How to overcome the key challenges of international human resource management
Handling your International human resource management is very challenging. As a business owner, you know that managing your local team is difficult, so when it comes to a global workforce becomes harder. Therefore, it’s essential to have enough knowledge to overcome the barriers.
In this article, you’re going to learn everything you need to know about the most common challenges you may face with your international workforce. In addition, you can gain understanding about how to have an outstanding HR management in your target country.
- How to overcome the key challenges of international human resource management
- What are the challenges regarding the workplace environment?
- Why do you need to comply with local laws?
- How can you retain great employees?
- What can you do to solve cultural differences?
- How can you build a strong human connection with your international workforce?
- Why is Connect Resources your best option for HR services?
1. How to overcome the key challenges of international human resource management
Many businesses want to expand to new markets but the International human resource management becomes a challenge. This is because you’ll have a new set of issues you have to deal with.
However, you don’t have to feel threatened by this since you can have tools to overcome the issues you may face with your global workforce. Once you have knowledge about the key challenges you may encounter you then can make a smart decision regarding your expansion and HR management.
1.1 Why is international HR challenging?
When a business wants to expand its operation to a new place they can face problems that they haven’t imagined before. But, why is it so difficult to handle a global workforce? Many HR professionals have been studying this aspect.
The fact is that when it comes to an International human resource management assignment there are several reasons for it to be challenging. These are the following:
- The language barriers make the communications harder
- Time zone difference, particularly when it’s more than 12 hours, makes interaction difficult
- Local laws are constantly changing and it’s hard to keep-up-to date with them
- You may break local regulations by accident
- Cultural differences could be challenging for expat and can cause misunderstandings
- It’s hard to develop a healthy relationship and interaction within teams across borders
As you can see, there are many aspects that you must consider when you’re planning your expansion. With this knowledge, you can develop a strategic plan that allows you to address all of these problems. Hence, you’ll provide your workers the necessary tools to overcome the issues they may face.
1.2 How can you overcome the international HR challenges?
When you’re planning your expansion, you may not be considering all of the issues your workforce may face. As a business owner, you’re focusing on your productivity and profitability in your new market, but you also have to take into account your human resources.
Keep in mind that your workforce is your most valuable asset; therefore, you have to cover this aspect too. You can have an in-house HR team making the necessary tasks to prepare the workers you’re going to send to the new branch. For this reason, you must consider the following aspect if you want to overcome the challenges:
- Learn about local and federal employment laws of the target country
- Develop a strategy to improve communication within your team
- Understand and address the cultural boundaries
- Have a well-planned onboarding process
- Develop a streamlined hiring and recruitment process
- Have an outstanding administration and management of your local payroll
There are several aspects you must consider when it comes to international HR. If you don’t have enough resources or personnel to deal with this, the best solution may be contacting a global agency.
However, you have two options: you can do it yourself or delegate it to a third-party. Whatever choice you choose, it’s important to learn about the challenges you may face so you can receive an excellent service and you can be prepared to any problem that may arise.
2. What are the challenges regarding the workplace environment?
Ensuring a healthy workplace environment is a crucial part of your International human resource management. When you have several employees that all come from different cultural backgrounds and work practices you may face some difficulties in the workplace.
However, if you make your best effort to ensure a great dynamic within your team you don’t have to face any issues. For this reason, the key is prevention and developing a positive workplace culture.
So, how can you address this challenge effectively? Let’s observe:
- Focus on the needs of your employees as a whole
- Provide a healthy atmosphere with enough professional challenge and flexibility
- Promote friendship and solidarity among your team
In addition to healthy workmate relationships, you should ensure your company is well-protected in terms of security. You should implement policies that ensure your data isn’t vulnerable as well as protect your employees from personal and professional harm.
3. Why do you need to comply with local laws?
Compliance with local laws is one of the major challenges of International human resource management. You may have enough knowledge about laws in your home country, but your new target country may have a complete different legal framework. For this reason, it’s essential to understand the rules you must follow.
Handling an International human resource management assignment means you must adhere to international employment and tax laws. Therefore, it’s essential to have an ally in this matter.
Some of the tasks you have to do in this matter are the following:
- Write contracts that ensure full compliance with employment law
- Report taxes to the corresponding authorities
- File paperwork to immigration to obtain visas
- Adhere to concerning commercial laws
- Employee data collection and storage in compliance with privacy laws
It means that your HR team has the responsibility to help you understand and address all the matters regarding compliance. It’s extremely important to ensure compliance in all of your operations. Otherwise, your business may incur in liabilities and this can affect your operations.
3.1 Why is compliance so complex?
As a business owner, you must be very careful when it comes to compliance. Keep in mind that employment law varies from one country to another. Therefore, the rules you apply to your domestic labor may not be the same for your global labor.
Some of the reasons why this is a challenge for business and why it’s so complex are the following:
- Each country has its own set of rules and legislation
- You must offer an employment contract to your global labor that matches the target country rules
- It’s important to keep a focus on international HR nuances
- Local rules vary constantly, particularly in the UAE, so you must be updating your knowledge from time to time
4. How can you retain great employees?
As with your domestic workforce, you must retain your great employees. However, with a global workforce is more difficult and this is a challenge for your International human resource management.
Once you have carried out your recruitment and hiring process and you found outstanding employees you want to get them to stick around. Moreover, you should ensure they feel valuable. If you want your business to be successful you have to focus on having low turnover rates and a positive workplace atmosphere.
But, there are also some strategies you can implement to overcome the challenge of your workers leaving your business.
4.1 Compensation and benefits
When it comes to your International human resource management salary you have to take compensation and benefits into account.
If you want to have an outstanding HR management you must provide your employees the incentive they need to give their best performance. Let’s observe the following benefits and compensation you can offer:
- Offer an outstanding benefit package that goes beyond what federal laws mandate
- Consider including progressive benefits such as on-site child care or paternity leave
- Develop a work-from-home program that could be implemented during crisis
- Have discrimination policies that proves you respect diversity
- Offer health insurance and retirement plans that are attractive to your employees
In addition, you can also offer incentive programs and ask your managers to handle it with their teams. Bonuses and incentives are a great tool for retaining employees.
4.2 Training initiatives
When your employees have the opportunity to improve their skills by participating in continued education they’ll want to stay in your business. This is not only good at personal level but also it’s a huge benefit for your business.
To overcome the challenge of retaining employees you can develop training programs. Let’s observe the following strategies you can implement in this matter:
- Develop training programs in cross-cultural communication
- Encourage workers to acquire new language skills
- Offer training opportunities both in a traditional classroom and online education
- Develop a training schedule where every employee has the opportunity to participate
Offering outstanding training initiatives is part of your International human resource management salary offerings. This can help your employees to decide to stay longer in your company.
5. What can you do to solve cultural differences?
Cultural differences are a fundamental part of your International human resource management. In this context, you may face several challenges that can lead to professional misunderstandings.
When you send employees to a foreign region they may not adapt easily to the place. For this reason, it’s essential to address cultural issues so your workers can learn to work in the new country.
So, how can you deal with cultural differences in your international workers? Let’s observe the following:
- Give training to your workers regarding customs, culture and religious beliefs about the target country
- Invest in cultural training with a business focus (etiquette, customs and business decisions)
- Develop a solid onboarding process that helps your workers settle-in with ease
- Encourage good communication within the team
6. How can you build a strong human connection with your international workforce?
When you have a team working globally you may face issues regarding communication and building workmate relationships. Hence, this is a common challenge in International human resource management.
Some of the strategies you can implement to build strong teams are the following:
- Use videoconferencing to help people communicate and make eye contact with each other
- Implement development days or company trips to gather everyone in the same place
- Encourage your managers to help their teams to develop solid connections
- Use tools to connect your workers easily like instant message applications such as WhatsApp or Skype
- Implement “team building” initiatives like encouraging your workers to know each other and do small talk
7. Why is Connect Resources your best option for HR services?
Once you know the most common challenges you may face with your international HR management you want to get assistance. Here in Connect Resources we’re glad to help you meet your expansion goals.
We have been providing our service to several companies in a variety of industries and we know how to address the issues you may face. Don’t worry about your global workforce management because we will take care of everything. Our team of specialists is readily available to offer you a customized solution.
Would you like to contact Connect Resources for HR management services? You can call at +971 433 166 88 or send an email to [email protected], and you’ll talk to one of their representatives that will gladly answer all of your questions.