IBM's IHRM: Recruitment, Training, and Global Strategy

Introduction to IHRM and IBM

International Human Resource Management (IHRM) can be defined as a set of activities aimed at managing organizational human resources at the global level to attain organizational goals and achieve competitive advantage over rivals at both national and international levels. It encompasses characteristic human resource management functions such as training and development, recruitment and selection, and performance appraisal undertaken at the global level. In order to closely integrate company operations across the globe, multinational corporations attempt to cultivate and implement standardized human resource management practices by transferring the practices used at headquarters to overseas subsidiaries. Consequently, practices at the organization's subsidiary will closely resemble practices in the home country (Potocnik et al., 2014).

The organization selected for this analysis is IBM, which operates in the United States as its home country and maintains a subsidiary in China. The two IHRM practices discussed with respect to this organization are recruitment and selection, and training and development. These IHRM practices have been selected because American multinational corporations—in this case IBM—are typically depicted as having comparatively standardized human resource management practices with respect to training and recruitment. Recruitment and selection together with training and development are HR practices particularly relevant to IBM because it is essential to integrate the needs of subsidiary personnel in China for training and development. At the same time, it is necessary to recognize the significance of localization and therefore the importance of recruiting and selecting highly competent personnel who can advance the company's success.

Recruitment and Selection

Recruitment and selection in the global context must be conducted carefully to ensure that the most suitable candidates are placed in international posts. Failure to do so can signify financial damage, inefficient use of time, and damage to the organization's reputation. There are several ways in which IHRM practices should be performed in order to be effective. According to Ozbilgin et al. (2014), in the initial phase, organizations should assess the competencies of human resource managers who will be responsible for global recruitment and selection. It is essential for the organization to ensure that such managers possess distinctive competencies such as cultural sensitivity and linguistic capabilities. Corporations with international staffing requirements need a more complex global HR capability profile. Furthermore, the development of global recruitment and selection abilities—including skills, competencies, attitudes, and knowledge, as well as other personal qualities needed for effective work in international recruitment and selection—is vital. For multinational corporations with an already advanced domestic HR department, the challenges most commonly encountered with respect to recruitment and selection relate to cross-cultural collaboration between headquarters and the subsidiary. Critically, HR managers positioned at the head office require a thorough understanding of organizational strategy to effectively design job allocations and make decisions concerning international selection and recruitment (Potocnik et al., 2014).

Recruitment practices are fundamental to attracting the right talent in the highly competitive international market. To be effective, recruitment begins with job specification and analysis to define a set of characteristics and competencies required to perform successfully in the available international post. This comprehensive job analysis of the global position should also inform the approach to global staffing that the organization ought to adopt. It is important to consider these factors when designing the recruitment strategy for global posts. The level of success of the recruitment strategy will depend on the quality of the employer's brand positioning. This means that the organization must develop a distinctive image that prospective job applicants value and relate to, and that is associated with the policies and values of the organization (Ozbilgin et al., 2014).

Training and Development

Training and development are part of the means by which a multinational corporation builds and develops its stock of human capital. One key approach to achieving effective training and development is through the creation of in-house training programs. The manner in which a multinational entity anticipates and provides appropriate training for global assignments is a significant factor. This is reflected in the increased level of interest in, and provision of, pre-departure training to prepare expatriates and their accompanying family members for the international assignment (Dowling et al., 2009). According to Dowling et al. (2009), expatriates gain individual management development from global postings. Such assignments are regarded as training grounds for the worldwide cadre. To a considerable degree, international assignments accomplish team-building, training, and development by exposing personnel to different parts of the international organization. In turn, expatriates develop networks in the local country that often continue after the completion of the posting.

According to Gregersen et al. (1998), there are four approaches to developing global managers: creating diversified teams, training, international travel, and international job assignments. These approaches are particularly connected to expatriation management, especially integrating global training and management development. Training aims to enhance existing work skills and behavior, while development aims to build capabilities in relation to a future job or assignment. International managers require various skills, industry-specific knowledge, and personal qualities such as the ability to develop subordinates and manage responsibility. These qualities and competencies are considered important and can be developed through effective international training and management advancement. International training encompasses preparation for worldwide assignments. According to Shen (2005), there are three broad categories of international training in multinational corporations: preparatory training for expatriates, post-arrival training for expatriates, and training for host-country nationals and third-country nationals.

Key components of effective pre-departure training programs include cultural awareness training, preliminary visits, language instruction, and practical assistance with everyday matters. A comprehensively designed cultural awareness training program can be highly beneficial, as it seeks to foster an appreciation of the host country's culture in order to ensure that expatriates conduct themselves appropriately. Without a proper understanding of the local culture, expatriates are likely to encounter difficulties during their international assignment. This type of training encompasses environmental orientation, cultural orientation, cultural assimilation, language training, sensitivity training, and field experiences (Dowling et al., 2009). Language learning is also essential to facilitate a smooth transition into the new country without compromising effectiveness. Another important component is the provision of information to assist with relocation. Practical assistance makes a meaningful contribution to the expatriate's adjustment to the new environment (Dowling et al., 2009).

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