Adapting HR Concepts of German MNC’s to Thai Subsidiaries
Christin Grothaus1
As firms in Thailand show increased global activity and growth in the foreign or
joint-venture sector, multinational companies (MNC’s) operating in Thailand are
confronted with the question of whether to adapt human resource management
(HRM) strategies to the work culture of the Thai employees. The process of
industrialization can result in a global tendency to push HRM systems towards
uniformity. This study aims to identify challenges when applying HR concepts of
German MNC’s in their subsidiaries located in Bangkok by analysing cultural
differences with help of a qualitative content analysis. HR managers and general
managers were interviewed regarding HR approaches such as career development
talks, participation in corporate vision building, management by objectives and
cross-functional teams. As a second objective, interviews aim to give insights to
which extend to defend, hybrid or adapt HR concepts to the culture of the host
country. Interviewees did not apply HR methods universally but adapted approaches
and suggested to create necessary conditions such as fostering a company culture of
harmony and care, employee relationships and a situational leadership style that
respects the values of Thai employees.
Keywords: HRM, Germany, Thailand, MNC, business culture, expatriate