Role and Functions of HRM in Global Environment (7 Marks)

Introduction (1 Mark)

In global economy, HRM transcends national boundaries - need for Global HRM / International HRM (IHRM) to manage diverse, dispersed, cross-cultural workforce.

A. Role of HRM Globally - Strategic Role (2 Marks)

• Strategic Partner: Align global business strategy with global talent strategy.
• Change Facilitator: Manage cultural change, M&A integration, digital transformation.
• Competitive Advantage: People as unique resource - builds core competence globally.

B. Functions of HRM in Global Environment (4 Marks)

1. Global HR Planning & Procurement:

• Forecasting global manpower, deciding ethnocentric/polycentric/geocentric staffing.
• Global talent sourcing - campus worldwide, expatriates, third-country nationals, H-1B, global talent pool.

2. Global Recruitment, Selection & Global Mobility:

• Cross-border selection criteria (cultural adaptability), visa/immigration, expatriate assignment (selection, pre-departure training, repatriation).

3. Training & Development (Cross-cultural):

• Cultural sensitivity training, language training, global leadership development, virtual team collaboration.

4. Compensation & Benefits (Global):

• Complex - Balance sheet approach, cost-of-living, hardship, tax equalization, global pay equity.

5. Performance Management:

• Standardized yet culturally sensitive appraisal for expatriates/virtual configs; global KPIs.

6. International Industrial Relations & Compliance:

• Managing diverse labour laws (ILO, EU, US, Indian Acts), trade unions globally, ethical issues.

7. Other: Diversity & Inclusion, Global Employee Relations, HRIS/Global MIS, Safety & Well-being across geographies.

Challenges: Cultural distance, legal variation, currency, communication, time zones, ethical dilemmas.

Conclusion: HRM global role = attract, deploy, develop, retain best talent worldwide while ensuring glocal balancing (Think Global, Act Local).