There has been a move from personnel management PM to human resource management HRM; more recently to international human resource management IHRM. Challenges in IHRM involve the same activities as domestic HRM; the main difference is that domestic HRM is involved with employees within only one national boundary. IHRM assists organisations to best utilise their HR in the international context. Since multinational activities are involved in HRM, it is believed that IHRM is more complex than domestic HRM. In the South African context, employees come from different backgrounds and experiences; it is more difficult to manage them in a multinational corporation MNC than if they were all in the same country. Internationalisation impose a movement in the direction of standardisation of pay, working conditions and management systems in MNCs, including HRM, the influence of local culture, institutional arrangements and labour market practices. A model was developed by the authors and is recommended for use by South African HR practitioners.