Rationale
Human resources (HR) are considered the most crucial assets of any organization, making it essential for companies to invest in the development of their workforce to achieve success in today's rapidly changing business environment Organizations seek employees who possess knowledge, creativity, enthusiasm, dedication, and responsibility, as the quality of human resources significantly impacts an organization's success or failure In Vietnam, the challenges posed by globalization and international economic integration, particularly since its accession as the 150th member of the WTO in January 2007 and the ASEAN economic integration in 2017, underscore the importance of a skilled workforce Additionally, Vietnam's participation in the ASEAN Free Trade Area (AFTA) marks a vital step in its integration into the global economy.
In the first two months of 2017, Vietnam experienced a significant surge in foreign direct investment (FDI) inflows, reaching record levels compared to previous years, as indicated by researchers and the Vietnamese Foreign Investment Agency The country now boasts over 1,100 FDI projects, reflecting a 21.5% increase from the same period last year This growth has intensified competition in the Vietnamese market, pitting local products against foreign counterparts and highlighting the importance of both domestic and international human resource quality in the workforce.
The 4th industrial revolution is currently making significant strides globally, directly impacting Vietnam by accelerating its industrialization and modernization However, this transformation presents both opportunities and challenges, particularly in the realms of technology, human resources, and infrastructure As highlighted by VietNamNews, Professor Doctor Tran Dinh Thien warns that rapid technological advancements could result in robots replacing workers, potentially displacing millions of traditional jobs.
Technology of the Ministry of Science and Technology clearly pointed that Vietnam is required changes in HR educating and training to meet the requirements of Industry 4.0
To leverage the growing trend of competition and knowledge exchange, Vietnam Stamps Company (Cotevina) recognizes the urgent need to enhance its human resources to adapt to global developments Established on July 1, 1977, as a state-owned enterprise under Vietnam Post, Cotevina is the sole provider of stamps nationwide and engages in the import-export philately business, delivering unique stamp products to both national and international customers As a representative of Vietnam, the company has participated in various stamp exhibitions across Asia and worldwide Between 2018 and 2022, Cotevina implemented a business plan that resulted in a remarkable 150% annual increase in revenue and profit, necessitating a growth in workforce However, the company faces significant challenges as it must innovate new products to replace the declining demand for traditional postage stamps Currently, Cotevina lacks detailed plans for the education and training of its employees, highlighting a critical area for improvement to sustain its competitive edge.
To ensure long-term organizational survival, it is essential for human elements to learn, adapt, innovate, and create (Bontis et al., 1999) For Vietnam Post, the quality of postal services has become a vital concern, especially following its transformation in 2008 This quality is now a collective responsibility across all processes rather than isolated to individual departments With over 40,000 employees, the overall service quality hinges on their professional skills, knowledge, and work ethic In recent years, Vietnam Post has prioritized human resource development, exemplified by its collaboration with Japan Post to enhance quality management systems and training programs (Vietnamnet, 2015) Therefore, improving the human resources at Vietnam Stamps Company is crucial and necessitates the implementation of a comprehensive development program.
This thesis addresses the critical need for Vietnam Stamps Company to enhance its human resources management (HRM) strategies, particularly from the perspectives of middle and senior management It emphasizes the importance of aligning recommendations with the company's existing HRM practices to support Cotevina’s business objectives The focus of the study, titled “Improving the Quality of Human Resources at Vietnam Stamps Company for the Period 2018-2022,” aims to contribute to both theoretical frameworks and practical solutions for elevating human resource quality within the organization.
Literature review
General view of domestic and international project on topic HR and quality of HR in
quality of HR in organization
According to a World Bank report and the United Nations Organisation, Vietnam's population exceeded 97 million in July 2019, with a dependency ratio of 44.4% This ratio reflects the proportion of dependents—individuals under 15 and those aged 65 and older—compared to the working-age population, which includes individuals between 15 and 64 years old.
Figure 1.1 Population of Vietnam during 1950-2017
The labor force is considering one of the Vietnam’s great advantages as the country has abundant young people, at the working age
According to the Institute of Workers-Trade Unions, Vietnam's skilled workforce has grown significantly, rising from 9.65 million in 2013 (18% of the labor force) to 11.78 million in 2017 (21.7% of the labor force) Despite this increase, the human resource structure remains imbalanced, with 500,000 workers currently employed abroad and approximately 100,000 workers sent overseas annually under contracts, primarily in medium and low-skilled positions.
The influx of foreign workers in Vietnam has surged to approximately 6,500 annually, reflecting a 22% yearly increase Notably, 51.5% of these workers occupy critical technical roles that demand advanced qualifications, highlighting a significant shortage of high-skilled labor in the country (Thu, 2019) As Vietnam continues to integrate and modernize, the enhancement of employee capabilities and professional skills becomes vital for boosting productivity, improving quality, and increasing the competitiveness of both businesses and the workforce.
General view of domestic and international project on topic improving the quality of
Human Resource Development (HRD) plays a crucial role in improving the quality of human resources within small and medium-sized enterprises (SMEs), making it a widely studied topic in Human Resource Management (HRM) (Nolan & Garavan, 2015; Ahmeti & Marmullaku, 2015; Armstrong, 2006; Thu, 2019; Bui, 2006).
Improving the quality of human resources has become a significant focus for researchers globally Numerous studies have explored this topic, including Eric Garner's 2012 book "Health and Social for Workers," which emphasizes the importance of maintaining and enhancing human resources Additionally, Professor Geoffrey B Hainsworth's article, "Developing Human Resources in Response to the Challenges of Strong Globalization and an Economy Based on New Insights," highlights the need for innovative approaches in human resource development These works underscore the ongoing commitment to advancing HR quality in a rapidly changing economic landscape.
In 2001, research focused on enhancing human resources through mental improvement, as detailed in Dorothy Grover Bolton's 2011 book "Training Strategies for Employees." Bolton proposes effective solutions for organizing high-quality training programs Stivastava M/P (1997) also contributes to this field with "Human Resource Planning: Approaches to Needs Assessment and Priorities in Manpower Planning," emphasizing the importance of improving human resource quality These studies highlight the significance of building a strong corporate culture, establishing behavioral norms, enhancing work styles, promoting labor discipline, and fostering political education and loyalty within organizations Additionally, Stewart Liff's 2011 work, "All You Need is the Will and the Skill," supports these concepts.
Vietnam, like many developing countries, is navigating the challenges of the Fourth Industrial Revolution, necessitating a swift embrace of advancements in information technology, automation, and the Internet to foster economic growth A significant hurdle for the nation is the shortage of a high-quality workforce In an interview with the Vietnam News Agency, Mr Le Quan, the Vice Minister of the Ministry of Labor, War Invalids and Social Affairs, shared various suggestions to enhance the current workforce situation.
General view of the project
Numerous projects focus on enhancing HR quality across various sectors, including banking, construction, and state administration; however, there is a notable lack of research specifically addressing the postal sector, particularly in the area of stamps To address this gap, it is essential to conduct a study on the Vietnam Stamps Company to elevate the quality of its operations and services.
HR from the management to employees
The aim of this project is to find out the answers for these following questions:
- What criterions use to measure quality of HR in the organization?
- The current situation of Vietnam Stamps Company in HR field
- What activities Vietnam Stamps Company are doing to improve the HR quality and how do these activities affect?
- Suggestion of some evaluations to improve quality of HR field
2.4 Concept of human resource and human resource development
Human resources are essential yet complex assets in any organization, encompassing the knowledge, skills, and motivation of employees, which collectively form the human capital necessary for achieving organizational goals Human resource management spans all levels and categories of employees, from unskilled to managerial roles, ensuring effective management of both organized and unorganized personnel A key function within this field is human resource development, which focuses on training, organizational growth, and career advancement, highlighting its importance in fostering a productive workforce.
“HRD is organized learning experiences in a definite time period to increase the possibility of improving job performance and growth”
2.5 Position and role of HR in the cause of industrialization and modernization
Human Resources (HR) play a crucial role in organizations by focusing on key areas such as strategy, compensation, benefits, safety, training, employee satisfaction, recruitment, and compliance (Mayhew, 2017) In today's service-oriented economy, maintaining employee motivation and productivity is essential for success, prompting firms to adopt effective resource management strategies Even traditional manufacturing sectors are recognizing the importance of a "people first" approach, viewing employees as valuable assets rather than mere resources This shift in perspective reflects a broader change in the business landscape, emphasizing the significance of human capital in achieving organizational competitiveness.
The successful advancement of industrialization, modernization, and the knowledge-based economy hinges on effective research and optimal resource utilization Central to this success is the quality of human resources, which play a critical role in navigating complex employment regulations Human Resources (HR) professionals leverage their expertise to guide management on regulatory impacts, ensuring that business practices remain compliant and up-to-date, a challenging task that is essential for organizational success (Adamson, 2009).
2.6 Criterias and methods of evaluating the quality of human resources 2.6.1 Evaluating criterias
Evaluating the quality of human resources is challenging due to its comprehensive nature, which encompasses various fundamental characteristics Economists categorize human resource quality into two main groups: the first reflects social competence, including physical and intellectual abilities as well as personality traits, while the second highlights social dynamics, such as capacity, competitiveness, adaptability, and development potential Key factors for measuring human resource quality include physical indicators like health and working capacity, along with intellectual indicators such as education and technical expertise.
Position and role of HR in the cause of industrialization and modernization
Human Resources (HR) play a crucial role in organizations across ten key areas, including strategy, compensation, benefits, safety, liability, training and development, employee satisfaction, recruitment, selection, and compliance (Mayhew, 2017) In today's service-oriented economy, companies are increasingly focused on keeping their employees motivated and productive Even in traditional manufacturing sectors, maintaining competitiveness has led to the implementation of strategies that optimize resource use This shift in the business landscape reflects a paradigm change, where organizations recognize the value of their employees as integral assets, embracing a "people first" philosophy.
Successful industrialization, modernization, and the development of a knowledge-based economy hinge on effective research and efficient resource utilization The key to achieving this success lies in high-quality human resources Human Resources (HR) plays a crucial role by navigating complex employment regulations and advising management on their implications for the business By updating business practices to ensure compliance, HR contributes significantly to the overall success of the organization, a challenging task that requires expertise (Adamson, 2009).
Criterias and methods of evaluating the quality of human resources
Evaluating the quality of human resources is challenging due to its complex nature, which encompasses various fundamental characteristics Economists categorize human resource quality into two main groups: social competence, which includes physical and intellectual abilities as well as personality traits, and social dynamics, which focuses on capacity, competitiveness, adaptability, and development Key factors for measuring human resource quality include physical indicators like health and working capacity, intellectual indicators such as education and technical skills, personality indicators encompassing ethics and lifestyle, and social dynamics indicators related to work ability and competitiveness.
Evaluating human resource quality involves assessing both moral qualities and physical fitness, with labor ethics encompassing personal and professional ethics The capacity assessment methodology focuses on evaluating individual qualities based on a competency framework derived from job analysis This assessment is crucial for identifying employee training needs and the nine skills acquired through prior training.
Performance evaluation methodology involves utilizing various metrics based on specific indicators to assess human resources This approach enables managers to evaluate the current quality of their workforce and anticipate future capabilities.
Influencing factors to the quality of HR
Enterprises that want to own a high quality staff must first Good control of the input of human resources, such as good job recruitment and selection of manpower
The company's HRD policies encompass personnel placement, staff evaluation, training, and the effective utilization of human resources post-training These policies must explicitly outline the objectives, content, and the rights and responsibilities of both the organization and its employees.
Labor remuneration policy is all that employees receive through their employment relationship with the business Remuneration includes basic remuneration, incentives and benefits.
Aims of Research
This research aims to analyze the current state of human resources at the Vietnam Stamps Company and evaluate the effectiveness of existing practices By critically assessing these practices, the study seeks to identify areas for improvement and propose viable solutions to enhance the quality of human resources The ultimate goal is to support the company in achieving significant profit and revenue growth from 2018 to 2022.
The thesis aims to systematize and clarify fundamental theories related to human resource factors and enhance the quality of human resources within enterprises It involves studying high-quality human resources in various countries and domestic regions, analyzing practical lessons to determine their applicability to Vietnamese companies in the business sector.
This dissertation focuses on the collection, analysis, and evaluation of the quality of human resources at the Vietnam Stamps Company from 2015 to 2018 It aims to identify the factors contributing to both achievements and limitations in this area, as well as the underlying causes that restrict the overall quality of human resources.
Since then, proposing solutions, mostly on current limitation reasons to contribute promoting and improving the quality of human resources at Vietnam Stamps Company.
Objects of Research
The research subjects of the dissertation are quality of human resources and activities to improve the quality of human resources in Vietnam Stamps Company in details
The research content is focusing on analysing and evaluating the effectiveness of applied activities, therefore suggesting solution to improve the quality of human resources in the Vietnam Stamps Company.
Scope of Research
The area and scope of research are essential for determining the focus and context of a dissertation, as they define the specific population and topics under investigation It is crucial that the selected scopes are both relevant and representative of the total population to ensure the validity of the research findings (Wentz, 2014).
This thesis investigates the quality of human resources at Vietnam Stamps Company, focusing on its head office located at 14 Tran Hung Dao Street, Phan Chu Trinh Ward, Hoan Kiem District, Hanoi, and its branch at 18 Dinh Tien Hoang Street, District 1, Ho Chi Minh City The research encompasses data collected from 2011 to 2019, with a primary emphasis on the years 2016 to 2018.
Research Methodology
Research methods typically consist of three main sections: a description of the study area, the data collection process and methods used to acquire the data, and the approach for data analysis (Wentz, 2014).
The research methodology is used in the thesis is
Firstly, collecting primary data from departments of the Vietnam Stamps Company, which are known as Administration Department, Accounting Department, Business Department and the Brand in Ho Chi Minh City
To enhance the quality of human resources at Cotevina, secondary data was collected through a systematic approach Questionnaires were distributed to 44 employees at Vietnam Stamps, ensuring an objective gathering of relevant figures and insights.
In 2018, the company initiated a review of various departments to assess information from 2011 to 2018 This process involved employing statistical methods for planning, designing, data collection, and analysis The primary objective of this evaluation is to analyze and assess the improvements made in the quality of human resources during this period.
Utilizing quantitative data analysis methods allows researchers to transform raw data into meaningful insights, facilitating critical thinking and statistical analysis to propose effective solutions.
Thesis Structure
Besides the introduction, conclusion and references and appendixes, the main part of the dissertation is structured as 3 chapters following:
Chapter 1: Theoretical background on improving quality of human resources in the businesses
Chapter 2: Actual status of actions to improve quality of human resources in Vietnam Stamps Company
Chapter 3: Analysing data results and giving some suggestions to improve HR qualification within the company.
BASIC THEORY ON IMPROVING THE QUALITY OF HUMAN
Quality of HR in organisation
Human resources are evaluated not only by quantity but also by the quality of their contributions Various definitions and descriptions of HR quality exist, highlighting the diverse perspectives on what constitutes effective human resource management.
It is required HR to keep changing and continuously develop adapt to and meeting demand of higher needs from customers
1.2.1 Conception of quality of HR in organization
The quality of human resources encompasses the values of humanity, physical and spiritual well-being, intellectual capabilities, and professional skills These elements collectively shape individuals with the ability to contribute effectively to the workforce while embodying virtuous character traits In today's evolving social economy, the comprehensive range of resources and abilities that define a person's life is referred to as the quality of human resources.
The quality of human resources (HR) is influenced by various factors, including health, cultural awareness, professional knowledge, practical skills, workplace flexibility, ethical standards, work attitude, environment, and performance These qualities can be assessed through physical and mental metrics, often measured by scientific tools or knowledge levels While it is essential to evaluate all these factors to determine HR quality, it is not necessary for an individual to possess every single one.
The quality of Human Resources (HR) is influenced by various factors such as time, work environment, training, and culture Enhancing these elements can lead to improved outcomes and maximize human potential, particularly through the development of cultural leadership in educational institutions for students prior to entering the workforce (David L Weller, 2000) Continuous learning and training are essential for boosting workplace performance; therefore, organizations should foster an environment that encourages employees to engage in learning, gaining experience, and healthy competition (Wilson, 2005).
The quality of HR within an organization is reflected in the performance of its employees during their work processes Employees engage in two primary functions: utilizing their skills gained from training to enhance existing activities and producing goods or services according to established designs, while also innovating new products and creative technologies This dual focus on improving current processes and exploring novel ideas is essential for fostering creativity and developing unique technological solutions.
The quality of an HR organization reflects the value of every employee within the company Effective quality control plays a crucial role in fostering customer loyalty and ensuring customer satisfaction In competitive markets, maintaining high quality is essential for retaining customer loyalty.
High-quality products and services are defined by their ability to meet customer demands, regardless of the technology used in their production If goods fail to satisfy these demands, they are perceived as low quality Quality is dynamic, influenced by shifting customer needs, environmental factors, and working conditions Consequently, it is crucial for an organization's management to grasp the significance of delivering high-quality products, particularly by fostering a skilled and competent human resource team.
The success of high-quality management in the knowledge economy relies heavily on the capacity for creation and innovation, alongside the development of physical capabilities and professional skills that transform into new products and services.
Despite notable progress and focused efforts, the World Bank assessment reveals that the quality of the Vietnamese labor force remains inferior to that of many other countries, particularly in terms of skilled and high-level technical workers Vietnam's human resources quality is rated at only 3.79 out of 10, placing it 11th out of 12 Asian countries in the World Bank ranking In contrast, South Korea scores 6.91, India 5.76, Malaysia 5.59, and Thailand 4.94, highlighting the urgent need for improvement in Vietnam's workforce capabilities.
1.2.2 Criterion of evaluating quality of HR in organization
MSc Nguyen Thuy Hai from the University of Economics and Technical Industries and Duc Duong Pham from the Southeast Asia – Vietnam Scientific Research Association identify three key criteria for evaluating the quality of human resources.
During the Spring Economic Forum 2015, Dr Bui Sy Loi, deputy chairman of the National Assembly’s Committee on Social Affairs, highlighted the significant challenge of labor quality in Vietnam He pointed out that a high percentage of the workforce is employed in the agriculture, forestry, and fishery sectors, which are characterized by low labor productivity Specifically, while the agricultural sector employs 46.6% of workers, it only contributes 18.12% to the country's GDP (Chau, 2015).
Human resources are evaluated based on both mental and physical strength Physical strength is influenced by various factors, including health status, living standards, income, diet, work-life balance, access to healthcare, and gender.
Vietnamese workers generally exhibit average to below-average physical conditions, including height, weight, endurance, and toughness As a result, the labor force often struggles to meet the intensity of work and the equipment usage standards set by international benchmarks.
In the healthcare sector, Human Resources (HR) encompasses various types of clinical and non-clinical personnel dedicated to public and individual health interventions HR plays a crucial role in the healthcare system, as its effectiveness hinges on the knowledge, skills, and motivation of its staff The interplay between health outcomes and HR practices is notably intricate, highlighting the importance of effective HR management in enhancing healthcare delivery.
The intellect includes talent, aptitude, as well as belief, human being within every single person
Labor discipline in the region is lagging behind that of many other countries, with a significant portion of workers lacking training in industrial work ethics Many employees exhibit a disregard for time management and professional conduct Additionally, there is a notable deficiency in teamwork skills, cooperation, and risk management, leading to a reluctance to share ideas or promote initiatives and experiences among colleagues.
Improving quality of HR in organisation
Assoc Prof PhD Pham Van Son, director of the Center for Training Support and HR Supply at the Ministry of Education and Training, emphasizes that Vietnamese workers have significant opportunities to engage in both Asian and international job markets However, there is an urgent need for Vietnam to enhance the quality of its workforce to meet the rising demands of these opportunities.
On 20 th March 2019, the Institute of Workers – Trade Unions (Vietnam General Confederation of Labor) held a workshop to discuss solutions to improve the quality of HR and mange skilled labor to meet the requirements, integration demand At the seminar, experts and scientists exchanged and analysed the characteristics, opportunities, challenges and impacts of skilled labor movement on socio-economic and urban development (Thu,
Enhancing the quality of human resources in enterprises involves a strategic approach to developing both the scale and qualifications of the workforce to align with business objectives and improve efficiency This enhancement not only increases the material and spiritual value of employees but also elevates their intellectual and professional skills By focusing on improving working capacity, job handling abilities, and positive work attitudes, organizations can ensure their workforce meets the growing demands of socio-economic development.
Effective HR management development enhances healthcare activities, mental training, and employee knowledge, ultimately achieving standard levels that contribute to the economic and social missions of businesses and nations Furthermore, the quality of these initiatives plays a crucial role in driving overall success and sustainability.
HR directly supports and affects the economy growth, which reveals people quality of life
Enhancing the quality of Human Resources (HR) is a crucial aspect of Human Resource Development (HRD), focusing on the health, intelligence, ethics, abilities, and skills of employees To elevate organizational quality, drive business growth, and maximize revenue and profits, companies must prioritize HR improvements, ultimately becoming the desired employers that attract top talent.
Human Resource Management (HRM) should be central to organizational management, as it plays a crucial role in maximizing employee potential The success of an organization relies heavily on the effectiveness of both individuals and teams in reaching its goals HRM is primarily tasked with cultivating human capital through various people-centric functions, including hiring, training, development, performance appraisal, and creating a positive working environment.
Enhance, it is extremely important in term of putting more investment on HRD to enhance the quality of HR to sustainable competitive advantage
1.3.2 Activities for improving quality of HR
Vietnam's global integration has significantly influenced business perspectives, leading owners to recognize the critical role of human resources This shift emphasizes the need for creating supportive work environments, providing promotional opportunities, and implementing attractive compensation packages to retain top talent.
To enhance employee performance and efficiency, various creative strategies are recommended, with outsourcing being a key approach This method effectively transforms fixed workforce costs into flexible expenses, especially during periods of high workload or challenging tasks Additionally, practices such as contracting-out, internal contracting, and performance contracts are employed to optimize workforce measurement and productivity.
To enhance HR quality, it is essential to implement initiatives that promote equity and fairness This includes integrating financial protection mechanisms and addressing specific employee needs through targeted redeployment services When employees perceive an increase in equity, their job satisfaction rises, leading to improved performance and better overall results in the workplace.
Human resources in the stamp sector reform aim to enhance product and service quality, ultimately boosting customer satisfaction Quality is typically defined in two dimensions: product quality, which encompasses both technical and aesthetic aspects, and service quality, which reflects the ability of products to meet customer expectations By focusing on these areas, the reform seeks to provide customers with a greater selection of high-quality options.
1.3.3 Influencing factors for improving quality of HR
1.3.3.1.The internal factors affecting the quality of HR in organization
To enhance the quality of human resources, it is essential for policies and strategies to clearly outline the reasons for improvement, as well as the rights and obligations of both employees and employers Well-defined policies not only motivate workers to enhance their performance but also demonstrate the commitment of business owners to invest in the development of their workforce.
Businesses focused on growth and innovation must prioritize training and recruiting staff to meet their development objectives The adoption of new technologies necessitates equipping employees with the skills needed to leverage these advancements Continuous innovation in management practices is essential for enterprises, along with ongoing employee training to ensure they remain competitive in a rapidly evolving market.
Business owners acknowledge the critical role of enhancing HR quality in driving enterprise growth They have experienced firsthand the benefits of training and development, viewing these investments as essential for improving business performance, with the expectation that training costs will be recouped over time Additionally, they are equipped with skills in training needs analysis and planning, demonstrating a commitment to employee development without fear of losing trained staff to competitors.
The financial capacity of enterprises significantly influences their ability to conduct employee training programs While many businesses recognize the importance of training their workforce, limited financial resources often prevent them from enrolling employees in reputable training institutions.
1.3.3.2 The external factors affecting the quality of HR in organization
The government and international organizations play a crucial role in enhancing human resource quality for small and medium-sized enterprises (SMEs) in developing countries like Vietnam These entities provide diverse support, including financial assistance, market development, and technology improvements, all aimed at fostering HR development.
Experiences on improving quality of HR
Vietnam must foster an environment that encourages collaboration among training institutions, employers, and skilled human resources to enhance HR quality through exchanges and experience sharing, particularly with advanced countries in Asia and globally In the current market economy, many nations have successfully established cooperative mechanisms between universities or training centers and businesses to improve human resource training and quality.
Selecting the right training and development methods is crucial for enhancing the quality of human resources in SMEs However, government support is also vital alongside the initiatives of small and medium enterprises International experiences demonstrate that governments prioritize HR quality improvement through various supportive programs and policies Research by MA Pham Thi Ngoan from the University of Economic and Technical Industries and PhD Do Minh Thuy from Hai Phong University highlights several policies that could be adapted for Vietnam, drawing on successful practices from other countries.
Offering training and consulting services to enhance HR quality in SMEs can significantly boost product quality, business efficiency, and overall competitiveness This approach is effective across various countries, from developed to developing nations, although the implementation may vary based on each country's unique conditions.
Japan, despite its limited natural resources, excels in management techniques and human resource compensation, leading to significant success in the global market The Japanese approach to managing human resources is both a science and an art, emphasizing the value of each individual within the company This appreciation forms the foundation for Japan's global success, with companies like TOYOTA and ISUZU exemplifying the high quality of human resources that have garnered international recognition.
Since 1985, Japan has implemented a law to promote Human Resource Development (HRD), which places the responsibility on the Minister of Labor to create a vocational training plan that aligns with labor market needs This law ensures that the evolving requirements and aspirations of workers are met, while also providing opportunities for employers, including company owners, to engage in training Previously focused solely on workers, the scope of training has now expanded to include a broader range of individuals involved in the workforce.
Toyota, Isuzu, and other Japanese-influenced companies prioritize a "lifelong job" regime for key positions, fostering high employee motivation and supporting families during unfortunate events They emphasize continuous training and professional development, particularly for managerial roles, which often involve transfers to different branches domestically or internationally to enhance global learning Teamwork is a cornerstone of their operations, promoting coordination that facilitates mutual learning, progress tracking, quality control, and healthy competition within groups Additionally, these companies focus on integrating research and development with marketing, encouraging creativity and innovation while rewarding employees for their creative initiatives.
The preferential regime and effective management of human resources are essential for fostering loyalty and dedication among employees By investing in training and development, companies like Toyota and Isuzu have successfully leveraged their human resources as a key factor in their global presence and success.
In Malaysia, the government has implemented the Human Resource Development (HRD) fund, mandating that business owners contribute 1% of their organizational salary fund Established in 1992, this initiative aims to finance training in priority areas, particularly focusing on technical and professional skills The funding levels are determined based on the specific field of training, ensuring targeted support for workforce development.
The Singapore government has established the Skills Development Fund and the Skills Redevelopment Program to enhance workforce capabilities The Skills Development Fund offers financial incentives to employers, promoting their involvement in advanced skills training programs This initiative aims to boost workers' basic knowledge and math proficiency, ultimately fostering lifelong employability and adaptability in the evolving job market.
South Korea is a very poor natural resource country but has emerged as one of the
The 15 most developed countries in the world owe their achievements to their emphasis on human resources development (HRD) The Korean government is particularly focused on fostering creativity, self-discipline, and competitiveness to enhance the nation's strengths and wisdom This commitment positions Korea as a significant player in global affairs Consequently, HRD is a priority not only for the government but also for businesses and individuals, creating optimal conditions for effective training and development.
The Korean experience highlights the importance of developing human resources for small and medium enterprises (SMEs) by reshaping university students' perceptions of these businesses This initiative offers practical opportunities within SMEs, aiming to attract young talent to the sector Additionally, programs targeting middle and high school students are designed to encourage entrepreneurship, fostering a new generation of innovators ready to contribute to SMEs.
Transnational corporations, such as SungKwang Bend and SungKwang Electronic, heavily invest in research, development, and technology to enhance their human resource development (HRD) policies These companies prioritize collaboration with universities and research institutions to foster advancements in basic science and technology, ultimately improving professionalism in production and customer service A robust management information system plays a crucial role in establishing an effective information infrastructure for HR development and overseeing all company activities Furthermore, both companies ensure that their remuneration policies are aligned with the efforts and contributions of their human resources.
1.4.1.5 Experience of South African businesses
Upon joining the company, the HR team received comprehensive training on personnel policies, labor contract terms, and disciplinary measures for violations, ensuring they understand and adhere to the company's regulations.
HR are well trained in occupational safety, working time and all safety regulations in production are strictly followed
Each year, the company offers opportunities for selected technical staff to study abroad, emphasizing the importance of creativity among its employees The organization recognizes and rewards innovative contributions, particularly honoring the designers who transform concepts into market-ready products.
To establish a sustainable competitive edge, the company focuses on developing a skilled human resources core that drives intelligence and innovation Additionally, it emphasizes the continuous enhancement of production machinery and equipment to maximize production capacity while minimizing investment costs.
Analysing the real situation of HR quality of Cotevina
ASSESSING THE QUALITY OF HUMAN RESOURCES AT THE VIETNAM
2.1 General view of Vietnam Stamps Company
2.1.1 The process of formation and development of brand
Vietnam Post Corporation was established as part of a pilot project to create the Vietnam Post and Telecommunications Group (VNPT Group), which was approved by the Prime Minister through Decision No 58/2005/QD-TTg on March 23, 2005.
On June 1, 2007, the Prime Minister approved Decision 674/QD-TTg, establishing Vietnam Post Corporation as a State corporation focused on postal services with independent economic accounting The State, represented by the VNPT Group, oversees the Corporation through its Board of Members Following this decision, the Ministry of Posts and Telematics, now known as the Ministry of Information and Communications, issued Decision No 16/2007/QD-TCCB-BBCVT on June 15, 2007, to formally establish Vietnam Post Corporation.
On November 16, 2012, the Prime Minister issued Decision No 1746/QD-TTg, transferring the state ownership representation of Vietnam Post Corporation from the Vietnam Post and Telecommunications Group to the Ministry of Information and Communications Subsequently, Vietnam Post Corporation was officially renamed to Tổng công ty Bưu điện Việt Nam, as per Decision No 2596/QD-BTTTT issued on December 28, 2012.
January 6, 2015, the Ministry of Information and Communications issued Decision
The No 09/QD-BTTTT directive outlines the reorganization of the parent company of Vietnam Post Corporation, transitioning to a management model aligned with a General Corporation structure This new framework includes the establishment of both a Board of Members and a Board of Directors, in compliance with the relevant Decree.
No 69/2014/ND-CP of the Government The management and operation apparatus of the Corporation under the new organizational model has also been strengthened
Organizational structure of Vietnam Post: 67 dependent accounting units (including
The Corporation oversees 63 provincial and municipal posts, along with the National Newspapers Distribution Company, Datapost Company, VNPost Logistics Company, and a Training Centre It also includes two wholly-owned one-member limited liability companies: Vietnam Stamps One Member Limited Liability Company (Cotevina) and Post Stamp Printing One Member Limited Liability Company (Intevina) Additionally, the Corporation holds more than 50% of the charter capital in three joint stock companies and has eight associated companies.
2.1.2 The process of formation and development of the Vietnam Stamps Company
Established on July 1, 1977, the Vietnam Stamp Company operates as a state-owned enterprise under the Ministry of Information and Communications It was founded following Decision No 988/QD issued by the General Director of the General Department of Post and Telecommunications Since 1996, it has been an independent accounting member unit of Vietnam Post Corporation, as confirmed by document No 425/TCCB-LD on September 9, 1996.
- Company name: Vietnam Stamps Company (Vietnamese name: Công ty TNHH MTV Tem Bưu chính)
- Company code: 0100686199, provided by Hanoi Authory Planning and Investment, on 7th October 2014
- Head Office: No 14 Tran Hung Dao, Phan Chu Trinh ward, Hoan Kiem District, Hanoi city, Vietnam
- Branch: 18 Dinh Tien Hoang, District 1, Ho Chi Minh city, Vietnam
- Email: stampcentre1@hn.vnn.vn
- Join the international market since 1980
- Trademark registration and trademark: over 20 years
- Domain name and website for online sales: over 20 years
- Company size according to stage:
+ The highest time is 42 billion
Since September 2015, the Company has focused on enhancing its organizational structure and improving staff training across various aspects This initiative aims to foster innovative practices and strategic investments in diverse fields, leading to significant growth in both domestic and international stamp markets The Company not only caters to stamp collectors but also introduces creative product ideas that leverage stamps for gifts and communication purposes.
In January 2016, the Company embarked on its initial development phase for the years 2016-2020, focusing on strategic planning and goal-setting This new direction aimed to foster an engaging and unified environment among the majority of its staff, particularly younger employees, to align with the evolving development needs of Stamps Company.
2.2 Analyzing the real situation of HR quality of Cotevina
2.2.1 Structure and organizational model of the Company
* The structure of the Company includes:
The Chairman of the Board of Directors at Vietnam Post Corporation, typically the Deputy General Director overseeing the stamp sector, represents the Corporation's equity in the Company.
- Control Board of the company
- Board of Directors: General Director and Deputy General Directors, Chief Accountant
- Head of departments, units, branch directly under the company
The Board of Management and Control of Vietnam Post oversees the company, but its members do not work for Vietnam Stamps Company and are not considered part of its workforce.
* Units under the Company include:
- Postal stamp center II in Ho Chi Minh City
Diagram 2.2.1.1 Organisational structure of Vietnam Stamps Company
2.2.2 Functions and tasks of production and business of the company
The article discusses the design, production, and distribution of postage-prepaid stamps, which are stamps that include a usable shipping fee It also mentions the collection of stamps based on the model of the provincial-level Stamp-Post Company, a practice that has not been implemented since 2014.
- Organization preserved the professional stamp store, national storage stamps and UPU stamps (since 2014 no longer implemented)
- Providing services of organizing stamp exhibitions at home and abroad; research services, advice on postage stamps and stamp collection skills
- Designing, manufacturing and trading all kinds of cultural products and gifts on postage stamps
- Advertising and brand recognition services; event organization
- Trading in play stamps and cultural products domestically and internationally
- Preserving the stamp store, the stamp store remains from 1946 up to now
* Professional organization on managing and trading postage stamps
- The design organization produces, publishes and supplies stamps on the network of over 1,000 stamps with about 4500 stamps
- Preserving assets and stamps with hundreds of millions of children
- Apparatus, internal regulations on business and professional management on postage stamps, stamp collection and long-term experienced workers
- Being a unit of Vietnam Post Corporation, there are available favorable conditions to expand business development (brands, customers, products, networks )
2.2.3 Production and business situation of the company
* Business results up to September 2015
Since 2012, the Vietnam Stamps Company has shifted its focus away from postage prepaid stamps, resulting in no revenue from this category for that year In 2011, postage prepaid stamps represented a significant 53% of the company's total revenue.
Sales of collection stamps declined significantly, from VND 4,743 million in 2011 to VND 3,819 million in 2014 with domestic 75% and 10% export
Revenue from philatelic items accounts for about 15% of total revenue in the years 2012-2014
Table 2.1 Results of production and business activities of the Vietnam Stamps Company in the period of 2011-2015
Year 2011 Year 2012 Year 2013 Year 2014 Year 2015
Results % Result s % Result s % Results % Results %
Stamp products are unique products, containing knowledge, aesthetics and investment value There are a number of existing domestic and international customers within collection stamp market
The thickness of experience and brand name of the Company has become a trust of customers about products and prices, also building customers loyalty
Sales and distribution network combined with management and business management policies of Vietnam Post Office help the business scale gain potential for growth and growth strongly
Capital sources and conditions on premises, facilities and customer relationships create greater advantages for the company
Business organization of Cotevina is suitable for the market economy, flexible in using resources to meet business development requirements in each period
The organizational structure, labor force and internal regulations of the Company easily to focus immediately on business development
Product innovations often fail to align with customer needs, particularly in the case of postage collection stamps, where the Company relies entirely on the supply chain of stamps provided by external units.
The operation scale of the Company is small; the revenue is low so the ability to meet business needs on a large scale requires time and appropriate methods
The labor force is still inadequate, weak, and slow to catch up with the market mechanism, renew production organization and expands business
Small-scale operation, customers are limited Core product service accounts for a low proportion
Stamp collectors represent a highly loyal customer segment, yet both domestic and international markets remain underutilized There is significant potential for expanding the customer base for stamp-themed gifts, indicating a promising opportunity for growth in this niche market.
The international market for playing stamps has experienced significant growth, establishing a robust and competitive landscape This sector is characterized by traditional, organized, and large-scale business activities, showcasing a strong potential for development in both international and domestic markets.
Model and organization of postage stamp business facilitate the company to develop and expand business
Product stamps play in the world are diverse, eye-catching and attractive The ability to exploit and learn for Vietnam is very good while learning from other countries
Actual situation of activities to improve the quality of HR of Cotevina
The company currently faces challenges in attracting high-quality talent, with limited practical policies leading to a "brain drain" of qualified personnel Leadership's perspective on talent utilization and attraction remains largely theoretical, hindering the improvement of human resource quality However, by the end of 2017, the recruitment process began to improve, implementing higher salaries in job descriptions to attract more candidates for both the Hanoi headquarters and the Ho Chi Minh City branch by the first quarter of 2019.
Since 2016, Cotevina has significantly improved its recruitment process, particularly in late 2017 and throughout 2018 The company implemented a comprehensive Regulation on labor recruitment that outlines clear principles, procedures, and decentralization, resulting in enhanced quality of incoming human resources Compared to previous practices, Cotevina's recruitment has become more structured and efficient.
The company's recruitment needs are driven by its current operational demands, specifically arising when there is a shortage of employees in production and business activities or when specific departments require additional staff.
Mainly when recruiting new employees, the Company requires recruitment and search for candidates based on different sources of information Specifically:
When the company seeks to address increased workloads or fill vacant positions, the Organization - Administration Department facilitates internal recruitment by transferring suitable employees from underutilized departments to those in need Additionally, for internal promotions, the department collaborates with the Board of Directors to identify and evaluate potential candidates, ensuring that the most qualified individual is appointed for the promotion.
The company primarily recruits external candidates when internal applicants do not meet job requirements or there is a shortage of staff in certain departments Despite this, a significant portion of hires still comes from external sources, as many internal candidates fall short of the necessary qualifications To facilitate external recruitment, the company prioritizes candidates who are children, relatives, or acquaintances of current employees Job openings are advertised on the company website (www.vietnamstamp.com), the Vietnam Stamps Facebook fan page, and through recruitment banners at reputable universities known for producing strong graduates Since late 2017, the company has also utilized professional recruitment platforms and esteemed job placement centers such as timviecnhanh.com and VietnamWorks to enhance their hiring process.
As a company expands and develops new products, increases revenue, or undertakes additional projects, there is a growing demand for new recruitment This includes hiring to replace employees who have retired, resigned, or relocated.
Cotevina's recruitment process primarily focuses on candidates' health status, education level, and professional qualifications, while soft skills are often overlooked The company tailors specific requirements and criteria for each job position, ensuring clarity in their hiring practices Additionally, Cotevina has developed detailed job descriptions for every role, enhancing the recruitment process.
In 2018, the company faced challenges in recruiting suitable candidates for sales and marketing positions due to a heightened demand for specific product expertise and customer knowledge Cotevina primarily serves stamp collectors, both domestically and internationally, focusing on the sale of stamps and philatelic items Additionally, the company collaborates with ministries, government branches, and foreign companies to provide culturally significant gifts made from stamps that showcase Vietnam's rich history and beautiful landscapes.
Steps in the recruitment process at Cotevina are as follows:
Step 1 Based on the personnel requirements of the functional departments Office of Organization - Administration announces recruitment of workers and provision of applications
Step 2 Receiving and appraising application: After having a list of qualified documents, the Administration Department contacted the candidates about the location, time, content and interview form
Step 3 Job interview The Recruitment Council conducts interviews with candidates according to the criteria set out and reports on the Director's results
Step 5 Probationary regime Employees recruited to work at the Company must undergo a probationary period before the two parties agree to enter into a formal labor contract
The author's assessment reveals that despite its achievements, Cotevina's current recruitment practices face limitations Relying on internal sources for management and leadership positions hinders the company's ability to attract skilled and highly qualified external candidates.
The company's emphasis on hiring acquaintances often results in the recruitment of candidates who lack the necessary professional knowledge and skills, ultimately compromising the quality of its workforce This practice not only affects human resource quality but also leads to increased time and financial resources spent on training programs.
Despite the Company having established recruitment regulations and a clear process, the actual quality of the workforce remains lacking, often resulting in a formal and theoretical approach to hiring Key issues include inadequate identification of vacancies, a limited recruitment source, and a scarcity of available positions and information, leading to few candidates These factors significantly hinder the ability to cultivate a high-quality and innovative labor force within the company's professional activities.
Recruiting only when necessary can lead to a lack of careful preparation and result in personnel redundancy during unforeseen circumstances If previous hires in certain positions were not effective, the company may feel obligated to retain them, ultimately causing an imbalance in resources and hindering the ability to make necessary changes.
The company's subpar recruitment practices have resulted in a limited quality of human resources, negatively impacting productivity, work outcomes, and overall business performance.
2.3.2 Training activities, improving skills and professional qualifications
To enhance the quality of Human Resources within the Company, it is essential to focus on the development of each individual’s skills and professional qualifications The Company actively promotes and supports employees in achieving comprehensive growth in both professional and soft skills through various avenues, including on-the-job training, self-directed learning, and knowledge sharing Annually, the Department of Organization and Administration creates a training plan tailored to the work requirements and suggestions from department leaders.
Figure 2.4 Research on employee’s demand of organizing training classes within the Cotevina Company in 2018
Figure 2.5 Research on employee’s willingness in participation of training classes that organized by Cotevina
A significant majority of employees at Cotevina express a strong desire for company-organized training classes, with over 80% acknowledging the importance of such training and indicating their willingness to participate.
Opinions of Cotevina's employees in necessary in organising training classes