This suggests a need to change and Braun and Warner (2002) put forward the SIHRM model (Strategic International Human Resource Management) which links strategic global activities of multinational enterprises to their human resource management practices. The main design of the SIHRM would be in the appraisal program but it must be customized to suit the China business climate and local culture. The cultural gap between a multinational parent company and its China office cannot be ignored especially a performance review is considered a very culture-bound activity. Battisti et al (2014) also point out the strategic importance of implementing high performance HRM function. It is found that amongst the companies researched, most link their training and development plan, compensation, and the selection process to their performance appraisal system.