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Cultural problems in IHRM:

A key factor in the increasing internationalization of employment is that there are cultural

differences between nations differences in national values and attitudes. Many of us have

stereotypes of taciturn Finns, ebullient Spaniards, work-obsessed Americans, polite Japanese,

modest Malays, etc. These are stereotypes: even the next Finn we meet may be loud andconfident, the next Spaniard quiet and reserved, and so on, they indicate real, general, truths.

There is now plenty of research evidence that different nationalities do have different values and

that these affect the way people organize, conduct and manage work. An awareness of culturaldifferences is therefore an essential part of an international HR managers brief. The normal

HRM activities such as recruitment and selection, training and development, reward and

performance appraisal, may all be affected by cultural values and practices in the respective host

countries. As a result, great care must be taken when deciding whether or not to adoptstandardized HRM policies and practices throughout the world.

High failure rates of expatriation and repatriation Deployment getting the right mix of skills in the organization regardless ofgeographical location Knowledge and innovation dissemination managing critical knowledge and speed of

information flow

Talent identification and developmentidentify capable people who are able to functioneffectively

Barriers to women in IHRM International ethics Language (e.g. spoken, written, body) Different labor laws Different political climate Different stage(s) of technological advancement Different values and attitudes e.g. time, achievement, risk taking Roles of religion e.g. sacred objects, prayer, taboos, holidays, etc Educational level attained Social organizations e.g. social institutions, authority structures, interest groups, status

systems Cultural differences between nations can influence the effectiveness of HRM policies and

practices

HRM must be congruent with the cultural orientation of the workers Hefstede says cultures vary in five dimensions:

Individualism versus collectivism Power distance Avoidance of uncertainty Masculinity Long-term versus short-term orientation

Dress and appearance Food eating habits and perceptual problems Time and time consciousness Relationships

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Values and norms Mental Processes and Learning Beliefs and attitudes Work Habits and practices.

Measures to overcome cultural problems:

1. Documentary Programs:Trainees read about a foreign countrys history, Culture, institution,

geography and economics. Videotaped presentations are often used.

2. Culture Assimilation:Cultural Familiarity is achieved through exposure to a series of

simulated intercultural accidents, or typical problems situations. These

techniques have been used to quickly train those who are given short noticeof a foreign assignment.

3. Language instruction:Controversial language skills are taught through a variety of methods.

In most multinational companies, executive learn various languages in a

routine way, so that they can be useful to the company in case of short term

foreign assignments.

4. Sensitivity Training:Experiential exercises teach awareness of the impact of ones action

on others.

5. Field Experience:Firsthand exposure to ethnic subcultures in ones own country or to

foreign cultures heightens awareness.

6. Business basics:This covers the negotiating cross-culturally, working with various

types of clients, making presentations etc.

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