How does declining productivity, substantial demographic shifts, changing employee attitudes and expectations, innovation technologies, and government regulations affect global human resource management?

Global human resource management refers to the human resource management processes of an organization that operates on a global scale, including its HR policies, payroll, talent management, reward management, recruitment & training, etc.

As technology is advancing, causing communication channels to become increasingly efficient, the world is getting smaller and organizations are expanding beyond their domestic borders to conduct business. Increasing globalization is pushing the need for a management approach that allows organizations to manage their employees on a global scale, catering to their sensibilities and needs as per their culture and social milieu and at the same time, ensuring that benefits are not unevenly distributed.

Global human resource management is changing rapidly with changes in productivity, demography, employee attitudes and expectations, innovation technologies, and government regulations.

• There is a productivity decline that has been observed globally, indicating that strict surveillance of employees to monitor their activities and idle time during working hours has failed. Increasing social media trends have also made it increasingly infeasible for organizations to invest their workforce into monitoring and ensuring the inaccessibility of channels for employees, such as website blockers and system software to count active hours. In the wake of realization, companies are relaxing their strict measures and becoming flexible in allowing liberty to their employees in all terms including working hours, working location, use of organization's resources for personal benefits, social media usage, etc. While this has led to the need for a more virtual management system that can reach resources anywhere, it has also caused an increase in productivity. Another changing trend is the reduction of working hours per week with economic growth.
• The workforce of developing economies is inflating and is comparatively young. As organizations head to developing economies with direct investments and outsourcing, they are standardizing the human resource management for the host economies and allowing the management process of different regions to mimic each other.
• Employees are becoming more and more aware and class lines are dissolving as employees are becoming vocal for their grievances, expectations, and rewards. Employers realize that exploitation isn't possible anymore for employees are working in an environment in which they are indifferent to firms and have significant bargaining power. The management approach is becoming employee-oriented and standardized.
• Technological advancements are allowing organizations to build a better relationship with their human resource and hence, extract maximum productivity from them and at the same time, compensate them to their maximum satisfaction. Innovation is also decreasing dependence on labor as production is becoming capital-intensive. In the wake of technological growth, human resource training is becoming a focal point of global HRM in which organizations are focusing on the skill development of employees such that they are able to escape structural unemployment and catch-up with growing technology to maintain their utility to employers.
• Government regulations are majorly loosening to promote ease of business. Red tape is being discouraged and major processes are getting concentrated under one roof. At the same time, government regulations are increasing in the spheres of human rights, and environment protection. Regulations are increasingly focused on precluding workplace discrimination and promoting workplace safety. Similarly, pollution abatement regulations are becoming stricter. Organizations are adopting a strategic approach in global HRM to establish a safe and secure environment in the workplace, and eliminate human rights and privacy violations.