Summary of doctoral thesis human resource development on economic management in the provincial level administrative agencies in vietnam

Under these realities, and the requirements of the state administrative reform, implementing renovation policies on standards of civil servants, improving the quality of them to match wi

VO XUAN HOAI

HUMAN RESOURCE DEVELOPMENT ON ECONOMIC MANAGEMENT IN THE PROVINCIAL-LEVEL ADMINISTRATIVE

The thesis is completed at:

Central Institute for Economic Management

Supervisors: 1 Dr Nguyen Tu Anh

2 Dr Vu Dang Minh

Reviewer 1: Assoc.Prof.Dr Vu Thanh Son

Reviewer 2: Assoc.Prof.Dr Nguyen Viet Vuong

Reviewer 3: Assoc.Prof.Dr Nguyen Thi Lan Huong

The thesis shall be defended in front of the Thesis Committee at Institute Level at Central Institute for Economic Management

At hour date month year 2020

The thesis can be found at:

- The Library of Central Institute for Economic Management

- The National Library, Hanoi

INTRODUCTION

1 Rationale

In Vietnam, the implementation of the policy of HRD for economic management in the provincial state administrative agencies has achieved specific results However, many new issues need to be further researched: The situation of brain drain from the public to the private sector; difficulties

in attracting high-quality human resources to the economic-related state agencies; low quality of public service provision; depleted motivation of public officials; cumbersome apparatus, etc Under these realities, and the requirements of the state administrative reform, implementing renovation policies on standards of civil servants, improving the quality of them to match with the needs of instantly increasing integration, especially when the 4th industrial revolution is taking place, the development of human resources management in the state administrative agencies at the provincial level is an extremely vital, both theoretical and practical significance Therefore, I

chose the topic "Human resource development on economic management

in the provincial-level administrative agencies in Vietnam" for my thesis

2 Aims and significance

- Aims: Based on clarifying theoretical and practical issues and

proposing solutions to develop economic management human resources in provincial state administrative agencies in Vietnam, the thesis will provide scientific arguments for state agencies to formulate strategies and policies for developing human resources for economic management in the provincial state administrative agencies in Vietnam in the coming period

- Significance of the research: (1) Theoretical significance: Systematize

and clarify general theoretical issues, define a research framework for the development of human resources management in economic management at

the provincial state administrative agency (2) Practical significance: the

thesis has reviewed and assessed the current situation of HRD for economic management in the provincially governmental agencies in Vietnam, discovered weaknesses and causes, and proposed solutions groups, the thesis will be a useful reference for central and local state management agencies

3 Structures

The main content consists of 4 chapters: Chapter 1: Overview of

researches on developing human resources for economic management in

state administrative agencies at the provincial level Chapter 2: A literature

review for developing human resources for economic-management in regulatory agencies at the provincial level Chapter 3: Current situation of

the development of human resources for economic-management in provincially administrative agencies in Vietnam Chapter 4: Perspectives and solutions to develop economic-management human resources in governmental agencies in provinces in Vietnam

CHAPTER 1: OVERVIEW OF RESEARCHES ON DEVELOPING HUMAN RESOURCES FOR ECONOMIC MANAGEMENT IN STATE ADMINISTRATIVE AGENCIES AT THE PROVINCIAL LEVEL 1.1 Literature review of published scientific works related to human resource development for economic management

1.1.1 Literature review of international research

David Osborne and Ted Gaebler (1992), "Reinventing government:

How the entrepreneurial spirit is transforming the public sector?” highlight

the principles that will be applied to create a new government, reform the public administration system, create motivation for public officials Beer et

al., (1984), “ Managing Human Assets,” proposed a model of Harvard map

of human resources management, with a focus on human-to-human relationships, attaching importance to communication, motivation, and

leadership Hans-Jürgen Bruns (2014), “ HR development in local

government: how and why does HR strategy matter in organizational change and development?” show how and why HRD is vital in organizational

change and development Po Hu (2007), “ Theorizing Strategic Human

Resource Development: Linking Financial Performance and Sustainable Competitive Advantage,” the study offers a strategic model of human

resources development including five components: Personal Development, Training and Development, Organizational Development, Performance

Management, and Leadership Development Raudeliūnienė & Kavaliauskienė (2014),“ Analysis of Factors Motivating Human Resources in

Meidutė-Public Sector Social and Behavioral Sciences” It shows that the performance

of public organizations depends mainly on the education level of civil servants

as well as their capabilities Among the material factors, salary motivates employees the most The most effective means of driving employees are social security, insurance, and working conditions Khan, J & Charles-Soverall, W

(1993), “ Human Resource Development in the Public Sector: A

Developing-Country Experience” point out several issues that need to be addressed on a

priority basis, including outlining human resource management policies and

implementing performance evaluation systems Jang Ho Kim (2005), “New

paradigm of human resources development: government initiatives for

economic growth and social integration in Korea” have conducted in-depth

research and analysis on education and vocational training issues, combining training with development research, issues on building a learning society in Korea to contribute to the development of high-quality human resources for the country

1.1.2 Literature review of national research

Trần Thọ Đạt, Đỗ Tuyết Nhung (2008) “ The impact of human capital

on the economic growth of provinces and cities in Vietnam” analyzed the

impact of human capital on economic growth through the consideration of provincial and municipal economies in Vietnam Thang Văn Phúc và

Nguyễn Minh Phương (2005) “Theoretical and practical basis for building

the contingent of cadres and civil servants” studied the building of a

contingent of cadres and civil servants associated with building a socialist rule of law State of the people, by the people, and for the people Nguyễn

Kim Diện (2008) “Improve the quality of the contingent of civil servants in Hai

Duong" analyze and assess the current status of human resources for carrying

out administrative tasks with particular successes and limitations in the field of organizational and non-business in Hai Duong province Triệu Văn Cường

(2017), “Improve the quality of training and retraining of cadres and civil

servants to meet the requirements of development and international integration,” pointed out that with the purpose of improving the quality of the

contingent of cadres and civil servants to ensure that they have sufficient qualifications and capabilities to meet the requirements of the country's development and international integration, the training and retraining activities

are vital Lê Quân et al (2015), “Researching and applying the competence

framework in developing human resources for management and public administration in the Northwestern region,” the proposed capacity framework

emphasizes the capacity to understand the geopolitical, cultural and economic factors in the Northwestern region, and focuses on the leadership, management, and public administration capabilities Đặng Xuân Hoan (2019),

“ Renovating the training and retraining of cadres and civil servants to meet requirements and tasks in the new conjuncture,” given some limitations of the

training and retraining of cadres and civil servants in our country over the past time from which proposed several significant solutions Trần Văn Ngợi

(2015), “ Attract and use talented people in the Vietnamese administrative

agencies,” detect inconsistencies in the perception of talented people in state

administrative agencies, shortcomings, limitations, and causes of defects in attracting and appreciating talented people in state regulatory agencies; and

propose solutions Bùi Anh Tuấn (2013), “ Renovating human resource

management in state administrative agencies in Vietnam,” points out the

limitations in human resources management in the state administrative agencies in Vietnam today and recommend some solutions to innovate this

work Ngô Sỹ Trung (2014), “ Policy of high-quality human resources in the

provincial State administrative agencies of Danang City,” supplementing

and clarifying a variety of scientific theoretical issues on the high-quality human resources policy in the provincial administrative agencies Nguyễn

Phú Trọng, Trần Xuân Sầm (2003), “ Scientific justifications for improving

the quality of staff in the period of forwarding industrialization and modernization of the country” propose a system of points of view, directions,

and solutions to improve the quality of the contingent of civil servants Bùi

Đức Hưng (2017), “Building a contingent of economic management public

employees of the Ministry of Construction,” studying experiences in building a

contingent of civil servants working in the construction industry in some countries, proposing major solutions for creating a unit of economic-management civil servants of the Ministry of Construction Nguyễn Văn

Đông (2015), “The contingent of key officials on the provincial economy in

Hoa Binh during the period of international integration,” studied theoretical

basis and practical experience on building a contingent of critical provincial economic staff in international integration, assessing the status of virtually economic personnel in Hoa Binh province and proposed several solutions Vy

Văn Vũ (2005), “ Planning, training and using the contingent of civil servants

working on state management of economy in Dong Nai province,” from the

criteria of the contingent of cadres and civil servants working on related state agencies, the author has assessed the situation and pointed out the advantages and disadvantages of the planning, training, and employment of the contingent of economic management officials

economic-1.1.3 Summarize and evaluate unresolved issues and some issues that the thesis will focus on solving

Published studies have not yet given a relatively complete theory, and there are no in-depth studies to explain the theoretical basis as well as no research framework and specific solutions for developing human resources for economic management in provincial state administrative agencies There have not been any scientific works announcing research results on developing human resources for economic-management in provincial state agencies in Vietnam The issues raised by the thesis focused on: Clarifying the content of concepts such as developing human resources for economic management in

state agencies at the provincial level; influencing factors, evaluation criteria; clarify roles and characteristics; assessing the current situation; achieved results and limitations; find the cause of the barriers, as a basis for the development of human resources in the provincial state administrative agency in Vietnam

1.2 The thesis research approach

1.2.1 Objectives of the thesis

Overall objectives: Explain clearly the scientific basis for HRD for

economic management in the provincial state administrative agency in

Vietnam by 2025 Specific objectives: (1) Systematize and explain more

clearly the theoretical basis for HRD for economic management in provincial

governmental agencies (2) Objectively assess the status of labor resources

development in economic management in the state agencies at the provincial

level in Vietnam (3) Proposing a group of solutions to develop

economic-management human resources in the local government in Vietnam by 2025

Research questions: (1) What are the perspective and concepts from which

developing economic management human resources in the provincial state administrative agency are approached? What is the content, influencing factors, assessment criteria of HRD for economic management in provincial state agencies? (2) Why is it necessary to develop HRD in the provincial state regulatory agency in Vietnam, what is the limitations? (3) What are the solutions

to HRD for economic management in provincial state agencies in Vietnam by 2025?

1.2.3 Subject and scope of the thesis research

Research subject: Theoretical and practical issues on the development of

economic management human resources in provincial state administrative agencies and solutions for the development of human resources for economic management in state agencies at provinces in Vietnam to 2025

Scope of the research: The dissertation focuses on researching the

development of economic management human resources in provincial state administrative agencies in Vietnam Here, human resources for economic governance in the provincial regulatory agencies can be defined as the contingent of cadres and civil servants working at the specialized agencies under the provincial People's Committee performing the function of state management of the economy The thesis studied in 63 provinces in 8 specialized agencies under the Provincial People's Committee, including Department of Planning and Investment; Department of Industry and Trade; Department of Transport; Department of Finance; Department of

Construction; Department of Agriculture and Rural Development; Department of Natural Resources and Environment, Department of Science and Technology The data assess the situation from 2011 to the present, focusing on analyzing the period of 2011-2018, the solutions are proposed

until 2025

1.2.4 Approach and methodology

Approach: Using the theoretical basis for developing human resources

for economic management in the organization and the role of the State for the development of human resources for economic management in provincial state administrative agencies, applying them to specific cases of in Vietnam

Methodology: systematize, generalize, synthesize, descriptive statistics,

statistical analysis, comparison, case studies, sociological surveys, etc

CHAPTER 2: A LITERATURE REVIEW FOR DEVELOPING HUMAN RESOURCES FOR ECONOMIC-MANAGEMENT IN REGULATORY AGENCIES AT THE PROVINCIAL LEVEL 2.1 Economic state management of state administrative agencies at the provincial level

2.1.1 Provincial state administrative agencies

Definition: Local state administration agencies, depending on the political

institutions of each country, may have different naming methods such as state governments, provincial state administrative agencies, local government, etc Local governments are responsible for managing the state administration on the local level

Characteristics of provincial state governmental agencies: (1) To

exercise state power when participating in legal relations in order to exercise

legal rights and obligations with the aim of public interests (2) has the

highest position among the local state administrative agencies, performing

the task of uniform state management in each field of the locality (3) Human

resources in the provincial agencies are civil servants formed from recruiting, appointing, or voting under the law

Aims: State management of the economy is the organized and legal

effect of the State on the national economy to make the most effective use of domestic and foreign economic resources and possible opportunities to achieve economic development goals of provinces and cities

The content of state management of the economy in the state administrative agencies at the provincial level: (1) Building the overall

planning of socio-economic development, sectoral development, urban and

rural development within its management; elaborate long-term and annual plans on socio-economic development of the province for approval by superior authorities (2) Making state budget revenue estimates in the area; making estimates of local budget revenues and expenditures; prepare the plan of budget estimate allocation and submit it to the People's Council of the same level for decision (3) Direct and inspect the tax authorities and agencies assigned by the State to collect local budgets (4) Exercise the right to represent the owner of the State's contributed capital in the enterprise and the right to represent the owner of land in the locality as prescribed

2.2 HRD in economic management in the provincial state administrative agency

2.2.1 Human resources for economic management in state administrative agencies at the provincial level

Definition: In this thesis, human resources for economic management

in provincial-level governmental agencies can be defined as the contingent

of civil servants working in specialized agencies under the provincial People's Committee (departments) with management functions They are people who do not directly produce material goods and services but who play

an essential role in the local socio-economic development, and they have not only played a promoting role but also a barrier to the growth

Characteristics: In addition to the typical features of human resources

in the provincial state administrative agency, there are some differences such

as, (1) Being recruited and appointed to the ranks, positions, titles in the provincial specialized agencies perform the function of state management in economy (2) Having appropriate qualifications and capabilities in economics, policy, and administration or other majors but equipped with additional knowledge of economics and management (3) Directly participate in the process of advising, planning, and organizing the implementation of policies and mechanisms for the socio-economic management of the province (4) Ability to propose an optimal plan to use the resources of society effectively (5) Representing the State to perform public duties in the locality to complete the task of State management economically (6) A bridge between the State and the people as well as other economic organizations in the province (7) Being competent, intellectual, having financial, and managerial skills (8) Experience in organizing, implementing economic activities, handling situations (9) Having in-depth knowledge about the market economy, development trends of the world economy

Classification: In this thesis, the author ranks according to the nature of

the work of cadres and civil servants: leaders, managers; professional civil servants; and administrative staff

Roles: (1) Participate in the process of advising, planning guidelines,

strategies, orientations, and policies for economic development; building

economic-management mechanism and institution of the province (2)

Bringing policies, guidelines, procedures, policies, plans, and economic

development projects into reality at local levels (3) Gathering legitimate and

reasonable aspirations of the people, being a bridge between the State and

people and economic organizations, contributing to institutional reform (4)

Make the most effective use and exploitation of provincial resources and

opportunities (5) Carry out management functions such as forecasting,

planning, organizing, guiding, urging, inspecting, adjusting, evaluating,

summarizing, etc (6) the decisive factor to ensure the public services are

provided in a quality manner

The capacity framework of economic management human resources in

provincial public administrations is a collection of competencies classified

by several main groups such as (1) Ethical qualities, political qualities; health; age; political theory; Education; foreign Language; Information Technology; experience, etc (2) Professional capacity (3) Local knowledge capacity (4) Self-management capacity (5) Management organization capacity

2.2.2 HRD in economic management in the provincial state administrative agency

2.2.2.1 The concept of human resources development in the state regulatory agencies at the provincial level

Human resource development of economic management in level state agencies is the process of implementing policies, recruitment, planning, training, retraining, construction, arrangement, and appointment , assessing to create a change in quantity and quality in terms of physical strength, intelligence, skills, knowledge, the spirit of each public employee, creating a proper workforce for economic management for local socio-economic development

provincial-2.2.2.2 The objective of developing human resources for economic management

Ensuring the leanness and development of economic management human resources with high professional qualifications, rational structure, positive working attitude and motivation, and access to latest methods and skills, advanced management, suitable application of recent technology in

management to fulfill the local socio-economic development requirements,

to meet the needs of enterprises and people

2.2.2.3 The subject and method of developing human resources for economic management

Depending on the political institutions of each country, the legislative body of the country can be the National Assembly or Parliament to enact laws and legal documents on the development of national human resources; and human resources for economic management in that governmental, provincial state administrative agency The Government and the Prime Minister issued Decrees, Decisions, Directives, and legal documents governing the development of human resources development for economic management in the provincial state administrative agency The local governments of provinces will directly manage the development of the economic management workforce in that province's state regulatory agency With the development method: The managing subject affecting the management object here is the personnel in the agencies, through a number

of methods such as economic methods, managerial methods, educational methods, etc While implementing the management agencies can flexibly combine these methods to achieve the highest efficiency and effectiveness

2.2.2.4 Content of developing human resources for economic management

The content of developing human resources for economic governance

in the provincial state administrative agencies include (1) Building mechanisms and policies (2) Develop human resource planning (3) Recruitment, arrangement, use, rotation, mobilization, and appointment (4) Training and development (5) Checking and evaluating (6) Motivation

2.2.3 Criteria for assessing human resource development

Including criteria groups: quantity criteria; Quality criteria; Structure

criteria; Sustainability criteria

2.3 Factors affecting the development of economic management human resources in provincial state administrative agencies

Influencing factors include internal and external factors: State lines, policies, and laws; Requirements of local socio-economic development; Requirements of regulatory reforms; Professional qualifications and capacity of officials and public employees; Organization of scientific labor and cultural working environment; Human resource market in the public sector

2.4 Experiences of HRD in economic management in the state administrative agencies of some countries and lessons for Vietnam

Summary of experience in developing economic management human

resources in Japanese, French, Chinese, and Singaporean governmental agencies in order to draw Vietnam some lessons in boosting the labor for economic management in Vietnam’s local agencies: Properly and fully aware of the role, importance, strengthening the effectiveness and efficiency

of state management of human resource development for economic management; attracting and recruiting human resources through fair and public contests, expanding recruitment sources; training and retraining of professional competence should be done as soon as candidates are hired through the job and organize training courses instead of substantial certificates; the use and appointment should be active and competitive; Salary and welfare policies by market

CHAPTER 3: CURRENT SITUATION OF THE DEVELOPMENT OF HUMAN RESOURCES FOR ECONOMIC-MANAGEMENT IN PROVINCIALLY ADMINISTRATIVE AGENCIES IN VIETNAM 3.1 Overview of the state agencies implementing economic management functions in the provincial state administrative agencies in Vietnam

3.1.1 Agencies that perform economic management functions within the provincial public administration in Vietnam

In this study, the Ph.D student focused on researching human resources development in 8 departments among the agencies with state management functions on the economy in the provincial state administrative agencies: Department of Planning and Investment; Department of Finance; Department of Industry and Trade; Department of Agriculture and Rural Development; Department of Construction; Department of Natural Resources and Environment; Department of Science and technology; Transport

3.1.2 Current situation of devolvement and decentralization of economic management to provincial state administrative agencies in Vietnam

For nearly three decades, Vietnam has implemented a strong devolvement

of economic management for local authorities and state regulatory agencies at the provincial level The government has assigned more and more rights to localities, the process of devolvement of control takes place in six primary areas: development planning, planning, and investment; budget allocation; land management and use; manage capital and assets at state-owned enterprises; managing non-business units and public services; organizational structure, management of public officials

3.2 Analyze the current situation of the development of economic

management human resources in the provincial state administrative agency in Vietnam

3.2.1 Characteristics of economic management human resources in provincial state governmental agencies in Vietnam

3.2.1.1 Quantity, structure

Until 2017, about 27,988 public officials were working in provincial agencies under eight departments with state management function in economics, accounting for about 11% of the total public administrative officials of the country This number is not evenly distributed among provinces, with Hanoi and Ho Chi Minh City being the two cities with the most significant amount of economic management officials with 1,584 and 832, respectively The number of economic management officials ranged from 394

to 485 From 2012 to 2017, the number of economic management officials in provincial state administrative agencies fluctuated slightly, with an increase and decrease of the following year compared to the previous year from 1.2%

to 2.9%

Among these, the percentage of public officials under 30 years old accounts for only a small rate (16%), from 30 to 50 years old accounts for 66%, from 50 to 60 years old accounts for 18%, this is the rate showing the temporary youth but in The future will cause a shortfall of adjacent staff, with the number of women-only accounting for 36% Considering the nature

of the work, the number of managers from the department level to the departmental leadership accounts for a sizeable proportion (47.8%), this is a difference with the developed countries in the world, especially currently, there is a sign of "inflationary of deputy-position" (too much of the deputy officers) By sectors and fields, the number of public officials working in the Department of Agriculture and Rural Development is the largest with about 4,914 (accounting for 18% of the total number of public officials working in state administrative agencies at the provincial level), other departments ranging from 2,520 (Department of Science and Technology, 9%) to 3,402 (Department of Planning and Investment, 12%)

3.2.1.2 Current quality of human resources

About the educational level of the contingent of civil servants working in state administrative agencies at the provincial level, most of them are university, the percentage of masters and doctors is increasing This situation is also unreasonable compared to other developed and developing countries when state management is doing more and more in-depth research In particular, qualifications sometimes is inadequate