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Global standardization or national differentiation of HRM practices in multinational companies? A comparison of multinationals in five countries

Author

Listed:
  • Tony Edwards

    (King’s College London)

  • Rocío Sánchez-Mangas

    (Universidad Autónoma de Madrid)

  • Patrice Jalette

    (Université de Montréal)

  • Jonathan Lavelle

    (University of Limerick)

  • Dana Minbaeva

    (Copenhagen Business School)

Abstract

Drawing on a dataset constructed from a parallel series of nationally representative surveys of multinational companies (MNCs), we compare the performance management (PM) practices of MNCs in the UK, Ireland, Canada, Spain, Denmark and Norway. In each country we analyze data relating to MNCs from that country and of the foreign affiliates of US MNCs. We argue that there is evidence of standardization in the nature of practices across countries, particularly evident in the analysis of US MNCs. Standardization of practices among MNCs is also evident in the rather limited variation in practices between US and indigenous MNCs within each country. Moreover, even where there is evidence of variation across and within countries, this cannot be fully explained by adaptation to local institutional constraints but rather can be seen as the product of how distinct national contexts can promote the take-up of practices.

Suggested Citation

  • Tony Edwards & Rocío Sánchez-Mangas & Patrice Jalette & Jonathan Lavelle & Dana Minbaeva, 2016. "Global standardization or national differentiation of HRM practices in multinational companies? A comparison of multinationals in five countries," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 47(8), pages 997-1021, October.
  • Handle: RePEc:pal:jintbs:v:47:y:2016:i:8:d:10.1057_s41267-016-0003-6
    DOI: 10.1057/s41267-016-0003-6
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    8. Gregory Jackson & Richard Deeg, 2019. "Comparing capitalisms and taking institutional context seriously," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(1), pages 4-19, February.
    9. Jirjahn, Uwe, 2021. "Membership in Employers' Associations and Collective Bargaining Coverage in Germany," IZA Discussion Papers 14783, Institute of Labor Economics (IZA).
    10. Song, Ji-Won, 2021. "How MNE subsidiaries transfer HRM practices in distant environments: A tale of two IKEA subsidiaries," Journal of International Management, Elsevier, vol. 27(2).
    11. Dimitrios Georgakakis & Mads E. Wedell-Wedellsborg & Tommaso Vallone & Peder Greve, 2023. "Strategic leaders in multinational enterprises: A role-specific microfoundational view and research agenda," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 54(3), pages 514-537, April.
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    15. Len J. Treviño & Carolyn P. Egri & David A. Ralston & Irina Naoumova & Yongjuan Li & Fidel León Darder & María Teresa Garza Carranza & Olivier Furrer, 2020. "A Cross-Cultural Examination of Person-Organization Fit: Is P-O Fit Congruent with or Contingent on Societal Values?," Management International Review, Springer, vol. 60(2), pages 287-314, April.
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    17. Roşca Vlad I., 2022. "Person-Job Fit and Subjective Underemployment in Multinational Companies," Proceedings of the International Conference on Business Excellence, Sciendo, vol. 16(1), pages 981-991, August.
    18. Dan V. Caprar & Sunghoon Kim & Benjamin W. Walker & Paula Caligiuri, 2022. "Beyond “Doing as the Romans Do”: A review of research on countercultural business practices," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(7), pages 1449-1483, September.
    19. Joey Soehardjojo & Rick Delbridge & Guglielmo Meardi, 2023. "The hidden layers of resistance to dominant HRM transfer: Evidence from Japanese management practice adoption in Indonesia," Economic and Industrial Democracy, Department of Economic History, Uppsala University, Sweden, vol. 44(3), pages 679-702, August.
    20. Tony Edwards & Luda Svystunova & Phil Almond & Philipp Kern & Kyoungmi Kim & Olga Tregaskis, 2022. "Whither national subsidiaries? The need to refocus international management research on structures and processes that matter," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(1), pages 203-210, February.
    21. Kornelakis, Andreas, 2018. "Why are your reward strategies not working? The role of shareholder value, country context, and employee voice," Business Horizons, Elsevier, vol. 61(1), pages 107-113.
    22. Uwe Jirjahn, 2023. "Membership in employers’ associations and collective bargaining coverage in Germany," Economic and Industrial Democracy, Department of Economic History, Uppsala University, Sweden, vol. 44(3), pages 798-826, August.
    23. Sarianna M. Lundan & Jiatao Li, 2019. "Adjusting to and learning from institutional diversity: Toward a capability-building perspective," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(1), pages 36-47, February.
    24. Gabriela Gutierrez-Huerter O & Jeremy Moon & Stefan Gold & Wendy Chapple, 2020. "Micro-processes of translation in the transfer of practices from MNE headquarters to foreign subsidiaries: The role of subsidiary translators," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(3), pages 389-413, April.

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