Impact of Decentralization in Multi-National Companies working in Karachi

Abstract

Purpose-The major aim of the study is to evaluate the impact of decentralization of Human resource Management (HRM) and its practices in MNCs working in Karachi. The rising problems of mistreating and overlook of company and employee policies,misuse of power and neglect of rules and regulations in the area of discipline, recruitment, promotion, appraisals etc urge the researcher to conduct this study Methodology/sample- Data collection is conducted with the help of Questionnaire, which is developed with care keeping in view the requirement of the research. Questionnaire has 11 relevant questions, related to the impact of decentralization.25 employees are selected from different departments including HRM of each of the above companies. Total 100 respondents are contacted. Data has been analyzed by means of statistical methods of descriptive and inferential analysis through SPSS. In descriptive analysis the tools used are the frequency tables and graphs for analyzing each of the selected variable and their implication. In inferential analysis t-test has been used with the significance of 95% to test the hypothesis. These tools have been selected based on the nature of the topic to know about the in-depth detail of the impacts and implication of the practices of decentralized human resource management. Findings- The analysis and comparative results show that the decentralization of HRM and its practices has positive impact over the MNCs working in Karachi. , it has been concluded that with decentralization of HRM in MNCs working in Karachi, organizations are more responsive to the new challenges and global business changes, which has enable the organizations and employees to leam and perform better every time Practical Implications- The outcome of the study might help the multinational companies of Pakistan, private and public corporations and human resource managers to understand the impact of decentralization of HRM ad its practices and overall dynamics, problems and challenges of human resource Management decentralization,