Globalization represents the biggest challenge facing HR professionals in the 21st Century
The purpose of this Assignment is to explain the biggest challenge facing HR professionals in the 21st Century in the world with the effect of Globalization.The real wealth of a nation is its people and the purpose of development is to create an enabling environment for people to enjoy, healthy and creative lives. As we enter a new millennium in the world, the effect of internationalization is currently known as globalization is everywhere apparent. This has played a major role in sustaining the economic expansion of the world economy in the second half of the 20th century.
Globalization of Business is another important aspect of changing take place in the business environment of today in the world and necessitating a human resources approach to manpower. it is not only those Sri Lankan firms operate and compete abroad, but they have to compete with multinationals and foreign firms in Sri Lanka itself.
In the face of enormous and rapid change in the business environment in Sri Lanka back by liberalization of economy, globalization of business, modernization of Sri Lankan Technology and huge employment in a private sector need exist for a fresh look at the human resources.
While the IT revolution all over the world and globalization being across the corporate sector, the Human Resource Management practices and policies have undergone severe changes.The challenges that are faced by the HRM today are completely new to what has been few years ago. This essay highlights the biggest challenge facing HR professionals in the 21st Century
What is Globalization?
According to Suny Levin Institute “Globalization is a process of interaction and integration among people, companies and governments of different nations, a process driven by international trade and investment and aided by information technology. This process has effects on the environment, on culture, on political system, on economic development and prosperity, and on human physical well being in societies around the world”.
Impact of Globalization on HRM
Globalization symbolizes free flow of technology as well as human resources across Sri Lankan boundaries presenting an ever changing and competitive business environment. Globalization is a process that is people in all over the world draw in to single community linked by the vast network of communication technologies.
This kind of globalization aspect has affected the HRM in the business world of today.HR Managers today not necessary to rely in a small limited market to find the right employees needed to meet the global challenge, but today HR managers can recruit the employees from all over the world.
The Future success of any organization relies on the ability to manage a diverse body of talent that can bring perspectives, Innovative ideas and views to their work. There for HR managers needs to be mindful and employ a “Think globally for their role and should be act locally when necessary occasions.
Many local Human Resources Managers should have to undergo cultural based HRM training to motivate their abilities a group of Professional that are highly qualified but culturally diverse. The HR Professionals must assure the local Professionals that these foreign talents are not a threat to their career advancement. In several ways, the effectiveness of workplace diversity management is depending on the skilful balancing act of the HR Manager.
Global HRM refers to Human Resource Management practices that deal with managing a diversity of workforce from all around the world.
Effect of Globalization on Human Resources Management
Globalization is a term in business that refers to the integration of an organization’s operations, processes and strategies into diverse cultures, products, services and ideas. Because of its emphasis on diversity, globalization also has a deep impact on the way companies manage their employees. (Jeremy Bradley, 2018)
Understanding the effect of globalization on Human Resources will be able help managers to prepare their organization for Global Business environment. However, HR Professionals have been facing following issues and challenges,
Figure 1: HR 21st Century Issues ; Challenges
The main challenges and function of the present HR managers shown as above, the challenges can be overcome by HR Managers by giving much concentration to HR functions, If HR managers performing their function well that will be helped to overcome with some extent. The HR Managers made such strategies which are flexible and train the employees thereby Organization can get better result.
21st Century HR functions
Figure 2: 21st Century HR functions
Challenges of 21st Century HRM
Following are some challenges being faced by the HR Professionals
01. Attracting and selecting the best candidates for the organization
It has created very tough to find out suitable talent candidate will differ from others