International human resource management: planning, organizing, directing, and controlling the international enterprise

IHRM activities

• Need assessment
• Hiring (home- vs. host-country applicants, sources of information, selection criteria)
• Training and development (export training, programs for expatriates)
• Compensation and benefits (direct and indirect compensation, allowances, fringe benefits)
• Employee and external relations (labor organizations, government agencies)

• Has international experience
• Has a college degree
• Knows foreign languages
• Is open to other cultures
• Has great communication skills
• Is willing to travel
• Is a great decision-maker
• Can handle "last-minute" decisions
• Is a risk-taker

• Spanish
• Chinese
• French
• German
• Japanese
• Portuguese
• Russian

• Home applicants will tend to be…
• More loyal to the company
• More knowledgeable of the company’s culture and business
• More familiar with the company’s hierarchy and communication channels
• More fluent with the home country’s language
• More globally knowledgeable
• Host applicants will tend to be…
• Less expensive
• More knowledgeable of the host country’s environment
• More accepted by host country’s government

1. Initial Euphoria
2. Irritation and Hostility
3. Adjustment
4. Reentry

• Cost of living allowance
• Tax-equalization plans
• Foreign service premium
• Hardship allowances
• Relocation allowances
• Mobility allowance
• Housing allowances
• Automobile allowances
• Travel expenses allowances
• Education allowances
• Medical coverage
• Home leave