The paper "Individual Organizational and National Perspectives" is a wonderful example of a Management Assignment. Polycentric staffing is the policy of a company that is involved in the hiring employees and/or promoting the same employees who are actually citizens of the countries where the company was started or the country where the company was initially hosted that they operate subsidiary from. This policy is deemed to be best used when the companies involved want to keep hiring their employees at low cost (Konopaske et al 2002). This case concerns the European Buildings Materials Company (EBMC), a large and publicly listed company that is a European headquartered MNE.
It operates in the sector of building materials supply and industry. The critical decision in this company is on how to manage their employees. The company targets three businesses in the sector. Supply of the primary materials, building products, and also the distribution of the products like the builder’ s merchants and specialist’ s distribution are the main course of the multinational enterprise. It has been observed that the company, since its inception the company has had a very vibrant management team that always ensured that employees’ issues were observed without ado. It must also be noted that the guest model of human resources has been appropriately used in this organization.
The guest model of human resource management also tries to analyze the HR strategies that are implemented by any organization. It is also prevalent to note that this model also explains the practices and outcomes of the decisions. In this case, it is true to note that the appointment of the EBMC was seen to bear fruits for the company in matters pertaining to the staffing of the company. Consequently, like any other company with the intention of going global, the corporate HR department must have a crucial role to play.
However, the function of HR is faced with a big challenge to establish an effective structure and an organized plan and a process. According to Scullion and Starkey (2000), it may take three distinct forms centralization, decentralization, or transition HR approaches. In accordance with this, EBMC operates from a highly decentralized approach where a very small corporate HR department and members of its staff at the headquarters is low.
This corporate department undertakes a very narrow range of functions as compared to the centralized global firms and this reduces the cost of managing the company. This factor is recommended as it reflects the highly decentralized, well managed corporate structure that has been utilized in the organization and has in place at EBMC since its inception and especially the early days of the organization’ s internationalization. This is a structure that operates smoothly and is highly recommended to the big organizations.
This is because the company operates from a considerably simple structure just like a locally-based industry. Therefore, the HR policies and the practices get devolved down to the business unit level and this is a factor that gives support to the business strategy adopted by the company and the senior management who recognize that as a sustainable competitive advantage it derives from securing high-quality local management in the headquarters and who are able to effectively and quickly respond to the changing conditions of the host country band its culture.
Therefore, the overall duty of the headquarters is that of primarily supporting the services and the coordination of the organization. The company uses this style of staffing since it helps them in the way reducing the costs. This is due to the reason that there is already a properly managed plan and also having a well-arranged structure for the company.
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