International Human Resource Management, 7th edition

Citation

Agazu, B.G. and Birbirsa, Z.A. (2024), "International Human Resource Management, 7th edition", European Journal of Training and Development, Vol. 48 No. 3/4, pp. 478-481. https://doi.org/10.1108/EJTD-05-2024-212

Introduction

The reviewers chose a single book in titled International Human Resource Management, 7th Edition was written by Peter J. Dowling, Marion Festing and Allen D. Engle, Sr. and published in 2017 G.C. The purpose of this book review was to better comprehend international human resource (HR) management, as well as to assess the claims made in the texts’ arguments, theories and assessments of the relevant scientific literature. It also aimed to give readers a critical evaluation of the book’s value. For three primary reasons, we favor this book for a critical evaluation. First, the book offers a deeper understanding of the process of conducting functional areas of international HR management in an easy-to-follow narrative accessible to researchers and novices alike. Second, the 2017 publication of the book offers a good opportunity to observe current research trends and developments from both theoretical and empirical perspectives. Last but not least, the book addressed every aspect of structuring the intricacies unique to HRM activities in MNEs in a way that gives instructors (of both undergraduate and graduate students) a genuine choice in how they would present the content.

There are ten chapters in the book. The chapters contain a few of the international HR management (IHRM) in action cases. These will aid students in better understanding the chapter’s models and guiding concepts and in applying them to a variety of situations or circumstances. The eight in-depth instances at the end of the text offer a variety of in-depth applications for all of the key functional areas of IHRM. They were either produced by the co-authors or requested from international specialists. While properly depicting the compelling realities faced by HRM professionals in MNEs, they have attempted to strike a balance that is meaningful and suitable to the diverse cultures represented by possible adopters and readers, and across educational traditions, institutions and formats. Generally, with tri-continental representation from the Asia Pacific, Europe and North America, the author team continues to be a remarkable example of collaborative work (across a substantial number of time zones) in the 21st century.

Theoretical foundation

The book begins on the first chapter has been to provide an overview of the emerging field of international HRM. They are defining key terms in IHRM and considering several definitions of IHRM, introducing the historically significant issue of expatriate assignment management and reviewing the evolution of these assignments to reflect the increasing diversity with regard to what constitutes international work and the type and length of international assignments, outlining the differences between domestic and international HR management by looking at six factors which differentiate international and domestic HR (more HR activities; the need for a broader perspective; more involvement in employees’ personal lives; changes in emphasis as the workforce mix of expatriates and locals varies; risk exposure; and more external influences) and detailing a model which summarizes the variables that moderate these differences and presenting the complexity of IHRM, the increasing potential for challenges to existing IHRM practices and current models, and an increasing awareness of the wide number of choices within IHRM practices due to increased transparency and faster and more detailed diffusion of these practices across organizational units and firms.

Finally, this book, the international dimensions of HRM is examined, drawing on the HRM literature and concluded that the complexity involved in operating in different countries and employing different national categories of employees is a key variable differentiating domestic and IHRM, rather than any major differences between the HR activities performed.

To better understand the complexity of these decisions and build appropriate solutions, Chapter 2 conducted a systematic assessment of the environment of international HRM decisions. Definitions of culture, cultural notions, findings from studies on intercultural management, including those conducted by Hofstede, the GLOBE project and others, thoughts on cross-cultural management research and a discussion of the evolution of cultures are some of the topics covered. These ideas are crucial for creating a more thorough comprehension and justification of the complexity of global HRM. Finally, summarizes ideas about the cultural context and gives examples of environmental differences which could lead to problems when MNEs attempt to introduce worldwide-standardized HRM practices

In Chapter 3, the pressures that globalization places on management and the variables that affect how managers of globalizing companies handle these issues. The HR function does not exist in a vacuum; HR actions are influenced and dictated by organizational circumstances. Standardization and localization difficulties, structural responses to global growth, control and coordination mechanisms, including cultural control and the impact of responses on methods and practices for HR management are the focus of these areas. It was demonstrate that there is an interconnection between IHRM approaches and activities and the organizational context, and that HR managers have a crucial role to play. To better perform this role, it would seem important that HR managers understand the various international structural options, along with the control and co-ordination demands imposed by international growth.

The demands placed on management by MNEs’ international expansion were discussed in Chapter 4. In this chapter, the IHRM implications of other modes of international operations become our center of interest. Consequently, we move from an internal perspective on structure, control mechanisms and managerial responses to a global perspective which includes external partners. These, extended the discussion about the organizational context of MNEs conducted to other organizational forms, which pose specific problems to IHRM, i.e. cross-border alliances and globalizing SMEs. Cross-border M&As have seen a tremendous growth in the course of globalization.

Chapter 5 has focused on Sourcing Human Resources for Global Markets – Staffing, Recruitment, and Selection. The chapter discusses the issues examine the various approaches taken to staffing international operations and the allocation of HR to the various international operations of the firm to ensure effective strategic outcomes. The pivotal role of international assignments is outlined and concentrates on recruitment and selection as major influence factors on the success of global assignments.

Chapter 6 compiles the pertinent research on international performance management in relation to IHRM. Although the focus is expanding, the emphasis is still on the subsidiary setting, reflecting the literature’s historical bias in favor of subsidiary management in international business and performance management. The strategy is to identify the elements imposed by international operations that call for a significant alteration of traditional performance management, including appraisal criteria, the responsibilities of various actors in the processes and the processes themselves. It has been helpful to remind us that there are many aspects of international business operations that need to be taken into consideration when designing an effective performance management system in the multinational context by extending the discussion to the level of the multinational and addressing performance management and appraisal concerns related to nonexpatriates and those on nonstandard assignments.

International Training, Development, Careers, and Talent are discussed in Chapter 7. It was concentrated on the issues relating to training and developing expatriates for international assignments and the repatriation process. Training strives to improve employees’ current work skills and behavior, whereas development increases skills in reference to a future position or employment. The reasons why overseas assignments continue to play a strategic role in international corporate operations are represented in this chapter’s discussion of how the international assignment is a vehicle for both training and growth. Additionally taken into consideration is the function of training in assisting and preparing employees for overseas assignments. The final section of the chapter discusses the postassignment period and how it affects employees who have been on an international assignment more broadly in terms of their careers. Both the expatriate and the MNE have problems upon returning home, some of which may be related to things that happened while they were on assignment abroad.

Chapter 8 discussed how recent changes in global compensation patterns have taken place well outside of the initial scope of expatriate pay. In addition to explicitly connecting performance outcomes with related costs, compensation is increasingly seen as a primary source of corporate control, a mechanism for fostering a global corporate culture, and the hub of public discourses on important aspects of corporate governance in a global setting. This chapter looked at the challenges businesses face when switching from domestic compensation to compensation in an international setting. According to our analysis, compensation policy becomes a considerably less exact process than it is in the context of domestic HR.

In this chapter, we have addressed a variety of institutional difficulties that confront MNEs in the worldwide setting in which they conduct their business. Chapters 9 were about international industrial relations and the global institutional context. In terms of international labor relations, the debate over the creation of regional economic blocs like the European Union and the Asia Pacific Economic Cooperation reinforces the idea that trade unions have not yet achieved transnational collective bargaining.

IHRM trends and future problems are discussed in Chapter 10, which identifies current trends and potential future developments in the following areas: international business ethics and HRM, IHRM and operational mode, safety, security and terrorist concerns. Ownership issues pertaining to IHRM obligations of firms other than the huge multinational. This chapter focused on the effects that the process of internationalization has on the activities and policies of HRM as well as IHRM concerns related to managing people internationally.

Evaluations on the strength and weakness of the book

The book’s goal is to investigate the effects that internationalization is having on HRM practices and regulations. The book’s ten chapters and 361 pages are organized well. A glossary, index and nine in-depth case studies produced by the authors and international specialists are included in this book. They offer a range of in-depth applications for all of the key functional areas of IHRM. This book provides a thorough overview of some of the present and emerging difficulties addressed when managing HR in international organizations (MNEs). The book effectively promotes critical awareness as opposed to merely exploring IHRM topics. Through the choice of instances and the content of the chapters, the author team benefits the target audiences. They give the audience the chance to conceptually evaluate problems that may lead to the frequently present disconnect between long-term goals and day-to-day activities by using thoughtful discussion questions.

Although the writing style and content clearly show how the information can be used in a variety of HRM programs, it would have been better for readers if the content had been open and hyperlinked. Overall, the seventh edition demonstrates the authors’ continued success in producing a top textbook in the industry. The author’s dedication to encouraging practitioners, executives, academics and many other groups to critically evaluate personnel issues in MNEs makes a seventh edition the strongest recommendation. The book was very useful book to understand Expatriates and the reason behind their failures, it talks about approaches such as staffing approach and compensation approach, not only this but also about future challenges.

Conclusions and argumentation

The books focus mainly on issues connected to international HR management. The determination of an organization’s goals and objectives is done with the intention of accomplishing them via the use of efficient strategies and tactics, which are usually carried out by the efforts of its HR. Managers of HR face a growing number of challenging national and worldwide problems. The book also excels in that each chapter begins with clear, intelligent objectives that allow readers to rapidly navigate their needs. The numerous themes covered in the book are supported with pertinent and crucial exercises and examples that help readers understand the value of generalization across a range of studies. The book offered a complete framework for thinking about global HR management, as well as various stories from the experiences of other academics. Despite all of its advantages, the book’s contents are open to criticism because they are not hyperlinked to provide more information, and there are not enough case studies to help readers understand IHRM from both a theoretical and empirical perspective.