What is the effet of globalization on the managment of human resouce and competion?

Answer 1

More diversity, and meeting the needs of various people, and life-styles while at the same time meeting the needs of the organization and the mission statement.

Trying to get the best workers, and diversity so the company can take advantage of innovation and creativity.

Answer 2

Globalisation has been brought about by improvements in the speed and security of travel and communications, as well as the reductions in barriers to international trade.

Effects on Human Resources:
More transient work force - workers are able to become economic migrants more easily.
Greater cultural diversity needed in the work force to understand different markets
Greater cultural diversity in the work force of an organisation which needs to be recognised when considering human resource planning
Possibility of getting cheaper human resources by locating operations in areas of the world with a lower cost of living
Possibility of getting better skills by locating operations in areas of the world with better skills.

Effect on Competition.
Competition is now global. Long gone are the days when a company need only consider the actions of its competitors that operate in its territories. An organisation must look wider and consider organisations overseas that may attempt to challenge its home markets.
There are two basic strategies for competition:
1) Cost Leadership - being the cheapest
2) Differentiation - making the product or service considerably different to that of competitors.

It may be worth considering how globalisation effects these strategies.

e.g. 1) Global companies can source cheaper labour to keep costs down which will make it easier for them to be the cheapest whilst still making a profit

e.g. 2) Global companies will be able to bring novel products sourced from all over the world to a market.
Alternatively it may be necessary to differentiate your product in an international market to best fit the segment you are pursuing there.