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3. Differences in HRM Practices

  • Country-Level Variations:

    • Legal and Regulatory Frameworks (labor laws, employment regulations)
    • Economic Development (labor availability, technology, business environment)
    • Cultural Norms and Values (impact on recruitment, selection, performance appraisal, compensation)
    • Political Systems (labor market regulations, industrial relations)

  • Industry-Level Variations:

    • Industry characteristics (technology, competition, regulation)
    • Business strategies (cost leadership, differentiation, innovation)
    • Unionization (impact on employment relations and HRM practices)

  • Organizational-Level Variations:

    • Organizational culture
    • Organizational size and structure
    • Ownership and management style

  • Examples of HRM Practices that Vary Across Countries:

    • Recruitment and Selection: Use of recruitment agencies, importance of educational qualifications, role of personal connections.
    • Compensation and Benefits: Base pay, bonuses, incentives, benefits packages (health insurance, retirement plans).
    • Performance Appraisal: Methods used, frequency of reviews, role of subjective vs. objective measures.
    • Employee Relations: Role of unions, approaches to employee involvement, mechanisms for resolving labor disputes.
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