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Edited by Günter K. Stahl and Ingmar Björkman
Chapter 26: International Human Resource Management, Fairness and Trust: An Organizational Support Theory Framework
Ellen Whitener P&G [Proctor and Gamble] has implemented a global candidate management system [selection system] which uses a common set of assessment factors and common assessment tools, such as a scorable application with an embedded biodata instrument, a problem solving test, an English proﬁciency test, and a structured interview . . . Variations across regions can occur due to local practices, local labor pools, or lack of trust in validated assessment tools. Generalizing across cultures, P&G tends to ﬁnd that applicants generally prefer biodata instruments to cognitive tests . . . [and] P&G ﬁnds that local candidates . . . have trust issues based on their lack of experience with new selection tools or practices. (Wiechmann, Ryan & Hemingway, 2003: 79) International Human Resource Management (IHRM) is ‘the set of distinct activities, functions, and processes that are directed at attracting, developing, and maintaining . . . [a multinational corporation’s (MNC)] . . . human resources. It is thus the aggregate of the various HRM systems used to manage people in the MNC, both at home and overseas’ (Taylor, Beechler & Napier, 1996: 960). As P&G has experienced, IHRM embodies fundamental tensions between global and local practices and corporate and local cultures (Schuler, Dowling & De Cieri, 1993), tensions that result in ‘trust issues’ that can derail the eﬀectiveness of the IHRM system. Executives work hard to create a corporate human resource system that selects, develops and manages applicants, candidates and employees eﬃciently and eﬀectively throughout the organization and builds trust in the organization (Whitener, 1997). To direct and support their...
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