Johnson, Human Resource Information Systems, 5e
SAGE Publishing, 2021
Case Notes
Chapter 13: HRIS and International HRM
Cookware MNE
Case Summary
A large MNE in the cookware industry was having difficulties maintaining its market share due
to a number of mergers among other competing firms in the industry. As a result, the
Case Analysis
Globalization is a reality, and this case showcases an example of its impact on HRIS. This case
examines the implications of this globalization on the HRM function in MNEs. This case looks
at how IHRM has become increasingly complex by expanding on the traditional HR functions of
selection, training, and compensation. The complexity of having diversity of employees (PCNs,
HCNs, and TCNs) and of contending with the varying laws and practices of host countries
dictated that MNEs abandon the paper-and-pencil system for computer technology. We look at
the advantages of having employee information stored, manipulated, and reported using
computer technology relative to the use of these capabilities in multiple IHRM programs.
Sample Answers to Case Questions
1. How would you approach a solution to this problem for the MNE?
It is apparent that personnel costs had to be reduced.
a. First, I would ask the CEO and the corporate board to set a specific
financial savings goal in terms of the overall reduced personnel and
payroll. The HRIS director in the IHRM department and the financial
officer should be able to help produce these numbers for the CEO and the
corporate board.
Johnson, Human Resource Information Systems, 5e
SAGE Publishing, 2021
2. Assuming that reducing personnel costs is the best—and probably only—way to
reduce overall corporate costs, what specific programs would you suggest to help
reduce costs? And why?
I would examine options other than layoffs for current employees. Several
options come to mind: (1) early retirement with an incentive, (2) have
3. How would an HRIS for the MNE aid in finding HR programs to help solve this
problem? What would be the important data to access in the HRIS for all of the
units and divisions of the MNE to determine feasible HR programs?
➢ The HRIS could be used, as mentioned above, to determine the exact
amount of personnel savings needed for each country to meet the
financial savings goal.
4. Are the problems of reducing personnel costs for an MNE different from those for
a domestic-only company? Explain.
Johnson, Human Resource Information Systems, 5e
SAGE Publishing, 2021
As discussed above, the most significant difference is the reduction of
personnel costs would have to be done within the labor laws of each