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HRM ch. 11 > Chapter 11 > Flashcards

Chapter 11 Flashcards

1
Q

What is an international organization?

A

Firm using existing capabilities to expand into foreign markets

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2
Q

What is a multinational corporation?

A

Subsidiaries operating as fully autonomous units in different countries.

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3
Q

What is a global corporation?

A

Many subsidiaries but control stays in home office, view the world market as a unified whole.

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4
Q

What is a transnational corporation?

A

Specialized facilities positioned around the world, autonomy to different country operations but brings all separate activities together as an integrated whole.

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5
Q

What are the 3 factors that need to be considered in international HRM and explain them.

A
  • economic: trade agreements affect jobs around the world
  • political-legal: poorly protected property rights give less incentives to invest and locate factories
  • Cultural environment: communication, religion, values, education and social structure
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6
Q

To what a company’s good reputation is positively related?

A

measurable outcomes such as:

  • innovation
  • social responsibility
  • financial soundness
  • global competitiveness
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7
Q

What countries are part of what is called BRICS, countries considered to have the fast-growing economies?

A
  • Brazil
  • Russia
  • India
  • China
  • South Africa
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8
Q

What are the differences between Canadian and International HRM?

A
  • more emphasis on relocation, orientation and translation services
  • decisions on currency for compensation
  • security measures (terrorists, natural disasters…)
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9
Q

What are the three sources of employees to staff international operations?

A
  • Expatriates (home-country nationals)
  • Host-Country nationals
  • third-country nationals
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10
Q

What is usually used as a staffing source for multinational operations?

A

A mix of all 3 sources

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11
Q

What is the main disadvantage of sending Expatriates for an organization?

A

it is very costly

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12
Q

What is called a short-term assignment?

A

assignment of 6 to 12 months

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13
Q

What are the main advantages of hiring host-country nationals?

A
  • less costly
  • sometimes required by local government to create jobs
  • customers like to encourage businesses that helps local economy (local vs foreign)
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14
Q

What are the advantages of hiring third-country nationals?

A
  • often multilingual
  • less costly
  • able to cope culturally with foreign environment
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15
Q

What restriction all countries have regarding the employment of foreigners?

A

need of work permit or visa

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16
Q

What are guest workers?

A

foreign workers who come to perform needed labour

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17
Q

To attract and retain global talent, organizations need to focus on:

A
  • Brand: reputation
  • compensation: competitive reward Program
  • development of skills
  • Culture: understand environment and offer support
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18
Q

What are the two major source of trained labour in international HRM?

A
  • apprenticeships

- transnational teams

19
Q

What are transnational teams?

A

group composed of members of multiple nationalities working on projects over multiple countries.

20
Q

What is the fundamental task when forming a transnational team?

A

assemble the right group of people who can work effectively.

21
Q

on what basis does other countries usually tend to hire?

A
  • family ties, social status and common origins
22
Q

What is the main factor we need to look at when selecting candidates for expatriation?

A

the person’s tolerance of culture differences

23
Q

What are the steps to select expatriate managers?

A

1- self-selection
2- create candidate pool
3- assess core skills relative to assignment
4- assess augmented skills and attributes

24
Q

What are the technical competences locked at in the expatriate selection criteria?

A
  • country experience
  • language skills
  • family flexibility
  • professional experience
  • international experience
  • interpersonal skills
25
Q

What is the primary reason for an assignment failure?

A

the person’s family

26
Q

What is the main content of training programs for employees working internationally?

A
  • knowledge on country and culture of where they are going
  • language training
  • history, values, and dynamics of own organization
27
Q

What can be done by employers to provide help to the expatriate’s family?

A
  • provide help finding jobs for the spouse

- provide career- and life-planning counselling

28
Q

What is the process of repatriation used for?

A

To facilitate the process of the employees return, help the employees make the transition back home

29
Q

What is the key to make repatriation successful?

A

communication: information for the employee to know what to expect on the return

30
Q

Why is compensation one of the most complex areas of international HRM?

A

Because different countries have different values and normes regarding compensation

31
Q

When a company starts operating in a foreign country, it usually sets the wages …

A

at or slightly higher than the local companies’ wages.

32
Q

How is the compensation of host-country managers set?

A

In a salary gap between the Local salary level and the one of the expatriates.

33
Q

What compensation system is usually used for short-term assignments?

A

per diem (per-day) compensation

34
Q

What are the 2 basic types of compensation systems used for long-term assignments?

A
  • home-based pay: currency of home country

- Host based pay: equivalent of home country but in host country currency

35
Q

What is one serous issue related to expatriate compensation?

A

Medical care

36
Q

Who is involved in the performance management system for expatriates?

A

360 review of home-country manager and host-country manager

37
Q

What are the two sources of bias in the host-country manager’s performance review?

A
  • local culture influences perception

- local manager does not have enough perspective on entire organization to measure contribution

38
Q

what are the most important criteria used to assess expatriates’ performance?

A

goals and responsibilities related to the job assignment.

39
Q

Why is tit important to provide feedback to expatriates?

A
  • maintain relationship between employee and supervisor
  • help identify objectives
  • be involved in their lives to limit issues
  • regular meetings
  • hold employee accountable for outcomes
40
Q

What is the role of unions in international HRM?

A

it varies from one country to another and depends on many factors

41
Q

What political-legal factor affects the influence of unions in international HRM

A

the government’s involvement

42
Q

What does the ETUC, an international labour organization defends?

A

fundamental social values such as equality

43
Q

What is codetermination?

A

the representation of labour on the board of directors of a company

HRM ch. 11 (2 decks)

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