dang anh giang thesis chapter1 2
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Shu-Te University
Graduate School of Information Management
Masters Thesis
Process Reengineering in Human Resources Management
of Vocational Schools in Lang Son Province.
Student: Dang Anh Giang
ID: 98731304
Advisor: Dr. Gow- Minh Dong
Co-advisor: Dr. Nguyen Huu Chau
December, 2010
Process Reengineering in Human Resources Management
of Vocational Schools in Lang Son Province.
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A Thesis
Submitted to the
Graduate School of Information Management
College of Informatics
Shu-Te University
In Partial Fulfillment of the RequirementsFor the Degree of
Master of Science in
Information Management
December, 2010
Yan Chao, Kaohsiung, Taiwan, Republic of China
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First of all, I would like to thank the University of Education -Vietnam National
University, Ha Noi has supported me during my study. Especially, I would like to thank for
the enthusiasm of Associate Prof.Dr.Gow- Minh Dong and Dr. Nguyen Huu Chau who have
supported and encouraged me in the process of learning as well as doing the research.
In this occasion, I would like to thank my fellow classmates in the Department of
Information Management who have accompanied with me in the whole process of doing my
thesis.
Finally, I would like to thank my family and relatives who have shared the difficulties
during my study and research.
Dang Anh Giang
Table of Contents
Abstract ............Acknowledgment ............Table of Contents ............
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List of Tables ............List of Figures ............Chapter 1 Introduction ...
1.1Research Background
INATURAL FEATURES
II- CHARACTERISTICS OF HUMAN
RESOURCES
Chapter 2 Literature review ...2.12.22.32.4
Chapter 3 Research Methodologies ...3.1 Introduction of existing research methods 3.2 The research methods of the thesis ...3.3 The method to analyze and treatment information
Chapter 4 Analysis and results ...4.14.2
4.3Chapter 5 Conclusions ...References
List of Tables
Table 2.1Table 2.2Table 3.1Table 3.2Table 3.3Table 4.1Table 4.2
List of Figures
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FigureFigureFigure
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Chapter 1: Introduction
1.1 Research Background
Human resources development is a primary goal of socio-economic
development strategies.In the structure of human and technical work force
and technical staff is a large work forces most directly produce material
wealth for society. Therefore, in recent years, Party and State particular
attention to developing vocational training, to create direct human resources
to meet production targets in 2020 to bring our country to basically become
an industrialized country in modern development. The process ofindustrialization and modernization requires a growing demand for human
resources and technical expertise to meet the requirements of the labor
market in each locality, domestically and internationally and that is the key
policies of the Party and State are now aiming "The top priority for
improving the quality of teaching and learning, improving the quality of
teachers and strengthen infrastructure of schools."
In the market economy today, with the strong fluctuations of thebusinessenvironment, fierce nature of competition and demand is increasingto meet the staff, all of these problems has been a great pressure forenterprises. In particular, issues of human resource management is one of thefactors that bring vital.
Since demand - a business can increase their competitive advantage byorganizing a comprehensive human resource management system: building aclear organizational chart, with modern inspection system, exactly, using theemployees effectively, resolve policy regime in time, criteria for evaluatingthe work is standardized, fair salary policy, human resource planning toensure the right person, right jobs.
Being a border mountainous province, to economic development,social security, poverty reduction and integration with the country ... issuesthat have posed problems for Lang Son with the opportunities and
unprecedented challenges for human resource development in sync,especially workers in rural areas.
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To contribute to the implementation of task from 2001 Lang Son hasinvested to develop vocational training establishments, after 10 years ofconstruction and development, from just 03 small training institutions up tonow Lang Son has 16 vocational training institutions, the development thatmeets the needs of the trained employees.
However, the relationship between supply and demand, the training isquite faint, quality human resource training is weak which led to the currentsituation is that many people without a job completed, with the do but makeher profession, or be the basis of the employer receiving the labor but theemployers who have to retrain new usable. All these issues are apprenticeswho suffer disadvantage due to problems from building plans, planning anddevelopment facilities and training from quality teachers have extra training -
medium lack-weak, so just wasting of the State budget for training, bothexpensive and prolonged time of the study, but the effect is very low.
Current situation of human resources and training facilities ofvocational training in Lang Son is now difficult to make the best use for theseopportunities is coming, even at risk to overcome difficult challenges inorganizing training which highlights two issues that's what training to suitmarket needs and the development of teaching staff to meet the open fields.
Through the process of making the management of a vocationaltraining school was first established in the province of Lang Son and learning
process in training Masters in Management Information National Universityand the University of Shu-Te myself for research on issues
Restructuring processes in human resources management of vocationalschools in the province of Lang Son to do scientific research with a desire tocontribute to the research results applied in the management of my school
and of training facilities in the province of Lang Son.I. NATURAL FEATURES
Geographical location of Lang Son is particularly important forsocial -economic development.
Lang Son is a mountainous province in northern Vietnam gatewaylinking China and ASEAN countries as well as international, with 11districts, 226 communes, wards and towns with a total area of 832,378 ha of
natural, population of 732,515 people, Lang Son province is inhabited bymany ethnic groups, which accounted for 42.95% ethnic Nung, Tay ethnicgroup accounted for 35.88%, accounting for 16.52% of Kinh, Dao ethnic 3 ,
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47%, the rest are ethnic American, Hmong, San vegetarian ... very smallproportion living intermingled with other ethnic communities.
Lang Son is particularly important position in economic development,
located along the economic corridor Nanjing (China) - Lang Son - Hanoi -
Hai Phong, over 220 km border with the Republic National People's Republicof China. Construction project the economy to Dong Dang - Lang Son is
being done here quickly, striving to Lang Son province in 2020 became the
center of industry, commerce and services, connectivity, trade between
Vietnam with China and other countries around the world.
Lang Son is a node of the economic exchanges with the western
provinces of Cao Bang, Thai Nguyen, Bac Can, with the eastern province of
Quang Ninh province, south of the Bac Giang, Bac Ninh, Hanoi capital and
to northern China. Lang Son in the future will be a pole of economic
quadrangle northern region of Vietnam: Lang Son - Hanoi - Hai Phong -
Quang Ninh.
Administrative map of Lng Sn
II- CHARACTERISTICS OF HUMAN RESOURCES1. Regarding society - economic development - from 2006 to 2010:
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In recent years, first due to the difficult context of economic recessionin the country and the world, but the province's economy growth rate. Speedeconomic growth (GDP) per 5-year period from 2006 to 2010 reached10.45%, shifting the economic structure in the right direction, agriculture andforestry accounted for 39.74%, industry - construction 21.08 %, services
39.18%.GDP per capita reached 820 USD in 2010 is more than 2 times higher than in2005.Facilities for social investment in most sectors such as education,health, culture, poverty alleviation and employment. Material life, the spiritof the people is improved, the situation of political security, social order andstability
Summary: Period 2006 - 2010 economic growth rate from 1.8 to 2 fold
in Lang Son province was compared with the period from 2001 to 2005, theeconomic structure shifted towards reducing the proportion of agriculture,increasing service and increased service industry - construction, total revenuereached over 2,000 billion, per capita GDP rose more than 2 times.
Status
stage 2006-2010
Agriculture, forestry
Industrial
Service
2. The current status of labor - employment for 2006-2010
According to the results of the census ofpopulation and housing 01/04/2009 Lang Son, the
province has a population of 732,515 people,
people of working age is 425,074 people (who
account for 216,023 people), young labor force
( 15-34 years old) a high proportion, about 45% of
which:
- Workers in urban areas: 72,493 people (accounting for 17.05%).- Labor in rural areas: 352,581 people (accounting for 82.95%).
In fact the total number of persons resident from 15 years of age orolder to participate in economic activities of the province had 453,425 peopleemployed (accounting for 92.13% of the total labor force), the market shareof 16, 03%, rural 83.97% proportion. Number of employees through training
percentage 35%, laborers are working in rural areas untrained high proportionof over 70%.
Labor structure is gradually shifting, but the
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number of workers employed in industry,
construction and services still account for lower
rates, while workers in agriculture, forestry and
fisheries still account for very high, with 353,691,
accounting for 78.00%, construction industry andhas 21,487 people, accounting for 4.74% and 78,247
people work in service sector, accounting for
17.26%.
Labor, employment by sector of economic activity and economiccomponents
Unit: person
Total State Out ofState Foreigninvested Total 453.425 39.772 366,125 6221. Agriculture, forestry, fisheries,
Fisheries353.691 784 352.848 59
2. Industry and Construction 21.487 4.537 16.548 4023. Services 78.247 34.451 43.635 161 Urban area 72.673 21.191 51.263 2191. Agriculture, forestry, fisheries,
Fisheries 14.427 340 14.049 39
2. Industry and Construction 10.642 2.903 7.670 713. Services 47.604 17.948 29.544 109 Rural area 380.752 18.581 361.768 4031. Agriculture, forestry, fisheries,
Fisheries339.263 444 338.799 20
2. Industry and Construction 10.843 1.634 8.878 3313. Services 30.646 16.503 14.091 52
(According to Source Census, housing 1/4/2009)
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Lang Son in recent years there are major changes in the labor force in
general and skilled labor in particular. Increasing the number of employees
and labor quality is gradually improving. Economic development create more
new jobs and income of workers have been increasingly improved. However,
compared to national status and quality of labor of Lang Son is still
inadequate: Percentage of trained labor to 35% by the end of 2010, the
percentage of trained workers reached 25%, the labor force is biggeruntrained (65%); big difference in quality of labor between urban and rural
areas, shortages of labor is greater technical expertise in the areas of high-
level requirements for new technology (mechatronics, welding, high-tech
food processing and industrial plant) of the provincial labor force
concentrated in rural areas, economic life difficult, mostly ethnic minorities.
III. NATURAL FEATURES OF LANG SON PROVINCE:
Geographical location of Lang Son is particularly important forsocial -economic development.
Lang Son is a mountainous province in northern Vietnam gatewaylinking China and ASEAN countries as well as international, with 11
districts, 226 communes, wards and towns with a total area of 832,378 ha ofnatural, population of 732,515 people, Lang Son province is inhabited bymany ethnic groups, which accounted for 42.95% ethnic Nung, Tay ethnic
Employment structure
24%
20%1%4%4%1%1%3%
20%
19% 1%2%
Total
1. giculture, forestry, fisheris, equaculture
2.nstuction and building
3. Service
Urban
1. Algriculture, foretry, fisheries, equaculture
2. .nstuction and building
3. Service
Rural
1. giculture, forestry, fisheris, equaculture
2. nstuction and building
3. Service
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group accounted for 35.88%, accounting for 16.52% of Kinh, Dao ethnic 3 ,47%, the rest are ethnic American, Hmong, San vegetarian ... very small
proportion living intermingled with other ethnic communities.
Lang Son is particularly important position in economic development,
located along the economic corridor Nanjing (China) - Lang Son - Hanoi -Hai Phong, over 220 km border with the Republic National People's Republic
of China. Construction project the economy to Dong Dang - Lang Son is
being done here quickly, striving to Lang Son province in 2020 became the
center of industry, commerce and services, connectivity, trade between
Vietnam with China and other countries around the world.
Lang Son is a node of the economic exchanges with the western
provinces of Cao Bang, Thai Nguyen, Bac Can, with the eastern province of
Quang Ninh province, south of the Bac Giang, Bac Ninh, Hanoi capital and
to northern China. Lang Son in the future will be a pole of economic
quadrangle northern region of Vietnam: Lang Son - Hanoi - Hai Phong -
Quang Ninh.
1.2 Research motivation
I chose this topic because: Lang Son province has planned a network oftraining facilities in the 2011-2020 period that the training facilities of LangSon is the initiative to organize vocational training butThere is no research that addressed the issue of the school should organizetraining how
Human resources is very important teachers in the study of thevocational training institutions.
Was the first principal of a vocational training institution's largestprovince, from the practice of the organization, runs a vocational traininginstitution in the province I noticed, vocational training institutions to surviveand developing the institutions that must be attached to the training needs ofthe society must also be teachers meet the needs of trainees. On the basis ofinterpretation problems between theory and practice of "Restructuring
processes in human resources management of vocational schools in theprovince of Lang Son," I want the results of the thesis will help facilitiestraining of the province is in the process of construction and development canadjust the plan to build training and team building through which teachersmake the sustainable development of the unit.
1.3 Research Purpose
Today, finding the correct orientation and good human resourcemanagement is a vital issue for business because it directly affects business
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performance and sustainability of the organization. It is not only essential forbusinesses, but also very necessary for the school unit
Overall objectives:
Based on the orientation of socio-economic development and jobtraining needs of workers, analyzing the status of vocational training facilitiesthat assist training institutions in the province of Lang Son and professionaldevelopment needs training needs of teachers and effective ways to createsustainable growth of vocational training institutions.
Specific objectives:
- Identify a number of socio-economic indicators related to basic needs ofhuman resources and technical training of Lang Son province in 2011-2020.
- Data collection, training needs analysis survey of workers in the provinceof Lang Son
- Analysis of existing capacity of training institutions in the province ofLang Son and compare them with vocational training needs of employees andhuman resources needs of the provinces through which to identifyorganizations appropriate training for the development of training facilities inthe province.
1.4 Research Procedure
Research method: Quantitative
Research steps:
Questionnaire design
- Questionnaire survey Determine research- Determination of dynamic studies- Identify the purpose of research- Research documents- Design models and theories- Design questionnaire- Check questions- Distribution of questions- Data collection- Data analysis using SPSSConclusions and recommendationsResearch questions.Thesis to explain the following issues.
- The training model in Lang Son is now how to meet the training and humanresources of Lang Son and Why to restructure the model?
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- Based on how to restructure the model?- Results of the impact of restructuring of training institutions- Proposal for general training institutions
Research Structure of this thesis is divided into 5 main parts:
Chapter I: Introduction
Chapter II: Literature Review
Chapter III: Research Methodology
Chapter IV: Analysis and Results
Chapter V: Conclusions
M hnh nghin cu
9
H1
H2
Cht lng h thngLIBOL
Cht lng thng tin hthng LIBOL
Cht lng dch v hthng LIBOL
S hi lng cangi s dng
H3
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Chapter 2 Literature Review
2.1 Human Resource Management
Since 1945, after Viet Nam is independent, Government has started to pay attention to
HRM in organizations and companies.
From the late 1970s to the early 1980s, a movement occurred while corporations
personnel departments were renamed human resources departments. This movement
acknowledged that employees are not only just parts plugged into positions, but they are
important assets. It also marked an emerging recognition that organizations should change
or stop the historical practice of considering employees as costs, rather than as vital
sources of revenues and profits (Liu et al., 2007).
The term Human resources is defined as the available talents and energies of people
working for an organization as potential contributors to the creation and realization of
mission, vision, strategy, and goals of the organization. They can make the best use of all
types of resources within the organization. Finance and technology can bring advantagebut are no longer capable of sustaining this advantage. If the human resources are well
functioning, employee productivity rises and customer service improves. The employee
productivity rise but with lower cost, meanwhile, the customer service improves which
raise the perceived value. Thus, human resources could enable the company to create more
value (Hill and Jones, 2004). This is the result why it is vital to manage and develop
human resources effectively in any organization (Priti, 2004).
HRM is viewed as a function of an organization that focuses on the activities of
recruitment, management, and providing direction for the employee. Human Resource
Management could absolutely also be performed by line managers by dealing with issues
related to people, for instance, compensation, hiring, performance management,
organization development, safety, wellness, benefits, employee motivation,
communication, administration, and training. As said by Werner & DeSimone (2006),
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HRM can be defined as the effective selection and utilization of employees to achieve the
goals and strategies of the organization, and also the goals and needs of employees.
In recent years, the work on the relationships between human resource management
and organizational performance has been added as supplement by researches, which show
that human resource management is also positively linked to the motivation and well
being of employees. Add the source of the citation also show that the development of
positive psychological contracts between employees and managers are strongly affected
by the employees approval of the human resource management practices and the use of
human resource management. Form exploiting workers, the use of HRM creates high
levels of job satisfaction and motivation amongst workers. In addition, HRM also helps to
explain the mechanism for the positive relationship between human resource management
and organizational performance documented.
Four key areas of HRM are required, including: recruiting competencies, retaining
competencies, reinforcing competencies, and replacing competencies. Recruiting
competencies patterns change from mass recruitment of new graduates to recruitment on
demand, and from orientation to specialists with general creativity. Reinforcing
competencies de-emphasize seniority while increasing the importance of performance and
ability. Retaining competencies use training and development mechanism to upgrade skills
and retain capable employees while adopting new job design to divide core employees
into poor performers and contingent workers in order to retain core HR competencies.
Finally, replacing competencies introduce employment flexibility and outplacement to
replace lifetime employment.
Human resources can be considered a unique asset providing sustained competitive
advantage for organizations. Importance of managing human resources has been confirm
in the changes in the business environment with increasing globalization, changing
demographics of the workforce, increased focus on profitability through growth,technological changes, intellectual capital and the never-ending changes that organizations
are undergoing (Sandeep Krishnan & Manjari Singh, 2006).11
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Dowling and Schuler (1990) developed a model, which referred to the types of
personnel policy appropriate to encourage behaviors necessary to achieve the objectives in
the strategic competition. As stated by Dowling and Schuler, strategic competition can be
divided into three categories: strategy to strengthen the quality, cost reduction strategies,
and creative strategies.
Table 2.1: Summary of strategic competition categories
Creative strategies and
activities of HRM
Strategies to strengthen
the quality and activities
of HRM
Strategy and cost
reduction activities and
HRM
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- For the active
participation of workers
- Analyze career shoal
- Mobilizing external
resources
- Many opportunities for
career development
- Apply the criteria of the
process and results
- Apply the long-term
criteria
- Apply the criteria of the
object in the same group
- Apply a policy of
insurance laws
- Apply various preferential
policies
- Wages averaged
- Training more Building
relationships betweenmanagers and employees
- For the active
participation of workers
- Analyze career shoal
- Mobilizing the resources
outside
- Less opportunity to
develop career
- Apply the criteria on the
results
- Apply the criteria short
term is mainly
- Apply the criteria of the
object in the same group
- Apply the criteria
employed
- Apply some preferential
policies
- Wages averaged
- Training more
- Building relationshipsbetween managers and
employees
- For less participation by
workers
- Analyze career depth
- The use of resources
within
- Less opportunity to
develop career
- Apply the criteria of the
process and results
- Apply the criteria short
Apply criteria used is the
individual
- Limitations apply the
policy of insurance laos
- Less preferential policies
- Salary levels by
- Training less
- Construction of the
relationship managers
- The traditional labor
2.2 Human Resource Management system
The relationship between Information technology and HRM is that Technology can
help employees to gain completely control over their training and benefits enrolments;
Technology can help to give birth to a paperless employment office; Technology can
streamline the HR departments work; and technology can provide knowledge for decision
support, etc (Cieri et al., 2005). In an organization Human resources are the most valuable
asset, and Human Resources (HR) department can administer these resources through
Human Resources System. In short, Human Resources System is designed so that all HR
processes can be efficiently operated (Human Resources System, 2008).
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Generally, a HRS contains many Software applications such as, HR planning
applications, staffing applications, performance management applications, learning and
career development applications, and salaries, material, equipment, and students
management applications. Besides, some organizations rely on a more sophisticated
system, called Human resource information system (HRIS), to support human resource
activities. The key reasons for developing such a system are to follow the trend of the
globalization business, to create more flexible, non-traditional organization structures, to
apply a new information technology, as stated similarly in (Cieri et al., 2005).
A Human Resource Management System (HRMS), also called Human Resource
Information System (HRIS), HR Technology or HR modules, refers to systems and
processes at the intersection between human resource management (HRM) and
information technology. HRMS combines HRM, as a discipline, and in particular basic
HR activities and processes with information technology together, whereas data
processing systems gradually varied into standardized routines and packages of enterprise
resource planning (ERP) system. Generally, an ERP system integrates information about
different applications into one universal database.
However, a modern HRIS is different from older systems that were designed only for
the compensation and benefits department to support HR functions. New database-related
technology can track information of each employee, applicant, or position generated by
the HR function, and, more importantly, can further integrate the information with other
data for decision-making (Michael Bedell, 2008). An HR system can select employees
through raising vacancy advertisements, calling for resumes, and facilitating interviews to
hire employees with good qualification. It also can identify training needs and schedule
optimum training of employees by ask them to join in conferences and seminars.
Remuneration given to employees is also an important aspect that HR can administer
through the Payroll module of the HR system. An HR system is the union of HR
management and HR information systems. HR technology fulfills this union through HR
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modules. The use of a single database is the hallmark of a successful HR system
application package (Human Resources System, 2008; Duff, 1989).
An organization might face some issues relevant to Human Resource. In terms of
recruiting, retention, and cost control of benefits, some issues are described as follows:
(1) difficulty of recruiting talented sales staff under high turnover of salespersons; (2)
difficulty of querying from HR files to identify good candidates for job openings in the
firm; (3) the need for having more administrative staff to maintain and update employee
and job salary history data while the paperwork supporting for HR function seems grow
day by day; (4) the need for better data on the most relevant compensation packages for
certain hard-to-find job description; (5) the need for better information system to assess
the costs and benefits of products, early retirement plan or educational program
reimbursements. These problems may affect the quality of the HR function. Most of these
result largely from lacking access to information about employees, skill sets, job
descriptions, turnover data, retention data, and benefits plan, from which managers can
make queries and generate reports for external agencies (Ashbaugh & Rowen, 2002).
Besides maintaining the information of employees, positions, skills, applications and
performance, a HR information system can be used to manage workforce characteristics.
The objective of an effective HR strategy is to acquire, place, train, and develop
employees to meet organizational needs. HR information systems help managerial
decision-making by offering query and reporting tools (Ashbaugh and Rowen, 2002).
HRIS can simplify processes such as performance appraisal. The software tracks core-
competencies and provides tips on which employees need improving or coaching. It can
also alert a supervisor to orient a department, which may need training or management
attention, to accomplish the organizations goals. Appraisal systems located at different
places can work cooperatively and consistently across operations (Lori Bussler & Elaine
Davis, 2002).
In fact, a HRIS has different capabilities which are packaged in databases for selling.
A company can pick carefully required capabilities to implement or buy for its own HRIS.
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Summarize the table below.
Table 2.2 The HRIS softwares capabilities
Functions provision of HRIS HRIS serve tracks in the organization- Management of all employee
information.
- Reporting and analysis of employee
information.
- Company-related documents such as
employee handbooks, emergency
evacuation procedures, and safety
guidelines.
- Benefits administration including
enrollment, status changes, and personal
information updating.
- Complete integration with payroll and
other company financial software and
accounting systems.
- Applicant and resume management
- Attendance and HRM use
- Pay raises and history
- Pay grades and positions held
- Performance development plans
- Training received
- Disciplinary action received
- Personal employee information and
occasionally
- Management and key employee
succession plans
- High potential employee identification
- Applicant tracking, interviewing, and
selection
2.3 Benefits of HRMS to organization
Applying a HRMS to an organization has many benefits such as updating, repairing,
copying and looking up information. This shows the importance of HRMS in a
organization.
From the study of Sandeep Krishnan & Manjari Singh, the concept from Miles and
Snow (1984) implied that a strategic HRM is viewed as a HRMS that can help for the
formulation and implementation of business strategies. The common benefits of HRMS
cited in existing studies includes improving accuracy, enabling timely and quick access to
information, and saving costs (Lederer, 1984; Tetz, 1973; Wille and Hammond, 1981).
Ulrich (1997) suggested that a HR function should be ideally placed to help an
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organization for managing challenges. In addition, Kovach et al. (2002) listed several
administrative and strategic advantages by using HRMS. Similarly, Beckers and Bsat
(2002) indicated, more than five reasons why companies should apply HRMS. These
reasons were that HRMS can:
(1) Increase competitiveness by improving HR operations;
(2) Produce a greater number and variety of HR-related reports;
(3) Shift the focus of HR from transaction processing to strategic HRM;
(4) Make employees be a part of HRMS;
(5) And reengineer the entire HR functions of a company.