Global HR
May Cortez-Beatty
Professor Buckler
Advantages of Choosing a Host-Country National Staffing Strategy
Choosing a host-country national staffing strategy means employing individuals who were born and reside in the country in which the business is operating. In the case of Fish to Go, it would mean employing UK nationals to operate in the UK and Mexicans to work in Mexico. Undoubtedly, this strategy comes with various advantages. One of the advantages is that language barrier is eliminated as well as hiring costs such as visas (Sokro & Pillay, 2019). From the financial point of view, this means that lower cost will be incurred in comparison to other strategies such as expatriates staffing and/or third-country staffing option. It is also worth noting that host country national staffing strategy would mean that no work permits required. Additionally, continuity of management improves since host country nationals stay longer in positions according to research (Varma et al., 2016). Some government policies may be designed to force or encourage hiring of host country nationals, in such cases, hiring them would mean the business is adhering to the rules and laws of the host country.
Furthermore, this strategy ensures that employees are familiar with the socioeconomic, political and legal environment as well as business practices of the host country (Sokro & Pillay, 2019). In other words, the staffs and managers would possess extensive knowledge and already established local connections of the local business scene (Varma et al., 2016). This ensures that the business effectively responds to local demands of the host country which is essential for success. Moreover, there is better understanding of the local rules and regulations of the host country unlike any other staffing strategy. The morale of the local staffs increases when a host country national is selected to lead the staffs as a manager (Varma et al., 2016). In essence, the perceived increase is moral is due to the view of better opportunities to get promoted to higher positions in the business or company.
Compensation Plan
A compensation plan should always be designed to attract the most qualified individuals for the position. The compensation plans for both UK and Mexico are different but they all target to attract the best and talented people to work for Fish To Go. After conducting research on the average salary for restaurant managers in the UK, it was noted the salary ranges from 24,000-27,000/year (PayScale, n.d.). For Mexico, the average monthly salary is 41,200 MXN with a low of 22,300 MXN and the highest at 62,300 MXN/month (Salary Explorer, n.d.). It is also worth noting that these monthly salaries would include housing, transport, and other benefits. In addition, the salary is based on experience, skills, gender, and location. In order to attract the best, there will be an additional $1000 into the average amount for both countries and attractive benefits.
|
Country |
Salary |
Benefits |
Fringe Benefits |
|
UK |
$28,000/year |
• Free meal allowance per shift
• Medical, dental, and vision insurance
• Manager programs
• 2% monthly profit sharing
|
• Employee discounts
• Life, accident. Long-term care insurance
|
|
Mexico |
42,200 MXN/month |
• Free meal allowance per shift
• Medical, dental, and vision insurance
• Manager programs
• 2% monthly profit sharing
|
• Employee discounts
• Life, accident. Long-term care insurance
•
|
Outline for a Training Plan
The training plan for both managers, mid-level, and lower level employees shall be completed before shifts. The training will include but not limited to the following areas
References
PayScale. (n.d.). Restaurant manager salary in United Kingdom. PayScale – Salary Comparison, Salary Survey, Search Wages. https://www.payscale.com/research/UK/Job=Restaurant_Manager/Salary
Salary Explorer. (n.d.). Restaurant manager average salary in Mexico 2020. Salary Explorer | Salary and Cost of Living Comparison. https://www.salaryexplorer.com/salary-survey.php?loc=139&loctype=1&job=412&jobtype=3
Sokro, E., & Pillay, S. (2019). Host country nationals’ attitudes, social support and willingness to work with expatriates. Global Business Review, 21(5), 1184-1199. https://doi.org/10.1177/0972150919857012
Varma, A., Aycan, Z., Budhwar, P., Pichler, S., Uygur, U., & Paluch, R. (2016). Host country nationals’ support to expatriates: An investigation in Turkey. European J. of International Management, 10(6), 605. https://doi.org/10.1504/ejim.2016.079512