Globalization and Human Resources Management

Abstract

As a result of globalization, many firms have begun to compete on a worldwide basis. This situation has led Human Resources Management (HRM) to gain more importance in the global arena and “international HRM” field. Over the past few decades, international HRM has gained considerable attention from both academicians and practitioners. The increasing globalization of business has required organizations to manage their workforces effectively. Managing a foreign workforce can differ drastically from managing a domestic one. HRM in the international context requires managing diverse workforces originating from different nationalities with various cultures. Therefore, workforce diversity has become increasingly important for organizations that plan to expand into global markets and target different consumer groups. Organizations can adopt different approaches for managing their workforces and every function of HRM systems should be designed consistent to the workforce diversity of the organization. The purpose of this chapter is to investigate the concept of international HRM and diverse workforce in global organizations. Additionally, the importance of managing diverse workforces effectively in global organizations in the context of HRM functions and the role of HRM in this process will be discussed briefly.