Why multinationals struggle to manage talent - a commentary
Organizational culture and team development have become more and crucial with the development of globalization and virtual organizations (Wang, 2006). In the recent years, teams and interpersonal relationship are becoming more and more important HR factors for organizational effectiveness of technological innovations (Wang and Mobley, 1999). There is a challenge of balancing the culture of openness and knowledge-sharing with the need to appropriate knowledge as intellectual property (Mason & Pauleen 2003). For advanced global companies, employee development is a pillar of the enterprise-value framework, equal in importance to shareholder support or customer loyalty. Retaining talent is identified as a key business priority for all the companies surveyed by World Economic Forum (Manardo, 2008). Global firms are increasingly using Internet – IT related technologies to enable and necessitate the use of virtual teams around the world to solve complex global problems and foster both knowledge integration and continuous learning, which aid in the motivation and retention of a company’s best people (Manardo, 2008). The rapid organizational re-structuring and globally distributed engineering have called for the needs for integrated strategies and the new ways of HRM in promoting technology innovation, organizational change, and entrepreneurship (Davis et al, 1986).
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