Báo cáo thực tập tốt nghiệp HUMAN RESOURCE MANAGEMENT SYSTEM AT MB SHINSEI CO., LTD

Báo cáo thực tập tốt nghiệp HUMAN RESOURCE MANAGEMENT SYSTEM AT MB SHINSEI CO., LTD Major International Business Administration HUMAN RESOURCE MANAGEMENT SYSTEM AT MB SHINSEI CO , LTD Full na.

FOREIGN TRADE UNIVERSITY FACULTY OF BUSINESS ADMINISTRATION

-*** -GRADUATION INTERNSHIP REPORT

Major: International Business Administration

HUMAN RESOURCE MANAGEMENT SYSTEM

The studies described in this report were performed at the Faculty of BusinessAdministration, Foreign Trade University While conducting this research, Ireceived support from many people in one way or another, without whose support,this report would not have been completed in its present form It is my pleasure totake this opportunity to thank all of you for providing me with the intention andpossibility to complete this field research

First, I would like to express a special gratitude to my instructor, Mr Cao DinhKien, who opened the door for me to explore research directions and choose theroutes that I wanted to study Your encouragement, excellent guidance, creativesuggestions, and critical comments have greatly contributed to this report

Furthermore, I would also like to acknowledge with much appreciation the crucialrole of the board of directors and staff at MB Shinsei Finance Co., Ltd, who gave

me the permission to use all required document and the necessary materials tocomplete my internship report My sincere thanks go out to you all for creating such

a pleasant working environment

Thank you all very much!

Hoang Le Nam

Hanoi, May 2018

TABLE OF CONTEN

TABLE OF CONTENT ii

LIST OF ABBREVIATIONS iv

LIST OF FIGURES v

LIST OF TABLES vi

RATIONALE OF THE STUDY vii

CHAPTER 1: INTRODUCTION TO MB SHINSEI 1

1.1 MB Shinsei 1

1.2 History and Development progress 2

1.3 Vision and Mission of MB Shinsei 3

1.4 Operations and Business 3

1.4.1 Personal Cash Loan 4

1.4.2 Consumer Durable Loan 5

1.4.3 Two Wheeler Loan 5

1.5 Organizational Structure 5

1.6 Recent Business Performance 7

CHAPTER 2: THE SITUATION OF HUMAN RESOURCE MANAGEMENT SYSTEM AT MB SHINSEI 9

2.1 Overview of Human Resource Management 9

2.1.1 Definition of Human Resource Management 9

2.1.2 Objectives of Human Resource Management 9

2.1.3 Roles of Human Resource Management 10

2.2 Human Resource Management System at MB Shinsei 10

2.2.1 HR Business Partner 11

2.2.2 Implementation of HR Business Partner at MB Shinsei 16

2.3 Evaluation of Human Resource Management System at MB Shinsei 27

2.3.1 Achievements 27

2.3.2 Disappointment 30

2.3.3 Opportunities and Challenges 31

CHAPTER 3: RECOMMENDATION FOR MB SHINSEI 33

3.1 Direction for development 33

3.1.1 Business Plan 33

3.1.2 Direction for Human Resource Management at MB Shinsei 34

3.2 Proposed solutions to MB Shinsei 35

3.2.1 Lack of HR Staff 35

3.2.2 Scope of management 36

3.2.3 Lack of Technologies 36

3.2.4 International Organization for Standardization (ISO) 37

CONCLUSION 38

REFERENCE 39

APPENDIX 40

LIST OF ABBREVIATIONS

CEO Chief Executive Officer

CFO Chief Financial Officer

CHRO Chief Human Resource Officer

CIC Credit Information Center

COE Center of Expertise

Co.,Ltd Limited Company

HRBP Human Resource Business Partner

ISO International Organization for Standardization

LIST OF FIGURES

Figure 1-1: Five Advance Features of MB Shinsei 4

Figure 1-2: Organizational Structure of MB Shinsei 6

Figure 2-1: Balancing the HR Business Partner Job 12

Figure 2-2: Transformational Model of HRM 14

Figure 2-3: Transformational Model – 1 Door of HRM 15

Figure 2-4: Number of Headcount 16

Figure 2-5: Staff Cost of MB Shinsei 17

Figure 2-6: Total New Hired in Month 18

Figure 2-7: Number of Turnover in Month 18

Figure 2-8: Turnover Rate, Voluntary & Involuntary Turnover Rate 19

Figure 2-9: Disciplinary of MB Shinsei 19

Figure 2-10: Develop and Open Job Requisition – Process map 20

Figure 2-11: Post Job Vacancy – Process Map 22

Figure 2-12: Test Candidates – Process Map 23

Figure 2-13: Interview Candidate – Process Map 25

Figure 2-14: CIC, Blacklist and Reference check – Process Map 27

LIST OF TABLE

Table 1-1: Financial Number of MB Shinsei 7

Table 2-1: Affected Division / Department / Teams 20

Table 2-2: Develop and Open Job Requisition – Detailed Procedure 21

Table 2-3: Post Job Vacancy – Detailed Procedure 23

Table 2-4: Test Candidates – Detailed Procedure 24

Table 2-5: Interview Candidate – Detailed Procedure 26

RATIONALE OF THE STUDY

Today, the business environment becomes more competitive on a global scale withthe development of technology The increasingly intensive competition is actuallychanging the way businesses are conducted The pace of innovation and thetendency to cut production costs require businesses to focus on how to mobilize allhuman capital resources This is the realm of human resource management

Human resources can be valued as one kind of capital which brings competitiveadvantage to a company’s bottom line Although information technology andmachines gradually substitute for human beings in many aspects, we cannot denythe irreplaceable role of human resource in any organization It is almost impossible

to replace the role of people in managing all activities of a company An efficientlyrun human resource department can provide an organization with structure and theability to meet business needs through managing the company's most valuableresource - its employees

In Vietnam, the role of human resource management is underestimated Manypeople only know that human resource department is the one which hasresponsibility to process paperwork related to human resource In fact, thedepartment does much more than that and it is a critical part of the success of thecompany Actually, I had a chance to do research on a finance company named MBShinsei and I realize that from the very beginning, this finance company hadimplemented a human resource management system which is called HumanResource Business Partner This is a modern approached recently in Vietnam Thisinspired me a lot to do a profound research on actual situation of human resource

management at MB Shinsei So, I have decided to choose the topic: “Human Resource Management System at MB Shinsei Finance Co., Ltd” to do my final

internship report with focus on development and usage of called Human ResourceBusiness Partner

CHAPTER 1: INTRODUCTION TO MB SHINSEI

1.1 MB Shinsei

Company

Name

: MB Shinsei Finance Co., Ltd

Head Office : 12nd Floor, TNR Tower, 54A Nguyen Chi Thanh, Ba Dinh,

HanoiWorking hours : Monday – Saturday (8:00 to 18:00)

to rural The main products of MB Shinsei are: Cash Loans and Installment Loans,with superior product advantages, quick approval procedures, dedicated after-salesservice, competitive interest rates and extensive network which help MB Shinseiquickly approached a large number of customers in a short time

MB Shinsei promotes the application of digital technology not only in operationsbut also in the marketing of services and reach customer in a comprehensive way,minimizing the level of human interaction, helping customers experience theservice faster and more convenient MB Shinsei always invests in dedicated staff,builds a highly productive and professional working environment, and develops a

corporate governance and risk management model to ensure safe and sustainabledevelopment.

MB Shinsei believes that with solid fundamentals from the major shareholdersnamely Military Bank (MB) and Shinsei Bank (Japan), the strategic direction isclear, the ingenious leadership, full of enthusiasm and a young, dynamic staff, MBShinsei will bring the best products and services to customers and partners, aiming

to become one the best Consumer Finance Companies trusted in Vietnam

1.2 History and Development progress

MB Shinsei Finance Co., Ltd (formerly known as MB Limited Liability – SingleMember Company) was established in accordance with the Establishment andOperation License No 27 / GP-NHNN issued by the State Bank of Vietnam on04/02/2016, owned by Military Bank (MB) with 100% charter capital

On March 10, 2016, Hanoi Authority for Planning and Investment granted abusiness registration and operation license for the organization

On November 21, 2004, MB signed a joint venture contract and a contract in whichstated that MB transfers its shares with its counterpart Shinsei Bank to increase itsfinancial strength and prestige in the consumer finance market in Vietnam

On December 14, 2016, MB officially launched the brand MB Shinsei (Mcredit) inVietnam MB hold 51% of charter capital while Shinsei Bank hold 49% of it At thattime, the charter capital was estimated around 500 billion VND

After only a year of operation, MB Shinsei has grown to be a leading financecompany, with around 3,000 employees and partners, 04 offices in Hanoi –Haiphong – Danang – Ho Chi Minh, operates around 36 provinces and citiesnationwide, serving millions of Vietnamese people through the mortgage loan ofproducts and service

1.3 Vision and Mission of MB Shinsei

MB Shinsei Finance Co., Ltd positions its brands as an organization that providessimple and easy-to-access financial solutions to Vietnamese people

 Vision:

Become a consumer finance company trusted and operating effectively in Vietnam

 Mission:

For customers: Actualizing the consumer demand of Vietnamese people, especially

people with modest incomes with quick and convenient financial solutions

For employees: Creating a unique business culture, a healthy working environment,

which always respects, trusts and supports each other Whole MB Shinsei is asolidarity for building and developing the company

 Core Values:

"COMMITTEE - SYMPATHY - CREATIVE - EFFECTIVE"

COMMITMENT: MB Shinsei provides consumer loan services quickly, convenientfor customers; The working environment is dynamic, friendly, bringing the highestsatisfaction to every employee

SYMPATHY: MB Shinsei creates the superior strength from solid internalfoundation and solid link with Military Bank, Shinsei Bank and its partners

CREATIVE: MB Shinsei is more creative and continuous improvement to rise tothe top, creating different value

EFFICIENCY: Is the measure of success, every job which even is the smallest isalso evaluated for efficiency, because MB Shinsei believes that only effective canhelp the organization succeed

1.4 Operations and Business

There are millions of people having financial difficulties but cannot access to bankloans throughout Vietnam Hence, MB Shinsei continually develops easy andeffective consumer finance products & services – sustainable and safe solutionswhich are protected by law, to unburden Vietnamese people and realize their dreams

of a better life Among these lie 3 key products: Personal Cash Loan, ConsumerDurable Loan and Two Wheeler Loan

Aiming to optimize the products, MB Shinsei offers customers products with manyoutstanding features as below:

Figure 1-1: Five Advance Features of MB Shinsei

Source: MB Shinsei

1.4.1 Personal Cash Loan

Customer can borrow up to 70 million VND, no collateral required, with 6-36months installment plan, MB Shinsei’s Personal Loan fulfill various needs andurgent expense This product from which the organization gain the most profit, issuitable for customer who:

- Is 20-60 years old

- Has monthly income from 3 million VND

- Own at least following documents (ID Card, Family Record Book, …)

1.4.2 Consumer Durable Loan

A convenient option for any purchase up to 3 consumer durable products in onesingle receipt, flexible installment plan from 6-18 months, starting from 0 downpayment and/or 0% interest rate This product is suitable for customer who:

- Is 20-60 years old

- Own at least following documents: (ID Card, Family Record Book orDriving license)

1.4.3 Two Wheeler Loan

Customer can get his/her motor bike with a loan up to 100% value of the bike,flexible installment plan up to 36 months This product is suitable for customerwho:

- Is 20-60 years old

- Has monthly income from 3 million VND

- Own at least following documents (ID Card, Family Record Book)

1.5 Organizational Structure

MB Shinsei Finance Company has approximately 3,000 staffs divided into 3Committees (Risk Management, ALCO and Human Resource) and 6 departmentsincluding: Business Sales, Business Operation, Finance, Human Resource, RiskManagement and Information Technology operating under the control of Board ofDirector The Board of Director (BOD) is the highest power entity of which theroles are to set business strategies and directions including vision, mission andvalues for the whole company; and to monitor delegated authorities ensuring plansare followed to meet the established goals The committees have been found byCEO to carry out their duty and power to assist and advise the BOD in fulfillingtheir functions and tasks CEO represents BOD to work directly with 6 directors of

6 departments and takes responsibility for day-to-day management decisions Eachdepartment is led by a director who manages the staffs, ensuring the stable flow ofday-to-day operation activities While department directors are either Vietnamese orJapanese among whom the ultimate language used for communication is English sothat the communication of goals and all the strategic movements are kept clear and

on the same wavelength with the parent headquarter Each department has thefunctionality as described below:

Figure 1-2: Organizational Structure of MB Shinsei

Source: Human Resource Department – MB Shinsei

Business Sales Department, which has the highest number of staff, is in charge of

conducting market research for different projects; constructing and exercisingrelevant plans for sales activities based on the research in order to reach theestablished sales targets

Business Operation Department has the closest bond to top management in

providing a picture of existing state and future forecast of Vietnamese market as afoundation for evaluating and deciding the firm’s business projects

Finance Department is held responsible for the organizational healthy cash flow

and preparing financial documentations to support top management in making process

decision-Human Resource Department, whose 2 responsibilities: recruiting, managing,

nurturing talents of the firm and dealing with general affair regarding governmentand public relations

Risk Management Department, which advises and recommends the company's

committees to issue regulations, procedures and guidelines on risk management

The company conducts self-assessment to evaluate appropriate and effective in therisk management of the company

Information Technology Department is responsible for advising the members'

council, the BOD on research, application and development of IT in the direction ofmodernization and development of operations for the operation of the whole system

of companies

1.6 Recent Business Performance

2017 is the first year of MB Shinsei's consumer finance company fully operateunder the Military Bank subsidiary model and still retain the Mcredit brand This is

a year which has many important achievements with MB Shinsei

In Business Review Conference 2017, MB Shinsei said that they are one of the topfive customer finance companies which are safe and efficiency As of 31 December,

2017, Total assets of MB Shinsei reached 2,567 billion VND, total loans reached1,549 billion VND; Profit before tax is expected to reach 200% of the plan; anetwork of 36 provinces with 396 service introduction points; Partner network in

MB Bank, Viettel, VN Post, Payoo, … expanded up to more than 13,000 points

Table 1-1: Financial Number of MB Shinsei

Unit: Billion VND

Source: Finance Department - MB Shinsei

As of March 31, 2018, McCredit's total assets increased to 3,267 billion VND whiletotal loans increased by 45.6% to 2,242 billion VND, the services reach to 352,105customers, business network increased to 429 points of service coverage at 42provinces, in compared to 36 in 2017 Although MB Bank did not publish MBShinsei's financial statements, based on MB Bank's consolidated financialstatements and its separate financial statements; MB Shinsei’s Net interest margin isestimated at about 25.08% and its greatest advantage over other finance companies

is cost of capital thanks to the parent bank’s relationship In addition to equity, MBShinsei's deposits came from bank loans (1,216 billion VND with the yield of about3.95% / year) and the issuance of valuable papers (876 billion VND) According tothe financial report, the yield on valuable papers is about 8.2-8.45% per annum So,

on average, MB Shinsei's interest expense is about 5.83% (lower than FeCredit8.47% and HDSaison 9.10%) In the early stages of development 2017-2019, thiswill help MB Shinsei has a competitive interest rate and guarantees a profitabilityratio

Credit activities are mainly loans to individual customers in the form of trust In

2017, Group 1 debt accounted for nearly 78.5%, Group 2 debt accounted for 17.5%and bad debt accounted for 4.05% Bad debt at 31/03/2018 accounted for about 6%mainly due to the increase in Group 3 debt, the proportion of Group 4 debtdecreased sharply and the proportion of Group 5 debt remained unchanged MBShinsei has fully provisioned in accordance with regulations of the State Bank ofVietnam

Although facing so many difficulties, MB Shinsei still tries their best to overcomeany challenges, maintain their momentum of development To do that, MB Shinseihas to have good human resources to help company develop sustainably That is thereason why the human resource management system is one of the most concernedissues and improving its system is their primary mission of the company In Chapter

2, author will analysis the human resource management system at MB Shinsei tounderstand more about the system and its advantages as well as disadvantage

CHAPTER 2: THE SITUATION OF HUMAN RESOURCE

MANAGEMENT SYSTEM AT MB SHINSEI

2.1 Overview of Human Resource Management

Behind production of every product or service there is a human mind, effort andman hours (working hours) No product or service can be produced without help ofhuman being Human being is fundamental resource for making or construction ofanything Maybe this could be the reason for Human Resource Management is acritical part in every organization

2.1.1 Definition of Human Resource Management

Human Resource Management (HRM) is the process of managing people inorganizations in a structured and thorough manner It includes conducting jobanalyses, planning personnel needs, recruiting the right people for the job, orientingand training, managing wages and salaries, providing benefits and incentives,evaluating performance, resolving disputes, and communicating with all employees

at all levels Examples of core qualities of HRM are extensive knowledge of theindustry, leadership, and effective negotiation skills Formerly called personnelmanagement

2.1.2 Objectives of Human Resource Management

The primary objective of Human Resource Management is to ensure the availability

of right people for right jobs so as the organizational goals are achieved effectively.This primary objective can further be divided into the following sub-objectives:

- To attain the organization’s goals efficiently by providing competent andmotivated employees

- To utilize the available human resources effectively

- To increase to the fullest the employee’s job satisfaction and actualization

self To develop and maintain the quality of work life

- To establish and maintain cordial relations between employees andmanagement.

- To reconcile individual/group goals with organizational goals

2.1.3 Roles of Human Resource Management

Human resource managers play a vital role in the organization It includes 6 mainroles described as below:

- The Conscience Role: HRM is responsible for reminding the management its

morals and obligations towards its employees

- The Counsellor: An important role of HRM is that of a counsellor Whenever

an employee is dissatisfied with the job he approaches the HR manager forcounselling and guidance

- The Mediator: In any organization, there are times when there are differences

of opinion and misunderstanding between the management and the employee

or between employees themselves Here, HR professional acts as a mediator,

a peace-maker and a communication link between them

- The Spokesman: HR professional acts as a spokesperson within the company,

as well as are representative of the company

- The Change Agent: Change is something always resisted by the employees.

HR professional will bring about a change on the existing system or anintroduction of a new system

- The Problem Solver: HR professional acts as a problem solver with respect

to the issues that involve HRM and over all long range organizationalplanning

2.2 Human Resource Management System at MB Shinsei

The best level of human expertise provides a different perspective of value to otherfunctions in the organization and, when separated from the administrative work,strategic ability of human resource is truly revealed The role of human resourceshas changed drastically and will continue to change in terms of strategy in the

future In response to this, many large corporations in the field of bank andinsurance are deploying Human Resource Business Partner (HRBP)

MB Shinsei is not an exception, from the very beginning, the organization had built

up their human resource management system based on HR Business Partner model

2.2.1 HR Business Partner

In addition to the four main areas of human resource management namelyRecruitment, Training and Development, Compensation and Benefit, LaborRelationship; Human resource also has Human Resource Business Partner (HRBP).Firstly, What the HR Business Partner means in terms of language? “Strategy” isderived from “Strategos” in Greek, has “overall” meaning Thus, the strategyalways carries with it the meaning of functional events related to each other Thereare many views that can explain the strategy but we can approach the strategy as westand on top of the mountain and look down at the battlefield to prepare for battle.When standing in the highest position we can look as if in the whole “Partner” canunderstand the relationship between human resources and strategic planning,execution and control processes within the company As such, the HR BusinessPartner can be understood in the sense that the human resource department needs tostand out of the box and stand beside the strategic planning department to be able toclearly see every function in the company and its relationship to the organizationwith each other in the whole

HR Business Partner is a human resource expert that has enough knowledge andskills in human resources, they must have a good understanding of the business andbusiness prospects, or having a sales cover for short (Dave Ulrich – HumanResource Champions 1997)

If there were a long time ago people always thought that HR only did admin job, theemergence of HR Business Partner was a new turning point HR Business Partner is

a person who not only knows his department, but also go with other staff members,

as a partner of them HR is to understand people And to understand them, they need

to constantly go down to other parts to talk to other teams They will be present at

the meetings of other teams, will accompany with them, work with them andwhenever an employee has a problem, HR Business Partner is the representative,hotline to be available to support workers as fast as possible And not just stopworking together, become a partner of the labor force, HR Business Partner is alsoimportant factors to help make decisions related to labors such as Promotion,Transfer, Rewards By the same to each team, they will understand the work andcapacity of each employee in the team (along with the Line Manager of eachperson) and so the HR Department will have a more accurate view of makingdecisions related to employees in addition to the Line Manager's decisions.

The role of HR Business Partner in transforming the business consists of four maintasks and HR Business Partner must balance tensions between the different rolesthey play Four roles have the same degree of important and they also haveinfluence on each other The relationships and differences between four tasksillustrated as follow:

Figure 2-3: Balancing the HR Business Partner Job

Source: Dave Ulrich – Human Resource Champions

 Strategic Parmer:

- Adjust strategies to meet changing needs;

- Develop a legacy leadership system;

- Identify important personnel metrics;

- Identify human problems before affecting the business;

- Prioritize personnel needs;

- Restructure according to the objectives of the strategy;

- Understand the needs of talented people

 Operations Manager:

- Determine employee attitudes;

- Communicate organizational culture to employees;

- Communicate policies and procedures to employees;

- Ensure staffing programs are in line with corporate culture;

- Keep employees up to date on HR initiatives;

- Keep track of employee trends

 Emergency Responder:

- Prepare different situations;

- Respond quickly to complaints/questions from management;

- Meet the needs of management and staff

 Employee Mediator:

- Managing competition in the organization;

- Resolve conflicts;

- Responding to the changing needs of the organization;

- Solve internal politics issues in the implementation of business plans

At this point, the executives can see these concepts are the foundation of HRBusiness Partner in every company A human resource professional can confidentlyperform tasks based on the above and they will become HR Business Partner in ameaningful way, contributing to the long-term and sustainable development of thecompany

HR Business Partner Model

From the very beginning, MB Shinsei had already decided that they would not usethe traditional model any more, instead, they would use the transformational model.The process of transforming the traditional model into a transformational model hasbeen a hug and time-consuming change for the company The fundamental change

in the HR strategic partner model is a radical effort to change the mindset, identifyand reposition the role of HR in the organization

Transformational model has three parts as: HR Center, HR Business Partner and HRMajor working under the control of HR Manager Transformational model aims todevelop professional fields from business knowledge, counseling skills to humanresource initiatives

Figure 2-4: Transformational Model of HRM

Source: Synthesized by Author

This model has initially made some progress but there is still much work to be done

if HR professionals want a real leadership role in the organization Then, MBShinsei continue improving their HR model by using a transformational model – 1door It has three main components as illustrated and described here:

HR Manager

A customer-facing front end: The staff at the front end are typically called business

partners, strategic partners, strategic advisors, client relationship managers, or HRconsultants The role of the business partner is focused on diagnostic, consultative,and organization development work, although it tends to retain a broad scope ofresponsibility for work in areas like employee relations and staffing as well.Typically, each line of business (or region, or function) is given a team of HRbusiness partners, with every manager down to some specified level assigned adedicated HR person The rationale is that the business partner is best positioned totruly understand the needs of the business by building relationships and gaininglocalized business knowledge

A product-focused back end: These are small specialist groups that produce

programs and policies and provide decision support In the model they are usuallycalled practice groups, centers of excellence, or centers of expertise (COE) TheCOEs are comprised of some combination of resources in specialized areas such ascompensation, benefits, employee relations, learning and development, talentmanagement, staffing, diversity, and workforce planning They depend upon thebusiness partners to roll out the programs they create to the business

Figure 2-5: Transformational Model – 1 Door of HRM

Source: Dave Ulrich – Human Resource Champions

An operational service center: The creation of the service center is intended to

reduce costs and improve quality by systematizing and reducing transactional work

In addition, by taking employee-centered work away from the generalists, ittheoretically frees up their time to focus on higher-value, management-focusedwork Its mandate is to process transactions, administer payroll and benefits, answerqueries, resolve low-intensity employee relations issues, and generate data

Each part of the business partner model has a distinct mandate and set of measures.The staff members in each part require different sets of skills for success From anorganization design perspective, it makes sense to separate them into distinct units,

as it allows for focus and the development of deep skills

2.2.2 Implementation of HR Business Partner at MB Shinsei

At MB Shinsei whose size of approximately 3,000 employees nationwide, HRBusiness Partner plays a critical role to help organization operate smoothly HRBusiness Partner is involved in most of the HR Department’s activities such asRecruitment, Training, Appointment, Conflict-related Issues, Labor Contract, …They are in charge of supporting and connecting other departments with HRDepartments in order to process works

Throughout 2017, MB Shinsei had seen a solid development steps to become one ofthe best finance companies in Vietnam In the aspect of human resource, by usingspecific strategies as well as a clear direction, the organization had gained certainachievements:

 Number of Headcount

Figure 2-6: Number of Headcount

Source: MB Shinsei’s HR Dashboard Report 2017

As of 31 December, 2017, MB Shinsei had 2,804 staffs: 42,2% PermanenceHeadcount, 51,9% Temporary Headcount and the remaining are Probation andTrainee Headcount Cash Loan Sales and Installment Loan Sales Center aredepartments which have the largest number of staff, around 2,400 in total

Except from January to April in 2017, the Actual Headcount at the end of monthwas always kept below the Planed Headcount by HR Department, but the efficiency

of work must be guaranteed HR Department has to analyze the work, market aswell as labor force to set the headcount correctly By the way HR Departmentmanages the number of employees, the actual staff cost the company had to spend islower than the planned one

Figure 2-7: Staff Cost of MB Shinsei

Source: MB Shinsei’s HR Dashboard Report 2017

 Total new hired in Month

Due to the nature of work, the company mainly recruited Temporary staffs withaverage 270 employees each month, while the numbers for Permanence andProbation position are only 8 and 65, respectively

With the development of consumer finance market and the demand of work, HRDepartment always take responsibility to recruit a large number of sales staff eachmonth so that they must coordinate with Line Managers to implement recruitmentprocess in order to choose the most suitable candidates

The proportion of Temporary Headcount is highest and it fluctuated according to thedemand of work which is affected by many factors namely season, holiday, … Thefigure below will show exactly detailed information about new hired in month ofthe organization

Figure 2-8: Total New Hired in Month

Source: MB Shinsei’s HR Dashboard Report 2017

 Turnover rate

For the number of turnover, MB Shinsei had totally 1,218 staff leaving the job, inwhich the data for Permanence and Temporary is 66 and 1,041, respectively

Figure 2-9: Number of Turnover in Month

Source: MB Shinsei’s HR Dashboard Report 2017

The turnover rate is quite low, in compared to the total number of staff It provesthat the company had a good working environment, policy as well as employeerelationship to keep their employees work for them for a long-term As