What are the major difference in managing an HR department between local and international firms?

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    Prerequisite – Human Resource Management (HRM)

    1. International Human Resource Management (IHRM) :
    International Human Resource Management (IHRM) is involved with the management of employees in the three nation categories i.e. parent/home country, host country and third country. Simply it can be said as IHRM is done at international level. So, staffs are placed and work outside national boundaries. It deals with several external factors such as government regulations of foreign country. There is greater complexity involved in handling different people from different countries as they work outside the national boundaries.

    2. Domestic Human Resource Management (DHRM) :
    Domestic Human Resource Management (DHRM) is involved with the management of employees in only one or single country. Simply it can be said as DHRM is done at national level. So, staffs are placed and work within the national boundaries. It deals with few and limited external factors so it is less complicated as compared to IHRM due to less influence from external factors. It is relatively easy to handle the employees as they belong to same country and all employees works inside the national boundary.



    Difference between IHRM and DHRM :

    S.No.IHRMDHRM
    01. IHRM stands for International Human Resource Management. DHRM stands for Domestic Human Resource Management.
    02. International HRM is involved with the management of employees in the three nation categories i.e. home country, host country and third country. Domestic HRM is involved with the management of employees in only one or single country.
    03. Simply it can be said as IHRM is done at international level. Simply it can be said as DHRM is done at national level.
    04. In IHRM staffs are placed and work outside national boundaries. In DHRM staffs are placed and work within the national boundaries.
    05. It addresses a broad range of HRM activities. It address a narrow range of HRM activities.
    06. In this there is a high involvement of HR manager in the personal life of employees. In this there is less involvement of HR manager in the personal life of employees.
    07. In this there is high exposure to risks in international assignments. In this there is limited risks in domestic assignment.
    08. IHRM deals with several external factors such as government regulations of foreign country. DHRM deals with few and limited external factors so it is less complicated as compared to IHRM due to less influence from external factors.

    What are the differences between international and domestic human resource management?

    International HRM is involved with the management of employees in the three nation categories i.e. home country, host country and third country. Domestic HRM is involved with the management of employees in only one or single country.

    What are the factors that moderate differences between domestic and international HR?

    Variable that moderate difference bw dhrm and ihrm.
    variables that moderates differences between domestic and international HRM •Host-country cultural environment •Type of the industry •Reliance of the MNC on its home-country market •Attitudes of the senior management..
    Factors influencing the global work environment..

    How International human resource management does it differ from domestic HRM What challenges do these difference present for HR professional?

    IHRM has to deal with more external factors as compared to domestic HRM. For example, in IHRM, the HR managers may have to deal with ministers, political figures, and government regulations of the foreign countries. However, in domestic HRM, the HR managers normally do not face such types of issues and problems.

    What is the similarities between domestic and international human resource management?

    Both domestic and international HRM have same major functions and activities in HR planning, recruitment, performance management, training and development, compensation, and industrial relations. Another similarity is related to the environmental forces that influence the function of HRM.