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Introduction Cross Culture
Recruitment and selection of employees is identified as the most crucial aspect of business management that is having a direct impact on an organisation's performance. In the globalised market, companies are assessing employees from all over the world for the attainment of distinct business requirements. In this process, management has to carry out a detailed evaluation of the cultural aspects of people while carrying out international staffing practices. This report is going to evaluate the role of culture and other factors during overseas selection of employees with reference to the hospitality industry.
Plan
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 approaches associated with the recruitment and selection of expatriates. In this process, firstly the rationale for the choice of topic is mentioned by evaluating the needs and requirements of expatriates within the hospitality industry (Dowling, Festing, and Engle, 2008). In the section, the role of recruitment and selection tactics during the assessment of overseas workers is also measured. Furthermore, different aspects of recruitment and selection procedures have been examined with the help of journals and books, as well as case studies and a thesis report that is prepared that outlines various elements of international recruitment and selection. With some research works, importance and effectiveness are also discussed. Further, a detailed evaluation of the impact of the cross-cultural factor is carried out to increase the effectiveness of the selection and recruitment processes.
RATIONALE FOR CHOICE
The emergence of globalisation has provided significant business opportunities for different industries to expand business in new overseas markets. It has reduced trade-related boundaries among countries. This approach has supported companies in the establishment of mutual collaboration and smooth interaction with various other companies and individuals to attain business objectives associated with revenue generation and brand establishment (Wilden, Gudergan, and Lings, 2011). With the faster pace of internationalisation, the need to culturally diversify the workforce has significantly increased. Globalisation has led to the increased requirement of expatriates for the attainment of different business requirements along with handling business clients who belong to different cultures. In the context of current business entities, the diversity of ideas and expertise in their respective fields from different cultural backgrounds has been considered an important element of business performance (Christensen Hughes and Rog, 2008). To assess workforces from different cultures and nations, companies associated with hospitality businesses are using different approaches for the recruitment and selection of employees for distinct business requirements. In this regard, the present topic has been selected to evaluate the effectiveness of 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 the selection of the present topic is that a hospitality firm has to manage and accomplish the requirements of guests associated with different cultures; therefore, a business entity has to assess employees who belong to different cultures to improve the quality of services (Lee et al., 2009). The present research is going to present different aspects of international recruitment and selection practices through which a hospitality company is able to acquire the best workers for the company that have a direct impact on the performance of the firm and the quality of hospitality services.
Evidence of Research
Importance of international recruitment and selection
The emergence of globalisation has provided various opportunities to business organisations for the expansion of business in new markets. As per the research of Betancourt and Green (2007), it has been found that these elements promote cross-cultural interactions that lead to various challenges and obstacles for the companies in the form of language barriers, variations in the technological environment, foreign management philosophies, as well as assessments of the political system. The present report is carried out with reference to the business operations of the hospitality industry and the role of internal selection and recruitment processes. In the process of overseas business expansion, hotel groups formulate various ventures and contracts with other companies around the globe. For the attainment of distinct business requirements, employees are hired from diverse cultures with specialisation in their fields and expertise through which the company is able to deliver the best services to visitors from different cultural backgrounds (Dowling, Festing, and Engle, 2008). The selection of these expatriates is carried out with a systematic process through which management can minimise the impact of language barriers, cultural shocks, technological differences, and political variation, along with the issues that are linked with different social philosophies, on individual productivity and the overall performance of the company.
International selection and recruitment provide significant assistance to expand the talent pool of companies through which business entities can assess a wide range of experts and professionals from different regions of the world. By selecting local employees within overseas offices and branches of the company, a hospitality organisation can reduce the cost of operations. It provides significant support to management in order to reduce complexities within business operations that have 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 companies helps managers and other employees build a deeper understanding of global business operations and management practices. The views of external employees about the products and services of a hospitality firm have been found to be very effective in increasing the effectiveness of the product offering process along with the service quality that would play a crucial role in achieving long-term success and profitability of the company (Betancourt and Green, 2007). Overseas recruitment and selection practices not only support organisations in developing better products but also play a crucial role in building global brand value within overseas marketplaces. This is because international recruitment and selection is identified as an effective marketing tool that has been found very effective for increasing awareness of a brand or company.
Categorisation Of Employees In International Recruitment
In the process of overseas talent acquisition, the categorisation of employees is identified as the most important aspect of international recruitment and selection of workers for the attainment of distinct business requirements. Therefore, the categorisation of employees is mainly carried out by these subfactors, such as parent country national, host country national, and third-country national. According to Gelfand, Erez, and Aycan (2007), parent-country nationals include those employees whose nationality is the same as the organization. In this, the nationality of employees and company is the same but employees are working in an overseas brand or office of the particular firm. For example, an individual of US origin is working in the UK with a US-based company.
In addition to that, host country nationals include employees that have the nationality of a particular country and are working in a subsidiary of a multinational company in their domestic country. For example, a Macedonian citizen who is working for a Slovenian company in Macedonia. Apart from that, third-country nationals are categorised as workers whose nationality is neither that of the organisation nor that of the location of the subsidiary (Lee 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 the hospitality business.
Evaluation Of Different Approaches Used In The Global Staffing Process
The selection of employees from overseas destinations is carried out by international managers within the hospitality business with the help of different approaches. Companies are using different tactics as per the current business environment and market position, along with the needs of employees. In this process, long-term and short-term objectives play an important role in the selection of the best employees and the 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 régiocentric.
According to Christensen Hughes and Rog (2008), an ethnocentric approach is applied by an organisation to choose employees from the citizens of the parent country for work in host nations. With the help of this process, mainly higher-level foreign positions within business entities are fulfilled by expatriate employees associated with the parent country. The primary objective behind the application of the ethnocentric approach is that the staff from the parent country will be able to represent the interests of the headquarters of the hotel group in an appropriate manner so that the business is able to maintain quality standards in all hotels worldwide. It plays an important role in the establishment of links with the parent country (International Recruitment, 2016). The recruitment process is carried out by following the four stages which include self-selection, determining a candidate pool, technical skills evaluation, and making a mutual decision. The first stage is self-selection, which involves all decisions of an employee associated with his future course of action in the international arena. In the next stage, the employee database is prepared by the HR department and international manager as per the requirement of manpower for international business operations (Gelfand, Erez, and Aycan, 2007). Then the evaluation of the database is carried out for a 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 the polycentric approach is identified as an effective strategy for limiting recruitment to the nationals of the host country (local people). The technique is selected by the international manager to reduce the cost of foreign operations. In the context of the 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 the business entity can increase its understanding of the local market conditions, political rules and regulations, along with cultural and legal requirements, with the help of local people (Lee et al., 2009). In the context of the hospitality business, many companies have developed a localised HR department. In this regard, many international companies operating different business operations in advanced countries like Britain and Japan have adopted this approach to increase the overall performance of business.
Apart from that, Christensen Hughes and Rog (2008) have stated that the geocentric approach is considered the most effective approach for recruiting experts of different fields for the positions available within a business entity, irrespective of their nationalities. This approach is mainly adopted by big multinational companies like IHG Group in order to utilise a globally integrated business strategy. Since 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 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 have international connections and significant sources to accomplish the manpower needs of multinational companies. The effectiveness of this is increased by the utilisation of the internal source of recruitment, in which global companies make efforts to develop an internal database of employees along with a tracking system for employing the best employees for different job positions.
According to Gomes's (2016) Regiocentric Approach, a company's international business is divided into international geographic regions. The egocentric approach is mainly applied through managers related to different countries and working within particular geographic regions of business. Although the managers operate relatively independently in the region, they do not visit the headquarters of business organisations (Dowling, Festing, and Engle, 2008). The egocentric approach has provided significant results to the company that has distinct product strategies so that natives of the region are hired as per their requirements.
Cases Information
Internationalisation has provided new opportunities for business expansion through which companies are able to expand business in overseas markets to increase business performance and profitability. The present study is carried out to examine several factors associated with international recruitment and selection processes within the hospitality industry. The hospitality industry is the customer-orientated service sector that demands intimate and close connections with their clients and patrons so management has to hire a wide range of employees for the attainment of the needs of business clients. Furthermore, management has to manage the 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 the recruitment of expatriates. This report is prepared to assess different elements of the global staffing process that have a direct impact on the growth and profitability of businesses. Furthermore, this report is a detailed evaluation of various factors that have been considered major causes of the failure of expatriates' selection processes.
Evaluation Of The Factor Affecting The Global Staffing Process
According to Moran, Harris, and Moran (2011), 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 a significant impact on HR regulations and laws that vary among countries and create a great impact on the international recruitment and selection process. For example, in Western European countries, different laws associated with labour unions and employment make it difficult to reduce the number of workers due to the fact that business entities have to make huge payments to former employees (Gomes, 2016). Apart from that, equal employment legislation exists to varying degrees that leads to a negative impact on the hiring process of hospitality staff from overseas destinations. In some countries, there are appropriate laws to address issues such as employment discrimination and sexual harassment.
Apart from that, an economic factor is playing an important role during the overseas recruitment process within hospitality companies. Different companies have different economic systems that have influenced overall economic growth and opportunities for new businesses. In this context, it has been evaluated that many lesser-developed nations are receptive to foreign investment for the creation of jobs for their growing populations (Dowling, Festing, and Engle, 2008). Therefore, global firms often obtain significantly cheaper labour rates in these countries as compared to Western Europe, Japan, and the 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 infrastructure also increases the difficulties for managers who are working on international business strategy assignments. These factors have a significant impact on the selection of employees for international business projects.
As per the views of Hofstede (2011), cultural factors play an important role during the international selection and recruitment process. In this regard, the Hofstede cultural dimensions approach has been found very effective in evaluating the impact on culture during the selection of expatriates. According to this approach, the dimension of power distance has been found for the identification of inequality among the people of a nation. For example, in countries like Germany, the Netherlands, and the United States, there is a smaller power distance that reflects less inequality (Betancourt and Green, 2007). On the other hand, in 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 companies in different countries. A more autocratic approach to management is more common in most other countries and creates a significant impact on the perception of employees working in the hospitality business. Another dimension of Hofstede is individualism, which determines the actions of individuals from different perspectives. According to this approach, people in Asian countries are identified as less individualistic and more group-orientated where there is high individualism addressed (Hughes and Rog, 2008). This approach plays an important role in the evaluation of the level of competition among people within a country that is having a vital impact on the international selection and hiring process.
Tung and Verbeke (2010) have stated that the cultural dimension of masculinity/femininity examines the degree to which “masculine” values prevail over “feminine” values. Masculine values are mainly associated with assertiveness, performance orientation, success, and competitiveness. On the other hand, feminine values consist of quality of life, personal relationships with other individuals, and caring. These elements greatly influence the perception of people along with the attractiveness of different jobs that are located in overseas destinations based on the hospitality business.
Hofstede (2011) stated that the fourth dimension is uncertainty avoidance which influences the preferences of people while working in another country that could be structured or unstructured situations. A structured situation is addressed as an approach in which clear rules are established to influence the acts of people that are mainly identified in Japan, France, and Russia. On the contrary, people who are living in Hong Kong, the United States, etc. have more “business energy." Both of these elements influence the global staffing process of hospitality firms.
The last dimension of this approach is termed long-term orientation, which determines the values of people who are placing major emphasis on the future. On the other hand, short-term values focus on the present and the past (Gelfand, Erez, and Aycan, 2007). Long-term values include thrift and persistence, while short-term values are mainly associated with respecting tradition and fulfilling social obligations that would have a direct impact on the attitude and behaviour of employees within different job locations.
Effects of cross-cultural training on expatriates
According to Qin and Baruch (2010), increased cross-cultural interactions have been found to be very effective for hospitality firms in which resourceful training programs are scheduled by the company for the enhancement of the skills and talents of their native employees and expatriates working in the organization. It increases the understanding of new employees about new work culture and business practices, along with the perception that other staff members come from different cultural backgrounds. On the other hand, Takahashi, Ishikawa, and Kanai (2012) stated that the performance and results of the employees can be varied among employees associated with different regions. This approach supports employees to increase their understanding of a particular culture.
Conclusion
As per the above evaluation, it can be concluded that international recruitment and selection of employees within the hospitality business is identified as the most crucial part of business management in different marketplaces. This report has found that the success of the global staffing process is greatly influenced by different cultural, political, and economic factors.
References
- Betancourt, J. R. and Green, A. R., 2007. Cultural competence. Immigrant Medicine: Text with CD-ROM.
- Dowling, P., Festing, M. and Engle, A. D., 2008. International human resource management: managing people in a multinational context. Cengage Learning.
- Gelfand, M. J., Erez, M. and Aycan, Z., 2007. Cross-cultural organisational behaviour. Annu. Rev. Psychol.
- Hofstede, G., 2011. Dimensionalizing cultures: The Hofstede model in context. Online readings in psychology and culture.
- Lee, D.M. and et al., 2009. The European male ageing study (EMAS): design, methods, and recruitment. International journal of andrology.