THE ROLE OF INFORMAL INSTITUTIONS IN SHAPING RECRUITMENT PRACTICES IN WESTERN SUBSIDIARIES IN LEBANON

Abstract

ABSTRACT Purpose– With the international expansion of the multinational corporations come many challenges among which whether to adapt their human resources management practices to the host country’‘s cultural norms or to standardize these practices internationally based on the parent country practices. This article underlines precisely the adaptation of Human Resource Management policies and mainly the selection and recruitment practices to the host country cultural norms and informal institutions. Thus, the aim of this article is to study the particularities of the Lebanese culture and informal institutions by showing how and why human resources practices are being adapted. Methodology– A multiple case study approach is used for the purpose of this research where ten case studies were explored concerning recruitment and selection practices in Lebanese subsidiaries of US and European Multinational Corporations. Results– Human resources practices are mainly being adapted to the Lebanese subsidiaries. The recruitment and selection practices are heavily affected by the Lebanese informal institutions. Originality– This research highlights the host-country specificities explaining the transfer of recruitment and selection to Lebanese subsidiaries. Keywords Lebanon, Culture, Informal institutions, recruitment, selection, Multinational Company