Globalization

 

Globalization is a difficult terms to define because it has come to mean so many things. In general globalization refers to the trend toward countries joining together economically , through education, society and politics, and viewing themselves not only through their national identity but also as part of the world as a whole.

Globalization is said to bring people of all nations closer together, especially through a common medium like the economy or the internet. 

Globalization in HRM

Human resource management is an organization’s administrative wing that handles all employee-related problems. These challenges include recruitment, workplace safety, benefits & compensations, policy administration, performance management, training, etc.

The HR policy of every organization depends on the labor laws and legislature of the country where it operates. And with globalization, the ever-changing competitive business environment started expanding with the free flow of human resources and technology across borders. Naturally, this impacted the day-to-day operations of all businesses, and HR management is no exception.

To understand the impact of globalization on human resource management, we must first understand the changing priorities of recruitment, added benefits, and the challenges of globalization in HR management.

Impact of Globalization on Human Resource Management

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In the era of globalization, HR management is slowly shifting from its previously assigned traditional tasks, such as administration, transactional, and personnel roles. But as modern businesses face several complex hurdles, their HR departments must also make a few adjustments  to adapt..

This transformation directly stems from globalization and competition trends in human resource management. Today, businesses want their HR Management to add value to the strategic utilization of employee programs.

In the face of global competition, the decision-making system in organizations has become complicated. They need advanced HR systems that can interpret the data to deliver business insights, anticipate future requirements, and devise strategies to cater to pressing needs. The challenge becomes further aggravated as there’s a significant shortage in the global talent supply compared to its long-term demand. Hence, the next-generation of organizations will likely suffer from the lack of highly skilled workers as the skill gap will deepen over time.

Considering the impact of globalization on HR practices, companies will need to prioritize investment in human capital over financial capital. After all, effective HR management is the foremost determinant of whether or not a company can become a global leader.(Anne –wil-Hard)

Major Areas of Impact of Globalization on Human Resource Development

Due to globalization in human resource management, modern HR managers must conceive strategies catering to both local and remote employees. For instance, a Germany-based business hiring people in Europe and Asia must ensure that its HR strategy adheres to local and international standards while being culturally appropriate.

 Hence, the impact of globalization on human resource management pushes HR management to rethink their core strategies.

• Labor laws
• Recruitment
• Training
• Expatriation
• Communication

                                    
                                    https://www.youtube.com/watch?v=GiTseeMVkRE

                                                           Source . Rejith mohan · 2017 ජූනි 3

Advantages of Globalization in Human Resource Management

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The positive impact of globalization on HRM can help your organization in the following ways.

      1.  Cultural Exchange and Collaboration

2.      Enhanced Learning and Development

3.      Flexibility and Market Adaptation

4.      Expanded Market Reach

5.      Strategic Resource Allocation

Disadvantages of Globalization in Human Resource Management

1. Cultural Clashes and Misunderstandings

2. Lack of Face-to-Face Interaction

3. Employee Burnout due to Time Zone Differences

4. Leadership Challenges

5. Cultural Bias in Decision-Making

(source Sandeep Patel)

Strategies for Enhancing Global Talent Mobility in Today's Workforce

Nowadays the employers, markets, and the whole world are getting more and more closely connected, while talent flow is quite a prominent topic for the companies which intend to get business done on various markets and achieve the competitive advantage. In the wake of the push of the new technologies, the shift of workforce, and talent management sphere that is an area of sharp enhancement, where the businesses find the most effective solutions and ideas in the diverse talent pool. In this section, we shall describe the tools as well as the mechanisms to promote peaceful workflow of the globally engaging talent, factoring some of the difficulties which may come from the workforce of the contemporary world.

Embrace Remote Work and Virtual Collaboration

The introduction of remote work and virtual collaboration in the workplace is presently the significant strategic imperative of companies in all those countries of the world. And with the digital technology being irresistible, this shift achieves the transcendence of the conventional geographical limitations, thus, the enterprise stands a better chance to enjoy robust access to numerous and diversified talent deployment all around the globe. Through the adoption of remote work policies, firms not only become locations far away from the places irrelevant for talented labor, but also contribute to a diverse and inclusive environment in terms of their ranks of staff. Diversity of all sorts is not only expanding the company’s talent pool but also cultivates a sense of belonging and empowerment among the staff encouraged to be more dedicated and productive.

The remote work setting not only offers the possibility of developing a culture of flexibility and adaptability, but also becomes a catalyst to create more agile working culture. Encouraging employees to implement autonomy in regards to workplaces and working schedules facilitates those to cater their professional accountabilities to the individual needs and commitments of personal life. This, consequentially, accounts employees with higher job satisfaction level, and overall sense of wellbeing, which in the turn leads to lower turnover rates, and greater organizational resilience (Piazza, 2015). 

Cultivate a Culture of Diversity and Inclusion

Referances

 https://www.usemultiplier.com/remote-hiring

https://www.usemultiplier.com/global-workforce

https://books.google.lk/books?id=4OgyJ740KxMC&pg=PA360&dq=Impact+of+Globalization+on+Human+Resource+Management&hl=si&newbks=1&newbks_redir=1&sa=X&ved=2ahUKEwiVgYypl56FAxXs2TgGHVLWCJwQ6AF6BAgIEAI

https://www.dzconnex.com/blog/what-are-the-effects-of-technology-and-globalization-on-human-resources-management

https://assets-global.website-files.com/

https://www.skuad.io/blog/the-impact-of-globalization-on-human-resource-management

 https://www.youtube.com/watch?v=GiTseeMVkRE

The study of Strohmeier, S., and Piazza, F. (2015) revealed that. Global talent management: What are the top global corporations doing to ensure a steady supply of skilled workers? John Wiley & Sons.

Cascio, W.F., & Boudreau, J.W. (2010). Investing in people: Financial effect of human resource projects. FT Press.

Collings, D. G., Scullion, H., and Vaiman, V. (2018). Talent management: A review that is worth noticing. Human Resources Management Review, 28(4): 526-541.