Difference Between Domestic and International HRM
Domestic Human Resource Management |
International Human Resource Management |
| Staffs are placed within the national boundaries. | Staffs work outside their national boundaries. |
| Less number of Rule and Regulations to be managed.- mostly employment and taxation rules of the home country. | Very high number of rules and regulations which are related to taxation, employment rules, language translating services, work permit etc. |
| There is uniform policy in administration | Broader Perspective- Management has to be done according Host Country Nationals (HCNS) , Parent Country Nationals (PCNS) and Third Country Nationals.(TCNS) |
| No special attention into the personal life. Confined to crèche and cultural interactions. | Special attention to personal life of expatriate employees- cultural training, schooling of children, employment opportunity for spouse. |
| Challenges are confined to the situation of a particular country. | IHRM management has to be ready to face challenges like underperformance of expatriate employees, diplomatic relationships between host country and parent country, currency exchange rates which are variable and may impact the benefits of TCNS and PCNS. |
| Special Training is not required for Socio Cultural adaptation. | Special Training for expatriates so that they might not face unnecessary hassles in the alien socio cultural environment. |
