Globalization is the word used to describe the growing interdependence of the world's economies, cultures, and populations, brought about by cross-border trade in goods and services, technology, and flows of investment, people, and information. It is “a process the people of the world are united into a single society. This process is a combination of Economic, technological, Socio Cultural, and political forces.
It refers to an open flow of information, technology, and goods among countries and consumers. This openness occurs through various relationships, from business, geopolitics, and technology to travel, culture, and media.
Globalization as the system of interaction among the countries of the world in order to develop the global economy.
-Greengard (1995)
To see globalization in the tendency of businesses, technologies or philosophies to spread throughout the world, or the process of making this happen.
-Arthur (1994)
However, in Rice Mill industry, globalization is be taken on the basis of economic and technological forces though organizations opting for global business have to take care of cultural and political forces of the countries concerned while implementing their strategies.
Globalization is measuring by
- Good and Service
Exports – proportion of national income
Imports
- Human Resource
Inward migration - relating national population
Outward migration
- Capital
Inward direct investment - proportion of national income
Outward direct investment
- Technology
There are three types of globalization.
- Economic globalization. Here, the focus is on the integration of international financial markets and the coordination of financial exchange
- Political globalization
- Cultural globalization
Advantages of Globalization
It broadens access to good and services
It can lift people out of poverty
It increases cultural diversity
It spreads innovation and technology
It brings lower costs for products
Higher stands of living across the globe
It accesses to new market
It accesses to new talent
Challenges of Globalization on Recruitment
While globalization offers many benefits, it’s not without challenges. Velocity Global’s 2020 State of Global Expansion™ Report: Technology Industry reveals some of the top challenges that U.S. and UK tech leaders face when taking their companies global, and leaders of other companies likely face the same obstacles.
Some of the hurdles companies face when going global include:
- International Recruiting
- Managing Employee Immigration
- Incurring Tariffs and Export Fees
- Payroll and Compliance Challenges
- Loss of Cultural Identity
- Foreign Worker Exploitation
- Global Expansion Difficulties
- Immigration Challenges and Local Job Loss
Globalization on Human Resources Management
Global human resources management and training for the management of strategic and operational staff contradictions, as well as for those who have the ability to manage a variety of cultures, provide an organized format. The development and management of global enterprise, the development of management staff in the world think they can and action, those who are equally memorable, global skills, are global. The process of globalization requires increasing the role of the intellectual tools to change human resources management in the public sector.
(Hamidi, sarfarazi, 2011, p20).
Opportunity or threat of globalization to be greatly to the capabilities and capacities of different groups and cultures, countries and different groups in making efficient programs, policies, and depends on behavior.
(Kiani, 2001, p97).
The role of the human resources unit according to the changes you mentioned should be changed. Human resources as in the past, mechanical factors were considered, but in the last twenty years the importance of a good work force, flexible, and subtly evoked. more advanced human resources units may be just the employee, Department of education and development programs designed to increase the diversity of creativity in monitoring market. but professional managers need to reload Human resources and reshaping with the operational managers have a partnership and committed to them
(barghi, peydayi, 2008, p16).
Human resource managers must change in order to change the operating role and reform processes and improve the organizational capacity of the play.
(kheirandish, afsharnjad, 2003, p15).
Impact on Globalization on Human Resource Management
- Impact on pattern of Employment
- Impact on Human Resource Development
- Impact on Employee Expectations
- Impact on Work practices
Globalization to change Operations in Rice Mill Industry
The COVID-19 outbreak has had a transformational impact on companies, and will continue to do so for the foreseeable future. The coming of the coronavirus crisis sparked the biggest change in working practices in a generation, with entire workforces either furloughed, made redundant or sent to work remotely. The speed at which these changes took place has stretched companies, as well as their IT and human resources (HR) departments, to their limits.
Both the benefits and challenges of globalization change how a business operates in different ways. When companies decide to go global, they must be ready and willing to change internal processes. This helps to accommodate new markets and make their global workforce feel comfortable and accepted at work.
In Rice Mill industry we can see many aspects of business changes once they enter the global marketplace. For example, globalization makes the workforce more diverse. This diversity is an overall positive change, but it creates some challenges, such as language barriers and differences in cultural expectations.
Employment pressures
COVID-19 has caused widespread disruption, with little chance of a return to ‘normality’ in the short term at least. Many millions of jobs have already been lost, and millions more will follow as government support schemes come to an end and we move into the next phase of the crisis.
Some operational changes which can expect from globalization into rice mill industry include:
1. Communication Challenges
Before starting to branch out from headquarters, establishing internal communication plan in place make easy to communicate the employees each other. Also, software and other digital tools help smooth global communication hurdles and allows teams to connect easily. Zoom, Slack, and Google all provide valuable tools for companies trying to manage employees in multiple offices, to solve their machine operations.
2. International Employee Expectations
Companies that want to take advantage of globalization and hire foreign workers need to accommodate them as much as possible. HR teams must also ensure their offers are competitive and on-par with local expectations during the hiring process.
3. Supporting Foreign Customers
Similar to communication changes with employees, companies must also plan for how they run customer service and support in new countries. Customers in the new market where we offer our products or services might not speak your native language or be close to your time zone.
4. Increased Competition
As globalization becomes the norm, many companies often seek the same foreign markets, which increases competition for businesses.
5. Marketing and Communication Changes
Just like hiring employees in different countries creates internal communication challenges, marketing products or services to a completely new audience creates obstacles for companies. Businesses need to adjust their marketing strategies to communicate the benefits of their product in a way that resonates with a foreign audience.
References
Here you have well explained about the impact on Globalization on HRM. Effect of Globalization on HRM Globalization of Human Capital Perhaps the best asset accessible to any organization is the labor force it gets and holds. As an organization stretches out its base to an foreign shore, the effect of that globalization on HR methodology will reach out to current specialists and furthermore to new employees.
ReplyDeleteAgree with you Oshadi. Globalization can stretch organization's base to an foreign shore. We need to do applications very carefully in this industry since we using man power here. we can use technology for milling purpose but we have to get help of labors for primary process just like collecting paddy from farmers and transport them to the milling station.
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