Globalization
in its true sense is a way of corporate life necessitated, facilitated and nourished
by the transnationalization of the world economy and developed by corporate strategies.
Globalization is an attitude of mindit is a mindset, which views the entire world
as a single market so that the corporate strategy is based on the dynamics of
the global environment. Many globalization trends the development of trading blocs,
the opening up of national boundaries for trade, and the increasing instances
of international strategic alliances have significant influence on the theory and
practice of HRM. Application of globalization trends has so far been emphasized
only in the areas relating to recruitment, training, appraisal, and reward system
and sometimes rarely to HRD problems in strategic alliances, merger joint venture,
etc. Keeping the above facts in view, this article aims to bring into light few
major implications of globalization to the practices of HRM in the corporate sector.
In
the course of globalization, organizations face a number of critical challenges
in the form of competition, technical innovations, market-orientation, quality
of goods and services, and strategic approach to business performance. The developing
countries were in the past against globalization, but now they have opened their
doors for globalization. Many people in developed countries like USA are angry
with globalization, because the American jobs and wages levels are severely affected
by the influx of cheap imports and shifting of production to low cost overseas
location. |
