Choosing a host country national staffing strategy is good for businesses because it allows workers to be employed across the country they work in. It also allows them to manage the operations of that business. Host country national staffing is a easier application of business objectives even though expatriate may not be culturally versed or well accepted by host country; employees. This strategy allows managers to gain experience in the markets locally by building employee morale and motivating them to work harder. They would most likely be familiar with language, culture and laws and be able to market the product or service efficiently. They wont need to obtain documentation or a work visa and the company saves money because they don’t need to relocate someone from another country.

The current plan in the fish to go company in the united states is that managers make 55,000 per year with a 2 percent profit sharing. I would increase their annual salary to 47,000 with a 2.5-3.0 profit share. I would also include health benefits, paid vacation and personal days alongside holiday days back(if they are scheduled to work )  and sick days. I would also provide employee training for employees who would like to learn managerial skills.

For the UK and Mexico I would start managers off 55,000 if they already reside there. For the managers relocating to train the new managers I would pay them 60,000. All employees will receive paid vacation days, sick days, personal days and holidays. I would start both countries off with 55,000 based off of my research that managers in the UK make 32k-63k and managers in Mexico make 10k-78k. To keep up with the compensation plans of the UK the company will provide stock options, travel insurance and a gym membership. Employees will also receive dental and vision. In the Mexico Store the company will offer hardship allowances and Aguinaldo(a yearly bonus), profit sharing and seniority premiums. The employees will also be registered with Mexico’s social security system.

In order to get managers into shape they will go through various training courses to learn about Fish to Go. Managers from the united states(expatriates( who relocated to the store will start at a cultural level so they can learn how to communicate and eliminate cultural missteps. They will also go through repatriation training. and their families will be offered support throughout the first two years in the new country. Managers will be trained in customs, culture and peculiar business practices as well as cultural sensitivity.

Mexico

-Mexico’s minimum wage is 141.70 (as of 2021) Mexican pesos per day according to Mexico compensation laws. This is true for all states except those at the Northern Border. Northern Border states (Baja California, Sonora, Chihuahua, Coahuila, Nuevo Leon, and Tamaulipas) have a minimum wage of $213.39 pesos per day.

-The net pay, which includes salary, cash benefits in kind, and hardship allowances, must be received in official Mexican banks and paid in pesos.

-employees are also entitled to an aguinaldo — a yearly bonus. The aguinaldo typically equals 15 days of salary and amounts to about four weeks of pay. Larger companies may give up to six weeks.

-workers earn an annual vacation entitlement of six days after their first full year of employment as part of Mexico benefit management. They receive an additional two vacation days for each year that they continue to work for the company.

-Employees in most states also are guaranteed a vacation bonus, which is at minimum 25% and goes to whatever the company determines. This percentage is granted based on the annual leave entitlement days and paid on the anniversary of the employee with the company.

-Many states also offer profit sharing, in which employees are entitled to receive at the latest on May 30 each year, and they receive up to 10% of net profit of the company. The profit that will be shared is divided into two parts: the first part will be split in equal parts amongst all employees, taking into consideration the number of worked days for each employee during the previous year; and the second part will be distributed in proportion to the amount of the salaries earned during the year.

-All employees get public health care coverage through the Mexican Social Security Institute. However, -many employers offer their workers supplementary health insurance options.

-Every employee is entitled to overtime pay, which is 100% of their regular pay, or 200% for Sundays or bank holidays.

-There are also specific compensation rules regarding employee sick leave. If an employee has an illness not related to work that keeps them out for more than three days, they will receive 60% of their salary. The 60% of their salary is paid by the Social Security Institute, and the remaining 40% of the salary is paid to the employer. If the sickness or accident is related to the job or commute, the employee gets 100% of their salary. For both the 60% salary compensation and 100% salary compensation, the employee will need to go to the Institute to file for sick days and get approval. (Mexico Compensation/Benefits , n.d.)

United Kingdom

-employees who work more than six hours a day are automatically entitled to a 20-minute break away from work.

-The employer’s portion of the National Insurance Contribution (NIC) provides the primary statutory benefit of UK health insurance. However, many companies choose to offer supplementary benefits such as medical, vision, dental, and life insurance that are not guaranteed in UK employment law.

-Before your employee starts, you are legally required to draft an employment contract. In that contract, you can specify when you will pay the employee, how they will get paid, what benefits they are entitled to, and how those will get dispersed.

-Any employment contract in the UK needs to include compensation in British pounds rather than US dollars.

-An early career Manager, Compensation & Benefits with 1-4 years of experience earns an average total compensation (includes tips, bonus, and overtime pay) of £38,000 based on 7 salaries. A mid-career Manager, Compensation & Benefits with 5-9 years of experience earns an average total compensation of £62,843 based on 7 salaries. An experienced Manager, Compensation & Benefits with 10-19 years of experience earns an average total compensation of £60,714 based on 11 salaries. In their late career (20 years and higher), employees earn an average total compensation of £68,075. (UK Compensation/Benefits, n.d.)

3. Develop an outline for a training plan, making reasonable assumptions about the information a new manager would need to know at Fish to Go.

The minimum wage in Mexico is 141.70 pesos and in the northern states, it is 213.29 pesos and must be paid in pesos and received in Mexican banks. Employees are entitled to a yearly bonus and earn six vacation days after the first year of employment and earn two extra days after each consecutive year of employment. All employees get public health care and is entitled to overtime pay. There are also specific compensation rules regarding sick leave. If sick leave is related to the job, the employee receives 100% of their salary. If sick leave is not related to the job, employees get 60% of their salary and employers receive 40%. All sick days must be filed and approved by the Social Security Institute.

In the UK, before an employee starts work, an employment contract must be drafted. It says how much and when they will get paid and what benefits they are entitled to and when they will receive them. If an employee works more than six hours, they are entitled to a twenty-minute break. Employees must be paid in British pounds. The more experience a manager has, the more money they can earn. Managers with more than twenty years of experience can earn upwards of £68,075. The mandatory benefits in the UK include paid leave, statutory sick pay, and there is a national insurance scheme as well.

References

Mexico Compensation/Benefits . (n.d.). Retrieved from Globalization Partners: https://www.globalization-partners.com/globalpedia/mexico-employer-of-record/compensation/#content

UK Compensation/Benefits. (n.d.). Retrieved from Globalization Partners: https://www.globalization-partners.com/globalpedia/peo-uk/compensation/#globalpedia-info

Amadou bah

Bus 311-1801

May 9, 2021

Prof: Brielle Bucker

1. What are the advantages of choosing a host-country national staffing strategy?

The advantage of choosing a host country national is that the company doesn’t want No problem with language and culture, reduced hiring costs, no work permits required, continuity of management improve since HCN stay longer in positions, and promotional opportunities are not limited – so higher morale among HCNS.

• There is no language barrier
• Has better knowledge of local customs and traditions
• Visa costs eliminated

1. – The compensation plan is the Pay plan for an employee against their employer in the company—the compensation plan made to contain the primary salary heads, allowances head, and legal heads. The essential salary head is the base on which the other charges like allowances head and legal head calculate the percentage of the primary salary head. The allowances head contains the subhead as HRA, managerial allowances, professional allowances, medical allowances, conveyance allowances, etc., as applicable concerning the culture of the nations.

For the U.K: Labors have the right to minimum wage which is 7.50 pounds per hour, Eligible for 28 days of paid vacations.

For Mexico: Minimum wage is 70 peso / Day, for zone A, 66 Peso/ Day for zone B employees

Skills that require for restaurant managers

• Food safety and food waste
• Workplace safety
• Cash handling
• Procurement
• Inventory management
• Running and analyzing key reports
• Training on key equipment
• Alcohol handling/service
• Managing new hires
• Employee conflict management
• Customer service

Sources

https://www.kickfin.com/blog/restaurant-management-training-plan/

https://www.salaryexpert.com/salary/job/fast-food-restaurant-manager/mexico

The advantages of using the host country are that you will not have to pay for accommodation for the manager and pay them inconvenience benefits. In countries like Mexico that speak Spanish, there is a possibility that managers in the company may not be fluent in Spanish. With this, the language barrier is not an issue. Every country has laws and regulations which the people of that country are familiar with. Once a manager is from the host country, they will know all the country’s rules and regulations and the industry requirements.

Mexico Manager:

As of present Mexico, the minimum wage is 141.72 Peso per hour which is USD 7.10. The usual salary for a restaurant manager is between $290,000 to 390,479 Pesos per year. When converted to USD, it is $14,555.16 to $19,598.23 per year. With this, I want to attract as many good manager applicants as possible. To do this, I will offer medical, dental, restaurant perks for family and friends, vacation and sick time off, and a pension savings plan. I will also offer provision for any advanced training. Based on what was stated as the per year rate for restaurants in the country, I will offer the managers $25,000 US per year, which is equal to 498,105.01 Peso per year. Since these managers are nationals, we will offer them sign-on bonuses once they know all the legalities of the industry. If they do not, we will pay for the training but will not offer a sign-on bonus. The bonus, once all the knowledge requirements are met, will be 100,000 Peso which is USD 5023.05

UK Manager

As of present UK minimum wage is GBP 8.72 per hour, which is $12.33 US. The usual salary for a restaurant manager is between $27,000 to $44,000GBP per year. When converted to USD, it is $37,871.62.00 to $61,716.71 per year. With this, I want to attract as many good manager applicants as possible. To do this, I will offer medical, dental, restaurant perks for family and friends, vacation and sick time off, and a pension savings plan. I will also offer provision for any advanced pieces of training. Based on what was stated as the per year rate for restaurants in the country, I will offer the managers GBP 62,500 per year, which is equal to $87,665.78 US per year. Since these managers are nationals, we will offer them sign-on bonuses once they know all the legalities of the industry. If they do not, we will pay for the training but will not offer a sign-on bonus. Instead, the sign-on bonus of GBP 5,000.00, equivalent to USD 7,013.26, will be offered.

For the US managers, I will add $5000 per year for a period of three years once the restaurant is making and exceeding the company targets. It will take them past the average salary range of restaurant managers in the US at the end of three years. The current average is $55,169.00 with a range of $44,535 to $65,278.00 per year.

The training plan is a one-month training and three months’ probation observation.

I will first have the managers come to the US to see exactly how the company is operated and the daily interactions of the managers of the restaurants. This observation and actual training of the managers will be for 2 weeks with one of our best managers. After the end of that 2 weeks, I will be sending the US training manager to the countries to observe and reassure the managers of all the policies and procedures of the company while observing the manager on their own managing the company. When the one-month period is over, we will have a manager who will do a one-week observation which is also for support for a period of three months for the managers in the international restaurant. This is to make sure that they are ready to perform on their own full.

References

Minnesota, U. o. (2011). Human Resource Management. M Libraries. Retrieved from https://www.oercommons.org/courses/human-resource-management-3/view

Restaurant Manager Salary. (2021, May 09). Retrieved from Salary.com: https://www.bing.com/search?q=resturant+manager+salary+in+the+US&cvid=be87ea5ece364211af8e316d386ce9ac&aqs=edge..69i57.10005j0j1&pglt=299&FORM=ANNTA1&PC=LCTS

1. What are the advantages of choosing a host-country national staffing strategy?

The advantages to choosing a host country national is that they would most likely already be familiar with local customs, culture, language, laws, etiquette, etc. that someone from another country may not be familiar with.  They also wouldn’t need to go to the trouble of attaining a visa or any other type of documentation someone from another country would most likely need. The company also wouldn’t need to pay for any costs associated with relocating a person to another country

1. Develop a compensation plan for each of the two countries, revising the current compensation for managers in the United States, if necessary. The compensation plan should include salary, benefits, and any fringe benefits to attract the most qualified people. The plan should also address any legal compensation requirements for both countries.

US : The compensation plan for the US managers seems to be competitive and not in need of any immediate changes. According to salary.com restaurant managers can earn in the range of 35-75 thousand dollars in salary. The 2% profit sharing is a great incentive for managers because the better the company performs, the more money they will earn from that.

UK: The base salary for the restaurant manager for Fish to Go in the UK should be somewhere around 33-35 thousand GBP, since the average salary for restaurant managers in the UK is 25k-46k according to glassdoor.com. With Bonuses and profit sharing with should be offered to managers in all countries,  that can pay out an extra 600-6k. Workers should also receive all medical benefits standard in UK. As well as 4 weeks vacation each year.

Mexico: In mexico the managers should receive somewhere around 460k MXN per year, as the salary ranges from 340,000-600,000 MXN per year , they would also receive the 2% profit sharing benefit that all managers receive as well as 4 weeks vacation.

1. Develop an outline for a training plan, making reasonable assumptions about the information a new manager would need to know at Fish to Go.

A new manager at Fish and Go would need to know the following things, assuming they were hired in the host country,

• Company practices, guidelines, and values
• Product purchasing , maintaining, and management
• Menu production and changes in menu based on location
• Food, Workplace, and Employee safety training
• Basic workplace training (cashier, etc) as well as any special equipment training
• Customer service
• Marketing
• Making new hires

https://www.payscale.com/research/UK/Job=Restaurant_Manager/Salary

https://www.salary.com/research/salary/benchmark/restaurant-manager-salary

https://www.glassdoor.com/Salaries/london-restaurant-general-manager-salary-SRCH_IL.0,6_IM1035_KO7,33.htm

https://www.salaryexpert.com/salary/job/manager-restaurant/mexico/mexico-city

Sonia Gonzalez

Bus 311-1801

May 9, 2021

Prof: Brielle Bucker

1. What are the advantages of choosing a host-country national staffing strategy?
2.  1- The fundamental preferences are, Language is a social boundary that can wipe out. The probability of comprehension of nearby guidelines and law is high, and it will minimize the danger of new initiatives. Hiring cost and visa preparation cost can be wiped out and has a better knowledge of local customs and traditions.
3. The compensation plan is the Pay plan for an employee against their employer in the company—the compensation plan made to contain the primary salary heads, allowances head, and legal heads. The essential salary head is the base on which the other charges like allowances head and legal head calculate the percentage of the primary salary head. The allowances head contains the subhead as HRA, managerial allowances, professional allowances, medical allowances, conveyance allowances, etc., as applicable concerning the culture of the nations.

Compensation Plan Heads              UK                       Mexico                    US

1-Basic Salary-                          Basic/Sal                  $2000                 $1500

2-Benefits-                        HRA/ALLOWANCE           $600                   $600

3-Managerial                          $500                             $500                   $500

4-Medial                                 $100                             $100                   $100

5-Performance                       $1000                           $700              $1200

6-Fringes                               $5000                          $417                $417

The culture of a nation has an impact on the compensation plan of the manager. The nation’s environment drives basic pay, allowances, and legal pay. For example, in the UK & US, the basic income is higher than in the developed country while the direct payment is lower in Mexico. The gratuity and pension plans are again nation-driven as they are set for the national level. So any organization needs to meet the legal requirement of pay structure. Generally, the culture helps in understanding the pay structure for the people.

The pay plan ought to comprise the evaluated spending plan for overall pay. It should be based on industrial standards. Hiring cost is another area where the company should focus and reduced through host country hiring.

Type of posts to create. Senior Manager, Delivery Manager, Assistant Managers, Customer relationship Managers, Facility Managers, Sales and Marketing managers, and executives. Supervisors Finance team. Salary for top managers should be fixed + variable, and the variable component can be in the form of a percentage share of the company’s profits. Sales team managers should also have more benefits and perk-based on their business conversion. Salary in the UK should be comparatively more because of currency conversion and living standard difference.

Training Plan: The restaurant chain should be so that it should be overall operations and management of restaurants.

Training Plan: The restaurant chain should be in such a way that is should be over all operations and management of restaurants.

• Floor Management Course
• Base Shift Management Course
• Restaurant Leadership
• Training Consultant
• Customer Relationship
• Finance Executives
• Facility Administration
• Workplace safety

The following will serve as an outline for general manager training at Fish to Go in the American, Mexico and UK Market.

References

https://www.kickfin.com/blog/restaurant-management-training-plan/

https://www.salary.com/research/salary/posting/fast-food-restaurant-manager-salary

1. Advantages of the host-country staffing strategy 

According to the book we have read before this assignment and which is cited in the source, the most significant advantages of the host-country staffing strategy are:

•  The language barrier is eliminated
• A possible better understanding of local rules and laws
• Hiring costs such as visas are eliminated

These advantages are an overall point of view. This strategy helps the organization to settle effectively without any misunderstanding on the religious, social, and cultural rules ongoing in the new country. Less concern on the communicational aspect and a perfect understanding of local labor requirements will prevent the company from law pursuits and discrediting.

2. The compensation plans: 

UK

According to the website https://www.prospects.ac.uk/job-profiles/fast-food-restaurant-manager a general manager of a restaurant “earn between £28,000 and £32,000”. These amounts converted in Dollars will be in the range of salary Fish to Go is willing to pay the managers ($45,000 per year, plus 2 percent profit sharing). Obviously, with this, Fish to Go can be attractive and on top of that, the compensation plan should include bonuses from $1,500 to $12,000 per year depending on the dedication of the worker, seniority, and the rate of execution of the objectives assigned to him. The benefits package must also include:

• Retirement benefit
• Paid vacations
• Health insurance
• Life insurance
• Free or discount on the meal price.

Mexico

As the senior level salary for a restaurant manager in Mexico is $274,607 (MXN) per year with an annual average bonus of $8,353 (MXN), the total pay benefit approximately 282,960 per year. This total amount in USD is around $14,000 that is way below the pay proposed by Fish to Go. If our company pays, at least on average $5,000 more than the other fast-food firms, obviously we can be more appealing than all the competitors.

On top of what will be offered in the United Kingdom, the compensation benefit must include bonuses for civic holidays, festivals, and statutory holidays. In terms of public holidays, we have: New Year’s Day, Constitution Day, Benito Juarez’s birthday, Labor Day, Independence Day, Revolution Day, and Christmas day.

The benefit package may also include:

• Vacation bonus
• Profit-sharing each year (10% of net profit of the company).

3. The new managers will need to be trained in the different fields below:

Technical training: training is some specific technical aspects of the new job.

Quality training: this training teaches the manager how to test products for making sure that they are not defective. It is a program for handling the methods of investigations on the procedures utilized for making products.

Skills training: this program will be designed for providing the abilities and knowledge necessary to fulfill specific requirements of the job assigned to the manager.

Team training: this program will provide to the new manager the tools required to improve the individual performances of the team

Facility management: will provide the knowledge necessary for ensuring safety, comfort inside the restaurant facility.

Restaurant leadership training: this training is such a cocktail of must the elements needed by the new manager for running the restaurant. It provides customer service skills, interpersonal skills, communication skills, organizational skills, commercial awareness, and problem-solving skills. It may include hiring training that focuses on recruiting, retaining, training, and enhancing the workers’ abilities. Further, it may include finance and marketing courses to give him the knowledge necessary to handle the books and conduct marketing plans.

Sources:

https://www.globalization-partners.com/globalpedia/mexico-employer-of-record/compensation/

https://www.salaryexpert.com/salary/job/fast-food-restaurant-manager/mexico 

https://careers.stateuniversity.com/pages/552/Restaurant-Manager.html#ixzz6uOYU229f

https://www.oercommons.org/courses/human-resource-management-3/view

1. Advantages of choosing the host country staffing strategy are language and cultural barrier can be eliminated, understanding of local rules and law is high and it will minimize the risk of new initiatives and hiring cost and visa processing cost can be eliminated.

2.

For UK: labor’s have right to minimum wages which 7.50 pounds per hour, eligible for 28 days of paid vacations.

For Mexico: minimum wage is 70 peso 1 day, for zone A, 66 peso 1 day for zone B employees

3.