Improvement of research and develop processes at BT chemical company

HO CHI MINH CITY OPEN UNIVERSITY
BRUXELLES

UNIVERSITÉ LIBRE DE

SOLVAY BRUSSELS SCHOOL OF
ECONOMICS & MANAGEMENT

MPQPM4

NGO DUC MINH

IMPROVEMENT OF RESEARCH AND DEVELOP
PROCESSES AT BT CHEMICAL COMPANY.

MASTER FINAL PROJECT
MASTER IN BUSINESS QUALITY AND PERFORMANCE MANAGEMENT

Ho Chi Minh City
(2014)


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ACKOWLEDGEMENT

During the time I studied master program of SOLVAY BRUSSELS
SCHOOL, I was supported a lot from my supervisor , Dr. Jacques Martin not
only has three helpful and exciting modules : Business Strategy, TQM and
Performance Valuation, but also fully support us in information transferring ,
giving direction for self-study and specially providing me great ideas and

advisement for my final report.
Besides that, all of professors who handled all our modules provide us
a lot in knowledge, conception, new broad thinking and many modern
methods that are useful not only for study but also for my own career.
I graduated and be working for Technology field, not in Management
field. So when I join this program, I learned a lot, understand something I feel
strange before and important thing is I know how I can improve my career ,
my work place and contribute for my company.
I would like to thank to my supervisor in BT Chemical Company, Mr
Tam- Director, who support me all condition in term of time, data and
customer contacts to collect data and make this report.
I would like to thanks to Ms. Ngoc Hien - Solvay Program
Coordinator- for her support whole the Master Program and a perfect
coordinator in proving useful information relate to final Project and all
modules of this program.
Last, I would like to express my gratitude to my all class mates who
always do not hesitate to support me in document, methodology, noting me
some works that I nearly missed.
Thank you all, I really have a good time in my life with this program. I
saw and felt new horizon of knowledge, have broad thinking and many
interesting friends. I wish you all have a good life and more successful in your
own career.


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ABSTRACT
All companies, Organizations always aim to become bigger and more
valuable. Developing an organization is not simple. It needs long-term strategy,
good direction and be supported by all company members.

A Chemical Company provide goods follow market demands, new
requirement and face to fierce competition, it has most of added values come from
Research and Develop activities and Production. So clearly to see the priority of
improvement must be put into RD operation. This department has vital role for
demand adaptability, give the power to help company to sustainably develop.
RD activities require highest level of staff’s education, the works are so
complicated and change every day. So improvement of RD department performance
requires differently, strictly in process, recruitment, manpower organizing.
This report aim to not only recommends the direction for RD activities
through customer feedback analysis, the defect and cause analysis then giving more
ideas for improvement direction but also prove out full plan to improve total
performance of RD department.


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CONTENTS
ACKOWLEDGEMENT .............................................................................................3
ABSTRACT ................................................................................................................4
CONTENTS ................................................................................................................5
INTRODUCTION.......................................................................................................8
I. BT Chemical Company business description ..........................................................8
II. Structure of BT Chemical Company ..................................................................8
III.RD departments and its role in company business .............................................9
IV. Need of Improvement .......................................................................................9
IV.1. Operations of RD department. ....................................................................9
IV.2. Main weaknesses of recent operation lead to need of improvement........10
PART A: ESSENTIAL WORKS FOR RD DEPARTMENT PERFORMANCE
IMPROVEMENT. ....................................................................................................12
I. Situation of BT Chemical Business performance ..............................................12

I.1-Customer satisfaction analysis .....................................................................12
I.2- Products Quality Follow up analysis. .........................................................16
II. Essential works for performance improvement ................................................18
PART B: DEPLOYMENT. .......................................................................................19
I. Re-organize RD man power ...............................................................................19
I.1- Why to re-organize RD man power ............................................................19
I.1.1-Make all processes run smoothly. .........................................................19
I.1.2- Increase adaptability of RD department and increase awareness of each
person. ............................................................................................................19
I.1.3-Make people accept new structure and follow division. .......................19
I.2-How to do .....................................................................................................20
I.2.1- Valuating staff’s work load ..................................................................20
I.2.2- Make work division table .....................................................................21
I.2.3- Organize the structure of RD department ............................................22
II. New recruitment process for long term improvement ......................................23
II.1-Candidate resource......................................................................................23
II.1.1- Experience candidate ..........................................................................23


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II.1.2-Introduced candidate ............................................................................23
II.1.3- Recent staff .........................................................................................24
II.1.4- Common resource ...............................................................................24
II.2- Build up the RD job description for new recruitment ...........................24
II.3- Recruitment steps.......................................................................................25
II.3.1- General interview. ...............................................................................25
II.3.2- Specific interview or doing test ..........................................................25
II.3.3- Assessment ..........................................................................................25
III. Set-up Document system .................................................................................26

III.1- Documents for RD staff can self-study ....................................................26
III.1.1- Basic Knowledge ...............................................................................26
III.1.2-Advance Knowledge ...........................................................................27
III.2-Work document .........................................................................................27
III.3- Work community ......................................................................................27
IV. Set-up new raw material data based ................................................................27
IV.1- What is raw material data base.................................................................28
IV.2- How to collect the information, specification of material .......................30
V. Build-up new RD process ................................................................................31
V.1- Material Test ..............................................................................................31
V.2- Chemical Engineer work at RD department..............................................33
V.3-Process of making decision: improve recent products or develop new
products. .............................................................................................................34
V.4-Process of development new chemical product for furniture .....................37
VI. Build up KPI for RD staff and Dashboard for RD activities ..........................39
VI.1- RD staff assessment .................................................................................39
VI.2- RD activities assessment ..........................................................................40
VI.2.1-Building up Raw material data base: ..................................................40
VI.2.2- Product Improvement ........................................................................40
VI.2.3-New product development ..................................................................40
VII. Build up RD training program .......................................................................41
VII.1- When training is implemented ................................................................41
VII.2- Training classification.............................................................................42
VII.3- Training methods ....................................................................................42


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VII.4- Personal training plan: ............................................................................44
CONCLUSTION.......................................................................................................45

I- Which one is most important and high priority. ................................................45
II-Difficulty. ..........................................................................................................45
REFERRENCE .........................................................................................................46


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INTRODUCTION.
I. BT Chemical Company business description
BT Chemical is the local private company that produces mainly wood
coating for furniture and outdoor wooden products that was provide both for
exporting and domestic market. At the beginning of time, BT Chem
Company produces cashew oil coating, a kind of traditional and ancient
coating for furniture, now only use for handicraft products. During the
operation, top management realized that market of cashew oil went down
year after year and there are some substitutes that have proper characteristics
for wood coating such as NC lacquer, PU coating, AC coating… Solvent
based coating emerged and had been used mainly till now. BT Chem started
research and produce the solvent based coating to adapt market demand
beside keep producing cashew oil as company traditional products.
Now, BTchem has become the biggest local coating company for
furniture in Vietnam with13 years experience and over 25 million dollar of
sale per year. BTchem has number of customers that spread along the
country from South to the Middle of Vietnam and some provinces of the
North. Some segments of BTchem products competed directly with the
products that come from well-known foreign companies such as Serwin ,
Inchem….
II. Structure of BT Chemical Company

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III.RD departments and its role in company business
At the beginning, RD department only had two persons include
company director and one staff who supported him in all test and research.
At that time, there were not many competitors in market and the
requirements were not too difficult. That was the opportunity for BTchem
had time to adjust and create new things for that young markets. With only
two persons for new products research, products were poor in function, not
stable. But after a time, the market requirements increased so top
management decided to establish RD department to handle this.
Why RD department is key department. Beside the research for new
products, RD dept was put in charge to test new raw material for change in
some case or just for backing up. RD people make prototype of new product,
they also create procedure of making goods in small scale. Then, responsible
people will base on that procedure to calculate for production side. Because
of being the product makers, RD people know about to specification, raw
material safety and handling. So they have to issue the process and method
for quality control department and make the products document for customer
service and marketing activities.
Now we can see the responsibility of RD people across the
organization and be essential. RD department operate well, that impact
positively on all remain departments: Business, Customer service, marketing,
purchasing and QC as well.
IV. Need of Improvement
IV.1. Operations of RD department.
The process abroad has not been used yet. RD activities mainly
control by director and deputy manager. Every day, issues rise at customer,
Technical department, supplier and QC department are informed directly to
RD and Director or manager use their experience to find the way for each

issue and assign RD staff to do this. Issues can be new requirement,
complain, new raw material supplier. There are no issues classification and
no standardization of method to solve issues. RD staff will do just follow
manager direction and report to him ( most of case are oral report ) until
issues has done . In case, the issue is new product, prototype or sample is
sent to customer for trial but don’t have any way to be followed up and
sometime, issue is forgot. It’s potential of market lost because lack of
sensitive adaptability.
-New sample of raw material are sent to company, most of them are stored
and forgot. Only samples that company ask supplier because of need for
some improvement or new product, they will be test immediately. If the


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sample doesn’t work, supplier feel difficult to ask the result, maybe they will
be not enthusiasm to support company next time.
IV.2. Main weaknesses of recent operation lead to need of improvement
BTChem Company was established as a private small business of
family. At that time, most of staffs or members of BTchem are in the same
family or friends. So the way that this company runs not really a company.
It’s suitable with the business environment in the past. By this way, BTchem
was not worry too much about the labor management cost and organizing
manpower. Remember that the market at that time was so easy and there was
not a lot of competitors, so owner was able to reduce the management cost as
much as possible without any negative impacting on business ( if any, they
were not significant) . I recall this to explain some complicated things of RD
process now. Although the company grew up and achieve new level in term
of scale and business. But it still be impacted by the old ways of thinking,
methods and from old people still be working.

-RD department doesn’t have manager, only has person is called
deputy manager (it’s quite strange world but that it is) . Director is also RD
manager, he manage all activities of RD and all remain people must follow
his direction. The small scale company, this way is still good, because topmanagement can follow whole operation process tightly. But when the
company develops to medium scale and large scale, director have many
management activities beside technical issues. So, that the way BTChem is
getting massive day after day.
-As usual, customer information will be collected by Technicians or
Customer service center. Then these information will be stored at data base
and waiting for responsible persons take action (normally Technical
Manager and his assistances will arrange or assign people to work). But
Director really wants to involve to all his company operations, so he always
cut across the normal process and has some special ways/ short ways with
RD staff supporting to solve and feel that could be better.
-Some problems rise at customer side and be reported by Technicians.
RD staff, actually, director and his assistance will solve this, another staffs
only play role like supporter. Because:
- They were not trained enough
- They were not selected carefully in recruitment process( lack of basic
knowledge)
- There were no further plans to train staff. They feel to be difficult to
improve themselves and get promotion, so lead to lacking of staff
commitment.
-Another problem is other departments and whole related staffs are not
really understands how importance of information flow. They lack of system


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thinking, and commitment. Staffs don’t understand their Job or the result of

their work is where of whole system and their influence.
Common ground of basic knowledge of all staff is quite low, so there is big
barrier of learning new thing, acceptant new conception. Maybe it’s difficult
to carry out training activities and some process improvement, management
as well.
One more special things that slowed down the develop and became
barrier for innovations are all managers and some important position are old
and low education and have special relationship with director (relatives,
close friend, school mate…) so it’s hard for change or replacement. And
most of them are so persistent, difficult to absorb new things.
All staff did not really understand and follow the process, procedure
of their work. Technician and sale-man often provide information to wrong
person (information from customer sometime go to formulator or RD staff
without manager approval) and there are some miss-understanding between
provider and receiver that lead to wrong action and waste time.
-Maybe at this time, the strengths of Company still have more advantages
then influences of weakness, but for long term and stand on “sustainability
strategy view”, Company must have to have some changes. Below are some
points that we can have overview about the situation, talk in another way, the
negative points that impact, slow down the RD processes performance.
-The information of new raw material is not updated for related person
( formulator) so they don’t have enough data to improve or develop products.
After some description above, I summarize to nine weaknesses of
BTchem RD department
1. Obsolete thinking and structure of organization
2. Process interruption due to management
3. Management system did not work sufficiently
4. Lack of commitment and it’s difficult to satisfy Self-esteem needs
5. Lack of awareness of system thinking
6. Knowledge barrier

7. Passive thinking
8. The procedure was not followed tightly
9. Lack of data base


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PART A: ESSENTIAL WORKS FOR RD DEPARTMENT PERFORMANCE
IMPROVEMENT.
I. Situation of BT Chemical Business performance
In order to know how to improve the RD department performance, we
analyze company business performance throughout the customer satisfaction
and the stability of product quality. After we realize the gaps that negatively
impact on performance, we will link to RD function. Because RD
department has main key role of company business, we realize which
processes of RD department can be improved to fix these gaps.
We have two analysis : Customer satisfaction analysis and products quality
follow up analysis.
I.1-Customer satisfaction analysis
This analysis base on the result of Customer survey see appendix A) I
desired I collected when I came to customer for products introduction or
Production trial.

Table 1

See the table 1 (here is a part of this survey, please see appendix A for full
content).
-The survey structure has 9 questions and optional answer for each question
and column of mark for each answer. Each question I consider as one
essential attribute that I want to collect customer‘s comments about it.

-Severity column: how the attribute impact on business .
-Criteria of severity:
 1: no impact directly, this is attribute may considered if all remain ones are
fulfilled.
 2 : no impact directly, but it’s necessary for long term improvement
 3: impact slightly, can be compensated by some advantages.
 4: impact directly and need to be adjusted
 5: impact strongly and need to action immediately


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Attributes that correspondent to questions are showed in table 2

Table 2

1. Reputation : how customer think when hear about BTchem in somewhere or
at in their production process
2. Company image: how new customer think when they see or contact BTchem
.
3. Stability: the quality of products. How they work at customer side.
4. Quality: the quality of product meets the agreement or not.
5. Adaptability: how products of BTchem satisfy their customers. Do they
adapt new demand or new requirement or not
6. Competency: competency of technician or staff, how they satisfy customer,
how they solve the problems if they occur.
7. Professional manner: how BTchem’s staff pay attention on their job, they
willing to do extra work if need or not. How they respect customer.
8. Packaging: the pack of product have full information or not, does it make
impressive with customer or not and make customer feel pleasure and

confident when they use.
9. Delivery: the delivery is on time or not, and is it possible to deliver in
advance in some case or not.
The formula for calculation:
 Score or mark : Base on the answer
 Overall score = Score multiply with severity
 Customer valuation index = summery of all attribute Overall score
I bring this survey to customer side and find responsible person that is handling
production and directly using our products to collect answers. Then I calculated
Overall score/mark of each attribute and customer valuation index for each
customer.
By this survey, In 5 months I collected a series of customer feedback that were
classified clearly in important attributes and calculate a series of customer
valuation index.
The survey was done by 28 customer in 5 months and we did analysis on this
data.
Collected data and calculation table please see appendix B


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Table 3

*Table 3 was calculated to analyze customer valuation of each attribute.
Total score of each attribute is calculated by summery of 28 scores of 28
customers.
Percentage = Total score/ (4 * 28)
-4 is max score of each answer
-28 is number of customer did survey.

Figure 1

Figure 1 show which attribute has best valuation and which has worst valuation.
-We can see, the highest score belong to Quality, that the reason BTchem
business till be good now. However, Delivery, Packaging, Adaptability have
low score. They just be higher than average a little bit. Three attributes are
very important to keep customer satisfaction. Now a day, beside quality, the


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packaging is considers as sale quality. It helps company attack to new market
easier and have good impression with customer. Adaptability is ability to
keep, protect customer. Company can adapt the changes, requirements from
customers. While delivery strongly impact on customer satisfaction.
We can see clearly BTchem has potential to go down in the future because
there are more and more strong, experient and well-know competitor appear
on the market. BTchem really need some improvement.
The survey will be done every 5 months and also use to calculate Average
Customer Index
Average Customer Index = ( summery of customer valuation index )
divide to total customers that did the survey in 5 months.

Table 4

In over 2 years , We have series of Average Customer Index that was showed in
table 4

Figure 2

Then I draw figure 2 to realize the trend of customer satisfaction.
The chart show that Average Customer Index slightly goes down in near
time. That is the signal to realize BTchem need action. This idea support the
thing we realized in custom satisfaction survey - BTchem has potential to go
down in the future.


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I.2- Products Quality Follow up analysis.
Defect of products is very important thing that production companies as
BTchem focus firstly. It shows that company operation is stable or not,
customer satisfy or not, the sale forecast is good or not.
We go to details of products defect so that we can realize what need to
improve and how to improve sufficiently.
Technical department has responsibility to collect data of defects that
occurred in customer’s production.

Table 5

Defect’s data structure table (see table 5- For full content of this table, please see
appendix C: Data of production follow up ) :
-Production stage : the production of customer often( always) include many
stage depend on their color sample, their quality ( chemical/mechanical
quality) .In this table, the stage that was noted is the stage have problem(
defect occur)
-Defect: there are several defect of coating, they were indentified, named and
have investigation for root cause.
-Product: the kind of coating that customer was using and got defect.
-Root-cause: the cause of defect was identified after being investigated by

Technician.


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Table 6

One defect often has more 2 to 3 cause and corresponding to solution.
Technician and RD dept prove and standardize the corrective action and
preventive action. Base on history of problem in production ( customer) and
investigate causes problems, we summarize them to create the table 6 that
include defect name ( just some common defects in production), causes,
corrective action, preventive action so that, technician or customer’s operator
can identify and solve problem by themselves .
This table will be revised and update once of 3-4 months.
* For full content of table 6, please see appendix D : Defects and cause - Classification

Table 7


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Figure 3

I use table 5 to collect data of common defects, their frequency and
their common cause (the cause often lead to defect). This data to be reorganized and draw chart(see figure 3) to recognize the most cause of defect,
and know which process of company have error to lead that cause or which
process of company need to improve to prevent that cause.
We can see, most of defects of Btchem products are classify to two defect
mode: orange peel and cratering. And the root causes are

Orange peel defect: The temp is too high, so solvent go up faster and no time
for leveling.
Cratering defect: Oil in high pressure air.
They seem belong to customer responsibility, but let’s “customer focus”
think. Why we don’t develop a product that be able leveling at large range of
temperature. It’s really difficult issues for RD department of BTchem,
difficult in term of technical, technology and raw material.
II. Essential works for performance improvement
-Customer satisfaction analysis shows the high priority of enhancing
company adaptability that relate tightly to RD department. This kind of
ability is important to improve customer satisfaction.
-RD department must be increase power to help company has more
competitive advantages. In detail, RD has to develop totally in staff skill,
structure, process, mind set.
Combine the result of analysis and the weaknesses of RD operation were
realized. We find essential things/works that are important help improve RD
department performance.
-RD department essential works for performance improvement
 Re-organize RD man power
 Build up new recruitment process
 Build up Document system
 Build up new raw material data based
 Build up RD activities processes
 Build up KPI for RD staff and Dashboard for RD activities


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 Build up training RD staffs program
PART B: DEPLOYMENT.

I. Re-organize RD man power
I.1- Why to re-organize RD man power
I.1.1-Make all processes run smoothly.
Manpower should be organized sufficiently to make routine jobs of company
or department run smoothly. Company always has two kinds of activities:
sudden activities and routine activities. Sudden activities can be an opportunity,
an issue, trouble, problems and people who handle them must need
brainstorming. But this is the good chance to get promotion. That is selfassertion. In another hand, routine jobs are so bored. People nearly do the same
things day after day. If they done them well, that is normal, there are no rewards.
But if something wrong happens, they will be blamed. So people tend to prove
them-self and they often like sudden work. The structure of work and divide
jobs clearly is necessary to prevent misunderstanding between staff and make
sure everyone have change for promotion and routine work run smoothly.
I.1.2- Increase adaptability of RD department and increase awareness of each
person.
If there are suitable manpower structure, staff always know clearly
work flow, they can self-study about the job in advance or ask training if
they feel necessary. Company have plan for them and set up training
schedule. Through that, staff are developed ability, increase adaptability and
awareness. Ensure everybody have the same opportunity to improve
themselves.
I.1.3-Make people accept new structure and follow division.
Best thing that people feel pleasure to abbey the division is
transparency. Top management should public their intention, goals and
direction of all activities. Leader emphasize that the chance for promotion is
equal for everyone. That base on staff’s effort and achievements and
contribution for company or department. Top management public all
personal achievements , the reason of all promotions . In order to people can
understand man power arrangement and that motivate staff take more effort
to catch up opportunities. Everybody realize the difference between them

and others. Understand the order and Hierachy
Beside the transparency, there are some private arrangements. Top
management has to set up personal plan for each staff. Personal plan have to
be discus with staff. That must satisfy below conditions:
 The plan must meet the personal strategy of staff
 Must have clear schedule.
 The target must be discussed and explain carefully. They must be
accepted by staff


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 There are training plan and guideline to make sure staffs have enough
condition to achieve their target.
I.2-How to do
I.2.1- Valuating staff’s work load
RD manager need to know staff work load in detail so that he/she can
suitably arrange. This prevents overload or waste time and manpower.
At the first, staff have to list down their recent work carefully and
exactly. Follow table 8 :

Works
name
Work A
Work B
Work C

Description

Report

to
Mr/Ms
Mr/Ms
Mr/Ms

Total using
time
4
13
27

Time
spending
(42 hours
/week)
Status
9.5% done
pendin
31.0% g
64.3% daily

Note

Table 8
 Work name : the name of work that need to be done
 Description: some note of this work: the purpose, reason, what
it solve..
 Report to : name of person that follow and revise the result of
work
 Total time using : time to make work done ( except

interruption, waiting time, pending time ,rest time)
 Time spend : percentage of using time on total working time a
week ( 42 hours /week)
 Status: is it completed, pending, delayed or percentage of
completed.
 Note: if pending or delay, give some reason or special thing
relate to this work.
This table aim to manage work load for RD staff . , each person
will has it every week. See the table, we can know what staff did, how
many work this person do in one week, how he/she spend time for
each work ( reasonable or not) , status of work ( done or not) and who
follow and check the result.


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With this table, manager will know staff work load and he/she be able
to handle more job or not. Manager can realize using time is
reasonable or not so that manager can revise process or rearrange
manpower or detect some case that staff need be trained.
I.2.2- Make work division table
Base on each staff ability and work will be evaluated the level
of difficulty. Works are divided to
suitable staff with reasonable
time frame.
Difficulty of work is classify to A, B, C,D classes.

Difficulty
class
A

Description
Need skill, strong knowledge,
specific experience

Time frame (
hour)
10-25

Responsible
person
Mr A ; Ms C

B

Need skill and knowledge

5-12

Mr D; Ms F

C

Need skill

3-9

Mr T; Ms L

D

Simple and low-skill work

1-4

Mr R; Ms K

Table 9
Table 9 aims to classify the work so that manager can see the level of
difficulty of work, some description, reasonable time to do and who have
enough competency to handle it.
Base on this classification, work division will executed follow table 3 :
Work
name
Work A
Work B
Work C

Description

Difficulty
class
A
C
B

Man in charge
Ms C
Mr D
Mr T

Needed time
( hour)
14
3
8

Deadline
13-Feb
15-Feb
17-Feb

Table 10
Table 10 is work division table. Manager will create it every week for
all staff, so staff will know what they need to do and make their own plan to
complete them base on deadline


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Manager only need basing on table 1 and 3 can divide works and
manage time effectively. At the end of week, staffs prove work load report to
show how they spend time and status of their work. Base on this report and
new requirement (new work), manager decide to assign more work or not,
and evaluate effectiveness of staff.
I.2.3- Organize the structure of RD department
For being convenient to report and request instruction/direction and
also upper level staff can ask the support from lower level staff, it’s
necessary to organize structure of staff. I suggest below structure ( see figure
4)

Figure 4

-Deputy managers manage staffs follow their arrow on structure diagram and
have responsibility with them in term of training, instructing ,work division and
evaluation. Deputy manager will report to RD manager daily or weekly. Beside
management activities, deputy manager till do their work follow the master plan.


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-In some case that be necessary, upper level staffs right to ask support from
lower level staff follow their arrow on diagram. Extra work must be noted and
showed on weekly report and be classified follow table 2.
Re-organize RD manpower must be done and communicate to every one at
company in all department. So that, the cooperation will be easy to implement
and make sure information flow go right direction without missing or
misunderstanding.
New structure must be revised and edited or adjusted if necessary in order to
work flow run smoothly and improve adaptability of RD department.
II. New recruitment process for long term improvement
II.1-Candidate resource
II.1.1- Experience candidate
Candidates who come from another companies have the same level of
position. Maybe they haven’t done the same job before but they have
background that may be suitable for company strategy.
Advantages:
 They catch up work easily and have experience for problem solving.
 They also understand the procedure and system thinking without spending
time for training.

 Besides their own skill they also have relationship that is benefit for
company such as Customer information, relationship or new material
resource and so on.





Disadvantages:
Experience candidate tend to jump their job if some where offer them more,
it’s difficult to get their loyalty.
Company must have special policy to treat them.
They ask to be paid higher than people at the same level of position.
Their thinking was not fresh so it’s difficult to re-setup their mindset to
follow company strategy.

HR resource or top management have to revise and check carefully their
reference. That mean be aware about the reason they quit the previous job and
how they perform at there.
II.1.2-Introduced candidate
Candidate who is introduced by recent staff at company, is their relative, their
friend, or have business relationship.
Advantages:
 Candidate is guaranteed about the honest, carefulness and reliability by
the one who introduced them.


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 Building up strong relationship between organization and staff.

Disadvantages:
 There are potential of faction creation , that may harm to management
activity and in general it harm to business.
Besides advantages, this kind of candidate must satisfy all requirement of
job they apply.
II.1.3- Recent staff
Advantages:
 Save time for recruitment :Company know clearly their back round,
ability and performance, so promote them to new position without any
recruitment process .
 Giving motivation to another staff at company: they see and understand
the opportunity share everyone equally.
Disadvantages:
 The change in work environment may impact positively on their attitude
 Their mindset is difficult to change if there are some new method or
concept that be necessary for improvement.
Although full recruitment process is not necessary, but their new manager need
to reference their previous manager about the attitude and commitment ,
weakness.
II.1.4- Common resource
 Announcement in public media
 Head hunting ( if necessary)
 Just graduated student
II.2- Build up the RD job description for new recruitment
In other to hire right people for right position, manager have to know exactly
what they need what company need and how the candidate adapt. Job
description is just a list of work that candidate will do every day in future and to
fulfill this, which skill they should have and what they need to learn and what
they be train. Candidate will see their private strategy inside the job description
or not, so that they decide to proceed or not.

Because of the importance of job description, it will be created by
responsible person that is knowledgeable and have specific skill. Description
must be approved by related top management who has multi-view about the
business.


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RD job description have two main parts: requirements and opportunities . All
detail is presented shortly and clearly so that people understand easily and
realize they are may suitable or they feel like the proved opportunities or not.
Self-fulfillment, highest level of labor need, is concerned with employees fulfill
their inside ability or potential. Especially the RD staffs must meet this need.
They have change to improve them-self in term of knowledge, experience. They
can be allowed to work independently and be possible to involve all issues that
the company have and support, consult for manager or colleagues . Through
that, the employees have the confidence and feel they’re important and have
responsibility. This lead to high awareness, self-conscious and working
effectively, creatively
Work environment must be comfortable, competitive, motivative. So that
employees have good condition to work effectively and become creative in
R&D job, give more added value to the company’s product ,develop new things
so that we can maintain competitive advantages.
II.3- Recruitment steps
II.3.1- General interview.
Candidate read and understand job description and apply their CV and be invited
to interview with HR department. Some attributes are reviewed in this interview
 Appearance: Candidate must have normal strength health and no
malformation.
 Status: the marriage status and job status .

 Communication skill.
 The honest.
II.3.2- Specific interview or doing test
Base on the complicated of Job, the requirement of RD department, the suitable
test or interview is build. Test must be satisfied some requirement:
 Clear and specific content
 Force candidate have brainstorming, put suitable pressure on them so that
they can expose their weakness.
 Be able to valuate adaptability and flexibility of candidate
 Be not too long.
II.3.3- Assessment
Assessment table is a list attributes that be assessed and the severity of these
attribute. Average score of each jury be calculated and multiple with severity to
be score of candidate.


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Table 11

Score table( table 11) is made to valuate the candidate in several attribute by
two Jury with scale of mark is 10 .
Each attribute have severity ( how important that attribute is) with scale 5 .
Criteria of severity.
 1 : no important, for the job candidate apply. But if he/she has is better.
 2: slightly positive impact for RD work ( in this case)
 3: refer attribute for RD staff
 4: to ensure candidate have ability to handle RD job
 5: vital attribute for RD job.
Selection base on Total score, the candidate who have highest score will be

offered.
-Final step salary offers, will be done by HR department. If the deal is fail,
the next highest score candidate be called.
Remember there are lowest score that be acceptable. If no more candidate
exceed this score. RD and HR department must keep doing recruitment.

III. Set-up Document system
Document for RD play important role in RD development. There are some kind
of documents that be stored or create at RD office.
 Documents for RD staff can self-study
 Work document
 Work community
III.1- Documents for RD staff can self-study
III.1.1- Basic Knowledge