Japanese Multinationals and the Management of Human Resources in Essay

Japanese Multinationals and the Management of Human Resources in United Kingdom Subsidiaries - Essay Example In the present day and age, the conduct of business leans increasingly towards international operations and managing human resources is increasingly critical to the success of business and . However, published research supports the notion that construction of human resource management for a business takes place within strong national boundaries. Thus, although information and communication technologies continue to transform organisational structures and business processes, breaking down organisational and geographic boundaries, national human resource management traditions engrained in the culture of a multinational headquartered in a country often intermingle with culture and traditions of the country in which a subsidiary is located. Although multinationals from a host country retain elements of traditional and cultural values, including those from Japan, United States of America and elsewhere, it is difficult for multinational corporations to exhibit core traditions from Japan, Am erica, etc. in subsidiaries located overseas for managing employees. When expanding overseas, a failure to integrate successfully managers and other key personnel from host countries into the management process of foreign subsidiaries is likely to present severe negative outcomes for a parent company. After all, foreign multinationals must serve clients in a host nation, comply with its laws and compete effectively in a nation with its own traditions, culture, business values and needs. A multinational must have due regard for national culture and organisational culture in a subsidiary, which must cater to the locals while shaping effectively the collective. Material and spiritual culture in a host country together with aspirations of employees, their preferences and tastes influence the treatment of employees and success of a subsidiary. (Keeley, 2001, Pp. 15 – 20). Multinational enterprises must have due regard for local employment laws, industrial relations and ethics