IHRM Challenges in a Global Context at GlobalTech SolutionsGlobalTech Solutions $($GTS$)$ is a multinational technology firm headquartered in the United States,with subsidiaries in various regions, including Europe, Asia, and South America. With over $10,000$employees worldwide, GTS prides itself on fostering innovation and collaboration across its globalworkforce. However, one persistent challenge has been implementing a uniform performanceappraisal system that fairly evaluates employees across different cultural and regional contexts.GTSs existing performance appraisal system was designed in the U$.$S$.,$ emphasizing individualachievements, goal setting, and direct feedback. It uses a $360-$degree feedback mechanism, whereemployees are evaluated by peers, managers, and subordinates. This system works effectively inthe United States, where a culture of openness and direct feedback is common, and employees areaccustomed to receiving feedback from various sources.However, the system has encountered significant challenges when applied in other regions. InJapan, for instance, employees are less comfortable with giving and receiving direct criticism,especially from peers and subordinates. The Japanese culture emphasizes harmony, respect, andhierarchy, making it difficult for employees to provide critical feedback to those higher in theorganizational structure. As a result, feedback in Japanese subsidiaries tends to be overly positive,providing limited insight into actual performance issues.In contrast, in Germany, where there is a preference for structured processes and clarity, the $360-$degree feedback mechanism has faced resistance because employees feel that the subjective natureof peer reviews lacks objectivity. German employees have expressed concerns about the potentialfor biases in peer evaluations and prefer performance metrics that are more quantifiable and tieddirectly to job$-$specific outputs.GTS also faces challenges in its Indian subsidiary, where managers often struggle with the dualrole of leader and appraiser. In India, there is a cultural expectation that managers play a nurturingrole, providing guidance and support to their subordinates. However, this conflicts with the U$.$S$.-$style appraisal system, where managers are expected to be critical and focus on areas ofimprovement. Indian employees have reported feeling demotivated when appraisals focus heavilyon criticism without a corresponding emphasis on mentorship.The IHRM team faces a dilemma: How can they adapt the performance appraisal process to respectcultural differences while ensuring that all employees are evaluated fairly and consistently? Theyare concerned that too many modifications could result in a loss of standardization, making itdifficult to compare performance data across regions. At the same time, failure to adapt could leadto low employee morale and ineffective feedback, negatively impacting performance.In response to these challenges, GTSs International HRM $($IHRM$)$ team has been doing root causeanalysis to identify the inputs that can ease the identified challenges. They have consideredimplementing region$-$specific modifications, such as emphasizing qualitative feedback in Japan,introducing clearer performance metrics in Germany, and encouraging a coaching$-$focusedapproach in India.Furthermore, the GTSs IHRM team is considering a hybrid approach that balances globalconsistency with local sensitivity$.$ For example, they plan to focus on effective recruitment,onboarding, and to introduce cultural training for managers in each region to help them understandthe integration of different HRM functions and how cultural norms influence feedback processes.Additionally, they are exploring regional review panels that can contextualize feedback based onlocal practices while still adhering to global competitive standards.The success of this approach remains uncertain, as it requires careful balancing of global and localneeds. GTSs IHRM team must ensure that any adjustments to the HRM functions align with thecompanys overall strategy of fostering global collaboration and innovation.