International Human Resource Management and Competency Mapping.

1. International Human Resource
Management & Competency Mapping
Abhishek Babbar
05516688521
Rohit Rawat
05616688521
Aashish Malik
05716688521
Kanika Singh
05816688521
Om Parkash Yadav
05916688521
Jasveen Singh
06016688521
Buba
70116688521

2. International Human Resource Management
Introduction
The process of procuring, allocating and effectively utilizing human resources in
multinational corporation, while balancing the integration and differentiation of human
resource activities in foreign locations.
Management of HR in business operations in at least two nations.
Definition:
P Subba Rao defines IHRM as performing HRM and its related activities and arranging for
related and necessary immigration facilities for perspective and current expatriate
employees, by organisations operating in domestic and foreign countries.
Need of IHRM:
Managing expatriates.
Globalization has forced HRM to have international orientation
Effectively utilize services of people at both the corporate office and at the foreign
plants.

3. Nature of IHRM
The advent of liberalization, Globalisation and advancement of IT has
transferred world around us. IT has brought to centric stage the importance of
HRM more than ever before.
So as the nature of HRM like:
1. The Purpose of IHRM enables appropriate deployment of HR worldwide.
2. The Quality culture exchange can maintain and satisfy the customer in
global level.
3. It creates effective utilisation of Hr in an competitive environment.
4. It increases the primary task of identify recruit and channel competent
operations for improving productivity and functional efficiency.
5. It creates opportunity to establish trade blocks to speed up HR activities.
6. Expanding the role of WTO.
7. Business environment becomes global business environment.
8. The orientation assumes greater relevance to increase the interlink across
the nations.

4. Characteristics of
IHRM
More HR activities
Involvement in employee
External Influence
Risk Exposure
Need for broader prospective
Changes in emphasis
More of Expatriates

5. Characteristics of IHRM
More HR activities:
Taxation, cultural orientation, administrative
services, Increased compliance complexities.
Increased Involvement in employees
personal life.
Personal Taxation; Voter Registration,
Housing, Children education, health,
recreation and spouse employment.

6. Risk Exposure:
Emergency exits for series illness,
personal security, kidnapping and
terrorism.
External Influence:
Hiring procedure dictated by host
country/ Foreign Tax policies/
Dealing with ministers, Political
figures etc.
Foreign HR Policies and
practices, different labour laws.

7. Complex Employee Mix:
Cultural, Political, Religious, ethical,
educational and legal background.
Changes in Emphasis as the workforce
mix of expatriates and locals vary:
Need for parent and third country nationals
decrease as more trained locals become
available.

8. Need for Broader perspective:
Pay Issues: Different countries, different
currencies.// Gender based
pay etc./Different cultural environment.

9. MODEL OF IHRM
HR
Activities
• Procure
• Allocate
• Utilize
Types of
Employees
• Home Country Nationals
• Host Country Nationals
• Third Country Nationals
Countries
of
operation
• Home country
• Host county
• Third country
IHRM

10. Types of employees in IHRM
 Home Country or Parent Country Nationals (PCNs) – Home country nationals are the
employees of the organization and are the citizens of the country where the headquarter is
located.
 Host Country Nationals (HCNs) – Host country nationals are the citizens of the country
where the subsidiary is located or when any organization recruits the nationals of the
country where the subsidiary is located.
 Third Country Nationals (TCNs) – Third country nationals are the citizens of the other
countries, and they are neither the citizens of the country where the headquarter is located
nor the citizens of the country where the subsidiary located.

11. Categorization of countries in the
concept of IHRM
 Home Country – Where the headquarters of an organization is located is known as the
home county.
 Host Country – Where a subsidiary of an organization is located is called host county.
 Third Country – Third country or ‘other’ may be source of labour or finance. E.g. An
American MNC which has a subsidiary at India may employ a French person as the CEO to
the subsidiary. The Frenchman employed is a third county employee.

12. Major Factors Affect IHRM

13. Challenges in IHRM
 Compliance with International Laws – As business begin to expand into the global marketplace,
organization hire employees from diverse geographic and cultural backgrounds, they may have
to adapt to new labor laws and tax liabilities.
 Benefits and Compensation – Benefits and compensation are the backbone of any HR Strategy,
but in international HRM, benefits and compensation are even more important as it also
focuses on minimizing discrepancies in pay between parent, host and third country nationals
and also creating an appropriate strategy to compensate expatriates.
 Training & Development – International HRM is not limited to process trainings of an
employee, it also gives attention on cultural as well as language trainings.
 Cultural Diversity – A silent issue in international HRM is understanding and maintaining a
cultural diversity.

14. Competency Mapping Process
The Process of
Competency
Mapping is as
Follows:
First Stage
Second Stage
Third Stage

15. First Stage
To decide the competencies for the position they’re assigned to according to their ability & skill.
Second Stage
Identifying the location in which the competencies need to work at the position in the
organization structure, defining the relationships with the superiors & subordinates, etc.
Third Stage
To identify the tasks that need to be accomplished, & to identify the objectives of the function
and the unit or the section where the position is located.

16. Methods of Competency Mapping
There are Various
Methods of
Competency
Mapping are:
Assessment Centre
Critical Incidents
Technique
Interview Techniques
Competency Mapping
Psychometric Tests
Questionnaire

17. Assessment Centre
It is a certain function of identifying the skill & the potential for growth. It uses a few methods to evaluate
employees for human resource and manpower purpose & decisions.
Critical Incidents Technique
A process of systematically identifying the behaviours that contribute to the success or failure of the
competencies in specific situations.
Interview Techniques Competency Mapping
Every organization has different techniques of interviewing the competencies as a part of competency
mapping.
Questionnaire
A certain technique that is followed by the organization that prepares a list of questions that the users would
fill in a return.
Psychometric Tests
The sole focus of psychometric assessment is that many organizations use as this part of the selection
process, where there’s a natural wariness about the unknown.

18. Importance of Competency Mapping
Importance of
Competency
Mapping are:
Increases The Awareness
of Existing Skill
Employees are Going in
The Right Direction
Increase Their Productivity
Build Trust Between The
Employees
Reach the Organizational
Objectives
Integrate Management
Practices.

19. Types of Competency Mapping
Intellectual
Competencies
Motivational
Competency
Emotional Competency
Social Competency
There are 4 Types
of Competency
Mapping:

20. Intellectual Competencies
The one who determines with the intellectual ability to deal with the work of a
certain individual, the certain work that deals with his/her intellectual skills.
Elements of Intellectual Competencies
•Communication
•Creativity
•Analytical Ability
•Planning & Organizing
Motivational Competency
The one who determines to increase the level of motivation in an individual to
ensure his/her works more efficiently.
Elements of Motivational Competency
•Continuous Learning
•Achievements Orientation
•Time Management
•Perseverance

21. Emotional Competency
The one who determines an individual’s emotional quotient to build self-confidence
& optimism in an individual.
Elements of Emotional Competency
Optimism
Initiative
Managing Stress
Leadership
Social Competency
The one who determines with social ability of a person that brings of inter-personal
skills & team work.
Elements of Social Competency
Teamwork
Responsibility
Customer Satisfaction
Inter-personal Skills

22. Recruitment & Selection
Recruitment and Selection is an important operation in HRM, designed
to maximize employee strength in order to meet the employer’s
strategic goals and objectives.
It is a process of sourcing, screening , shortlisting and selecting the
right candidates for the required vacant positions. This is a brief
introductory tutorial that explains different methods of hiring and how
to make effective and efficient utilization of Recruitment and Selection.
In addition, it also explains the best recruitment practices for specific
requirements.

23. Recruitment
Recruitment is process of identifying, screening, shortlisting and hiring
potential resource for filling up the vacant positions in an organization.
It is core function of Human Resource Management.
Recruitment is the process of choosing the right person for the right
position and at the right time. It also refers to the process of attracting,
selecting and appointing potential candidates to meet the
organization's resource requirements.

24. Purpose and Importance of Recruitment
• Determines the current and future job requirement
• Increases the pool of job at the minimal cost
• Helps in increasing the success rate of selecting the right candidates
• Helps in reducing the probability of short term employments
• Helps in identifying job applicants and selecting the appropriate
resources
• Attracts and encourages the applicants to apply for the vacancies in
an organization.
• Links potential employees with the employers

25. Selection
Selection is the process of picking or choosing the right candidate, who
is most suitable for a vacant job position in an organization. In other
words, selection can also be explained as a process of interviewing the
candidates and evaluating their qualities, which are required for a
specific job and then choosing the suitable candidate for the position.
The selection of a right applicant for a vacant position will be an asset
to the organization, which will be helping the organization in reaching
its objectives.

26. Advantages of Selection
• It is cost-effective and reduces a lot of time and effort.
• It helps avoid any biasing while recruiting the right candidate.
• It helps eliminate the candidates who are lacking in knowledge,
ability, and proficiency.
• It provides a guideline to evaluate the candidates further through
strict verification and reference-checking.
• It helps in comparing the different candidates in terms of their
capabilities, knowledge, skills, experience, work attitude, etc.

27. Placement
Placement is the determination of the job to which an accepted
candidate is to be assigned and his assignment to that job.
When the candidate is selected for a particular post and when he
reports to duty, the organization must place him or her in the
job for which he or she is selected which is being done through
placement. Placement is the act of offering the job to a finally
selected candidate. It is the act of finally assigning the rank and
responsibility to an employee, identifying him with a particular
job

28. Placement is an important HR function, and
if properly handled, it does the following:
• If the employees are properly placed, they will enjoy their work and
organization will not have to suffer the problem of employee
turnover.
• If employees don’t like their work, they start making excuses from
the job and remain absent. Effective placement will keep the
absenteeism rate low.
• Morale of workers increases because they get the work of their
choice, if correctly placed.
• Workers will work attentively and safety of workers will be ensured
and lesser accidents will happen.
• Through proper placement, misfit between the job and person can be
avoided.

29. Top 4 Principles Followed while Making
Placement of an Employee
(i) Job requirement – Man should be placed on the job according
to the requirement of the job rather than qualification and
requirement of the man.
(ii) Qualification – The job offered should match with the
qualification possessed by an employee.
(iii) Information – All the information relating to the job should
be given to the employees along with the prevailing working
conditions. They should also be made known that they have to
pay penalty for wrong doing.
(iv)Loyalty and Co-operation – Every effort should be made to
develop a sense of loyalty and co-operation in employees to
make them understand their responsibilities

30. Definition of Performance Management
Performance management is a shared understanding about how
individuals contribute to an organization's goals.
Performance management can also be defined as a broad system
that is linked with the processes of planning, implementing,
reviewing and evaluating, for augmenting growth and productivity
at both the individual and organizational level

31. Process of Performance Management
 Process of performance management
 According to A Handbook for Measuring Employee
Performance(Amira El-Deeb,DBA) performance management is
the systematic process of
 planning work and setting expectations
 continually monitoring performance
 developing the capacity to perform
 periodically rating performance in a summary fashion
 rewarding good performance

32. Performance management process

33. Performance management Tools
• 360 degree feedback
• Management by Objectives
• Behavior checklist
• Psychological appraisals

34. Training and development
• Training
The process of teaching new employees the basic skills they need to perform their
jobs.
Edwin Flippo – The act of increasing the knowledge and skill of an employee for
doing a particular job.
Training & Development need = Standard performance – Actual performance

35. The training process
1. Organizational objectives and strategies
2. Assessment of training needs
3. Establishment of training goals
4. Devising training programmes
5. Implementation of training programmes
6. Evaluation of results

36. Training methods
 On the job
 Orientation training
 Apprenticeship training
 Internships & assistantships
 Job instruction training
 Job rotation
 Coaching
 Off the job
 Vestibule
 Lectures
 Special Study
 Conference /Discussions
 Role play, Case study
 Simulation
 Programmed instruction
 Laboratory training
 Films
 Television

37. How to evaluate the effectiveness of a
training programme
The main objective of evaluating the training programme is to determine if the specific training objectives
are achieved.

38. Four levels of training evaluation

39. SUCCESSION PLANNING
Succession Planning:
Developing the bench strength throughout the organization so
when a vacancy occurs, qualified candidates are available
within the organization.

40. What’s
needed
for future
success?
Assess
your talent
What are
the gaps?
Develop
the talent
pipeline

41. • SUCCESSION PLANNING
Step 1. What’s needed for future success?
• What are the positions that are mission critical to your
organization’s future?
• What are the competencies needed to be successful in these
roles?
• That is, what are the knowledge, skills, attitudes, and other
abilities that are needed for success in the position.
• “What should be” for success

42. • SUCCESSION PLANNING
Assess your talent
Inventory of your talent pool.
Who are “high potential” people? “HiPo”
Who are the “high performers”? “HiPer”
How do you do that?

43. • SUCCESSION PLANNING
What are the Gaps?
• What are the gaps between what’s needed for each job
and the current competencies of the team member.
• What’s needed to move the talent to the next level?
• Create the development plans for your HiPo and Hi Per
staff members.

44. • SUCCESSION PLANNING
Develop the Talent Pipeline.
• Build new skills
• Development plans for targeted staff members
• Transfer the knowledge

46. Aims of Reward Management
• Reward people according to the value they create;
• Align reward practices with business goals and with employee values and
needs;
• Reward the right things to convey the right message about what is
important in
• Terms of behaviours and outcomes;
• Help to attract and retain the high-quality people theorganization needs;
• Motivate people and obtain their engagement and commitment
• Develop a high-performance culture.

47. The Philosophy
• Reward management is based on a well-expressed philosophy
a set of beliefs and guiding principles that are consistent withthe
values of the organization and help to enact them.
• The philosophy recognizes that, if human resourcemanagement
(HRM) is about investing in human capital fromwhich a
reasonable return is required, then it is proper toreward people
differentially according to their contribution.

48. Guiding principles
• Operating the reward system fairly, equitably
• Developing reward policies and principles that support the achievement of
business goals;
• Rewarding people according to their contribution;
• Providing rewards which attract and retain people;
• Maintaining competitive rates of pay;
• Developing more responsibility for reward decisions to line managers.

49. Financial rewards and financial incentives
• Financial rewards provide
financial recognition to people
for their achievements, they
can serve as indirect
motivators
• Financial incentives aim to
motivate people to achieve
their objectives, improve their
performance or enhance their
competence or skills by
focusing on specific targets
and objectives.

50. Contingent pay schemes
• Contingent pay
• Performance related pay
• Competence related pay
• Contribution-related pay
• Skilled- based pay
• Service-related pay