(LUẬN VĂN THẠC SĨ) Solutions to Vietnam Stamps Company in improving the quality of human resources in the period 2018-2022

ĐẠI HỌC QUỐC GIA HÀ NỘI
KHOA QUẢN TRỊ VÀ KINH DOANH

---------------------

VŨ BÍCH NGỌC

SOLUTIONS TO VIETNAM STAMPS COMPANY IN
IMPROVING THE QUALITY OF HUMAN RESOURCES IN
THE PERIOD 2018-2022
GIẢI PHÁP NÂNG CAO CHẤT LƯỢNG NGUỒN NHÂN
LỰC TRONG CÔNG TY TNHH MTV TEM BƯU CHÍNH
GIAI ĐOẠN 2018-2022

LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH

HÀ NỘI - 2020

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ĐẠI HỌC QUỐC GIA HÀ NỘI
KHOA QUẢN TRỊ VÀ KINH DOANH

---------------------

VŨ BÍCH NGỌC

SOLUTIONS TO VIETNAM STAMPS COMPANY IN
IMPROVING THE QUALITY OF HUMAN RESOURCES IN
THE PERIOD 2018-2022

GIẢI PHÁP NÂNG CAO CHẤT LƯỢNG NGUỒN NHÂN
LỰC TRONG CÔNG TY TNHH MTV TEM BƯU CHÍNH
GIAI ĐOẠN 2018-2022
Chuyên ngành: Quản trị kinh doanh
Mã số: 60 34 01 02
LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH

NGƯỜI HƯỚNG DẪN KHOA HỌC: PGS. TS. Nguyễn Ngọc Thắng

HÀ NỘI - 2020

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DECLARATION
The author confirms that the research outcome in the thesis is the result of
author’s independent work during study and research period and it is not yet published in
other’s research and article.
The other’s research result and documentation (extraction, table, figure, formula,
and other document) used in the thesis are cited properly and the permission (if required) is
given.
The author is responsible in front of the Thesis Assessment Committee, Hanoi
School of Business and Management, and the laws for above-mentioned declaration.

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ACKNOWLEDGEMENT

With sincere regard and deep gratitude, please allow me to give my most sincere
thanks to:
- Hanoi School of Business & Management (HSB) - Vietnam National University, Hanoi’s
lecturers, teachers have been dedicated to teaching and creating favorable conditions to
help me in the process of studying, researching and completing the thesis.
- In particular, I would like to express my deep appreciation to the supervisor: Associate
Professor Ph.D Nguyen Ngoc Thang who has dedicatedly guided, advised and helped me,
encouraged me throughout the research and completion of the thesis.
- On this occasion, I would like to express my sincere thanks to the principals, vice
principals, and all the tutors and teachers of the university... for creating favorable
conditions, providing data, materials and enthusiasm. Contribute me during the research
process. I also thanks to the staffs working at other departments of the university, such as
Academic Affair department: MBA program Coordinator.
- For fulfilling the data of the thesis, I sincerely thanks to the management and employees
of Vietnam Stamps Company that helping me a lot during the research.
- Thank you to my colleagues, friends, family for encouraging, and helping me in the
process of learning and scientific research.
Despite great efforts, the thesis cannot avoid shortcomings; The author is looking
forward to receiving the sympathy, guidance, help and comments from scientists, teachers,
managers and colleagues.

Sincerely thanks!

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CONTENT
DECLARATION ................................................................................................................. 1

ACKNOWLEDGEMENT .................................................................................................. 2
ABBREVIATION ................................................................................................................ 5
LIST OF FIGURES ............................................................................................................. 6
LIST OF TABLES ............................................................................................................... 7
INTRODUCTION CHAPTER ........................................................................................... 8
1. Rationale ........................................................................................................................... 8
2. Literature review ........................................................................................................... 10
2.1 General view of domestic and international project on topic HR and quality of HR in
organisation ......................................................................................................................... 10
2.2 General view of domestic and international project on topic improving the quality of
HR in organisation ............................................................................................................... 11
2.3 General view of the project ........................................................................................... 12
2.4 Concept of human resources and human resources development ................................. 12
2.5 Position and role of HR in the cause of industrialization and modernization ............... 13
2.6 Criterias and methods of evaluating the quality of human resources ............................ 13
2.7 Influencing factors to the quality of HR ........................................................................ 14
3. Aims of Research ........................................................................................................... 14
4. Objects of Research ....................................................................................................... 15
5. Scope of Research .......................................................................................................... 15
6. Research Methodology .................................................................................................. 15
7. Thesis Structure ............................................................................................................. 16
CHAPTER I. BASIC THEORY ON IMPROVING THE QUALITY OF HUMAN
RESOURCES IN ORGANISATION .............................................................................. 17
1.1 HR in the organisation ................................................................................................... 17
1.1.1. Conception of human resources ................................................................................ 17
1.1.2. Features of HR in organisation .................................................................................. 19
1.1.3. Categorisation of human resources ........................................................................... 20
1.2 Quality of HR in organisation ....................................................................................... 20
1.2.1 Conception of quality of HR in organisation.............................................................. 20
1.2.2. Criterion of evaluating quality of HR in organisation ............................................... 22

1.3. Improving quality of HR in organisation ..................................................................... 23
1.3.1. Conceptions ............................................................................................................... 23
1.3.2. Activities for improving quality of HR ..................................................................... 24
1.3.3. Influecing factors for improving quality of HR......................................................... 24
1.4 Experiences on improving quality of HR ...................................................................... 27
1.4.1. Experiences from international organisations ........................................................... 27
1.4.2. Experiences from domestic organisations ................................................................. 31
1.4.3. Learning from those experiences to Vietnam organisations ..................................... 33

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CHAPTER II. ASSESSING THE QUALITY OF HUMAN RESOURCES AT THE
VIETNAM STAMPS COMPANY DURING PERIOD 2015-2018............................... 35
2.1 General view of Vietnam Stamps Company ................................................................. 35
2.1.1. The process of formation and development of brand ................................................ 35
2.1.2. The process of formation and development of Vietnam Stamps Company .............. 37
2.2. Analysing the real situation of HR quality of Cotevina ............................................... 38
2.2.1. Structure and organisational model of the company ................................................. 38
2.2.2. Functions and tasks of production and business of the company .............................. 39
2.2.3. Production and business situation of the company.................................................... 40
2.2.4. HR situation in reality of Cotevina ............................................................................ 44
2.2.5. Analysing the real situation of human resource quality of the Vietnam Stamps
Company.............................................................................................................................. 47
2.3. Actual situation of activities to improve the quality of HR of Cotevina ...................... 54
2.3.1. Recruitment and talents attractions............................................................................ 54
2.3.2. Training activities, improving skills and professional qualifications ........................ 57
2.3.3. Salary, bonus and welfare policies ............................................................................ 59

2.4. Assessing the status of improving the quality of human resources at Cotevina........... 62
2.4.1. Strengths .................................................................................................................... 62
2.4.2. Limitations ................................................................................................................. 64
2.4.3. Reasons ...................................................................................................................... 64
CHAPTER III. SOLUTIONS FOR IMPROVING THE QUALITY OF HUMAN
RESOURCES AT VIETNAM STAMPS COMPANY ................................................... 66
3.1. Orientation to improve the quality of HR of the company ........................................... 66
3.1.1. Orientation of production and business development of the company ..................... 66
3.1.2. Orientation to improve the quality of human resources of Cotevina ........................ 67
3.2. Some solutions to improve the quality of human resources at the company ............... 68
3.2.1. Well implement recruitment and attract talents......................................................... 68
3.2.2. Promote the effectiveness of training and retraining to improve the level of
employees ............................................................................................................................ 69
3.2.3. Remuneration policies and regims for employees ..................................................... 70
3.2.4. Solution for building organisation culture at the company ....................................... 72
CONCLUSION .................................................................................................................. 73
REFERENCES .................................................................................................................. 75
APPENDIX 01 ................................................................................................................... 77
APPENDIX 02: .................................................................................................................. 80
APPENDIX 03: .................................................................................................................. 81

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ABBREVIATION
Abbreviation
HR

Full version of the word/phrase
Human resource

HRD

Human resources development

HRM

Human resources management

KPI

Key performance indicator

Cotevina

Vietnam Stamps Company

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LIST OF FIGURES
Figures
Diagram 2.1

Name
Organisational structure of Vietnam Stamps Company

Figure 1.1

Population of Vietnam during 1950-2017

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Figure 2.1

Gender of HR of the Vietnam Stamps Company during 2016-2018

46

Figure 2.2

Gender of HR of the Vietnam Stamps Company during 2016-2018

47

Figure 2.3

Ratio health status of employees of Cotevina during 2016-2018

51

Figure 2.4

Research on employee’s demand of organizing training classes
within the Cotevina Company in 2018

58

Figure 2.5

Research on employee’s willingness in participation of training
classes that organized by Cotevina
Satisfaction of salary paying for employees at Cotevina in 2018

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Figure 2.6

Page
39

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LIST OF TABLES
Table
Table 2.1

Name
Results of production and business activities of the Vietnam

Page

40

Stamps Company in the period of 2011-2015
Table 2.2

Results of production and business activities of the Company in

43

the period of 2016-2018 and year 2019 (planning)
Table 2.3

Business revenue of the Cotevina from 2016-2019

44

Table 2.4

The summary of labor in all departments of the Company by the

45

end of year 2018
Table 2.5

The summary of company labor in 2018

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Table 2.6

Results of investigation on the sense of discipline and behavior of

49

employees
Table 2.7

Health status of workers according to health classification
standards of company period 2016 – 2018

50

Table 2.8

Labor structure according to qualifications at the company in the
period of 2016-2018

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Table 2.9

Annual productivity and salary of HR in Cotevina from 2016-2018

60

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INTRODUCTION CHAPTER
1. Rationale
Human resource (HR) is considering as the main and important assets of any
organization. It is necessary for organization to understand that an emphasis on the
development aspect of human resources should be strongly invested if they want to achieve
business success in today fast-changing business environment (Geet, Deshpande, &
Deshpande, 2009). All the companies are desired to have employees with knowledge,
creative mind, enthusiasm, dedication and responsibility. The quality of the human
resource has big influence to organisation’s success or failure. Especially in the context of
Vietnam nowadays, when globalization and international economic integration is a trend
that challenges to Vietnam since its successfully acceded the 150th Member of WTO in
January 2007 and ASEAN economic integration 2017. Moreover, the competitiveness of
Vietnam's accession into the ASEAN Free Trade Area (AFTA) has been an important step
in its integration into the world economy.
Some researchers revealed that in the first two months of last year, 2017, foreign
direct investment (FDI) inflows into Vietnam reached a record level which over the same
period in previous years, both in terms of number of newly licensed projects, registered
capital and expended capital (Cam, 2017). According to the Vietnamese Foreign
Investment Agency (Ministry of Planning and Investment), the country has over 1,100
foreign direct investment projects, increasing 21.5% over the same period last year.
Consequently, competition is heating up in Vietnamese market between Vietnamese goods
and foreign rivals as well as the domestic and international human resource quality
working in Vietnam.
On the other hand, the 4th industrial revolution is developing strongly across the
global at the moment and having directly strong impacts to Vietnam. It is given a great
chance of speeding up country’ industrialization and modernization; however, in the
current context, it is considered both opportunities and challenges to Vietnam in facing the
revolution, particularly in technology, lacking high level of HR and infrastructure
(VietNamNews , 2017 ). Regarding to the challenges, Viet Nam News also stated that

according to Professor Doctor Tran Dinh Thien, rapid technology development will also
lead to “robots gradually replaced workers” and “ten millions of traditional workers will
lose their jobs”. Consequently, Mr. Dam Manh Duong, Director of the Department of High

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Technology of the Ministry of Science and Technology clearly pointed that Vietnam is
required changes in HR educating and training to meet the requirements of Industry 4.0.
To take advantages of this trend, the quality of human resources will be pushed up
fast as competition and knowledge exchange between Vietnamese and international
employees as well as inside power of changing to adapt to the global development. In the
same context to the Vietnam Stamps Company, training and developing human resources
are concerned vital activities, which urgently required maintaining and improving the
quality of its business. Vietnam Stamps Company (Cotevina) is a state-owned company
authorized by Vietnam Post Corporations of Vietnam, established on 1st July 1977. It is a
sole company on providing stamps nationwide as well as in import-export field of philately
business, offering unique products made from stamps to national and international
customers. As a representative of Vietnam, we also have participated in many stamp
exhibition held in Asia or worldwide. In the period from 2018-2022, Cotevina has created
a business plan to achieve high revenue and profit, increasing approximately 150% every
year, thus increasing in number of labors. It is considered big challenges to the company,
as many new and creative products will be created to replace the old existence that postage
stamps constantly reducing in the market, directly lead to change in the business sector,
new market exploration and so on. In the actual context of Cotevina at this moment, it is
still no detail plans for educating and training their workers.
According to Bontis et al (1999), in order to ensure the organisational long-term
survival, it is necessary that the human elements are capable of learning, changing,

creating and innovating. For Vietnam Post, the quality of postal service has always been a
crucial concern, especially in the current stage after its transformation in 2008. The quality
of Post’s service is no longer a separate issue for any single department but to the whole
Post’s processes. Particularly, the Vietnam Post has over 40,000 employees, while the
quality of business depends on the professional level, knowledge and sense of labor.
Additionally, Vietnam Post has taken many activities to focus on human resource
development since last few years, such as the even of cooperation between Vietnam Post
and Japan Post in consulting development of quality management system and human
resource training ((Vietnamnet), 2015). Consequently, as part of Vietnam Post, improving
the quality of Vietnam Stamps Company human resource is necessary, that required a
human resource development program.
In sum, this thesis is a study to which my current company, Vietnam Stamps
Company is in need of and most expectations to examine then propose a course of action
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from the middle and senior managers. It is advised to perform the recommendations
consistent with the existing human resources management (HRM) from a strategic point of
view in order to achieve Cotevina’s business plan. From the importance of science and
practicality of the management and use of human resources, the dissertation decided to
take the topic “Improving the quality of human resources at Vietnam Stamps Company for the
period 2018-2022” with the aim of contributing a part of the theory and providing solutions

in improving the quality of human resources at the company.
2. Literature Review
The sustainable development of each country in general and each business
oganisations in particular depends heavily on investment in exploiting and promoting
effectively the role of human factor.

2.1. General view of domestic and international project on topic HR and
quality of HR in organization
Latest new, refer to World Bank report and the United Nations Organisation, the
population of Vietnam is over 97 million in July 2019, including 44.4% of total
dependency ratio (danso.org, 2019). The proportion of dependent population is the
proportion of people who are incapable of working (dependents) on a country’s labor
force. Dependencies include populations under 15 and people at 65 years old and older.
The labor force consists of a population between 15 and 64 years old.

Figure 1.1 Population of Vietnam during 1950-2017
The labor force is considering one of the Vietnam’s great advantages as the country
has abundant young people, at the working age.
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According to the Institute of Workers-Trade Unions, the number of skilled workers
in Vietnam is increasing, in 2013 is 9.65 million people (accounting for 18% of the labor
force); in 2017 is 11.78 million people (about 21.7% of the labor force). However, the HR
structure is still unreasonable. Vietnam currently has 500,000 workers working abroad,
bringing about 100,000 workers abroad to work under contracts every year, mostly with
medium and low skills.
Meanwhile, the number of foreign workers entering Vietnam increased rapidly,
about 6,500 people/year, an increase of 22%/year. Significantly, 51.5% of foreign workers
work at key technical positions, requiring high technical qualifications (Thu, 2019). This
shows that Vietnam is lacking high quantity of high-skilled workers. In the process of
integration and modernization, the capacity and professional skills of employees play an
extremely

important

role,

especially

in

improving

productivity,

quality

and

competitiveness of business and labor living.
2.2. General view of domestic and international project on topic improving the
quality of HR in organization
HRD and better enhancing the quality of HR at small and medium-sized enterprises
is increasingly one of the most comprehensively researched areas in the HRM theme
(Nolan & Garavan, 2015), (Ahmeti & Marmullaku, 2015), (Armstrong, 2006) (Thu, 2019)
(Bui, 2006).
Researching the issue of improving the quality of HR is always the topic, which has
been concerned by many scientists in all countries from over the world. Various studies on
this issue, such as Research on the perspective of maintaining and improving human
resources, researching from Book: "Heath and social for workers" - Author: Eric Garner,
2012; The article "Developing human resources responds to the challenges of strong
globalization and an economy based on new insights" by Professor Geoffrey B.Hainsworth
in reference books and monographs: Scientific editor Nolwen Henaff, Jean-Yves Martin

(2001). Research on the perspective of improving the human resources in the field of
improving mentality, for example, Book: "Training strategic for Employee", by author
Dorothy Grover Bolton, 2011. The author delves into research to propose solutions to help
organize training. Best quality human resources. AuthorStivastava M / P (1997), Human
resource planing: Aproach needs assessments and priorities in manpower planing, Manak
Publishing House New Delhi. Research on improving the quality of human resources,
these studies are often emphasized by authors building corporate culture; behavior rules;
working style; increase labor discipline; political education and thought; Build long loyalty
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organized ... Can include scientific works: "All you need is the will and the skill ”2011 by
Stewart Liff.
In the industrial revolution 4.0, as many other developing countries, Vietnam is
currently facing the same challenges, to drive business and economy growth, it is required
rapid adoption of new developments in information technology, automation and the
Internet, the country was challenged by the lack of high quality labour work forces. In the
interview with Vietnam News Agency, the vice minister of Ministry of Labor, War
Invalids and Social Affairs, Mr. Le Quan discussed on many suggestions to improve the
situation of current work force.
2.3. General view of the project
There are many projects learning on the topic of improving the quality of HR in
organization with many different branches such as bank, construction, state administration,
and so on but not many studying on Post, especially Stamps. Therefore, it is necessary to
research on this issue for the Vietnam Stamps Company in order to improve the quality of
HR from the management to employees.
The aim of this project is to find out the answers for these following questions:
- What criterions use to measure quality of HR in the organization?

- The current situation of Vietnam Stamps Company in HR field.
- What activities Vietnam Stamps Company are doing to improve the HR quality and how
do these activities affect?
- Suggestion of some evaluations to improve quality of HR field.
2.4. Concept of human resource and human resource development
Human resources are undoubtedly the key resources in an organization, the easiest
and the most difficult to manage! Human resources are simply mentioning of people who
work in an organization. It is known as the human capital that resides in the knowledge,
skills and motivation of company’s employees, which under the control and direction to
employment relationship of firm’s management, in order to achieve organizational goals
(Wright, McMahan, & McWilliams, 1994). Human resource management covers all levels
(low to middle and top) and all categories (unskilled, skilled, clerical, technical,
managerial and professional) of employees. It is applied to all type of personnel within the
organization, both organized and unorganized employees. Human resource development is
one of the main functions within the human resource management department with
organization development issues on training and development, organization development
and career development (Werner & DeSimone, 2012). According to Leonard Nadler:
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“HRD is organized learning experiences in a definite time period to increase the
possibility of improving job performance and growth”
2.5. Position and role of HR in the cause of industrialization and
modernization
HR are important to organizations in 10 specific areas, ranging from strategic
planning to company image, such as strategy, compensation, benefits, safety, liability,
training and development, employee satisfaction, recruitment, selection and compliance
(Mayhew, 2017). One of the factors behind organizations giving a lot of attention to their

people is the nature of the firms in the current business environment. Given the fact that
there has been a steady movement towards an economy based on services, it becomes
important for firms engaged in the service sector to keep their employees motivated and
productive. Even in the manufacturing and the traditional sectors, the need to remain
competitive has meant that firms in these sectors deploy strategies that make effective use
of their resources. This changed business landscape has come about as a result of a
paradigm shift in the way businesses and firms view their employees as more than just
resources and instead adopt a “people first” approach.
The cause of industrialization, modernization and development of the knowledgebased economy will be won only if research properly and all resources is efficiently used.
However, the most decisive factor in ensuring the success of that process is human
resources, especially high quality human resources. One role of HR in a company is to
unravel the byzantine employment regulations using their expertise and to advise
management about how they affect the business. They then update business practices so
the company is compliant. This is no easy feat (Adamson, 2009).
2.6. Criterias and methods of evaluating the quality of human resources
2.6.1. Evaluating criterias
Criteria for evaluating the quality of human resources are hardly to measure by
data. The quality of human resources is a very comprehensive concept, expressed through
its basic characteristics. Economists have summarized and generalized the quality of
human resources into two groups; one group demonstrates the social competence of labor
(physical and intellectual force, personality), and another demonstrates the social dynamics
of labor (capacity, competitiveness, adaptability and development...) The quality of human
resources can be measured based on these factors: Physical indicators (health status,
working capacity), Indicators of intellectual (education, technical expertise), Indicators of

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personality (ethic, style, lifestyle, ...), and Indicators of social dynamics (ability to work,
competitiveness, ability to adapt work, …)
2.6.2. Evaluating methods
Methods of evaluating human resource quality are regarding to moral qualities and
physical fitness assessment. Labor ethics include personal ethics and professional ethics.
Capacity assessment methodology is the evaluation of the qualities of an individual based
on competency framework developed from job analysis or factual job analysis. This
assessment plays an important role in identifying the training needs for employee and the 9
skills and skills that employees acquire from previous training.
Performance evaluation methodology is the way in which different measures are
used on the basis of certain indicators and indicators from which to receive. Through this
assessment method, managers can assess the quality of existing human resources as well as
the possibilities that they will have in the future.
2.7. Influencing factors to the quality of HR
Enterprises that want to own a high quality staff must first Good control of the
input of human resources, such as good job recruitment and selection of manpower.
HRD policies of the Company include policies on personnel placement, staff
evaluation, training and use of human resources after training. The human resource
development policy must clearly state the purpose, content, rights and obligations of the
organization and its employees.
Labor remuneration policy is all that employees receive through their employment
relationship with the business. Remuneration includes basic remuneration, incentives and
benefits.
3. Aims of Research
The main purpose of the research is to study human resource thesis and analyse
actual situation afterward evaluating and criticising what have been done in the company
to improve the quality of HR then giving out reasonable solutions to improve the quality of
human resources in the Vietnam Stamps Company to be able to achieve it’s target of high
increasing profit and revenue during the period from 2018-2022.
The thesis is also aims to systematize and clarify basic theories of influencing

human resources factors and improving the quality of human resources in the enterprise.
Studying the quality of high quality human resources in different countries and domestic
area, learning experimental lessons to understand whether they can be applied to
Vietnamese company carry in business careers.
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Then collecting data, analyzing and evaluating the actual status of current human
resources quality in the Vietnam Stamps Company during 2015-2018. The dissertation is
going to concentrate on analyzing those reasons, which lead to achievements, limitations
and causes of limitation, which lead to restriction in the quality of human resources.
Since then, proposing solutions, mostly on current limitation reasons to contribute
promoting and improving the quality of human resources at Vietnam Stamps Company.
4. Objects of Research
The research subjects of the dissertation are quality of human resources and
activities to improve the quality of human resources in Vietnam Stamps Company in
details.
The research content is focusing on analysing and evaluating the effectiveness of
applied activities, therefore suggesting solution to improve the quality of human resources
in the Vietnam Stamps Company.
5. Scope of Research
The study of area and scope research is to define where and whom the dissertation
research will take place and what or whom it will focus questionnaire for measuring; the
selected scopes are needed to be reasonable for the research and able to represent of the
total population (Wentz, 2014).
The research scope of this thesis focuses on studying the quality of human
resources in the scope of company with research space of Vietnam Stamps Company (in its
head office – 14 Tran Hung Dao street, Phan Chu Trinh ward, Hoan Kiem district, Hanoi

and its branch – 18 Dinh Tien Hoang street, District 1, Ho Chi Minh city) and research
time with data collection from 2011-2019, mainly during 2016-2018.
6. Research Methodology
According to Wentz (2014), there are three main sections in the research methods
typically, known as a description of the study area, the needed data collection and method
of acquired those data, and the approach to analyse the data.
The research methodology is used in the thesis is
Firstly, collecting primary data from departments of the Vietnam Stamps Company,
which are known as Administration Department, Accounting Department, Business
Department and the Brand in Ho Chi Minh City.
Secondly, the secondary data was carried out to objectively collect all the practical
figures related to actions of improving quality of human resources at Cotevina. The
questionnaires were given out to 44 people who have been worked at Vietnam Stamps
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Company in 2018 and to some departments of the company to check on information during
2011-2018. The statistical methods conduct planning, designing, collecting data, analyzing
will all be performed. The main purpose of the list is to help answering, analyzing and
evaluating about what have been done to improve the HR’s quality during that time.
Thirdly, by applying the quantitative data analysis methods, all the data, which
were collected during the research, would be used to turn raw numbers into meaning
figures to give overview of critical thinking and analyzing the statistic for solution
suggestion.
7. Thesis Structure
Besides the introduction, conclusion and references and appendixes, the main part
of the dissertation is structured as 3 chapters following:
Chapter 1: Theoretical background on improving quality of human resources in the

businesses.
Chapter 2: Actual status of actions to improve quality of human resources in
Vietnam Stamps Company.
Chapter 3: Analysing data results and giving some suggestions to improve HR
qualification within the company.

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CHAPTER I.
BASIC THEORY ON IMPROVING THE QUALITY OF HUMAN RESOURCES IN
ORGANISATION
1.1. HR in the organization
In order to achieve and promote inclusive and sustainable economy development,
plenty of resources are required for all countries, including developed, developing and
poor countries. Those resources are considered natural resources, capital, science and
technology, human resources and so on. Especially, human resource is highlighted as great
influence to economic growth in any organization particularly and a country generally. A
country, which is rich in natural resources, with modern technical machine but without
qualified people, is still realized as low expectation in applying and exploiting rich
resources to turn into economy development.
1.1.1. Conception of HR
Human resource is a resource within every human being, including both existing
and potential resources. It is expressed and revealed by the ability of working, health,
knowledge, psychology, consciousness, level of effort, creativity and passion... In reality, it
is proved that role of people in production is extremely important; manpower is the central
factor in any other factors during production.
Human resource term has been appeared since the 80s of the twentieth century

when basically changing in the way of managing and operating people in labor economy.
By changing from personnel management to human resource management, great
development has been made since then as more flexible and softer in order to encourage
labor to bring into play the ability of working.
There are many different views and descriptions of human resource term. For
example, human resource is defined as sources of material and spiritual factors to create
capacity and strength for the general development of organizations. According to Henry
(2016), HR are resources from people of organisations (with different sizes, types and
functions) with capable and potential to participate in the development process of the
organization along with economic and social development of nations, regions and the
world.
Manpower is the entire physical and mental ability of people involved in the labor
process, which is the overall physical and mental factors mobilized into the labor process.
Manpower is the overall number and quality of employees meeting certain demands on the
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corresponding type of labor of each enterprise and organization in the market. In other
words, human resources are understood as the labor force with certain skills to do certain
jobs that society or market needs. Human resource composition is the number of
employees including the total number of people in their working age and their mobilizing
working time. Quality of human resources: reflected in the gender, health, professional
level, consciousness, behavior, working attitude of employees.
HR are understood in two meanings: In a broad sense, HR are the source of labor
supply for social production, providing resources for development. Therefore, HR
including the entire population can develop normally. In a narrow sense: HR are the
working capacity of society, a resource for socio-economic development, including
working-age population groups, able to participate in labor, as their total physical,

intellectual and professional skills are mobilized into the labor process.
Based on the United Nations report (World development indicators) evaluating the
effects of the globalization on human resources, the HR is defined as the level of skill,
knowledge, experience, existent and potential ability (WorldBank, 2000). It also means
that HR is highly appreciated to consider human potentials as the capacity for them to
manage.
HR is also the overall internal and external factors of each individual, ensuring
creative sources and other content for success, achieving the organisation’s goals
(T.Milkovich & W.Boudreau, 1997).
Those are definition of HR in macro perspective, on the other hand, in the view of
businesses and organisations, HR is simply known as labor forces of all people in the
organization. According to Prof. Dr. Bui Van Nhon (2006), he mentioned that HR of an
organisation is the workforce of that organization and the number of people on the list of
the business, salary paid by the business. Similarly, labor, is known as all the physical and
mental abilities of the people within the organization are used in the process of labor
production (William McLean, 2013).
Basically, HR, is including people who are in working age, had demand of work
and able to work (existing in the population); or participating in the work of labor market
(named labour force); or listing in the list of working age, having demand of work but not
yet participated, such as unemployment/jobless and housework (called residual workforce).
HR sometimes depends on social issues, for example, time of education (might be longer
or shorter than the scale of working age), time of women workforce (to be on maternity

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leave), level of socialization (easy employment opportunity), income, exodus or
immigration.

Although there are many different perspectives and concepts of HR, the basic
content all mentioned that HR is a source of labor for the society. People are the
constituent element of the production force keeping put top position, the fundamental and
endless resource of development, which cannot be considered merely in terms of quantity
or quality. In every business, HR are an important source, strongly influence to the success
or failure of the business. Therefore, all managers need to pay attention and improve
themselves and their HR to be good at plenty of resources, both quality and quantity to
ensure development of business currently and in the future.
1.1.2. Features of HR in organization
HR of an organization is composed between roles of different individual
connections, but follow general objectives of businesses. On the other hand, there is also
opinion that HR is an independent income, while input sources influence to organization
success, quality, cost and output products. Generally, HR consists of some core features as
following:
- HR is the most fundamental part of a business. HR in organization is a part
belonging to the total HR of a country or region. Its concerned people oriented.
- HR of a business considers combination of all working resources within the
company. HR is concerned with labors of all levels and classifications from workers,
supervisors, officers, and managers to other types of personnel, which are both organized
and unorganized labors. Meaning, developing the quality of HR in an organization is not
only focusing on development of individual ability but also completing and increasing
team-working skills. Some ways could increase level of teamwork skill knowing suitable
role and positions, strengths, benefits system, creative and active working environment.
- HR is considered as “endogenous” resource that directs the process of socioeconomic development in general and business performance in particular. While every
individual is partly orgnisational success performance, it must be planned from the
objectives of business.
- In order to attaining and achieving organization’ goals, there are many sources are
required besides HR, such as revenue, technology… they are all different in term of
features and functions to the company. HR is the most complicated, because its about
managing human, so depending on physiological psychology factor, and the quality might

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be both greater or lower than actual values; as well as, influencing efficiency of other
resources within the company.
1.1.3. Categorization of HR
To analyze the HR, its categorization would be:
- Form of business: Producing products or service. Goods are the material items
that selling for a price, realized as tangible items, which can be seen or touched, produce to
meet customer’s needs. Whereas service are the benefits, amenities or conveniences
provide to adapt customer’s satisfactions.
- Position in the producing process: based on the positions of HR, their daily jobs
will be created differently with responsibility; the work is different between management
and lower working positions.
- Levels of work complexity: The company assesses the complexity of the work of
all types of workers by scoring the factors, including: time or training level; responsibility;
skills, experience accumulation time; influence level of work, product or management
decision; working conditions; attractiveness of occupations, jobs and other factors (if any)
suitable to the actual conditions of the company.
- Mental and physical uses of workers: manual labor is mainly the expenditure of
muscular labor directly producing wealth in the physical form, while intellectual labor is
mainly the consumption of intellectual labor, specializing in development of science,
education, culture, art, etc.
1.2. Quality of HR in organization
HR are not only considered on quantity but also quality aspect. There are also many
different definitions and describes about the quality of HR which are not exactly the same.
It is required HR to keep changing and continuously develop adapt to and meeting

demand of higher needs from customers.
1.2.1. Conception of quality of HR in organization
Somehow, the quality of HR is understood as values of human, values of physical
and spirit world, brainpower and soul, as well as professional skills at work, all creating
people with labor workforces abilities and virtuous character, to adapt nowadays social
economy’ demands. All the related resources and abilities within a human which made up
a person’s life is known as human resource’s quality.
There are factors including in quality of HR, such as, health, culture level,
professional knowledge, actual ability knowledge, professional skill, flexibility at work,
ethic quality, working attitude, working environment, performance, and so on. Generally,
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the quality reveals in physical and mental factors, which can somehow measure by science
machine or level of knowledge. To evaluate the quality of HR, all of the factors are
necessarily to get measuring, but it does not mean that a person is required to have all of
them.
The quality of HR can be changed based on time, surrounding/working
environment, learning, training and experiencing and its can also be affected by culture.
The development of all these factors could bring better outcomes and maximizing the
quality of human potential, for example, development of cultural leadership in schools and
university for students before working age (David L. Weller, 2000). Learning and training
can always make higher performance in the work place, therefore, in order to bloom
working skills, organisations should considered to create circumstances to push their
employees get into the process of learning, experiencing and competing (Wilson, 2005).
Quality of HR within organization is measured by result of all company’s
employees during working process. Throughout the process, people work on two main
functions: on one hand, work on existing activity process by using their abilities which

built during their learning and training to produce product or service following sample
design. On the other hand, people also think of way to create new product, new ideas and
creative technology, design which has never existed before. In this case, constitution of
man is highly required and approached that exploring new ideas and turning into new
technological creative products.
The quality of HR organization is including value of every people working in the
company. Quality control is an important factor in loyal of customers and customer
satisfaction. In competitive markets, quality is the only factor that helps remaining
customer’s loyalty.
High quality products and services are measured by how they meet customer’s
demands. Goods that could not meet demands of customers are reflected low quality; no
matter they are made of high technology process. The quality counts when meeting
demand, and demand keeps changing, so quality is also influenced by surrounding
environmental impact, time and working conditions. Therefore, it is very important for
management board of organization to understand and achieve high quality of products,
especially from high quality of HR.
Consequently, the success of high quality management in the knowledge economy
depends much more on the ability of creation and innovation, development of physical
capability and professional skill turning into new products and service.
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However, despite special attention and great achievements, according to the World
Bank assessment, in the context of international integration, the quality of Vietnamese
labor forces is still lower than many other countries, especially, lack of skilled workers,
high-level technical workers. The quality of HR in Vietnam is only 3.79/10 points (ranked
11/12 in Asian countries participating in the World Bank ranking) while the quality score
for Korean HR is 6.91; India is 5.76; Malaysia is 5.59; Thailand is 4.94.

1.2.2. Criterion of evaluating quality of HR in organization
According to MSc. Nguyen Thuy Hai – University of Economics and Technical
Industries, Duc Duong Pham – Southeast Asia – Vietnam Scientific Research Association
and so on, there are three main criterion of evaluating quality of HR, known as:
1.2.2.1. Criterion on mental power
In the presentation at the Spring Economic Forum 2015, Dr. Bui Sy Loi, deputy
chairman of the National Assembly’s Committee on Social Affairs, said that the quality of
labor is a big challenge for Vietnam. According to Mr. Loi, some of the main causes
affecting Vietnam’s labor productivity are the high proportion of workers in the
agriculture, forestry and fishery sectors, where the quality of labor resources is low as
career at the agricultural sector accounted for 46.6% but only generated 18.12% of GDP
(Chau, 2015).
1.2.2.2. Criterion on physical strength
HR is estimated on not only mental power but also physical strength. Physical
strength is rely on health status, living standard, income, diet, working and relaxing time,
medicine and gender.
On the other hand, the physical condition of Vietnamese workers is only at the
average-low level (both in height, weight as well as endurance, toughness), therefore the
labor forces mostly do not meet the intensity of work and requirements in using equipment
compare against the international standards.
Relevant to health care, HR can be described as different types of the health clinic
and non-clinical staff responsible for public and individual health intervention. It is
considered most important of health care system, the performance and advantages that
fulfilling only the knowledge, skills and motivation. The relation between health and HR is
extremely complex.
1.2.2.3. Criterion on intellect
The intellect includes talent, aptitude, as well as belief, human being within every
single person.
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In addition, labor discipline is inferior to many countries in the region. A large part
of workers is currently not trained in industrial labor discipline, arbitrarily about time and
behavior. Workers are not equipped with knowledge and skills to work in groups, lack of
ability to cooperate and bear risks, no team work, no sharing ideas and afraid of promoting
initiatives and experiences.
1.3. Improving quality of HR in organization
According to Assoc. Prof. PhD. Pham Van Son (Binh, 2015), who is director of
Center for Training support and HR supplying, the Ministry of Education and Training,
said that the Vietnamese labors have great chances to participate in the work of both Asian
and international career. However, Vietnam is urgently required for higher demand quality
of work.
On 20th March 2019, the Institute of Workers – Trade Unions (Vietnam General
Confederation of Labor) held a workshop to discuss solutions to improve the quality of HR
and mange skilled labor to meet the requirements, integration demand. At the seminar,
experts and scientists exchanged and analysed the characteristics, opportunities, challenges
and impacts of skilled labor movement on socio-economic and urban development (Thu,
2019).
1.3.1. Conceptions
Improving the quality of enterprise human resources: The overall content, method,
and method of changing the factors that constitute the quality of human resources in the
direction of development in a reasonable manner in terms of scale (quantity) and
qualifications (quality) to meet the requirements of business development goals with
increasing efficiency. Improving the quality of human resources is to increase the value of
people; both material and spiritual values; both intellect and soul as well as professional
skills, making people become laborers with capabilities and higher substances, meeting the
increasing demands of socio-economic development. From this perspective, the author said
that improving the quality of human resources is to improve working capacity, job

handling skills and attitudes in the work of human resources working at enterprises.
HR management development increases while making better activities at health
care, mind train, and people knowledge applying to work reaching standard level to
develop economy and social mission of a business or country. On the other hand, quality of
HR directly supports and affects the economy growth, which reveals people quality of life.
Improving the quality of HR is an important theme of HRD including improving
health, intelligence, ethic, ability, skill, and other activities for employees. Simply, in order
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