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Global integration and local responsiveness in multinational subsidiaries: Some strategy, structure, and human resource contingencies

Ben-Gurion University, Beer-Sheva, Israel, dmb{at}bgu.ac.il

Ilene C. Siscovick

William M. Mercer Inc., Seattle, Washinton, USA

In this paper we analyze di ferent aspects of organization and management in multinational subsidiaries, and investigate some organization design premises in these contexts. We develop some theoretical arguments for linkages between strategy, structure, and aspects of human resource management. Data were collected from a sample of 259 multinational subsidiaries, mainly from the Asia-Pacific area. Our findings generally support the association of organizational and human resource contingencies with subsidiary e fectiveness in more localized than in more globalized situations. We conclude by discussing these findings and attempting to further the understanding of the management of multinational subsidiaries in the contemporary competitive environment.

Key Words: human resources • multinational • subsidiary • strategy

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