Human Resource Management in International Companies Study Flashcards

A series of vocabulary flashcards covering the core concepts of International Human Resource Management, strategic alignment, global staffing, and the future of HR in the context of AI and digital transformation.} Ready for exam reviews.

Human Resource Management (HRM)

The management of the employment relationship, encompassing functions such as staffing, performance management, organizational change, administration, reputation, and employee well-being.

Strategic Human Resource Management (Strategic HRM / SHRM)

An approach that integrates HR practices with business strategy to ensure that people management supports the overall goals of the organization.

International Human Resource Management (IHRM)

The management of HR across borders, involving staffing across different countries, expatriation, compensation across systems, and navigating cultural and institutional differences.

Comparative HRM

The study of how HRM practices vary between countries due to socio-economic, institutional, and normative influences, such as pay, training, and collective representation.

Multinational Company (MNC)

An enterprise that operates in multiple countries and manages the tension between global integration and local responsiveness across its various units.

Alignment / Fit

The degree of vertical integration between HR practices and business strategy, and the horizontal integration between different HR practices to produce high-performance outcomes.

High-Performance Work Systems (HPWS)

Bundles of integrated HR practices designed to enhance the ability, motivation, and opportunity (AMO) of employees to contribute to performance.

AMO Framework

A logic stating that HR practices should be ability-enhancing, motivation-enhancing, and opportunity-enhancing to drive individual and team performance.

Globalization

The increasing integration of markets and competition for talent, putting pressure on organizations to converge on certain standards while remaining sensitive to local differences.

Institutional Environment

The external framework of laws, unions, education systems, and social norms that constrains and shapes HRM practices within a specific country.

Institutional Distance

The extent of difference between a headquarters country and a host country regarding market rules, education, and employee representation, which affects the transfer of HR practices.

Cross-cultural Management

The management of people and processes across diverse cultural contexts to avoid misunderstandings in selection, feedback, and mobility.

Organizational Culture

A pattern of shared basic assumptions learned by a group for external adaptation and internal integration, serving as an informal control system.

Employee Experience (EX)

The sum of all perceptions and journey touchpoints an employee has throughout their lifecycle with the organization, from onboarding to exit.

Cultural Intelligence (CQ)

The capability for awareness, interpretation, and adaptive behavior when functioning across different national and organizational cultures.

Global Staffing

The strategic policy of filling positions across an MNC using Parent-country nationals ($PCN$), Host-country nationals ($HCN$), and Third-country nationals ($TCN$).

Expatriate

A professional sent by an employer to work in a foreign location for a fixed period to facilitate international control, coordination, and knowledge transfer.

Repatriation

The process of returning an employee to their home country organization following the completion of an international assignment.

Localization

The adaptation of HR practices, such as pay structures and recruitment, to align with the local labor market, culture, and institutional rules of a host country.

Workforce Planning

The cycle of understanding organizational direction and environment to forecast future demand and supply, identify gaps, and create action plans for staffing.

Competency Model

A defined set of knowledge, skills, behaviors, and abilities ($KSAOs$) that unify recruitment, development, and performance standards across an organization.

Talent Management

The systematic identification of key positions and the development of talent pools to fill strategically important roles that provide a sustainable advantage.

Performance Management

A continuous process of identifying, measuring, and developing the performance of individuals and teams and aligning that performance with strategic goals.

Total Reward

A comprehensive package including monetary (base and variable pay) and non-monetary (wellbeing, recognition, development, and benefits) components.

HR Analytics

The systematic use of employee-related data to turn numbers into meaningful insights for optimizing HR processes and making evidence-based business decisions.

People Judgment

A meta-skill for managers that involves interpreting facts and observable behaviors to make sound decisions about hiring, growth, and performance.

Digital Trust

The level of confidence in the integrity, security, and authenticity of digital data, AI-supported outputs, and identity authentication systems.

Human-centric AI

An approach to artificial intelligence that prioritizes the redesign of roles, workflows, and culture to focus on the human advantage rather than just adding technological tools.

Cultural Debt

The accumulation of distrust or damaged norms that occurs when organizations implement technology or AI without considering the impact on human relationships and cohesion.

9-Box Grid

A practical tool used in succession planning and talent management to position employees based on their current performance and future leadership potential.