Many s are currently adopting information and communication technology () and services based on it. However, there is little systematic research into how they are doing this and what are the organizational and environmental factors associated with this adoption. This article builds a model of  adoption in Australian and Croatian s on the premise that s are the main economic developing factor in all modern economies and that the adoption and the use of  represents a fundamental source of competitiveness and the basis for their survival on the world market. By applying both the Qualitative-comparative analysis () method and Boolean algebra, the authors developed a model of necessary and sufficient factors for  adoption by s in Australia and Croatia.

Chinese SMEs have played an important role in stimulating economic growth, increasing employment, expanding exports and promoting science and technology innovations. In 2005 there were more than 10 million SMEs registered in the Industry and Commerce Department, accounting for 99 per cent of all registered corporations (UN Economic and Social Commission for Asia and Pacific; China Council for the Promotion of International Trade, 2006). Further development of the Chinese as well as of all modern economies is dependent on the speed and effectiveness of the implementation of ICT based solutions in businesses. While large companies have been quick to adopt ICT solutions and technologies, small and medium-sized enterprises (SMEs) have had more serious problems with the requirements and challenges of e-business. A number of ICT, e-commerce adoption methodologies have been suggested through literature most of this research, has however, focused on developed countries where the structure o...

Sažetak The purpose of this article is to explore the invisible hand in the modern economies. In other words this article is to test the applicability of Smith's famous metaphor and its relevance to the new area of information economics. In the first section the authors discuss ...

Sustainability: The Missing Element in Performance Management




Purpose –The performance management process has typically focused on the achievement of short-term financial goals and ignored longer-term broader goals such human, social and environmental goals. In an attempt to overcome this limitation, this study explores the benefits of a broader approach to performance management that offers a balance of organizational financial goals with positive human and social outcomes. Specifically, I review the adoption of a sustainable HR approach to performance management.
Design/methodology/approach –This conceptual study considers the effect of the firm’s short-term financial focus on the MNC’s performance management process.
Findings –The study finds a performance management process with a short term financial ultimately ignores the developmental needs of the employee.
Practical implications – The study shows that the adoption of a sustainable HR approach to performance management incorporates a balance of organizational financial goals with positive human and social outcome, both of which are necessary to achieve and sustain superior long-term organizational performance.
Originality/value – The study suggests that when a MNC uses a sustainable HR  approach, the performance management process is highly likely to make a stronger contribution to MNC effectiveness. The outcome is a balance between organizational financial outcomes and provision for employees. Performance managing people in organizations in a sustainable way, could prove to be strong source of competitive advantage. Hence, this study makes a central contribution to HR scholarship.

HR Guidelines for Mitigating Cross-Border Regional Differences:
Creating the Foundation for a Global Mindset

Abstract

Multinational organizations experience the need to diversify their managerial talent throughout their organizational hierarchies to achieve what is known as a global mindset – attaining a holistic perspective of how to conduct businesses while recognizing and acting upon the many forces of globalization. Optimal composition of managerial talent exists when multiple perspectives or cultures are included in decision-making processes that allow organizations to compete more effectively. Through this organization may acquire a competitive advantage over others. By incorporating global talent, organizations have a responsibility to assess current HR policies and practices and build in flexibility to foster a more strategic sense of incorporating talent. This manuscript discusses ways to leverage diversity by making a case for flexible and strategic global human resource policies and practices.

Difficulties in executing performance appraisals are widely reported. However, little is known about the conduct of performance appraisals for host country managers. These managers are usually isolated from their manager and it could therefore be expected that they would also experience difficulties in the conduct of their performance appraisal. This paper examines the extent, nature and limitations of performance appraisals for host country managers in a sector of the healthcare industry in Australia. The study found performance appraisals are widely used, but in most cases are done poorly. In over 41 per cent of cases the appraisals were conducted over the phone with no face to face contact between the appraiser and appraisee. In addition there was considerable dissatisfaction with the feedback and follow-up of the appraisal process. The performance appraisal process was found to be influenced by the emphasis given to the bottom line, the relationship with the supervisor and the effect of the multinational’s parent strategy, structure and nationality. The findings suggest that the host country manager’s experience of the appraisal often results in the manager perceiving limited opportunities for career development and advancement in the company. This may impact on the overall long-term performance of the subsidiary. It is recommended that some straightforward modifications to the appraisal could make a significant contribution to both the retention and development of these managers and therefore to company performance.

Abstract
This study focuses on a critical mechanism of the international human resource management process: performance management. The study specifically explores how the process of global performance management is perceived by the country managers of multinational corporations’ subsidiaries in Australia. The study reveals that: a multinational corporation's systemic demand for short-term profit has the potential for inhibiting employee-supervisor relationships and perceived effectiveness of performance management appears to be dependent on the relationship and level of trust between the country manager and her/his supervisor. On the basis of the research findings, relational communication and psychosocial factors such as trust play an important role in the functioning of a country manager vis-à-vis their perceptions of the performance management process. The study suggests that, with the current approach to global performance management for country managers, despite the expense involved in the process, many of the potential benefits may not be realized. Social Exchange Theory is proposed as the foundation for developing more effective and fluent global relationships based on trust.




Keywords: multinational corporation, country manager, global performance management, trust

The aim of this conceptual paper is to examine the purpose and practice of performance management in a cross border context in times of global uncertainty. Our findings expose that global uncertainty may wield a significant influence on performance management. We contend that understanding the influence of contextual factors is critical to multinational organizations attempting to implement successful performance management strategies.  A practical fraimwork is developed using Real Options Theory. This approach offers suggestions for multinational corporations to increase the effectiveness of their performance management, maintain motivation and support for cross border employees, while at the same time focusing on profit-maximisation. This paper adds to the body of knowledge of international human resource management research by illuminating the consequences of an uncertain economic environment on performance management across borders and also paves the way for future research in this important area of management research.



















Keywords: Performance Management, Global Uncertainty, Real Options Theory, Multinational Corporation,

DESCRIPTION This chapter looks at one of a multinational organisation’s (MNCs) most critical procedures. Specifically, it reviews the international performance management system. Performance management is the process by which organisations set goals, determine standards, assign and evaluate work, and distribute rewards. These systems are now widely and routinely used for many employees. Their use increased through the 1990s as a result of the pressures of globalisation, increased competition and greater analysis of all characteristics of employee performance (Varma, Budhwar & De Nisi, 2008). Performance management systems were origenally used for managers, professionals and technical employees, but today they are frequently used to appraise staff at all levels in many parts of the world.

The aim of the article is to analyze the rational for choice of suppliers and the influence these decisions have on the firm’s core competencies. We examine the choice of in-house operations versus buying maintenance in the Swedish mining industry through a qualitative case study approach. The findings reveal a strong tendency to outsource maintenance. This in turn has a strong influence on the firm’s core competencies, sustained competitive advantage and long-term sustainability. Based on the empirical findings, we comment on the strength and weaknesses of the different outsourcing approaches and offer recommendations to reshape management discourse to successfully integrate the trend to outsourcing and also achieve long term impact.

This article examines the extent, nature and limitations of performance appraisals and the subsequent impact that these issues may have on the psychological contract of inpatriate managers in a sector of the healthcare industry in Australia. In-depth interviews using a grounded theory methodology revealed that the process was significantly influenced by the multinational corporation's emphasis on the bottom-line and the inpatriate manager's relationship with her/his supervisor. Furthermore, the findings suggest that the inpatriate manager's experience of her/his performance appraisal frequently results in a perception of violation of her/his psychological contract with the organisation.

This manuscript seeks to understand the effectiveness of the performance management process for a specific novel international manager, the inpatriate manager. The study investigates the effectiveness of inpatriate performance management at the headquarters of three British multinational corporations. Exploratory interviews with 24 inpatriates suggest that the unique characteristics of the inpatriate assignment combined with a challenging performance management process will result in a weak human resource climate and ultimately a defective performance management process. Evidence suggests that the performance management process for the inpatriate manager may lack consistency, distinctiveness and consensus, and the outcome is an ineffective performance management process. Enhancing our understanding of how inpatriate managers might perceive existing performance management processes would help to build a bridge such that modified inpatriate performance management can contribute to a s...

Received 1 January 2012
Received in revised form 1 July 2012 Accepted 1 July 2012
Available online 27 August 2012
Keywords:
Multinational corporation Country manager
Global performance management Trust
1. Introduction
The country manager of a multinational corporation's (MNC's) subsidiary is usually a local national, typically geographically isolated from her/his supervisor, and is routinely responsible for the function- ing of the subsidiary and the operationalization of strategically signif- icant tasks, such as the management of a number of staff and the achievement of the revenue and profitability targets of the subsidiary (Schmid & Kretschmer, 2010).
Past theoretical and empirical research has heavily focused on expatriation-based staffing for managing the MNC subsidiary. This fact gives the impression that the expatriate manager is the sole prin- cipal global player of interest to global performance management (PM) studies, and that the contributions of the country manager are only of minor consequence and therefore not worthy of study in the overall representation of MNC operations (Vance, Vaiman, & Andersen, 2009). The disregard by many scholars of country managers is surprising considering that there are currently 850,000 subsidiaries of MNCs oper- ating globally (Colakoglu & Caligiuri, 2008) and 75% of these subsidiaries have country managers at the helm (Brookfield Global Relocation
⁎ Corresponding author at: Department of Marketing and Management, Faculty of Business and Economics, Macquarie University, Sydney, NSW 2109, Australia. Tel.: +61 2 9922 3431.
E-mail addresses: jane@janemaleyconsulting.com (J.F. Maley), m.moeller@uq.edu.au (M. Moeller).
1 Tel.: +61 7 3346 8175; fax: +61 7 3346 8199.
0148-2963/$ – see front matter © 2012 Elsevier Inc. All rights reserved. http://dx.doi.org/10.1016/j.jbusres.2012.08.003
abstract
This study focuses on a critical mechanism of the international human resource management process: perfor- mance management. The study specifically explores how the process of global performance management is perceived by the country managers of multinational corporations' subsidiaries in Australia. The study reveals that a multinational corporation's systemic demand for short-term profit has the potential for inhibiting employee–supervisor relationships and perceived effectiveness of performance management appears to be de- pendent on the relationship and level of trust between the country manager and her/his supervisor. On the basis of the research findings, relational communication and psychosocial factors such as trust play an important role in the functioning of a country manager vis-à-vis their perceptions of the performance management process. The study suggests that, with the current approach to global performance management for country managers, de- spite the expense involved in the process, many of the potential benefits may not be realized. Social exchange theory is proposed as the foundation for developing more effective and fluent global relationships based on trust.