BASICAL THEORY OF HUMAN RESOURCE DEVELOPMENT
Some basic concepts
Human resources can be understood from two perspectives: first, as the origin of resources, which refers to the inherent capabilities and skills found within individuals This distinguishes human resources from other types of resources Second, human resources encompass the collective abilities and potential of each person, highlighting their unique contributions to an organization or society.
In this thesis, the author defines "enterprise human resources" as the workforce of an organization, specifically the number of employees listed for payroll by the enterprise This figure reflects the current workforce necessary to sustain production now and in the foreseeable future Additionally, the quality of human resources encompasses both the skills and motivation of employees, which are crucial for their contributions to the organization.
Human resources play a dual role in enterprises, acting as both the driving force behind organizational growth and the primary focus of that growth The development of an organization is intrinsically linked to enhancing the interests and conditions for human resources Consequently, managers must prioritize the nurturing and development of their workforce, ensuring that human resources are robust in both quality and quantity This strategic focus is essential for sustaining business growth in the present and securing its future success.
From the concept of human resources, we can understand that human resource development is the development of employees' values in terms of morality,
The aim is to empower workers by enhancing their intelligence, labor skills, physical strength, and overall well-being, enabling them to actively engage in the workforce This participation not only improves the production and reproduction processes but also fosters greater product creation, ultimately contributing to the enrichment of both the country and society as a whole.
Human resource development is a comprehensive concept that goes beyond mere job training, as defined by the International Labor Organization It involves enhancing individual capabilities and effectively applying these skills in the workplace, while also contributing to fulfilling career and personal lives.
Human resource development at a micro-level encompasses a variety of strategies such as effective planning, recruitment, training, and optimal utilization of human resources It also involves fostering a motivating work environment and positive employee attitudes to ensure the right quantity, quality, and structure of the workforce, aligning with the organization's goals and developmental direction.
Developing uman resource includes development in quantity and quality
Development in quantity refers to the growth in numbers and the transformation of human resources to align with evolving environments and operational conditions This transformation involves changes in the age distribution, regional demographics, workforce segmentation, and gender composition of a country's human resources.
Quality development refers to the enhancement of educational, technical, and health standards among members of a society or organization It serves as a key indicator for assessing the progress of human resources over time within a country or in comparison to other nations, particularly through evaluating the professional qualifications of the workforce.
Human resource development focuses on enhancing the skills and knowledge of employees to meet the future needs of an organization This process involves updating outdated knowledge, offering additional training, and strengthening professional skills By creating an environment that fosters continuous learning, organizations enable employees to systematically expand their expertise, ultimately improving job performance and effectiveness.
The ASK model, introduced by Benjamin Bloom in 1956, is a widely recognized framework in human resource management for training and developing personal capacity This model establishes professional standards for job titles within organizations based on three key criteria: Attitudes, Skills, and Knowledge By focusing on these three competency groups, the ASK model effectively enhances employee performance and organizational growth.
- Attitude: belongs to the range of emotions, feelings (Affective)
- Skills: manipulative skills (Manual or physical)
- Knowledge: belongs to the ability to think (Cognitive)
The ASK model, widely recognized in contemporary competency frameworks, outlines the essential blend of knowledge, skills, and personal attributes required for effective job performance.
Knowledge encompasses the essential professional skills that employees must acquire to effectively perform their roles These foundational competencies are crucial for individuals when entering the workforce As job complexity increases, so do the requirements for expertise and proficiency in specific areas.
14 these competencies These capabilities will be concretized according to the characteristics of each enterprise
Table 1.1: Necessary knowledge for employees
4 Share with colleagues social and family issues
Attitudes encompass the worldview that shapes how individuals perceive and respond to realities, influencing their values and priorities These attitudes are reflected in an employee's qualities and behaviors, which directly impact their motivation and performance at work An employee's attitude reveals their perspective on their role and responsibilities, ultimately manifesting in their behavior in the workplace.
Table 1.2: Attitudes, necessary qualities for employees
1 Attitude towards superiors, direct managers and company leaders
5 Attitude to society and social life
Skills refer to an individual's capability to effectively apply knowledge to enhance organizational efficiency These skills are typically categorized into distinct levels: imitation, where one learns through observation and mimicking behaviors; application, which involves executing actions based on given instructions; advanced application, where actions are refined to suit specific situations; and creative manipulation, where skills become instinctive and automatic.
Table 1.3: Necessary skills for employees The scale
1 Job organization and management skills
The capacity of employees in an organization is a reflection of the quality of its human resources, primarily influenced by three factors: attitude, skills, and knowledge Attitude is the most critical factor in determining an employee's success, followed by skills and then knowledge To enhance human resource capacity, organizations must focus on improving employees' professional qualifications, skills, and awareness Utilizing the ASK model to assess employee capacity provides a comprehensive understanding of human resource quality and informs effective development strategies.
Human resource development (HRDM)
1.2.1 Recruitment and allocation of human resources
Effective human resource development in an enterprise hinges on recruiting and assigning the right individuals to suitable roles Properly assessing each employee's contributions and engagement is crucial Timely incentives and fair treatment not only enhance profitability but also significantly boost employee morale and motivation.
Human recruitment is essential for identifying and selecting the right talent to meet organizational needs and achieve goals Effective personnel recruitment directly influences workforce arrangement and productivity, enabling employees to reach their full potential It serves as the foundation for subsequent personnel management steps When recruitment is approached scientifically and practically, it enhances the quality of labor organization and ensures optimal workforce utilization.
Employee arrangement involves strategically placing individuals in organizational roles, while effectively utilizing human resources focuses on maximizing employee productivity for optimal work efficiency The relationship between personnel arrangement and utilization is crucial; proper placement of capable employees is essential, as failing to leverage their skills can hinder overall organizational effectiveness.
Thus, it can be seen that four basic goals need to be achieved in the arrangement and use of personnel as follows:
To achieve successful task completion, it's crucial to align the right expertise with job requirements This involves strategically placing employees in roles that match their skills, strengths, and aspirations, ensuring optimal labor utilization.
To ensure timely completion of tasks, it is essential to have an adequate number of personnel assigned to each job Effective quantity planning should be based on the workload each individual can manage, allowing for efficient scheduling and execution of projects.
To ensure operational efficiency, employers must maintain flexibility in labor management, addressing potential fluctuations in human resources caused by retirements or job terminations It is crucial to diversify contract types, particularly for businesses with seasonal activities, to effectively manage labor costs and sustain productivity.
To optimize personnel arrangements, it's essential to evaluate which departments require additional staff, ensuring a strategic placement that minimizes the influence of personal relationships.
Effective recruitment and management of employees are essential for fostering a cohesive organizational strength and enhancing individual performance By attracting capable, healthy, and ethically sound candidates who align with job requirements, companies can build a strong foundation for quality human resources This approach not only reduces training costs but also minimizes the need for layoffs due to underperformance Regular evaluation of employee performance based on clear metrics allows organizations to make informed decisions regarding commendations, disciplinary actions, or terminations, ensuring that only qualified individuals contribute to the team's success.
Employee dismissal refers to the termination of an employment contract between an employee and employer, requiring the manager to provide adequate evidence of serious violations by the employee There are two primary types of dismissal: one due to health reasons, which allows the employee to return to work after recovery, and the other related to labor discipline However, the latter type is increasingly viewed as a last resort in practice.
When making a layoff decision, a manager needs to calmly and wisely consider the impact of the dismissal on the employee and the costs incurred to recruit and train new employees
1.2.2 Training and retraining of human resources
Human resource training is the process of equipping with knowledge, skills and abilities of a certain profession or profession so that employees can effectively perform their functions and tasks [18, p.103]
Training involves learning activities designed to enhance employees' effectiveness in their roles This process increases employees' knowledge and improves their qualifications and skills, enabling them to perform their job tasks more efficiently.
Human resource training and development is to meet the needs of existence and development of the organization, are strategic solutions to create competitive advantages of enterprises [13]
The primary objective of human resource training and retraining is to optimize the utilization of existing workforce capabilities, thereby enhancing the efficiency of business operations and production activities By equipping employees with a deeper understanding of their roles, the training fosters greater self-awareness in job performance, boosts motivation, and enhances employee adaptability for future challenges.
Enhancing employees' understanding of their roles boosts motivation, fosters a love for their work, and increases commitment to the organization, ultimately elevating overall enthusiasm for the business Consequently, investing in training and developing human resources is crucial for significantly improving the quality of talent within enterprises.
In order for the training and retraining of human resources to be highly effective, each organization needs to fulfill the following requirements:
+ Develop training plan: Training and retraining must be carried out based on the training plan (monthly, quarterly) of the organization
+ Identify training purposes: improve professional and technical qualifications, education level, improve skills, ability to meet production lines, improve auxiliary skills,
+ Develop training content: stick to the company's production and business orientation and according to the actual work situation, apply new knowledge to work
+ Identify training subjects with the goal of training the right people, in the right fields, avoiding economic waste
+ Finally, the quality of training must be assessed so that lessons or experiences can be drawn for future courses
+ Building a system of training centers, schools and classes
Work motivation refers to the internal drivers that encourage individuals to engage actively in their tasks, fostering high productivity and efficiency It is reflected in the willingness, effort, and enthusiasm employees exhibit in pursuit of both organizational and personal goals.
Motivational factors play a crucial role in encouraging human resources to adopt positive behaviors that foster development When employees are appropriately motivated, they engage in constructive actions that enhance their personal growth and contribute to the overall advancement of the organization Improving employee motivation is essential, as meeting their needs leads to increased enthusiasm and proactivity at work, ultimately boosting performance and efficiency.
In the context of the 4th industrial revolution (Industry 4.0), organizations in the service sector must foster an environment that encourages employees to enhance their self-learning abilities and promote personal growth This approach not only boosts individual performance but also drives overall organizational success.
Factors affecting HRDM
Economic growth plays a crucial role in enhancing living standards by boosting domestic savings and investments, leading to the creation of numerous high-income job opportunities Furthermore, it fosters an environment conducive to improving the quality of human resources, while a stable and safe society further supports this development.
Political factors play a crucial role in shaping the Labor Code and related legal documents that govern labor issues, employment, and enterprise management A solid legal framework enables businesses to effectively manage employee relations, serving as a foundation for establishing and enhancing legal standards in the recruitment, development, and retention of human resources.
In a competitive market, the introduction of numerous products and appealing marketing strategies by businesses significantly impacts the fight for market share To stay ahead, companies must invest in innovative talent to develop new offerings that capture customer interest.
The characteristics of the industry are evident in its technical and technological variations, highlighting the complexity of the sector Different economic sectors demand specific knowledge and skills, which are essential for workers to thrive in their respective roles.
Customers are the primary focus of every business, and ensuring high-quality goods and services is crucial to their satisfaction To achieve this, managers must effectively utilize their human resources to meet customer needs and expectations to the highest degree.
The organizational structure of an enterprise is a framework composed of various interconnected components that exhibit specialization and interdependence Each part is designated specific responsibilities and authority, arranged hierarchically to effectively achieve the organization’s objectives.
Corporate governance plays a crucial role in shaping the creative labor activities of the workforce, ensuring a harmonious balance between the enterprise and its external environment, as well as within its internal components A stable and well-defined organizational structure fosters optimal conditions for the development of an enterprise's human resources.
A company's strong image and high reputation play a crucial role in attracting public attention, significantly influencing its human resource development strategy This positive perception serves as an opportunity for self-promotion and can lead to improved business outcomes Conversely, an effective human resource development strategy enhances the company's image and reputation, generating buzz and facilitating smoother production and business operations.
The enterprise's development goals encompass short-term, medium-term, and long-term objectives, which are crucial for effective human resource development These goals must align with state laws, institutional policies, social culture, technological advancements, production characteristics, internal regulations, and financial capabilities Additionally, they should address the specific and diverse needs of business participants, particularly focusing on customer requirements.
The financial capacity of a company significantly impacts its ability to implement training and develop human resources When financial resources are limited, managers often prioritize cost-cutting measures that can include reducing investments in human resource development Conversely, when a company experiences favorable financial conditions, it is more likely to allocate funds towards enhancing its workforce through training and development initiatives.
1.3.3 Factors belong to the employees themselves
Effective management and administration require that managers possess strong knowledge and skills in human resource development To successfully nurture their teams, managers must be well-equipped, confident, and competent in understanding human resources.
Effective human resource development plans encompass comprehensive strategies that guide the recruitment, training, and utilization of personnel, ultimately fostering the growth of the organization’s workforce.
Enhancing professional qualifications is essential for employees who recognize the significance of continuous learning in today’s evolving landscape By committing to skill development, individuals can effectively meet current and future professional demands, fostering personal growth and contributing to the overall advancement of their organization’s human resources.
This chapter organizes the concepts of human resources and human resource development, highlighting their goals and significance It explores the principles of human resource development and its application within enterprises, emphasizing the ASK model, which encompasses Attitude, Skills, and Knowledge Additionally, it identifies three primary groups of competencies essential for effective human resource development.
- Attitude: belongs to the range of emotions, feelings (Affective)
- Skills: manipulative skills (Manual or physical)
- Knowledge: belongs to the ability to think (Cognitive)
The author highlights key aspects of human resource development, focusing on the enhancement of professional qualifications, the improvement of worker skills, and the elevation of worker awareness.
Research methodology
This article mainly uses qualitative and quantitative research methods to explore specific factors affecting human resource development at TTLC
Methods of data collection and classification
Secondary: Searching for secondary information at TTLC in summary reports, reports on implementation of business strategies, plans and statistics
The primary data source utilized in this thesis comprises the actual financial statements of TTLC over the years, along with business results reports and various other relevant documents.
In addition to the data sources mentioned above, the thesis also uses information sources collected from textbooks, books, research articles related to the research work,
Primary data: Implemented by observation method, sociological survey using questionnaires, in-depth interviews to collect information
Observation method: Direct and indirect observation at the departments of TTLC during the investigation and survey
The questionnaire survey method is a written interview technique that allows multiple respondents to participate simultaneously using a printed questionnaire Participants provide their opinions by selecting the appropriate boxes based on a predefined format established by the researcher.
(Source: self-suggested) Step 1: Make a raw questionnaire
To effectively address the research problem, the author formulates essential questions for the questionnaire, drawing from the established knowledge system These questions are designed to gather the necessary data required to tackle the
Completing the questionnaire is a crucial step, as the initial version may contain errors like ambiguous or confusing questions To identify these issues, the author conducts a trial survey within the target group using various collection methods Additionally, consulting experienced experts in questionnaire design is vital to ensure the final product is effective and clear.
Step 3: Edit and complete the questionnaire
After completing step 2, the author will make necessary adjustments to have a good questionnaire This adjustment is made to correct errors that the testers or experts have commented on
After completing the questionnaire, the author conducts a survey At this time, the questionnaire will not be revised or adjusted further to ensure consistency in the collected data
Two main channels can be included to collect primary data by questionnaire: direct channel and indirect channel:
The direct channel method involves the author personally approaching respondents to complete a questionnaire While this approach requires more time and effort, it typically results in a higher number of completed questionnaires and often yields more reliable data sources.
The indirect channel allows researchers to distribute online questionnaires to survey participants via email or forums, streamlining the process and saving time compared to direct contact However, this method often results in low response rates and potentially unreliable data, as respondents may misinterpret or misunderstand the questions The survey results will be utilized to analyze and evaluate the current state of human resource development at TTLC in Chapter 3.
- Step 5: Processing and analyzing data
I use Microsoft Excel to calculate and analyze the collected primary data.
Description of the questionnaire and research sample
The survey is divided into two steps:
39 experts are working at the company leader TTLC include company leadership (Board members, CEO), the Chief Secretary and block the relevant departments
The purpose of the survey is to correct any defects that I may have made during the construction of the questionnaire due to limitations in capacity, experience, etc
Questioning method: Face-to-face interview
The objective of this survey is to assess employees' perceptions of human resource development at TTLC
Survey method: Answer by paper survey or via google forms
Survey information consists of the following main parts: Basic information and survey information
Personal information: Gender, age, division, position, occupation
The training program emphasizes essential skills for professional development, including the ability to respond effectively to job demands and the capacity to solve real work situations Participants have assessed the program's content as crucial for enhancing their professional expertise and understanding the business environment Key competencies such as independent work, self-study, teamwork, and communication are highlighted, alongside the importance of adaptability, pressure management, and negotiation skills These insights align with previous research by Ngoc Bao Thai (2013), reinforcing the program's effectiveness in preparing individuals for the workforce.
1 Skills to solve real work situations (Nam Tran Ha Le, 2018), (Ngoc Bao
2 Skills to solve real work situations (Nam Tran Ha Le, 2018), (Ngoc Bao
3 Ability to practice professional expertise (Nam Tran Ha Le, 2018), (Ngoc Bao
4 Understanding the operating environment of the business
(Nam Tran Ha Le, 2018), (Ngoc Bao Thai, 2013)
5 Knowledge of society, politics, law (Nam Tran Ha Le, 2018), (Ngoc Bao
6 Ability to work independently (Nam Tran Ha Le, 2018), (Ngoc Bao
7 Self-study skills, self-training to improve professional qualifications
(Nam Tran Ha Le, 2018), (Ngoc Bao Thai, 2013)
8 Teamwork skill (Nam Tran Ha Le, 2018), (Ngoc Bao
9 Self-examination and job evaluation skills (Nam Tran Ha Le, 2018), (Ngoc Bao
10 Skills in using foreign languages at work (Nam Tran Ha Le, 2018), (Ngoc Bao
11 Ability to receive and listen to suggestions (Nam Tran Ha Le, 2018), (Ngoc Bao
12 Skills to express opinions and personal views
(Nam Tran Ha Le, 2018), (Ngoc Bao Thai, 2013)
13 Creative skills (Nam Tran Ha Le, 2018), (Ngoc Bao
14 Ability to participate in social activities (Nam Tran Ha Le, 2018), (Ngoc Bao
15 Ability to adapt and adjust (Nam Tran Ha Le, 2018), (Ngoc Bao
16 Ability to work under pressure (Nam Tran Ha Le, 2018), (Ngoc Bao
17 Negotiation skills (Nam Tran Ha Le, 2018), (Ngoc Bao
The author conducts in-person interviews with ten experts, including department heads, deputy heads, and seasoned professionals in human resource development at TTLC, to refine and summarize their findings.
1 Skills to solve real work situations
2 Self-implementation skills are required from superiors
3 Ability to practice professional expertise
4 Understanding the operating environment of the business
5 Knowledge of society, politics, law
7 Self-study skills, self-training to improve professional qualifications
9 Self-examination and job evaluation skills
10 Skills in using foreign languages at work
11 Ability to receive and listen to suggestions
12 Skills to express opinions and personal views
14 Ability to participate in social activities
15 Ability to adapt and adjust
16 Ability to work under pressure
Research data and research indicators
Primary data: Through the survey results, I will conduct an analysis to point out the advantages, limitations and causes of human resource development at TTLC
Secondary data: Based on the sources collected from the business report 2018 –
Analytical framework
The data processing steps are as follows:
- Step 1: Learn and read the collected documents
- Step 2: Summarize, evaluate and classify the collected data and documents
In Step 3, employ assessment methods to analyze the collected data and evaluate the conclusions of the topic, utilizing computer assistance and software tools such as Word and Excel for effective data management.
Using data collected from TTLC, including financial statements and income statements over the years, I systematically process and classify this information as outlined in Chapter 3 Additionally, I analyze the data and utilize Excel's features to create tables that illustrate TTLC's revenue trends over time.
In writing this thesis, I have excluded documents from unknown or unreliable sources This approach allows me to systematically analyze practical theories, evaluate relevant documents, and verify information I aim to research, summarize, and assess the current situation of the issue at hand, ultimately identifying the underlying causes of the personnel problem.
35 the basis for giving practical orientations and solutions on human resource development at TTLC
In my thesis, I have chosen to employ descriptive statistics to analyze the data collected from empirical research This method effectively highlights the fundamental characteristics of the data, particularly regarding revenue indicators derived from TTLC's financial statements over the past three years (2018, 2019, 2020) By utilizing various graphs, such as market share and financial charts, I illustrate and compare the data across these years, providing insights into TTLC's primary operational fields through the revenue source chart.
This thesis employs a methodical approach to analyze and compare the performance of TTLC during periods before and after restructuring By examining revenue indicators and departmental results across various years, the study aims to assess the effectiveness and sustainability of the changes implemented Additionally, a comparative analysis of TTLC's performance over three distinct years of development will highlight the outcomes at each stage, providing insights into the causes behind these results.
When comparing, often comparing performance indicators with each other to know the volatility of the research objects, the comparison criteria must be consistent in terms of content and units
In the thesis, I have considered the indicators being analyzed by comparing them with the original ones, thereby making concluding comments Two main comparison methods are used:
The method of comparison using absolute numbers quantifies the impact of human resource development on business results by calculating the difference between the economic indicator values of the analysis period and the original period This approach enables a thorough analysis to identify underlying causes, which serves as a foundation for proposing effective remedial measures.
The relative numerical comparison method calculates economic indicators as a percentage by dividing the analysis period's value by the base period's value This approach clarifies how human resources influence fluctuations in economic indicators over time By comparing the growth rates of specific targets across different years and analyzing the growth rates among various indicators, it becomes possible to identify underlying causes and potential remedies for economic changes.
Analytical method is a method that goes into depth and dissects the details of the research object
The synthesis method is a systematic process, it is opposite to the analysis process, but it supports the analysis process to generalize the problem from many different angles
This article evaluates the current state of human resource development at TTLC through specific criteria It provides a detailed analysis of the processes involved, offers explanations, and presents various reasons to gain a comprehensive understanding of the situation Based on this assessment, the article concludes with insightful comments and recommendations for improvement.
Based on the research objectives, I use different data analysis methods:
Objective: Analyze the situation of human resource development at TTLC in the period of 2018 - 2019, period of 2019 - 2020
Applying the method of horizontal analysis and vertical analysis of the annual financial statements, business activity reports, etc of TTLC
A horizontal analysis of the human resource development plan over time reveals its significant impact on business outcomes, allowing for a comprehensive assessment of human resource management and development, specifically within TTLC This evaluation progresses from a general overview to a detailed examination, connecting relevant information to identify existing limitations and uncover both objective and subjective factors influencing human resource development at TTLC.
The general scale report utilizes ratios to compare relative figures, while vertical analysis facilitates a comparative framework that highlights the influence of human resource development on business outcomes This approach allows for a comprehensive overview of how human resource development correlates with the business results of TTLC By employing a cohesive and methodical research strategy, we can establish valid systems and arguments that effectively address the core issues at hand.
Chapter 2 has approached and oriented the research of the thesis, and at the same time presented research methods such as data collection and classification method, descriptive statistics method, comparison - contrast method, analysis- synthesis Understanding these research methods plays an important role in assessing and drawing conclusions about the current situation of human resource development at TTLC in chapter 3
This article outlines the fundamental issues related to the survey form, including aspects of sampling, survey tools, and the information gathered These insights serve as a foundation for conducting surveys in the subsequent chapters.
CHAPTER 3: CURRENT SITUATION OF HUMAN RESOURCE DEVELOPMENT AT TOURISM, TRADE AND LABOR EXPORT JOINT STOCK COMPANY (TTLC) IN THE PERIOD OF 2018 - 2020
General introduction about Tourism, Trade and Labor Export Joint Stock
Vietnamese name: Công ty cổ phần xuất khẩu lao động thương mại và du lịch (TTLC)
International transaction name: Tourist, Trade and Labor Export Joint stock company
Address: Block B42, Auction Area 3ha, Duc Dien Street, Phuc Dien Ward, Bac
Tu Liem District, Hanoi City, Vietnam
Branch of Tourist, Trade and Labor Export Joint Stock Company in Bac Giang province
Branch of Tourist, Trade and Labor Export Joint Stock Company - Manufacturing and Service Trading
Branch of Tourist, Trade and Labor Export Joint Stock Company in Ho Chi Minh City
Branch of Tourist, Trade and Labor Export Joint Stock Company in Hanoi Branch of Tourist, Trade and Labor Export Joint Stock Company in Hoa Binh Operating date: 2006-02-28
Through 22 years of establishment and development (December 26, 1996 - December 26, 2018) with the company's long tradition, practical experience accumulated for many years along with a team of qualified staff, awake, active, enthusiastic, creative With a system of 1 training center, 1 branch unit, 1 representative office in some big cities nationwide and representative offices in other countries The company has many domestic and foreign partners to supply orders in
In recent years, the company has experienced significant growth in labor export activities, successfully expanding its presence in key markets such as Malaysia, Taiwan, Macao, the Middle East, and Japan Additionally, the company has made notable advancements in the study abroad sector, particularly in destinations like Korea, Japan, and Taiwan.
TTLC is a leading import-export enterprise in Vietnam, recognized for its significant revenue and profit in the labor export sector As a key player in the industry, Tourism, Trade and Labor Export Joint Stock Company is committed to societal development and consistently demonstrates its leadership in the market The company prioritizes employee welfare, fostering a dynamic work environment that emphasizes creativity, innovation, and the integration of modern technology in its production, business, and service operations.
3.1.2 The main functions and duties of the business
Sales of electrical and electronic products
Services related to people and labor export
3.1.3 Structure of organization, management and administration Tourism, Trade and Labor Export Joint Stock Company
- Representing shareholders' capital owners and taking responsibility before the Board of Directors for the preservation and development of the assigned capital
- Take the leading role in focusing, controlling and linking the activities of subsidiaries and affiliates to achieve the best business performance
Ensure effective oversight and management of capital, assets, and policies to align the production and business operations of member companies with legal regulations.
- Organizing multi-industry business activities
- Participating with functional agencies to develop assigned development plans and plans
- Develop business strategy orientation, long-term and short-term annual business plan
- Management and operating structure of TTLC
After undergoing three rounds of restructuring, including the separation and merging of departments, TTLC's management and operational structure has been optimized to align with its defined functions, tasks, and job requirements, particularly in response to the challenges posed by the Covid-19 pandemic.
The total number of leaders and employees in 2020 at TTLC is 214 people Consists of
Chairman: 01 people, responsible for operating, controlling, strategic planning and making final decisions for the Company
General Director: 01 people, responsible for helping the President manage and administer as assigned
In addition, the leadership also arranged a Supervisory Board consisting of 03 personnel to assist, inspect and control the activities of the whole company
To assist the executive board, TTLC has established the following functional
Information Technology Department: 01 person Finance Department: 08 people
Human Resource Planning and Development Department: 08 employees
Recruitment Department: 05 employees Compensation and benefits department: 03 employees Training room: 03 staffs
Vocational training center: 22 employees arketing department: 17 employees
• Advertising and communication department: 03 employees
Northern and Southern Sales Department: 31 employees
• Northern Sales Department (Hoa Binh): 15 employees
• Southern Sales Department (Ho Chi Minh): 16 employees
Performing Arts Department 33 employees Research and Development Department 05 personnel
Operation and setup board 04 employees Safety and Maintenance Department 02 employees Culinary Department 09 employees
The departments have the function of advising and assisting the General Director in organizing the standing management and administration apparatus and events as assigned
The structure of management, administration and coordination mechanism between departments are shown in detail as follows:
North and South Business Department
Southern Business Department (Ho Chi Minh City Branch)
Department of Advertising and Communicatio n
Department of Arts and Development
Operation department safety and maintenance Setup
3.1.4 Business results at Tourism, Trade and Labor Export Joint Stock Company in the period of 2018 – 2020
Despite the challenges posed by the Covid-19 pandemic, the company's dedicated staff has driven impressive business results from 2018 to 2020, reflecting their hard work and resilience.
Before- tax After-tax Before- tax After-tax Before- tax After-tax
Source : Report on the TTLC's business results for the year 2018-2019 Diagram 3.2 TTLC's business results of TTLC from 2018 to 2020
The company's revenue has shown consistent year-on-year growth, with a notable increase in profit after tax from 2018 to 2019 amounting to VND 2,243,612,223, and a significant rise from 2019 to 2020 of VND 10,717,456,099 This upward trend can be attributed to several key factors.
- At the end of 2018, TTLC was just restructured, in 2018 it came into operation, so the functional structure has not been completed
- The period 2018 - 2019 is the year of completing the company's organizational structure, functions and business fields
- In the period of 2019 - 2020, officially completed and assigned specific business functions
Through this business result, it can be assessed that the company's business strategy has been on the right track, which should be promoted and praised in the next time.
Human resource development situation at Tourism, Trade and Labor Export
3.2.1 Human resource structure at Tourism, Trade and Labor Export Joint Stock Company in the period of 2018 – 2020
TTLC is a special enterprise operating in many fields Therefore, the human resources of TTLC have the following characteristics:
- The management force must have high professional knowledge and experience in many leadership positions in the management of member enterprises in the economic unit
- Being a workforce that requires integrity and high professional ethics
- Being a trained workforce, capable of absorbing and applying specialized professional knowledge
In TTLC, there is a clear decentralization in human resource management as well as the implementation of training and human resource development programs and plans
The company's Board of Directors is led by the director and supported by the deputy director, each overseeing specific segments Beneath the independent board, specialized blocks are assigned distinct tasks The process of appointing, transferring, and rotating officers and employees follows a decentralized approach.
1 The director of TTLC is decided by the Chairman of the Shareholders' Council;
2 The Deputy Director of TTLC is decided by the Director on the basis of the written consent of the Shareholders' Council
3 The heads of professional divisions are decided by the Director on the basis of the written consent of the resolution of the meeting of personnel of the Board of Directors and the Supervisory Board
4 The leadership positions of the department, department and vocational training center shall be decided by the Director based on the proposal of the Human Resources Board and the results of human resource meetings with the participation of relevant units
TTLC demonstrates a distinct decentralization in its human resource management, particularly in areas such as training and development, as well as human resource planning The approach to human resource development actively involves both leaders and employees, emphasizing a multi-tasking environment Meanwhile, decisions regarding senior management positions are made by the Shareholders' Council.
From the current situation of the structure of the three years of operation from
From 2018 to 2019, the company experienced significant growth, reflected in the continuous development of its human resources in both quantity and quality Between 2018 and 2020, the workforce expanded steadily, increasing from 168 to 214 employees.
To illustrate the evolution of the enterprise's human resource structure, I have gathered data on the workforce size from 2018 to 2020, highlighting the changes in labor composition over these three years.
Table 3 2 Number of employees of TTLC in the period of 2018-2020
Total number of employees people 168 193 114.88 214 110.88
Source: HR Department of TTLC From the above results, we can see that the total number of employees from
2018 is 168 people to 2019 is 193 people, an increase of 25 people corresponding to the difference in %: 114.88% (in which direct workers) indirect labor increased by
Between 2019 and 2020, the workforce increased from 193 to 214 employees, reflecting a growth of 21 individuals, which corresponds to a percentage increase of 10.88% This period saw direct labor rise by 8.33% and indirect labor by 16.39%, highlighting significant growth in both labor categories, with indirect labor experiencing the most substantial increase of 15.09%.
2018 - 2020 always increase, proving that the company's business activities are on the right track, despite the Covid-19 pandemic
For a more detailed analysis, dive into the analysis of specific metrics Consists of:
Table 3 3 Labor situation by labor contractat TTLC from 2018-2020
Source: HR Department of TTLC
Diagram 3.3 Labor situation by labor contract at TTLC from 2018-2020
Source: HR Department of TTLC
From the above data it can be seen that:
- The scale of direct labor always accounts for about 2/3 of indirect labor
- High rate of indirect labor growth The period 2018 - 2019 is 0.06% and 2019
- The proportion of direct and indirect labor is always stable and does not change significantly over the years In which, the ratio of direct to indirect labor in
2018 is 66.82%/33.18%, in 2019 it is 68.39%/31.61%, in 2020 it is 68.45%/31.55%
Based on the above data, we can see that TTLC has a steady increase in personnel but still tries to ensure a stable ratio of indirect and direct labor This is
49 explained by the opinion of the leaders who do not want to be disturbed too much to ensure that the enterprise does not deviate from the proposed HR strategy
Table 3 4 Labor situation by age at TTLC from 2018-2020
Source: HR Department of TTLC
Diagram 3.4 Labor situation by age at TTLC from 2018-2020
Source: HR Department of TTLC According to this Diagram, we can see the following:
- The proportion of employees in the age group 31 to 39 always accounts for the highest proportion (in 2018 it was 39.88%, in 2019 it was 37.82%, in 2020 it was 38.98%)
- The proportion of workers in the age group 40 to 49 accounts for the second highest rate (2018 is 35.55%, 2019 is 32.64%, 2020 is 30.37%)
- The labor rate of the age group 18 to 30 accounts for the third highest rate
- The proportion of workers in the age group 50 to 60 accounts for the lowest rate (in 2018 it was 10.71%, in 2019 it was 4.66%, in 2020 it was 7.01%)
Nearly 37.89% of employees are aged between 31 and 39, providing a significant advantage to the enterprise as this age group represents a mature labor force with developed physical and mental capabilities This demographic not only serves as a strong foundation for the company's current growth but also facilitates the effective implementation of future human resource development policies.
The workforce aged 40 to 49 represents 31.52%, providing valuable skills and experience that enhance the overall capabilities of the labor pool While their labor capacity may not match that of the 31 to 39 age group, their extensive knowledge and practical expertise serve as a vital resource, benefiting younger workers and contributing to a well-rounded workforce.
The labor force aged 18 to 30 represents an average of 23.12%, characterized by their enthusiasm and youthful energy It is essential to prioritize the development of their awareness and professional skills, ensuring they acquire a comprehensive foundation of knowledge and practical work experience.
Individuals aged 50 to 60 represent at least 7.46% of the workforce, primarily as department heads Their extensive experience enables them to effectively guide employees and steer the company toward achieving its business objectives.
51 effectively Therefore, this group is often the most preferential in terms of salary and bonus in the company
Table 3 5 Labor situation by gender at TTLC from 2018-2020
At TTLC, the male workforce is nearly double that of female employees, primarily due to the company's recent establishment and high work demands Women typically prefer roles that offer structure and stability, making it challenging for TTLC to attract female talent, except in specific areas like accounting and design Additionally, many women juggle family responsibilities, which complicates their ability to commit to the flexible hours required in the service and tourism sectors Despite offering substantial incentives, such as six months of maternity leave and additional time off during menstrual cycles, the company still struggles to recruit women.
Despite some drawbacks, the consistent year-on-year stability in the ratio of male to female employees offers a significant advantage for managers This reliability aids in the development of effective long-term strategies within the company.
Therefore, in the process of formulating a strategy for human resource development, managers need to pay attention to have a policy to support employees mentally
Table 3 6 Labor situation by department at TTLC from 2018-2020
+ Department of Planning and Human
Northern and Southern Sales Department 28 28 31
+ Northern Sales Department (Hoa Binh 15 15 15
D Department of Arts and Development 33 38 38
Source: TTLC’s HR Table 3 7 Labor situation by department at TTLC from 2018-2020
Diagram 3.5 Human resource structure by department
In recent years, the company's human resources have remained stable, with the exception of 2018 due to restructuring, which left some areas lacking By 2019, stability was restored, particularly in profit-generating departments such as sales and marketing, which accounted for 48.81% in 2018, 45.08% in 2019, and 17.76% in 2020 Other divisions, including internal affairs, art and R&D, operations, and the board of directors, maintained stable ratios Consequently, the company's human resource development policies primarily target a dedicated workforce that directly contributes to business activities and profitability.
3.2.2 The situation of improving the professional knowledge level of human resources at Tourism, Trade and Labor Export Joint Stock Company in the period of 2018-2020
Evaluating the structure of trained human resources is crucial for effective human resource development within an organization The detailed structure of human resources at TTLC is outlined in the table below.
Table 3 8 Labor situation by professional qualifications at TTLC from 2018-2020
Source: TTLC’s HR Diagram 3.6 Labor situation by professional qualifications at TTLC from 2018-2020
- The percentage of primary personnel always accounts for the highest percentage but is decreasing year by year In which, in 2018 it was 41.67%, in 2019 it was 36.27%, in 2020 it was 35.98%
- The proportion of personnel concentrated at the College & Intermediate level, the second highest, but still stable, not much changed In 2018 it was 36.9%, in 2019 it was 35.23%, in 2020 it was 35.51%
- The percentage of university personnel is the third highest and tends to increase In 2018 it was 20.83%, in 2019 it was 27.46%, in 2020 it was 27.1%
- The proportion of graduate personnel has the lowest scale and accounts for a negligible proportion In 2018 it is 0.6%, in 2019 it is 1.04%, in 2020 it is 1.4%
Human resource development policy at Tourist, Trade and Labor Export Joint
3.3.1 Recruitment and use of human resources policy
TTLC has continuously enhanced its recruitment and job placement processes to ensure the selection of qualified employees By focusing on professional qualifications, work skills, and physical capabilities, TTLC effectively matches individuals to positions that suit their strengths.
The Human Resources Department evaluates business plans and proposed reports from various units, collaborating with the Finance Department to assess and prepare a report for the Board of Directors This report recommends the organization of recruitment and the arrangement of employee roles.
Diagram 3.7 Recruitment process of TTLC
The direction of the request
Process of handing over personnel to sign contracts and arrange jobs
It should be noted that, to be accepted to work in the enterprise, job applicants must go through the following process:
Recruitment Notice dung interal source extern al source Recruitmen t Board
Send all application documents to the email address of TTLC If accepted, the candidate will receive an invitation to interview
All candidates, both internal and external, receive an invitation letter to apply, where they are encouraged to showcase their work plans, aspirations, and qualifications for the job position.
The selection committee will interview each candidate for up to fifteen minutes and evaluate them using an independent scoring system on an assessment sheet The candidate who receives the highest score for each job position will be deemed successful.
In addition, some exceptional candidates will be considered separately by the Board All candidates will receive an email and a text message with their results
Freely admitted candidates are allowed to sign a probationary contract After this process, if all conditions are met, the Company will sign a long-term contract
Internal candidates are not required to sign a probationary contract when transitioning to a new position If the new role proves unsuitable, the Company will facilitate the employee's return to their previous position.
This completion process was carried out in the period from 2018 to 2019 especially in 2020, due to the influence of the Covid-19 pandemic, TTLC did not organize new recruitment
Basically, this recruitment process is applied to all units However, the recruitment practice of TTLC has arisen many limitations and inadequacies Specifically:
In the recruitment process, trust and respect play a crucial role, even in a business context Typically, this involves a significant number of fresh graduates, as well as personnel transitioning from state management roles or moving between companies within the enterprise.
- The current job description tables in the departments of TTLC are not really complete and suitable with the functions and situation of the business Some of these
Many workplace policies are either replicated from other subsidiaries or shaped by the employer's personal views As a result, when issues occur, there is often no objective standard to recognize or reward extra effort effectively.
From 2018 to 2020, the company prioritized the planning and execution of annual training programs, focusing on content and participant engagement to enhance the development of its human resources.
- Training and fostering professional knowledge
+ Sending to school according to job requirements: Marketing management, using accounting software, internal dispatch management software
+ Sending to study certificates according to state regulations such as accounting profession, receptionist profession
+ On-the-job training on the principle of hand-to-hand work
- Sending to study to improve skills at national educational institutions or exchange experiences at friend units
Wages of employees are structured into two parts
- Soft salary: calculated according to the criteria
+ Bonus for voting results at the end of the year
+ Bonus for year-end revenue performance coefficient
In addition to salary, TTLC also set aside a benefit which has been used reasonably over the years This welfare fund is used for the following purposes:
- Construction of works to serve the entertainment needs of workers but not for business purposes such as football fields, tennis courts, cultural organizations
- Organize for employees to visit and relax every year at domestic and international tourist destinations
- Financial support for the company's annual meeting
- Rewards for unexpected activities such as sports results, participation in music activities organized by the government
- Support to visit maternity, sickness and disease
- Loan to employees without interest and pay according to the monthly salary to repair the house
- Some other activities as proposed by the Company's Trade Union and accepted by the leadership
Since early 2020, the TTLC has deducted 250,000 VND per employee each month from the Welfare Fund to offer additional financial support to employees on temporary leave due to the COVID-19 pandemic.
The fixed salary outlined in the labor contract includes specific criteria, such as state-prescribed allowances that are tax-exempt These allowances cover travel support for employees who do not utilize the company's shuttle bus and additional meal compensation for those required to work overtime.
Employees are required to work the full number of days stipulated in their signed contracts Following the deduction of mandatory state insurance contributions, the Accounting Department will ensure that the complete salary is transferred to the employee's card by the first Monday of the subsequent month.
3.3.4 Policy to create a learning environment
TTLC is committed to fostering a motivating environment for employees by offering various opportunities for learning both within and outside the company The organization emphasizes three primary approaches to support continuous education and professional development.
Each form is linked to a spiritual reward, such as public recognition within the company and acknowledgment at the year-end closing conference, alongside tangible benefits like salary, bonuses, and allowances This structure encourages employees to fully invest their skills and abilities into their work.
In mid-April and mid-October, TTLC will host a contest for employees to report, comment on, and apply insights from selected books, including "Built to Last" and "From Good to Great." The award structure for this contest is established as per the regulations set in 2020.
The participating articles will be awarded 200,000 VND / article
05 consolation prizes: 01 million VND/article
Third prize: 03 million VND/article
Second prize: 05 million VND/article
First prize: 10 million VND/article
Twice a year, at the beginning of the year and after six months, the Board of Directors hosts events for all employees to discuss the leaders' business resolutions Employees who actively participate and share their ideas are rewarded on the spot with gifts from the leaders.
General assessment of human resource development at Tourism, Trade and
Human resource training and development are crucial for organizational success The leadership team focuses on enhancing management skills, ensuring that employees receive not only theoretical knowledge but also valuable practical experience This approach fosters a workforce that is well-prepared, knowledgeable, and healthy.
- Policy on recruitment and basic human resource use to meet the needs of business activities at the company The management team is getting better and better
The company maintains a clear and transparent salary and bonus system, developed through consensus among employers, employees, and trade unions All salary and bonus regulations comply with legal provisions, ensuring fair compensation practices To date, there have been no lawsuits related to salary disputes within the company.
- A happy and sociable working environment, there is always listening and sharing between leaders and employees to promptly adjust work or solve problems immediately
Work arrangements often prioritize professional qualifications over individual quality and capacity, which can lead to inaccuracies and hinder the potential for personal development and growth.
In managerial recruitment, companies primarily rely on acquaintances, which may hinder optimal working efficiency Many leaders transition from state management to the private sector, often lacking familiarity with contemporary management styles Additionally, internal recruitment processes remain largely unutilized, leaving potential talent untapped.
Despite having a welfare policy that outshines some competitors, employee satisfaction remains low During the COVID-19 pandemic, workers faced reduced hours and wages, with the company's support amounting to only 250,000 VND per person per month, which many considered inadequate.
In the current climate of economic stagnation, union leaders face challenges in securing additional support for workers, as any financial decisions must go through the Board of Directors This uncertainty about when the economy will recover often leads to hesitation in providing further assistance to employees.
Teamwork is an essential skill for all businesses; however, at TTLC, it often remains limited to the leadership level Employees tend to lack self-awareness in actively supporting their colleagues, which hinders overall collaboration and productivity.
The main reasons leading to the above situation are
Emotional recruitment remains a prevalent issue, leading to a scenario where numerous management personnel are hired without clear roles or responsibilities These employees often join the company primarily in response to inspections by state agencies and typically receive their salaries solely through bank transfers.
The Board of Directors will evaluate the recruitment department's performance at year-end based on the number of new applications received Consequently, human resources personnel often prioritize hiring new employees over considering the reassignment of existing staff.
The current salary and bonus system lacks a structured approach to motivating employees, as it does not offer a dedicated salary increase for those who achieve outstanding results for the company Instead, rewards are given only upon the completion of specific tasks, and year-end evaluations often remain subjective.
Many enterprises are currently undecided on whether to prioritize external or internal training, as well as which employees should undergo training and re-training Presently, the company's vocational training center serves solely to train apprentices and issue certificates of eligibility, enabling the company to formalize labor contracts for workers intending to work abroad.
Chapter 3 introduced an overview of TTLC, a summary of the business's operation in recent years and a Diagram of its organizaonal structure At the same time, chapter 3 deeply analyzes the current situation of human resources and human resource development work of TTLC, analyzes policies and solutions to develop human resources at this enterprise in the past time Besides the achieved results, human resource development still has some shortcomings and certain shortcomings, overcoming these limitations is a necessary condition for implementation in the coming time in order to improve the quality of human resources NLL as well as business performance of TTLC
This is the premise for me to give suggestions and solutions to improve human resources development presented in Chapter 4 of the thesis