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Globalisation Has Increased Competition Faced By Many Enterprises. There Are Resulting Pressures To Achieve ‘World Class Standards' In People Management, Operational Methods And Service Delivery"

Globalisation

Theodore Levitt, writing in 1983, is often credited with describing economic globalization as it is currently understood today. His original article was subject to a HBS Colloquium in 2003; the area of particular interest being the dissolution of national and regional preference, and the requirement for business enterprises (and those employed within them) to understand the difference between multinational and global corporations and activities; in the former an entity regards each geographic area as distinct and adjusts its prices and products accordingly, while globalization would indicate products, prices and services being targeted and delivered in a more uniform and encompassing manner (Levitt 1983). This approach and definition is still relevant, and the nature of internationally mobile resources and interdependent economies is examined in the preamble to the OECD's globalisation handbook (OECD 2005), and its implications have been studied in depth, particularly regarding the economic impact of migrating employment needs and the changes in job types and skills requirements resulting from both the influx and relocation of trade, goods and services (Warner 2002; Jenkins 2006).

Nevertheless, this is a look at the broader picture. While firms must understand the new dynamics, they must still understand that globalization has failed to change many of the fundamental characteristics of national citizenship (Hoffman 2002). While this clash and conflict is demonstrated at its most extreme by the proliferation of religion and culture as determinants of terrorism (Arystanbekova 2004; Huntington 1996), the more practical implication for business would seem to be that they will increasingly, irrespective of size, be required to operate across borders and cultures.

Literature regarding the practices and methods used by human resource managers initially tackled the role that expatriate workers would play in such a scenario, though over the past...