International Human Resource Management and Marketing

International Human Resource Management and Marketing

Topics

1. Introduction

2. International HRM

3. Dimension of International HRM

3.1 Types of Employees

4. What is Marketing

4.1 Product Marketing

4.2 Service Marketing

5. Marketing Scenario

5.1 Interactive Marketing

5.2 Internal Marketing

5.3 External Marketing

6. What can HR learn from Marketing

7. What can Marketing learn from HR

8. How we can work better together

1. Introduction

As per my culture, father is the manager of a family. So, he takes any decision needed for his family by talking with all other members but all the members are responsible for his/ her task done in the family.

Therefore, if I think a business/ an organization is like a family where all the branches work together but play a different role. Management is the efficient operation of a business or organization towards the achievement of its goals and objectives. It involves the management of its financial, capital, and human resources which comprises its financial value.

It has several branches such as:

1. Financial

2. Marketing

3. Strategic

4. Production

5. Operations

6. Service

7. Information technology

8. Human resource management, and in the case of organizations that hire expatriates, international human resource management.

2 2. International Human Resource Management

International Human Resource Management (IHRM) is defined as a management function which deals with the management of personnel who are stationed in other countries or who are citizens of other countries that are hired to work in the organization.

Like HRM, its functions also include

1. Planning

2. Recruitment

3. Selection

4. Training

5. Performance appraisal and

6. Compensation

7. Unlike it, however, IHRM functions involve Cross-cultural training such as orienting employees with different, cultural, ethical, and religious values. It also involves global skills management.

While HRM is affected only by internal factors, IHRM is affected by both internal and external factors because it involves the management of employees that come from several countries.

3. Dimension of International HRM

3.1 Types of Employees

HCNs (host-country nationals): U.S. Company employs an Australian in Australia.

PCNs (parent-country nationals): U.S. Company sends a U.S. citizen to another country.

TCNs (third-country nationals): U.S. Company sends a Japanese employee to Singapore.

4. Marketing

The management process through which goods and services move from concept to customer. It includes the co-ordination of four elements called the 4p of marketing.

1. Identification, selection and development of a product.

2. Determination of its price.

3. Selection of a distribution channel to reach the customer’s place and

4. Development and implementation of a promotional strategy.

4.1 Product Marketing 4.2 Service Marketing

5. Marketing Scenario

5.1 Interactive Marketing

Interactive marketing is a one to one marketing process that reacts and changes based on the actions of individual customers and prospects. This ability to react to the actions of customers and prospects means that trigger based marketing is dramatically more effective than normal direct marketing.

Interactive marketing is typically 2-12 times more effective than traditional direct marketing

5.2 Internal Marketing

Internal marketing is an ongoing process that occurs rigorously within a firm whereby the functional process is to motivate, empower and align employees at all management levels to consistently deliver a satisfying customer experience.

Target group is employees
Communication between firm (management) and employees
Promotional features include salary increase, transfers, staff benefits, recognition
Increase job satisfaction
Incentives are in addition to salary
Analysis and disciplinary action is needed
Keyword: Partnership
Retention of employees is vital
Requires vision and planning
Strategic and tactical

5.3 External Marketing

External marketing is the action or business of promoting and selling services or products, including market research and advertising to clients and potential clients.

Target group is customers
Communication between firm and customers
Promotional features include word-of-mouth, advertising, newsletters
Increase customer satisfaction/experience
Incentives are by way of quality service
Public relations is needed
Keyword: Relationship
Retention of customers is vital
Requires control and feedback
Operational

Most of us are familiar with the benefits of external marketing (establishing your brand and promoting your firm), whereas the concept of internal marketing is relatively new. The benefits of a well-structured internal marketing plan can be of great value to a firm:

Employees experience more job satisfaction
Conflict in the workplace decreases
Employee retention increases
Assists a firm to build a customer-orientated workforce
Better flow to internal communication
Better compliance with standards and protocols
Employees are empowered to make decisions
Improved brand reputation

6. What HR can learn from Marketing

Talent segmentation

Customer segmentation is a common practice amongst marketing professionals and while HR does segment candidates and employees, we feel that there is an opportunity for HR to do a better job with this. For example, developing targeted Employee Value Propositions for candidate or employee segments and tailoring the message to the audience is a critical employer branding strategy.

Embracing technology to engage with employees and prospects

Marketing professionals tend to know and have access to the latest technological trends to communicate and engage with their customers. How has Marketing utilized social media to attract, retain and engage with customers?

7. What Marketing can learn from HR

Influencing business behavior and strategy. As a marketer, you often have a tangible product and/or brand communication platform. By working alongside Human Resources you have the opportunity to better understand employee engagement, behaviors, beliefs and challenges.

Putting people first. Marketing can learn from HR that the organization exists first internally and then externally. Indeed the brand lives through its employee’s thoughts, communications and behaviors.

8. How HR & Marketing can work better together

Acknowledge that you have the same purpose and social accountability. Your organization most likely has a great solution or product to meet people’s needs. Strategic marketing, brand management, and Human Resources use this purpose as a feed and driver of all decision making. Keep it in mind and leverage it as your most meaningful reason to exist in the organization. Collaborate to make it happen.

Clarify roles and responsibilities. People work better together when they know what their role is. Whatever strategy you decide to collaborate on with your peer(s) make sure you first clarify roles and responsibilities to ensure efficient and excellent execution.

Be authentic and don’t be afraid of conflict. Conflict is inevitable whenever people work together on a common goal so embrace it, learn to manage it and watch the creativity flow.

Measure the impact. Discuss with your Marketing or HR colleague how you can consolidate your dashboards or metrics to demonstrate the ROI of your strategy.

Last but not the least is that HR and Marketing don’t collaborate more often as they have a lot in common. Both areas are focused on influencing and motivating people. To do this, both disciplines need a good understanding of people and psychology. Therefore, there are additional skills and capabilities that HR and Marketing can learn from each other. We know well, that the ultimate impact is to the business