Human Resource Management in Context

Human Resource Management in Context
(NUI Galway Module Name = Global Business and HR in Context)
MG6101

Group Assignment

You will be assigned into groups of between 5 to 7 students per group. You must answer all 3 questions. The maximum length for this assignment is 5,000 words. Your Team Charter must be included in the Appendix and the Peer Assessment must also be submitted [LO11].

LOs assessed: 1, 2, 3, 4, 5, 6 & 11

Assignments are due by 5pm on 28th November to Gerry Campbell.

1.   Globalisation as a phenomenon has been the subject of much positive and negative debate.
(a)   Critically assess the key debates about globalisation;
(b)   How does globalisation influence the debate about HR strategy (e.g., vertical and horizontal integration; best practice; best fit; the resource based view of the firm)? See Maura’s lecture Week 6 [LO1; LO3; LO5].

2. (a) Critically examine the implications for managing people that arise from key demographic trends (focus on one or two key demographic trends such as rising ethnic diversity, migration, a multi-generational work force); (b) Are there any ‘best practices’ that you would implement if managing such a diverse work force and why?. See Maura’s lectures Weeks 7 & 11 [LO2; LO4 & LO6].

3. (a) Critically examine the various factors which have shaped the evolving role of the Multinational Subsidiary unit, particularly over the past twenty years; (b) Critically assess the sufficiency of having an R&D function alongside attractive network relationships in sustaining subsidiary role development, in the context of a footloose high-technology multinational operating in the Irish context.

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MG6101
Global Business and HR in Context

INTRODUCTION

Traditionally several recurrent themes can be seen in the international business literature,
including the rationales for multinational firms, the process of internationalisation, entry
modes for international expansion, location decisions, and the management of international
subsidiaries. At the turn of the 21
st
century many forces have combined to change the
face of international business. Several of these forces are loosely coupled under the rubric
of ‘globalisation’. These include the expansion of global finance and financial markets,
spread of knowledge facilitated by improved communication, the widespread use and
availability of technology, the active expansion of multinational firms, the decoupling and
decentralisation of economic activities within and between firms, the blurring of nationality
of multinationals, and the emergence of regions and regional identities that transcend
borders. Added to this list today would be the rise of electronic communities over the
internet, and the fact that nations accounting for nearly one-half of the world’s population
(incl. China, India, South Africa, former Eastern bloc) have either entered or have
dramatically changed their relationship to the world economy raises many challenges to
traditional thinking on international business.

Given this context, a key purpose of this course is to examine the changing trends at the
heart of the globalisation ‘dispute’, and examine the countervailing dynamics of the forces
of globalisation, both from the macro (environment), micro (organisational, in particular,
within MNCs) and managerial perspectives. In terms of the managerial perspective,
another key objective is to familiarise you with the key competencies that Human Resource
(HR) professionals and managers need in order to effectively operate within such
increasingly complex environments. Another important objective is to provide you with an
understanding of the interface between the external environments in which organisations,
in particular, MNCs operate – including the competitive environment and the influence of
government policies and legal regulation.

INTENDED LEARNING OUTCOMES

On completion of this course, learners will be able to understand, analyse and critically
evaluate the following learning outcomes (LOs):

1. Contemporary organisations and their principal environments
2. The managerial and business environment within which HR professionals work
3. How organisational and HR strategies are shaped by and developed in response to
internal and external environmental factors
4. The market and competitive environments of organisations and how organisational
leaders and the HR function respond to them
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5. Globalisation and international forces and how they shape and impact on
organisational and HR strategies and HR practices
6. Demographic, social and technological trends and how they shape and impact on
organisational and HR strategies and HR practices
7. Government policy and legal regulation and how these shape and impact on
organisational and HR strategies and HR practices
8. The business, cultural and managerial environment within which HR professionals
and MNC subsidiary managers work and the implications for the delivery of effective
management practices
9. The nature and scope of the (networked) MNE, structures and processes in a global
world & the importance that managerial engagement, and potential
10.The role of the manager in international business in shaping and developing strategy
in a differentiated MNE, and his/her role in combining and leveraging resources on a
global scale.
11.The effective management of interpersonal relationships.

TAUGHT SESSIONS

Weekly, the course comprises 3 hours lecture(s) plus class discussions, seminars, and in-class
exercises.

Classes are Tuesdays, 9-12. 9-11, Room AM200 & 11-12, Room AM150.

Wednesday, 1 October, 9:30-1:30, Westwood Hotel: ½ day seminar on Effective
Management of Interpersonal Relationships (LO11). Attendance is mandatory.

*Wednesday, 22

Global Business MG6101

Week 1: Week of 8 September (JI; MS – Introduction) [LO1]

Introduction to Course and Globalisation Business: Definitions & Debates

This week is intended to introduce students to the context of global business, definitions,
institutions, regional blocs and triadisation, and to provide a foundation for the remainder of
the remainder of the course.

Required Readings:

Peng, Global Business, Ch 1 and 2.

Farnham, Ch 6 (Markets and Competitive Context)

Farnham, Ch 7 (Globalisation & International Factors)

Dunning, J. (1989). ‘The study of international business: a plea for a more interdisciplinary
approach’, Journal of International Business Studies, Vol. 3: 1-24.

Rugman, A.M. and Verbeke, A., and O.T.K. Nguyen (2011). ‘Fifty years of
International Business Theory and Beyond’, Management International
Review, 52: 755-786.

Supplemental Readings:

Peterson, M., Arregle, J.-L., and Martin, X. (2012). ‘Guest Editorial: Multilevel models in
international business research’, Journal of International Business Studies, Vol. 43: 451-457.

Week 2: Week of 15 September (JI) [LO1]

Trade Agreements, Institutions, policies, national and regional
competitiveness, government policy & regulation

This session will examine the latest trends which characterize the dynamics of the
international business environment and which affects the behaviour of those companies
operating in this environment.

Required Readings:

Farnham, Ch 10 (Government Policy; excluding regulation of employment)

Alon, I. and Herbert T.T. (2009). ‘A stranger in a strange land: micro political risk and the
multinational firm’, Business Horizons, March, Vol, 52 Issue 2, pp. 127-137.

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Holburn, G.L. and Guy L.F. and B.A. Zelner. (2010). ‘Political Capabilities, policy risk, and
international investment strategy: evidence from the global electric power generation
industry’. Strategic Management Journal,Vol 31, Issue 12, pp.1290-1315.

Rugman, A. and O.H. Chang (2008). ‘Friedman’s Follies: Insights on the
Globalization/Regionalization Debate’, Business & Politics, Vol 10 Issue 2, pp 1-14.

Rugman, A. (2003). ‘Regional strategy and the demise of globalization’,
Journal of International Management, Vol 9, Issue 4 pp. 409-417.

Week 3: Week of 22 September (JI)

Theories of the Multinational Enterprise & Theories of Location

The purpose of this session is to provide conceptual understanding and theory of the MNE
that can serve as a basis for practical evaluation and performance of those companies.

Required Readings:

Hennart, J-F. (2009). ‘Theories of the Multinational Enterprise’, The Oxford Handbook of
International Business (2 ed). Edited by Alan Rugman. London: Oxford University Press, pp.
125-145.

Pearce, R. and M. Papantassiou (2006). ‘To ‘almost’ see the world: Hierarchy and strategy
in Hymers’ view of the multinational’, International Business Review, April, Vol15 Issue 2,
pp. 151-165.

Buckley, P.J. and Strange, R. (2011). ‘The Governance of the Multinational Enterprise:
Insights from Internalization Theory’, Journal of Management Studies, Vol. 48 Issue 2,
pp.460-470.

Buckley, P.J. (2011). ‘Internalisation thinking: From the multinational
enterprise to the global factory’, International Business Review, June, Vol 18
Issue 3, pp 224-235.

Week 4: Week of 29 September (JI)

Leveraging Capabilities for Competitiveness

The purpose of this session is to give an overview of managing utilising capabilities to
maintain competitiveness and internal organisation in a multinational enterprise. The
session then examines multinational strategies and structures.

Required Readings:

Peng, M. Global Business, Chs 4 and 13.
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Augier, M. and Teece, D. (2007). ‘Dynamic Capabilities and multinational enterprise :
Penrosiam insights and omissions’, Management International Review, Vol. 47, pp. 175-192.

O’Reilly, C.A. and Tushman, M. (2004). ‘The ambidextrous organisation’, Harvard Business
Review, Vol. 82, No. 4, pp. 74-81.
Prange, C. and Verdier, S. (2011). ‘Dynamic Capabilities, internationalisation processes and
performance’, Journal of World Business, Vol. 46, pp. 126-133.

Weerawardena, J. et al. (2007). ‘Conceptualising accelerated internationalization in the
born global firm : a dynamic capabilities perpective’, Journal of World Business, Vol. 42 ,
pp. 294-306.

1 October – ½ day workshop on Managing Interpersonal Relationships LO11)

Week 5 : Week of 6 October (MS)

Human Resource Management: An Overview of External Contexts

LOs Covered : LO2; LO3 (external factors); L07

Required Readings:

Farnham, Ch 1 (External Contexts); Ch 7 (Globalisation, HR strategy & HR solutions, p. 326
– 329) & Ch 10 (pp. 445-453 (Legal Regulation & Regulation of Employment))

Deadrick, D. & Stone, D. (2014), ‘Human Resource Management: Past, present and future:
Introduction to Special Issue’, Human Resource Management Review, Vol. 24: 193-195.

Mayrhofer, W., Brewster, C., Morley, M. & Ledolter, J. (2011), ‘Hearing a different drummer?
Convergence of Human Resource Management in Europe – A longitudinal analysis’, Human
Resource Management Review, Vol. 21: 50-67.

OCED (2013). ‘Protecting jobs, enhancing flexibility: A New look at employment protection
legislation’. Ch 2 in OECD Employment Outlook 2013. Available at:
http://www.keepeek.com/Digital-Asset-Management/oecd/employment/oecd-employment-outlook-2013/protecting-jobs-enhancing-flexibility-a-new-look-at-employment-protection-legislation_empl_outlook-2013-6-en#page1

Supplemental Readings:

CIPD (2014). Labour Market Outlook: Summer 2014.

CIPD (2013). Understanding the Labour Market.

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Week 6 : Week of 13th October (MS)

Human Resource Management: An Overview of Internal Contexts

LOs Covered : LO1 ; LO3 (internal factors); L05

Required Readings:

Farnham, Ch 2 (Internal Contexts); Ch 3 (Managerial and Business Contexts); & Ch 5 (HR
Strategies).

Bjorkman, I., et al. (2014), ‘From HRM practices to the practice of HRM: setting a research
agenda’, Journal of Organisational Effectiveness: People and Performance, Vol. 1, No. 2:
122-140.

Sikora, D. & Ferris, G. (2014), ‘Strategic Human Resource Practice Implementation: The
Critical Role of the Line Manager’, Human Resource Management Review, Vol. 24: 271-281.

Ulrich, D., et al. (2008), ‘The Twenty-First-Century HR Organization’, Human Resource
Management, Vol. 47, No. 4: 829-850.

Supplemental Readings:

DeNisi, A., Wilson, M. & Biteman, J. (2014), ‘Research and Practice in HRM: A Historical
Perspective’, Human Resource Management Review, Vol. 24: 219-231.

Jarzabkowski, P., Balogun, J. & Seidl, D. (2007), ‘Strategizing: The Challenges of a Practice
Perspective’, Human Relations, Vol. 60, No. 1: 5-27.

Jiang, K., Takeuchi, R. & Lepak, D. (2013), ‘Where do we go from here? New Perspectives on
the Black Box in Strategic Human Resource Management Research’, Journal of Management
Studies, Vol. 50, No. 8: 1448-1480.

Week 7 : Week of 20th October (MS)

Demographic, Social & Technological Trends & the Role of HR

LOs Covered : LO2; LO6

Farnham, Ch 8 & 9

Required Readings:

Workplace Diversity:

Kochan, T., et al. (2003), ‘The effects of diversity on business performance:
report of the diversity research network’, Human Resource Management, Vol.
42, No. 1, pp. 3-21.

Ortlieb, R. & Sieben, B. (2014), ‘The making of inclusion as structuration:
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Empirical evidence of a multinational company’, Equality, Diversity and
Inclusion, Vol. 33, No. 3: 235-248.

Ortlieb, R & Sieben, B. (2013), ‘Employment Strategies and Business Logic:
Why do companies employ ethnic minorities?’, Group and Organizational
Management, Vol. 38, No. 4: 480-511.

Von Bergen, C.W. (2005), ‘Workplace Diversity and Organisational
Performance’, Equality, Diversity and Inclusion, Vol. 24, No 3-4: 1-17.

Managing across Generations:

CIPD (2010), Managing an ageing workforce : how employers are adapting to an older
labour market.

Kunze, F. et al. (2013), ‘Organizational Performance Consquences of Age Diversity :
Inspecting the role of Diversity-Friendly HR Policies and Top Managers’ Negative Age
Stereotypes’, Journal of Management Studies, Vol. 50, No. 3 : doi : 10.1111/joms. 12016.

Parry, E. et al (2014). Insights into Time & Place Management : How do the effects of
HRM practices differ by age & gender?. The Sloan Center on Aging & Work at Boston
College.

Winter, R & Jackson, B. (2014), ‘Expanding the Younger Worker Employment
Relationship : Insights from values-based organizations’, Human Resource Management,
Vol. 53, No. 2 : 311-328.

Supplemental Readings:

Workplace Diversity:

Joshi, A. Liao, H. & Jackson, S. (2006), ‘Cross-level effects of wokrplace diversity on sales
performance and pay’, Academy of Management Journal, Vol. 49, No. 3 : 459-481.

Ortlieb, R., Sieben, B & Sichtmann, C. (2014), ‘Assigning migrants to customer contact
jobs: a context specific exploration of the business case for diversity’, Review of
Managerial Science, Vol. 8, No. 2: 249-273.

Managing across Generations:

Joshi, A, et al. (2011), ‘Generations in Organizations’, Research in Organizational
Behavior, Vol. 31: 177-205,

McCarthy, J. (2010). Mind the Gap : Ireland Employer. The Sloan Center on Aging &
Work at Boston College.

McNair, S. et al. (2007). Employer Responses to an ageing worforce : a qualitative study.
Departmnet for Work and Pensions. Research Report No. 455 (Skim read).

Vickerstaff, Sarah and Baldock, John C. and Cox, Jennifer et al. (2004), ‘‘Happy
Retirement? The Impact of Employers’ Policies and Practice on the Process of Retirement.
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Policy Press, Bristol, UK ISBN 9781861345844. On-line.

See also, The International Journal of Human Resource Management, Special Issue on
changing demographics at work, 2011, Vol. 22, Issue 6.

½ Day workshop Westwood Hotel, Wednesday October 22nd.

Week 8 : Week of 27th October (JI)

The purpose of this session is to critically assess different modes of foreign entry for MNEs,
including how these modes may be affected by being an emerging economy. The
performance implications for MNEs of entry modes is also examined.

Required Readings:

Peng, M. Global Business, Chapters 9 and 11.

Brouthers, K. and Hennart, J-F (2007). ‘Boundaries of the Firm : Insights from International
Entry Mode Research’, Journal of Management, Vol. 33, No. 3 : 395-426.

Cantwell, J. et al. (2010). ‘An evolutionary approach to understanding international business
activity : The co-evolution of MNEs and the institutional environment’, Journal of
International Business Studies, Vol. 41 : 567-586.

Chang, S-J, Chung, J. and Moon, J.J. (2013). ‘When do wholly owned subsidiaries perform
better than join ventures’, Strategic Management Journal, Vol. 34 : 317-337.

Supplementary :
Chang, S-J and Rosenzweig, P. (2001), ‘The choice of entry mode in sequential foreign
direct investment’, Strategic Management Journal, Vol. 22 : 747-776.
Gaur, A., Kumar, V. and Singh, D. (2014, forthcoming), ‘Institutions, resources and
internationalisation of emerging economy firms’, Journal of World Business.

Week 9: Week of 3 November (JI)

Location and the Multinational Enterprise

This purpose of this session is to compare and contrast the resource and institutional views
of why FDI takes place, with a particular focus on firm-location interactions.

Required Readings :

Beugelsdik, S. and Mudami, R. (2013). ‘MNEs as border-crossing multi-location enterprises :
The role of discontinuities in geographic space’, Journal of International Business Studies,
Vol. 44 : 413-426.

Dunning, J. (2009). ‘Location and the multinational enterprise: John
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Dunning’s thoughts on receiving the Journal of International Business Studies 2008 Decade
Award, Journal of International Business Studies, Vol. 40: 20-34.

Cantwell, J. and R. Mudambi, (2011). ‘Physical Attraction and the geography of knowledge
sourcing in multinational enterprises’, Global Strategy Journal, Nov, Vol (1), Issue 3-4, p
206-232).

Alcacer, J. and W. Chung (2011). ‘Benefitting from location : Knowledge retrieval’, Global
Strategy Journal, Oct, Vol (1), Issue 3-4 p 233-236

Week 10 : Week of 10 November (JI)
Subsidiary Strategy, Subsidiary Initiative and Subsidiary Value Added to
MNEs

This purpose of this session is to comprehend and appreciate the role of the manager in
international business in shaping and developing strategy in a differentiated MNE and to
manage potential conflict between HQs and subsidiaries.

Peng, M. Global Business, Chs 10 and 12.

Ambos, T.C. and Andersson, U. and Birkinshaw, U. (2010). ‘What are the Consequences of
initiative-taking in multinational subsidiaries ?’ , Journal of International Business Studies,
Sep, Vol. 41 Issue 7, p 1099-1118.

Anderson, U. et al. (2007). ‘Balancing subsidiary influence in the federative MNC : a
business network view’, Journal of International Business Studies, Vol. 38, p. 802-818.

Dellestrand, H. and Kappen, P. (2012). ‘The effects of spatial and contextual factors on
headquarters resource allocation to MNE subsidiaries’, Journal of International Business
Studies, Vol. 43, p. 219-243.

Mudambi, R. et al. (2014). ‘How subsidiaries gain power in multinational corporations’,
Journal of World Business, Vol. 49, p. 101-113.

Week 11 : Week of 17 November (MS)

Leveraging Capabilities for Competitiveness : Key HR competences for global HR
practitioners & Review of Maura’s topics

LOs covered : LO4 & LO5 (finish)

Note : Farnham book captures issues around HR competencies for various topics covered
in the Conclusion of each chapter.

Required Readings:

CIPD (2013), Beyond the Organisation, Part 1 of 2 : Understanding the Business issues in
Partnering Arrangements & Part 2 of 2 : Organising HR for Partnering Success. London :
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CIPD.

Long, C. & Ismail, W. (2011), ‘An Analysis of the relationship between HR professionals’
competencies and firm performance in Malaysia’, The International Journal of Human
Resource Management, Vol. 22, No. 5 : 1054-1068.

Makela, K. et al. (2013), ‘Explaining stakeholder evaluations of HRM capabilities in MNC
subsidiaries’, Journal of International Business Studies, Vol. 44 : 813-832.

Welch, C & Welch, D. (2012), ‘What do HR Managers Really Do ? HR Role on International
Projects’, Management International Review, Vol. 52 : 597-617.

Supplemental Readings:

Boselie, P. & Paauwe, J. (2004), ‘Human Resource Function Competencies in European
Companies’, Personnel Review, Vol. 34, No. 5 : 550-556.

Long, C. et al. (2013), ‘The role of change agent as mediator in the relationship between
HR competencies and organisational performance’, The International Journal of Human
Resource Management, Vol. 24, No. 10 : 2019-2033.

Makela, K. et al. (2012), ‘Determinants of Strategic HR Capabilities in MNC subsidiaries’,
Journal of Management Studies, Vol. 49, No. 8 : 1459-1483.

Week 12 : Week of 24 November (JI)

Evolution, Growth, Knowledge & Innovation Management & Review of Josephine’s Topics

The purpose of this session is to develop a critical understanding of how the MNE as an
entity evolves and grows and to examine the critical role of knowledge exchange and
innovation in this evolution.

Required Readings:

Kay, N. (2005). ‘Penrose and the Growth of International Firms’, Managerial and Decision
Economics, Vol. 26 , pp. 99-112.

Ciabuschi, F. and Forsgren M. and O.M. Martin (2011). ‘Rationality vs ignorance : The role
of MNE headquarters in subsidiaries’ innovation processes’. Journal of International Business
Studies, Sept, Vol 42 Issue 7, pp. 958-970.

Meyer, K.E. and Mudambi, R. and R. Narula, (2011). ‘Multinational enterprises and local
contexts : The Opportunities and Challenges of Multiple-Embeddedness’. Journal of
Management Studies, March, Vol. 48 Issue 2, pp. 235-252.
Collinson, S. and R. Wang, (2012). ‘The evolution of innovation capability in multinational
enterprise subsidiaries : Dual network embeddedness and the divergence of subsidiary
specialisation in Taiwan.’, Research Policy, Nov, Vol 41, Issue 9, pp.1501-1518.

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E-learning

A course web is available at http://blackboard.nuigalway.ie. All course material is available
on Black Board.

ASSESSMENT

T h i s c o u r s e i s a s s e s s e d b y :

E n d   o f   Y e a r   E x a m i n a t i o n   ( 2   h o u r s ) 60%
T e a m   C o n t i n u o u s   A s s e s s m e n t :   4 0 %   ( 5 %   p e e r   a s s e s s m e n t ) 5, 0 0 0
w o r d s ,   m a x i m u m

Marks will be awarded according to how far you write full, direct, original and well-informed
answers to the questions we have asked, and the extent to which your work is appropriately
referenced and professionally presented.

 A full answer addresses all parts of each question, providing a substantial and
considered response in each case.

 A direct answer provides an unequivocal response to the question we have asked,
focusing wholly on points that are relevant.

 An original answer contains an argument (or arguments) that has been developed and
justified by you after thinking and reading about the subject.

 A well-informed answer contains strong evidence that you have read widely and
appropriately when preparing your response to the question, including where possible
robust, research findings that have been published in peer reviewed journals.

 An appropriately-referenced answer attributes all the sources of literature you have
used when preparing it, citing points and quotations in the text.

 A professionally presented answer is clearly-expressed using well-constructed
sentences and paragraphs, has a clear structure and is grammatically accurate.