alaudin final thesis

7/31/2019 Alaudin Final Thesis

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Submitted By: Allaudin Khan\

Roll No: 908106

In partial fulfillment of

the requirement for the

degree of

MASTER OF BUSINESS ADMINISTRATION

This thesis has been

accepted for the faculty of

Federal Urdu University

By:

Mr. Abdul Aziz Memon

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Acknowledgment

In the name of Allah, the Most Gracious and the Most Merciful

Alhamdulillah, all praises to Allah for the strengths and His blessing in

completing this thesis. Special appreciation goes to my supervisor, Abdul Aziz

Memon, for his supervision and constant support. His invaluable help of

constructive comments and suggestions throughout the experimental and thesis

works have contributed to the success of this research. Not forgotten, my

appreciation to my co-supervisor, Sir Masroor Ahmed Siddique for his

support and knowledge regarding this topic.

Sincere thanks to all my friends especially Naseer ,& Rizwan and others for

their kindness and moral support during my study. Thanks for the friendship and

memories.

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Abstract

The purpose of this report is to explore the international HRM issues

for the organization intending to expand its VET operation into the

Australia from Pakistan.

In the research, it is found that Australia has successful model of

Vocational Education Training which is globally recognized, effectively

linked with industries, great support from the government to attract

the international student and investors. Since at home country

(Pakistan) the VET system is poor and lack of support from

authorities, it is highlighted how organization may play influential role

to strengthen VET at home country form Australian experience.

According to Hofstedes cultural dimension Australia is individualist,

low power and weak masculinity society. At the other hand, Pakistan

is great differs from Australian national culture especially at macro

level. It is discussed in the report what motivational and leadership

style would organization has to consider while expanding operation

internationally. For the core HR activities recruitment and selection,

mentioned that organization has to consider driving and learning

factors for the organization and has to mainly focus on polycentric

approach to avoid cultural issues and better services to end users. In

planning training and development events for employees,

organization has to consider language, learning style and education

system. For managing performance, the employee performance

should be linked with the organizational critical success factors, need

of individualist and collectivist society has be considered, goal setting

process should be more clear, open and managers have ability to

analyse performance and also consider legal implications in

managing poor performance.

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Since Australia has wide rage of industrial relations, regulations and

law are enforced effectively at every level, so what legal and ethical

implication has to be considered while operating business in

Australia.

Apart from suggesting recommendation for the effective IHRM

practices and proactive approach to deal with cultural implication, it

is being recommended that HR department needs to be well qualified

and trained, especially in the competitive market to play its role as

strategic partner and for the smooth business operations.

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Table of Contents

Acknowledgment

Abstract

Introduction

Methodology and Limitation

Company and its Operations

5.1. Australia (HCN)

5.2. Pakistan (PCN)

Rationale for Choosing Country

6.1. Recruitment and Selection

6.2. Training and Development

6.3. Performance Management

Environmen

Implications for IHRM Practices

Leadership Style

Motivational Style

Legal Consideration in HRM

Ethical Considerations In IHRM

Recommendations

References

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1.Introduction

The overall aim of this report is to give an overview about the

possibility of expanding business into Australia for vocational

education training.Understanding about the environment and

differences in PCN (Pakistan) and HCN (Australia) cultures and its

implication on the organization. Further, this report will be

researching about what IHRM polices and procedures (recruitment

and selection, training and development and performance

management) leadership style, motivational factor, ethical and legal

implications need to be considered in the international environment

and recommendations based on the research for the effective HRM

support to the organization.

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2.Methodology and Limitations

Lack of literature especially in the context of Pakistan and covering all

topics within given word limitation were the main limitations in doing

this assignment. I could not obtain research articles, online business

reports, or specifically any case study which describes the experience

of establishing a business in Pakistan. To overcome this I read articles

which from the countries which have close socio-cultural and

geographic to Pakistan to make sense of the possible issues any

international organization can have while establishing a system in

Pakistan. However, being a Pakistani with seven to eight years ofworking experience in Administration and HR department, I was able

to relate and identify the cross-cultural differences as reported in the

literature. Probably, if I would have been in Pakistan, I would have

visited similar models of international joint ventures to provide strong

justifications on the IHRM implications in setting up a business in

Pakistan.

In order to complete this assignment, mainly focused on academic

articles, IHRM and management books, public and private official

websites of PNC and HNC.

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3.Company and its Operations

The Institute for Advancing Careers and Talents knows as iACT is a

non for profit and subsidiary organization of Habib University

Foundation. The core mandate of this is foundation to establish a

world class university along with initiating and supporting various

social developmental programmes. At present iACT is in process to

strengthen vocational education in Pakistan by developing syllabus,

offering industry based learning programmes that have better job

prospects for youth to meet the unemployment challenges. At

present, offering courses in IT, Fashion Designing, Retail Managementand call centre. Several groups has completed their certification and

successfully got job in the business industry. The management beliefs

that there is lot more to do to link VET programmes with industrial

requirements; also developed various partnership with Govt,

business community and international organizations to replicate

successful model and to support the VET in Pakistan (Habib University

Foundation 2011)

4.Rationale for Choosing Country

Australia has done tremendous work in vocational education and

training (VET). Australian VET model and qualification has sound

acceptance and recognition all over the world, which successfully

linked VET programmes with the industrial requirement and also with

the overall Australian qualification framework to address the need of

diverse field. Australian VET is the constitutional responsibility of six

Australian states, two territories and role of commonwealth

government is as ninth partner (OEDC Systemic Innovation in VET

2009) Sound political stability, seriousness and supportive attitude

from the government in supporting different educational initiatives

(internship, traineeship, scholarship) and reasonable allocation of

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budget, $33 billion allocated for education for the year 2010-2011

and VET sector is the focus of education budget- skills for sustainable

growth (Harrington & Dow 2010) also helped to build and maintain

the interest of international students and educational investors(colleges/universities). Also Australia is considered as hub for the

international students, every year, more than 400,000 students from

around 200 countries receives Australian education (Study in

Australia, 2007-08)In 2004, Australia was the fifth largest destination

for overseas students and international student was the third major

source of Australian economy-2004-05 (ABS 2007) As per March 2011

statistics, Vocational education and training was the 2nd largest area

of study for the international students, 21.4% (Australian Government

2011). Being a multicultural country, the Australian society has

greater acceptability to adjust people from different

countries/background, freedom to practice their culture and belief.

Sound financial stability especially after GFC, soft immigration policy,

rule of law, stable law and order situation are also key factors to

attract national students and investor towards Australia.

It is hoped that he expansion of international operation in supportive

environment would provide great opportunity to the HQ to mobilize

and take support from public and private organizations, learn from

Australian VET system and strengthen PCN operation. Also

convincing figures and interest of overseas students would help

organization to run their business operation smoothly.

5. Environment

5.1. Australia (HCN)

Commonwealth of Australia, known as Australia has parliamentary

democracy government. Power and procedures of Australian

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government are defined in written constitutions. (Australian

Government 2010) Rule of law, justice and independence of the

judiciary are core principles of the Australian legal system (Australian

Government 2008) Considered as one of the most stable country inthe region because of its political, economical and social Government

and regulatory institutions are reliable, transparent, independent and

globally competitive. According to world competitiveness yearbook

2007, in the Asia Pacific region, Australia was ranked as having the

lowest risk of political instability and in the world its ranked was

fourth lowest. Only country in the world, consistently maintaining is

political stability since 1999. Safe and sound quality of life attracts

attention of people from all over the world. Also sustained highly

skilled and diverse workforce, more than 30 percent workforce has

tertiary qualification across all the sectors. Offers stable and flexible

business environment and policies to the Investors, strong support

and encouragement from government through legal framework that

strengthen security, trust and efficiency in the system. Also has been

declared first in the world in global corporate governance ratings.

(Australian Government 2008)

5.2.Pakistan (PCN)

Like Australia, Pakistan also has democratic parliamentary system

with the written constitution since 1973. Constitution and democracy

has been suspended and restored several times due to poor

governance from political parties and in the result military

involvement in political issues. Since 2009 country is enjoying

democratic government system which was suspended in Oct 2002.

Since its formation, country is facing political instability due tonumber for internal problems and external pressures.

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Good governance, sustainable economy, rule of law, justice and

delivery of political agenda has been major issues and none of them

addressed efficiently by both form of government (democratic govt.

and army rule). Political instability/involvement and bad governancealso affected the services and financial performance of several

national corporations. Strong western interest has been observed due

to its geographical location specially developing western

interest/involvement in the Afghan politics after 9/11. Over the last

ten years, unemployment rate almost has been doubled from 8% t

15% and population below poverty line is 24% (CIA 2011) Because of

poor political and economical conditions, investment on education

has not been priority of Pakistan, various national and international

agencies are working to improve the education standards in Pakistan.

At present government is investing less than 2.0% of GDP on

education, trying efforts since 2000 to improve and expand education

system (Kazmi 2007) In order to strengthen country economy

government is focusing to offer flexible trade policy to build the trust

of foreign investor.

Below table is the brief overview of both culture according to

Hofstedes cultural dimensions (Hodgetts, Hodgetts & Doh 2006,

p110-113)

Cultural Australia Pakistan

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Dimensio

nHigh/Low

Power

Distance

Low power distance

society, less

structured and

decentralized/consult

ative management

and decision.

Focus to empower

lower level.

Freedom to speak and

share idea/thoughts.

Focus on trained and

skilled workforce.

Pakistani system is more

hierarchal with high

power distances.

Centralized decision

making system.

Power is remained and

enjoyed by higher

authorities/individuals.

Follow autocratic style,

no or less flexibility to

raise voice of individual

thoughts.

Power distance created

inequality between

people and groups.

Juniors are supposed to

respect elders and

superiors.High/Low

Uncertaint

y

Avoidance

Low uncertainty

avoidance society,

Look for new

ideas/initiatives and

more innovative.

Encourage diversity

and different ideas for

the success.

Ability to adopt and

face complex

situations.

High uncertainty

avoidance society.

Avoid taking new

initiatives /risks, follow

defined structures, rules/

instructions.

Less speaks about

rights/issues, feel

threaten to face new

situations.

Stable and secured

environment helps to

improve motivation.

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Demonstrate loyalty with

organization/brand.Individuali

sm V/s

Collectivis

m

Individualism society,

focus on personal

needs.

Look for personal

promotion, reward

and autonomy.

Focus on job, less

efforts for

relationship.

Motivated through

sharing

ideas/involvement in

decision making and

flexibility.

Collectivist society, focus

to be in groups.

Decisions benefits are

linked with group

acceptance.

More reserved, avoid

direct confrontation.

Importance to non-verbal

language as body

language, eye contact,

voice tone.

Masculinity

v/s

Femineity

Weak Masculine

society, focus on

cooperation and

friendly environment.

Low stress work

environment.

Managers give

freedom to employees

for growth and credit

for the achievements.

Female holds high

level jobs and in

representation in

boards.

Support to strengthen

surrounding

environment.

Strong masculine

society, focus on earning

and recognition.

High job stress and low

freedom from managers.

Achievement is

considered with wealth.

Less

freedom/opportunities

for females-minimum

supervisor positions.

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It is high probability that sound political stability, govt. initiatives for

the educational activities, existing Australian VET model and

Australian market for the international students would helporganization to make smooth transition. Also there would be an

opportunity for the PCN employees to experience and learn from the

environment to improve their understanding about VET. PCN may

also develop avenues and mobilize public and private organizations

working in Australia-VET areas to support HQ VET operations; also

experience from Australia may help PCN to play influential role to

mobilize Pakistani VET authorities. At macro level there is much

difference between both countries culture but at micro level

especially people working in this area have some basic understanding

about the western cultural norms. Apart from many positive aspect of

expanding business overseas, it would also be a challenge for the

organization. The provision of regular training about both cultures,

relevant IHRM polices and proactive approach to manage possible

cultural and IHM issues could make it more beneficial for everyone.

6. Implications for IHRM Practices

Apart from the increasing organizational profitability, maintaining the

interest of share holders, and expanding business, internationaloperations provides great opportunity to the organization to learn

from host country competitors, practices, add value and an

opportunity to replicate the best practices at PCN. This developing

trend also opened many challenge for HR professionals to think more

strategically how they can add value for the successful operation of

international business by utilizing optimum resource.

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Similar to other functional specialist, HR professional also facing

challenges to address three competing aims to serve more

professionally through minimizing the cost of services and head

counts (operational driver), offer quality services to address theincreasing demands of unit heads and employees (relation driver)

and to support the strategic business of the organization

(transformational driver) (Cier, Fenwick & Hutchings 2005)

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Following are few main areas of IHRM for which organization need to

Areas IHRM ImplicationsRecruitment

(Internally)

What criteria and agreement would be required for

internal recruitment and selection for the international

assignment?

What factors do we need to consider other than

technical competency and past performance for the

international assignment?

What type of human relation skills would be needed?

Do we need to consider gender, age, academics for

the selection or preference will be given on

organizational need?

What cross cultural orientation programme would be

needed for the employee and his/her family?

What immigration and govt. laws need to be

considered for sending staff for overseas operations?

What skills and training existing HR department/line

manager is needed to manage with all these issues

professionally and legally?Recruitment

(Externally)

What best economical sources are available to hire

required workforce? (newspaper, websites, recruitment

company, university graduates)

Role of HQ HR office in the recruitment and selection

processes and what type of service level agreement

needed between PCN and HCN offices?

Probationary period-operational and legal

requirement?

What assessment and selection process would be used

for selection, considering the environment and job

requirement (interview, committee decision, industrial

psychologist?)

What legal requirement need to consider for the hiring

(unions, EEO, anti discrimination law, privacy act and

govt. legislation)?

What type of employment (part time, full time,

contractual) would suit organizational need?

What degrees of gender balance need to maintain

considering organizational business and culture?

What orientation programme would be needed for

external recruitment (organization vision/goal

language, culture), ?

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6.1. Recruitment and Selection

In organization, recruitment, selection and induction system play key

role in hiring and maintaining quality workforce and evaluating its

overall effectiveness. Efficient management of this important area

also provide competitive edge over its competitor (Jones 2010,

p.368). According to the top HR issues of 2000 (citied in Stone 2005,

p 187) Downsizing, global skills shortage and pressure to save cost

and compete has made recruitment top priority.

Since the idea of international expansion is to add value in PCN VETthrough host country model/experiences, so organization has to

consider the purpose of recruitment/assignment, type of staff, at

what time and from where and they need to recruit. To understand

this need organization has to define what are demand (launch new

initiatives, subsidiary start up, managing control, functional tasks)

and learning driven (business skills, team development, transfer of

skills and knowledge) for the organization (Schuler, Briscoe & Claus2009, p.186).

For international business the organization has to make some

necessary amendments in their existing HR policy. Considering main

objective of expanding business internationally and addressing

learning driven factor and shortage of skills at HQ (lack of VET

speciality); organization has to make necessary provision in theirrecruitment policy to adopt polycentric approach for most of their mid

and low level vacancies for both academic and non academic staff. To

deal with the driven factor for the operations to start up business with

better organizational understanding, practising HQ polices and

managing control, the provision of ethnocentric approach should be

adopted for some management level position.

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At HQ, handling and addressing HR activities are less legislative and

less formalized as compare to the Australia. In Australia the

employment is being offered and accepted in different categories,

(full time, part time, job sharing, contractual, seasonal staff,)organization has to develop flexibility in their recruitment policy to

attract the potential candidates by choosing most economical option.

Also organization has to take into consideration that different

employment comes under different types of award, collective

agreement and has to oblige with state and federal legislations.

Further to oblige with internal polices and external legislation,

organization has to develop sound understanding to deal with

external service providers (auditors, consultants) professionally. The

provision of service level agreement within organization (PNC & HCN)

and external bodies with would avoid any ambiguity and improve the

overall services. In highly competitive environment, to attract, keep

motivated, retained skilled/experienced and maintain internal and

external competitiveness, job evaluation, persons specification has to

be the part of recruitment policy. Further, organization has to

incorporate following part in their recruitment and selection policy.

Equal Employment Opportunity

Anti Discrimination Act

Privacy Act.

Occupational Health and Safety

Unfair Dismissal

Fair Work Act-National Employment Standards-Flexible Work

Environment

6.2. Training and Development

Culture, Learning Styles, Education Level and Forms, Language,

Training and development laws and Transfer of Learning are main

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issues for the training and development in international context.

(Schuler, Briscoe & Claus 2009, p. 202-207) Before initiating any

training programme organization has to understand educational

process. Like many Asia countries, also in Pakistan, education systemis much formal, more authoritative, and delivery is done through one

way process as compare to Australia where education is system is

less formal, focus on interaction and encourage student

participations. Organization also needs to consider what learning

style would be suitable in diverse culture between high/low power

distance, high/low uncertainty avoidance and various training

techniques (brain storming, simulation, case studies and experience

based). Language also play important role in the success of training,

since the organization is academic institution and most of employees

are able to understand and speak English reasonably at the home

country, so the single language (English) would be more effective in

terms of quality, easily availability of delivery/resources, cost and

with the provision of learning english where necessary at some staff

level. Organization also needs to take into consideration how

effectively they deal different internal and external laws both at PCN

and HCN (regulatory compliance being an academic organization for

the course delivery, training bonds, raise in pay with the knowledge

and skills, pressure from staff and union and to retain their skilled

employee). Further, in terms of transfer of learning, organization also

has to asses through job performance, regular follow ups with the line

managers, employee as well customer how training and development

is being incorporated into work practices.

6.3. Performance Management

Organizations expect high performance, like MNCs give extra

consideration about the performance of their workforce, project and

for the entire business unit. Utilize their best effort to align expectedjob result with the overall business strategy and focus on highly

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engaged employees and teams to achieve their business goals and

compete. (Schuler, Briscoe & Claus 2009, p.287). In the competitive

and diverse work environment, the role of HR demands consider

several factors in designing and implanting performancemanagement system for the MNE, how the employee performance

will be aligned with organizational critical success factors (CSF) as

well the purpose of the overseas business and how performance

appraisal will support other functions of HRM and HRD (training,

managing performance, rewards). Following approaches may help to

improve the organizational effectiveness.

To make it more effective and involve every stake holder in PMs, it

could be divided into three parts plan, performance and review. A)

planning-based on the organizational vision/mission define CSF for

the organization, develop strategic and operational plans based on

the organizational CSF later on link these departmental CSFs with

the KPIs for the individual/teams with provision of capacity building

(training, development and new skills). B) Performing-based on the

defined CSF and KPIs monitoring by management-contribution and

behaviour of individual, self/peer monitoring and consider the

internal and external environment. C) Reviewing-analysing and

appraising performance based on the evidences, opportunity for

the individual to review his own and feedback on manager

performance, contribution of individual/teams how would it

improve further. (Tovey, Uren & Sheldon 2010, p.62)

Consider cultural diversity (low and high power distance) to review

performance, who will be responsible and what sources would be

appropriate to get feedback (formal, informal, individual and team

based performance). Hofstede (cited in Glinow, Drost & Teagarden

2002, p.123-140) Like in individualistic societies (US, Australia and

Canada) the relationship between employee and manager is more

utilitarian/practical like a business. (Hofstede, 1991) Employer

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expects from their employees to perform according to the need

and also employee acts to optimize own needs (Glinow, Drost, &

Teagarden 2002).

Also team based assignments and performance management

system will support both employee and employer, learn from team

member skills, expertise to maintain high quality performance. In

last twenty years, the trend of team working has been increased.

It provides opportunity to the employees and organization to deal

with the complex organizational assignments which are beyond

ones compatibility and tool to empower teams as decision makingdecentralized. Also effective teams and members support to

reduce cost, improve quality and provide competitive edge

(Ambos & Mahnke 2010)

Especially in Australian context the goals setting process should

be more open, agreed between line manager and managers and

employee or team should given a room to take the responsibility in

decision making process and well communicated.

Line manager should be well trained about the cultural implication,

how cultural adjustment may affects on the employee

performance, ability to analyse what needs to evaluate, avoid

potential problems in analysing performance (intervention, human

error, halo effect). Also ability to provide or arrange necessary

support (coaching, mentoring, training) if any employee is going

through with underperformance. Robert (citied in Tovey, Uren &

Sheldon 2010, p.147) lack of skills in analysing performance may

affects credibility, effectiveness, purpose and reliability of PMs.

Performance should be discussed with the employee on quarterly

basis rather than just assessing at the end of the year just for

organizational activity. It will provide a chance both employee and

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line manger to reflect on the performance and made necessary

alignment during the year.

In the Australian context, HR and line manger should be welltrained about legal implication (industrial laws) of dealing with

under performance, unfair dismissal and to deal with unions.

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7. Leadership Style

To deal with diverse work force, leader should be multicultural leader.

S/he has skills and attitude to inspire, keep people motivated from

diverse background and lifestyle. Has provision to adopt different

approaches and show flexibility to fulfil the need of diverse workforce.

(Durbin, Dalglish & Miller 2006, p.431) In such environment leaders

has to build long term relationship or partnership with their team

members to share the power and responsibilities for the achievement

of organizational objectives. Peter Block (cited in Durbin, Dalglish &

Miller 2006, p.3) mentioned that in a partnership power is almostbalanced between leader and group members.

In order to build effective partnership, leader has to create an

environment to exchange of purpose, right to say no, joint

accountability and absolute honesty. (Durbin, Dalglish & Miller 2006,

p.4) Since the organization academic, is mainly based on

professional and certified staff so its needed minimum supervision

and leadership as compare to other business environment.Considering the nature of organization, its business and environment

(weak masculinity society), participative leadership style would be

more appropriate. This will facilitate the environment of sharing

decision with members, working with team, take everyone in

confidence, opportunity for leader to keep team motivated through

consultation, also help leader and organization to take feedback from

those are closer to end users. Further, participative style willencourage coaching teams, discuss and negotiate their problems and

collaborating with others. Since most of the employee would be

professional, competent, eager to take responsibility and wanted to

involve in decision making process so participate leadership style

work well in this case.

8. Motivational Style

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For the multinational operations, managers and organization has to

understand the need of individualist and collectivist cultures and

while thinking and using any reward as employee motivational factor.Monetary incentives are not only tool to keep employee motivated

and expect high performance (Mead 1998, p.190). In individualist

culture (Australia) people critically evaluate and ask what in for me,

in this society personal and professional achievement are important,

they motivated by having an opportunity of sharing ideas, freedom to

speak, professional development, autonomy and flexible working

hours. However, organization also has to consider the motivational

factors for their expatiator such as job security, stability, health and

safety, opportunity for self learning and recognitions of their

achievements.

9. Legal Consideration in HRM Policies

Occupational Health and Safety

In Australia, each state and territory has legislation governing

occupational health and safety. Legally employer is responsible to

provide safe and sound work environment and maximum information

about potential hazards at workplace. (Jones 2009, p.415) To

compliance with regulations, organization has to develop clear

understanding about their employee and employer rights and

responsibilities.

Equal Employment Opportunity

Organization has to be very careful when managing any recruitment,

selection activity (placing ad, interview questions, and organizational

activities training, retention, redundancy). It is unlawful to

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discriminate on the basis of gender, race, nationality, colour and

religion.

Fair Work Act

In Australia employment comes under different types of awards or

agreements and different types of wages rule applies. Also this law

impose minimum entitlements are called national employment

standards.Organization to get adequate understanding of these law

and legislation to oblige with the legislations.

Unfair Dismissal

Termination of employment without obliging the defined rules is

unlawful. Workplace Relations Act 1996 (Cwlth) administer procedural

fairness to deal with employee termination.

In addition to these legislation there are series of legalobligations/laws for the employer (privacy act, anti discrimination,

sexual harassment, protocols for grievances, mediation) that need to

be incorporated in organization policies and practices to avoid any

irregularities and for smooth business operation.

10. Ethical Consideration in HRM Policies

Milton Friedman (cited in Mulligan 1986) suggested that in business

action should be ethical and legal while maximizing profit. Also

(Grace and Cohen 2010, p.34) mentioned that good ethics is good

business, further they mentioned that business does not operate

because its support particular individuals, business serves society

and fulfil individual and collective needs. In order to operate business

ethically in the society and to provide guidelines to every

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stakeholder, organization should develop a code of ethics/conduct

that reflects organizational values and responsibility as member of

the society.

Organization has to consider ethical implication that no preference

would be given based on gender, age, colour, religion. How would

facilitate people have disability, with some assistance people may

make valuable contribution in society-organizational responsibility

as an effective member of the society.

Also provide safe and sound workplace environment to everystake holders (physical-injuries and psychological hazards-bullying,

stress) employee rights to know about relevant information,

possible hazard, health implications if associated with any

particular job.

Guidelines what is right, wrong and ethical and unethical in

particular environment, while managing business activities.(Exchanging gifts/souvenirs and extra money to speedup work

could be considered as corruption)

Fairness and justice approach that everyone will be treated

equally and equal opportunity managing T&D, PM, managing

grievance, allocating resources. No discrimination with women

facing pregnancy phase.

Apply utilitarian approach that provides maximum benefits to

large number of people and les harm (e.g. finalizing tea/lunch

break timings, meeting venues, preference should be given that

produce more pleasure for everyone)

11. Recommendations

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Considering the learning driven factor for the organization

(business skills, team development, transfer of skills and

knowledge) and shortage of skills at PCN to offer vocationaltraining programmes, organization has to choose polycentric

approach for medium and junior level positions. Apart from

minimizing the international staff cost (hiring, accommodation,

travel, adjustment problem, families issues, and extensive cross

cultural training) this approach would benefit organization to

understand the need of their customers having same culture,

provide quality services according to the environmental standards.Also the availability of trained workforce with different

engagement options (full time, part time, seasonal) is easily

available as compare to Pakistani environment. In addition to this,

this would help organization to utilize this trained workforce to add

value to the HQ operation, minimize the cost as compare to hiring

consultancy services for the home business and staff training.

Since the low and medium level staff has direct interaction with

the end users (students/community) it would also eliminate the

risk of cross cultural issues.

For the demand driven factor and to manage supervisory control

over the business, utilize organizational resources wisely and to

develop the team of global manager, preference should be given

for internal recruitment (HQ employee). This approach will take

less time to understand the organizational dynamics, vision,

values and to use resources to transfer of knowledge for both

countries. It would also help organization to place organization

interest well, avoid any uncertainty of staff retention at higher

level and utilize/share organizational available resources both PCN

and HCN wisely. Further it would build the team of global

managers and may use later at any other place if needed.

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Since the organization is mainly relaying on overseas model to add

value at home country vocational centre, the focus of capacity

building of overseas staff and use them for HQ business could be

more economical option. The training of foreign staff would addvalue to foreign subsidiary to deal with their competitors and also

replicate that training for the headquarter staff to avoid any

additional cost (training fee, travel of trainees, resources).

Adding technology for the training programmes (video

conferencing, online training) would also effective, economical

option and also provide a greater chance to participant to learnduring their job, academic breaks, from each other experiences

and to maintain effective working relationship between PCN and

HCN employees. To be more effective in terms of cost and

providing quality services to external (students/community) and

internal (managers, employees), organization may develop a team

of trained people to provide ongoing and on job training to their

employees.

While selecting staff from headquarter for overseas operation, it

should be mixture of age, experience and education so they can

adjust effectively and support each others. People having overseas

experience may adjust easily as compare to others. Married,

couple belongs different fields and female staff may face

adjustment problem for the overseas responsibility and may add

additional employment cost.

Also recruitment policy must have a provision for different types of

employment opportunities (full time, part time, job sharing,

seasonal staff, contacts and consultancy) to chose best possible

option.

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Since Australia has wide range of industrial laws, regulations and

active union role, so organization has to adopt proactive attitude

to familiarize and gets proper orientation for all these legal

compliances to deal with internal and external clients. Failure tocompliance with laws may affect organizational image and may

increase overhead cost.

In order to offer high quality services, avoid ambiguities with the

internal and external compliance, organization should develop

service level agreements with internal (HR, Finance, Audit) and

also with the external regularity authorities.

The services of HCN employee may be used to provide training for

the PCN employee to save some cost (training cost, travelling and

others).

Comprehensive cross cultural training should be planned for both

expatriate and HNC employee. Without providing understanding ofculture it might possible that people may face major social

problems or challenges and their acceptance could be in trouble.

(Stone 2005, p.788)

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