights and freedom of expression are less valued topics in China whereas these things are extremely important in America. There are many other areas in which America and China vary drastically and the HRM strategies should account for all these differences before establishing a business unit in China. David A Victor (2009) has proposed his famous LESCANT model for knowing more about the communication issues in international business. According to him Language, Environment, Social organizations, Contexting, Authority, Nonverbal communication means, Time concepts etc of different countries are different (Victor) In America, English is the official language whereas in China, it is Mandarin. The importance of language in the communication process cannot be neglected while formulating HRM strategies in international context. If communication is the body of an organization, then language is the blood of it. In an organizational set up, communication can take place between the organization and the