OUTAHR should expand operations in Pakistan. Pakistan has numerous incentives to offer and companies such as OUTAHR can thrive by expanding operations in the country. It should address cultural differences, develop effective communication and have a dynamic strategic management to ensure productivity and growth. Nuances and the intricacies of each implementing business in this country have been probed in detail in this analysis.
Growth and development has been increased owing to globalization. Modern day companies are dependent on multitude of companies to sustain. There is a need for the companies to have an effective international human resource management. Conflict resolution is an integral aspect that should be considered for the smooth flow of operations (Hill, 2008). Owing to the international events, certain ideologies and implementation have been evolved in the company. The purpose of this report is to look into ways in which OUTAHR ventures can extend outsourcing and certain key operations into Pakistan. For this purpose there has been analysis of the current international management scenario, derivation of conflict management. From this, best practice has been recommended for the company.
Background of the issue
Pakistan has made impressive growth in the past few decades. Country has been able to develop a number of engineers and English-speaking population of the country is also higher. There is good access to other markets and the cost of the initial setup would be considerably lower than India or China. Exiting business operations in the Pakistan markets would be considerably easy. The country was making good progress. Nevertheless, there are some daunting tasks that lie ahead for a foreign investor. Pakistan companies are still family-owned business and the infrastructure is yet to develop. The number of internationally renowned companies is relatively less in Pakistan (Sharma, 2004). There is confusion in the management decision whether to be a first entrance investor or to wait for subsequent development. There is a number of intricate factors that need to be considered while expanding operations. Currently, OUTAHR is a 30-person company. This company is expecting to expand operations to become a 300-person company. Second level of management and bulk of the operations would be in Pakistan. There are some serious management issues and cultural issues that need to be tackled by the Australian company that chooses to invest in Pakistan. The following report looks into the various factors and divulges theoretical framework to develop an adequate management system.