The Academy of Business Strategy - Globalization and Human Resourcing

lization refers to the growing economicworld's countries.
dependence among countries as reflected inPopular statistics can also reveal the dominance of
increasing cross-border flows of goods, services,multinational companies: over 50 percent of the
capital and knowledge. At an organizational level,world's top 100 economies are not countries but
globalization can refer historically to the extent tocompanies. The largest 500 companies control
which a company has expanded its operations soover 50 percent of the world's wealth and
that it engages in cross-border flows of capital,conduct over half of its trade. The ten biggest
goods and knowledge across subsidiaries. It cancompanies together turn over more money than
also be used to describe a corporate strategy,the world's smallest 100 countries and the world's
designed to reap the benefits of becoming asecond largest multinational, Shell, owns or leases
global company. Globalization at all levels is,400 million acres of land, which is larger than 146
therefore, very much an outcome of corporatecountries put together. Consequently to talk about
decision makers who perceive globalization as andifferences between the UK, US and Europe's
attractive and feasible proposition.country economies can be considered somewhat
As such, the process need not be an inexorablefutile these days. What we should be talking about
one. Economic uncertainties may drive nationalis the differences between global company
governments and corporations towards theeconomies. The latest economic downturn has all
protectionism of defending a home market andbut confirmed this.
away from the free-market ideology that hasWe can sense the impelling force of globalization
been synonymous with globalization. A number ofourselves. We can also appreciate that the
economic downturns have led to unresolvedeconomic liberalization of the world's developing
debates about what can be done to preventcountries and the technological advances in
global capitalism from destroying itself. There is atelecommunications and transportation has made
concern that global capitalism's blindness toglobalization an enticing prospect for those
anything but the bottom line and an apparentcorporations seeking to grow and survive. In the
indifference to inequalities suffered in the poorestface of increasing international competition,
countries make the system unsustainable, which inmultinational company chiefs have identified the
turn places in jeopardy the living standards withinopportunities afforded by the globalization process
the developed world.as the means by which to meet the challenges. In
In reality globalization will continue to be a criticalturn their business decisions help to sustain the
success factor for most companies and for mostprocess. These international opportunities include
developing countries alike. The progress madecapturing new markets and realizing great
with information technology and communicationseconomies of scale; the creation of extensive
and in particular the internet during the pastnetworks for the transfer of new ideas and
decade has made this inevitable in much the sameunderstanding across the organization; and the
way as with the industrial revolution during the lastoptimal allocation and relocation of resources. All
century. Indeed a global economy and globalof these have set an agenda for an organization's
business remain very much a critical componentinternational human resourcing strategy. Attention
of our existence now. All of the best knownto human resourcing activities and initiatives will be
branded names, drinks, fast foods, sportsrequired to mobilize those resources that will best
equipment, automobiles, petroleum, computers,contribute towards growth and increased profits,
pharmaceuticals, electronics and other consumerleading ultimately to long-term corporate
products can be found in the majority of thesustainability and survival.