In: Economics
When global companies recruit new employees for their overseas operations, what are the different options for staffing policies available to them? Which option do you think works best and why?
please do it in word and not any notebook or picture , it should be of 500 words and mention references
Ethnocentric recruitment approach means we hire people from our parent country to fill positions around the globe. For instance, if we want to take on an executive position in a foreign country, we could:
Relocate one of our current staff who is a permanent resident of
our parent country.
Employ a person from our parent country who lives in the host
country, or who wants to stay.
When we use the ethnocentric method. As a rule, our parent
country's expatriates should comprise less than [20 percent] of a
foreign office so we minimize total hiring costs and avoid missing
the local community 's pulse.
The polycentric recruitment approach means we 're hiring locals to fill our positions in a host country. We might advertise on local job boards for example, or build a contract with a local recruitment agency. We use the polycentric approach when we need the local people's skills to run our business.
The regiocentric recruitment approach means that we employ or transfer people within the same region (like a group of countries) to fill our open positions. We may agree for example to move employees within Scandinavian countries. So if we want to recruit somebody in Sweden (a host country) we could move from Denmark, a host country in the same area, one of our employees. We use the regiocentric approach when [the cost of moving an employee from a host country is lower than that of moving them from the parent country.] Consider any language or cultural barriers that might exist when choosing to use this approach.
Geocentric recruitment approach is employing the best people to fill our positions regardless of where they come from or where they live. This translates into: Hiring remote workers. When we want to hire someone at a place where we don't have offices we use this option. For instance if we want a customer service agent to help our customers there in another time zone.
Decide which approach to hiring is most suitable for that particular situation. Using this strategy to assess the best suitability of the regiocentric, ethnocentric, or polycentric approach. Discuss the budget with finance to ensure that you can apply the approach you have chosen and whether another could work equally well with lower costs. Determine the methods of recruitment which work for this approach. For example , if you decide on the polycentric approach, consider the host country's local employment boards and local recruiters.
Have your budget allocated. Look into your budget to ensure you can coordinate recruitment activities. For example, if you've chosen the ethnocentric approach, your new hire will have to factor in the costs of relocation. You may also decide that you must meet candidates in person from the host country so pay attention to travel expenses. Work with HR to decide what services are available.
Evaluate nominees. We test all applicants in the same way when it comes to resume and screening by phone. Video interviews may also be used for remote applicants. Each role will require a different skills set but to ensure that our employees can work together well
Reference- Book on Recruiting 101- Steven Mostyn