This paper examines the human resource management strategies required when a U.S.-based company establishes a mirror operation in China. It addresses key considerations including China's suitability as a location due to its skilled workforce, technological development, and English-language presence. The paper then outlines HRM policies for both existing Manhattan employees and newly hired Chinese staff, covering recruitment, training, corporate culture integration, and financial and non-financial incentives. It also advocates for a degree of local creative freedom, particularly in market-facing roles, to better serve the Chinese market while preserving the parent company's operational standards.
As the parent company seeks to establish a new entity abroad, its primary motivation is to increase operational security and create a contingency plan in the event that the Manhattan offices encounter any difficulties. Given the mirroring nature of the project, several factors must be considered carefully.
The first factor is corporate culture, which must be transferred to the new location and embraced by the local workforce. China is a country well accustomed to outsourcing arrangements and the establishment of American business ventures. While some voices oppose the entry of American corporations into the Chinese market, the fact remains that multinationals create jobs and typically offer higher salaries than local Chinese employers. For this reason, the company is likely to be welcomed.
From a financial standpoint, China offers a skilled and cost-effective workforce. The country is also industrially and technologically developed, making it an especially attractive destination. Beyond the economic considerations, language is another potential barrier worth examining. Here, too, the outlook is favorable: after Mandarin, English is the most commonly spoken language in China and is taught in schools. Several media channels have also chosen to broadcast in English (China Daily, 2008).
Once the location has been confirmed, the company must develop and implement human resource management (HRM) policies that help all staff members cope with the change and transition. These policies will need to be applied within the Manhattan offices as well as within the newly established operation in China.
Existing employees in Manhattan must be clearly informed that their positions are not at risk. This reassurance is essential, as American staff members may otherwise become anxious and begin seeking employment elsewhere. Open and transparent communication from management will be key to maintaining stability during this period of change.
In terms of new hires, the multinational organization must identify and recruit the highest-skilled individuals available, preferably those with prior experience working within American-owned enterprises. To create an effective operational mirror of the Manhattan headquarters, executives will replicate the same positions in the Chinese location.
The requirements for each role should be discussed directly with the corresponding American employee, who should also participate in the hiring process. For example, if the Chinese operation is seeking to hire a Marketing Director, the Marketing Director at the Manhattan offices should be involved in the selection, hiring, and — most importantly — the training process for that role. This cross-location involvement ensures alignment and helps establish a genuine operational parallel between the two entities.
"Training staff and embedding corporate culture"
"Motivating staff while allowing local innovation"
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