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The Model Construction And Empirical Study On The Strategic International Human Resource Management Of Multinational Enterprise In Shanghai Area

Posted on:2006-03-19Degree:DoctorType:Dissertation
Country:ChinaCandidate:Y K LiaoFull Text:PDF
GTID:1116360155960492Subject:Business management
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This research , based on these theories of International Business Management, Strategy Management and Human Resource Management (HRM) , constructs the model of Strategic International Human Resource Management ( SIHRM ) of Multinational Enterprises ( MNEs ) and mainly develops two train of thoughts to study two problems, which are :1) Under the factors of environment variable, how to integrate the scarce and unique human resource to obtain business performance?2) Under the factors of International Human Resource Strategy (IHRS) , how to choose the control style to face the market imperfection and the principal and agent problems of expatriates, in order to achieve business performance?Therefore, this research, based on Resource-based view ( RBv ) , constructs the linkage of Environment-Strategy-Performance, and based on Trade Cost Economics ( TCE ) and Principal Agent Theory ( PAT ) , constructs the linkage of Strategy-Control-Performance. This research adopts the survey method and analyses 120 available samples of sub-company of MNEs in Shanghai area, and finds out the relation among these variables.The findings of this research are as following:1. The higher degree of local resource is, the more MNEs trend to adopt the International Human Resource Strategy of "Following Home Company" to achieve business performance.2. The higher degree of environmental uncertainty and cultural diversity is, the more MNEs trend to adopt the International Human Resource Strategy of "Local Reaction" to achieve business performance.3. When MNEs adopt the International Human Resource Strategy of"Following Home Company", they would tend to utilize "the Control of Staffing and Training" .4. When MNEs adopt the International Human Resource Strategy of "Local Reaction" , they would tend to utilize "the Control of Performance" and"the Control of Rewards" .5. The talent localization in the sub-company of MNEs in Shanghai area is progressing. Along with the length of setup period, the step of international process and the employee scale, the number of expatriates appears thereducing tendency slowly.6. The process of talent localization for European and American MNCs in Shanghai develops more mature than others.In the cluster analysis to IHRS, this research follows "Following Home Company" and "Local Reaction" to divide IHRS into 4 clusters : Noninterference Style - Regional Control Style , Headquarters Control Style and Double-track Style. This research, from the literature review and research findings, raises that the mediate function of "Local Reaction" seems to be significant to one of "Following Home Company" ; therefore, the issue of "Local Reaction" advocated by many scholars and specialists.Based on this finding, this research produces the three kinds of optimizing developmental path for Noninterference Style to enhance international competitive ability and attain high performance. The first path goes forwards to Headquarters Control Style, then to Double-track Style. The second path goes forwards to Regional Control Style, then to Double-track Style. The third path goes forwards to Double-track Style directly. Others, those of sub-company, whose IHRS locates Headquarters Control Style, should plan future optimizing development to react locally step by step, with the period of sub-company setting in the host country and the process of internationalization. There are two optimizing development path: one is to increase the degree of "Local Reaction" and reduce the degree of "Following Home Company", and go forwards to IHRS of Regional Control Style ; the other is to increase the degree of "Local Reaction" and "Following Home Company", go gradually to IHRS of Double-track Style.This research finds out the linkage of IHRS and "Control". The higher degree of "Following Home Company" the IHRS of sub-company tend to, the more control mechanics of staffing and training it adopts. But, this control mechanics couldn't link to business performance; just enhance the control function from Headquarters to sub-company. The other sides, the higher degree of "Local Reaction" the IHRS of sub-company access to, the more control mechanics of appraisal and rewards it adopts, and this control mechanics could link to higher business performance.Finally, this research suggests Chinese enterprise could take the international experience of foreign-funded enterprises for reference, and develops IHRS from inside to outside, from short-term to long-term. Firstly, it should enhance Headquarters' management abilities and culture to increase its extending control ability to sub-company. Secondly, it should cultivate team with international views and improve expatriate management, in order that it couldn't lack of international human resource to manage foreign sub-company. Finally, its foreign sub-company has funded after several years and its local human resource has gowned and nurtured by...
Keywords/Search Tags:MNEs, Strategic International Human Resource Management ( SIHRM ), International Human Resource Strategy (IHRS ), International Human Resource Control, Talent localization, Internationalization of Chinese Enterprise
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