Exercise 2.1: HR Strategies: The Derivation of Policy Step 2: Assume the role of a consultant to…

Exercise 2.1: HR Strategies: The Derivation of Policy

Step 2: Assume the role of a consultant to the vice president of HR and respond to the issues he has raised. Prepare concise, written responses for each issue and point out any contingencies that should be considered.

Form 2.1.1

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1. How does culture affect the role of pay as a motivating force for workers? Would this issue be raised differently in the United States?

If a worker is appreciated and paid well, they work harder and at a higherquality. If a company is expanded internationally, workers do not receivethe benefits that they would in the US and must work harder in order tokeep their jobs.

2. What would be the advantages and disadvantages of using the existing LG compensation package in India? How might it differ from a more typical Indian package? What additional information would O’Dell need to make this decision?

Advantages of the compensation package arethe use of local money alongwith vacation and pensions. Disadvantages are how workers do not wantto be at work. This differs from a more typical Indian package because itmakes salaries more comparable. O’Dell will need to look at stock plansand the vacations they have.

3. What other human resource issues might O’Dell need to be concerned about? Prepare a list and explain how they might interact.

4. How do these relate to the strategic choices that the firm has made? Does the analogy to a manufacturing firm seem appropriate?

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