The impact of national culture on HR practices in organizations: a literature review

Abstract

Globalization has accelerated the transfer not only of products and services, but also of corporate management practices. Multinationals operating in many countries with different socio-economic and cultural orientations face serious challenges in implementing Western HRM practices in developing countries. The concept of culture is of great importance to the field of management, as it enables us to understand and anticipate real-world phenomena. Although management cannot change national culture, it can only understand it and use it wisely. The increase in international trade and investment has created a growing need for organizations to understand the impact of national culture on HR practices. National culture can influence how employees are recruited, trained, remunerated and evaluated in organizations.

The aim of this paper is to provide a comprehensive literature review through an analysis of research conducted in this field, with a view to providing a reflection on the state of current knowledge. The results of our theoretical study demonstrate the significant link between culture and HR practices. Organizations that place a high value on culture are likely to adopt practices that reflect the organization's cultural norms and values.

Keywords: Culture, National Culture, HR Practices, Organizations, Literature Review

JEL Classification: O15, M14

Paper Type: Theoritical Article