Cultural problems in IHRM:

A key factor in the increasing internationalization of employment is that there are cultural differences between nations differences in national values and attitudes. Many of us have stereotypes of taciturn Finns, ebullient Spaniards, work-obsessed Americans, polite Japanese, modest Malays, etc. These are stereotypes: even the next Finn we meet may be loud and confident, the next Spaniard quiet and reserved, and so on, they indicate real, general, truths. There is now plenty of research evidence that different nationalities do have different values and that these affect the way people organize, conduct and manage work. An awareness of cultural differences is therefore an essential part of an international HR managers brief. The normal HRM activities such as recruitment and selection, training and development, reward and performance appraisal, may all be affected by cultural values and practices in the respective host countries. As a result, great care must be taken when deciding whether or not to adopt standardized HRM policies and practices throughout the world. High failure rates of expatriation and repatriation Deployment getting the right mix of skills in the organization regardless of geographical location Knowledge and innovation dissemination managing critical knowledge and speed of information flow Talent identification and development identify capable people who are able to function effectively Barriers to women in IHRM International ethics Language (e.g. spoken, written, body) Different labor laws Different political climate Different stage(s) of technological advancement Different values and attitudes e.g. time, achievement, risk taking Roles of religion e.g. sacred objects, prayer, taboos, holidays, etc Educational level attained Social organizations e.g. social institutions, authority structures, interest groups, status systems Cultural differences between nations can influence the effectiveness of HRM policies and practices HRM must be congruent with the cultural orientation of the workers Hefstede says cultures vary in five dimensions: Individualism versus collectivism Power distance Avoidance of uncertainty Masculinity Long-term versus short-term orientation Dress and appearance Food eating habits and perceptual problems Time and time consciousness Relationships

Values and norms Mental Processes and Learning Beliefs and attitudes Work Habits and practices.

Measures to overcome cultural problems:

1. Documentary Programs: Trainees read about a foreign countrys history, Culture, institution, geography and economics. Videotaped presentations are often used. 2. Culture Assimilation: Cultural Familiarity is achieved through exposure to a series of simulated intercultural accidents, or typical problems situations. These techniques have been used to quickly train those who are given short notice of a foreign assignment. 3. Language instruction: Controversial language skills are taught through a variety of methods. In most multinational companies, executive learn various languages in a routine way, so that they can be useful to the company in case of short term foreign assignments. 4. Sensitivity Training: Experiential exercises teach awareness of the impact of ones action on others. 5. Field Experience: Firsthand exposure to ethnic subcultures in ones own country or to foreign cultures heightens awareness. 6. Business basics: This covers the negotiating cross-culturally, working with various types of clients, making presentations etc.