Introduction Cross Culture
Recruitment and selection of employees is identified as most crucial aspect of business management that is having direct impact on organization's performance. In the globalized market, companies are assessing employees from all over the world for attainment of distinct business requirement. In this process, management has to carry out detail evaluation of culture aspects of people while carrying international staffing practices. This report is going to evaluate role of culture and other factors during overseas selection of employees with reference to hospitality industry.
The present study has been carried out to evaluate different aspects of international recruitment and selection through which internal managers are able to select appropriate approach associated with the recruitment and selection of expatriates. In this process, firstly rationale for the choice of topic is mentioned by evaluating the need and requirement of expatriates within hospitality industry (Dowling, Festing and Engle, 2008). In the section, role of recruitment and selection tactics during assessment of overseas workers is also measured. Furthermore, different aspects of recruitment and selection procedures have been examined with the help of journals, books as well as case studies and thesis report is prepared that outlines various element of international recruitment and selection. With some research works, importance and effectiveness are also discussed. Further, detail evaluation of the impact of cross culture factor is carried out to increase effectiveness of selection and recruitment process.
RATIONALE FOR CHOICE
The emergence of globalization has provided significant business opportunities to different industries to expand business in new overseas market. It has reduced trade related boundaries among countries. This approach has supported companies for the establishment of mutual collaboration and smooth interaction with the various other companies and individuals to attain business objectives associated with the revenue generation and brand establishment (Wilden, Gudergan and Lings, 2011). With the faster pace internationalization, need of culturally diversify workforce has significantly increased. Globalization has led to the increased requirement of expatriates for the attainment of different business requirement along with handling business client belongs from different culture. In the context of current business entity, the diversity of ideas and expertise in their respective field from different cultural backgrounds has been considered as an important element of business performance (Christensen Hughes and Rog, 2008). To assess workforce from different culture and nations, companies associated with hospitality business are using different approaches for the recruitment and selection of employees for distinct business requirement. In this regard, Present topic has been selected to evaluate the effectiveness different recruitment practices for the international manager through which hospitality companies are able to adopt appropriate strategies in the process of international recruitment and selection. The rationale behind selection of present topic is that a hospitality firm has to manage and accomplish the requirement of guests associated with the different culture therefore, business entity has to assess employees belong from different culture to improve quality of services (Lee and et.al, 2009). The present research is going to present different aspects of international recruitment and selection practices through which an hospitality is able to acquire the best workers for company that have direct impact in the performance of firm and quality of hospitality services.
EVIDENCE OF RESEARCH
Importance of international recruitment and selection
The emergence of globalization has provided various opportunities to business organization for the expansion of business in new market place. As per the research of Betancourt and Green (2007) it has found that these elements promote Cross cultural interactions that lead various challenges and obstacles for the companies in form of language barrier, variation in technological environment, foreign management philosophies as well as assessment of political system. Present report is carried out with reference to the business operations of hospitality industry and role of internal selection and recruitment process. In the process of overseas business expansion, hotel groups formulate various ventures and contract with other companies around the globe. For the attainment of distinct business requirement, employees are hired from diverse culture with the specialization in their fields and expertise through which company is able to deliver best services to visitors belongs from different cultural background (Dowling, Festing and Engle, 2008). The selection of these expatriates is carried out with a systematic process through which management can minimize the impact of language barrier, cultural shocks, technological differences, political variation along with the issues that are linked with different social philosophies on individual productivity and overall performance of company.
International selection and recruitment provides a significant assistance to expand talent pool of company through which business entity can assess wide range experts and professionals from different regions of the world. By selecting local employees within overseas office and branch of company, hospitality organization can reduce the cost of operations. It provides significant support to management in order to reduce complexities within business operations which have been occurred due to cultural and language barriers. As per the research of Dowling, Festing and Engle (2008) it has been found that Bringing foreign workers within hospitality company helps managers and other employees for building a deeper understanding about the global business operations and management practices. The views of external employees about products and services of hospitality firm have been found very effective to increase effectiveness of product offering process along with the service quality that would play a crucial role during getting long term success and profitability of company (Betancourt and Green, 2007). The overseas recruitment and selection practices not only support organization for developing better products but also that are playing a crucial role in building global brand value within the overseas market places. This is because international recruitment and selection is identified as an effective marketing tool that has found very effective for increasing awareness of brand or company.
Categorization of employees in international recruitment
In the process of overseas talent acquisition, categorization of employees is identified as the most important aspect of international recruitment and selection of workers for the attainment of distinct business requirement. Therefore, categorization of employees is mainly carried out these sub factors such as Parent country national, Host country national and Third conndry national. According to Gelfand, Erez and Aycan (2007), Parent country nationali includes those employees which nationality of employees is the same as the organization. In this, nationality of employees and company is same but employees are working in overseas brand or office of the particular firm. For example: An individual of US origin is working in UK with US based company.
In addition to that, Host country national includes such employees that are having nationality of particular country and working in subsidiary of a multinational company in his domestic country. For example, a Macedonian citizen who is working for a Slovenian company in Macedonia. Apart from that, third country national is categorized such workers whose nationality is neither that of the organization nor that of the location of subsidiary (Lee and et.al, 2009). For example, an Albanian citizen who is working for a Slovenian company in Macedonia. In the process of international recruitment and selection, HR managers have to consider these during the acquisition of workers for different operations related to hospitality business.
Evaluation of different approaches used in global staffing process
The selection of employees from overseas destinations is carried out by international managers within hospitality business with the help of different approaches. Companies are using different tactics as per the current business environment and market position along with need of employees. In this process, long term and short term objectives are playing important role during selection of best employees and acquisition of experts for different business needs. Therefore, four kinds of recruitment and selection approaches are mainly considered by top management such as Ethnocentric, Polycentric, Geocentric and Regiocentric.
According to Christensen Hughes and Rog (2008), ethnocentric approach is applied by an organization for choosing employees from the citizens of the parent country for working in host nations. With the help of this process, mainly higher-level foreign positions within business entity are fulfilled by expatriate employees associated with the parent country. The primary objective behind application of ethnocentric approach is that the staff from the parent country will be able to represent the interests of the headquarters of hotel group with an appropriate manner so as business is able to maintain quality standards in all hotels over the worldwide. It plays important role for establishment of link with the parent country (International Recruitment, 2016). The recruitment process is carried out by following the four stages that include self-selection, determining a candidate pool, technical skills evaluation, and making a mutual decision. The first stage is self-selection that involves all decision of an employee associated with his future course of action in the international arena. In the next stage, the employee database is prepared by HR department and international manager as per the requirement of manpower requirement for international business operations (Gelfand, Erez and Aycan, 2007). Then the evaluation of database is carried out for selection of the best and most suitable persons for different global assignments by conducting the technical skills assessment. At the end, the best candidate is selected for different overseas goals as per the distinct business objectives.
As per the research of Gomes (2016) it has been found that Polycentric approach is identified an effective strategy of limiting recruitment to the nationals of the host country (local people). The technique is selected by international manager for reducing the cost of foreign operations. In the context of hospitality business, this approach has been found very effective in the cost control process. The primary objective for handing over the management to the local employees is that business entity can increase its understanding about the local market conditions, political rules and regulation along with cultural and legal requirements with the help local people (Lee and et.al, 2009). In the context of hospitality business, many companies are developed a localized HR department. In this regard, Many international companies operating different business operations in advanced countries like Britain and Japan have been adopted this approach to increase overall performance of business.
Apart from that Christensen Hughes and Rog (2008) have stated that geocentric approach is considered as most effective approach for recruiting experts of different field for the positions available in within business entity irrespective of their nationalities. This approach is mainly adopted by big multinational companies like IHG group in order to utilize globally integrated business strategy. Since the HR operations are constrained by several factors like political and ethical factors and government laws, it is difficult to adopt this approach. This approach has been found very effective for ensuring the considerable success with reference to several political and ethical factors as well as government laws (Betancourt and Green, 2007). For international recruitment, hospitality companies are mainly considered manpower agencies or consultants that are having international connections and significant source for accomplish manpower needs of multinational companies. The effectiveness of this is increased by utilization of the internal source of recruitment in which global companies’ makes efforts to develop an internal database of employees along with tracking system for employing best employees for different job positions.
According to Gomes (2016), Regiocentric Approach, company's international business is divided into international geographic regions. The regiocentric approach is mainly applied through managers related to different countries and working within the particular geographic regions of business. Although the managers operate relatively independently in the region and they are not visit the headquarters of business organization (Dowling, Festing and Engle, 2008). The regiocentric approach has provided significant results to the company that is having distinct product strategies so as natives of the region are hired as per their requirement.
Internationalization has provided new opportunities for business expansion through which companies are able to expand business in overseas market to increase business performance and profitability. Present study is carried out to examine several factor associated with international recruitment and selection process within hospitality industry. Hospitality industry is the customer oriented service sector that demands the intimate and close connections with their clients and patrons so as management has to hire wide range of employees for attainment of needs of business clients. Furthermore, management has to manage requirement of highly skilled and tactical workers as per the requirement of distinct overseas projects of hospitality. Therefore, it is very essential for the management to consider all the factors associated with recruitment of expatriates. This report is prepared to assess different element of global staffing process that have direct impact on growth and profitability of business. Furthermore, this report is carried out detail evaluation of various factors that have been considered as major cause of failure of expatriates’ selection process.
Evaluation of the factor affecting global staffing process
According to Moran, Harris and Moran (2011), it has found that International firms have to manage certain laws and regulations for handling several domestic and international regulations. In this regard, political and legal factors are having significant impact on HR regulations and laws that are vary among countries that create great impact on international recruitment and selection process. For example in the Western European countries, different laws associated with the labor unions and employment make it difficult to reduce the number of workers due to business entity has to huge payment to former employees (Gomes, 2016). Apart from that Equal employment legislation exists to varying degrees that leads negative impact on hiring process of hospitality staff from overseas destinations. In the some countries, there are appropriate laws to address issues such as employment discrimination and sexual harassment.
Apart from that economic factor is playing important role during overseas recruitment process within hospitality companies. Different companies are having different economic system that has influenced overall economic growth and opportunities for new businesses. In this context, it has evaluated that the many lesser-developed nations are receptive to foreign investment for creation of the jobs for their growing populations (Dowling, Festing and Engle, 2008). Therefore, global firms are often obtaining significantly cheaper labor rates in these countries as compared to Western Europe, Japan as well as United States. Apart from that, political instability can lead to situations in which all the assets of foreign firms are acquired by public authorities. Furthermore, the absence of good infrastructures is also increased the difficulties for managers who are working international Business Strategy assignment. These factors are having significant impact during the selection of employees for international business projects.
As per the views of Hofstede (2011), Cultural factors are playing important role during international selection and recruitment process. In this regard, Hofstede cultural dimensions approach has been found very effective in evaluation of impact on culture during selection of expatriates. According to this approach, the dimension of power distance has been found for identification of inequality among the people of a nation. For example: In countries like Germany, the Netherlands and United States, there is a smaller power distance that reflects less inequality (Betancourt and Green, 2007). On the other hand, other countries like France, Indonesia, Russia, and China there are greater status and authority differences addressed between superiors and subordinates. It directly affects the recruitment and selection policies of company in different countries. A more autocratic approach to managing is more common in most other countries that create significant impact on perception of employees working in hospitality business. Another dimension of Hofstede is individualism that determines the action of individuals in different prospective. According to this approach, people in Asian countries are identified as less individualistic and more group-oriented where there is high individualism addressed (Hughes and Rog, 2008). This approach plays important role in evaluation of level of competition among people within a country that is having vital impact in international selection and haring process.
Tung and Verbeke, (2010) have stated that the cultural dimension masculinity/femininity is examine the degree of “masculine” values prevail over “feminine” values. Masculine values are mainly associated with the assertiveness, performance orientation, success along with competitiveness. On the other hand, feminine values consists quality of life, personal relationships with other individuals, and caring. These elements are greatly influenced perception of people along with attractiveness of different jobs that are located in overseas destinations based on hospitality business.
Hofstede (2011) stated that the fourth dimension is uncertainty avoidance that influences preference of people during working in another country that could be structured or unstructured situations. A structured situation is addressed as approach in which clear rules are established to influence act of people that is mainly identified in Japan, France, and Russia. In the contrary, people who are living in Hong Kong, the United States etc. are having more “business energy”. Both these element influence global staffing process of hospitality firms.
The last dimension of this approach is termed as long-term orientation that determines the values of people who are giving major emphasize on the future. On the other hand, short-term values are focusing on the present and the past (Gelfand, Erez and Aycan, 2007). Long-term values include thrift and persistence where as short-term values are mainly associated with the respecting tradition and fulfilling social obligations that would have direct impact on attitude and behavior of employees within different job location.
Effects of cross cultural training on Expatriates
According to (Qin and Baruch, 2010), Increased cross cultural interactions has found very effective for hospitality firm in which an resourceful training programs is scheduled by company for the enhancement of the skills and talents of their native employees and expatriates working in the organization. It increases understanding of new employees about new work culture and business practice along with perception of other staff member belongs from different cultural background. On the other hand Takahashi, Ishikawa and Kanai (2012) stated that performance and results of the employees can be varied among employees associated with different regions. This approach supports employees to increase their understanding about particular culture.
As per the above evaluation, it can be concluded that international recruitment and selection of employees within hospitality business is identified as most crucial part of business management in different marketplaces. This report has found that success of global staffing process is greatly influenced by different cultural, political and economical factors.
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