This week we are studying the importance of an International Performance Management System. First, discuss the general role and importance of a performance management system and then, specifically, discuss how you would differentiate between an evaluation system that you create domestically from one you create internationally. In what different ways, for instance, would you evaluate values, attitude, aptitude, goals, and performance?
300 words, sources APA format, grammar and punctuation are key!
International performance management (IPM) systems are designed for the purpose of managing the global workforce so that performance contributes to the accomplishment of strategic global objectives and results in overall MNE desired performance. Obtaining valid performance appraisals, even in the domestic environment, is difficult, usually conducted by supervisors in the form of periodic evaluations.
The implementation of PA evaluation and development goals is much more complex in the global arena.
Performance appraisal evaluation goals include giving feedback to employees, generating data for pay and promotion decisions, managing promising talent for optimum performance, alerting employees about unsatisfactory performance, and making hiring and firing decisions.
Performance appraisal development goals include developing future potential and increasing performance, providing career opportunities and career planning, recognizing employee efforts, and identifying individual and organizational problems and training needs.
HQ-level considerations include strategic coordination of workforce alignment and organizational learning and knowledge management, while local level considerations include responsiveness to local conditions and sensitivity to cross-cultural differences.
European countries tend to have a strong tradition of government regulation that guides labor markets in terms of employee rights, social security provisions, health care/benefits, union negotiating rights, collective agreements, and other industrial relations services, when compared to other regions around the world. As such, these labor laws and regulations limit the HRM function’s ability to staff, train, and terminate employees.
These types of issues must be taken into consideration when designing IHR policies and practices. From a planning perspective, there are three employee groups: local employees, local nationals who studied or worked overseas, and international or global assignees. There is increasing political pressure on global companies to localize employee groups. It is critical to facilitate the transfer of skills from international assignees to local employees.