Subsidiaries Can Influence HRM Policy Imposed By HQ
Source: IESE School Of Business
American multinationals maintain an iron grip over their subsidiaries' Human Resource Management (HRM) systems. Yet, evidence has emerged that when a subsidiary has an important role inside the MNC, there is some relaxing of this hold. Certainly, that is the case in Spain: While control from U.S. headquarters is strong, some subsidiaries are finding breathing space and greater autonomy when it comes to implementing HRM practices.