To Hire Pcn for Managers in France Subsidiary

Case Study Three

Part One: To hire PCN for managers in France subsidiary

When a company expands its business to a foreign country, its success depends on several key aspects. One of them is to hire right employees. New positions can be filled up from the Home Country Nationals (HCN) or, Parent Country Nationals (PCN). The Brunt Hotel PLC., would like to open new hotels outside the UK, we at XYZ management consultancy are helping them to select right personnels for this new venture.

Brunt Hotels, PLC must hire PCN for key management positions in France. PCN who will be expatriates in France are better suitable for the positions because they will provide numerous advantages over HCN which are discussed below:

1. PCNs already have the technical and managerial competence in commensurate with Brunt hotel's distinguished policies and practices.

2. PCNs are aware of parent organization’s goals and objectives, it will help them to navigate in a new country.

3. PCNs have liaison and communication with the headquarter that will help them to settle initial establishments.

4. Since PCN's qualifications are well known beforehand, they can be trained easily for the new country.

5. PCNs can train next generation of HCNs in France who can take care of business in future.

6. PCNs can gain international and cross cultural experiences which will help them to ladder up in future at this burgeoning Multi-national Company (MNC)

7. PCN are more committed to build good image of the company. [1]

8. France is being neighboring country, it has lots of similarity with UK. It is the only country where tourists outnumber host nationals [2], therefore, English language is very important asset to PCN. However, PCN needs to learn basics of French language as well which is not that hard.

We therefore recommend to hire PCN’s over HCN’s to open new branch of Brunt Hotel in France. It will cost minimum and take fewer resources to hire and train PCN as managers that will commensurate with objectivities of Brunt hotels.

Part Three: Compensation package for the hotel management position

A compensation package is the combination of benefits that an company offers to employees. This may include wages, insurance, vacation days, guaranteed raises, and other benefits. From an employer's perspective, designing a good compensation package is often the key to attracting talented employees and keeping them for a long time.

We propose the following compensation package for the hotel management position in France

Salary:

Managers – 60000 Euros + Commissions+ Other benefits

We discussed the benefits in the following sections:

Commissions: Commission on performance will be provided since PCN are already adapted to commissions in UK and it provided good results. Also, 50% commission for family members in Brunt hotel will be provided in France since their family members may like to visit more frequently.

Cost of living allowance – A net premium will be paid to compensate for the living cost differential between the UK and France. This differential will be applied using a multiplier to apply on the net salary of the employee.

Moving benefit – If an employee want to move their furniture and committed to stay for a long period, a moving cost will be offered. Since employees have already invested in their house furnitures, it will provide incentive.

Housing – Local assistance will be provided for finding houses for free. Employees will enjoy a reduced rent due to Brunt Hotels collaboration with a local real estate management company.

Car for official and personal use – Brunt will have a car pool for its employees that can be used for official and personal use