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Global HRM at Colgate-Palmolive Co
Improving Economic Performance
The international training program can improve its economic performance by minimizing the amount of time spent on each trainee; make the program an 18 months program versus 24 months. With these economic times, the company can save money by not offering such a generous compensation package and instead offer some incentives for completing the program, such as a new car, or an all expense paid vacation. This way, the company will spend some money in the beginning, and will ultimately come out ahead due to the long-term range of saved compensation and benefits.
As with any global company, there are problems and risks involved when it comes to Human Resource management. Colgate is more likely to send a French national to the United States, a US national will be sent to Germany, and a British national will go to Spain. These managers are offered the same expatriate compensation packages the Americans receive even though some are sent to their own countries. The extra pay has created resentment among locally hired managers because the position is initially the same but the compensation is not.
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