Food & Drink Technology Essay
International HRM Practice
Find the task instructions on the attached file named ?HRM ASSIGNMENT INSTRUCTIONS?
You choose either BMW or Coca-Cola to do your task 1 and 2
Format
Introduction
Task 1
Task 2
Conclusion
NB// Where INTERNATIONAL HRM theories and/or models are required to be applied, kindly make sure you do so
Lecture notes are of great assistance and they are also attached.Food & Drink Technology Essay
Pay attention to marks allocation under each section
The above aforementioned developmental strategies affect the HR functions of Coca-Cola. Some of the IHRM concepts in Coca-Cola?s practices include staff selections, international assignments, international compensation, and international training and development just to mention but a few. All these functions have ended up affecting the HR roles of Coca-Cola as the HR departments of the home nation tries to find better ways of carrying out HR operations in at least two countries.
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IHRM practices include international staffing, repatriation, pre-departure for international assignments, performance management in international assignments and compensation issues in international assignments (Foster, R.J., 2012, p. 2). Coca-Cola Company understands this function and has successfully initiated it to be among its HR roles.Food & Drink Technology Essay
Task 2
a) Evaluate different types of international reward and compensation practices adopted by MNCs to motivate their expatriates. Also discuss how these reward and compensation practices affect the overall performance of the expatriates.
Moving to a different country and settling there as an employee of a given organization is not an easy thing. To the HR, designing employee reward system to those who agree to relocate and become expatriates in another country has always been a challenge. No business entity understands such challenged than MNCs who may be forced to relocate some if their experienced workforce in a certain field to other countries lacking such professionals. MNCs must come up with a number of international reward and compensation practices to motivate their expatriates (Nazir, Fida and Zaman, 2014, p. 189).
There are different reward and compensation practices that MNCs have used before in efforts aimed at ensuring that they motivate their expatriate employees. One of them is cost of living allowance. These are payment awarded to expatriate with a view of compensating for a number of differences in expenditure between the host country and the parent country. Here, issues such as differences in inflation are considered (Leung, Lin and Lu, 2014, p. 104). Secondly, MNCs have been known to rewards their expatriate employees by awarding housing allowances or payments made to expatriates with a view of ensuring that they maintain their home-country living standards. Such may also include helping the expatriate sell his or her house in the home country (Le, Brewster, Demirbag and Wood, 2013, p. 741).Food & Drink Technology Essay
Apart from the above, MNCs such as Coca-Cola have also been known to reward its expatriates through awarding them home-leave allowance. Such allowances allow the expatriates to visit their home countries once in a while in order to enable them renew family, business and social ties thereby avoiding adjustment problems that come with repatriation (Yanadori, 2011, p. 3867). Closely related to this, there are relocation allowances that majority of MNCs across the globe have been using to motivate their expatriate employees. These are payments made with a view of enabling the relocation of the expatriate to the host country go on without too much difficulty. Such costs may cover storage costs, shipping and moving costs and even subsidies for the purchase of appliances and to some extent even an automobile (Le, Brewster, Demirbag and Wood, 2013, p. 750).
Other reward schemes commonly used include education and miscellaneous allowances. Education allowances are rewards schemes availed to expatriates with a view of supporting children of the expatriates in terms of tuition, book supplies, school enrolment fees and transport to school among others. Miscellaneous allowances are supposed to take care of other private issues such as membership or sports associations among others (Leung, Lin and Lu, 2014, p. 107).
It has been found out that rewards and recognition impact on the overall performance of expatriate employees in a number of ways. First, such employees become motivated to offer their overall best as they feel valued by the company. Secondly, they develop a positive image towards the company and ultimately work on ensuring that the company gains good reputation in the host country (Leung, Lin and Lu, 2014, p. 108).Food & Drink Technology Essay It has been argued that by rewarding expatriates, majority of them work on ensuring that they grow and look on how to advance for the good of the company.
b) Identify and evaluate the reward and compensation practices offered in any two of the countries where your chosen MNC operates.
Rewards and recognition are part of Coca-Cola?s international marketing strategies that has turned the firm into becoming a global brand. In India, for instance, Coca-Cola has adopted a number of reward and compensation practices aimed at ensuring that the firm retains some of its best talent. At Coca-Cola India, top performers are rewarded with rewards such as shopping vouchers, iPhones and tablets (Le, Brewster, Demirbag and Wood, 2013, p. 750).
In efforts aimed at ensuring that Coca-Cola retains some of its top performers in India, the firm has gone ahead and offered executive education made of teams sent to different countries to learn a number of important lessons such as sustainability issues. Others include fully paid holiday trips and a couple of nights at the Monte Carlo Bay Hotel in Monaco. A couple of years ago, Coca-Cola India presented some of its top performing employees with Mercedes Benz. On most occasions, expatriates have also been rewarded. This is international compensation strategies under international HRM models. Here, international compensation includes the provision of both monetary and non-monetary rewards to employees based on MNCs internal or external environment (Le, Brewster, Demirbag and Wood, 2013, p. 750).Food & Drink Technology Essay
The same applies in China. Coca-Cola has throughout its operations in China, Coca-Cola has realized the importance of rewards and compensation. China is one of the countries across the globe with huge amounts of smog that greatly affects employees on international assignments. This is the reason as to why Coca-Cola has been reported as one of the companies paying hardship allowances to some of its expatriates working in China. In addition, the company offers to pay for medical checkups among some of its employees as means of retaining them (Le, Brewster, Demirbag and Wood, 2013, p. 750).
Apart from the above, Coca-Cola China has been known to reward some of its top-performing employees with both monetary and non-monetary gains as means of retaining them. Apart from compensating them for some of the hardships that exist in the country, Coca-Cola has been known to be a company that rewards some of its employees with holidays, dinner in some of the most exclusive hotels across China and monetary allowances among others (Nazir, Fida and Zaman, 2014, p. 200).
International HR managers are advised to think beyond a number of set theories and come up with both monetary and non-monetary reward schemes such as benefits, perquisites, and base salaries among others that promise to retain some of an organization?s top talent (Yanadori, 2011, p. 3890).Food & Drink Technology Essay
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Conclusion
The business environment is rapidly changing. Competition and the need to stay relevant are making companies spend sleepless nights. Multinational Enterprises have not been spared. To stay relevant, there are a number of issues that are demanded of them. Through effective International Human Resource Management, such can be achieved. Coca-Cola is one such company which has managed to be relevant amid competition. The firm understands a couple of international developmental strategies in addition to international rewards and compensation strategies that have enabled it attract some of its most cherished workforce for long. With such, the company has transformed to be a global brand operating in over 200 countries globally.
Bibliography
Backes, SR 2017, ?Sustaining success at Coca-Cola?, Food & Drink Technology, 16, 5, pp. 34-36.
Foster, R.J., 2012. Coca-Globalization. John Wiley & Sons, Ltd.
Hoppe, J 2016, ?Effervescent Growth?, Food & Drink, pp. 86-87.
Inman, D 2008, ?Coca-Cola?s juicy China deal?, Financeasia, pp. 18-20.Food & Drink Technology Essay
Le, H, Brewster, C, Demirbag, M, & Wood, G 2013, ?Management Compensation Systems in MNCs and Domestic Firms?, Management International Review (MIR), 53, 5, pp. 741-762.
Leung, K, Lin, X, & Lu, L 2014, ?Compensation Disparity between Locals and Expatriates in China: A Multilevel Analysis of the Influence of Norms?, Management International Review (MIR), 54, 1, pp. 107-128.
Nazir, T, Fida Hussain Shah, S, & Zaman, K 2014, ?Review of Literature on Expatriate Compensation and its Implication for Offshore Workforce?, Iranian Journal Of Management Sciences: A Quarterly, 7, 2, pp. 189-207.
Yanadori, Y 2011, ?Paying both globally and locally: an examination of the compensation management of a US multinational finance firm in the Asia Pacific Region?, International Journal Of Human Resource Management, 22, 18, pp. 3867-3887.
HRM ASSIGNMENT INSTRUCTIONS
Robin Hrm Week-1
Robin Hrm Week-4 (P)
Food & Drink Technology Essay
