An integrative framework of strategic international human resource management

Abstract

The globalization of business is making it more important than ever to understand how multinational enterprises (MNEs) can operate more effectively. A major component of this understanding appears to be the field of human resource management, and in particular, the field of international human resource management (Brewster, 1991; Hendry, 1992; Desatnick & Bennen, 1978; Dowling, 1986; Dowling & Schuler, 1990; Evans, 1986; Laurent, 1986; Tung, 1984). The trend over the past few years has been to identify the linkage of human resource management with strategy and offer an understanding of how single country or domestic human resource management can facilitate organizational understanding and effectiveness (Wright and McMahan, 1992). In this article we attempt to extend this line of work into the international arena. We do this by offering a framework of strategic international human resource management (SIHRM). Anchoring SIHRM in the strategic components of MNEs, namely their interunit linkages and internal operations, strategic aspects of international human resource management are described. Using several theoretical bases, numerous propositions are offered. These propositions reflect the single and multiple influence of the strategic components of MNEs and several exogenous and endogenous factors on SIHRM. The intention is to offer a framework that can serve both academics and practitioners in furthering our understanding of strategic international human resource management.