'GLOBALIZATION' can be described as the worldwide movement towards economic, financial, trade and communication integration (Business Dictionary, 2019). The transformation of human resources today is a direct call of the rapid changes within businesses due to factors such as globalization. In the global competition within the flat and connected new world, decision making in organizations has become increasingly intricate and convoluted. The new global world has widened the talent pool for excellent and marginal workers, and for permanent and fluid workers. HR need to take advantage of technology and data analytics to build a global human resource information system that collects and stores data from various sources.
MAJOR FACTORS FOR GLOBALIZATION-
Shortage of talented people in own country-Most of developed countries will face long term talent shortages mainly due to ageing and the retirement of baby boomers. There are more workers retiring than entering the labor force in these countries.
Availability of Low Cost Labor from Emerging Countries-The total number of university-educated workers in low-wage countries far exceeds the number for higher wage countries. Currently, India produces as many young engineers as the United States, and China produces more than twice as many. The migration of workers and outsourcing of work from emerging countries to developed countries.
Progress in new technology-Globalization is made possible by the development of cost effective, yet very powerful technologies, including the Intra- and Internet, enterprise resource planning system, data warehouse, data mart, and data analytics. Many service jobs, such as call centers, animation, transcription, and software development can be carried out remotely.
With Globalization, new trends and findings of HR is spreading widely. More and more companies began to study and analyze their employees in workplace, so they can use information on decision making. Adoption of HR related software streamlined data collection and analysis process helping managers
to predict staff needs, expedite the social connections, improve career development and make office environment more productive (Leong, 2017).
SOME KEY HR AREAS CONNECTED WITH GLOBALIZATION-
DIGITALIZED HR- Globalization brings digitalization to companies worldwide. Artificial intelligence and machine learning tools such as 'Getlink' have contributed to revolutionized recruitment other apps and software digitalized performance management and lower the cost.
PEOPLE ANALYTICS-People analytics can be defined as the deeply data-driven and goal-focused method of studying all people processes, functions, challenges, and opportunities at work to elevate these systems and achieve sustainable business success (Ghosh, 2019)
GIG ECONOMY-Gig economy show a free market system where organizations and independent workers engage in short-term work arrangements (Duszynski, 2020) Examples- Freelancers, Consultants, Independent contractors and professionals, Temporary contract workers.
CONCLUSION-
With globalization, a wide path is opened for employees for new job opportunities and it is a challenge for HR leaders to recruit the best among the market only by traditional ways.
references-
Duszynski M,2020 Gig Economy, definition statistics and trends
Ghish P,2019 What is People Analytic? definition process, trends and tools
Kapoor et al, Impact of Globalization on Human Recourse Management. available at,
6 Bhushan Kapoor.pdf (jimsjournal.org)
Leong C 2017 Four key HR trends to watch in 2018(Online) available at,
https://www.forbes.com/sites/cheetung/2017/12/19/four-key-hr-trends-to-watch-in-2018/?sh=50efbb5219de
Good article.good writeup.gain lots of knowledge
ReplyDeletewell organized in terms of hr application good luck
ReplyDeleteLike any other HR team, global HR managers are responsible for recruiting, training, professional development, benefits and legal compliance, but they do so on a global scale. There are many functions of global human resource management, some of which are: Recruitment Process, On-the-Job Training , Continuing Professional Development, Benefits and Compensation, Ensuring Legal Compliance. Moreover, today's global organizations are increasingly interested in a diverse workforce as well.
ReplyDeleteIt is a good practice for the employer and employee. however there should be proper safety for the employees in situations like at the present. The employees should not be left stranded unsafe.
ReplyDeleteGlobalization is forcing corporations to reconsider their plans for human capital. Organizations are now able to hire workers from all over the world and can then market goods and services across regional and cultural boundaries. A variety of developments in the workplace have been initiated by the impact of globalization on HR.
ReplyDeleteGlobalization has driven HR into a different aspect where Digitalization is replacing the conventional HR practices.
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