The Global context for HRM: Beyond the boundaries

Global Human Resource Management is the procedure by which multinational corporations manage people across international borders. It entails global human resource management, not just expatriate management (Armstrong, 2009).

Global HRM is different from domestic HRM in that it functions on an international level or beyond national boundaries and is concerned with managing employees from multiple countries. Global HRM must contend with more external influences than domestic HRM, such as culture, training, and the political and legal systems.

International Human Resource Management's Difficulties

1. Cross-cultural concerns.

2. Training and development for a diverse group of people from various countries.

3. Salary and remuneration package

4. Providing standard performance appraisals to people from various cultures.

5. Managing international personnel.

These include the impact of globalization, the impact of environmental and cultural differences, the extent to which HRM practices and policies should differ across countries and the perspectives used to hire and manage expatriates (Armstrong, 2009).

How globalization involves in Human Resource Management?

• Recruiting process

When planning to open new branches in other countries, globalization in human resource management is required to bring their techniques up to international standards.

• Training

Every recently recruited candidate must be trained on the company's policies and procedures, as well as his or her job role. Globalization, on the other hand, necessitates a variety of training modules. For example, if you send a local candidate overseas, you must train him or her on offshore work expectations and culture.

• Communication

Communication becomes difficult when a company conducts business in multiple countries. The human resources department must devise communication strategies that allow for synchronized coordination without requiring remote employees to disrupt their time zone.

• Labor Regulations

Obviously, labor laws differ from one country to the next. Human resource managers must be well-versed in both international and domestic labor laws.

• Employment and Tax Regulations

Different tax and labor laws also have an impact on global expansion. Human resources divisions must be planned to deal with a variety of tax rates, benefit criteria, and labor and environmental restrictions.

Multinational companies in Sri Lanka

The Sri Lankan economy and people benefit from globalization and the development of global HRM; For example, foreign investment is a significant driver of economic development. The investments contribute to and improve workers' work ethics, discipline, skills, and knowledge. It is an important means of transferring technology and best practices in management, and it frequently helps bring with it international markets (Weerakkody, 2016).

Because Sri Lanka adopted a free-market economic system, for example, “Jhon keels Holdings, Hayleys, Dialog axiata, Uniliver, etc..” effectively spread their global business in Sri Lanka, it is critical for an organization to have business all over the world in order to develop at a low cost when dealing with its own offices.

Conclusion

Global HRM plays an important role in achieving the organization's goals as a result of the impact of globalization. Organizations are able to relocate their operations to another country as a result of globalization because of the open market concept.

References

Armstrong, M., (2009). Armstrong's Handbook of Human Resource Management Practice, London: Kogan Page.

Weerakkody, D., (2016, November 04). Daily Mirror, Retrieved October 05, 2019, from Daily Mirror: http://www.dailymirror.lk/article/The-need-for-BOI-to-become-more-competitive--118657.html (Accessed on 12/08/2021).