The expectations of and unique challenges faced by human resources when an organizational leadership
Discuss the expectations of and unique challenges faced by human resources when an organizational leadership considers becoming more global. Provide an example.
Sample Solution
Expectations
- Attract and retain top talent: When a company becomes more global, it opens up the talent pool to a much larger pool of candidates. This can be a great opportunity to attract top talent from all over the world. However, it can also be a challenge to attract and retain these employees, as they may have other options available to them.
- Manage a diverse workforce: A global workforce is inherently diverse, with employees from different cultures, countries, and backgrounds. This can be a great asset to the company, as it can bring different perspectives and ideas to the table. However, it can also be a challenge to manage a diverse workforce, as there may be cultural clashes and misunderstandings.
Full Answer Section
- Adhere to local laws and regulations: Each country has its own set of laws and regulations governing employment. When a company becomes global, it needs to make sure that it is compliant with the laws and regulations of all the countries where it operates. This can be a complex and time-consuming process.
- Overcome language and communication barriers: When employees come from different countries, they may speak different languages and have different communication styles. This can make it difficult to communicate effectively and build relationships.
- Address cultural differences: Different cultures have different values, beliefs, and norms. This can lead to misunderstandings and conflict. The HR department needs to be aware of these cultural differences and develop strategies for addressing them.
- Compliance with labor laws: Each country has its own set of labor laws, which govern issues such as wages, hours, and benefits. When a company becomes global, it needs to make sure that it is compliant with the labor laws of all the countries where it operates. This can be a complex and time-consuming process.
- Taxation: Each country has its own tax laws, which can be complex and ever-changing. When a company becomes global, it needs to make sure that it is compliant with the tax laws of all the countries where it operates. This can be a complex and time-consuming process.
- Currency exchange: When a company does business in multiple countries, it needs to deal with currency exchange. This can be a complex and risky process, as the value of currencies can fluctuate rapidly.
- Political instability: Some countries are more politically stable than others. When a company does business in a country that is politically unstable, it faces the risk of expropriation, nationalization, or other political risks.
- Security risks: Some countries are more prone to security risks, such as terrorism or crime. When a company does business in a country with security risks, it needs to take steps to protect its employees and assets.