RESOURCE MANAGEMENT MIDTERM
QUESTIONS AND ANSWERS
Internationalization of business - ANSWER-The ever increasing interaction,
interconnectedness and integration of people, companies, culture and countries
Internalization of business is driven by - ANSWER-- trade agreements
-search for new markets and reduced costs
- rapid and extensive global communication
-rapid development and transfer of new technology
-improving global education and global talent pool
- increased travel and migration
-knowledge sharing
-E-commerce
-Homogenization or culture and consumer demands
Difference between HRM and IHRM - ANSWER-IHRM includes
-Design and structure of the multinational enterprise
-international mergers, acquisitions, joint ventures and alliances
-International employment law, labor standards and ethics
- effects of culture on all aspects of HRM
Why is fostering commitment internationally more complex? - ANSWER-There are two
foci of commitment :
-The local subsidiary or supervisor
-The global organization and HQ management
Forms of staffing adjustments - ANSWER-- Work adjustment
-Cultural adjustment
-Interactional adjustment
Work adjustment - ANSWER-degree of comfort with job responsibilities and
performance expectations
Cultural adjustment - ANSWER-Degree of comfort with general living conditions,
climate, cost of living, and housing
Interactional adjustment - ANSWER-degree of comfort when socializing and interacting
with members of the host culture
, Organizational structure - ANSWER-formally dictates how jobs and tasks are divided
and coordinated between individuals and groups within the company
-An outcome
Organizational design - ANSWER-the process or style used by management to arrange
the components of structure
-A process
Functional structure - ANSWER-functional departmentalization and high centralization
-very efficient
-tend to be inflexible and insensitive to subtle differences across products regions or
clients
-most appropriate in stable predictable environments
-inappropriate for most MNEs
Divisional structure - ANSWER-Workflow departmentalization and low levels of
centralization
-not very efficient
-tend to be more flexible and innovative
-tend to be sensitive to subtle differences across products, regions, or clients
Global matrix structure - ANSWER-Involve two or more lines of reporting (local
supervisors and HQ)
-allows local and global realities to be reconciled
-can allow managers to pursue narrow objectives without regard for other legs of the
matrix
-can create divided loyalties
Elements of organizational structure - ANSWER--Work specialization
-Chain of command
-span of control
-centralization
-formalization
Work specialization - ANSWER-the degree to which tasks in an organization are divided
into separate jobs
Chain of command - ANSWER-answers the question "who reports to whom?" and
signifies formal authority relationships
Span of control - ANSWER-represents how many employees each manager in the
organization has responsibility for
Centralization - ANSWER-refers to where decisions are formally made in the
organization