Managing Conflict Of Values In Cross-Cultural Recruiting

The given case study discusses the plight of Renate Schmidt who has been faced by a problem relating to the appointment of a new marketing head in her firm. The head will be an expatriate from America and it is due to this reason that her pay structure is relevantly different from the regular employees and various other allowances have to be provided which thereby makes her pay much more than the company head as well (Youtube.com. ,2018).

The case study comprises of a large number of conflicting values which can be stated to be as follows:

Conflicting values are values or the presence of a certain number of factors which have a strong impact on the working of the firm. In the given case study of the conflicting pays, the conflicting values are given below:

The value of the expatriate: The expatriate Anne can be described as a crucial candidate for the particular job of the marketing as in her prior activities she has single handedly looked after the ventures and hence, her employment can be deemed to be crucial for the overall welfare of the firm.
The managing of the employees: The current employees of the organization have become a primary issue for the firm as these employees have begun to believe that the current work system of the organization is inefficient in nature and that the outside expatriates will be paid more than the usual (McGregor & Doshi, 2015). Hence, this acts as a key de-motivator and affects the overall profitability of the firm.
The additional cost pressure on the company: When the extra payment will be made to the different employees, the firm will be incurring additional costs which have an impact on the functioning of the firm.

From the given situation it can be rightfully stated that Renate is in a state of dilemma and hence the following advice shall be provided to her:

Conduct a thorough research: Renate needs to ensure that if she wants to negotiate the salary of Anne then she needs to conduct a good research on her compensation package and compare it with various other countries and their related laws.
Undertake a cost-benefit analysis: It is also advised that Renate undertakes a cost benefit analysis based on the employment of Anne (Mohrman & Lawler, 2014). It can be agreed upon that although the compensation package being given to Anne is high but if the returns on her employment which can be taken to be the marketing benefits of the company are considered then, if it is taken to be high it can cause benefits to the firm which will then further assist in solving the dilemma.
Encourage a fair wage system: Moreover, Renate needs to get into a conversation with the CEO of the firm and suggest a measure based on a fair system which will make the employees happy.

The management competencies pertaining to VUCA world are as follows:

Having an adequate knowledge of the legal aspects of employing the expatriates
Having cross cultural awareness to ensure overall success
Having decision making capabilities (Kramar et al., 2014)
Ability to resolve conflicts which shall assist in achieving the overall success of the organization in the competitive business world.

References

Kramar, Bartram, DeCieri, Noe, Hollenbeck, Gerhart, Wright (2014). Human resource management in Australia – Strategy, people, performance (5th ed., pp. 6-12. ). North Ryde, NSW: McGraw-Hill.

McGregor, L., & Doshi, N. (2015). How company culture affects employee motivation. Harvard Business Review Digital Articles, 2-9.

Mohrman, S., & Lawler, E. E. (2014). Designing organizations for sustainable effectiveness: A new paradigm for organizations and academic researchers. Journal of Organizational Effectiveness: People and Performance, 1(1), 14-34

Youtube.com. (2018). `Topic 9 Managing people [hands, hearts and minds] (YouTube) | Available at: https://youtu.be/TcrwII6gbTU (Accessed on 26 Sept.2018)

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