You will write a 2500-word essay (Word file, +10%, similarity index <25%)
about what you consider to be the five most important HRM practices for a
multinational company (MNC) in Vietnam. In the content, you must use relevant
literature, company examples to analyse and justify your selections.
1. Training and Development
2. HRM Decision Making
3. Performance management
4. Compensation & Benefits
5. Recruitment
6. Leadership styles
7. Communication
8. Equality, Diversity, and Inclusion (EDI) policy
9. Groupwork
10. Talent Management
11. Employee Separation
12. Compliance
13. Selection
14. Hierarchies
15. Restructuring
16. Outsourcing
17. Retaining staff
18. Attracting talent
19. Employee Loyalty
20. Employee Satisfaction
Minimum Secondary Research Source Requirements:
Level HE6 - It is expected that the Reference List will contain
between fteen to twenty sources. As a MINIMUM the Reference
List should include three refereed academic journals and ve
academic books.
Introduction
The integration of Vietnam into the global economy has faced the nation with a
number of issues, one of which is the creation of a highly trained and globally
competitive workforce. The goal of this paper is to identify the ve most essential
human resource management (HRM) practices for a multinational corporation
(MNC) in Vietnam. Human resources and other managers from fteen multinational
corporations with branches in Ho Chi Minh City, Vietnam, were interviewed in
semi-structured interviews. The interviews focused on two primary topics:
Vietnamese graduates' employability and learning and development plans and
practices. Six major themes emerged from the content analysis of the interviews
using a qualitative technique. These include the requirement for graduates to have
greater levels of abilities and competences known as'soft skills,' such as
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communication, English uency, a good attitude, and a willingness to learn, as well
as industry-speci c technical talents. Leadership abilities were emphasized as
crucial for experienced employees and supervisors. Learning and development
were also discussed in connection to other elements of human resource
management such as recruiting and talent retention. It is advised that increased
collaboration take place between educational institutions, industry, and
government in order for Vietnam to completely develop its people resources, and
that career development learning be entrenched in the curriculums of high schools,
universities, and organizations. To address di culties connected to the recruitment
and retention of brilliant individuals, MNCs in Vietnam are urged to broaden their
pool of possible candidates to include people from a broader range of
backgrounds. Finally, developing self-awareness and interpersonal skills should be
prioritized in leadership development in order to improve people's management
abilities, reduce turnover, and increase employee work satisfaction.
1. Training and development
Training and development are two critical components of a company's strategic
human resource system. Both strive to promote employee learning and generate
more capable personnel, which can improve company competitiveness and
e ectiveness. The exact aims of training and growth, however, di er. Individual
training focuses on increasing performance, whereas development is wider and
attempts to build organizational competency to meet future strategic demands. In
the context of global competence, for example, development focuses on widening
leaders' capabilities in preparation for future global responsibilities.
To summarize, training and development are complimentary tasks, particularly
within the context of a company's strategic human resource strategy. Development
focuses on enhancing organizational competency to meet strategic goals, whereas
training focuses on individual weaknesses. For example, an IT organization could
send all programmers to half-day training sessions on multicultural team-building,
e ective remote communication, tele-meeting, and cross-cultural di erences in
email and phone communication. Both training and development are essential for
a rm's success in today's competitive and globalized world.
To prepare employees for worldwide work, multinational corporations frequently
use cross-cultural training, diversity training, and language training. These
activities assist employees in adjusting to new living and working environments,
developing coping strategies to deal with unanticipated occurrences, and
developing reasonable expectations. Cross-cultural training (CCT) assists
individuals in learning acceptable cultural practices, developing coping strategies
to deal with unexpected situations, and developing reasonable expectations.
Di erentiation training is intended to assist employees in working e ectively with a
varied workforce, being aware of group-based di erences, and decreasing
negative stereotyping and prejudice. It can be made available to all personnel
within the business and is frequently connected with global assignees. Foreign-
language training supplements cross-cultural and diversity training by giving
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employees with the language skills necessary to communicate with coworkers and
individuals from di erent nations. Micropolitan businesses can further go above
and above by educating key personnel in all host countries in the same corporate
language, therefore increasing both horizontal and vertical communication inside
the organization. This method assists multinational corporations in better preparing
their sta for global work and ensuring they have the required skills and
competences to thrive in a transnational business plan.
Formal schooling, customized coaching/mentoring, and immersion programs can
all help to improve cross-cultural competences. Formal educational programs give
cultural foundations in areas such as global strategy planning, cross-border
leadership, and negotiation. Individualized coaching/mentoring programs, o ered
by experienced senior workers, meet unique competency requirements of
expatriates. Employees bene t from immersion programs by connecting with local
nationalities and partaking in local traditions. Employees working in geographically
scattered groups bene t from cross-border teams, worldwide meetings, and
international job rotations. Participation in cross-border teams allows for the
development of in-depth cultural understanding, communication skills, and
interpersonal interactions. The organization's business strategy should drive these
training and development programs.
2. Leadership styles
Since the 1960s, there has been study on cross-cultural leadership, although there
are still gaps and de ciencies. Many leadership theories and techniques are
founded on western conceptions and assumptions about human behavior, raising
concerns about their applicability in other corporate settings. Understanding
factors such as history, culture, political climate, and skill levels is critical for
shaping attitudes and actions. There is a speci c concern of whether leadership
styles developed in western environments can be implemented in eastern
situations.
Leadership style research is frequently characterized by stability, with change seen
as sluggish. However, other nations, like as Vietnam or China, have seen rapid
changes in society and culture as a result of economic transition, resulting in
higher levels of acceptance for newly imported organizational models and
behaviors. This implies that culture should be viewed as a uid and changing
repertory with several strands, and leadership approaches should be understood
as malleable and variable.
In addition, there is little cross-cultural study on the link between a nation's
subcultural characteristics and leadership practices. It has been demonstrated that
generational disparities among organizational members in uence leader behaviors,
as well as individual job performance and organizational outcomes. With a few
exceptions, however, there has been relatively little research on the generational
impacts on the reception of transferred leadership styles.
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The research looks at leadership across cultures, with a particular emphasis on
national culture and the common experiences and historical conditions that form
distinct generations. Older generations in Vietnam were exposed to a di erent
socioeconomic and political framework, with values such as responsibility, respect,
compliance, and loyalty taking precedence over western-infused concepts. This
exposure was hampered by a centrally regulated, restricted, and low-quality
educational system that emphasized Russian rather than English pro ciency. This
restricted access to western information and possibilities for acquiring English-
speaking abilities constrained the opportunities for jobs and career progression
accessible to pre-war generations within western multinational companies (MNCs).
According to the research, the conventional values of the previous working
settings in which the pre-1975-born generation has historically been immersed
may hinder them inside the new organizational structure. As the 'go-between'
generation between the old and new eras, the pre-war generation successfully
embodies the revolution attitude and is more exible and adaptable to changes
occurring at both the micro- rm and macro-societal levels. However, the
post-1986 generation gives the most striking depiction of Vietnam's social
development.
The post-1975 generation, which accounts for almost half of the Vietnamese
population, had increased levels of cultural connection with the Western world
throughout their formative years, and values were formed within an open market
system in which education supports westernized ways of thinking. They were
discovered to be more independent and opportunistic than the preceding
generation, as well as more open to participatory and performance-oriented
leadership approaches.
According to Inglehart (1997), comparing generational cohorts from diverse cultural
settings based on similar age criteria is incorrect. However, there are some
parallels between the traits of Vietnam's post-1975 generation and those of
western literature's Generation Xers.
3. Performance management
The task of managing varied operations in diverse locations has never been higher
for multinational organizations functioning as global enterprises with global
workforces. The requirement to maintain proper consistency and manage
enormously dispersed processes poses distinct obstacles. The complexity level is
greatly increased by the concurrent loose-tight needs of managing business
operations.
It refers to the discovery and development of strategic international human
resource activities that will give worldwide consistency of purpose in the eld of
international human resource management. Strategic international human resource
management is especially important in measuring and managing performance in
multinational businesses (MNCs).
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Globalization is a constant, and a country's culture has a big in uence on
performance management approaches. Multinational enterprises (MNEs) are vital
to the economic and sociopolitical well-being of nations across the world. Due to
local di culties such as country culture and norms, performance management,
which is the basic process by which rms create goals, allocate and assess work,
and monitor the implementation of business strategy, o ers distinct obstacles.
The solutions used to solve these di culties frequently di er depending on the
organization's home and host nations, making it challenging to extend systems
from one context to another. MNEs are the most a ected by these concerns since
they operate only in domestic markets and have the option of developing their own
systems, adopting foreign-developed systems, or having no system at all. MNEs
must operate under a separate set of principles and standards due to their
worldwide reach and variety.
Transferring performance management systems (PMSs) across borders may
appear simple because most MNEs began in the United States and have adopted
some version of PMSs established in the United States. This viewpoint, however, is
unduly simple. As the economies of China and India expand, important individuals
and groups in these countries will seek more "local" systems that handle regionally
relevant concerns like collectivism, seniority deference, and face issues.
Furthermore, employees in these and similar countries will want equivalent pay,
assessment, and promotion methods as those in Western countries.
Coordinating and meeting these competing expectations necessitates a delicate
balancing act between corporations and their human resource departments.
4. Employee Engagement
Employee engagement is a vital leadership responsibility for businesses looking to
keep a committed sta . Daily problems for management include sustaining sta
engagement while adopting policies. Employee turnover has increased due to high
attrition rates in numerous businesses. To address this, HR experts conduct
various surveys and research throughout the world to better understand the
aspects that in uence engagement.
Employee engagement is classi ed into three categories: engaged, not engaged,
and disengaged. Employees that are engaged create outcomes, do not change
positions frequently, and serve as brand ambassadors for the organization. The
Hay Group de nes engagement as "redirecting employees' enthusiasm for work
toward organizational success." Employees who are engaged work passionately
toward the organization's goals, whereas disengaged employees are miserable at
work.
Globalization refers to the economic, social, and cultural integration of individuals
from di erent regions of the world. Organizations and countries actively participate
in globalization by interacting with people from various countries and cultures.
Because to advances in information technology and transportation networks, the
amount of globalization today is unparalleled, allowing for greater degrees of
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interconnectedness and interdependence. While globalization has brought new
markets, resources, and a wider net to draw important information and talents to
many enterprises and governments, it has also been blamed for increasing
competitive pressures and market volatility.
The responsibility of managers in coordinating operations in many di erent places
is one of the main problems of commercial organizations in today's globe.
Furthermore, multicultural teams and the ever-changing global competitive climate
provide problems for managers in leading team members. Employee engagement,
also known as work engagement or worker engagement, is a human resource
technique used by many rms to maintain good productivity and morale among
their employees.
Employee engagement is the degree to which a workforce's emotional and
intellectual commitment exists in relation to the organization's job, goal, and vision.
Employee engagement, on the other hand, may be di cult to de ne due to
ambiguity in its genuine meaning and de nition, as well as its 'cause and e ect'
relationship.
Employee engagement is the degree to which a workforce's emotional and
intellectual commitment exists in relation to the organization's job, goal, and vision.
Employee engagement, on the other hand, may be di cult to de ne due to
ambiguity in its genuine meaning and de nition, as well as its 'cause and e ect'
relationship.
Several experts believe that quantifying employee engagement is di cult since
each representative in a company has a distinct perspective and notion of it.
Employee engagement, according to some experts and opinion leaders, is the
heightened emotional and intellectual connection that an employee has with their
company, supervisor, and coworkers, resulting in higher output of e ort.
Organizations must work to develop and nurture engagement that requires a two-
way relationship between the employer and employee. Employee engagement can
be de ned in various ways, including physical, cognitive, emotional, attachments,
commitments, and organizational citizenship. Overall, employee engagement has
its bene ts for organizations, but it is distinctively di erent from satisfaction,
motivation, culture, climate, and opinion and is very di cult to measure.
5. Equality, Diversity, and Inclusion (EDI) policy
One of the most salient trends of the twenty- rst century has been increasing
demographic diversity in the work place around the world. This increase in
diversity is brought on by several trends including a rise in the number of women
participating in the labour market (Thévenon 2013), worker immigration
contributing to cultural and linguistic diversity (Groutsis et al. 2014), an aging
workforce and an in ux of a younger generation of workers leading to a
multigenerational workplace (Ng and Parry 2016), and a greater awareness of
individual di erences (such as abilities, appear-ance, sexual orientation, gender
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identity). This trend is also accompanied by greater research attention on equal
treatment in the workplace and managing a more diverse workforce from di erent
countries.
Talent management has emerged as a key HR problem for international
corporations, with global talent shortages a major worry. To solve this,
multinational rms have prioritized global talent management, which include
attracting, selecting, developing, and keeping the nest individuals in global
strategic roles. Talent management focuses on persons who excel in terms of
performance and competence and are seen as critical professionals or future
leaders. Employees in multinational corporations (MNCs) might be labeled as
"talent" or "high potentials," regardless of their nationality, expatriate status, or
location in overseas subsidiaries. MNCs should adopt comprehensive talent
evaluation and succession planning systems, identify high-potential individuals,
give growth opportunities, and build a fair personnel assessment procedure to
develop successful talent management practices. Integrating personnel
management with training and development activities promotes ongoing learning
and career growth, ensuring that the organization has a pipeline of bright leaders
ready to take on future challenges.
By ensuring that the appropriate people are in the right roles at the right time,
integrating personnel management with the company's strategic goals and
objectives may boost organizational performance. Nestlé Vietnam, for example,
focuses talent development through customized curriculums, advisory activities,
and leadership development, guaranteeing a strong talent pipeline for essential
roles and successfully reacting to changing market needs. Nestlé's focus on
horizontal expansion supports a culture of continuous learning and innovation,
allowing workers to contribute their unique views and ideas to the company's
success in an ever-changing market. Talented workers feel valued and have
various prospects for advancement, which leads to increased e ort, commitment,
and loyalty to the organization.
References
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Schuler, R. S., Fulkerson, J. R., & Dowling, P. J. (1991). Strategic performance
measurement and management in multinational corporations. Human Resource
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