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Modes of global integration and local responsiveness in HRM of MNEs

Chung, C. (2014) Modes of global integration and local responsiveness in HRM of MNEs. Academy of Management Proceedings, 2014 (1). ISSN 0065-0668

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To link to this item DOI: 10.5465/ambpp.2014.17654abstract


The constructs of global integration and local responsiveness have been widely used in describing and analyzing international HRM strategy and practices of MNEs. A significant amount of research tends to assume that the global integration means standardization of HRM practices by imposing parent practices to subsidiaries and the local responsiveness connotes localization of subsidiary HRM practices by following local practices. However, emerging developments in IHRM research suggest a more nuanced understanding of the constructs by recognizing multiple modes of integration. This research extends the insights from the emerging developments in the IHRM literature by examining the modes of global integration and local responsiveness in HRM of MNEs from South Korea. A multi-sited qualitative study was conducted across nine MNEs at the corporate level as well as across three India subsidiaries and three U.S. subsidiaries of an MNE. The analysis of data from sixty seven interviews reveals that the firms pursued various modes of global integration and local responsiveness simultaneously in HRM of MNEs, namely: global cultural integration; global workforce integration; global HR capability integration; localization of people; local customization of HRM practices to avoid legal risks in a host country or to position in local labor markets. The results of this study contribute to the literature by providing a more comprehensive understanding of the higher-level modes of global integration as well as local responsiveness in HRM of MNEs, and a sophisticated IHRM strategy framework, namely, IHRM strategy as a configuration of the multiple modes.

Item Type:Article
Divisions:Henley Business School > International Business and Strategy
ID Code:82727
Publisher:Academy of Management

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