Good communication and interaction between HR departments across the globe helps multinational corporations to create a knowledge sharing culture and ultimately improve overall company performance.

14 December 2005

AMSTERDAM - Good communication and interaction between HR departments across the globe helps multinational corporations to create a knowledge sharing culture and ultimately improve overall company performance shows new research.

This will allow employers to monitor localisation and help them achieve global objectives in terms of learning and integration according to the Chartered Institute of Personnel and Development (CIPD) who launched the report.

"Knowledge is power and networking plays a critical role in the creation and diffusion of knowledge," said Frances Wilson, CIPD International Manager.

"Exchanging information, knowledge and skills between HR departments across the globe will enable employers to develop good policies and appropriate practice quickly," said Wilson.

International HR Networks in Multinational Companies, by Olga Tregaskis, Linda Glover and Anthony Ferner, uses case studies to examine the role of HR networking within multinational corporations.

The research identifies the following functions as areas the HR networks impact: policy development, policy implementation, the sharing or creation of best practice, the capture and exploitation of distributed HR expertise, buy-in, information-sharing, and socialisation.

Although international HR networks can offer businesses huge benefits Wilson warns that there are challenges that employers will need to overcome if they are to avoid conflict and be successful in ensuring best practice across the globe. 

Wilson advised that companies need to be "inclusive in the networking, involving subsidiary levels, in order to achieve buy-in. Good communication and regular interaction across all levels will help make sure everyone understands what is considered appropriate practice and why. This will assure acceptance of the new practices and policies more readily."

[Copyright Expatica 2005]