EFFECT OF HUMAN RESOURCE MANAGEMENT PRACTICE ON COMPETITIVE ADVANTAGE AND BUSINESS RESULTS OF ENTERPRISES

MINISTRY OF EDUCATION AND TRAINING
UNIVERSITY OF ECONOMICS HO CHI MINH CITY

PHAM HUNG DUC

EFFECT OF HUMAN RESOURCE MANAGEMENT
PRACTICE ON COMPETITIVE ADVANTAGE AND
BUSINESS RESULTS OF ENTERPRISES: CASE STUDY
ON VNPTs IN PROVINCES AND CITIES
Major
Code

: Business Administration
: 9340101

DOCTORAL THESIS
SCIENTIFIC INSTRUCTOR:
ASSOC.PROF.DR TRAN HA MINH QUAN

Ho Chi Minh City- 2020


-2-

The work was completed at: University of Economics Ho Chi Minh City

The scientific instructor: Assoc.Prof. Dr Tran Ha Minh Quan

Reviewer1:.............................................................................................................................

Reviewer 2:............................................................................................................................

Reviewer 3:............................................................................................................................

The thesis will be defended in front of the university-level doctoral thesis assessment
committee, held at: University of Economics Ho Chi Minh City
At ... hour ......day ......month ...... year

Thesis can be found at the library:..........................................................................................
...............................................................................................................................................

LIST OF PUBLISHED RESEARCH WORKS
RELATED TO THE THESIS

Articles published in scientific journals:


-3-

Pham Hung Duc (2019). Current situation and solutions for human resource of tourism in
Dong Nai Province in the integration period. Journal of transportation science and
technology, 34 (11).
Pham Hung Duc (2019). Current situation and solutions for developing human resource of
telecommunications (VNPT) in Dong Nai Province. Journal of Economics Technology, Binh Duong Economics and Technology University, 36 (12).
Pham Hung Duc (2020). Impact of human resource management practices on enterprises'
competitive advantage and business performance - A case study of Vietnam Post and
Telecommunications Group enterprises. Management Science Letters, 10 (4), 721-732.
(SCOPUS Q2).

CHAPTER 1: INTRODUCTION OF THESIS
1.1. Rationale of research issue

From practical needs:
For the telecommunications service sector, the development of the information technology industry in
the context of globalization and integration and especially the fourth industrial revolution (Industrial


-4revolution 4.0) has made the field of telecommunications and information technology become an important
economic sector in all countries. On the other hand, competition in the context of integration has made
human resource become the most important resources, deciding the competitive advantage of an enterprise.
Therefore, the need for research on the human resource management practice as the basis for the completion
of the human resource management regime in enterprises, especially in the field of telecommunications and
information technology service has been receiving great attention from administrators and researchers.
However, as mentioned above, there will not be sufficient scientific basis and therefore it will not make
much sense if the completion of the human resource management regime is not linked to the competitive
advantage and business results of enterprises.
According to experts and leaders in the post and telecommunications industry, they all agree that under
current conditions with the process of deep integration into the global economy and increasing competition,
especially in the digital economy, the business environment is constantly changing, “the challenge of
environmental change requires flexibility and adaptability from the labor force. Therefore, the labor force
must simultaneously and quickly respond to the requirement of learning and applying new skills,
implementing new technology, or reorganizing work” (Snow and Snell, 1992). Therefore, in general, the
human resource management practice in enterprises, especially enterprises operating in fields subject to the
pressure of science and technology change such as post and telecommunications, in addition to functional
activities, need to lead and encourage employees to innovate and create, and through activities encourage
employees to propose new ideas; promote initiatives, improve techniques, renovate working methods;
diversify horizontal and vertical activities to increase adaptability to the specific requirements of the business
environment such as: assigning new tasks; alternation of employees and work, etc. It means that leading and
encouraging necessary change in the components of the human resource management practice. Furthermore,
in terms of logic, the higher the employee is encouraged to change, the more effective their work is and
therefore the more efficient the organization will be. Research by Tran Kim Dung et al (2010) in the
Vietnamese market also verified that the component of encouraging change (innovation) was positively

related to the human resource management practice.
From the theoretical gap through a review of relevant researches:
Applying resource-based theory, researches in the world have integrated the theory of human resource
management at the micro level, and at the same time have proved that human resource is an important
potential source of a sustained competitive advantage of an enterprise and in practice, human resource
management is a sufficient condition to help enterprise to achieve and maintain the sustained competitive
advantage. However, the researches mentioned above still have some gaps. Then, this thesis is done to fill the
research gaps of the above researches.
New point 1: Many researches have considered the role of the human resource management practice,
but they are still limited, they have not researched into depth and comprehensively considered (measured)
the role of the human resource management practice (components of the human resource management


-5practice). Therefore, the first new point of the thesis is to consider and verify the components of
measurement of the human resource management practice.
New point 2: The relationship between the human resource management practice, the competitive
advantage of human resource and business results of enterprises has not been verified from previous
researches.
New point 3: Researches on the human resource management practice have been mainly done in
developed markets, and limited in transition markets like Vietnam, especially in the post and
telecommunications industry.
1.2. Objectives of the research
General objective: The thesis aims to measure the effect of human resource management practice on the
competitive advantage and business results of VNPTs in the provinces and cities directly under Vietnam
Posts and Telecommunications Group. Based on the research results, the thesis introduces governance
implications to increase the competitive advantage and business results of VNPTs.
Specific objective: To achieve the general objective, the research needs to implement the following specific
objectives:
Objective 1: determine the components of the human resource management practice; competitive advantage
on human resource and business results of enterprises - Case study on VNPTs in provinces and cities under

Vietnam Posts and Telecommunications Group.
Objective 2: adjust the scale of components of the human resource management practice; competitive
advantage on human resource and business results of VNPTs in provinces and cities under the Vietnam Posts
and Telecommunications Group.
Objective 3: build and verify scale model and theoretical model of the relationship between the human
resource management practice, competitive advantage on human resource and business results of enterprises
- Case study on VNPTs in provinces and cities under the Vietnam Posts and Telecommunications Group, on
that basis, locate the intensity of the interaction between these factors and propose recommendations to
complete the human resource management practice to contribute to improving the competitive advantage and
business results of VNPTs in provinces and cities under the Vietnam Posts and Telecommunications Group
1.3. Methodologies of the research
1.3.1. Qualitative research method
Qualitative research is carried out by group discussion technique, with the participation of a group of
lecturers specialized in the human resource management and a group of specialists of human resource
management department who are currently working at VNPT Dong Nai and some other provinces, cities, to
explore, adjust and supplement the components of the human resource management practice; competitive


-6advantage from the human resource management practice and business results of telecom enterprises with
variables of observing and measuring the components of these concepts (chapter 3).
1.3.2. Quantitative research method
Quantitative research (chapter 3 and chapter 4) is carried out to confirm the values and reliability of
the scale of components of the human resource management practice; competitive advantage from the human
resource management practice and business results of VNPTs in provinces and cities; verify research models
and research hypotheses; check whether there are differences in the effects of the human resource
management practice on competitive advantage and business results of VNPTs in provinces and cities.
1.4. Object and scope of the research
The research object of the thesis is: the human resource management practice; competitive advantage
based on human resource theory and business results of VNPTs in terms of the human resource management
practice and competitive advantage of human resource.

The unit analyzed is VNPTs in provinces and cities directly under the Vietnam Posts and
Telecommunications Group. Respondents surveyed are department heads; Officers and workers directly working
at VNPTs in provinces and cities. Minimum defined number of respondents for each region is 30 (to ensure that
the minimum sample size of an analyzed unit is large enough to be considered a normal distribution).
1.6. Meaning of the thesis
1.6.1. Practical meaning
The research will help the human resource managers to have a more overview of the effect of the
human resource management practice on competitive advantage and business results of telecommunications
enterprises in Vietnam. Therefore, this research will lay the basis for developing human resource
development strategies, policies on the human resource management practice in telecommunications
enterprises in Vietnam.
1.6.2. Theoretical meaning
The research is the summarization and systematization of theories about the human resource
management and competitive advantage; researches on the human resource management practice in the
relationship with competitive advantage and business results of enterprises. Therefore, the author hopes that
the research will contribute to form a theoretical framework to deploy other researches on topics related to
the human resource management practice, competitive advantage of human resource and business results of
enterprises.
The research develops of scale system and research models on the relationship between the human
resource management practice, competitive advantage from a perspective of the human resource management
practice and business results of enterprises. Therefore, it will contribute to the development of theory and


-7contribute to the missing scale system, especially the scale system in developing countries to establish the
system of equal measurement value as stated by Craig. & Douglas (2000).
The research uses a combination of modern techniques and methods in qualitative and quantitative
research such as Focus Group, Cronbach Alpha analysis, EFA, CFA, SEM structural equation modeling,
bootstrap testing, etc. Therefore, this research will be a reference source of methodology, research model
design and research data processing, etc. for researchers, students in the field of management in general, of
human resource management in particular.

-8-

CHAPTER 2: THEORETICAL BASIS AND RESEARCH MODEL
2.1. Competition theory
Competitive advantage is the implementation of a business strategy that a competitor fails to
implement to facilitate cost reduction, exploit market opportunities or disable competitive threats (Barney,
1991). The first model of the competitive pressure approach was widely disseminated by Porter (1980).
According to Peteraf and Barney (2003), an enterprise achieved competitive advantage will create higher
economic value than its competitors. Competitive advantage is related to the economic value created from
exploiting the ability of an enterprise to use resources, operational efficiency related to the economic value
from commercialization. Thus, an enterprise with high competitive advantage will create higher operating
efficiency than its competitors.
2.2. Resource basis view of the firm
Resource basic view of the firm of Wernerfelt (1984) focuses on the competition analysis based on
internal resources. Barney (1991) classified resources into three categories: physical capital (Williamson,
1975), human capital (Beckei; 1964), and organizational capital (Tdmei; 1987). Barney (1991) examined the
relationship between firm resource and sustained competitive advantage. However, RBV theory did not fully
explain how and why enterprises gain competitive advantage in a rapidly changing and unpredictable
business environment.
2.3. Theory dynamic capabilities
The theory dynamic capabilities of Teece et al (1997) was found on the basis of the RBV theory
applied in fast changing market (dynamic market). Teece et al. (1997) defined dynamic capabilities as the
ability to integrate, build, and reformat internal and external capabilities in response to the rapidly changing
environment. Dynamic capabilities reflect an organization's ability to achieve new innovation to create a
competitive advantage in the market (Leonard-Barton, 1992). Dynamic capabilities of an enterprise are
difficult to copy and replace. Therefore, dynamic capabilities are the basis to create a competitive advantage
and improve business performance (Barney, 1986; Eisenhardt and Martin, 2000).
2.6. Research model and hypotheses

Components of human resource management practice: functional activities (second level concept
includes: work identification; recruitment; training; work evaluation; salary, bonus; career planning and
promotion), participation of staff, activities of teams and groups, administrative activities and lead,
encouragement of change.
Components of competitive advantage: quality of human resource and behavior of human resource.


-9-

Work
Recruitment

Human resource quality Human resource behavior

Participation

Team- Group
Human resource management practice

Training

Competitive advantage

Function
Evaluation
Salary- bonus

Change
Administration

Promotion

Business results

Figure 2.1. Proposed research model
Summary of research hypotheses:
Hypothesis H1: Human resource management practice has a positive effect on the competitive
advantage of human resource of VNPTs in provinces and cities.
Hypothesis H2: Human resource management practice has a positive effect on the business results of
VNPTs in provinces and cities.
Hypothesis H3: Competitive advantage of human resource has a positive effect on the business results
of VNPTs in provinces and cities.
Kết quả hoạt động của
DNKN


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CHAPTER 3: RESEARCH DESIGN
3.1. Research process
This research is conducted in two main phases: (1) preliminary research by preliminary qualitative and
quantitative methods, (2) official research by quantitative method.
Preliminary research: Preliminary qualitative research: From the research objective, the thesis
summarizes the theoretical basis (background theory, research concept and previous researches). On that
basis, research model, hypotheses and observed variables of the scale of research concepts are formed.
Through the expert method in the form of face-to-face interview, the research model is evaluated to
standardize the theoretical model, new factors appear and the scale will be adjusted/ supplemented to be
clear, consistent with research context. Preliminary quantitative research: The scale is used for interview test
with samples of 135 VNPT enterprises according to convenience sampling method to verify the reliability of
Cronbach's Alpha and analyze the EFA exploratory factor analysis before conducting the official research.

Official research: In this step, the thesis verifies the appropriateness of the survey data and the value
of the scale (Composite Reliability, Convergent validity, unidirectionality, particularity). In addition, the
thesis tests the suitability of the research model and initial hypothesis. Finally, the thesis uses Bootstrap
analysis to verify the reliability of the expected value of sample.

3.2. Qualitative research results
3.2.1. Results of the theoretical model adjustment
Work
Recruitment

Human resource qualityHuman resource behavior

Participation

Team- Group

Training
Function

Human resource management practice

Competitive advantage

Evaluation
Environment
Salary- bonus

Promotion

Business results

Figure 3.1. Results of the theoretical model adjustment


-113.2.2. Results of scale adjustment
From the comments on scale adjustment, the author summarizes supplements and adjusts the scales of
research concepts:
Table 3.1. Scale measurement
Symbol

1st level components

2nd level
components

1. Join
2. Team

Human
resource
management
practice

Competitive
advantage

3. Functions

1.
3.

5.
7.
9.

Work
Recruitment
Training
Evaluation
Salary and
bonus
11. Promotion

4. Change
1. Human resource
quality
2. Human resource
behavior

Number of
observed
variables
3
4
4
5
4
5
4
4
5

5
4

Business
5
results
Source: Results supplemented and adjusted from the original scale

Source of scale

Tran Kim Dung et al. (2010);
Singh (2004); Le Chien Thang
and Truong Quang (2005)

Wright, McMahan and
McWilliams (1993)
Nguyen Dinh Tho and Nguyen
Thi Mai Trang (2009)

3.3. Quantitative research method
Data collection method: Sample information is collected by interview technique in three forms: faceto-face interview, e-mail interview and online interview by - Google Dos for staff, employees who are
currently working in VNPTs in provinces and cities.
Sampling method: Due to time constraints, the thesis uses convenience sampling method. VNPT
enterprises are classified according to the following criteria: Region, gender, age, education, level, position
and seniority.
Data analysis method: Analyzing the reliability of the scale through Cronbach's Alpha coefficients,
EFA exploratory factor analysis, Confirmatory Factor Analysis, SEM Structural equation modeling, Multigroup analysis, Bootstrap analysis.
3.4. Official research samples
The research model (after eliminating five variables in the preliminary research) has 117 parameters
that need to be estimated. Therefore, according to Bollen's (1989) rule that if there are 5 samples/ parameter

to be estimated, the minimum sample size will be 585. This research uses multi-group structure analysis,
furthermore, to make the minimum sample size large enough ( n ≥ 30) for each analyzed unit (VNPT
regions), the author decides to choose a sample size of 750. However, to achieve a defined sample size in the
case samples are insufficient or unsatisfactory due to lack of information or low quality, the author decides


-12the number of questionnaires given out to interview VNPT’s staff is 125% of the expected sample size, or
940. The author collected 812 questionnaires (reaching the rate of 86.38%), the number of questionnaires
meeting the requirements is 773 (reaching the rate of 82.23% of the questionnaires given out).

CHAPTER 4: RESEARCH RESULTS
4.1. Researched sample characteristics
Table 4.1. Researched sample characteristics

Gender
Age

Education

Position
Working
years in
VNPT

Demographic characteristics
Male
Female
Total
20 - 35
36 - 50

Over 50
Total
Have not studied college
College- University
Post graduate
Total
Director and deputy director
Head and deputy head of departments
Specialist
Officer
Worker
Total
< 5 years
5 – 10 years
10 - 20 years
20 years and upward
Total

Frequency
434
339
773
299
406
68
773
141
589
43
773

31
116
207
348
71
773
96
154
433
90
773

Frequency (%)
56.1
43.9
100
38.7
52.5
8.8
100
18.2
76.2
5.6
100
4.0
15
26.8
45.0
9.2
100

12.4
19.9
56.0
11.6
100

4.2. Verification of scale reliability with Cronbach's Alpha coefficient
Table 4.2. Verification of reliability
No.

Scale

Symbol

1
2
3
4
5
6

Work identification
Recruitment
Training
Staff evaluation
Salary - Bonus
Career planning and
promotion
Participation
Activities of teams and

groups
Working environment
Staff quality

CV
TD
DT
DG
LT
TT

Number of
observed
variables
4
5
4
5
4
4

TG
DN
MT
CL

7
8
9
11

Conbach alpha
coefficient

Corrected Item Total Correlation

0.880
0.944
0.910
0.911
0.910
0.922

0.701 – 0.758
0.796 – 0.891
0.786 – 0.819
0.700– 0.836
0.772– 0.844
0.758 – 0.867

3
4

0.892
0.925

0.766 – 0.810
0.800– 0.878

5

5

0..881
0.900

0.502– 0.868
0.680 – 0.791


-1312
13

Staff behavior
Business result

HV
KQ

4
5

0.924
0.901

0.787 – 0.863
0.423 – 0.770


-144.3. EFA exploratory factor analysis
4.3.1. Exploratory factor analysis (EFA) for the human resource management practice

The KMO index = 0.956 with the sig = 0.000 proves that the analyzed data are suitable for EFA.
37 observed variables (after eliminating TT1 and TT2) are extracted into 8 factors such as EFA for the
first time at Eigenvalue = 1.001, the total average variance extracted is 71.240%, and the rechecked
Cronbach alpha coefficients meet the requirements.
However, the factor that combines 2 components of career planning - promotion has variable TT4 with
an unsatisfactory factor loading (λ = 0.368 <0.4) and variable TT3 with a factor loading difference that does
not meet the standard of less than 0.3. If the variable TT4 continues to be eliminated, the total average
variance extracted will be reduced to 69. 002%, if the variable TT3 is eliminated, the total average variance
extracted will be deducted to 69.032%, so the author decides to keep the variables TT3 and TT4 for CFA (see
Table 4.3)
4.3.2. Exploratory factor analysis (EFA) for competitive advantage and business results
The KMO index = 0.895 with the sig = 0.000 proves that the analyzed data are suitable for EFA.
13 observed variables are extracted into 3 factors that keep the original components before performing
EFA at Eigenvalue = 1.031 and the total average variance extracted is 70.249%, factor loadings, and
rechecked Cronbach alpha coefficients meet the requirements, so this result is accepted for CFA.


-15Table 4.3. Exploratory factor analysis (EFA) for the human resource management practice
Observed variables Factors
1
2
3
4
5
6
7
8
CV1
0.595
CV2

-0.114
0.854
CV3
0.101
0.829
CV4
-0.108
0.716
TD1
0.904
TD2
0.758
0.104
0.106
TD3
0.690
0.130
0.118
TD4
0.968
TD5
0.949
DT1
0.840
-0.116
DT2
0.981
DT3
0.791
0.151

DT4
0.837
0.152
DG1
-0.149
0.745
0.107
DG2
0.127
0.102
0.150
0.569
DG3
0.811
DG4
0.117
0.781
DG5
0.866
LT1
0.909
LT2
0.940
LT3
0.705
LT4
0.734
0.113
TT4
0.242

0.265
0.487
TT3
0.228
0.327
0.368
TG1
0.791
TG2
0.131
-0.102
0.904
TG3
0.872
DN1
0.830
-0.128
DN2
0.842
0.151
DN3
0.803
-0.106
0.102
0.129
DN4
0.967
MT1
0.758
0.116

MT2
0.838
MT3
0.612
0.140
MT4
0.748
-0.111
MT5
0.687
0.197
-0.108
Engenvalue
17.455
2.508
1.624
1.558
1.432
1.207
1.109
1.001
Average Variance
47.707
6.195
3.819
3.504
3.209
2.532
2.268
2.005

Extracted
Cronbach alpha
0.944
0.881
0.920
0.925
0.910
0.910
0.906
0.880
Table 4.4. Exploratory factor analysis (EFA) for competitive advantage and business result


-16-

Observed variables
CL1
CL2
CL3
CL4
HV1
HV2
HV3
HV4
KQ1
KQ2
KQ3
KQ4
KQ5
Engenvalue

Average Variance Extracted
Cronbach alpha

Factors
1

2

3
0.812
0.623
0.937
0.796

0.208

0.920
0.760
0.938
0.791
0.239
0.138

0.610
0.652
0.938
0.947
0.766
6.816
50.172

0.901

2.131
14.154
0.880

1.031
5.923
0.894

4.4. CFA Confirmatory Factor Analysis
The Standardized Regression Weights are all greater than 0.5 (the lowest is λ KQ5=0.608 and statistically
significant (p <0.001), proving that the observed variables of the scale meet the convergent validity. All
correlations between concepts are less than 1 (human resource management practice ↔ competitive
advantage = 0.736; human resource management practice ↔ business results = 0.593; business results ↔
competitive advantage = 0.650) and statistically significant (p <0.001), proving that the concepts in the
model meet the discriminant validity, the scales have composite reliability values; Average Variance
Extracted and Cronbach alpha coefficients are satisfactory, proving that the scale of concepts in theoretical
model reaches the validity and reliability.
Table 4.5. Analysis of composite reliability and average variance extracted
Concept

Component

Human
resource
managemen
t practice

Work identification (CV)

Recruitment (TD)
Training (DT)
Evaluation (DG)
Salary - Bonus (LT)
Participation (TG)
Activities of teams and
groups (DN)
Working environment (MT)
Human resource quality (CL)
Human resource behavior
(HV)

Competitive
advantage

Number of
observed
variables
4
3
3
4
3
2

Reliability
α
ρc

ρvc

Value

0.88
0.93
0.89
0.89
0.89
0.84

0.88
0.94
0.89
0.80
0.89
0.85

0,65
0,83
0,73
0,67
0,74
0,74

Meet the
requirement
s

3

0.90

0.91

0,76

4
3
3

0.87
0.85
0.91

0.87
0.86
0.91

0,63
0,67
0,78


-17Business result (KQKD)

4.5.

3

0,83

0.85

0.69

Verification of SEM Structural equation modeling
Table 4.6. Estimated SEM
Relationship

Human
resource
management
practice
Human
resource
management
practice
Competitive
advantage

Estimation

Standard
Error

Critical
value

P-value

→
Competitive
advantage

0.736

0.053

12.380

***

→
results

Business

0.249

0.086

4.080

***

→
results

Business

0.468

0.102

7.195

***

The theoretical SEM results show that: p = 0.000; Chisquare / df = 3,260; GFI = 0.878; TLI = 0.936;
CFI = 0.942, RMSEA = 0.054; all the regression weights met the standard of more than 0.5; the scales with
composite reliability, average variance extracted and Cronbach alpha coefficients all meet the requirements
of more than 0.5; error variance of the parameters to be estimated and the concepts in the scale model have
no Heywood phenomenon at any error and all standard errors are <| 2.58 |. Therefore, we can conclude that
the theoretical model is consistent with the market data.
The estimated results (normalization) of the main parameters in the model all receive a certain value
and are statistically significant (p ≤ 0.05). It shows that "each measure is related to the others as theoretically
expected" (Churchil, 1995). It can be concluded that the scales of the concepts in the model satisfy the
standard of theoretical relation value. Hypotheses H1, H2 and H3 of the model are accepted.
4.6. Verification of estimated theoretical model by Bootstrap
Table 4.7. Verification of estimated model by Bootstrap
Relationship
Human
resource
management
practice
Human
resource
management
practice
Competitive

advantage

→
Competitive
advantage
→ Business
results
→ Business
results

Estimated ML
Mean
SE

Bootstrap
Mean
SE

SE (SE)

Bias

Bias
SE (Bias)

0.736

0.053

0.736

0.036

0.001

0.001

0.001

0.249

0.086

0.249

0.068

0.001

0.000

0.002

0.468

0.102

0.467

0.075

0.001

0.000

0.002

Based on this research, sampling is repeated with size N = 1500, to perform bootstrap estimation; The
Bias, standard error of Bias (SE-Bias) between the optimal estimated ML and bootstrap appear, but the


-18standard error of the bias is not statistically significant, proving that the estimated results of this research are
reliable.
4.7. Analysis of multi-group structure
The verification results show that there is no difference in the evaluation model of the effect of human
resource management practice in VNPT enterprises in the provinces and cities on the competitive advantage
and the business results of enterprises among regions, areas and demographic characteristics of staff working
in VNPTs in provinces and cities nationwide. Therefore, the verified theoretical model is the only model
used to explain the effect of human resource management practice in VNPT enterprises in the provinces and
cities on competitive advantage and business results of enterprises.

CHAPTER 5: CONCLUSION AND MANAGEMENT IMPLICATION
5.1. Conclusion
5.1.1. Measurement model
The model of the human resource management practice including 08 components (human resource
behavior, human resource quality, participation, team and group, function, change, administration) is
measured by 57 observed variables. The above scales are adjusted and supplemented, assessed through
Cronbach's Alpha, EFA, CFA and SEM analysis. The results show that, the scales meet the reliability
(Cronbach's Alpha and composite reliability), satisfy allowable values (unidirectionality, convergent values
and particularity).

5.1.2. Theoretical model
The verification results show that the theoretical model is consistent with market data. The proposed
research hypotheses include 3 hypotheses, and 3 hypotheses are accepted and have important implications
for related subjects.
Theoretical model of the human resource management practice, competitive advantage of human
resource and business results supplements to the theoretical framework in the field of post and
telecommunications. Researchers can refer to the research model for their researches in other areas of
activity. Therefore, the scales in this research must be assessed for their reliability and measurement values
before using them in another research context.
5.3. Management implication
5.3.1. Improvement of components of the human resource management practice
-

-

Improvement of functional factors:
1. Improvement of recruitment factor
2. Improvement of training factor
3. Improvement of evaluation factor
4. Improvement of salary and bonus factor
Improvement of participation factor
Improvement of team and group factor


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Improvement of environment factor

5.3.2. Improvement of components of competitive advantage
1. Improvement of human resource quality factor

2. Improvement of human resource behavior factor
5.4. Limitations and next research direction
Similar to any research topic, this thesis also has many limitations:
The research results of the thesis show that the human resource management practice, competitive
advantage and business results are three factors that have a positive relationship with each other. This
relationship is verified in the transition market for Vietnam, particularly for VNPT enterprises in cities and
provinces in the country. To generalize the research results, further researches need to be implemented for
other industries such as manufacturing, commerce, tourism, etc.
The human resource management practice is a multi-component scale with multidirectional structure.
In the research results of the thesis, this factor includes 4 main components such as function, participation,
team- group and environment. Therefore, in the coming research, when it is applied in another field or
industry, it is necessary to explore the components of the human resource management practice to create a
general picture for this factor.
The competitive advantage of human resource of the thesis includes two components: the human
resource quality and the human resource behavior. In the next research, it is necessary to add the exploration
of measurement of the competitive advantage of enterprises in the industries and fields. In addition, the
research should use the theory of dynamic competition of Teece (1997) to explore the dynamic capabilities of
enterprises. According to this theory, those resources will bring competitive advantage and improve business
performance.