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MINISTRY OF PLANNING
MINISTRY OF EDUCATION
AND INVESTMENT
AND TRAINING
CENTRAL INSTITUTE FOR ECONOMIC MANAGEMENT

TRAN QUOC HIEU

STATE MANAGEMENT
OF HUMAN RESOURCE DEVELOPMENT IN
MILITARY-SERVING GARMENT ENTERPRISES
IN THE CONTEXT OF INTERNATIONAL
ECONOMIC INTEGRATION

Major: Economic Management
Code: 9 34 04 10

SUMMARY OF DOCTORAL THESIS
OF ECONOMICS

Hanoi - 2018


ii

The work is completed in :
CENTRAL INSTITUTE FOR ECONOMIC MANAGEMENT

Supervisor : ASSOC. PROF. DR. NGUYEN VIET VUONG


Reviewer 1: Assoc. Prof. Dr. Ngo Quang Minh
Reviewer 2: Assoc. Prof. Dr. Phan Tung Son
Reviewer 3: Dr. Nguyen Van Thong

The thesis is defensed in front of the Examination Board of
the Institute in the Central Institute for Economic Management
At

(time)

, dated

month

, 2018

The thesis might be referred in the following libraries:
The Library of the Central Institute for Economic Management
The National Library of Vietnam


1
INTRODUCTION
1. The necessity of the thesis
Within the context of international economic integration, business
environment and competitiveness is expanded globally, human resource
(HR) becomes a basic element, which creates competitive advantage of
nations, of economic sectors and of enterprises. This process makes the
domestic and export garment market develop rapidly, creating many
opportunities for Vietnamese garment enterprises generally and the

military-serving garment enterprises (MSGE) particularly to expand their
markets and study experience. The HR demand for these businesses will
increase. It is estimated that by the year 2020, there will be 3.3 million
laborers being employed for this sector and the number will be 4.4
million laborers in 2030. However, due to lack of investment in human
resource development (HRD), garment industry is coping with a serious
shortage of labors, leading to competitiveness in attracting labors within
the sector, decreasing the general competitiveness of the whole sector and
causing difficulties to MSGE.
Aiming at completing well the mission of serving the army, creating
the strategic arrangement of the nation in terms of economy – defense –
security – culture – society, while ensuring economic efficiency,
producing products to serve the civil demand nationally and
internationally, contributing to maintaining and developing defense
potential, the MSGE are required to have a strong HR which is qualified
in the quantity, structure and quality. The participation and improving
quality of the activities of the state management agencies on HRD in
MSGE are in need; state management of HRD in the MSGE needs to be
renewed and enhanced effectively. Therefore, it is necessary to study the
topic “State management on human resource development in militaryserving garment enterprises in the context of international economic
integration” which has both theoretical and practical significance.
2. Purposes and meaning of the research


2
* Research purposes: The purposes of this thesis research are to
provide scientific arguments for planning, building, reforming the
strategies and policies on HRD in MSGE.
* Theoretical meanings: The thesis contributes to studying,
developing theoretical basis, methodology and contents, methods of

analysis, evaluation criteria of state management on HRD in businesses in
general and in military companies in particular.
* Practical meaning: The thesis contributes to studying solutions to
renovate the state management on HRD in MSGE, thereby, implementing
the Vietnam Human Resources Development Strategy in the period of
2011-2020. It provides scientific arguments for management agencies to
plan, build, reform and implement the policies, laws on human resource
development in businesses generally and in economic military
companies, MSGE particularly in order to improve the effectiveness and
efficiency of the state management on HRD in businesses.
3. Structure of the thesis
Apart from the introduction, conclusion and recommendations,
references and annexes, the thesis is structured into 4 chapters as
follows :
Chapter 1: Overview of the researches related to state management
of human resource development in military-serving garment enterprises.
Chapter 2: Theoretical basis of state management on human
resources development in military-serving garment enterprises in the
context of international economic integration.
Chapter 3: Current situations of state management on human
resources development in military-serving garment enterprises for the
period 2011-2016.
Chapter 4: Solutions to renovate state management of human
resource development in military-serving garment enterprises in the
context of international economic integration in the period up to 2025.
CHAPTER 1. OVERVIEW OF THE RESEARCHES RELATED
TO STATE MANAGEMENT OF HUMAN RESOURCE


3

DEVELOPMENT
IN
MILITARY-SERVING
GARMENT
ENTERPRISES
1.1. Overview of the published researches related to state
management of HRD in MSGE.
1.1.1. Overview of research on HRD
The researches on HRD are approached on a macro level and
address the following issues:
Firstly, HR is a source of capital. If being developed and promoted it
will have great contribution to the businesses as well as the locality,
sector or nation.
Secondly, the HRD contents include assessing the variability of the
HR in terms of HR quantity, quality and structure and effectiveness of
using HR.
Third, for different regions, localities, sectors, fields or enterprises,
HRD has different features.
1.1.2. Overview of the research works related to state management of
HRD in MSGE.
The researches on the state management of HRD in enterprises have
studied and mentioned the following issues:
Firstly, the comprehension of state management is determined as the
State’s roles in HRD, including 4 contents: (i) HRD orientations; (ii)
Implementing to make a legal framework and environmental framework
for the HRD; (iii) Direct intervention, regulation of HRD; (iv)
Examining, monitoring and inspecting the implementation of the policies
and laws on HRD
Secondly, the assessment of state management on HRD is based on
four criteria, which areeffectiveness, efficiency, suitability, and

sustainability.
Thirdly, the state management of HRD in each locality, sector, each
type of enterprise also has its own characteristics.
1.1.3. Research achievements and the issues need to be further
researched and clarified


4
1.1.3.2. The issues in the thesis which have not been addressed by
published researches
- Most of the researches on HR, HRD are from the point of view of
corporate governance while less of them study from the perspective of
state management on HRD.
- There has been no specific research on the state management of the
HRD in MSGE and the specific conditions of international economic
integration to the HRD in the MSGE. The HRD methods and the contents
of the state management of HRD in the companies under the Ministry of
Defence have not clearly defined.
- The system of criteria and norms for evaluating the effectiveness
and efficiency of state management of HRD has not been established yet.
Theoretical framework for reforming state management of HRD in
enterprises under the Ministry of Defence has not yet been fully
formulated. This is the issue that the thesis will continue to study and
solve.
1.1.4. The issues which will be focused, researched and solved in this
thesis
- The thesis builds the theoretical framework for analyzing,
generalizing and developing the basic theories on HRD and state
management of HRD in enterprises.
- The thesis analyzes and evaluates the status of HRD and state

management of HRD in MSGE in the context of international economic
integration, thereby draws the advantages, limitations and causes.
- The thesis outlines the objectives and orientations of HRD and
renovation of state management of HRD in MSGE; It then proposes a
system of innovative solutions for state management of HRD in MSGE
until 2025.
1.2. Orientations to solve research problems of the thesis
1.2.1. Research objectives and research questions of thesis topic
The general objective of the thesis is to clarify the scientific
arguments in both theory and practice for proposing directions, solutions


5
for innovation, enhancing the effectiveness and efficiency of state
management HRD in MSGE in the future.
1.2.2. Research questions of thesis topic
- What are the contents of state management of HRD MSGE? What
are the evaluation criteria for State management of HRD in MSGE?
- What are the factors, which affect the state management of HRD in
MSGE? What are the characteristics of the MSGE that affect the state
management of the HRD in MSGE?
- How does international economic integration affect, bind the state
management of HRD in MSGE?
- How is the need for innovation of state management of HRD in
MSGE?
- What are the solutions to renovate state management of HRD in
MSGE, which meet the practical requirements and conditions for
international economic integration?
1.2.2. Research subjects and scope of the thesis
- Research subjects: the theoretical and practical issues of state

management of HRD in MSGE in Vietnam.
- Research scope:
+ Regarding contents: (i) Theoretical issues on HRD and state
management of HRD in enterprises; (ii) The status of HRD issues and the
state management of HRD in the MSGE; (iii) Direction, policy of state
agencies on HRD in MSGE in international economic integration.
+ Regarding space: Some garment companies under the General
Department of Logistics and the Military Regions, the Military Divisions
include: TCT 28 One Member Limited Company, X20 Joint Stock
Company, Joint Stock Company 26, Joint Stock Company 32, Garment
Joint Stock Company 19/ Air force – Air Defence, Textile Joint Stock
Company 7/ Military Region 7.
+ Regarding time: Research data in the period from 2011 to 2016
and proposed solutions until 2025 and the following years.


6
1.2.3. Approach and research methodology of the thesis topic
- Research approach: The thesis approaches the research subjects
from the perspective of the role of the State to HRD in garment industry,
in particular the MSGE managed by the Ministry of Defence.
Specifically: Approaching from the perspective of roles, functions and
duties of state management agencies. Approaching from HRD
management contents, methods and tools which are used by HRD
managing entities to promote the management and regulation of HRD in
MSGE in the context of international economic integration.
- Methods of collecting and processing information and materials:
+ Data collection, secondary processing from published research and
data, etc; Primary data collection through surveys, sampling, including:
research sampling of 5/6 MSGE, 3 Groups of subjects - 317 samples

(individuals are employees in enterprises; individuals are governing
officials in enterprises; individuals are managers in 06 state management
agencies). All the selected groups of respondents are surveyed in two
sample designs (questionnaires). The questionnaires use the Liker scale
(1-5) to measure.
+ Regarding primary data, the thesis uses computer softwares such
as SPSS for processing and analyzing. Regarding secondary data sources,
the thesis aggregates, re-statisticizes them for describe, compare, and
deduce.
- Research methods of the thesis
+ The methods such as analysis, demonstration, statistics and
comparison are used to study the current situation of the state
management of HRD in MSGE.
+ Systematization, integration are used in general research, research
in theoretical basis of state management of HRD in MSGE.
+ Interpolation and extrapolation methods are used in studying and
proposing the solutions to renovate and improve the state management of
HRD in MSGE.
1.2.4. Research framework of the thesis


International economic integration of Vietnam

7
Theoretical basis of state management of
HRD in MSGE

Identify contents, affecting factors
and evaluation criteria ò state
management of HRD in MSGE


Primary data through
investigation, survey,
questionnairs,
interview…

Achievements

Overview of researches in
state management of HRD in
MSGE

Determine features
and requirements of
HRD in MSGE

Analyse status of state
management of HRD in
MSGE

Existences, limitations and
reasons

Propose solutions to renovate state management of HRD
in MSGE

Determine roles of the
State to HRD in
MSGE


Secondary data from reports,
statistics, materials of
managing agencies,
companies, books, magazines,

Context, opinions,
orientations and
objectives of eforming
state management of
HRD in MSGE

(Source: Author of export)
Diagram 1.1 Research framework of the thesis
CHAPTER
2:
THEORETICAL
BASIS
OF
STATE
MANAGEMENT ON HUMAN RESOURCES DEVELOPMENT IN
MILITARY-SERVING GARMENT ENTERPRISES IN THE
CONTEXT OF INTERNATIONAL ECONOMIC INTEGRATION
2.1. MSGE and HRD in MSGE in the context of international
economic integration.
2.1.1. MSGE and characteristics of human resource in MSGE
2.1.1.1. MSGE
- Concept: MSGE is a State-owned enterprise or a joint-stock
company with State capital contribution and the Ministry of Defence
represents the State as the owner, operating in the field of garment,
having the functions of supplying and ensuring military equipment for the

Vietnam People's Army while producing and carrying out garment
business to supply to the domestic market and export to seek profit.


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- Characteristics: According to the characteristics of equity capital,
MSGE can be classified into MSGE with 100% state owned capital and
the MSGE with over 50% of charter capital owned by the State or the
MSGE with less than 50% of charter capital owned by the State.
Regarding type of enterprise, they can be classified as 100% state-owned
one member limited companies or joint stock companies. Regarding
operational objectives, it is possible to understand that MSGE are dual
purpose enterprises which both perform defense tasks and carry out
production and business to seek profits.
2.1.1.2. Human resources in MSGE and characteristics of human
resources in MSGE
- Concept: Human resource in MSGE is the current source of labor
in MSGE, includes the ones who are staff or have signed labor contracts
with the companies and are listed in the official list of the MSGE; subject
to the management, use and payment in accordance with the law and the
guidance of the Ministry of Defence.
- Classification: Within the framework of the thesis, based on the
work contents of the labors, the labors in the MSGE are divided into 3
types: the labors are the governing officials in enterprises; the laborers are
officials, workers; and other labors serve production.
- Features: HR is a part of HR in military enterprises, serving both
national defense and economic mission. HR has a military unit at a stable
rate, in line with the policy of the Ministry of Defence. HRs, which are
governing officials, are mostly military personnel, which is mandatory.
Especially, when the MSGE are capitalized, these officials are assigned

by the Ministry of Defence to be the representative of the State’s equity
capital in the enterprises.
2.1.2. HRD in MSGE
- Concept: Human resource development in MSGE is a process of
arranging, using labors, recruiting, adjusting the quantity and structure of
labor force in association with training and fostering in order to improve
professional skills and technical knowledge, occupational skills, culture


9
and occupational health, ... to suit the business and production
requirements of the MSGE in the present and future.
- Demand for HRD in MSGE:
+ For governing officials: gradual decrease in quantity, improve in
quality
+For the labors: At least 20-25% are skilled workers. Skill
requirements are divided into 4 levels: (1) Level 1: Approximately 85%
of the HR, which are simple skills. (2) Level 2: Approximately 10%,
which are input skills, average knowledge ... (3) Level 3: 3-4%, which are
relatively deep skills in fields . (4) Level 4: About 1-2%, which are the
intensive management skills, technical specialists ...
- Contents of development: (1) Quantitative development, (2)
Improvement of Human resource quality, (3) Rationalization of HR
structure, (4) Effective arrangement, use of HR.
2.1.3. International economic integration, industrial revolution 4.0 and
requirements for HRD in MSGE.
2.1.3.1. International economic integration
- Concept: International economic integration is understood as "The
process of linking the economy of each country with the regional and the
world economy through efforts to liberalize and open the economy in

different forms, from unilateral to bilateral, subregional/ regional,
interregional and global"
- Characteristics: It is a high development process of international labor
assignment; is volunteered by participating countries; is inter-national
coordination; is the solution of the two tendencies of liberalization and
protection; is an excessive step to promote globalization.
2.1.3.2 The fourth industrial revolution (4.0) and the impact on MSGE
- Concept: The industrial revolution 4.0 is the current trend of
automation and data exchange in manufacturing technology. It includes
physical networking, Internet connectivity and cloud computing.
- Impact on MSGE: MSGE must address the requirements of HRD,
re-arrange and relocate laborers in line with the modernization of


10
production lines and technologies to meet the requirements of improving
the competitiveness in the context of international economic integration.
2.1.3.3 Requirements for HRD in MSGE
(i) Identify the opportunities and threats in the integration process to
monitor and mitigate adverse impacts, ensuring that integration is a
process that seeks and benefits the country and the people.
(ii) State management should develop a HRD policy of high quality,
appropriate structure and feasibility to address the challenges of building
a knowledge economy and international economic integration.
(iii) HRD should be linked to human development, implementation
and protection of the legitimate rights and interests of the workers.
2.2. State management of HRD in MSGE
2.2.1. The nature, objectives and entities of state management of HRD
in MSGE
- Concept: State management of human resource development in

MSGE is the process of using the management tools of the Government,
the Ministry of Defence, relevant ministries and agencies and the
professional agencies of the Ministry of Defence to perform the function
of orienting the HRD. Establishing the legal framework, creating
environment and regulating HRD, supervising and monitoring the
implementation of legal policies on HRD in MSGE.
- Objectives of state management of HRD in MSGE: (1) Sustainable
HRD in MSGE; (2) Recruiting, managing, arranging, using HR, training,
fostering the HR in the right direction and in accordance with the law; (3)
HRD to ensure effective operation of MSGE.
- Entities of state management of human resource development in
MSGE: The Government unifies the state management on defence
economic enterprises, but the Ministry of Defence is responsible to the
Government for leading and coordinating with other ministries and
agencies to implement the State management on defense economic
enterprises including MSGE. The Ministry of Defence continues to
assign and decentralize the agencies and units to perform the functions of


11
the state management entities for MSGE in general and state management
of HRD in state management in sector and fields in particular.
2.2.2 Contents of state management of HRD in MSGE
The State implements the State management of HRD in MSGE on
the following principal contents:
(1) The State orients and regulates the HRD in MSGE in terms of
vision, strategy, planning and plan of HRD.
(2) The State creates the legal and environmental framework for
HRD in MSGE: Creates a legal framework for the development and
creates an environment for the development.

(3) The State inspects and controls the HRD in the MSGE to ensure
that the HRD is in compliance with the law, orientation and management
objectives.
2.2.3. Criteria for assessing the state management of HRD in MSGE
The thesis proposes a system of indicators for the measurement of
the criteria for conducting state management assessment as follows:
Table 2.2. System of evaluation criteria for state management of
HRD in MSGE
Criteria
Targets
(1) The adequacy and appropriateness of rules and
regulations.
(2) Implementation of Defense-security, economic tasks.
Effectiveness (3) Participation in planning HRD policies.
(4) Organization of state management apparatus to
military-serving garment enterprises.
(5) State control on HRD in MSGE.
(1) Efficiency in HRD investment.
(2) Efficiency in HRD strategic planning.
Efficiency
(3) Efficiency in labor attraction and recruitment.
(4) Efficiency in labor training and fostering.
(1) The objectives of state management of HRD in
MSGE contribute to completing the objectives of state
Suitability
management on MSGE and the national objectives on
economic growth, human development and defense-


12

security maintenance.
(2) The suitability of state management of HRD in
MSGE to the institutions of market economy and
international economic integration.
(3) The suitability and satisfaction of state management
to the requirements of the enterprises and the
characteristics and aspirations of the labors in MSGE
(1) The roles of MSGE in implementing defense –
security tasks and participating in building the economy
and state management of HRD in MSGE.
Sustainability
(2) Level of resource priority for HRD.
(3) Level of meeting the requirements on salary, income
of the labors.
(Source: Author of export)
2.3. Factors affecting the state management of HRD in MSGE
2.3.1. Internal factors: (i) The process of finalizing and promulgating
regulations and guidelines on HRD for MSGE; (ii) The state management
apparatus for HRD in MSGE; (iii) Capacity and qualifications of the
cadres and civil servants; (iv) Development level, management capacity
of MSGE; (v) Characteristics of human resources in the enterprise.
2.3.2. External factors: (i) Socio-economic characteristics of the country;
(ii) Laws, policies and mechanisms for coordinating the implementation
of state policies related to human resources development in MSGE; (iii)
Institutional capacity of the State.
2.4 Experience in state management of HRD in some sectors and
units and lessons learned for the management agencies of the
Ministry of Defence
The thesis focuses on reviewing HRD experiences in the Coal sector
in Vietnam and Dong Nai Industrial Zones Authority in order to draw

some lessons learned from the state management agencies of the Ministry
of Defence.
CHAPTER
3:
CURRENT
SITUATIONS
OF
STATE
MANAGEMENT ON HUMAN RESOURCES DEVELOPMENT IN


13
MILITARY-SERVING GARMENT ENTERPRISES IN THE
PERIOD 2011-2016
3.1. Overview of the current situation of MSGE and HRD in MSGE
3.1.1. Overview of the military-serving garment enterprises
The MSGE, on the one hand, conduct production and business
activities of garments, supply to the domestic civil consumption market
and export. On the other hand, the they produce and supply defense
products to the Army such as: military supplies in peacetime and
wartime.
- Particular characteristics of products and goods: Military
equipments are high standard goods. Materials, colors, designs, etc must
comply with the regulations of the State. Domestic and export garment
products are also high standard goods which are easy to apply
technology, modern production line, mass production. Therefore, it also
affects the demand for HRD in MSGE.
- Market characteristics: The market is sure to be ordered by the
Ministry of Defence to meet the military needs of the Vietnam People's
Army and the domestic and export markets that the enterprises have to

find themselves.
3.1.2. Current status of HRD in MSGE
3.1.2.1 Status of HRD in terms of quantity
In the period of 2011-2016, the rate of labor change in MSGE is
relatively large. Survey results are shown in Table 3.2 as follow:
Table 3.2 Labor change
of garment enterprises in the period of 2011-2016
Target

2011

2012

2013

2014

2015

2016

Labor (persons)
6,98
9,266
9,470 10,061 10,433 10,867
3Labor increase (%)
24.56
22.4
20.5
19.2

17.1
Labor decrease (%)
21.41
20.20
14.26
15.50
12.94
Tendency of change
- + 3.15 + 2.20 + 6.24 + 3.70 + 4.16
(%)
(Source: Report of MSGE and feature of the teat of the author)
3.1.2.2 Current status of HRD in terms of quality:


14

3.607
2.769

1.231

3.391

3.145

2.989
2.959

1.673


1.367

3.216

3.980

3.380

2.656

3.072

3.021

1.756

1809

1.689

1.807

1.789

1.939

1.365

1.479


154

214

328

416

503

96
2011

2012

2013

2014

2015

2016

1.280

Postgraduate
Vocational College
Primary vocational training

4.500

4.000
3.500
3.000
2.500
2.000
1.500
1.000
500
0

University
Secondary vocational training

(Source: Feature of the teat of the author)

Figure 3.1 Changes in HR qualification in military-serving garment
enterprises in the period of 2011-2016

3.1.2.3 Status of rationalizing the structure of human resources
5.9

2.4
21.2
Not suitable
Less suitable
Slightly suitable

40

Suitable

Very suitable
30.6

(Source: Feature of the teat of the author)

Figure 3.4 The suitability between the train majors with the current
work of the HR in military-serving garment enterprises
3.2. Analyzing the status of state management of HRD in MSGE in
the period of 2011-2016
3.2.1. Status of orientations and regulation of HRD in MSGE
3.2.1.1 General orientations on HRD
The Communist Party of Vietnam has developed many documents
which confirm the importance of human resources and promulgated the


15
guidelines and solutions for HRD of the nation, The State is now playing
the roles of orienting and regulating the HRD by issuing and directing to
conduct the HRD strategies, planning, plans, programs in the whole
nation and to each sector, each locality.
3.2.1.2. Regulation of HRD in MSGE
With the change in orientation, the goal of developing MSGE in
each stage of development, the state agencies have used their resources
through a system of management tools to regulate HRD in enterprises to
regulate HR in terms of quantity, quality, structure ... to meet the
objectives and requirements.
3.2.2 Status of creating legal and environmental framework for
HRD in MSGE
(1) Within the national scope, the National Assembly promulgated a
relatively complete law system which is the basis for the Government, the

Ministries and Sectors to have actual guidance and implementation.
(2) Within the Ministry of Defence: The MSGE are under the
governance of private policies, regulations to manage HRD in accordance
with the management of defense economic companies. The Ministry of
Defence promulgated many regulations and guidelines for military
enterprises to have concrete implementation. Regarding the state
management of HRD in MSGE, the Ministry of Defence has issued the
regulations on: managing, using labor, policies and regimes for the labor
in military companies; labor recruitment, promotion, appointment, etc.
3.2.3. Status of the roles in controlling HRD in MSGE
At present, the inspection and control system in the Ministry of
Defence is rather fully organized. The Ministry of Defence has also
developed the mechanism of regular and independent inspectinon,
examination, supervision and regulated the regime of self-examination,
monitoring and annual reporting regime.
In terms of the inspection of the compliance with HRD regime, policies:
Every year the state management agencies under the Ministry of Defence usually


16
inspect and check the MSGE, specially in occupational safety (economic
organizations) or combine the HRD examination contents for MSGE.
3.2.4. Analyzing the status of state management of HRD in MSGE subject
to the criteria such as effectiveness, efficiency, suitability and sustainability
3.2.4.1. Effectiveness: The thesis analyzes the effectiveness of state
management on 5 targets, including: (1) The adequacy and appropriateness of
the rules and regulations on HR management and development in MSGE; (2)
The implementation of Defense – security, economic tasks, (3) The
participation in planning HRD policies of MSGE, (4) The organization of state
management apparatus to MSGE and (5) State control on HRD in MSGE. The

results of surveys and evaluation show that the effectiveness of state
management is in average level and there are still inadequacies, which
decrease the effectiveness of the state management.
3.2.4.2. Efficiency: The results of analysis and evaluation express that
the efficiency is not really high and only in low average level. This is in
line with the results of the survey on the state management of the HRD
strategic planning, the policy of training and retraining, the policy of
attracting and recruiting laborers. These elements lead to the efficiency of
the state management of HRD in MSGE being reduced.
3.2.4.3. Suitability: The Thesis analyzes the suitability of state management on
3 targets such as: (1) Determine suitable objectives of state management of
HRD in MSGE, (2) The suitability of state management of HRD in MSGE, (3)
The suitability of state management to the requirements of the enterprises and
the characteristics and aspirations of the labors. It is shown in the results that
the suitability level is rather high while only some contents are not really fit,
which decreases the effectiveness and efficiency of state management.
3.2.4.4. Sustainability: The sustainability of state management is analyzed by
the Thesis on 3 targets such as: (1) The roles of military garment companies
in implementing defense - security tasks and participating in building the
economy and state management of HRD in MSGE, (2) Level of resource
priority for HRD, (3) Level of meeting the requirements of the labors. It is
expressed that the mechanisms and policies are not ong-term and sustainable
and do not really prioritize resources for HRD.
3.3 Status of factors affecting the state management of HRD in MSGE


17
3.3.1 Status of state management apparatus of HRD in MSGE
The Ministry of Defence authorizes the agencies which have
functions of economic management to have professional guidance to the

MSGE such as: Department of Economics, Department of Planning and
Investment, Department of Finance, Department of Personnel,
Department of Military Force, etc. In which, the Department of
Economics is authorized to implement the function of direct state
management on the production and business activities of the MSGE.
THE GOVERNMENT

MINISTRIES
MANAGING THE
SECTOR

Department of
Economics, Department
of Planning &
Investment
(state
management)

Department
of Finance
(Capital and
asset
management)

MINISTRY OF DEFENSE

Department of cadres,
Department of Armed
Forces (Management of
military cadres, labor, staff))


General
Department
of Logistics

Military
zones

Services,
armed
forces

MILITARY-SERVING GARMENT
ENTERPRISES

(Source: Build Author)
Diagram 3.1 State management on military-serving garment enterprises
Explanation:
: Direct guiding, management relation.
: Professional guiding, direction relation.
3.3.2 Status of contingent of state management officers
State management officers are important factors influencing the quality of
the state management of the HRD in MSGE. Survey results of this matter in
state maangement agencies show that there is inadequacy both in quantity and
quality in the staff force who carries out the management work.
3.3.3 Status of characteristics of human resources in the enterprise.
Current status of human resources in DNMPs has certain impacts on the
state management of HRD, such as: (i) Gender: More than 65% of laborers are
female with psycho-physiological, maternal and child feeding characteristics.



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To influence the study and promulgation of policies on management, use and
preferential treatment for laborers; (ii) With the majority of young laborers
influencing the long-term HR plan, the training plan, the training of laborers,
the arrangement and arrangement of laborers.
3.4. General evaluation of the state management of HRD in MSGE
3.3.1. Major results: (1) Long-term and basic orientations of the HRD
have been formed; (2) The state management apparatus has changes,
reforme in administration; (3) Strategic planning, direction, regulation are
prioritized; (4) The legal system is improving; (5) Enterprises are more
active in labor relations, wage policy; (6) The inspection and examination
gradually go into order.
3.3.2 Limitations and reasons
3.3.2.1 Limitations: (1) Managing entities for MSGE are numerous and
complex; (2) the Ministry of Defence has not developed the HRD
orientation, planning and plan for the MSGE; (3) Legal documents are
inconsistent, unsuitable; (4) The inspection and supervision have not been
strictly followed the process.
3.3.2.2 Key reasons
(1) Subjective reasons: (i) The perception of the State management
agencies is not uniform, incomplete; (ii) The quality of some state
management officers for enterprises has not met the requirements; (iii) State
management of HRD in the MSGE is still inadequate; (iv) The mechanism of
appointing leading officials and CEO in enterprises has not been improved.
(2) Objective reasons: (i) The function of State management on enterprises
and HRD in enterprises is not the main function of the Army and the State
management agencies under the Ministry; (ii) In the process of restructure,
reorganization and renovation of the Military companies, the Ministry of
Defence and MSGE, it will take time to innovate, adapt and improve their

management and administration capacity; (iii) The management mechanism
of state capital in enterprises has not really been completed.
CHAPTER
4:
SOLUTIONS
TO
RENOVATE
STATE
MANAGEMENT OF HUMAN RESOURCE DEVELOPMENT IN


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MILITARY-SERVING GARMENT ENTERPRISES IN THE
CONTEXT OF INTERNATIONAL ECONOMIC INTEGRATION IN
THE PERIOD UP TO 2025
4.1. Context and advantages and disadvantages for state
management of HRD in MSGE in the context of international
economic integration until 2025.
4.1.1. The context and opportunities and challenges for HRD in MSGE in
the context of international economic integration of Vietnam until 2025.
In the context of restructuring, renovating and improving the performance
of the military enterprises until 2020 under the Project approved by the Prime
Minister, there will be changes in the management mechanism of state
agencies for MSGE, in which, the intervention of the Ministry of Defence will
be only at the level corresponding to the ratio of capital contribution, the HRD
policies will be enforced through the equity representation mechanism in the
enterprises. This stage will be the transformation of defense economic
enterprise model from military garment enterprises to MSGE
4.1.2. Advantages and difficulties for state management of HRD in
MSGE until 2025.

4.1.2.1 Advantages: (1) Development of the labor market; (2) Positive job
restructure; (3) Increasing employment and improving employment quality.
4.1.2.2 Difficulties: (1) Requiring internal legislation, compliance with
commitments and standards of integration; (2) Challenges in job solution
for redundant, low-quality labors; (3) The level and scope of competition in
the labor market are increasingly severe; (4) Difficulties in implementing
international commitments; (5) The level of readiness for integration and
participation of MSGE and laborers are still low.
4.2. Objectives and direction of state management reform on HRD in
MSGE until 2025
4.2.1. Objectives of renovating the state management of HRD in MSGE serving
- General objective: The overarching objective of reforming and
improving state management of HRD in MSGE is always linked to the


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enhancement of effectiveness, efficiency, suitability and sustainability in the
implementation of the State management contents.
- Specific objectives: To complete the legal framework; To focus on
completing the State management apparatus on HRD and renovating
management methods; Renovation of HRD policies, mechanisms and tools.
4.2.2. Orientation of state management reform in HRD in MSGE
- Human-centered, for human being, human development.
- Establishing a synchronous, consistent system of policies on HRD in MSGE.
- Renovating HRD state management must be closely linked with the
intensification of administrative reform, creating favorable conditions for
employers and laborers in the HRD process.
- Promoting the coordination among state management agencies in the
management process.
4.3. Solutions to renovate the state management of HRD in MSGE until 2025.

4.3.1. Perfecting the organization and apparatus of State management
of HRD in MSGE
4.3.1.1 Improving the state management apparatus
- Strengthening the decentralization of state management for military
enterprises generally and HRD in military enterprises particularly.
- Restructuring and rearranging the state management of HRD in
MSGE in a consistent manner, irrespective of the form of ownership.
- Clearly defining the state administrative management function with
the function of providing public services such as legal support, labor
statistics, vocational training...
- Researching and establishing the Steering Committee on the HRD in
MSGE in the Economic Departments.
4.3.1.2 Developing human resources in state management agencies
- Focusing on HR strategic planning in state management agencies, the
Ministry of Defence should develop the HRD master plan for state
management agencies in the field of defense – security in general and state
management for military companies.


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- Improving the quality of recruitment of state officials, eliminating the
ask-give mechanism in recruitment, improving the standard system of the
State management titles for the military companies and the State
management of HRD in military companies.
- Increasing investment in training establishments, raising the quality of
education and training, fostering the creation of human resources for State
management work.
4.3.2 Raising the State's capacity in direction and regulation of HRD in MSGE
4.3.2.1 Strategic determination, planning, development plan for MSGE
The Ministry of Defence should restructure the system of military-serving

garment enterprise to suit the defense - security mission. Renovation and
improvement of the quality of development strategies and planning quality are
considered important measures to limit the divergence in the process of
investment and development of the defense industry for defense - security.
The Ministry of Defence should develop a plan to coordinate closely the
military companies with non-military enterprises in the assignment of
laborers, expand the autonomy in planning for the MSGE based on the
orientation of the State, innovate the process and improve forecasting quality.
4.3.2.2. Determination of HRD strategies in MSGE in line with the
"Project on restructuring, renovating and improving the efficiency of
military enterprises up to 2020"
- The Ministry of Defence should conduct survey and investigation of
current status of HRD in MSGE nowadays to have suitable roadmap in dealing
with regimes and policies for the employees subject to rearrangement.
- Researching and forecasting the HRD in the sector and the regions
where the MSGE are located. Identifying strategic objectives, HRD opinions,
HRD roadmap for the MSGE.
- Developing a system of HRD solutions in MSGE, forecasting the
capital demand, identifying investment sources, investment phasing-out of
HRD in 2020, 2025.
- Developing specific action programs, plans and roadmaps to achieve
the HRD objectives in the MSGE.


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4.3.3. Perfecting the legal framework and creating an environment for
HRD in MSGE
4.3.3.1. Improving the policies, regulations and promulgating legal
documents on HRD in MSGE
To complete the policy framework, the regulations on HRD in the

MSGE, first the policies and regulations for MSGE should be improved in
line with the Law on Enterprises and the specific nature of defense towards
enhancing autonomy and self-responsibility.
For the HRD policy in the MSGE, the following should be done: (i)
Completion of HRD mechanism in Vietnam's garment sector; (ii) Clear,
transparent assignment of functions, tasks to State management agencies; (iii)
Developmen of criteria for assessing HRD in MSGE; (iv) Improvement of training
quality for the labor force; (v) Having a motivational policy to attract and retain
talented people, laborers who are physically fit, capable and high-level.
4.3.3.2. Creating a favorable environment for HRD in MSGE: (1) Building
the information system for human resource development in garment sector in
Vietnam; (2) Supporting for training and vocational training for HR.
4.3.4. Renovating the inspection and supervision of HRD in MSGE
4.3.4.1. Improving control system for MSGE:
The control system of state management of HRD in MSGE includes the
control apparatus, control process and control indicators. The improvement
of the state management control system for MSGE should be carried out
synchronously from the completion of the control apparatus, the
improvement of the control process and the development and completion of
the control indicators.
4.3.4.2. Intensifying the inspection and supervision of the enforcement of
policies and laws on HRD in MSGE
The Ministry of Defence is the main responsible body for controlling
MSGE. It aims to strengthen the inspection and supervision towards MSGE and
to ensure that the MSGE strictly abide by the laws, policies and regimes on the
HRD, while it is necessary to ensure the favorable environment and conditions


23
for the enterprises to develop, avoid cumbersome procedures, overlapped check

and control to not obstruct the normal operation of enterprises.
(1) Improving the legal framework on HRD monitoring and supervision
(2) Controling the observance of laws, policies, regimes and regulations.
CONCLUSION AND RECOMMENDATIONS
1. Conclusion: With the determined research objectives, the thesis has
achieved the following results:
Firstly, the thesis has systematized the basic theoretical issues of state
management of human resource development in MSGE.
Secondly, the thesis has analyzed the status of HRD in MSGE and the
state management of HRD in MSGE from 2011 to the present.
Thirdly, along with theoretical and practical bases, the thesis has shown
the context and prospects of international economic integration for Vietnam
in the period up to 2025, the objectives and the innovation perspective on
state management of HRD in MSGE, from which it strongly recommends
groups of solutions to improve the state management of HRD in MSGE in
the coming time, including:
- Solutions to improve the organization and apparatus of State management
of HRD in MSGE with the measures such as improving the State management
apparatus, implementing HRD in the State management agencies.
- Solutions to innovate the roles of orientation and regulation
include: Renovation of strategic determination, planning and
development plans for MSGE, strategic planning of HRD in MSGE in
line with the Project of restructuring, renovating and improving the
efficiency of military companies until 2020.
- Solutions to improve the legal framework and create a development
environment for HRD in MSGE such as: Completing policies, regulations
and promulgating legal documents fon HRD in MSGE; Creating a favorable
environment for HRD in MSGE.
- Solutions to renovate the inspection and supervision of HRD in
MSGE such as: Perfecting the control system for MSGE; Strengthening the



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