The thesis contributes to studying solutions to renovate the state management on HRD in MSGE, thereby, implementing the Vietnam Human Resources Development Strategy in the period of 2011-2020. It provides scientific arguments for management agencies to plan, build, reform and implement the policies, laws on human resource development in businesses generally and in economic military companies, MSGE particularly in order to improve the effectiveness and efficiency of the state management on HRD in businesses.
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MINISTRY OF PLANNING
AND INVESTMENT
MINISTRY OF EDUCATION AND TRAINING CENTRAL INSTITUTE FOR ECONOMIC MANAGEMENT
TRAN QUOC HIEU
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The work is completed in :
CENTRAL INSTITUTE FOR ECONOMIC MANAGEMENT
The thesis is defensed in front of the Examination Board of the Institute in the Central Institute for Economic Management
At (time) , dated month , 2018
The thesis might be referred in the following libraries:
The Library of the Central Institute for Economic Management The National Library of Vietnam
Supervisor : ASSOC PROF DR NGUYEN VIET VUONG
Reviewer 1: Assoc Prof Dr Ngo Quang Minh
Reviewer 2: Assoc Prof Dr Phan Tung Son
Reviewer 3: Dr Nguyen Van Thong
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INTRODUCTION
1 The necessity of the thesis
Within the context of international economic integration, business environment and competitiveness is expanded globally, human resource (HR) becomes a basic element, which creates competitive advantage of nations, of economic sectors and of enterprises This process makes the domestic and export garment market develop rapidly, creating many opportunities for Vietnamese garment enterprises generally and the military-serving garment enterprises (MSGE) particularly to expand their markets and study experience The HR demand for these businesses will increase It is estimated that by the year 2020, there will be 3.3 million laborers being employed for this sector and the number will be 4.4 million laborers in 2030 However, due to lack of investment in human resource development (HRD), garment industry is coping with a serious shortage of labors, leading to competitiveness in attracting labors within the sector, decreasing the general competitiveness of the whole sector and causing difficulties to MSGE
Aiming at completing well the mission of serving the army, creating the strategic arrangement of the nation in terms of economy – defense – security – culture – society, while ensuring economic efficiency, producing products to serve the civil demand nationally and internationally, contributing to maintaining and developing defense potential, the MSGE are required to have a strong HR which is qualified
in the quantity, structure and quality The participation and improving quality of the activities of the state management agencies on HRD in MSGE are in need; state management of HRD in the MSGE needs to be renewed and enhanced effectively Therefore, it is necessary to study the
topic “State management on human resource development in serving garment enterprises in the context of international economic integration” which has both theoretical and practical significance
military-2 Purposes and meaning of the research
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* Research purposes: The purposes of this thesis research are to
provide scientific arguments for planning, building, reforming the strategies and policies on HRD in MSGE
* Theoretical meanings: The thesis contributes to studying,
developing theoretical basis, methodology and contents, methods of analysis, evaluation criteria of state management on HRD in businesses in general and in military companies in particular
* Practical meaning: The thesis contributes to studying solutions to
renovate the state management on HRD in MSGE, thereby, implementing the Vietnam Human Resources Development Strategy in the period of 2011-2020 It provides scientific arguments for management agencies to plan, build, reform and implement the policies, laws on human resource development in businesses generally and in economic military companies, MSGE particularly in order to improve the effectiveness and efficiency of the state management on HRD in businesses
3 Structure of the thesis
Apart from the introduction, conclusion and recommendations, references and annexes, the thesis is structured into 4 chapters as follows :
Chapter 1: Overview of the researches related to state management
of human resource development in military-serving garment enterprises Chapter 2: Theoretical basis of state management on human resources development in military-serving garment enterprises in the context of international economic integration
Chapter 3: Current situations of state management on human resources development in military-serving garment enterprises for the period 2011-2016
Chapter 4: Solutions to renovate state management of human resource development in military-serving garment enterprises in the context of international economic integration in the period up to 2025
CHAPTER 1 OVERVIEW OF THE RESEARCHES RELATED
TO STATE MANAGEMENT OF HUMAN RESOURCE
Trang 5Secondly, the HRD contents include assessing the variability of the
HR in terms of HR quantity, quality and structure and effectiveness of using HR
Third, for different regions, localities, sectors, fields or enterprises, HRD has different features
1.1.2 Overview of the research works related to state management of HRD in MSGE
The researches on the state management of HRD in enterprises have studied and mentioned the following issues:
Firstly, the comprehension of state management is determined as the State’s roles in HRD, including 4 contents: (i) HRD orientations; (ii) Implementing to make a legal framework and environmental framework for the HRD; (iii) Direct intervention, regulation of HRD; (iv) Examining, monitoring and inspecting the implementation of the policies and laws on HRD
Secondly, the assessment of state management on HRD is based on four criteria, which areeffectiveness, efficiency, suitability, and sustainability
Thirdly, the state management of HRD in each locality, sector, each type of enterprise also has its own characteristics
1.1.3 Research achievements and the issues need to be further researched and clarified
Trang 6- There has been no specific research on the state management of the HRD in MSGE and the specific conditions of international economic integration to the HRD in the MSGE The HRD methods and the contents
of the state management of HRD in the companies under the Ministry of Defence have not clearly defined
- The system of criteria and norms for evaluating the effectiveness and efficiency of state management of HRD has not been established yet Theoretical framework for reforming state management of HRD in enterprises under the Ministry of Defence has not yet been fully formulated This is the issue that the thesis will continue to study and solve
1.1.4 The issues which will be focused, researched and solved in this thesis
- The thesis builds the theoretical framework for analyzing, generalizing and developing the basic theories on HRD and state management of HRD in enterprises
- The thesis analyzes and evaluates the status of HRD and state management of HRD in MSGE in the context of international economic integration, thereby draws the advantages, limitations and causes
- The thesis outlines the objectives and orientations of HRD and renovation of state management of HRD in MSGE; It then proposes a system of innovative solutions for state management of HRD in MSGE until 2025
1.2 Orientations to solve research problems of the thesis
1.2.1 Research objectives and research questions of thesis topic
The general objective of the thesis is to clarify the scientific arguments in both theory and practice for proposing directions, solutions
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1.2.2 Research questions of thesis topic
- What are the contents of state management of HRD MSGE? What are the evaluation criteria for State management of HRD in MSGE?
- What are the factors, which affect the state management of HRD in MSGE? What are the characteristics of the MSGE that affect the state management of the HRD in MSGE?
- How does international economic integration affect, bind the state management of HRD in MSGE?
- How is the need for innovation of state management of HRD in MSGE?
- What are the solutions to renovate state management of HRD in MSGE, which meet the practical requirements and conditions for international economic integration?
1.2.2 Research subjects and scope of the thesis
- Research subjects: the theoretical and practical issues of state
management of HRD in MSGE in Vietnam
- Research scope:
+ Regarding contents: (i) Theoretical issues on HRD and state management of HRD in enterprises; (ii) The status of HRD issues and the state management of HRD in the MSGE; (iii) Direction, policy of state agencies on HRD in MSGE in international economic integration
+ Regarding space: Some garment companies under the General Department of Logistics and the Military Regions, the Military Divisions include: TCT 28 One Member Limited Company, X20 Joint Stock Company, Joint Stock Company 26, Joint Stock Company 32, Garment Joint Stock Company 19/ Air force – Air Defence, Textile Joint Stock Company 7/ Military Region 7
+ Regarding time: Research data in the period from 2011 to 2016 and proposed solutions until 2025 and the following years
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1.2.3 Approach and research methodology of the thesis topic
- Research approach: The thesis approaches the research subjects
from the perspective of the role of the State to HRD in garment industry,
in particular the MSGE managed by the Ministry of Defence Specifically: Approaching from the perspective of roles, functions and duties of state management agencies Approaching from HRD management contents, methods and tools which are used by HRD managing entities to promote the management and regulation of HRD in MSGE in the context of international economic integration
- Methods of collecting and processing information and materials:
+ Data collection, secondary processing from published research and data, etc; Primary data collection through surveys, sampling, including: research sampling of 5/6 MSGE, 3 Groups of subjects - 317 samples (individuals are employees in enterprises; individuals are governing officials in enterprises; individuals are managers in 06 state management agencies) All the selected groups of respondents are surveyed in two sample designs (questionnaires) The questionnaires use the Liker scale (1-5) to measure
+ Regarding primary data, the thesis uses computer softwares such
as SPSS for processing and analyzing Regarding secondary data sources, the thesis aggregates, re-statisticizes them for describe, compare, and deduce
- Research methods of the thesis
+ The methods such as analysis, demonstration, statistics and comparison are used to study the current situation of the state management of HRD in MSGE
+ Systematization, integration are used in general research, research
in theoretical basis of state management of HRD in MSGE
+ Interpolation and extrapolation methods are used in studying and proposing the solutions to renovate and improve the state management of HRD in MSGE
1.2.4 Research framework of the thesis
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(Source: Author of export)
Diagram 1.1 Research framework of the thesis
CHAPTER 2: THEORETICAL BASIS OF STATE MANAGEMENT ON HUMAN RESOURCES DEVELOPMENT IN
MILITARY-SERVING GARMENT ENTERPRISES IN THE
CONTEXT OF INTERNATIONAL ECONOMIC INTEGRATION 2.1 MSGE and HRD in MSGE in the context of international economic integration
2.1.1 MSGE and characteristics of human resource in MSGE
2.1.1.1 MSGE
- Concept: MSGE is a State-owned enterprise or a joint-stock
company with State capital contribution and the Ministry of Defence represents the State as the owner, operating in the field of garment, having the functions of supplying and ensuring military equipment for the Vietnam People's Army while producing and carrying out garment business to supply to the domestic market and export to seek profit
Theoretical basis of state management of
HRD in MSGE
Identify contents, affecting factors
and evaluation criteria ò state
management of HRD in MSGE
Overview of researches in state management of HRD in MSGE
Analyse status of state management of HRD in MSGE
Secondary data from reports, statistics, materials of managing agencies, companies, books, magazines,
…
Primary data through
investigation, survey,
questionnairs, interview…
Achievements Existences, limitations and
reasons
Determine features and requirements of HRD in MSGE
Determine roles of the State to HRD in MSGE
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- Characteristics: According to the characteristics of equity capital,
MSGE can be classified into MSGE with 100% state owned capital and the MSGE with over 50% of charter capital owned by the State or the MSGE with less than 50% of charter capital owned by the State Regarding type of enterprise, they can be classified as 100% state-owned one member limited companies or joint stock companies Regarding operational objectives, it is possible to understand that MSGE are dual purpose enterprises which both perform defense tasks and carry out production and business to seek profits
2.1.1.2 Human resources in MSGE and characteristics of human resources in MSGE
- Concept: Human resource in MSGE is the current source of labor
in MSGE, includes the ones who are staff or have signed labor contracts with the companies and are listed in the official list of the MSGE; subject
to the management, use and payment in accordance with the law and the
guidance of the Ministry of Defence
- Classification: Within the framework of the thesis, based on the
work contents of the labors, the labors in the MSGE are divided into 3 types: the labors are the governing officials in enterprises; the laborers are officials, workers; and other labors serve production
- Features: HR is a part of HR in military enterprises, serving both
national defense and economic mission HR has a military unit at a stable rate, in line with the policy of the Ministry of Defence HRs, which are governing officials, are mostly military personnel, which is mandatory Especially, when the MSGE are capitalized, these officials are assigned
by the Ministry of Defence to be the representative of the State’s equity capital in the enterprises
2.1.2 HRD in MSGE
- Concept: Human resource development in MSGE is a process of
arranging, using labors, recruiting, adjusting the quantity and structure of labor force in association with training and fostering in order to improve professional skills and technical knowledge, occupational skills, culture
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- Demand for HRD in MSGE:
+ For governing officials: gradual decrease in quantity, improve in quality
+For the labors: At least 20-25% are skilled workers Skill requirements are divided into 4 levels: (1) Level 1: Approximately 85%
of the HR, which are simple skills (2) Level 2: Approximately 10%, which are input skills, average knowledge (3) Level 3: 3-4%, which are relatively deep skills in fields (4) Level 4: About 1-2%, which are the intensive management skills, technical specialists
- Contents of development: (1) Quantitative development, (2)
Improvement of Human resource quality, (3) Rationalization of HR structure, (4) Effective arrangement, use of HR
2.1.3 International economic integration, industrial revolution 4.0 and requirements for HRD in MSGE
2.1.3.1 International economic integration
- Concept: International economic integration is understood as "The
process of linking the economy of each country with the regional and the world economy through efforts to liberalize and open the economy in different forms, from unilateral to bilateral, subregional/ regional, interregional and global"
- Characteristics: It is a high development process of international labor
assignment; is volunteered by participating countries; is inter-national coordination; is the solution of the two tendencies of liberalization and protection; is an excessive step to promote globalization
2.1.3.2 The fourth industrial revolution (4.0) and the impact on MSGE
- Concept: The industrial revolution 4.0 is the current trend of
automation and data exchange in manufacturing technology It includes physical networking, Internet connectivity and cloud computing
- Impact on MSGE: MSGE must address the requirements of HRD,
re-arrange and relocate laborers in line with the modernization of
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2.1.3.3 Requirements for HRD in MSGE
(i) Identify the opportunities and threats in the integration process to monitor and mitigate adverse impacts, ensuring that integration is a process that seeks and benefits the country and the people
(ii) State management should develop a HRD policy of high quality, appropriate structure and feasibility to address the challenges of building
a knowledge economy and international economic integration
(iii) HRD should be linked to human development, implementation and protection of the legitimate rights and interests of the workers
2.2 State management of HRD in MSGE
2.2.1 The nature, objectives and entities of state management of HRD
in MSGE
- Concept: State management of human resource development in
MSGE is the process of using the management tools of the Government, the Ministry of Defence, relevant ministries and agencies and the professional agencies of the Ministry of Defence to perform the function
of orienting the HRD Establishing the legal framework, creating environment and regulating HRD, supervising and monitoring the implementation of legal policies on HRD in MSGE
- Objectives of state management of HRD in MSGE: (1) Sustainable
HRD in MSGE; (2) Recruiting, managing, arranging, using HR, training, fostering the HR in the right direction and in accordance with the law; (3) HRD to ensure effective operation of MSGE
- Entities of state management of human resource development in MSGE: The Government unifies the state management on defence
economic enterprises, but the Ministry of Defence is responsible to the Government for leading and coordinating with other ministries and agencies to implement the State management on defense economic enterprises including MSGE The Ministry of Defence continues to assign and decentralize the agencies and units to perform the functions of
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of HRD in state management in sector and fields in particular
2.2.2 Contents of state management of HRD in MSGE
The State implements the State management of HRD in MSGE on the following principal contents:
(1) The State orients and regulates the HRD in MSGE in terms of vision, strategy, planning and plan of HRD
(2) The State creates the legal and environmental framework for HRD in MSGE: Creates a legal framework for the development and creates an environment for the development
(3) The State inspects and controls the HRD in the MSGE to ensure that the HRD is in compliance with the law, orientation and management objectives
2.2.3 Criteria for assessing the state management of HRD in MSGE
The thesis proposes a system of indicators for the measurement of the criteria for conducting state management assessment as follows:
Table 2.2 System of evaluation criteria for state management of HRD in MSGE
(4) Organization of state management apparatus to
military-serving garment enterprises
(5) State control on HRD in MSGE
Efficiency
(1) Efficiency in HRD investment
(2) Efficiency in HRD strategic planning
(3) Efficiency in labor attraction and recruitment
(4) Efficiency in labor training and fostering
Suitability
(1) The objectives of state management of HRD in MSGE contribute to completing the objectives of state management on MSGE and the national objectives on economic growth, human development and defense-