Human capital in multinational enterprises: Does strategic alignment matter?
This research proposes a strategic human capital alignment framework to examine whether the alignment between subsidiary strategy (i.e., exportoriented vs local market-oriented strategy) and human capital (i.e., parent firm vs local-specific human capital) is positively related to subsidiary perform...
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| Veröffentlicht in: | Journal of international business studies 2015-09, Vol.46 (7), p.806-829 |
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| container_title | Journal of international business studies |
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| creator | Chung, Chris Changwha Park, Hye Youn Lee, Jeoung Yul Kim, Kwanghyun |
| description | This research proposes a strategic human capital alignment framework to examine whether the alignment between subsidiary strategy (i.e., exportoriented vs local market-oriented strategy) and human capital (i.e., parent firm vs local-specific human capital) is positively related to subsidiary performance in multinational enterprises (MNEs). We further explore two important exogenous (i.e., foreign exchange rate change) and endogenous (i.e., MNE international experience) boundary conditions, since they may adjust the positive effect of strategic human capital alignment on performance. The analysis, based on 5604 subsidiary observations of 423 MNEs from 1990 to 2012, confirms the positive synergic effect of aligning subsidiary strategy and human capital and shows the moderating effects of foreign exchange rate change and MNE international experience. By presenting the importance of subsidiary strategy - global staffing alignment and the roles of external economic environments and internal organizational capabilities as boundary conditions, the strategic human capital alignment framework suggests that what makes human capital valuable for the firm is its alignment with strategic orientation. Thus managers should carefully deploy the appropriate type of human capital to fulfill the requisite organizational strategy and take into account changing external and internal contextual conditions in applying the framework. |
| doi_str_mv | 10.1057/jibs.2015.15 |
| format | Article |
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We further explore two important exogenous (i.e., foreign exchange rate change) and endogenous (i.e., MNE international experience) boundary conditions, since they may adjust the positive effect of strategic human capital alignment on performance. The analysis, based on 5604 subsidiary observations of 423 MNEs from 1990 to 2012, confirms the positive synergic effect of aligning subsidiary strategy and human capital and shows the moderating effects of foreign exchange rate change and MNE international experience. By presenting the importance of subsidiary strategy - global staffing alignment and the roles of external economic environments and internal organizational capabilities as boundary conditions, the strategic human capital alignment framework suggests that what makes human capital valuable for the firm is its alignment with strategic orientation. 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We further explore two important exogenous (i.e., foreign exchange rate change) and endogenous (i.e., MNE international experience) boundary conditions, since they may adjust the positive effect of strategic human capital alignment on performance. The analysis, based on 5604 subsidiary observations of 423 MNEs from 1990 to 2012, confirms the positive synergic effect of aligning subsidiary strategy and human capital and shows the moderating effects of foreign exchange rate change and MNE international experience. By presenting the importance of subsidiary strategy - global staffing alignment and the roles of external economic environments and internal organizational capabilities as boundary conditions, the strategic human capital alignment framework suggests that what makes human capital valuable for the firm is its alignment with strategic orientation. 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Park, Hye Youn ; Lee, Jeoung Yul ; Kim, Kwanghyun</author></sort><facets><frbrtype>5</frbrtype><frbrgroupid>cdi_FETCH-LOGICAL-j239t-f02ba7e148843c1bf08f2d53ff1d7799a838207265b0016c132ab1e9ed9a9a4e3</frbrgroupid><rsrctype>articles</rsrctype><prefilter>articles</prefilter><language>eng</language><creationdate>2015</creationdate><topic>Business and Management</topic><topic>Business Strategy/Leadership</topic><topic>Competition</topic><topic>Competitive advantage</topic><topic>Economic conditions</topic><topic>Expatriates</topic><topic>Foreign exchange rates</topic><topic>Human capital</topic><topic>Human resource management</topic><topic>Human resources</topic><topic>International</topic><topic>International Business</topic><topic>Job performance</topic><topic>Knowledge</topic><topic>Management</topic><topic>Management science</topic><topic>Multinational corporations</topic><topic>Multinational enterprises</topic><topic>Organization</topic><topic>Strategic planning</topic><topic>Studies</topic><topic>Subsidiary</topic><topic>Work motivation</topic><toplevel>peer_reviewed</toplevel><toplevel>online_resources</toplevel><creatorcontrib>Chung, Chris Changwha</creatorcontrib><creatorcontrib>Park, Hye Youn</creatorcontrib><creatorcontrib>Lee, Jeoung Yul</creatorcontrib><creatorcontrib>Kim, Kwanghyun</creatorcontrib><collection>Global News & ABI/Inform Professional</collection><collection>Trade PRO</collection><collection>ProQuest Central (Corporate)</collection><collection>ABI/INFORM Collection</collection><collection>ABI/INFORM Global (PDF only)</collection><collection>ProQuest Central (purchase pre-March 2016)</collection><collection>ABI/INFORM Collection</collection><collection>European Business Database (Alumni Edition)</collection><collection>International Bibliography of the Social Sciences (IBSS)</collection><collection>ProQuest Central (Alumni) (purchase pre-March 2016)</collection><collection>ABI/INFORM Collection (Alumni Edition)</collection><collection>Canadian Business & Current Affairs Database</collection><collection>Canadian Business & Current Affairs Database (Alumni Edition)</collection><collection>Research Library (Alumni Edition)</collection><collection>ProQuest Central (Alumni)</collection><collection>ProQuest Central</collection><collection>Asian & European Business Collection</collection><collection>ProQuest Central Essentials</collection><collection>ProQuest Central</collection><collection>Business Premium Collection</collection><collection>ProQuest One Community College</collection><collection>ProQuest Central</collection><collection>International Bibliography of the Social Sciences</collection><collection>Asian & European Business Collection (Alumni)</collection><collection>Business Premium Collection (Alumni)</collection><collection>ABI/INFORM Global (Corporate)</collection><collection>ProQuest Central Student</collection><collection>Research Library Prep</collection><collection>International Bibliography of the Social Sciences</collection><collection>ProQuest Business Collection (Alumni Edition)</collection><collection>ProQuest Business Collection</collection><collection>ABI/INFORM Professional Advanced</collection><collection>ABI/INFORM Professional Standard</collection><collection>ABI/INFORM Global</collection><collection>European Business Database</collection><collection>ProQuest Research Library</collection><collection>Research Library (Corporate)</collection><collection>One Business (ProQuest)</collection><collection>ProQuest One Business (Alumni)</collection><collection>ProQuest One Academic Eastern Edition (DO NOT USE)</collection><collection>ProQuest One Academic</collection><collection>ProQuest One Academic UKI Edition</collection><collection>ProQuest Central Basic</collection><jtitle>Journal of international business studies</jtitle></facets><delivery><delcategory>Remote Search Resource</delcategory><fulltext>fulltext</fulltext></delivery><addata><au>Chung, Chris Changwha</au><au>Park, Hye Youn</au><au>Lee, Jeoung Yul</au><au>Kim, Kwanghyun</au><format>journal</format><genre>article</genre><ristype>JOUR</ristype><atitle>Human capital in multinational enterprises: Does strategic alignment matter?</atitle><jtitle>Journal of international business studies</jtitle><stitle>J Int Bus Stud</stitle><date>2015-09-01</date><risdate>2015</risdate><volume>46</volume><issue>7</issue><spage>806</spage><epage>829</epage><pages>806-829</pages><issn>0047-2506</issn><eissn>1478-6990</eissn><abstract>This research proposes a strategic human capital alignment framework to examine whether the alignment between subsidiary strategy (i.e., exportoriented vs local market-oriented strategy) and human capital (i.e., parent firm vs local-specific human capital) is positively related to subsidiary performance in multinational enterprises (MNEs). 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| subjects | Business and Management Business Strategy/Leadership Competition Competitive advantage Economic conditions Expatriates Foreign exchange rates Human capital Human resource management Human resources International International Business Job performance Knowledge Management Management science Multinational corporations Multinational enterprises Organization Strategic planning Studies Subsidiary Work motivation |
| title | Human capital in multinational enterprises: Does strategic alignment matter? |
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