Globalization Implications for Human Resource Management Roles

Abstract

Globalization influences organizations that compete for customers with high expectations for performance, quality, and cost. Globalization also exerts pressure on the Human Resource Management (HRM) function to adapt to changing organizational needs and add greater value. This paper first reviews global trends, HRM roles, and the implications of globalization and culture for HRM. Using Ulrich’s (Human resource champions: The new agenda for adding value and delivering results. Boston: Harvard Business School Press, 1997) HRM model and Hofstede’s (Culture’s consequences: Comparing values, behaviors, institutions and organizations across nations (2nd edition). Sage: Thousand Oaks, CA, 2001, Academy of Management Executive 7:81–94, 1993, Organizational Dynamics 9:42–63, 1980) model of national cultural differences, it is argued that knowledge of global business trends, cultural sensitivity, business knowledge, understanding local employment practices, technical skills, and innovation are increasingly important, especially in Multinational Corporations (MNC).