HANOI UNIVERSITY

FACULTY OF BUSINESS MANAGEMENT & TOURISM

Organisational HR Analysis Report

Lecturer: Mr. Phan Hoang Quan

Students: Lưu Hồng Hạnh – 2004010039

Dương Đào Thanh Hoa – 2004010042

Đặng Phương Thảo – 2004010092

Lê Thủy Tiên – 2004010102

Hoàng Thị Huyền Trang - 2004050053

Group: 4

Course: Human Resource Management

Hanoi, August 2023

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 TABLE OF CONTENTS

TABLE OF CONTENTS .................................................................................................... ii

A. Introduction to the organization .................................................................................... 1

B. Diagnosis and Prescription ............................................................................................. 2

I. Diagnosis ...................................................................................................................... 2

1. HR Strategy .............................................................................................................. 2

2. Recruitment Policies ................................................................................................. 3

3. Recruitment Procedures............................................................................................ 3

4. Recruitment Programs .............................................................................................. 3

5. Problems and consequences ..................................................................................... 4

II. Prescription ................................................................................................................ 4

C. Action .............................................................................................................................. 5

D. Conclusion........................................................................................................................ 7

REFERENCES..................................................................................................................... 8

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PART A: INTRODUCTION TO THE ORGANIZATION

A genuinely successful enterprise is made up of numerous aspects, in which high-quality

human resources with deep specialization are one of the core elements that help the business

operation process run more smoothly. Theoretically, it is, but in practice, the analysis of an

actual company is needed to reach a consensus with this view. The company we have chosen

is a 60-year-experienced joint-stock firm in the manufacturing industry, specializing in the

business and production of household electrical appliances, electrical equipment

components, and tools. The company is a mid-sized firm with approximately 160 employees.

This company is currently operated by a bachelor of economics with 25 years of sticking

with the company and having practical knowledge in various positions. The main product

lines of this company are civil and industrial electric fans, 3-phase electric motors from

0.5kw to 10kw, and 3-phase electric welding machines 380V-220V. Besides the major

activity, the company also provides accompanying services such as short-term

accommodation services, mobile catering services, or acting as a travel agent. The

company's strategy focuses on affirming the organization, utilizing all resources to increase

competitiveness, and continually improving employees' material and spiritual lives.

Furthermore, the firm has determined the strategic goal of increasing market share, affirming

the brand through the quality of products, achieving a solid position in the domestic market,

striving to be products representing high-quality Vietnamese brand, increasing brand value,

and gaining consumer trust. This company follows the functional or role-based structure

with centralized leadership and the vertical, hierarchical structure with clearly defined roles,

job functions, chains of command and decision-making authority.

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The organization's devoted culture has become a value that distinguishes the company.

Devotion results from affection, love for the company, where employees receive

care, support, sympathy and create the best conditions to contribute to the real values of the

firm. Through collecting information, data on the official website, and face-to-face

interviews with the company's HR employee, we have obtained an initial analysis of the

actual situation of the hiring function in the company. From those points onwards, we may

find some existing issues and provide possible solutions to enhance this firm.

PART B: DIAGNOSIS AND PRESCRIPTION

I. Diagnosis

1. HR Strategy

According to the company's annual report, the company's recruitment and development

strategy is to always invest in training, improve employee skills, develop creative emulation

movements, and have policies to attract high-quality labor, particularly professional labor in

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management, training, and improvement, in order to promote the company's production and

business activities. Furthermore, the firm prioritizes providing suitable facilities, equipment,

and protective gear in accordance with the requirements of each position. To create a

professional, reliable working environment, the firm has devised a reward policy to promote

and motivate employee innovation and hard work.

2. Recruitment Policies

In its recruitment policy, the company has divided into several main elements. Firstly, the

human resources department must make a clear annual recruitment plan based on job

demand, operation plan, short-term and long-term goals. Next, there is job posting. The

recruitment requirements of the company will be posted on the company's official website,

fanpage on Facebook. Furthermore, the firm always ensures that the core recruitment

principles are transparency, justice, and equality for all suitable candidates. Finally, the job

description on the company's official website clearly states the recruiting requirements,

application details, and recruitment criteria.

3. Recruitment Procedures

The company's recruitment process is designed based on basic recruitment processes,

including that the human resources department will prepare and announce jobs, then receive

and screen applications. After shortlisting potential candidates, the firm conducts a

preliminary interview, followed by an in-depth interview, checking references and

background. The final step is making a decision and job placement. In this procedure,

candidates must pass two rounds of interviews in this approach so that companies can

objectively evaluate the candidate's competence and talents.

4. Recruitment Programs

The company also organizes internship recruiting programs to help students bridge the "gap"

between theory and practice by giving them opportunities to practice. In addition, the firm

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extends and conducts career opportunity programs for recent graduates or experienced

individuals to recruit young, high-quality human resources. Furthermore, the enterprise

engages in job support programs and directly goes to schools in the area to recruit new

employees.

5. Problems and Consequences

We found that the company's hiring situation includes both positive and negative based on

information obtained from the company's HR strategies, policies and programs, as well as

through interviews with this company's HR employee. The company's good side is that the

recent recruiting yield ratio exceeded 60% (having hired 18 people out of 29 positions to be

filled). However, the firm still has problems using recruitment methods. The firm prioritizes

recruiting internally and through referrals rather than hiring externally. Excessive reliance

on internal recruitment and referrals can lead to a lack of diversity in the workforce. This

may limit opportunities for existing employees to advance in their careers and hinder

innovation and creativity as fewer positions become available for internal promotion.

Furthermore, favoring internal and referral sources leads to nepotism, which can create a

perception of nepotism and unfairness among employees. For example, there will be many

disagreeing employees, isolating new staff. Especially if the person is recruited to hold

management positions, it will be difficult for them to receive the consensus and coordination

of the members, causing difficulties in management and enhancing the effectiveness of the

job.

II. Prescription

According to the analysis, it can be concluded that the company's recruitment problem is

more internal recruitment and referral than external human resources. Therefore, to face and

solve the above problems, the company can use its image and reputation on social media

and other industry events to expand external networking and diversify external sourcing

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channels. The image of an organization affects its attraction level, and the Internet can

provide many opportunities to build a positive image and recruit talented candidates in the

4.0 era. In addition, to minimize this disparity, the company should periodically audit its

recruitment practices to identify any unintentional biases or imbalances in hiring sources

and use the insights to make necessary adjustments. According to Silkroad's statistics in

2017, the top recruiting sources reported by employers accounted for the largest percentage

of employee referrals. Therefore, the company should provide clear referral guidelines,

namely, establish clear, fair, and unbiased referral criteria; communicate that referred

candidates will be evaluated based on their qualifications, just like any other candidate; and

avoid preferences for relatives or acquaintances.

PART C: ACTION

We propose the following action plan to enhance the company's utilization of recruitment

methods. In the first step, HR needs to identify the recruiting methods that require

improvement. For this company, it is necessary to improve all three methods of recruitment:

internal recruitment, recruitment through referrals, and other external recruitment. Next, the

second step is to redesign policies or programs for each type of recruiting method to make

it more effective. Specifically, in internal recruitment, according to the company's HR staff,

the company has an internal rotation policy to encourage employees to try different

departments. In addition, the company also needs to invest in leadership and succession

management training programs within the company to prepare for a young workforce with

capable, enthusiastic, well-trained, qualified, and well-equipped skills and relationships to

take on important positions when needed quickly. These programs also create opportunities

for employees to develop further. In recruitment activities through referrals, it is necessary

to develop an employee referral policy, which is applied to all employees in the company

(except staff of the human resources department). In this policy, it is necessary to provide a

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specific level of commission for each vacancy; for example, for staff level, untrained

workers are rewarded 500,000 VND per person; 1,000,000 VND per person for office staff;

1,500,000 VND per person for department heads, middle managers; 2,500,000 VND per

person for directors and above (senior managers). This incentive will be given after the

referred candidate has completed the trial period and become an official company employee.

This policy is intended to encourage employees to recommend candidates who are a real fit

for the company. In external recruitment activities, the company can use the image of a

reputable company with more than 60 years of establishment and development; reputation

in the region to actively diversify recruitment channels to attract external candidates through

social networks (Facebook group, TopCV, LinkedIn, etc.). In addition, the company needs

to engage in more industry events, seminars, and conferences to detect potential external

candidates, especially high-quality candidates and management-level candidates. The last

step is the implementation of the improvement and evaluation. It is anticipated that the

improvement will be implemented during the company's next recruitment season.

Furthermore, the company should periodically review its recruitment practices to identify

any biases or unintentional imbalances in hiring sources.

It can be clearly recognized that the people who directly oversee these changes will be those

who hold high positions in the company, such as managers, department heads of the

recruitment department in particular, as well as of the company in general. Although the

process is clearly outlined, it also has specific problems when carrying out these actions.

Firstly, it is quite expensive and time-consuming to implement. Secondly, human resources

and the company cannot guarantee that 100% of the steps will occur according to the planned

plan. Nevertheless, to reduce the above risks and difficulties, management should closely

monitor the steps in the planning process and evaluate the effectiveness of recruitment to

minimize bias in the process and ensure fairness to each candidate.

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PART D: CONCLUSION

Eventually, whether the firm can take advantage of the HR function or not really has a great

influence on its long-term development. For this company, through the analysis of the HR

strategy, policies, procedures, and programs, we found the company's difficulty with the

preferred recruitment method, which is internal recruitment and referral. Coupled with this

shortcoming are the consequences that have been and will happen to the company that affects

not only employees, management, labor performance but also related to the reputation of the

company. Therefore, we have proposed three action steps, which are supervised by people with

high positions in the company, to help the company improve the human resource function in

the most complete way. These include determining which recruiting methods need

improvement, then designing an appropriate improvement program, and finally setting the time

period for the improvement to be implemented. The fact that the enterprise always tries to

upgrade and innovate its recruitment, training and welfare programs will aim to develop the

talents of current employees and attract more bright candidates, thereby meeting all

prerequisites for administrative and production labor. In short, we hope that our evaluation and

accompanying plan will help the company develop more positively in the future, which begins

with a good change in the human resources function in the company.

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 REFERENCES

Careerlink.vn. (March 19, 2018). Pros and cons of recruiting candidates through referrals.

Retrieved from https://www.careerlink.vn/cam-nang-tuyen-dung/bi-quyet-tuyen-dung/uu-

va-nhuoc-diem-khi-tuyen-dung-ung-vien-do-nhan-vien-gioi-thieu

Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2015). Fundamentals of Human

Resource Management.

Silkroad.com. (2017). Infographic Visualize the top sources for best hires. Retrieved from

https://www.silkroad.com/resources/sources-hire-2017-infographic/

Vnresource.vn. Pros and cons of internal and external recruitment. Retrieved from

https://blog.vnresource.vn/uu-nhuoc-diem-cua-tuyen-dung-ben-trong-va-ben-ngoai/

Vuongquocnoithat.vn. Policy to support employees to introduce candidates. Retrieved from

https://vuongquocnoithat.vn/chinh-sach-ho-tro-nhan-vien-gioi-thieu-ung-vien-9538.htm

File interview:

https://drive.google.com/drive/u/0/folders/1bPWXg89p0W77Xdpb71wLT5tKtYRVlA06?f

bclid=IwAR1CYK8V9aFYzBVxyCWart9wc9Mg6IjOSaBJWUYhJ0qJdIOJGYZ3gEry4aI