Question 1

The need to outsource employees is a complex issue for international human resource (IHR)managers as they seek to support strategic mandates.

Accepted Answer

Outsourcing employees is a complex issue for IHR managers as they must balance strategic mandates with the need for cost-effectiveness and efficient operations.

Question 2

Which of the following should ideally dictate the organizational structure and staffing needs of the firm?

Accepted Answer

The organizational structure and staffing needs of a firm should ideally be dictated by the firm's strategy, which outlines the long-term goals and direction of the organization. This can include factors such as product offerings, target markets, and competitive positioning, all of which will have implications for the necessary structure and staffing levels. Customer needs and firm size may also influence these decisions to some extent, but strategy should be the primary driver. Short-term objectives may inform staffing needs in the near term, but are unlikely to significantly impact the overall organizational structure.

Question 3

Alec is an American working for a software company in Texas.He has been assigned to work on a project in China for a year.He would be considered as a(n)________ in China.

Accepted Answer

Alec would be considered an expatriate, as he is an American who is working in a foreign country for a period of time. The other options do not apply in this scenario - domicile resident refers to someone who is a resident of a particular place indefinitely, host-country national would refer to a citizen of the country he is working in, and third-country national would refer to someone who is from a country other than the one he is working in or his home country.

Question 4

________ is increasingly being recognized as a major determinant of success or failure in international business.

Accepted Answer

International human resource management includes recruiting, selecting, training, and managing employees from different cultural backgrounds. It is crucial for companies to effectively manage their international workforce in order to succeed in foreign markets.

Question 5

Kelly Roberts, an American, is a senior manager at her firm's headquarters in New York.Kelly is a(n)________.

Accepted Answer

Kelly Roberts is a parent-country national, meaning she is originally from the same country as the company's headquarters (in this case, the United States). Expatriates are employees who temporarily live and work in a country other than their own, while host-country nationals are citizens of the country where the company is located. Third-country nationals are employees who come from a country other than the parent country or the host country.

Question 6

When the company is at the internationalization stage of strategic expansion and has a centralized structure, it will likely use a(n)________ staffing approach to fill key managerial positions with PCNs.

Accepted Answer

When a company has a centralized structure and is at the internationalization stage, it will likely use an ethnocentric staffing approach. This means that key managerial positions will be filled with parent country nationals (PCNs).

Question 7

Building global corporate cultures and staffing organizations with global leaders are some of the major challenges faced by the HR function in the global arena.

Accepted Answer

Building global corporate cultures and staffing organizations with global leaders can be challenging due to varying cultures, languages, and business practices across different regions of the world. HR departments must work to develop a cohesive company culture that aligns with the values and expectations of employees across different countries and also identify and develop leaders who can operate effectively in diverse global contexts.

Question 8

A(n)________ policy is likely to be used where a company notes the inadequacy of local managerial skills and determines a high need to maintain close communication and coordination with headquarters.

Accepted Answer

An ethnocentric policy involves high involvement of headquarters in strategic decisions and overall control of subsidiaries in foreign countries. This policy is likely to be used when a company notes the inadequacy of local managerial skills and determines a high need to maintain close communication and coordination with headquarters.

Question 9

________ are usually preferable when a high level of technical capability is required and maintenance of close control is desired.

Accepted Answer

Parent-country nationals are often preferred for roles requiring high technical capability and close control, as they are familiar with the company's practices and standards.

Question 10

In ________, operations outside the home country are managed by individuals from the host country.

Accepted Answer

Polycentric staffing occurs when operations outside the home country are managed by individuals from the host country. Ethnocentric staffing, on the other hand, is when operations are managed by individuals from the home country, while vertical and horizontal integration refer to different types of corporate strategies.

Question 11

________ are employees assigned to a country other than their own.

Accepted Answer

Expatriates are employees who are sent to work in a country other than their own, often by their employers to fulfill specific business needs or to gain international experience.

Question 12

Which of the following is a disadvantage of the ethnocentric staffing approach?

Accepted Answer

The ethnocentric staffing approach involves hiring employees from the parent country to fill key positions in the foreign subsidiary. One of the major disadvantages of this approach is the lack of managerial effectiveness of PCNs in foreign countries. This is because they may not have a thorough understanding of the local culture, language, and business practices, which can lead to inefficiencies and poor decision-making. It is therefore important to select the right individuals, provide appropriate cross-cultural training, and consider alternative staffing approaches such as polycentric or geocentric. Options A and B are incorrect because they do not accurately reflect the disadvantages of the ethnocentric approach, while option D is irrelevant because it pertains to PCN effectiveness in the parent country rather than the foreign subsidiary.

Question 13

________ are the most preferred staffing choice for a foreign subsidiary where proprietary technology is used extensively.

Accepted Answer

The answer of ________ are the most preferred staffing choice...

Question 14

Which staffing approach will most likely be effective when implementing a global strategy of "acting local"?

Accepted Answer

Polycentric staffing approach focuses on hiring and promoting workers who are local to the country or region of operation. This approach is effective in implementing a global strategy of "acting local" as it allows for local knowledge, culture, and customs to be integrated into the company's operations, which can lead to better customer satisfaction and business success. It also helps to reduce cultural misunderstandings and promotes diversity in the workplace. Therefore, the polycentric approach is the best choice for implementing a global strategy of "acting local."

Question 15

International human resource management is a vital component of implementing global strategy.

Accepted Answer

International human resource management involves managing employees across different countries and cultures, and is critical in ensuring that a company's global strategy is effectively executed. This includes areas such as recruitment, training and development, compensation and benefits, and ensuring compliance with local labor laws and regulations. Failing to adequately manage international human resources can result in cultural misunderstandings, low employee morale, high turnover rates, and ultimately, a failed global strategy.

Question 16

________ are familiar with company goals, products, technology, policies, and procedures; they know how to get things accomplished through headquarters.

Accepted Answer

Parent-country nationals are employees from the country where the company's headquarters is located, making them familiar with the company's goals, products, technology, policies, and procedures.

Question 17

Briefly discuss the interdependence of strategy, structure, and staffing.

Accepted Answer

The answer of Briefly discuss the interdependence of strategy, structure,...

Question 18

A(n)________ staffing approach is more likely to be effective when implementing a multinational strategy.

Accepted Answer

A polycentric staffing approach emphasizes recruiting and promoting employees who are native to the host country where the business is operating. This approach is particularly effective when implementing a multinational strategy as it enables the company to better understand the local market and culture, which is crucial for success in international business. An ethnocentric staffing approach (A) would prioritize recruiting employees from the home country, which may not have the necessary skills and knowledge of the local market. A regional staffing approach (C) is not specific enough and may not take into account the cultural nuances of individual countries. A local staffing approach (D) may be too narrow in focus and limit the company's ability to adapt to different markets.

Question 19

________ staffing approach serves to perpetuate particular personnel selections and other decision-making processes because the same types of people are making the same types of decisions.

Accepted Answer

The ethnocentric staffing approach involves hiring employees from the home country to manage operations abroad, which can perpetuate particular personnel selections and decision-making processes as individuals from the same culture tend to have similar perspectives and ways of doing things. This approach can limit the diversity of thought and perspectives within an organization and hinder its ability to adapt to local market conditions.

Question 20

In addition to the global war for talent, there are considerable strategic competitive challenges for firms.Which of the following is one such challenge?

Accepted Answer

Relocating operations around the world is a strategic competitive challenge as it involves logistical, cultural, and regulatory complexities that firms must navigate to remain competitive.

Quiz 9: Staffing, Training, and Compensation for Global Operations