6.1 Strength of employment protection in selected countries, 2013 212
6.2 Trends in the level of minimum wages relative to median earnings for selected OECD countries, 1986–2016 214
6.3 Paid annual leave and paid public holidays, OECD countries 2013 215
6.4 Union density and collective bargaining coverage, 1995 and 2013 216-217
6.5 International comparison of CEO to worker pay 220
6.6 Organizational and institutional influences on multinational companies and their subsidiaries 229
8.1 Strategies for post-merger outcomes 289
10.1 Mapping the boundaries of global HRD 376
11.1 Organizational structure of ITOCHU Corporation 430
11.2 ITOCHU: Global network 431
15.1 The pyramid of CSR 566
15.2 Utilitarian, managerial and relational theories of CSR 568
15.3 Socially responsible HR practices and business sustainability 580
15.4 An integrated framework for socially responsible employment and HR practices 583
Tables
1.1 The three views on culture and their related knowledge 13
1.2 Sample of argued representative behaviour linked to Hofstede’s cultural dimensions and examples of country positioning 15
1.3 Sample of argued representative behaviour for the societal practices of the cultural dimensions of the House et al. (2004) study and examples of country positioning 16
1.4 Sample of argued representative behaviour for Schwartz’s value structures and examples of country positioning 18
1.5 Sample questions to use in the analysis of a situation dealing with culture 27
2.1 Bundles of flexible working practices in Europe 66
3.1 The three approaches to understanding the transfer of employment practices 93
3.2 Summary of the four influences framework 104
4.1 Comparison of five dominant HRM models 133
5.1 MNC staffing policies 161
5.2 Advantages and disadvantages of using PCNs, HCNs or TCNs 163
5.3 Sample size and percentage of PCN subsidiary managing directors in different HQ countries, subsidiary country clusters and industries 165
5.4 Motives for international transfers according to various authors 171
5.5 Success criteria for international transfers 193
6.1 Host country environment influences on HRM practices 229
10.1 Tasks and activities associated with global leadership 378
10.2 Competency typologies of global leaders 381
10.3 Length of pre-departure training received by the 25 employees 394
10.4 The ‘two biggest challenges’ faced by the employees during their assignments in Mexico 395
11.1 Theoretical perspectives of HR competencies 409
11.2 Theoretical perspectives of external and internal factors 410
12.1 PMS tips for organizations 444
12.2 Key factors affecting PMSs 449
13.1 Index of Living Costs Abroad (Washington, DC = 100), January 2017 495
13.2 Big Mac Index, July 2017 508
14.1 Labour and EO laws in China, India, Japan and Korea 533
14.2 Key differences between managing EO and managing diversity 540
15.1 Means and ends in ethical theories 567
15.2 Issues covered by CSR 569
15.3 Staffing information at Maruti Suzuki Manesar Plant (2012) 586
List of Contributors
Phil Almond
is Professor of International Management at the Institute of International Management, Loughborough University London, and a lead researcher of the CRIMT international research centre on work and globalization. He has published widely on international and comparative human resource management. He is currently working on an ESRC-funded project on ‘globalizing actors’ and norm creation and diffusion in multinationals.
Ingmar Björkman
is Professor of International Business and Dean of Aalto University School of Business in Finland. His research interests focus on people management issues in an international context in particular. His work has been published in a range of leading journals within the areas of international business and management. He received the Journal of International Business Studies Decade Award in 2014 together with Dana Minbaeva, Torben Pedersen, Carl Fey and H.-J. Park. His latest book is Global Challenge: International Human Resource Management (2017, 3rd edn, Chicago Business Press), co-authored with Vladimir Pucik, Paul Evans and Shad Morris.
Chris Brewster
is Professor of International Human Resource Management at Henley Business School, University of Reading, UK, and also holds similar appointments at Radboud University, Nijmegen, the Netherlands, the University of Vaasa in Finland and at ISCTE-Instituto Universitário de Lisboa in Portugal. He has conducted extensive research in the field of international and comparative HRM, and has published more than 25 books and over 200 articles on these topics.
Pawan Budhwar
is a Professor of International HRM and Joint Director of the Aston India Foundation for Applied Research at Aston Business School, UK.
He has published 17 books and over 100 research articles in leading journals on managing human resources and performance, with a specific focus on India. He is the Co-Editor-in-Chief of the British Journal of Management and a Fellow of the British Academy of Management, Academy of Social Sciences, the Higher Education Academy and Indian Academy of Management.
Fang Lee Cooke (PhD, University of Manchester, UK) is Professor of Human Resource Management (HRM) and Asia Studies at Monash Business School, Monash University. She is also a Fellow of the Academy of the Social Sciences in Australia. Previously, she was a full professor (since 2005) at Manchester Business School, University of Manchester, UK. Her research interests are in the area of employment relations, gender studies, diversity management, strategic HRM, knowledge management and innovation, outsourcing, Chinese outward FDI and HRM, employment of Chinese migrants, and HRM in the care sector.
Yaw A. Debrah
is Professor of Human Resource and International Management at Swansea University (University of Wales), UK. He has published numerous articles and edited books on HRM, IHRM and International Business and Management in Asia and Africa, including: FDI, technology and knowledge management; organizational failure; CSR; employment relations in SMEs in the MENA region; informal sector employment in developing countries; FDI and employment issues in sub-Saharan Africa.
Tony Edwards
is Professor of International Management and Director of the Institute for International Management at Loughborough University London. His research focuses on the management of labour in multinational companies, including the diffusion of practices across countries, the influence of the institutional frameworks in international HR policies and the management of human resources during and after international mergers and acquisitions. He is currently leading a multi-country, ESRC-funded project examining the role of ‘globalizing actors’ in
developing global norms within multinationals.
Paul A.L. Evans
is the Shell Chaired Professor of Human Resources and Organizational Development, Emeritus, and Emeritus Professor of Organizational Behavior at INSEAD. His research focuses on people management in an international context, and particularly on global talent management. He is Academic Director of INSEAD’s Global Talent Competitiveness Index that ranks 120 countries and undertakes focused studies on talent competitiveness. His most recent book is The Global Challenge: International Human Resource Management (3rd edn, 2017, Chicago Business), co-authored with Vladimir Pucik, Ingmar Björkman and Shad Morris.
Damian Grimshaw
is Director of the Research Department at the International Labour Organization (Geneva). Recent books include Making Work More Equal (2017, Manchester University Press) and Minimum Wages, Pay Equity and Comparative Industrial Relations (2013, Routledge).
Anne-Wil Harzing
is Professor of International Management at Middlesex University, London and visiting Professor of International Management at Tilburg University, the Netherlands. Anne-Wil’s research interests include IHRM, HQ–subsidiary relationships, transfer of HRM practices, the role of language in international business, the international research process, and the quality and impact of academic research.
K. Galen Kroeck
is an industrial and organizational psychologist, and Professor Emeritus at Florida International University (FIU), USA. Dr Kroeck has served as a federal court expert witness in numerous discrimination cases and has authored many book chapters, textbooks and articles in top academic journals.
Robert MacKenzie
is Professor of Working Life Science, Karlstad University, Sweden. His research interests are restructuring, labour market change, contingent
contracts and the regulation of the employment relationship. These issues have been studied in various national and sectoral contexts, including telecommunications and construction, and through the social and economic experiences of migrant workers.
Miguel Martínez Lucio
is a Professor at the Alliance Manchester Business School, University of Manchester, UK. He has worked on various projects and published on issues related to regulation and employment. He is concerned with the question of how marketization, globalization, privatization and new forms of managerialism impact on employment relations and their regulation. In addition, he has published on the impact of globalization on industrial relations, migrant networks, trade unions and social movements.
Wolfgang Mayrhofer
is full Professor of Management and Organizational Behaviour at WU Vienna, Austria. His research interests focus on international comparative research in human resource management, leadership and careers. He has co-edited, authored and co-authored 31 books and more than 200 book chapters and peer reviewed articles.
Dana Minbaeva
is a Professor of Strategic and Global Human Resource Management at Copenhagen Business School. Her research on strategic and international HRM, knowledge sharing and transfer in MNCs has appeared in such journals as Journal of International Business Studies, Journal of Management Studies, Human Resource Management, and many others. She received several national and international awards to research achievements, including the prestigious JIBS Decade Award 2013. Dana Minbaeva is the founder of the Human Capital Analytics Group (www.cbs.dk/hc-analytics).
Alan Nankervis
is an Adjunct Professor of HRM at Curtin University (Perth), and at RMIT University (Melbourne) in Australia. He is the author or coauthor of more than a 100 books, book chapters, journal articles and conference papers. His research interests include comparative Asian
HRM, links between performance management and firm effectiveness, skills shortages and the ageing workforce. His latest publication is Asia Pacific HRM and Organisational Effectiveness (2016), co-authored with Chris Rowley and Noorziah Salleh.
Raphael O. Oseghale
is a Lecturer in HRM in the School of Management, Swansea University. His teaching and research interests are anchored in the core subject of human resource management in both domestic and international organizations. His publications on talent management have appeared as book chapters and in journals.
Ashly H. Pinnington
is Dean of Research, Faculty of Business and Professor of Human Resource Management, The British University in Dubai, United Arab Emirates. He has published extensively on the management of professionals, chiefly institutionalist perspectives in HRM, IHRM and organizational change. His recent work concentrates on careers, talent management, ethics and social responsibility.
Vladimir Pucik
is Visiting Professor of Management at China Europe International Business School in Shanghai where he directs a number of executivelevel programmes. Prior to his retirement, he was Professor of Human Resources and Strategy at IMD in Lausanne. His current research is focused on organizational capabilities, cross-border mergers and acquisitions, and international HRM strategies. His most recent book is The Global Challenge: International Human Resource Management (3rd edn, 2017, Chicago Business), co-authored with Paul Evans, Ingmar Björkman and Shad Morris. He is also a founding partner and an active investor in several IT ventures in the Central Europe.
Christopher J. Rees
is a Senior Lecturer in Human Resources at the Global Development Institute, University of Manchester, UK. He is a Chartered Psychologist and Chartered Fellow of the Chartered Institute for Personnel and Development. His teaching and research interests focus upon HR-related organizational change and development initiatives and he has published
widely on this subject.
B. Sebastian Reiche
is Professor and Department Chair in the Department of Managing People in Organizations at IESE Business School in Barcelona, Spain. His research focuses on the forms, prerequisites and consequences of global work, international HRM, global leadership and knowledge transfer. He is Associate Editor of Human Resource Management Journal and regularly blogs on topics related to expatriation and global work (http://blog.iese.edu/expatriatus).
Laurence Romani
is Associate Professor at the Stockholm School of Economics, Sweden. Her research investigates how to recognize and respect cultural differences (cultures, ethnicities, genders, etc.) and relate to the others in enriching ways for all involved. Laurence adopts a critical and feminist perspective to study cross-cultural and diversity management.
Chris Rowley , Kellogg College, University of Oxford and Cass Business School, City University, London. He is Editor of the Asia Pacific Business Review, Journal of Chinese HRM and Journal of International Trade and Commerce. He is book series editor of Asian Business and Management (WSP) and Working in Asia (Routledge). He researches and publishes on HRM and Asian business and management, has published over 600 articles, books and chapters and has given expert comments and interviews for international TV, radio and newspapers.
Jill Rubery
is Professor of Comparative Employment Systems, Alliance Manchester Business School, University of Manchester, UK and Director of the Work and Equalities Institute. She has published widely on comparative employment systems. Recent books include European Employment Models in Flux (2009) with Gerhard Bosch and Steffen Lehndorff, Welfare States and Life Course Transitions (2010) with Dominique Anxo and Gerhard Bosch, and Women and Austerity (2014) with Maria Karamessini.
Günter K. Stahl
is a Professor of International Management at WU Vienna. He served on the faculty of INSEAD from 2001–2009 and has held visiting positions at Duke University’s Fuqua School of Business, the D’Amore-McKim School of Business at Northeastern University, and the Wharton School of the University of Pennsylvania, among others. His current research interests include the drivers of corporate responsibility, the changing nature of global work, and the sociocultural processes in international teams, alliances, mergers and acquisitions. He is Senior Editor of the Journal of World Business, Academic Fellow of the Centre for International HRM at Judge Business School, University of Cambridge, and Fellow of the Centre for Global Workforce Strategy at Simon Fraser University.
Helene Tenzer
is Associate Professor of International Business at Tübingen University in Germany. Her research focuses primarily on multinational teams, language diversity in international management, and organizational behaviour. She has published on these topics in outlets such as the Journal of International Business Studies, Leadership Quarterly and Journal of World Business. In addition, she has founded a research network on language issues in management with currently over 100 international members.
Arup Varma (PhD, Rutgers University) is Professor of Human Resource Management at the Quinlan School of Business, Loyola University Chicago. His research interests include performance appraisal and expatriate issues. He has published over 50 papers in leading refereed journals and presented over 100 papers at leading international conferences.
Mary Ann Von Glinow is the Knight Ridder Eminent Scholar Chair in International Management and the CIBER Director at Florida International University. Mary Ann is former President of the Academy of International Business (2010), past President of the Academy of Management, and has authored 11 books and over 100 journal articles.
Malcolm Warner is Professor and Fellow Emeritus, Wolfson College, Cambridge and Cambridge Judge Business School, University of Cambridge. He is the author/editor of many books and articles on Asian management, OB and HRM, particularly on China. His latest works include: Understanding Management in China: Past, Present and Future (2014) and editor of The Diffusion of Western Economic Ideas in East Asia (2017). He is currently co-editor of the Asia Pacific Business Review.
Jean Qi Wei is a Lecturer at the Department of Management in Kingston University Business School, UK. She is also an academic member of the Chartered Institute of Personnel and Development (CIPD). Her specialist areas of interest include IHRM, rewards and performance management. Her work has been published in refereed academic journals, HRM text books, and national and international academic conferences.
Mengying Yu holds a MS in Integrated Marketing Communication from Loyola University Chicago. Her research interests include performance appraisal and expatriate adjustment. She is working on projects related to expatriate adjustment and plans to pursue a doctoral programme in the near future.
Abbreviations
AA affirmative action
CEE Central and Eastern Europe
CEO chief executive officer
CHRM comparative human resource management
CQ cultural intelligence
CSR corporate social responsibility
DM diversity management
DPE domestic private enterprises
EEOL Equal Employment Opportunity Law
e-HRM electronically enabled HRM
EI employee involvement
EMS electronic manufacturing services
EO equal opportunity
EU European Union
FDI foreign direct investment
FOE foreign-owned enterprise
GDP gross domestic product
GLOBE The Global Leadership and Organizational Behavior
Effectiveness research project
GVC Global Value Chain
HCN host country nationals
HQ headquarters
HRD human resource development
HRIS Human Resource Information Systems
HRM human resource management
IA international assignment
ICI Intercultural Communication Institute
ICT information and communication technologies
IHRM international human resource management
ILO International Labour Organization
IMF International Monetary Fund
JSC joint stock companies
M&A merger and acquisition
MNC multinational company
MNE multinational enterprise
NGO non-governmental organization
OECD Organization for Economic Cooperation and Development
OEM original equipment manufacturer
Off-JT off-the-job training
OJT on-the-job training
PCN parent country nationals
PMS performance management system
PRP performance-related pay
R&D research and development
ROI return on investment
SEZ special economic zone
SHRM strategic human resource management
SIETA Society for Intercultural Education, Training and Research
SOE state-owned enterprise
T&D training and development
TCN third country nationals
TMT top management team
TQM total quality management
UN United Nations
UNCTAD United Nations Conference on Trade and Development
WLB work–life balance
WLC work–life conflict
WTO World Trade Organization
Your Guide to this Book
Online Study Tools Highlight the availability of useful, supplementary online resources available on the book’s website: https://study.sagepub.com/ihrm5e.
Internet Resources Useful and relevant websites that will aid your understanding and be useful for research and assignments.
Learning Objectives Outline what you can expect to learn from each chapter.
Discussion Questions Stimulate in-class discussion and debate.
Case Studies About real organizations to help you understand how theory relates to what happens in reality.
Case Study Questions Help you to apply particular theories or ideas from the chapter to the case study.
Further Reading Brief outlines of key books and academic journal articles to help deepen your understanding.
Examples Illustrate the application of key concepts in practice within an international context.
Self-assessment Questions Test your understanding of key concepts; ideal for revision.
Stop and Reflect Boxes Encourage you to reflect on key theories and ideas discussed in the chapter.
Online Resources
Go Online
International Human Resource Management, 5th edition, edited by B. Sebastian Reiche, Anne-Wil Harzing and Helene Tenzer, is supported by a range of online resources for students and lecturers. Visit https://study.sagepub.com/ihrm5e to access the following:
For Students
Watch 29 SAGE Video clips aligned with the aims of each chapter, to help you grasp concepts quickly, digest content, and contextualize topics. Each video comes with critical thinking questions to help you extend your knowledge of a topic.
Weblinks with useful annotations can be accessed directly from the website by clicking on the links provided.
Free selected SAGE journal articles relating to the key topics in each chapter are available to further develop your understanding and support your reading.
Suggested answers to self-assessment questions in the book.
For Lecturers
PowerPoint slides featuring tables and figures from each chapter. Additional case studies relating to the key topics and concepts in the book.
Instructor’s manual including guidance notes on the discussion and/or case study questions within each chapter.
