PROJECT SYNOPSIS

Title of the Project:

An analytical Study of Cross Cultural dimension on Compensation on

Global Prospective.

1. Introduction: With the advent of globalization, companies have realized the need to
operate transnational and mark their footsteps across the world. The rise in frequent
cross-nation transaction and operation has lead companies to focus on people centric
approaches. Cross cultural issues have acted as hindrances in the performance of the
organizations. Thus, there is a huge scope for companies to focus on HR approaches
which act as a solution to numerous cross cultural issues. One such area which requires
close attention of HR professionals is the Compensation Management. While
developing the global compensation and benefit composition, HR must deal with many
factors that are not present in a domestic environment. In this paper, it is attempted to
discuss about some of those factors that unswervingly impacts global compensation and
benefits strategies.
2. Problem Identification and Problem formulation :
The focus of todays organizations is on Human Resource Management challenges that
accompany the process of internationalization leading to raising issues on operation in an
interconnected world where people are the source of sustainable competitive advantage. Local
firms are competing with global corporations without venturing abroad. The metaphors of a Flat
world Friedman, (2005) or a Global village Ger, (1999) are now fitting descriptions of the
contemporary business world. Internationalization has a particular strong impact on
understanding of Human Resource Management. Evans, Pucik and Barsoux, (2010)has
elaborated that the issues that gave birth to international human resource management remain
more important than other functional areas is expatriation and adaptation of practices to different
cultures
3. Objective of the Study
While developing International Compensation policies, a firm seeks to justify several objectives,
first the policy should be consistent with the overall strategy, structure and business needs of the
multinational. Second the policy must work to attract and retain staff in the areas where the
multinational has the greatest needs and opportunities.
Compensation Management is one of the crucial areas for HR professionals especially when
operating globally. The objective of this research study is three folded.

To identify the factors affecting international

To explain the role of compensation management in managing across culture.
To discuss the role of culture in developing compensation strategies.
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4. Significance of the Study :

Managing compensation in International Context is very complex and crucial activity of the
Multinational corporations ( MNCc ) There is a wide gap between wages and salary paid for
comparable positions in different countries due to different economic systems, development
levels, political factors , traditions and culture, this study will reflect the pertaining information
regarding the above issues.
5. Data Collection :
Data will be collected based on Secondary information which is
basically from Literature review, Journals, Magazines, newspaper and web resources.

6. Research tools applied :

Different types of Statistical Tools / Techniques will be
applied for Data analysis and presentation purposes.
7. Methodology of the Study :
The methodology of the study will be adopted during the project work will be as follow - :

Books and Literature review

Consult with Latest journal, magazine, periodical etc

Website resources

Information gathering/ collection from resource persons who had exposure in

International assignment.

8. Limitation of the study :

of sufficient resources.

Limitation of the study is basically time-bounded and lack

9. Reference and Bibliography

Details about source of material, reference books,
articles, web resources etc. used for my research study.

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