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Cultural awareness significance derives its usefulness in the various cross-cultural researches that have made possible for abandonment of the culturally insensitive attitudes and behaviors resulting from misguided belief or ignorance in the international HRM field. According to Sparrow (2004), states that culturally insensitive behaviors and attitudes originating from human resources mangers ignorance or misguided beliefs such as “what works at home will work here” or “my way is best,” (Stacey 1996; Mabey 1999) are not only inappropriate for human resources persons in international scene, but also attributed for failure of international business.
Therefore, to international HRM awareness of the cross cultural is essential both at corporate headquarters and in the host location. This implies that international human resources manger shall formulate and implement activities such as hiring, promoting, rewarding, and dismissal based on the value system peculiar to the host country’s culture and not in accordance with home country (Barsoux and Schneider 2003). The awareness should also inform the appointments in a multinational dimension in such a way that an organization can have an expatriate general manager from home country, but should appoint the HR department manager a local. The justification being that this local person is familiar with the host country’s HR practices and by doing so conflicts are avoided.