Strategic Challenges of Recruitment and Selection in Multinational Companies (Essay Sample)

Strategic Challenges of Recruitment and Selection in Multinational Companies
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Institution
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Introduction
A multinational company functions effectively due to the existence of all factors of production on board. Human assets are critical to success of the entity as they provide the required skills and capabilities increasing the competitive advantage. The human resource department needs to invest much on research regarding understanding the societal, technological and demographic shifts in accordance with changes in business environment. The random and dynamic changes being experienced in both developed and developing countries necessitate the importance of competent human resource department in multinational corporations CITATION Dic06 \l 1033 (Dickmann & Mùller-Camen, 2006). Competent department enhances the integration, implementation of creative solutions, cohesiveness and coexistence within the diverse population.
The challenges of selecting and recruiting in multinationals corporations tend to widen as the experienced retire leaving leadership void. The adaptation of the entities to the new breed of employees poses the challenges as inadequate experience is reflected in results experienced by the entities. Moreover, multinational corporations still suffer a major challenge for managing a multi-diverse and multi-generational workforce in the entity. Integration of employees becomes difficult due to culture diversity experienced in the business since employees come from all over the world CITATION Bar05 \l 1033 (Barak, 2005).
A well-structured framework is essential in the human resource department to enhance the relationship of employees in the organization. Attainment of this goal will enhance effective functioning of the organization and completely focus on the mission of the corporation. As a company attains international level arena complexity sets in international business management in terms of effectively implementing human resource management systems. In a global organization there exist crucial functions of human resource that depends on cultural and institutional context. In this consideration, the multinational manager must define human resource management policies in business cultures, national culture and social institutions where the business is stationed. This paper focuses on challenges experienced by multinational corporations in recruitment and selecting in the organization CITATION May04 \l 1033 (Mayerhofer, Hartmann, Kollinger, & Michelitsch, 2004).
Recruitment
Recruitment process refers to identifying qualified people and attracting them to apply for the vacant positions in the organization. The recruitment process is initiated with the assessment of the organization need to increase human resource assets. The organization decides the process of sensitizing potential people of the vacant positions in the organization CITATION Van06 \l 1033 (Vance & Paik, 2006). There exist different method of recruitment and selection that multinational corporation relies on and they include
Internal sourcing recruitment method
The recruiting panel uses this method in recruiting new employees in the MNC institutions. The appropriateness of this method revolves around the inclusion of qualified functional expertise in enhancing the right choice of selection. They check on the familiarity of the individual with the law and the eligibility of the applicant to the vacant post. The commitment of the applicant to the corporation is analyzed to deal with the retaining of the employees challenge.
An effective mechanism that focuses on qualified staffs is a method adopted by Multinational Corporation. The most qualified person among the applicants is chosen to fill the vacant position. In this case, the experts in the field vacant are involved to enhance the qualification of both working skills, strategic and functional aspects. After selection, the employee is undertaken through the process of training and orientation to the institution.
Problems and the challenges of the method to recruiting and selection method
Definitions of work continue to evolve, and the ranges of skills employees need to possess have not been provided in the education system. This poses a wide range of obstacle in recruitment and selecting the right person for the vacant position. The responsibilities and the qualifications of an individual do not rhyme creating an obstacle in terms of the organization achieving it goals. The current disconnect exists due to different skills provided by the education system and the actual skills the corporations need CITATION Edw06 \l 1033 (Edwards & Rees, 2006). In this scenario recruitment and assessing the right person for the vacant position becomes a challenge to the human resource management department.
Globally there exists the lack of standardization in education systems complicating the structures adopted by the organization as a system of recruiting and selecting of employees through internal sourcing method. Despite the need of the HR to scrutinize effectively as per the organization culture the challenge arise as the expansion of business beyond the borders is attained. Complexity and major disparities exist in various regions and organizations in individual countries and between countries (Hofstede, 1994).The challenges arise as the human resource department must understand all the differences that exist in all countries where the institution is based. This assists in structuring a framework that will facilitate uniform hiring decisions in the organization despite the location of the business in different countries. However, with internal sourcing method the strategy seems difficult since it does not offer a structured mechanism to be followed during interview.
There exists the challenge of the human resource department collaborating with another constituent department of the organization in attempt to enhance recruiting the right skills in the organization. In this case, internal sourcing method fails to intertwine all departments cohesively in the institutions in ensuring hiring of effective skills in the organizationCITATION Inf94 \l 1033 (Rosenzweig & Nohria, 1994). The execution of the functions of the organizations depends with the hired personnel in the organization. Thus, the department in need of the employees should fully cooperate with HR department to enhance the recruitment of the right skills in the organization.
Stagnated education system reform has also posed a threat on recruitment and selection globally. The threat revolves around technical, engineering and corporate development functions roles. In this case, the HR department has faced difficult in filling this position due to shortages and incompetence reflected by the applicants pertaining to these vacant positions. In terms of strategist on corporate and development roles the HR department faces difficult in recruiting and selecting the right person with the ability to guide the multinational corporation in time of unpredictability when relying on internal source method CITATION Fre08 \l 1033 (Fred Luthans & Doh, 2008). Moreover, the educations system is yet to equip students with the necessary tools to ensure they create competitive advantages if the person is subjected to the competitive business environment CITATION Gra10 \l 1033 (Hollinshead, 2010). The HR department of a multinational corporation focuses on the rare skills and ability in the applicant in order to enhance the survival of the business in the market competitively. Indeed, the HR department needs to strategize on the best method rather than internal sourcing that will enable them make the right choice for considering more candidates and not only but also within the entity.
External sourcing recruitment
External recruitment method relies on employee search through external recruitment tools. This is achieved through advertisement on job boards, newspapers and through publications announcement. The experience of the candidate is a vital determinant on the recruitment of the process. The method focuses on personal knowledge and the experience to be brought to the institution by the new recruit CITATION Bam12 \l 1033 (Bamber, Wailes, & Lansbury , 2012). Advertisement of the position depends on the technicality or specialty needed in the institution.
The problem and challenges of the method to recruitment and selection process
The integration of the recruits in the supply chain of a multinational corporation increases the challenges of recruitment and selection process relying on external sourcing. In this case, the difficulty arises as the HR focuses on the experience of the applicant in order to reduce the incubation period for the selected person adapting to the organization and steering it to economic and development growth. Moreover, the experience the HR demands may be available with some of the applicants but the remuneration demanded by the qualified personnel exceeds the offer of the organization since the applicant maybe leaving another organization CITATION Tim04 \l 1033 (Claydon, Beardwell, & Holden, 2004). In addition, the HR department is perturbed by the lack of soft skills such as creativity good interpersonal relationship and adaptability. These traits enhance the cohesiveness that is needed in the organization with a diverse population in order for positive results in the organization which the method may be ineffective in detecting them during the interview.
Gender balance in recruiting and selection in Multinational seem to be challenging due to movement and the skills needed in the organizationCITATION Placeholder2 \l 1033 (Suutari, Mäkelä, & Helene, 2011).
Business with inadequate soft skills raises concerns since it is an obstacle to attaining rapid expansion in different re...