StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Globalization Influence on Big Companies Management - Research Paper Example

Cite this document
Summary
The author of the paper gives a detailed information about a globalization which has influenced big company’s management on levels of organization and administration making specific impacts and bringing certain ramifications in managers’ work…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER92.9% of users find it useful
Globalization Influence on Big Companies Management
Read Text Preview

Extract of sample "Globalization Influence on Big Companies Management"

 Globalization influence on big companies’ management Management activity has existed since a very ancient time, probably, since the time when first human communities have come in need of organization of their social life. And as well as political and military management, economic management is one of the earliest forms of organized social relations. Naturally, it has been practiced long before the Industrial Revolution of 19th century, but specifically after the industrialization a “golden age” of management has come, and a lot of schools and strategies on a subject of company’s organization and administration have been developed. However, in latter 20th century managers have faced some new challenges coming along with age of information, and particularly, globalization. Nowadays, globalization has influenced big company’s management on levels of organization and administration making specific impacts and bringing certain ramifications in managers’ work. On a field of economy and business, for big companies, globalization is “a process of interaction and integration” among companies from different countries around the world, a process, which is “driven by international trade and investment” (Globalization101, 2015). Globalization reasons most of the innovations and renewals, which world companies come through, because under the conditions of globalization business competition increases omnidirectionally. Globalization also “forces” companies to interact, and be open to the word market, because national economies of world countries (especially, developed ones) are deeply involved in process of globalization too. Thus, in the world market all the internal companies’ organizations as well as companies’ business-to-business partnerships are in need to be reorganized according general modern tendencies (Globalization101, 2015). The case is that along with the modernization, big companies face the new sort of dependency. Earlier “dependency” implied a kind of business relationships when peripheral economic areas were subdued to core national economic where big companies usually came from. “With globalizing tendencies taking over”, a current situation is changing “from dependence on interdependence” (Zafarullah and Huque, 2012). Subdual is replaced by cooperation. National economic development starts to matter less for big companies, because they are organized according to regionalization tendency (Zafarullah and Huque, 2012). It means, companies are looking for world regions where conditions for the business are most suitable, where companies may have better human and primary resources and also, new markets. Earlier goods or services were produced and sold on national domestic markets primary, but now the process of production can be divided on parts, on several departments, and a single company may work in distant regions and produce goods for different markets. With the globalization, barriers on trade markets as well as on labor markets are fading. Companies are focused on international development, and they have opportunity to choose better regions than national ones (Green, n.d.). The activity of a company than, is usually organized in multilevel and multisectoral ways (Zafarullah and Huque, 2012). And development can be planned with “specific requirements” on every level, or sector (Green, n.d.). Thus, organizational strategies of big companies become more flexible, and for now depend on individual characteristics of regional markets as much as on general companies’ strategies. Globalization implies a flexibilization for companies which work in different cultural and business environments (Zafarullah and Huque, 2012). Companies’ international activity in different cultural regions than, is in need of individual strategies. At the same time, general accountability is essential. Therefore, qualified managers and directors of departments are in need in those regions. “More and more employers start transferring their experts from country to country” (Herrmann, 2012). But primary, it’s a fair tendency only for a managerial personnel. Other personnel are usually hired from regional local markets for reasons of cheapness. On these conditions, big companies are concerned about careful taking into account the regional cultural differences within internal personnel of a single department, and generally, within the company. Cross- cultural borders bridging is a key for business success. Thus, big companies are looking in regional employees not only for professional skills, but also for values and interests which are accordant to general companies’ goals. At all accounts, upon the conditions of regionalization big companies are no longer mono cultural. They become either multicultural and transfer their employees on working positions to other regions and other cultural environment, or they are becoming mixed cultural and personnel are hired from regional labor markets. In both cases, managers are facing the problem of cultural adaptation as one of the main problems caused by a globalization. For multicultural approach, trainings and preparatory programs are widely practiced among personnel with a view to adapt workers to new working conditions. For mixed cultural approach flexibility is essential. Thus, company’s regional department managers develop a balanced strategy, which is based on getting benefits from both cultural environments (Herrmann, 2012). However, the goal is to link regional (level and sector) special aspects of organization and plans of development to a general strategy of development for a whole company. Globalization is, primary, a cultural phenomenon, and within big companies workers are bearers of different cultural traditions. Thus, a lot of challenges are faced by managers from human resources departments. Instead of internal issues, as they used to be focused on earlier, HR managers now are orientated on “broader approach”. They value balance above cultural superiority, and welcome “adding initiatives” (Kapoor, 2011). Role and responsibilities of HR managers now are focused on long- term objectives, because companies are tending to be concentrated on short- term earnings no longer (Kapoor, 2011). It should come with no surprise that managers themselves now are required to have certain skills, because they are first to manage cross-cultural differences. Among those needed skills are “language skills, knowledge about different communicational styles, knowledge of social behavior of each regional society and etc.” (Herrmann, 2012). It’s almost necessary for managers of regional departments to have these skills, and thus, trainings on cultural adaptation in regional departments are widely spread among managers as well as among transferred personnel. Such a great attention paid by big companies on cross-cultural differences, and attempts to bridge them, discover one more feature of globalization, informatization (Zafarullah and Huque, 2012). Companies now are concerned with gathering as much full and as much current information on business environment as possible. This becomes also a managers’ concern, to provide directors and personnel with needed information. Summing up all the above said, we can conclude that for big companies globalization is a current multitask challenge, which “forces” them to come into the world market. It’s a complex and constantly dynamic process, which requires modernization, regionalization, multilevel and multisectoral divide, flexibilization and bridging cross-cultural differences from companies. From managers globalization requires extra skills, because they are executive stuff whose main current task is to “manage” a multicultural workforce and resources. References Green, J. (n.d.). How Does Globalization Affects an Organization’s Business Approach? Chron. Retrieved from http://smallbusiness.chron.com/globalization-affect-organizations-business-approach-20077.html Herrmann, A. (2012, May). Globalization and its Effect on International Business. Paper presented at the Global Awareness Society International 21st Annual Conference, New York City. Retrieved from http://orgs.bloomu.edu/gasi/2012%20Proceedings%20PDFs/Herrmann2012-06%20Globalization%20and%20its%20Effect%20on%20International%20Business%20-%20Publication.pdf Kapoor, B. (2011). Impact of Globalization on Human Resource Management. Journal of International Management Studies, vol. 6, n. 1. Retrieved from http://www.jimsjournal.org/pi.html What is Globalization? (2015). Globalization101. Retrieved from http://www.globalization101.org/what-is-globalization/ Zafarullah, H. and Huque, A. S. (2012). Managing Development in a Globalized World: Concepts, Processes, Institutions. CRC Press. Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Globalization Influence on Big Companies Management Research Paper”, n.d.)
Retrieved from https://studentshare.org/management/1676571-topic-will-be-attached-to-the-file
(Globalization Influence on Big Companies Management Research Paper)
https://studentshare.org/management/1676571-topic-will-be-attached-to-the-file.
“Globalization Influence on Big Companies Management Research Paper”, n.d. https://studentshare.org/management/1676571-topic-will-be-attached-to-the-file.
  • Cited: 0 times

CHECK THESE SAMPLES OF Globalization Influence on Big Companies Management

Political Influences in Global Commerce

Thus, to ensure their survival within these states, many businesses have opted to intensify the management of the political risk towards their operations since most of them believe that what they have done so far is not enough to secure them.... he companies which have operations in the Middle East have come to the realization that the management of the political risk pertaining to their operations can go a great deal in the protection of their interests.... It has been found that effective political risk management can help not only in the protection of their investments, but it can also help them to take advantage of new opportunities that develop from government policies, and this will enable them to improve their overall performance....
6 Pages (1500 words) Essay

The Toys and Games Industrys Response to Globalazation

Moreover, the management in the Toys and Games industry has learnt new management strategies through the recent access to large volumes of data.... According to Cerra (2012, 34), the big data have led to the realization of new ways of achieving global customer satisfaction, continuous improvement and total quality management within the Toys and Games industry.... The big information has culminated in the restructuring of organizational structure for efficiency and effectiveness in the Toys and Games industry operations....
8 Pages (2000 words) Essay

Global Business Strategy and Standardization

Following this development, multinational companies have been looking doe better global strategies they can use in creating and sustaining their market share.... This paper examines the concept of creation of effective global strategies that these companies can use in the process of creating competitive advantages in the highly globalised business environment.... One important attribute of globalization is an increase in marketing activities for businesses that operate globally....
12 Pages (3000 words) Assignment

Management in Wider Environment

As the question of management of multinational organizations has become the main concern of many economists, the paper "management in Wider Environment" will discuss the management of the multinational organization and provide the real example.... In the process of globalization they had to undergo serious changes in order to remain successful Many organizations became multinational and had to review their management to win the new market....
10 Pages (2500 words) Research Paper

Is Globalization a Good Thing for All

Nike was one of the first sports apparel companies that outsourced manufacturing to then low-cost manufacturing destinations like Japan, Taiwan, and Korea.... The case study "Is globalization a Good Thing for All" states that globalization as a business phenomenon gathered momentum in the 1980s and with the advent of the Internet in the late 1990s, the flow of information was happening on a real-time basis thereby making globalization a phenomenon....
8 Pages (2000 words) Case Study

To What Extent Is True Globalization Only a Recent Phenomenon

Additionally, the managers in many organizations have learned new management strategies through the recent access to large volumes of data.... According to Lechner (2009, 23), access to big data has led to the realization of new ways of achieving global customer satisfaction, continuous improvement, and total quality management within an organization.... Many firms have also reviewed their human resource management measures in order to retain the workforce and increase the organizations' productivity....
6 Pages (1500 words) Term Paper

The Globalization of Markets: Theodore Levitt

The author outlines several strategic management techniques and their application by an organization.... For the purpose of analysis, several strategic management techniques and their application by organization in the global framework will also be discussed.... Such action taken by corporate would benefit the company as well, as they would be experiencing economies of scale in the production, distribution, and management process.... From this work, it is clear how the adoption of globalization would change the perspective of companies on markets and consumers....
8 Pages (2000 words) Essay

The Globalization of Markets

Mostly, big companies that operate within a country or a section of that country don't standardize their operations.... hellip; Interestingly, it has created a new commercial reality that standardizing consumer products in the global market, and companies can use the concept to have leverage over their rivals.... Globalization in the market has created homogeneity of consumers as regional differences play a little role in either the profits realized by companies or prices pegged to products....
9 Pages (2250 words) Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us