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Answer 1
The company has to choose among the following three options regarding the staffing frameworks:
Ethnocentric system appoints the local people at the top positions of an organization. The example may be taken from the case under consideration. The company has hired the American people at the higher positions in the company. Thus the company is following the above mentioned staffing framework. The main benefit of following this technique is that the company maintains the most experienced staff at the top positions. The problem with this technique is that the local knowledge is not transferred fully into the organization.
Polycentric system appoints the local residents of the country in the top positions in the local offices of the company. The advantage of this option is that the company will not find it difficult to adapt to the terms of the local business atmosphere. The down side of this policy is that there are very less opportunities for promotions of the expatriates that are employed at the lower positions in the organization. This policy can create a definite knowledge gap between the local managers and the managers that are working in some other country for the same company.
The Geocentric policy appoints any person who is best suited to the post to work. The main advantage of this policy is that it is highly flexible and it can help the company to learn various work cultures. The downside of this policy is that it is difficult to apply.
Answer 2
Yes the type of staffing approach adopted by the company is affecting the working ability of Paul. The person is not able to put in place the plans that he had brought from USA. The person has not come to terms with the working cultures of the country. If the company had chosen the polycentric aspect, Paul would have found it easier to adjust to the company. The plans made by him would also have been put in place because the company had experienced people working at the top.
Answer 3
The company should use the geocentric policy. It should hire a right person for the right job irrespective of the background and culture. This will help the company in a number of ways. The company will be in a better position to assess and finalize the pay package of the employees. As the case suggests, Paul is not happy with the pay package, he would have been happier if he had been told that he would be paid lower due to lack of experience. This would have eased the problems of the employee to a certain extent. Headquarter should hire some local Vietnamese for this job so that the problems discussed are not faced.
Answer 4
Paul wants the job because he is about to finish the study from the university. He is however not suited for this job. The primary reason for this recommendation is that he lacks any work experience prior to this job. Although he had worked for the company but that was in his home country.
Answer 5
The expatriate management is a difficult task because the people find it difficult to leave their homes. Once they do it, they expect a better compensation package as compared to what they were getting in their home country and as compared to the local staff working in the same capacity as they are. The expatriate recruitment policy should keep all the doors open. This means that the company should adopt the most appropriate policy according to the situation.
Answer 6
The case has helped us to identify the following methods of expatriate compensation:
The Negotiation Method
This method involves some discussions between the company and the expatriates that have to be hired. The final compensation that is offered to the employee comes out as the final result of the negotiations. The positive side of this method is that the company can negotiate with all the expatriates on a different note. The negative aspect of this method is that the company will not be able to apply this method when it hires a larger number of expatriates. In that case it will not be possible for the company to negotiate with each employee separately.
The Balance Sheet Method
In this method, the employee is offered an equal amount of living cost as was paid if he had worked in the home country. This method is quick to apply and easy to manage and calculate the total sum paid. This method is however expensive for the company to apply because the sum of monbey to be paid to the employee would be higher.
The company in the case has applied different compensations for junior and senior positioned expatriates. The person under discussion is getting the package according to the balance sheet method. This is also because the company has now hired a large number of expatriates and cannot find it worthy to negotiate the packages separately.
Answer 7
The human resource manager at the headquarters can help the employee by ordering the transfer of the employee to some of the bigger cities of the country. The manager may also revise the package of the employee and apply the negotiation aspect of the compensation to let the employee earn more. This will help the employee by solving at least some of the problems that he is facing.
Works Cited
BIBLIOGRAPHY Harzing, A. W. (2004). Expatriate Failure: time to abandon the concept? Career Development International , 616-626.
Panmore Institute. (2017, March 24). http://panmore.com/staffing-policy-hrm-issues-in-international-business. Retrieved April 11, 2019, from http://panmore.com/staffing-policy-hrm-issues-in-international-business: http://panmore.com/staffing-policy-hrm-issues-in-international-business
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