This paper captures globalization. It explains the challenges that are faced by organizations that operate globally. It further explains the qualities that are vital for a global manager as well as recommending to the HR some of the qualities that would be vital for them to employ in these global organizations. IntroductionGlobalization refers to the integration of economies as well as the cultures of different nations. It also involves foreign direct investment and capital flows as well as the ability to transfer growth in technology from the highly developed nations to the less developed countries.
It also involves migration, which is the movement of human labor, which is the entrepreneurial power. Its expansion is reflected when there is a reduction in barriers between national borders or a complete removal or scraping of these barriers. This allows the free flow of goods and services as well as the factors of production (Beerkens 2003). This means that the restrictions of trade are reduced between the nations allowing easier importing and exporting and thus easier international trade. Globalization is a continuous process that allows integration of societies and regions as well as cultures.
This has mainly been through growth in trade as well as terms of communication. It is mainly politicians who engage in formulating policies that favor globalization and the main reason why they do this is to increase interdependence, which increases prosperity of nations (Navarro, Schmitt & Astudillo 2004). However though globalization is highly advocated for due to its great benefits, the environment in which it is to occur is complex and very dynamic. This is due to the fact that there are trade barriers between nations.
There are also restrictions that any global firm has to cross before engaging in any global activity. The other factor that makes the environment complex is the cultural differences that occur across borders. This calls for great adaptation measures. It is dynamic because it expands to very wide areas and complex because a lot of research has to be carried out to overcome the social differences (Chortareas & Pelagidis 2004). Challenges of global OrganizationA global organization is an international alliance that draws its members from at least three countries.
The members of such an organization are held together by an agreement that is formal. These organizations could be owned by the government like the United Nations while others are non-governmental organizations. An example of a non-governmental organization is Amnesty International (Beerkens 2003). An organization that is global faces various challenges, which are cultural, ethical, legal, or even economic. Such organizations create a greater interdependence among states but inevitably, they face challenges. These challenges involve such things as economic challenges. This is caused by high cost of operation. This arises because these organizations do trade across borders and a border always implies a greater cost.
These extra costs could be imposed on these global organizations as tariffs by the government for the countries, which they operate in. Great and intensive research also has to be carried out before the organizations initiate the operations. These add the operational costs (Navarro, Schmitt & Astudillo 2004). The costs could also be in form of time costs due to delays along the borders. It also goes without saying that the distances involved are wide and there fore an inevitable extra cost is incurred by the organizations to cover these distances.