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Transfer Of Performance Appraisal Practices From Mnc Parent To Subsidiaries In Serbia

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  • Tatjana Ratković
  • Ranko Orlić

Abstract

This paper seeks to address one of central issues in the international human resource management literature regarding the extent to which foreign subsidiaries of multinational companies (MNCs) tend to implement performance appraisal practices and policies of the parent company versus those of local companies in the host country. The study conducted in 65 subsidiaries of foreign–owned multinational companies in Serbia found that performance appraisal practices in MNC subsidiaries in this transition country closely resemble parent company practices. The conclusion drawn from the study is that the transfer depends mainly on dependence on parent inputs, the degree of parental control, and subsidiary age, implying that MNCs need to take these variables into consideration when deciding whether to transfer their performance appraisal practices to their subsidiaries in this transition country or to accept local practices.

Suggested Citation

  • Tatjana Ratković & Ranko Orlić, 2015. "Transfer Of Performance Appraisal Practices From Mnc Parent To Subsidiaries In Serbia," Economic Annals, Faculty of Economics and Business, University of Belgrade, vol. 60(204), pages 105-126, January –.
    • Handle: RePEc:beo:journl:v:60:y:2015:i:204:p:105-126
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    References listed on IDEAS

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    1. Anil K. Gupta & Vijay Govindarajan, 2000. "Knowledge flows within multinational corporations," Strategic Management Journal, Wiley Blackwell, vol. 21(4), pages 473-496, April.
    2. Milikic, Biljana Bogicevic & Janicijevic, Nebojsa & Cerovic, Bozidar, 2012. "Two decades of post-socialism in Serbia: Lessons learned and emerging issues in human resource management," Journal of East European Management Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 17(4), pages 445-463.
    3. Schon Beechler & John Zhuang Yang, 1994. "The Transfer of Japanese-Style Management to American Subsidiaries: Contingencies, and Competencies," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 25(3), pages 467-491, September.
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    Keywords

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    JEL classification:

    • F66 - International Economics - - Economic Impacts of Globalization - - - Labor
    • M50 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - General

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