The role of human resource management (HRM) in Australian-Malaysian joint ventures

This article examines human resource management (HRM) for successful Australian-Malaysian joint ventures (JVs), on the basis of survey data and case studies. The findings suggest that each phase of JV development had its own pattern of HR practices. Three phases of development were distinguished - initiation, transitional, and maturational. The first phase involved selecting, recruiting and training a skilled workforce and formulating rudimentary human resource policies. Cultural differences were most marked in this phase. The second phase, after three years of operation, involved evolution of human resource policies better suited to local conditions, and more polycentric management staffing. The final phase, after six years of operation, saw the development of a distinctive human resources system, and the minimisation of cultural differences as an operational issue. In this phase there was also a move to more geocentric management staffing.