Challenges facing Global Managers Managing Global Workforce HR Capability Accenture Outlook

Synopsis.

The purpose of this article by Accenture is to address the challenges faced by managers given the changing dynamics of globalization. It is based on the premise that the best way to ensure global growth is to build and maintain a talent infrastructure. At the core of this infrastructure is the firms global human capital strategy. The challenge to building such an infrastructure resides in being able to create a coherent yet flexible strategy that can accommodate differences in statutory requirements as well as local customs. The key is to employ a neutral global approach when creating the strategy

Theory into Practice

The key building blocks of a global human capital strategy include the organizations structure, its culture, its talent management processes, its leadership and its HR policies. In the international arena, the challenges to creating an effective strategy are much complex. For instance, the article highlights the role local differences play in determining how people are motivated, developed and compensated. Examples include:

Motivation: Demotion for subpar performance is used in some Asian companies as motivational tactic. In most developed nations, this tactic is seen as a step towards being fired. Compensation: Developing an equitable wage scale is also in issue given the different economic situations around the world. Two people doing the same job in different parts of the world do not necessarily receive the same compensation. How does the firm reconcile these differences in matter that does create inequity for their employees? In addition, companies are faced with leadership challenges on two fronts. First, they must structure the organization so that it has competent and credible leaders in the right positions. Secondly, the company must employ balanced leadership. This suggests that the organizational structure needs to be modified to increase the decision making capabilities down to the local level. A byproduct of this issue is that these leaders (managers) are faced with developing a leadership style that is effective across different cultures.

Takeaways

The main takeaway from the article is companies are approaching these challenges by being both super global (consistent vision, mission, culture) and super local (modifying processes to accommodate local differences). This way they can have an organized response to identify: gaps in legal requirements, suitability of HR practices, and leadership needs as they expand their global footprint. A firms ability to respond quickly and effectively to these issues is of paramount importance in creating and sustaining a winning global human capital strategy.