IDEAS home Printed from https://ideas.repec.org/p/rdg/jhdxdp/jhd-dp2015-04.html
   My bibliography  Save this paper

The HRM of Foreign MNCs Operating in Europe

Author

Listed:
  • Chul Chung

    (Henley Business School, University of Reading, UK)

  • Masayuki Furusawa

    (Faculty of Business Administration, Osaka University of Commerce Japan)

Abstract

Europe has been a major destination for foreign direct investment as one of the triad economies with the USA and Japan. MNCs have brought not just financial resources but also human resources and, in many cases, particular ways of managing workforces from their home base. Transferring HRM practices could be highly complex and challenging, as human resources are the most country-bounded resources. Foreign MNCs operating in Europe face cross-national challenges stemming from the process of transfer and adaptation of HRM practices, due to the uniqueness of European traditions as well as the national diversity within Europe in relation to employment relations. This paper examines how MNCs from three different countries - the USA and Japan, the two other triad economies, and South Korea, a home base of emerging MNCs - have dealt with the challenges in managing human resources in their European operations within the given institutional contexts.

Suggested Citation

  • Chul Chung & Masayuki Furusawa, 2015. "The HRM of Foreign MNCs Operating in Europe," John H Dunning Centre for International Business Discussion Papers jhd-dp2015-04, Henley Business School, University of Reading.
    • Handle: RePEc:rdg:jhdxdp:jhd-dp2015-04
    as

    Download full text from publisher

    File URL: https://assets.henley.ac.uk/v3/fileUploads/research/JHD-2015-04_Chung_and_Furusawa-mtime20170410170908_2020-10-14-084253.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Scullion, Hugh & Brewster, Chris, 2001. "The management of expatriates: messages from Europe?," Journal of World Business, Elsevier, vol. 36(4), pages 346-365, January.
    2. Tony Edwards & Paul Edwards & Anthony Ferner & Paul Marginson & Olga Tregaskis, 2010. "Multinational Companies and the Diffusion of Employment Practices from Outside the Country of Origin," Management International Review, Springer, vol. 50(5), pages 613-634, October.
    3. Collings, David G. & Morley, Michael J. & Gunnigle, Patrick, 2008. "Composing the top management team in the international subsidiary: Qualitative evidence on international staffing in U.S. MNCs in the Republic of Ireland," Journal of World Business, Elsevier, vol. 43(2), pages 197-212, March.
    4. Johngseok Bae, 1997. "Beyond Seniority-Based Systems: A Paradigm Shift in Korean HRM?," Asia Pacific Business Review, Taylor & Francis Journals, vol. 3(4), pages 82-110, June.
    5. Timothy Dean Keeley, 2001. "International Human Resource Management," Palgrave Macmillan Books, in: International Human Resource Management in Japanese Firms, chapter 4, pages 98-140, Palgrave Macmillan.
    6. Chung, Chul & Sparrow, Paul & Bozkurt, Ödül, 2014. "South Korean MNEs’ international HRM approach: Hybridization of global standards and local practices," Journal of World Business, Elsevier, vol. 49(4), pages 549-559.
    7. Anthony Ferner & Phil Almond & Trevor Colling, 2005. "Institutional theory and the cross-national transfer of employment policy: the case of ‘workforce diversity’ in US multinationals," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 36(3), pages 304-321, May.
    8. Chang, Eunmi, 2006. "Individual pay for performance and commitment HR practices in South Korea," Journal of World Business, Elsevier, vol. 41(4), pages 368-381, December.
    9. Masayuki Furusawa, 2014. "Global Talent Management in Japanese Multinational Companies: The Case of Nissan Motor Company," Management for Professionals, in: Akram Al Ariss (ed.), Global Talent Management, edition 127, pages 159-170, Springer.
    10. Timothy Dean Keeley, 2001. "International Human Resource Management in Japanese Firms," Palgrave Macmillan Books, Palgrave Macmillan, number 978-0-230-59765-5, May.
    11. Paul Marginson & Mark Hall & Aline Hoffmann & Torsten Müller, 2004. "The Impact of European Works Councils on Management Decision‐Making in UK and US‐based Multinationals: A Case Study Comparison," British Journal of Industrial Relations, London School of Economics, vol. 42(2), pages 209-233, June.
    12. Phillip M Rosenzweig & Nitin Nohria, 1994. "Influences on Human Resource Management Practices in Multinational Corporations," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 25(2), pages 229-251, June.
    13. Bae, Johngseok & Rowley, Chris, 2001. "The impact of globalization on HRM: the case of South Korea," Journal of World Business, Elsevier, vol. 36(4), pages 402-428, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Joonghak Lee & Steven B Kim & Chungil Chae & Jaeeun Lee, 2019. "Career Growth Opportunity on Turnover Intention: The Mediating Role of Organizational Commitment in Multinational Corporations," International Journal of Human Resource Studies, Macrothink Institute, vol. 9(4), pages 1-18, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. 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).
    2. Tony Edwards & Paul Marginson & Anthony Ferner, 2013. "Multinational Companies in Cross-National Context: Integration, Differentiation, and the Interactions between MNCS and Nation States," ILR Review, Cornell University, ILR School, vol. 66(3), pages 547-587, May.
    3. Lazarova, Mila & Peretz, Hilla & Fried, Yitzhak, 2017. "Locals know best? Subsidiary HR autonomy and subsidiary performance," Journal of World Business, Elsevier, vol. 52(1), pages 83-96.
    4. Qi Wei & Chris Rowley, 2008. "Changing patterns of rewards in Asia: a literature review," Asia Pacific Business Review, Taylor & Francis Journals, vol. 15(4), pages 489-506, September.
    5. Johannes Meuer & Marlies Kluike & Uschi Backes-Gellner & Kerstin Pull, 2018. "Using expatriates for adapting subsidiaries' employment modes to different market economies: a comparative analysis of US subsidiaries in Germany, the UK and Switzerland," Working Papers 372, University of Zurich, Department of Business Administration (IBW).
    6. Rickley, Marketa & Karim, Samina, 2018. "Managing institutional distance: Examining how firm-specific advantages impact foreign subsidiary CEO staffing," Journal of World Business, Elsevier, vol. 53(5), pages 740-751.
    7. Bayari, Celal, 2011. "The Japanese Management and Production System in Australia Recruitment, Training and Bonus in Japanese Hybrid Factories," MPRA Paper 103683, University Library of Munich, Germany, revised 04 Aug 2011.
    8. Jean-Pascal Bassino & Marion Dovis & Pierre van der Eng, 2015. "Do Japanese MNCs use expatriates to contain risk in Asian host countries?," Asia Pacific Business Review, Taylor & Francis Journals, vol. 21(3), pages 383-402, July.
    9. Tony Edwards & Olga Tregaskis & David Collings & Patrice Jalette & Lourdes Susaeta, 2013. "Control over Employment Practice in Multinationals: Subsidiary Functions, Corporate Structures, and National Systems," ILR Review, Cornell University, ILR School, vol. 66(3), pages 670-695, May.
    10. Ahlvik, Catarina & Smale, Adam & Sumelius, Jennie, 2016. "Aligning corporate transfer intentions and subsidiary HRM practice implementation in multinational corporations," Journal of World Business, Elsevier, vol. 51(3), pages 343-355.
    11. Ashish Malik & Vijay Pereira & Pawan Budhwar & Fabian Jintae Froese & Dana Minbaeva & James Sun & Anh Tuan Nguyen & Shanzi Xue, 2022. "Multilevel relational influences on HRM practices: a cross-country comparative reflective review of HRM practices in Asia," Asian Business & Management, Palgrave Macmillan, vol. 21(5), pages 745-779, November.
    12. Grazia D. Santangelo & Anupama Phene, 2022. "Knowledge sourcing by the multinational enterprise: An individual creativity-based model," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(3), pages 434-448, April.
    13. Ji-Won Song, 2022. "Subsidiary Agency in Gender Equality Practice Implementation: The Case of Korean MNE Subsidiaries in Sweden," Management International Review, Springer, vol. 62(1), pages 103-135, February.
    14. Cerna, Luis Guillermo, 2008. "Capacidades y prácticas empresariales como mecanismo de aprendizaje organizacional y su aplicación a la gestión del Personal: Caso Multinacionales [Capacities and managerial practices as mechanism ," MPRA Paper 14203, University Library of Munich, Germany.
    15. Keisuke Kokubun, 2020. "Social capital may mediate the relationship between social distance and COVID-19 prevalence," Papers 2007.09939, arXiv.org, revised Jul 2020.
    16. Olejniczak Tomasz & Itohisa Masato, 2017. "Hybridization Revisited: New Insights from the Evolutionary Approach," Journal of Management and Business Administration. Central Europe, Sciendo, vol. 25(2), pages 43-62, June.
    17. Clint Chadwick & Janice F. Super & Kiwook Kwon, 2015. "Resource orchestration in practice: CEO emphasis on SHRM, commitment-based HR systems, and firm performance," Strategic Management Journal, Wiley Blackwell, vol. 36(3), pages 360-376, March.
    18. Hazril Izwar IBRAHIM & Khairul Anuar Mohammad SHAH, 2013. "Effects of Organizational Characteristics Factors on the Implementation of Strategic Human Resource Practices: Evidence from Malaysian Manufacturing Firms," Economia. Seria Management, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 16(1), pages 5-24, June.
    19. Smale, Adam & Björkman, Ingmar & Sumelius, Jennie, 2013. "Examining the differential use of global integration mechanisms across HRM practices: Evidence from China," Journal of World Business, Elsevier, vol. 48(2), pages 232-240.
    20. Olejniczak Tomasz & Itohisa Masato & Abo Tetsuo & Kumon Hiroshi, 2018. "Measuring Change in ‘Hybrid Factories’: Longitudinal Study of Japanese Manufacturing Subsidiaries in Poland," Journal of Intercultural Management, Sciendo, vol. 10(4), pages 109-145, December.

    More about this item

    Keywords

    multinational corporation; human resource management; Europe; Japan; USA; South Korea;
    All these keywords.

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rdg:jhdxdp:jhd-dp2015-04. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Marie Pearson (email available below). General contact details of provider: https://edirc.repec.org/data/bsrdguk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.