INTRODUCTION
GENERAL BACKGROUND AND STATEMENT OF PROBLEM
Vector Aviation Co., Ltd is a leading aviation services distributor in Vietnam, offering a comprehensive range of services such as general sales and services agent (GSSA), feeder services, ground handling, excess baggage management, aircraft leasing, and expedited cargo transportation The company primarily serves logistics firms that require air transport for their cargo to international destinations.
In Vietnam, the aviation services sector has been thriving for approximately five years, following a period of state monopoly The introduction of a new civil aviation law by the government in 2006 spurred significant growth in the industry, creating a prime opportunity for private aviation service providers Seizing this chance, Vector was established to offer various aviation services, including acting as general cargo sales agents for prominent foreign airlines such as Malaysia Airlines, Scandinavian Airlines, Etihad Airways, and EgyptAir Over the past five years, Vector has successfully increased its market share from 1.08% to around 10% of Vietnam's total air cargo export volume.
Recently, the Vietnamese government signed Air Transport Agreements with 56 countries, significantly enhancing business opportunities for airlines and aviation service agents in Vietnam This expansion has substantially increased the aviation market's loading capacities, addressing the previous shortage of space and meeting the growing demand As a result, air cargo exports saw a remarkable 30% growth in 2010 compared to 2009, contributing to an overall export growth of over 22% for the country.
The aviation services market in Vietnam is experiencing rapid growth and holds significant potential for the future Vector is actively seeking skilled professionals to support its growth strategy, emphasizing the need for individuals with a solid background in air logistics and aviation services However, this emerging industry faces challenges, as most universities and transportation associations lack suitable training programs to address the rising demand for aviation service jobs Additionally, the air logistics sector is grappling with a critical shortage of well-trained personnel.
To address the challenges in human resource management (HRM) and adapt to evolving business trends, the Board of Directors (BOD) at Vector has implemented various strategies, including in-house and overseas training programs, sales incentives, allowances, and salary increases Despite these efforts, the company experienced a notable turnover, with five key personnel and three senior employees resigning within the first two months of the second quarter last year, leading to a labor turnover rate of 6% by December 2010 The reasons for these departures varied, encompassing factors such as salary, career opportunities, promotions, and appraisals The BOD is deeply concerned about the current workforce situation and seeks to identify the root causes behind these resignations, as well as understanding the expectations and satisfaction levels of professional employees To gain insights, the company has conducted exit interviews with departing staff and analyzed statistical data to uncover the underlying issues, forming the basis for this study.
RESEARCH OBJECTIVES
In respond to above problem statement, this study will aim to:
To identify key elements of HRM practices which impact on job satisfaction for VECTOR
To test a model about the impact of HRM practices on employee‟s job satisfaction
To give some suggestions for improving HRM practices based on the key findings of this study
SCOPE OF STUDY
This study concentrates specifically on HRM practices, examining five key elements from Guest's (1997) HRM practices model Other potential factors related to HRM are not included within the scope of this research.
This study focuses on all employees, five resigned people in year 2010 Probation staffs are not subject of this study.
LITERATURE REVIEW
JOB SATISFACTION THEORIES
Job satisfaction is the emotional response and attitude individuals have towards their work, significantly influencing their performance (Armstrong, 2006) Positive attitudes towards one's job reflect high levels of job satisfaction, which Robbins and Judge (2007) describe as integral to an employee's emotional state This satisfaction fosters inner motivation and self-encouragement, leading to increased productivity (Vroom, 1964) Consequently, organizations consistently seek ways to enhance job satisfaction to boost overall performance.
Figure 2.1 Maslow’s hierarchy of Needs
Various theories have been developed to understand job satisfaction, with two prominent frameworks highlighted in the literature One of these is content theory, originally proposed by Maslow in 1954, which explains how human needs evolve over time and identifies specific motivating factors According to Maslow, individuals experience satisfaction when their needs are met, which he categorized into five distinct levels.
Herzberg's two-factor theory, developed in 1957, identifies fundamental needs that influence job satisfaction, categorizing them into two groups: motivation and hygiene factors Hygiene factors, such as salary, working conditions, company policies, supervision, and job security, do not motivate employees but help reduce dissatisfaction In contrast, motivation factors, which encompass the nature of the work, achievement, recognition, responsibility, personal growth, and advancement, foster satisfaction by addressing individual needs and promoting growth.
Figure 2.2 Herzberg’s two-factor theory
Another concept theory is “three-need theory” or acquired-need theory of David
David (1958) posits that an individual's needs are shaped by their cultural background and life experiences, identifying three primary needs: achievement, affiliation, and power The significance of each need varies among individuals, influencing their motivation differently Those with a high need for achievement thrive on challenging projects with attainable goals and benefit from regular feedback, where monetary rewards serve as a form of recognition rather than a primary motivator In contrast, individuals with a strong need for affiliation excel in collaborative environments, while those seeking power should be given opportunities to manage others, fostering their leadership aspirations.
Second is process theory, it attempts to explain job satisfaction through looking at expectations, goal achievement and feelings about equity Within this framework, Vroom
Prominent theorists such as Vroom (1964), Latham & Locke (1979), and Adams (1965) have significantly contributed to understanding motivation in the workplace Vroom defines expectations as beliefs about the likelihood of achieving specific outcomes from particular actions, suggesting that individuals are motivated by the perceived connection between their efforts and performance When performance is favorable, it leads to rewards that satisfy needs, thereby encouraging further effort Latham & Locke emphasize that setting specific goals and providing feedback enhances satisfaction through goal achievement Additionally, Adams highlights the importance of perceived equity in the workplace, where employees assess fairness in areas like performance appraisals and promotions.
Examining job satisfaction theories reveals essential factors influencing job satisfaction, including the nature of work, compensation, achievement, recognition, performance, and personal growth These elements are also fundamental components of Human Resource Management (HRM) practices, as highlighted in various HRM models, particularly the Guest model of HRM practices from 1997.
THE IMPORTANT ROLE OF HUMAN RESOURCE MANAGEMENT
Human Resource Management (HRM) encompasses all management decisions and practices that directly impact the workforce within an organization (Fisher, Schoenfeldt, and Shaw, 1996) Since the outcomes of a business are fundamentally driven by its people, it is evident that employees play a crucial role in determining organizational success (Boselie, 2002; Guest, 1997; Delery and Doty, 1996) Increasingly, business leaders recognize that competitive advantages stem from the efforts and creativity of their workforce (Margaret and Caroline, 2005) To enhance organizational performance and achieve a competitive edge, effective HRM policies and practices must be implemented to meet the needs of current employees, which is vital for improving employee retention rates.
HUMAN RESOURCE MANAGEMENT PRACTICES
Human Resource Management (HRM) encompasses the policies and practices that influence employee behavior, attitudes, and performance (Noe et al., 2007) It is viewed as a collection of interrelated policies grounded in ideological and philosophical principles (Storey, 1989) Key HRM models include the Fombrun, Tichy, and Devenna model (1984), Harvard model (Beer et al., 1984), Guest model (Guest, 1997), and Warwick model (Hendry and Pettigrew, 1990) The Guest model's elements align closely with current HRM practices at Vector, particularly in areas such as job design, recruitment and selection, training and development, appraisal, and rewards, all of which significantly impact job satisfaction While "selection" is typically associated with company policies, it is also recognized as a hygiene factor in Herzberg's Two-factor theory, leading to its inclusion in the proposed research model of this study.
In short, five elements of Vector‟s HRM practices such as job design, recruitment and selection, training and development, appraisal, rewards are chosen for this study
Below are reviewing briefly about function, roles of each element
A functional structure should be developed based on the firm's strategy and goals, with each role clearly defined to include job purpose, summary, duties, required skills, knowledge, abilities, and reporting lines Job design and analysis are crucial for providing information essential for recruitment, selection, performance management, and training evaluation, highlighting the significant role of job analysis in Human Resource Management (HRM).
Job design is a multi-step process that involves collecting and verifying job information, creating job descriptions, and identifying the necessary skills and knowledge for a position (McCormick, 1979; Mondy and Noe, 1996) Research by Loher et al (1985) indicates that the relationship between job characteristics and employee satisfaction is particularly strong among those with high growth need strength Additionally, job analysis is a systematic approach to gathering comprehensive information about all critical aspects of a job (Ivancevich, 2001) Effective job design not only enhances employee control but also fosters opportunities for skill development and application (Morrison et al., 2005).
A job profile is created following a thorough job analysis and combines two key components: job description and job specification The job description provides a detailed narrative of the job's activities, including its purpose, summary, duties, responsibilities, and the work environment, as well as the equipment utilized Meanwhile, the job specification outlines the essential skills, knowledge, abilities, and personal characteristics required for the position.
Effective recruitment and selection are essential for acquiring qualified employees to meet a company's human resource needs while minimizing costs A well-structured personnel recruitment system aims to attract individuals who will excel in their roles, ultimately leading to better organizational outcomes By implementing effective recruitment strategies, organizations increase their chances of hiring and retaining satisfied employees Recruiting key individuals who significantly enhance the firm's value-creating capacity is vital for success Conversely, poor recruitment choices can lead to negative consequences, such as higher turnover rates, decreased performance, and diminished motivation, ultimately lowering HRM outcomes.
Performance management is an ongoing and adaptable process aimed at enhancing organizational performance through the development of individuals and teams It aligns personal goals with organizational objectives, focusing on empowering employees to meet and exceed expectations while reaching their full potential A key aspect of performance management is providing the necessary support and guidance to facilitate continuous improvement and development for both individuals and the organization.
Performance management is fundamentally about fostering a shared vision within an organization, enabling employees to understand their roles in achieving collective goals, thereby enhancing both individual and organizational performance (1993) Various scholars, including Hartley (1997), Walters (1995), and Fowler (1996), highlight the significance of performance management, advocating for its adoption over traditional performance appraisal methods in HR management.
A performance management system consists of key components like goal setting and performance appraisal Performance appraisal systems can be categorized into three main types: trait-based, behavior-based, and result-based appraisals, each focusing on different aspects of employee performance.
Trait-based appraisal system is used to assess the personal characteristics of employees such as their ability to make decision, loyalty to the company, communication skill,
A behavior-based appraisal system focuses on evaluating employees based on their actions and performance rather than their personal characteristics This approach assesses what employees accomplish in their roles, highlighting specific behaviors that can be improved For instance, even a shy employee can receive constructive feedback on how to modify their actions to enhance their effectiveness in the workplace.
A result-based appraisal system evaluates employee performance by focusing on tangible outcomes, such as the number of machines sold or the profit generated for the company within a specific timeframe.
Performance appraisals serve as a vital employee development tool, enabling managers to offer constructive feedback on past performance By highlighting strengths and weaknesses, supervisors can motivate employees to enhance their future performance and identify effective strategies for achieving key tasks Additionally, performance appraisal data can be utilized to assess and determine the training needs of employees, ensuring they receive the support necessary for their growth.
Training involves systematic and planned instructional activities aimed at enhancing employee learning, which in turn modifies their attitudes, knowledge, and skills for improved performance (Armstrong, 2006; Barrington, 1994) Effective training not only boosts customer satisfaction but also minimizes the need for supervision and reduces long-term costs (Porter, 2005).
Training is essential for motivating and inspiring employees by highlighting the significance of their roles and the areas they need to enhance for skill improvement (Susan, 2002) When employees apply the knowledge gained from training, they are better equipped to excel in their jobs, ultimately contributing to the overall performance of the company.
According to Sloman (2003a), the value of training lies in its focus on the learner, shifting emphasis towards individual or team responsibility for their own learning This approach aims to foster a supportive environment conducive to effective learning, integrating interventions and activities that enhance knowledge and skills Ultimately, these strategies contribute to creating a competitive advantage through the development of people within the organization.
Assessing training needs involves evaluating both organizational and individual requirements Organizational training needs ensure that all new employees receive standardized training, regardless of their background In contrast, individual training needs focus on enhancing specific knowledge and skills for each employee By prioritizing organizational training, companies can potentially reduce future expenses on individual training by implementing stricter criteria in job descriptions during the recruitment process.
PROPOSED RESEARCH AND HYPOTHESES FOR VECTOR
Numerous studies have explored the relationship between HRM practices and job satisfaction, with only a few demonstrating a positive link Notably, research by Mir Mohammed N and colleagues (2010) identified key constructs including recruitment and selection, training and development, performance appraisal, compensation, industrial relations, HR planning, and job satisfaction The study, which surveyed 20 manufacturing firms in Bangladesh, revealed a significant positive relationship between HRM practices and job satisfaction Similarly, research by Bradley and associates also confirmed this significant correlation, highlighting the importance of effective HRM practices in enhancing employee satisfaction.
(2004) Constructs were measured by this model including (1) recruitment and selection,
(2) training and learning, (3) pay, (4) work organization, (4) supervision, (5) employee involvement and (6) job satisfaction However, starting with different research problems, elements of HRM practices in those researches were not the same
- Pay for time not worked such as vacations, holidays, sick leave, jury duty
Based on fundamental theories above and previous researches, author proposes a research model including six constructs: job design, recruitment & selection, compensation, training & development, appraisal and job satisfaction
Proposed research model and hypotheses for Vector are as follows
Hypothesis H1: Job analysis has a significant positive impact on job satisfaction Hypothesis H2: Recruitment & selection process has a significant positive impact on job satisfaction
Hypothesis H3: Compensation has a significant positive impact on job satisfaction
Hypothesis H4: Training & development has a significant positive impact on job satisfaction
H5: Performance management has a significant positive impact on job satisfaction
The proposed research model for Vector includes six key constructs: job analysis, recruitment and selection, compensation and benefits, training and development, performance management, and job satisfaction Among these, job satisfaction is central and is influenced by the other constructs.
Next chapter will present briefly about Vector‟s history, its performance, company‟s goals and current workforce.
INTRODUCTION TO VECTOR AVIATION
HISTORY OF VECTOR
Founded in 2005 by the joint stock logistics companies Vinafreight and Vinatrans, Vector is headquartered in Tan Binh District, Ho Chi Minh City, Vietnam, with branches in Hanoi and Danang, as well as two international representative offices As a member of prestigious global associations like IATA, FAGSA, and TIACA, Vector has grown from a team of three to over 180 skilled employees specializing in foreign trade, air logistics, and aviation services The company’s core focus remains on aviation services, catering to 20 international airlines in the Vietnamese market, including Scandinavian Airlines, United Airlines, Etihad, Egypt Air, and China Southern Airlines Vector is committed to meeting customers' business needs efficiently and profitably.
As the logistics industry in Vietnam rapidly evolves, Vector is experiencing significant growth, increasing its market share annually Currently, the company holds a 10% share of the total export cargo market by air from Vietnam.
Here are some figures to modify the growth rate in Vector from 2005 to 2010
Table 3.1 Company’s performance and market share
(Sources: Vector; www.gso.gov.vn; Tan Son Nhat Cargo Services company, VIFFAS)
Ttl air cargo of market 1000Tons 137,32 99,74 185,2 188,2 167,9 111
GROWTH RATE IN VOLUME AT VECTOR
Figure 3.1 Growth rate in volume (unit: 1,000tons)
MARKET SHARE OF VECTOR IN YEAR 2010
VECTOR‟S VISION, MISSION & GOALS
VISION: to continue to be the leading international aviation service company that constantly maintains best quality service and fast growth
To provide efficient air transport solutions
To dedicate the highest quality of Customer Service
To provide professional staffs with in-depth knowledge of worldwide aviation industry to partners and profitable services
To provide employees a stable work environment, and equal opportunity for learning and personal growth
Total cargo on VN aviation marketTotal cargo of Vector
The growth rate will be at 9% - 10% per annual revenue
To become exclusive distributor for at least 8 new airlines in year 2011
To increase market share to 12% -14%
To build bonded warehouse for air shipment not later than 2012
CURRENT WORKFORCE AND JOB FAMILY
According to the record of HR department, there are 185 employees as of 31 Dec
2010 (including eight probation staffs) The average age of employees is around 28 years old Employees having bachelor degree accounts for 80% All line managers have at least
8 experience years in air logistics services Deep knowledge, vast experiences about foreign trade, international transportation are actually the critical strength of workforce in Vector
Here are some figures to describe current workforce in Vector
Table 3.2 Gender structure of employees
Gender No of person Portion
Table 3.3 Educational background of employees
Educational level No of person Portion
Table 3.4 Recruitment versus resignation in Y’2010
3.3.2 Job family and its roles
Organizational structure of Vector has been built based on job function Depending on the characteristics of aviation services, job family could be classified as follows:
Business development: being responsible for planning and implementing activities related to exploration and development of new business opportunities
The sales team is tasked with creating a comprehensive sales and service plan, which includes a detailed action plan with a specific timeline Their responsibilities encompass developing new client relationships while also nurturing and maintaining existing ones Additionally, they are responsible for managing all related documentation, including sales contracts, to ensure a smooth and efficient sales process.
Booking and Customer Service: handling booking orders, sales indoor, and tracking loaded cargo Executing customer service policies and procedures to ensure customer satisfaction and positive customer relations
Operation involves managing all activities associated with receiving, loading, and unloading cargo It is essential to adhere strictly to aircraft weight and balance regulations while ensuring that all loaded cargo meets international aviation transportation standards Additionally, effective collaboration with ground handling company officers is crucial during the cargo loading process.
In the realm of Accounting and Finance, it is crucial to establish and uphold robust accounting systems and practices that guarantee timely, accurate, and reliable data essential for business operations This includes managing cash flow efficiency and offering financial advisory to management through the preparation and analysis of comprehensive financial reports Additionally, assessing the organization's risk exposure is vital, enabling the development of strategies to mitigate or minimize the adverse effects of potential risks.
Our IT services offer comprehensive support for hardware, software, internet connectivity, and network management We ensure the efficient operation of local area networks (LAN), servers, and workstations while overseeing all active web pages and email accounts Additionally, we handle the setup, preparation, and maintenance of software and hardware as needed to keep your systems running smoothly.
Human resources are responsible for maintaining personnel files and records, guiding managers on policies and regulatory issues, and identifying suitable candidates through testing and selection processes They also organize training courses, develop compensation schemes, and design performance appraisal processes Additionally, HR ensures organizational compliance with Labor Law, internal regulations, and other contractual agreements.
Admin and Legal roles involve performing essential clerical tasks, including managing correspondence, preparing documents, scheduling meetings, and organizing travel arrangements These positions also encompass screening calls and welcoming visitors, all while ensuring that the company's operations adhere to relevant laws and regulations.
Organizational structure of Vector is presented in appendix-2.
RESEARCH METHOD
DATA NEEDS
The research needs to receive the opinions and evaluations of employees about current HRM practices
Secondary data collection Primary data collection
DATA SOURCES
Both primary and secondary data were used for this study
Secondary data was collected from following sources:
HR policies, regulation book, labor contract
Financial statement, sales target, sale plan, sale reports, business plan, business strategy
Data was collected via two approaches:
In 2010, a study was conducted through telephone interviews with five resigned employees, including two former sales managers, an operations manager, a senior customer service representative, and a senior operations staff member The aim was to uncover the underlying reasons for their resignation and to understand their expectations for future employment opportunities.
In-depth interview with 10 line managers to recognize their comments, evaluation and their contribution ideas on current HRM practices
Data from qualitative study and from documentary analysis are used to support for questionnaire design and further analysis Questionnaires for interview are attached in appendix-3
This approach aims to identify a positive and significant relationship between HRM practices and employee job satisfaction By analyzing the collected data, the focus will be on determining which specific HRM factors require attention or enhancement to improve overall employee satisfaction.
Characteristics of respondents and their open ideas
DATA COLLECTION METHOD
The main survey was conducted via email, targeting a small population of 185 employees, with the exclusion of 8 probationary staff, 10 line managers who participated in a qualitative study, the CEO, and the author The survey period spanned from November 20 to December 2, 2010 Utilizing the unique feature of SurveyMonkey to allow only one response per PC ensured that each employee participated individually With an anticipated response rate of at least 70%, the HR department supported the author by distributing the questionnaire and sending reminders to encourage participation The questionnaire was also translated to facilitate understanding among all employees.
To reduce researcher errors in the main survey, draft questionnaires were reviewed by two specialists, followed by a pilot study to prevent time loss due to poorly designed projects This process ensured clarity and ease of response for participants in the main survey The finalized questionnaire was then uploaded to www.surveymonkey.com, and the HR manager distributed the link to all 165 employees to initiate the survey.
MEASUREMENT OF SCALES
This study employs a Likert scale for measurement, ranging from 1 (strongly disagree) to 7 (strongly agree) to assess employees' evaluations of current HRM practices in sections 2 to 5 of the questionnaire Additionally, a nominal scale is utilized to categorize respondent characteristics, including gender, job position, education level, and marital status.
The statement featuring for the observed items are built based on adjustment from different sources
Table 4.1 Summary of scales for 6 constructs
(Appendix12-Eng-version & Appendix13-Vie-version)
Job analysis You have been informed all information relating your job (roles, duties, supervisor, report process, specification of job, standard performance)
Your job description is often updated by direct supervisor or HR department JD2 Modified Your current job is suitable to your task, skill and knowledge JD3 Spector (1994)
The current recruitment practice has process and clear selection criteria RS1 Modified
Having job description for each job title RS2 Modified
Recruitment committee has enough competences and experience RS3 Modified Having suitable sets of exam for each job title when recruitment RS4 Modified
Your base salary is competitive with salary of similar jobs elsewhere CB1 John(2003) Your current base salary is adequate with roles, duties, skill, knowledge and competences of yours
The group incentives package is designed with clear criteria and reasonable targets, as noted by Robert & John (2003) The incentive amounts awarded are commensurate with individual contributions, ensuring fairness and motivation Additionally, employees express high satisfaction with the bonuses received during national holidays, reflecting the effectiveness of the incentive structure.
You are satisfied with allowances package (such as transportation, telephone, overtime - if occur)
Benefit package is very appropriate (Health insurance, medical insurance, annual vacation)
The training you've received is useful for the job TD1 Nancy(2008)
Training opportunities are equitably distributed among all employees, ensuring fairness in access (TD2 Nancy, 2008) Regular training programs are conducted to align with job requirements, enhancing employee skills (TD3 Nancy, 2008) Additionally, direct managers and supervisors actively support employees in expanding their knowledge beyond their current roles.
Effective management plays a crucial role in fostering career development, as they actively encourage and support employees in their professional growth (TD5 Nancy, 2008) Clear communication regarding the standard requirements for desired job positions is essential, enabling individuals to understand the necessary steps to advance their careers.
You are often updated information relating to career opportunities, training course.
The appraisal process is guided by clear, logical, and reliable objectives and criteria, as established by PM1 David (1967)-MSQ Employees are well-informed about the Key Performance Indicators (KPIs) used in the current appraisal system, as noted in PM2 David (1967)-MSQ Furthermore, it is essential that direct managers and supervisors adhere to these appraisal criteria to maintain fairness and equity among all staff members in the department.
You are satisfied with current appraisal process PM4 David(1967)-MSQ
Employee satisfaction The company is really a good place to work S01 Hilb(2003)
Working condition is very good S02 Hilb(2003)
You are satisfied with your current job S03 Hilb(2003)
You like to work in long time with the company S04 Hilb(2003)
You would like to built the company prestige S05 Hilb(2003)
Demography Gender, marital status, educational level, age, year of experiences…
METHOD AND STEPS OF DATA ANALYSIS
Data was collected from an online survey and invalid responses were removed The valid responses were then encoded and imported into SPSS software version 13.0 for comprehensive analysis Inferential statistical methods were employed to validate the research hypotheses.
Reliability analysis is essential for assessing the dependability of scales prior to analyzing collected data, typically conducted by calculating Cronbach's alpha coefficient A coefficient above 0.7 indicates that the scales are reliable and suitable for use (Peterson, 1994) If the coefficient falls below this threshold, items with low item-total correlations are eliminated to enhance reliability (Pallant, 2001).
Factor analysis is essential for evaluating unidimensionality, as well as convergent and discriminant validity (Kline, 1998) The process involves three key steps, beginning with the assessment of data suitability A KMO index of at least 0.6 is required for effective factor analysis, and Bartlett’s test of sphericity must yield significant results (p < 0.05) (Tabachnick & Fidell).
In the analysis process, the second step involves employing principal component analysis to identify the underlying factors, retaining only those with an eigenvalue of 1 or greater for further scrutiny The final step utilizes Varimax rotation to enhance the variance of the squared loadings, optimizing the factor structure.
Final, multiple regression analysis is used to determine whether the hypotheses developed in this study obtained empirical support.
DATA ANALYSIS AND FINDINGS
INTERVIEW DATA ANALYSIS AND FINDINGS
This approach aims to investigate and acknowledge the insights, feedback, and expectations of employees regarding current HRM practices The study involved five resigned employees, including two sales managers, an operations manager, and two senior customer service representatives, along with ten line managers.
In interviews with five former employees, a common concern emerged regarding the base salary outlined in their labor contracts They questioned the announced salary increase in January 2010, as all employees were required to sign an appendix to their contracts, yet their monthly earnings remained unchanged One sales manager highlighted that his base salary had not increased for two years, despite rising inflation, leaving him unable to meet his family's basic needs Another sales manager expressed frustration over the lack of response from supervisors and HR regarding his salary review requests, only to see an immediate increase after escalating the issue to the CEO, which he felt was an unfair and demotivating approach Employees suggested implementing a regular performance appraisal system with clear KPIs and emphasized the need for dedicated training programs, either through an in-house team or external experts, as the current training by direct managers lacked consistency and thoroughness in covering all aspects of aviation services Additionally, they discussed the importance of clearly defined job descriptions, goals, and responsibilities to enhance performance standards.
The Vice Director confirmed that the company is pursuing its growth strategy for the period of 2008-2012, with a core focus on aviation transportation For 2011, the Board of Directors aims to secure at least eight contracts with international airlines However, several key positions remain vacant, which could significantly impact the progress of new projects.
In a recent interview, the HR manager highlighted that the current HRM policies and practices lack standardization She expressed optimism that formal HRM processes will soon be established, emphasizing that successful implementation requires collaboration beyond just the HR manager; it must be viewed as a company-wide initiative.
Interviews with eight line managers, including one branch manager in Hanoi and seven department leaders, revealed consistent concerns regarding basic salary, bonuses, training, and performance appraisals These managers emphasized the need for improved recruitment and selection processes, suggesting that vacant positions should be communicated to all line managers or publicly posted on the company's website They expressed frustration over not having access to the basic salary information of their department staff and requested detailed information on Key Performance Indicators (KPIs) for appraisals Additionally, they highlighted instances where they were asked to onboard new staff despite not needing additional personnel and expressed a desire to participate in the recruitment committee for selecting new team members.
Based on the comments of people collected in interview study, documentary analysis was carried out and found out some significant issues
The absence of official job profiles for each department and position within the company creates significant challenges Department managers often provide brief job descriptions only when hiring, while line managers typically assign tasks verbally or via email This lack of formal documentation from the HR department results in employees being unclear about their performance standards, specific duties, supervisors, and reporting processes Consequently, the performance management and compensation systems are adversely affected, leading to further complications in organizational effectiveness.
The current official recruitment process is as follows: request from department leaders
The HR department initiates the recruitment process by obtaining approval from the CEO Once authorized, HR sources potential candidates and conducts preliminary telephone interviews to assess their suitability Selected candidates are then invited to participate in an exam or in-person interview The final selection is made through a comprehensive interview conducted by the CEO, leading to the successful candidate's employment.
The current recruitment process faces a significant limitation due to the lack of a comprehensive exam question archive for assessing candidates' knowledge and competencies Presently, the only method employed to evaluate English language proficiency is a single written exam, which is uniformly applied across all job positions.
The current compensation system in Vector includes two parts
Direct payment is divided two types that based pay system and variable pay system:
The current pay system at Vector has faced numerous complaints due to its reliance on an outdated model established by the Ministry of Labor, Invalids, and Social Affairs for state-owned companies This system lacks clarity in its criteria, primarily focusing on educational qualifications, work conditions, and years of experience to determine pay grades, while failing to address essential factors such as skills and competencies.
The variable pay system encompasses sales incentives and bonuses, with sales department leaders receiving an approved sales plan from the Board of Directors at the beginning of each year Any excess targets achieved will be rewarded as sales incentives for the entire department at a predetermined ratio Additionally, bonuses for non-sales employees are distributed biannually, based on the overall performance of the company.
Indirect payment system includes some types such as allowances (transportation, telephone, over time, training), healthcare insurance, annual medical examination, yearly vacation
The company currently lacks an official training policy, with only sporadic courses organized by the CEO to enhance aviation knowledge and soft skills through outsourcing Notably, in 2009, only one course titled "multiple-transportation" was offered, followed by two communication courses and one sales forum in 2010 The CEO plans to develop targeted training programs in response to client complaints Additionally, overseas training courses are provided by airlines for which Vector serves as a distributor, allowing relevant personnel to participate in these international training opportunities.
The absence of a job analysis has hindered the establishment of key performance indicators (KPIs) and other standard performance metrics at Vector Although the company has initiated a performance appraisal process, line managers have expressed concerns about the validity and reliability of the appraisal results due to the lack of clear KPI sets and defined job profiles, making it difficult to use these results for effective goal-setting.
The next section will present analysis for data collecting from main survey with mentioned steps in previous chapter
DATA ANALYSIS FOR THE MAIN SURVEY AND FINDINGS
Population for survey was 165 employees Respondents were 156 in which 150 responses were valid, account for 90.90%
The tables below present the characteristics of the respondents The statistical report reveals that employees from all job positions participated in this survey, indicating a strong interest among most employees in the survey's subject matter.
Figure 5.1 Job position of respondents
Sales development Sales executive Booking/Customer services Operation
A significant 73.33% of respondents are aged between 25 and 35 years, with 87.33% holding a bachelor's degree or higher This dynamic workforce possesses substantial experience and in-depth knowledge, making them a vital resource for any company.
Figure 5.2 Age of respondents & Educational level of respondents
Although 82.67% of respondents work for the company less than 4 years, but 31% have experience over ten years in air logistics industry and aviation services
Figure 5.3 Members of year experience & No of years works for Vector
Doctorate Master Bacherlor College Under college
No.of year works for company
The descriptive report indicates that employees across all job positions participated in the survey, yielding 150 valid responses, which constitutes 90.90%—significantly surpassing the anticipated response rate of 70% This robust participation is sufficient to accurately represent the entire population.
Before conducting factor analysis, it is essential to assess the reliability of scales by calculating Cronbach's alpha coefficients Each construct's scale should have a coefficient exceeding 0.7; otherwise, items with low item-total correlations (≤0.3) should be eliminated to enhance the reliability of the observed items.
Table 5.1 Summary results of reliability analysis
Original observed items Cronbach‟s alpha- 1 st run
The analysis of final observed items reveals varying performance metrics across different categories The items jd1, jd2, and jd3 achieved a score of 0.762, while rs1 through rs4 reached a higher score of 0.830 The category including cb1 to cb7 demonstrated a solid score of 0.796, whereas td1 through td7 excelled with a score of 0.897 Additionally, the items pm1 to pm4 garnered a score of 0.877, and the final category s01 to s05 recorded a score of 0.857.
The findings from this step are detailed in Appendix 4 and summarized in Table 4.1 In the initial assessment, all constructs achieved a Cronbach's alpha coefficient exceeding the acceptable threshold of 0.7, indicating that all scales are reliable Further analysis of these results is presented in Table 5.1.
Factor analysis will examine unidimensionality, convergent and discriminated validity (Kline,1998) This type of analysis requires three steps as following a Assessing the suitability of data before analysis
This step helps to determine whether a particular data set is suitable for factor analysis
Bartlett's test of sphericity is utilized to assess the strength of relationships among variables, requiring a significance level of p0.5
Multiple regression analysis is a statistical method that investigates the relationship between a single dependent variable and several independent variables This technique offers insights into the overall model and assesses the individual contributions of each variable involved (Pallant, 2001).
Multiple regression analysis requires some assumptions which should always be tested before analysis If these assumptions are not met, the results may not be trustworthy Those are:
The reliability of the variables was confirmed through factor analysis, utilizing the Cronbach Alpha indicator to ensure accurate measurement without error The subsequent steps will focus on testing the remaining three assumptions.
Multicollinearity can significantly impact the accuracy of multiple regression analysis, which relies on linear relationships between the dependent variable (DV) and independent variables (IV) A correlation coefficient greater than 0.3, as suggested by Pallant (2001), indicates a linear relationship, and all variables listed in Appendix-7 meet this criterion Additionally, to ensure that the independent variables are not excessively correlated, the Tolerance value is assessed; a Tolerance value below 0.1 signals high multicollinearity, necessitating the removal of the affected variable from the model Fortunately, the findings of this study revealed that all variables maintained a Tolerance value above 0.1, confirming compliance with multicollinearity standards.
DISCUSSION, CONCLUSION AND RECOMMENDATIONS
DISCUSSION
Human Resource Management (HRM) remains a crucial and dynamic topic, as no organization can function effectively without its employees Given the diverse backgrounds and characteristics of the workforce in each company, a one-size-fits-all HRM model is impractical Consequently, it is essential for each firm to thoroughly analyze its unique workforce to develop a tailored HRM strategy The findings from a survey conducted at Vector provide valuable insights into this process.
1 Findings from confirmed research model above indicate that “training & development” is positive strongest impact on job satisfaction ( eta=0.321) This is totally consistent with background of aviation services to be mentioned in chapter 1 Air logistics and aviation services are young industry in Vietnam It has been developing very fast in last five years when Vietnam Government decided to open the sky Open sky policy that means many airlines come and Vector has much more businesses Accompany with the growth of company and the strict requirements in aviation services industry, employees expects to be trained regularly In the situation of Vietnam, the training needs are very hard to carry out by employees themselves There are few universities and training centers to supply aviation services course, also air logistics courses If yes, those are just basic knowledge Findings from this survey are entirely in line with background of aviation services and air logistic industry Referring from descriptive report (appendix-9), 55.8% of respondents answered that ” training and development” is a critical factor which has been attracted them to work in Vector Findings from descriptive report indicated some previous training courses actually provided the suitable knowledge to employees It takes highest mean value (mean = 5.03) among 7 observed items of factor TD -”training & development” (ref appendix9) However, training courses are not organized regularly (mean=4.35) which help employees to update information, regulations or custom laws for their daily job… Two observed items in factor “TD” are “TD6” and “TD7” which has lowest mean value (mean=3.97) It means that employees would like to be updated information relating career opportunity, training course, or standard requirement for vacant position
2 Findings from multiple regression analysis showed that “job analysis” is also strong impact on job satisfaction ( eta=0.249) in Vector This result is quietly suitable with finding from legal document of company Job description is currently applied only for recruitment phase It has not been updated Most of employees receive new duties for job in verbal It‟s quite suitable with finding result from survey that mean value of JD2 is smallest (mean=4.5) Results from interview with line managers are the same Job analysis as mentioned in literature review takes a very important role in HRM It is input for all aspects of HRM practices such as recruitment policy, compensation policy, KPI, training
A recent analysis of HR documents revealed that two-thirds of employees lack updated job descriptions, hindering their ability to set specific job goals This absence of clear role definitions significantly impacts employee performance, ultimately affecting the overall outcomes of the company.
3 After the factor analysis, “compensation & benefit” was divided into two new factors: “compensation” and “benefit” In which, „compensation‟ factor includes based salary, sales incentives, pay for performance „Benefit‟ factor presents for health insurance, annual medical check, annual vacation, allowances … In Vector, compensation policy is applying basically two ways One approach is called “based pay” which employees will receive their salary monthly depending on their working time The second approach is called “pay for performance” Every 3 months, employees will receive money based on performance of their department, or their sales target Referring the descriptive report,
The survey results indicate that the item "Your base salary is competitive with salaries for similar jobs elsewhere" received the lowest score in the compensation factor, with a mean value of 3.73 This finding aligns with the company's focus on sales incentive packages, which received a higher mean value of 4.81 It suggests that the base salary policy requires attention and adjustment, as inadequate salaries can lead to employee dissatisfaction Additionally, the item "Your current base salary is adequate for your roles, duties, skills, knowledge, and competencies" also received a low score (mean=4.11), reflecting concerns raised in interviews and company documents The lack of a defined job profile and job description for each position hinders the establishment of an appropriate base pay policy, underscoring the need for a structured approach to compensation at Vector.
The recent implementation of the Vector public pay framework by the Government lacks clear criteria for assessing the knowledge, skills, and competencies of staff, leading to challenges for HR managers in determining pay grades for new hires and promotions The HR manager emphasized that an effective pay system relies on comprehensive job analysis, which should be treated as a company-wide project rather than solely an HR responsibility Moreover, a competitive compensation package not only satisfies and retains current employees but also attracts top talent, as evidenced by survey results highlighting the strong performance of the company's benefits package in the compensation and benefits system Thus, it is crucial for the company to sustain this advantage.
4 In the revised research model, two hypotheses “recruitment & selection” and
The study indicates a negative relationship between performance management and job satisfaction, primarily due to the exclusion of line managers from the main survey While recruitment and performance management are crucial aspects of human resource management, their execution is largely overseen by line managers and the Board of Directors Non-managerial employees tend to concentrate more on the tangible returns of their contributions, such as rewards and promotion policies, rather than the processes of recruitment or performance management Consequently, the survey participants may have prioritized concerns about rewards and promotions over the underlying management processes.
In-depth interviews with ten line managers revealed that effective recruitment and selection processes are crucial for organizational success An ineffective workforce not only incurs financial costs but also diminishes departmental performance With the recent implementation of sales incentive packages, line managers are increasingly focused on workforce outcomes Hiring unsuitable candidates can lead to decreased productivity, higher turnover rates, and lowered morale among existing employees, ultimately undermining departmental commitment Therefore, line managers emphasize the need for a well-structured recruitment and selection policy Additionally, they recommend utilizing multiple recruitment channels rather than relying solely on employee referrals, as this approach can enhance the overall effectiveness of the hiring process.
Employee referrals account for 77.9% of successful hires, aligning with feedback from line managers who emphasize the importance of advertising job vacancies on the company’s website, internal network, and in newspapers.
Performance management is a crucial aspect of human resource management, as highlighted by experts like Michael Armstrong and Fletcher in the literature review of this research Interviews with line managers revealed a wealth of insights on this topic Although Vector has recently implemented a performance appraisal process, its effectiveness is limited due to the generic nature of the Key Performance Indicators (KPIs) established.
In both in-depth interviews and surveys, the results indicate that the statement "You know clearly all criteria (KPI) in the current appraisal process" received the lowest mean value of 3.89 among the four observed items in the factor "PM."
CONCLUSION
This study is aimed to identified key elements of HRM practices and then to test their impact on job satisfaction for Vector
A comprehensive review of literature on job satisfaction and HRM practices was conducted, analyzing previous research extensively This review led to the development of a theoretical research model and corresponding hypotheses A qualitative study involving interviews with ten line managers and five resigned employees was carried out, utilizing both telephone and face-to-face methods Additionally, a quantitative approach was implemented, incorporating 30 observed items to enrich the findings.
A total of 150 valid responses were collected from a population of 165, resulting in a response rate of 90.9% Before further analysis, the reliability of the scales was tested using Cronbach's alpha coefficient, and all observed items were retained The factor analysis revealed seven factors, an increase from the initial six proposed in the research model These findings were subsequently utilized for multiple regression analysis, which indicated that job analysis, compensation, benefits, and training & development significantly contribute to overall satisfaction in Vector's research model Additionally, a review of secondary information related to Vector, aviation services, and the air logistics industry provided valuable insights for data analysis and recommendations.
RECOMMENDATIONS
To enhance HRM practices at Vector and mitigate the rising labor turnover rate, the author recommends several strategies based on empirical survey data Notably, prioritizing "training and development" is crucial, as it has the most significant influence on job satisfaction.
1 Training & development: to revise the training policy
Vector has successfully conducted several in-house training courses; however, it is essential for the company to develop and implement an official training policy for employees to follow This training should be systematic, specifically designed, planned, and executed to address the organization's needs (Armstrong, 2006) To create an effective training policy, the company must establish training boards responsible for revising the policy and ensuring it encompasses key objectives.
Purpose and scope of training
Training process must ensures those contents to be carried out: identifying training needs, setting objectives, determining subject content, selecting participants, plan training programs (techniques, facilities, location, trainers)
Process of implementing training program help to ensure in choosing the right experienced and trained trainers to implement the training
Process of evaluating training helps to ensure that it is effective
1b Setting up in-house trainers‟ team
To enhance training effectiveness at Vector, it is essential to establish an in-house team of at least five trainers, as there are currently no universities or transportation associations in Vietnam offering courses in aviation logistics While line managers have undergone expensive overseas training, the direct training provided to newly recruited staff by their supervisors often falls short due to a lack of teaching skills and the managers' busy schedules This situation can lead to delays in training, ultimately impacting departmental performance as new employees may not acquire the necessary knowledge to address challenges effectively.
1c Building up the criteria sets which help to evaluate the result of training
The training board must distinguish between individual and corporate training needs Individual training needs refer to the specific knowledge, competencies, and skills employees require to meet employer expectations If current staff lack these qualifications, the company is responsible for covering their training costs Moving forward, these requirements should be clearly outlined in job descriptions to attract suitable candidates Currently, the company primarily organizes courses to address corporate training needs, focusing on enhancing employees' knowledge and keeping them updated on aviation logistics.
1d Suggestion some training courses in year 2011 for Vector
Vector's growth strategy remains on track, with plans to add at least eight new airlines by 2011 Additionally, the company will construct a dedicated warehouse for air shipments in the upcoming year Employee feedback from interviews and surveys highlights a significant demand for training, with several courses requested The suggested training courses for 2011 will address these needs and include participation from the employees.
Table 6.1 Suggestion several training course for Vector in 2011
Course for corporate training needs Course for individual training needs
Sales - Basic introductory course – material of IATA
- Air forwarding – materials of FIATA
- Multiple transportation – material of FIATA
- Oversea training course: sending a request to specific airline which salesmen are PIC in Vietnam territory
Sales managers are required to equip leadership skill as individual training need and price strategy for domestic market
- Basic introductory course – material of IATA
- Air forwarding – materials of FIATA
- Oversea training course: sending a request to specific airline which employees work as PIC in Vietnam territory
Customer services team leaders are required to equip leadership skill as individual training need and claim process of specific airlines which they are working for
Operation - Basic introductory course – material of IATA
- Dangerous goods – material of IATA
- Oversea training course: flight time schedule and mandatory process to operation of a specific airline
Operation managers are required to equip leadership skill as individual training need which employees work as PIC in Vietnam territory
- Basic introductory course – material of IATA
- Tax courses are often organized by Tax Department of Gov
- Updated accounting courses are organized by Finance ministry
Finance manager and chief accountant are required to equip leadership skill
Legal & HR - Basic introductory course – material of IATA
- Tax courses are often organized by Tax Department of Gov
- Labor laws, base pay policy, health & medical insurance courses are organized often by Socio &
Legal & HR managers are required to equip leadership skill
IT - Network security management course
- Updated new functional ERP course (if any)
IT manager is required to equip leadership skill
Admin manager is required to equip leadership skill
2 Job analysis: To build job profile for all job function
A job profile, derived from job analysis, plays a crucial role in human resource management (HRM) by providing essential information for recruitment, selection, performance management, and training evaluation To create effective job profiles for all positions, specific steps must be undertaken to ensure their relevance and utility.
To set up a job evaluation committee with leader is one of two vice directors HR manager is an assistant to committee leader And members include 10 line managers
Line managers and individuals get together and agree the key result areas and competences
Line managers have to define what knowledge, skills in terms of qualifications, technical, problem-solving, planning, communication skills… which job holder need to carry out the job effectively
Hiring an HR consulting firm is essential for effective job analysis, as their specialists will guide the process systematically With the expertise of professional HR consultants, the job analysis will be executed correctly, yielding valuable results These results will inform key organizational goals, including the development of compensation policies, training programs, and performance management strategies The following table summarizes the necessary steps for job analysis recommended for Vector.
Table 6.2 Proposed job analysis process for Vector
1 Writing job description for all job position in each department
Proposed new job description form is enclosed in appendix11 for useful reference
Managers, leader of each department
2 Gathering all job descriptions from department and classify them according to functional structure
To classify job descriptions into two kinds: managerial level and non-managerial level Job descriptions are also grouped in job family
3 Each member of committee has to read job profiles for each function in general To take note key points
Team members collaboratively evaluate job profiles for each function to align key result areas and competencies, including knowledge, skills, problem-solving, planning, and communication abilities This process emphasizes the importance of general personal characteristics that are crucial for success within the organization and for effectively managing change.
Job profile of each position is required often to be updated before using it for any goals
3 Compensation: to re-build based pay grade and policy
To address the findings regarding compensation, it is crucial to promptly restructure the salary system within the compensation package As the company expands its aviation services and increases its workforce, establishing a fair and competitive salary policy must be prioritized, despite currently having only one individual overseeing this critical aspect.
Hr department that is HR manager She, consequently, takes the role of legal officer Therefore, in order to re-build the based salary system fast, some suggestions are following:
To hire HR consultant firm to build based salary policy
The job evaluation committee must coordinate closely with consultant firm If leaving all for consultant firm, the based salary policy will not be feasibility in practice
Job profile from job analysis process must be used for re-building new grade of based pay
After finishing the based pay system, pay for performance package should be reviewed the KPI sets Some KPI sets are not updated and some are not clear criteria
Some famous HR consultant firms in Hochiminh city such as TALENTNET, BCC, XAGE just sent the quotation for this work Forecast budget is around 18,000$/package
4 Recruitment and selection: To set clear criteria in recruitment process
To align the recruitment and selection process with the company's strategy, it is essential to revise it based on the job evaluation results The HR manager will be responsible for drafting the recruitment and selection policy and process The job evaluation committee will review and discuss the draft to ensure consensus on the key points of the policy and its implementation.
Line managers strongly advocate for their inclusion on the recruitment board when selecting new staff for their departments, highlighting the importance of this involvement in the recruitment and selection policy.
Each line manager must create a minimum of three written exams for every job position within their department and submit them to the HR manager This process will be repeated annually, as the HR department currently relies on a single written exam to assess English proficiency for all job positions during the recruitment process.
The company should upgrade website in order to load recruitment notice and receive the application letter and CVs of candidates
5 Performance management: To re-build and update KPI sets and appraisal process should be applied every six months
Referring the data analysis for factor “performance management”, observed items
“KPI sets” in performance appraisal are not clear Thus the current performance appraisal process cannot implement effectively Some recommendations are presented as below
Line managers should revise or establish key performance indicators (KPIs) for every role within their department, utilizing current job profiles and the approved business plan or sales targets as a foundation.
Those KPI sets must be gathered by HR department and sent to the job evaluation committee for discussion before announcing to employees
HR department takes a responsibility to update new KPI sets into performance management policy
Performance appraisal must be applied every six months
The result of appraisal process must be used for more goals such as increasing salary, promotion, also for training and development
To minimize personal feeling between line manager and his employees, reward committee has full right to review the assessment results whether it is consistent with KPI sets.
LIMITATIONS AND FURTHER RESEARCH DIRECTIONS
This research identifies the impact of various HRM practices on job satisfaction, effectively addressing the hypotheses outlined in Chapter 1 However, it is important to note that the study has certain limitations.
This study focuses exclusively on Vector, analyzing job satisfaction through key elements of its HRM practices It does not address other aspects of the Guest model, such as involvement, status, and security The recommendations provided aim to enhance HRM practices at Vector in the short term, ultimately increasing job satisfaction and reducing labor turnover.
Further research is necessary to explore the distinct dimensions of HRM practices, enabling a comprehensive analysis of each aspect This focused approach will lead to more detailed recommendations for effective implementation.
Interviews with two resigned employees revealed dissatisfaction with the company's pay policy and training opportunities Additionally, the direct leadership style within their department contributed to their decision to leave Vector Consequently, future research will examine all aspects of job satisfaction to gain a comprehensive understanding.
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http://www.humanresources.hrvinet.com/employee-satisfaction-form/
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http://www.zarca.com/Online-Surveys-Employee/employee-satisfaction- survey-detailed-version.html
http://www.gso.gov.vn
http://www.vla.info.vn
MODELS OF HRM
CURRENT ORGANIZATIONAL STRUCTURE
SENIOR VICE DIRECTOR VP GLOBAL SALES
QUESTIONNAIRES FOR INTERVIEW
A Questionnaires for interview resigned employees
1) Could you please tell me the main reasons for leaving Vector?
3) Could you say about the processes, procedures, or policy (ect.) that contributed to your decision to leave?
4) What kind of training program that you had joining was most helpful and enjoyable?
5) Do you have any comment about the way your performance was measured? And how about the way did you receive the feedback to your performance?
6) Could you give me your ideas about appraisal system? Did it work for you?
7) Do you have any comment about the communications and relations in your departments and between departments?
8) What should the firm do right now in order to retain the best people (like you)?
9) Are you happy to tell me what do you expect from new place?
10) If the situation was improved, could you consider working again with Vector?
1 Mr Nguyen Trung Thanh - sale manager – handphone: +84908173158
2 Mr Le Tan Duc – country sale manager – handphone:+84982366264
3 Ms Nguyen Phuong Thao – customer services - handphone: +84091809685
4 Mr Tran Duc Nam – operation-handphone: +8493752775
5 Mr Tran Van Dai – operation – handphone:+ 84937182070
B Questionnaires for interview line-managers
1) Do you satisfy with your current headcount?
2) How do you know their knowledge, experience or competences meet to the job requirements?
3) Do you prepare job description for all your staffs, and often update?
4) Could you evaluate about the current recruiting process?
5) How do you feel about the competence, experience of recruitment committee?
6) How would you do with unqualified employees?
7) How do you manage somebody who is not good performing in their job?”
8) Have you ever build any KPI sets for your department‟s employees?
9) What kind of KPI sets do you feel it is very hard to set up? How do you overcome? Is it practical?
10) What are the most difficult aspects about being line manager?
11) How do you motivate your staffs?
12) Have you ever train for your staffs? How do you feel about your role in that case? Do you love doing it?
13) How to prevent the mistake of your staffs in your department?
14) What kind of training courses should be organized? How many times per year? Who are participants?
15) What would you expect from BOD for the good performance of your department? How did they motivate you?
16) How do you perceive about your career opportunity in our company?
17) In your point of view, how do you evaluate all aspect of HRM policy and practices? Are they effective?
18) Have you ever received any complaint from your staffs about HRM policy and practices?
19) How could you do if you receive the resignation letter from you staffs?
20) Compensation package is appropriated? Do you satisfy with your based salary? How about sale incentives and bonus policy?
21) How about non-money rewards package?
22) What would you improve HRM policy and practices if you were HR manager?
1 Mr Nguyen Ngoc Nhien – Vice Commercial Director
2 Ms Nguyen Hong Van –HR Manager
3 Mr Le Nguyen Trung Nghia – Development Manager
4 Mr Nguyen Xuan Son- Offline Sales Manager
5 Ms Nguyen Khanh Dung – Hanoi branch Manager
6 Ms Ngo Thanh Van – Danang branch manager
7 Ms Le Nguyen Thao Uyen – Freighter 1 department Manager
8 Mr Tran Ly Duc – Freighter 2 department manager
9 Ms Lai Thi Chau Linh – China Southern Department manager
10 Mr Tran Ngoc An – Charter department manager
RELIABILITY ANALYSIS
1 Reliability of the construct " job analysis"
Total 150 100.0 a Listwise deletion based on all variables in the procedure.
Cronbach's Alpha Based on Standardized
The covariance matrix is calculated and used in the analysis
Scale Mean if Item Deleted
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
2 Reliability of the construct " recruitment & selection"
Total 150 100.0 a Listwise deletion based on all variables in the procedure.
Cronbach's Alpha Based on Standardized
The covariance matrix is calculated and used in the analysis
Scale Mean if Item Deleted
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
3 Reliability of the construct " compensation & benefit"
Total 150 100.0 a Listwise deletion based on all variables in the procedure
Cronbach's Alpha Based on Standardized Items N of Items
CB1 CB2 CB3 CB4 CB5 CB6 CB7
The covariance matrix is calculated and used in the analysis
Scale Mean if Item Deleted
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
4 Reliability of the construct " training & development"
Total 150 100.0 a Listwise deletion based on all variables in the procedure.
Cronbach's Alpha Based on Standardized
TD1 TD2 TD3 TD4 TD5 TD6 TD7
The covariance matrix is calculated and used in the analysis
Scale Mean if Item Deleted
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
5 Reliability of the construct " performance management"
Total 150 100.0 a Listwise deletion based on all variables in the procedure.
Cronbach's Alpha Based on Standardized
The covariance matrix is calculated and used in the analysis
Scale Mean if Item Deleted
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
6 Reliability of the construct " job satisfaction"
Total 150 100.0 a Listwise deletion based on all variables in the procedure.
Cronbach's Alpha Based on Standardized
The covariance matrix is calculated and used in the analysis
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
ASSESSMENT SUITABLE DATA
Kaiser-Meyer-Olkin Measure of Sampling
Kaiser-Meyer-Olkin Measure of Sampling
Kaiser-Meyer-Olkin Measure of Sampling
Kaiser-Meyer-Olkin Measure of Sampling
Kaiser-Meyer-Olkin Measure of Sampling
Kaiser-Meyer-Olkin Measure of Sampling
FACTOR EXTRACTION
Extraction Method: Principal Component Analysis
Extraction Method: Principal Component Analysis
Extraction Method: Principal Component Analysis
Extraction Method: Principal Component Analysis
Rotation Method: Varimax with Kaiser Normalization a Rotation converged in 3 iterations
Extraction Method: Principal Component Analysis
Extraction Method: Principal Component Analysis
Dummy category a Only one component was extracted
The solution cannot be rotated.
Extraction Method: Principal Component Analysis
REGESSION ANNALYSIS
Enter a All requested variables entered b Dependent Variable: JS
R Square Change F Change df1 df2
1 0.836 0.699 0.686 0.589 0.699 55.274 6 143 0.000 2.257 a Predictors: (Constant), PM, RS, BT, JD, CB, TD b Dependent Variable: JS
Zero- order Partial Part Tolerance VIF
(Constant) JD RS CB BT TD PM
DESCRIPTIVE REPORT
You have been informed all information relating your job (roles, duties, supervisor, report process, specification of job, standard performance) 150 1 7 4.83 1.87
Your job description is often updated by direct supervisor or HR department 150 1 7 4.50 1.98
JD3 Your current job is suitable to your task, skill and knowledge 150 1 7 5.17 1.63
RS1 Company has recruitment process with clear criterias 150 1 7 4.56 1.66
RS2 Having job description for each job title 150 1 7 4.05 2.01
RS3 Recruitment committee has enough competences and experience 150 1 7 4.87 1.65
RS4 Having suitable sets of exam for each job title when recruitment 150 1 7 3.77 1.90
CB1 Your based salary is competitive with salary of similar jobs elsewhere 150 1 7 3.73 1.45
Your current based salary is adequate with roles, duties, skill, knowledge and competences of yours 150 1 7 4.11 1.47
CB3 Group incentives package is quite clear criteria and reasonable target 150 1 7 4.81 1.47
CB4 Incentive amount which you‟ve received is adequate with your contribution 150 1 7 4.57 1.62
CB5 You are very satisfied with bonus amount on national holidays 150 2 7 5.13 1.40
You are satisfied with allowances package (such as transportation, telephone, overtime - if occur) 132 1 7 5.59 1.11
Benefit package ( health insurance, annual health examination, annual vacation trip ) is very appropriate 150 1 7 6.06 1.09
TD1 The training you've received is useful for the job 150 1 7 5.03 1.49
TD2 Training opportunities are allocated fairly to all employees 150 1 7 4.55 1.69
TD3 Training program is held regularly in accordance with job requirement 150 1 7 4.35 1.56
Direct manager or supervisor often supports you to learn more issues beside your current job 150 2 7 4.85 1.36
Management people often encourages and support you to develope your career 150 2 7 4.93 1.41
You are clearly informed the standard requirements for a job position which you want to develop your career 150 1 7 3.97 1.61
You are often updated information relating to career opportunities, training course 150 1 7 3.97 1.60
The objectives and criteria in the appraisal process are clear, logical and reliable 150 1 7 4.11 1.76
PM2 You know clearly all criteria (KPI)in current appraisal process 150 1 7 3.89 1.52
Your direct manager or supervisor is compliant with appraisal criteria in process to ensure fairness for all staffs in your department 150 1 7 4.53 1.36
PM4 You are satisfied with current appraisal process 150 1 7 4.05 1.42
S01 The company is really a good place to work 150 1 7 5.33 1.42
S02 Working condition is very good 150 1 7 5.21 1.34
S03 You are satisfied with your current job 150 1 7 4.97 1.43
S04 You like to work in long time with the company 150 1 7 5.46 1.17
S05 You would like to build the company's prestige 150 1 7 5.15 1.21
CURRENT JOB DESCRIPTION
A8 Truong Son, Tan Binh District, HoChiminh City Telephone: 6293 9425 Fax : 62939428
Website : www.vector-aviation.com.vn
Job title: Job family: Department : Job holder : _ Respond for : Report to: Location: _ Date: _
Job code : - Salary grade : - Level of grade : - Type of contract : Probation Under 12 months
Permanent Others Version no.: _ Dated: _
Approved by : Date of approval: / /
2 RESPONSIBILITIES AND DUTIES AND SCOPE OF RIGHTS
Direct manager: Supervisor: Related department:
Please tick to suitable box:
Others (please write in details)
Does job require more specific condition such as overtime? Yes No
Direct manager : ……… ……… Date:……… Job holder : ……… ……… Date: ………
PROPOSED NEW JOB DESCRIPTION FORM
A8 Truong Son, Tan Binh District, Ho Chi Minh City, Vietnam Telephone: (84-8) Fax: (84-8)
Total pages Updated by Approved by
Direct supervisor's Title: Working time
Name of Direct supervisor Working location
7 Knowledge - in aviation logistics industry -
Job Holder Direct supervisor HR officer CEO