Similarity,Isomorphism or Duality? Recent Survey Evidence on the Human Resource Management Policies of Multinational Corporations

There is considerable debate as to the determinants of the human resource policies of human resource management: do they reflect national institutional or cultural realities, emerging common global practices, parent country effects or the dual effects of transnational and national realities? We use an extensive international database to explore these differences, assessing variations in a range of human resource practices. We find new evidence of national differences in the manner in which indigenous firms manage their people, but also evidence of a similarity in practice amongst multinational corporations. In other words, multinational corporations tend to manage their human resources in ways that are distinct from those of their host country; at the same time, country of origin effects seem relatively weak. Whilst there is some evidence of common global practices, sufficient diversity in practice persists to suggest that duality theories may provide the most appropriate explanation.     

Marketing mix standardization in multinational corporations: A review of the evidence

This paper reports the findings of a systematic review of literature on marketing mix standardization in multinational corporations. The objective is to extract and synthesize ‘best evidence’ regarding marketing mix standardization practices in multinational corporations and to identify evidence regarding the performance impact of marketing mix standardization. Beyond relevance to an academic audience, this review could be useful for management practitioners in multinationals seeking to integrate operations across borders. In this context, the paper seeks to make a contribution to evidence based policy and practice.     

Socio-political processes in international management in post-socialist contexts: Knowledge,learning and transnational institution building

This paper contributes to the recent debates and emerging concepts in the international business literature by applying a social–institutionalist perspective that focuses on the processes of institution building in ventures between Western multinational corporations and post-socialist enterprises. It is argued that the knowledge and learning processes within these transnational sites are constitutive of the actual management and organizational practices that emerge in these social microcosms of transformation. In transition and other emerging economic contexts, international ventures are typically based on asymmetrical relationships, in which the balance of power is structurally weighted in favor of the MNC. Notwithstanding this dominance structure, constructing new practices within the transnational social space is a socio-political process involving power-holders such as senior managers representing the Western MNC and the local enterprise. The paper argues that the strategic orientations of these key power-holders are critical variables in explaining the diversity of concrete patterns of institution building on transnational sites.     

战略国际人力资源管理与企业绩效关系研究——基于在华跨国企业的经验证据

企业国际化中人力资源实践如何影响绩效,既是一个国际企业管理问题,更是人力资源管理领域的中心问题;因为任何一种国际化战略的成功都离不开恰当的人力资源管理方式,而成功的跨国公司对人力资源管理的导向选择也主要取决于它能否更好地支撑其国际化战略的实施.本文以100家在华跨国企业为研究样本,在战略国际人力资源管理(SIHRM)的框架下,将人力资源管理系统和国际化程度对企业绩效的影响作为主要研究问题,构建层级回归模型,通过实证检验考察人力资源管理与企业绩效的关系.研究结果表明,企业绩效不仅同人力资源管理与企业战略的整合程度有关,而且同人力资源管理系统与国际化程度之间存在积极的联系.该研究结论为中国企业在国际化过程中如何实施有效的战略国际人力资源管理以提升组织绩效并获取持续竞争优势提供借鉴与参考.     

They Reap but Do Not Sow: How Multinational Corporations Are Putting an End to Virtuous Capitalism

The actions of “world‐based” multinational corporations (MNCs) have effectively decoupled the revenue generation and the production sides of the business equation. This decoupling has led to an end of “virtuous capitalism,” which has widespread ramifications for the societies within highly developed countries as well as those in developing and underdeveloped nations. This article presents an overview of the defining aspects of virtuous corporations and the linkages to virtuous capitalism. It then describes the actions of Apple Computer as emblematic of an MNC that is nonvirtuous in its practices. The article then discusses how the encouragement of globalized trade has prompted the shift away from virtuous capitalism and closes with a summary of possible actions that could reverse the decline in corporate virtue.     

Multinational corporations and industrial relations research: A road less travelled

While there is a large body of academic debate surrounding human resource management issues in multinational corporations (MNCs), industrial relations (IR) issues often fail to receive the same degree of attention. This paper attempts to move the debate forward by critically reviewing some of the key debates surrounding IR in an international context. First, some key themes surrounding the comparison of industrial relations across borders and IR in multinational companies are delineated and defined. Then, the reasons why an international IR (IIR) perspective has been under‐represented in the literature to date are considered. The paper then explores the contribution which an IIR perspective can bring to the study of management practices in MNCs. This is discussed in terms of IIR's potential contribution as an alternative analytical approach and also differences in its substantive coverage. The impact of IR systems on MNC location and relocation decisions, key issues for employees, trade unions and managers of MNCs, is then discussed as an example of the former. The potential for, and evidence of, international collective bargaining as a potential counter‐balance to the power the MNC in the global environment is then considered as an example of a differing area of substantive coverage of IIR. Finally, some avenues for potential study are outlined.     

“We have performance appraisal every day and every hour”: Transferring performance management to Russia

Performance management (PM) of employees is an important established practice in multinational corporations (MNC) and therefore one of the key practices to be transferred to subsidiaries. In this study, we use the concept of institutional logics to show how Russian employees experience PM practices that are based on the institutional logic of a Finnish MNC which is contradictory to the one prevailing in Russia where the subsidiaries operate. Our findings contribute to the practice transfer and PM literature by showing how the Russian subsidiaries responded to competing institutional logics by consciously selecting certain elements from each logic, demonstrating “institutional bricolage”, to address both the headquarter's (HQ) requirements and the fast pace of change and uncertainties in an emerging post-Soviet market. Our study also enhances the international business (IB) literature by using the concept of institutional logics in IB and international management (IM) research, where it has been infrequently used.     

Headquarters involvement,socialization, and entrepreneurial behaviors in MNC subsidiaries

Headquarters of multinational corporations can be involved in their subsidiaries and help with the development and transfer of innovative ideas. However, headquarters involvement might not always be desired or needed, and it can thus be perceived as interference with local activities, potentially reducing local willingness to go the extra mile. We address the lack of knowledge about subsidiary manager behavior by answering the following question: How does headquarters involvement influence the proactive behavior of subsidiary managers to push for new and innovative ideas? Using data from 120 top managers in subsidiaries of multinational corporations, we find that the negative relationship between headquarters involvement and their subsidiary managers' support for initiatives can be reduced when socialization mechanisms such as a common corporate culture or rotation programs are put in place.     

Technology development control styles in multinational corporations: a case study

Multinational firms tend to geographically disperse their R&D activities to a larger extent than in the past. International R&D seems to play an increasingly important role within the global process of technological innovation taking place in multinational corporations. As a consequence, firms are challenged to design global R&D organisations and manage foreign units playing a central role in their innovation process. A key managerial aspect is the balance between autonomy and control of foreign R&D units. This case study deals with management control styles over foreign R&D units. It is based on the results of an empirical analysis of 16 multinational firms operating in technology-intensive industries. It proposes a taxonomy of management control styles in foreign R&D and gives the cue for further research in the area of technology development control.     

Shop floor practices under changing forms of managerial control: A comparative ethnographic study of micro-politics,control and resistance within a Japanese multinational

This paper presents an ethnographic study of micro-politics, control and resistance within a Japanese multinational. The transfer of management practices within a multinational is a theoretically interesting context in which to examine these processes. The study reveals how micro-political strategies were sustained and resisted within different contexts, drawing on concepts of contextual rationality, contested rationality, institutional theory, labor process theory and recent theorizing of control processes within the multinational.     

Globalizing R & D around centres of excellence

Traditionally, foreign R & D has been confined to a limited role within the technological innovation process of multinational enterprises (MNEs). Recent surveys have shown that global R & D, i.e. the location of research and development labs in different countries, is growing. This paper analyses R & D globalization strategies and the decisions to locate R & D abroad. A framework for locating R & D facilities is presented, which is based on an investigation of the practices used in twelve multinational corporations.

Global R & D strategies depend on whether the firm is research-oriented or development-oriented; in other words, whether the firm's strength lies in research or development. The concept of an R & D centre of gravity is introduced. Locational decisions are affected by many factors, some relate to R & D and others relate to the firm and its environment.     

Management consultancy’s role in delivering lasting [triple bottom line] benefits

Abstract

Management consultants have become ubiquitous in helping improve organizational performance. This paper presents an investigation of the impact of their interventions on organizational sustainability and growth through the performance improvement work carried out for and with their clients. The paper presents the findings of a questionnaire survey of 440 respondents from 206 countries; 197 of respondents were Small and Medium Sized Enterprises (SMEs) and 243 from large organizations. There is a particular focus on knowledge transfer in terms of urgency and impact of the work with regard to the extent to which consulting interventions in SMEs, as well as large multinational corporations, embed long-term sustainability practices.     

The Dilemmas of Internationalization: Corporate Social Responsibility in the Multinational Corporation

We add to the global–local debate by highlighting concerns with the empirical and conceptual validity of the construct ‘integrated’ as it operates within corporate social responsibility (CSR). We do so by investigating the extent to which foreign national culture and related local issues are incorporated into the CSR policy of 37 multinational corporations, examining strategy development and implementation across global locations. This research suggests that integrated internationalization strategies do not resolve global and local CSR issues. In fact, they reinforce outcomes similar to global strategies, where core issues identified by headquarters are legitimated and local issues are marginalized, an outcome that appears somewhat at odds with the spirit of local responsiveness embedded in CSR thinking.     

Short-term international assignments. Military perspectives and implications for international human resource management

Short-term international assignments have been under-explored in international human resource management (IHRM) literature and research. Equally, there is a dearth of studies on international mobility beyond multinational corporations. Drawing on an exploratory study of short-term international assignments in the Irish Defence Forces, this paper considers the implications for IHRM.     

Work systems in heavy engineering: the role of national culture and national institutions in multinational corporations

This paper is based on an Anglo-German research project of two research groups in both countries. It is based on data collected by qualitative research in the three largest multinational corporations (MNCs) in the lift and escalator industry. The headquarters (HQs) of the three corporations are based in the United States, Finland and Germany, respectively, and all three MNCs each have subsidiaries in Germany and Britain. Our main objects of analysis were change processes in the work systems of these three MNCs.We chose the lift and escalator industry as an example because it has been characterized by strong concentration processes during the last 10 years. Most of these corporations have grown by acquisition and there are strong tendencies in the market towards standardized, globally uniform products.National cultures and institutions, first of all play a role on the HQ level. Important areas were the standardization of products and production technology, the design of management systems and location and relocation decisions for R&D and manufacturing. Second, MNCs take differences in national cultures into account and deliberately “use” them in allocating resources and investment within the multinational group. National cultures and institutions massively shape the very formulation of manufacturing strategies within the multinational groups, as well as the R&D strategies—a particular important field in an industry still relying heavily on small-batch and unit production. National cultures also play a significant role in implementing the global strategies of MNCs in different host countries. Our data reveal striking differences on this level.     

Headquarters’ scanning of the foreign subsidiary environment:: An empirical study

The article reports on an empirical study of environmental scanning within multinational corporations (MNCs) at the headquarters-foreign subsidiary (HQ-FS) level. Specifically, the study examines the following questions: (1) How actively do MNC HQs scan their foreign subsidiary environments? (2) Do MNC HQs differentiate their scanning practices across segments of the foreign subsidiary environment? (3) Which MNC level and FS level characteristics affect the scanning behavior of MNCs at the HQ-FS level?     

跨国公司母子公司关系中自治权的确定性研究

在跨国公司研究领域中,自20世纪80年代以来,学术界对母子公司之间关系进行了大量的研究,形成许多理论。这些理论不同程度地揭示了跨国公司母子公司之间关系的深层内容,但迄今未形成被各方接受且有说服力的理论。所以,对这些理论运用组织理论中职权的确定方法进行分析,可以为母子公司关系理论研究提供一个视角,为这些研究内容的丰富提供一个理论基础,还可以得出产品子公司的自治权较小和地域子公司自治权较大的结论。     

Green Purchasing by MNC Subsidiaries: The Role of Local Tailoring in the Presence of Institutional Duality

To examine the essential determinants of green purchasing by multinational corporations’ (MNC) subsidiaries, this study takes institutional theory as a foundation and focuses on the institutional duality associated with localization and globalization. Specifically, we develop a model to explain subsidiaries’ green purchasing and empirically test the model with data from 141 purchasing managers and senior purchasing staff members from subsidiaries in 39 countries. Our results suggest that pressures from headquarters and the local environment do not affect subsidiaries’ green purchasing directly; rather, they exert indirect influences through local tailoring. This study contributes to extant literature by revealing the significance of local tailoring in an MNC context. In addition, our findings offer several implications for practice by providing a roadmap for disseminating green purchasing across the subsidiaries of an MNC, as well as highlighting the importance of both clear communication about the benefits of green purchasing and internal audits.     

What really works?! Evaluating the effectiveness of practices to increase the managerial diversity of women and minorities

Many studies have investigated barriers for women and minorities on their way to the top, but very few studies have examined which organizational practices indeed increase the diversity of the top management in organizations. This research analyzes whether various diversity practices increase the proportion of women and minorities at the top. The results show that the more diversity management and family-friendly practices that are implemented, the higher is the proportion of women in management positions. However, the results do not show any effect for diversity training or that people with a migration background benefit from diversity practices.