PROBLEMDEFINITION
Backgroundof InterLogCompany
InternationalLogisticsJointStockCompany(InterLog)wasseparatedfromInterlinkGroup– businessspecializinginfreightforwardingmultinationals.Inthecontextofinternationaltradedevelopment ,freightdemandforexportsanddomesticrisesupinVietnam,tomoreproactiveinbusiness,InternationalL ogisticJSCwasbornonAugust2005withitsheadofficebasedonHoChiMinhCity.
Establishedsince2005,InterLoghasbecomeastrongbrandandwonthetrustofmanydomesticcusto mers.Ithasbuiltapowerfulworkforcewithmorethan100officialstaffs,developedanofficialnetworkinf ivebigcitiesincludingtwobranchesinHaNoiandDongNai,andtwoagentsinDaNangandHaiPhong.
Headoffice:5thFloor,SaigonPortBuilding,03NguyenTatThanhSt.,W.12,Dist.4,HCMC. Telephone:+84.8.39435899
Email:Info@interlogistics.com.vnWebsite:www.int erlogistics.com.vn
Shippingandfreightforwardingbytruck,train,shipandaircraft(including:lessthancontainerlo aded-LCLandfullcontainerloaded-FCL).
Donotjustfocusontransportationandfreightforwardingimportandexportgoodsfromtheporttoth eport,butalsoInterLogexploitsairtransport,organizestheconsolidationand storageofgoods.Withextensiverelationships,agencynetworkofthecompanyhasbeenselectedtoenhan cethequalityofservice,tomeetincreasingdemandofdomesticandforeignclients.
Mission:Operatinginlogisticsbusiness,InterLoghasdevelopedwithmissiontocreatetheeffectives upplychainthatbringsbenefitstocustomers,themselvesandcommunity.
AsanofficialmemberofInternationalFederationofFreightForwardersAssociation(FIATA)an dVietnamFreightForwardersAssociation(VIFFAS).
Withthenatureoflogisticsbusiness,InterLogsetsupitsorganizationalstructureintoparticulardepartm entsthatruneachpartofeveryshipmentfromcustomers.Theorganizationalsy ste m ofInterLogcompriseso fSalesDepartmentandExpertBureauDepartment.Indetails,SalesDivisioncontainsthreespecificsegments ofExport,ImportandDomesticsshipmentsmean wh ile ExpertBureauDepartmentgetsinvolveinpaperwo rk,documents,customs,truckingandwarehousingdepartmentsetc.
Thediagrambelow(Source:InterLogCompany)isstructureofInterLogwiththreemaindivisions:P roduction,SalesandHR&Finance.Inthebottomofdiagramhasthenumberthatisthenumberofemployees ineachdepartment.
Board of Director Board of Supervisor
Warehous Customs Trucking Solutions Document ationMulti Transport Operator Interconso Agents Developmen Sales Supply Chain Hanoi Branch
Responsible for storage, loading, and distribution, as well as customs clearance and trucking services Manages import and export documentation, oversees domestic inland trucking, and handles LCL consolidation (NVOCC) Coordinates with overseas agents and clients, facilitating export shipments from customers and managing import shipments from customers, particularly focusing on clients in the Northern region.
Currentsituationof InterLogCompany
In today's business landscape, employees are recognized as the most valuable assets, with investments in their benefits, career development, and training regarded as essential human capital investments Becker (1964) emphasized that these investments can be compared to capital expenditures on property and equipment, providing firms with a sustainable competitive advantage This is particularly true in the service and logistics sectors, where employees, especially sales personnel, play crucial roles as internal customers and significant revenue generators Effective management of sales force resources is vital for a firm's success However, companies face significant challenges in retaining key personnel amid substantial staffing shifts in the labor market across service sectors in recent years.
Althoughdevelopingstablythroughout10yearswiththestaffsanddiversifiedservices,InterLog stillmeetsproblemsofpersonnelaffects.Specially,fromthebeginningofyear2014to2015,theyfacedth ebiggestpersonnelchangesever.EmployeeturnoverratemaintainedatahighlevelistheproblemthatB ODofcompanyalwaysthinksaboutbecauseturnoverisextremelycostly,whetherit’sinvoluntary,su chasterminationduetopoorperformance,orvoluntary,suchasresignations.FollowingtoO’Connellet al.
(2007),employeeturnoverremainsoneofthemostpersistentandfrustratingproblemsthatorganizatio nsface.Andtherearethreemaincomponentsassociatedwiththecostof turnover:staffing,vacancyandtrainingwhichbusinessenterprisemustspend.Here,staffingisthecos tofrecruitingandhiringthenewpersontoreplace;vacancyistheperiodoftimewherethatpersonisn’tw orkinginthecompanyresultsinlostproductivityandpotentiallylostbusiness;andtrainingisthecostwh ichfirminveststime,resourcesfort rai ning newemployee.
Employeeturnoverrateincreasesfrom19.5%in2013to26.88%in2014(Table2.1)andpositionof employeesleave(Table2.2)alsoriseuparealarmingforthefirm.Basingon‘2014AnnualTalentandRew ardsSummit’and‘GeneralIndustryCompensationSurvey–
VietnamKeyInsightsfor2014’ofTowersWatsonVietnam,itssurveylookedatsalaryandturnoverrateof variousindustries,resultedasfollows:
In2014,theaveragestaffturnoverrateofgeneralindustryis12.7%,andthehighestemployeeturn overrateat15.9%ofpharmaceutical,however,thatofInterLogis26.88%,highercomparewithresultsurv eyofTowersWatsonVietnam.Andfollowingstatistics, turnoverrateofSalesDepartmentin2013and2014inturnare8/16(50%)and14/25(56%)ishighest(T able2.3).Withthisresult,IfocusonanalyzingturnoverintentionofemployeesofSalesDepartment.Tofi ndoutthecausesthatledtothissituation,Ihavedoneintakemeetingandinterviewswithsomememberso fSalesDepartmentaswellasbasingonthesecondarydatasuchas:annualHRreportofthecompanyintw oyears2013and2014,reportsofexitinterviews.Andherearesomemainreasons:
Firstcause: Conflict
Conflictsareunavoidablepartoforganizationallife;itisarangeofbehaviorsandf eelin gsorem otionalresponsestobehavior.So,conflictisanunpleasantfactinanyorganizationaslongeraspeopleco mpeteforjobs,resources,power,recognitionandse cu r i ty Organizationalconflictcanberegardedas adisputethatoccurswheninterests,goalsorvaluesofdifferentindividualsorgroupsareincompatiblewit heachother.Conflictcanarisefromavarietyofsources,andbetweensupervisorsandsubordinates,betw eenco- workers,andbetweenemployeesandcustomers.AndaccordingtoJamesandGraham(2008),havingt hreesourcesofconflict:
Personaldifferences:Individualskeepthedifferentroleintheorganizations.Theirvalues,needsaresetde pendingontheircultureprocess,levelofeducation,andexperience ineachbusinesssession.Fromthat,theconflictaboutright,beliefandfactarebuiltupfromthesedifferen ces.
Informationaldeficiencies:Conflictmayresultfromdeficienciesinthecommunication.Misinformation andmisunderstandingcanthemainreasonsleadstotheconflictinmisinformationandmisunderstandinga mongthepeopleintheorganization.Butthistypeofconflictisquitepopular.
Inefficient communication at InInterLog is a primary cause of conflict, prompting the Board of Directors to specialize tasks by dividing work into distinct departments While this approach aims to limit the impact of individual salespeople leaving the company, it has inadvertently led to internal conflicts, particularly between the Sales Department and Expert Bureaus Department These conflicts arise from a lack of effective communication, exacerbated by varying levels of knowledge among employees Numerous studies have established a link between internal communication, job satisfaction, and performance Strategic internal communication not only boosts employee satisfaction and productivity but also enhances a company's external public relations Well-informed employees can serve as the organization's best ambassadors or harshest critics, highlighting the importance of effective communication in fostering corporate reputation and credibility.
(Dawkins,2004;Hannegan,2004).Putsimply ,employeesarethefaceofanorganizationandhaveapo werfulinfluenceonorganizationalsuccess.
ConflictswithExpertBureausDepartmentareinvisiblepressureonme.Connectingandsharing informationbetweenthetwod ep art men ts arenotgood.Iknow,infacteachdepartmenthasits ownpressures,butIthinkprovisionhastosupportmaximumforustogetmorecontracts…”
ExperiencedSalesperson “Failuretoclearlydefinepowersbetweensalesandprovisiondepart mentsdifficultforme;sometimeswithcustomerorders,followingthecompanylawIcouldmake,b utprovisionrefused,soIhavetoapologizetocustomers,thataffectrelationshipswithcustomers…."
In InterLog, the role of the salesperson is distinct from that in other logistics companies, as their primary focus is on acquiring and managing customer relationships rather than handling the entire sales process While other salespeople may oversee everything from customer outreach to customs procedures, InterLog's sales staff are limited to finding clients and maintaining those relationships Tasks such as preparing quotes, negotiating prices, and managing customs processes are delegated to the provisions department, which minimizes the impact of a salesperson's departure However, this division of responsibilities can lead to challenges, such as when a contract is hindered by customs issues or when salespeople lack the necessary autonomy to address client concerns effectively Legal restrictions and a lack of updated technical knowledge further complicate the process, resulting in an overwhelmed customs department and strained communication Consequently, this creates frustration and fatigue among salespeople, impacting their overall work experience.
Role ambiguity refers to the lack of clarity regarding job expectations, leading employees to feel helpless and uncertain about their responsibilities (Onyemah, 2008) It occurs when individuals do not have clear directions about their roles within an organization, which can stem from inadequate training, poor communication, or the deliberate withholding of information (Rizzo et al., 1970; Luthans, 1989) This ambiguity can result in job dissatisfaction, hinder performance improvement, and increase turnover intentions, as employees become frustrated with unclear tasks and authority (Jones, 2007; Beard, 1999) To mitigate role ambiguity, it is essential to provide clear job descriptions and establish obvious authority relationships, allowing employees to take responsibility for their actions and interact confidently with colleagues.
Withmore10yearsexperience,InterLoguntilnowhasnotbuiltasmoothworkingprocess.Worki ngprocessisunclearandinconsistentleadstooverlapinworkbetweendepartments.Itmakesemployeec onfusedinworkandfeelstress.
SalesDepartment “Everythingisgood,exceptfortheworkflowofthecompanyinrecenttimecha nge,thatisgoodforthecompanybuttocausedifficultiesfortheSalesDept.,suchaslackingofquot esforcustomermakesprocesslasts,socustomersarenothappy…”.
ExperiencedSalesperson“ Workflowofcompaniesisnotclear,althoughthecompanyhasre visedbutstillveryambiguous,notsupportforsales…”.
SalesManager“ Beamanager,Itaketheinitiativetobuildacommonworkflowforpeople,workfl owbasedonmanyfactors,suchas:myexperience,currentsituationsofdepartmentandqualificat ionsofstaff.Wesetupaprocedureindetail,fromhowtocallforcustomers,meetcustomers,totak ecarecustomers.Sofar,wedonothaveaconsistentworkingprocessbetweendepartment”.
ThishascausedmajordifficultiesfortheSalesDepartment,astheresultsobtainedfrominterview swithsalesstaff,theyalwaysmentiontheseissues,andambiguityintheworkprocessesalsoleadtoconfli ctsbetweentherooms,asmentionedinabovesectionon conflict.AccordingtoLogisticexperts,aunifiedworkflowbetweendepartments,tocreaterh y t h m inthe workprocess,reducecosts,human,idletimebetweenstagesaswellascreatetheabilitytomeetcustomer demandsatthehighestlevel.Atthesametime,itwillhelpbusinessesattractmorecustomers,increasem arketshare,costsavings,therebyincreasingrevenueandprofit.
Wehavetroubleswhenproposingstrengtheningpersonnel.Next,empowermentisnotclear,le adtolackofpersonsresponsiblefortheprojectwhenincidentsoccur.Finally,CEOdoesnottrus tmiddlemanagers”.
Followingtheresultofinterview,empowermentisalsoafactorthatcreatestheambiguityforem ployeesinInterLogCompany,especially,formiddlemanagers.
TeamleaderofCSwith8yearsexperiencessaidthat“IadmireandappreciatetheCEO,thatisth ereasonwhyIhavestuckwiththefirminalongterm(8years),Iadmirehisworkingstyle,managem entskills,professionalcapacities,andlong- termvision,andsoon,exceptapointthatisempowerment,inInterLog,
BODlacksofempowermentofmiddlemanagersthatcanonlybeinterpretedasalackofconfiden ceinthecapacityofmanagerstowork.ThiscreatestheoverloadforBOD,andalsocreatesasense ofapprehensionformanagerstoexpressthemselvesinfrontofthecompany'sprojects,andsometi mesitalsocreatesconflictsbetweenthemiddlemanagerswithBOD.”
Numerous studies have explored the relationship between empowerment and frontline employees, with Conger and Kanungo (1988) defining empowerment as a process that enhances self-efficacy among organizational members Thomas and Velthouse (1990) conceptualized psychological empowerment as intrinsic motivation, characterized by four key cognitions: meaning, self-determination, competence, and impact These cognitions collectively contribute to an overall sense of empowerment, fostering an active work role orientation where employees feel capable of influencing their work context Research indicates that psychological empowerment is linked to positive job behaviors, including proactive actions and organizational commitment (Anderson & Williams, 1996; Spreitzer et al., 1999) Empowered employees tend to engage more in extra-role efforts, act independently, and demonstrate high commitment to their organizations (Spreitzer, 1995; Aviolo et al., 2004) This empowerment leads to greater job engagement, as employees find meaning in their work, feel in control, possess the necessary skills, and believe they can influence outcomes Evidence supports that psychological empowerment correlates positively with various favorable job outcomes, such as organizational citizenship behavior (Onyishi, 2006), organizational commitment (Manz & Sims, 1993), innovative behavior (Spreitzer, 1995; Spreitzer et al., 1999), and overall job satisfaction and performance (Dickson & Lorenz, 2009; Hechanova et al., 2009; Kirkman et al., 2004; Mohd et al., 2009).
Concluded,inInterLogCompany,ambiguityincludeslackofconsistworkingprocess,unclearrol eandresponsibilitiesofemployees(roleambiguity)andlackofempowermentofmiddlemanagers.
Compensationandbenefitsorrewardspracticesaretheessentialelements,whichplayavitalparti ntheemployeeretention.Lawler(1990),statesthatthekeyissueinretentionistheamountoftotalcompe nsationrelativetolevelsofferedbyotherorganizations.
Accordingtohimorganizationsthathavehighlevelsofcompensation,willhavelowerturnoverratesand largernumbersofindividualsapplyingtoworkforthem.Furthermore,heargues, highwageworkplac esmaycreatea"cultureofexcellence."InInterLog,thesalary,rewardandcommissionforthefunctiona ldepartmentareaveragelevelcomparewithothercompaniesinLogisticssectorinVietnam.Inthereality,somesalespeopleofInterLogleavedcompanytofindanotherjobwithhighsalary.Manystudieshavec onfirmedthatsalarylevelhasasignificantlypositiveeffectonorganizationalcommitment(Folger&
Konovsky,1989),aswellasonturnoverintention(Ghiselli,La,&Bai,2001;Summers&Henfrix,1991).
SalesDepartment“ Thisjobishighpressure,Iamnotsatisfiedwithsalaryandrewardoffirm.Inre ality,thissalaryisnotcompetitivecomparetoothercompaniesinthissector….Workingenvironme ntissogood,peoplearefriendlyandIcanlearnmorefromeveryone:managersandcolleagues…”.
In2013,salaryincreased16.36%compareto2012,andin2014salaryraised19.49% compareto2012(Table2.4).However,between2013and2014,salaryjustincreased2.69%
Emotional exhaustion arises from a depletion of energy and feelings of drained emotional resources, often due to excessive chronic work demands (Maslach, 1982) It is a key component of burnout, which encompasses emotional exhaustion, low personal accomplishment, and depersonalization (Maslach, 1982; Maslach & Jackson, 1981) Salespeople play a crucial role in bridging the gap between organizations and their clients, making them vital employees from a market orientation perspective (Bitner, 1995) However, they frequently experience high stress levels due to conflicting demands from clients and their own organizations (Bole et al., 1997; Miller et al., 1988) This heightened stress can lead to employee burnout, adversely affecting job performance, job satisfaction, organizational commitment, and turnover intentions (Singh et al., 1994).
Inspiteofhavingcomplaintsaboutsalaryandrewardsystem,butitisnotthefirstandisthemostimp ortantreasontoanemployeeleavedecision.Inin- depthinterviewwith7employeesofSalesDepartment,justonepersonmentionsitlikethefirstreasonwhi chsheisunsatisfiedbutwhenIaskmore“Iffindinganotherjobwithhighsalary,youwillquitjobhere
?”sheisnotsure,causeshelikesworkingenvironmentofInterLog.Thatmeanssalaryand rewardsystem isnotthemostsignificantfactortodecidequitjobofemployee.AndviewsoftheBODofInterLogalsodet erminedthat,willnotretainemployeesbysalary,becauseitisaweaklink.Manypreviousstudiesalsosaid thatretentionbasedontheprincipleof"compensation- basedcommitment"(Meyeretal.,2003)isofcoursesensitivetochangesincompensationwithinthecomp any.Employersthatbasetheirretentiononcompensation- basedcommitmentwillalwaysbevulnerabletothepossibilitythattheircompetitorswillbeabletooffer betterwagesandthuslureawaytheiremployees.Smith(2001)arguesthatmoneygetsemployeesinthed oor,butitdoesnotkeepthemthere.
Moneycanbeclassifiedasa"satisfier,"anditisanecessarybutinsufficientfactorinemployeeretention ,whileHarrisandBrannick(1999)agreethatmoneyisnottheprimarymotivatorforemployees.Infact, manycompanieshavedoneaverygoodjobofretainingtheiremployeeswithoutanypay- basedretentionincentives(Pfeffer&Veiga,1999).
Inclosing,therearefourmaincauses:conflict,ambiguity,salaryandrewardsystem,andhighwor kingpressureleadtohighstaffturnoverrateinInterLog.
Theoretically,paststudiesrelatingtoturnoverintentionhasshownthatorganizationalcommitme ntandjobsatisfactionareregardedastwoimportantantecedentvariablesthataffecttheturnoverintentio nofemployees(Clegg,1983;Karsetal.,2005).Infact,thefindingsofempiricalstudiesontherelationshi pbetweenorganizationalcommitment,jobsatisfactionandturnoverintentionhaveconfirmedthatthetw ovariableshavesignificantlynegativeeffectsonturnoverintention(Bartle,Dansby,Landis,&McIntyr e,2002;Parker&
Kohlmeyer,2005).Thissuggeststhatemployeeswithhighjobsatisfactionlevelshaveahigherlevelofw orkefficiency,organizationalcommitment,andwillingnesstosacrificefortheorganization,makingitm oredifficultforthemtoleavetheirjobs.So,todothisproject,Iwillfindoutantecedentsofjobsatisfactiona ndjobcommitment,andbasedonthosefactorstolimitemployeesleavetheirjobs.Andbelowistable,whi chlistsantecedentsandoutcomesofjobsatisfactionandjobcommitmentofpreviousstudies.
No AuthorsNa me Antecedents Outcomes ResearchFindings
- Coworkerrelationshipan dworkenvironmenthaspo sitiveeffectsonjobsatisfac tion.But,jobsatisfactionh asnosignificanteffectont urnoverintention.
- Salarylevelimpactstoo rganizationalcommit ment,buthasnotsignific antlyaffectturnoverinten tion.
Therearepositiverelation shipsbetweenleadershipst yleandorganizationalcult ure withorganizationalcommit ment.
TrainingEmpowerment EmployeeRewards SupportiveManagementSer vantLeadershipServiceTec hnology
- Jobsatisfactionandor ganizationalcommit mentinthisstudyhaven otrelationshipwithtur noverintention.
- Thisstudyassessedrolea mbiguityandroleconflict asmediatorsoftherelatio nshipbetweenemployees ocializationandcommit ment.
-Factorsmotivation,needf orachievement,leaderco nsideration,jobvariety,tas k
FeedbackJob varietyTaskid entify identityweresignificant antecedentstojobsatisfactio n.
EmployeeempowermentJobm otivatingpotentialLeadership behaviorAcceptancebyco- workerRoleambiguity Roleconflict
- Employeeempowerme nt,jobmotivatingpotential, leadershipbehaviorandac ceptancebyco- workerhavepositiveeffec ttojobsatisfaction.
-Roleconflict,roleoverlo adandroleambiguityare negativelycorrelatedwith jobsatisfactionandorgani zational behaviorsOrganization alrolebehaviors. commitment.
- Professionalrolebehav iorsimpactspositivelytoj obsatisfactionandorgani zationalcommitment,bu tresultjustpartiallysupport withjobsatisfactionandmi nimallysupportswithorga nizationalcommitment.
- Organizationalroleb ehaviorsarenegativel ycorrelatedwithjobsatis factionandorganization alcommitment.
-Thisstudyindicatesthatse veral,butnotalldimension sofbothjobsatisfactionan dburnoutsyndromeprovet oberelevantfactorsaffecti ngphysicians’turnoverinte ntion.
FollowingtoTable2.5,almostfactorshavestrongimpactonjobsatisfactionandorganizational commitmenthaveappearedintheresultcollectedofInterLogCompanysuchas:compensation,emotionale xhaustion,roleambiguity,roleconflict,empowerment.Forf a c t o r s : workenvironment,leadershipstyl e,training,organizationaljustice,respondentswhenwereaskedappreciatedthem.BODofInterLoghasfo cusedonbuildingcorporatec u l t u r e , workenvironmentandemployeetraining,whetheritislong- termgoalsofthecompany.
Ms.MongHien: “FortwoyearsworkingatInterLog,Ihavereceivedmanythings.Ihavelearneda lotofthingstohelpworkwell,especially,helpingandsharingfromMs.Hoa.Sheismyteamleader,alsomymanagerdepartment.IreallylovethisjobandworkenvironmentofInterLog ”
Mr.VanTri:“ InInterLog,BODfocusonbuildinganddevelopingcultureorganizationwell,sow orkingathere,everybodyisquitecomfortable…”
Ms.ThanhHoa: “Ihaveworkedheremorethansevenyears.Really,Ilovethisjob,andIalsolove workingstyleofBOD.Withme,thisisagoodworkingenvironmentandBODhasfocusedonbuild ingcorporateculture.Here,everybodyislikeasafamil y…”
Ms.HoangLinh: “After5yearsworkingatInterLog,Iappreciatetheworkenvironmenthere…”
Basedoncollecteddata,Ipayattentiononstudyingambiguityandconflictimpacttoper forma nce, jobsatisfactionandorganizationalcommitmentofemployees,andleadtoconsequenceishightu rnoverintention.Toimplementthegoalssetoutinthenextfiveyearsistobecomeleadingsupplychainin novatornotonlyinVietnambutalsoinIndochinaregionspecializinginservice"one- stop"forclientsandpackages,InterLogneedstofindoutthe adequatesolutionstosolvetwothesecauses.Iftheseproblemsarenotsolved,theywillleadtoahighturnoverrate.Thiswillcausefluctuationsinperson nel,constantpersonnelchangesfirstwillcostthecompanyahugeexpenseinrecruitingandtrainingne wemployees;secondwillaffectorganizationalperformance,thecompany’sproductivitywilldecrease;th irdwillaffectthecompany'simageintheeyesofclients,createunprofessionalandunstableimageforcust omers.
Betweenconflictandambiguity,BODofInterLogshouldsolvetheambiguityfirst;aconsistent workingprocedureandroleclearofemployeesarea“solidfoundation”forlong- termdevelopmentofthecompany.Andfollowingresultsofin- depthinterviews,conflictsarising inthefirmpartlydueworkflowisnotclear,leadingtoduplicationof workandr esp o nsi b il it y AndSawyer(1992)hasevenhypothesizedthatdifferenttypesofroleambi guitymayhavedifferentcauses,andSinghandRhoads(1991)believethatroleambiguityismoreamen abletomanagerial"intervention",thatisimplementingprogramstodiminishroleambiguitymaybeless difficulttoconductthaninterventionsforroleconflict.
Theorganizationalproblemisambiguity.Followingresultofin- depthinterviewsevenemployeesofSalesDepartment,wefindoutinterestingincidentscaninterpretthee xistenceambiguityproblemofInterLog,includingthreeincidents:inconsistentworkingprocess,empow ermentofmiddlemanagersandunclearroleofemployees(roleambiguity).
Untilnow,InterLogstillhasnothavetheofficialworkingprocedureforSalesDepartmentandEx pertBureauDepartment,soalotofconflictsarise.Likeasmentionabove,someemployeesofSalesDe partmentleaveduetotheseconflicts.Theoverlapinwo r k fl o w makesemployeesfeeltiredandnotha ppy.Therefore,it’snecessarytobuildtheofficialworkingprocess.
Firstly,ProvisionsDepartmentshouldmakequotationofpopularitemsforsalespeopletogogreet andexpandnewcustomerslikeascommentofarespondent“… lackingofquotesforcustomermakesprocesslasts,socustomersarenothappy”.Andthisthingalsomake ssalespeoplemoreconfidentandquickquotesforcustomers.Thequotationmustbeupdateatleastsixm onthsatime,orwhentohavechanges.
Secondly,eachdepartment(SalesandProvisions)itselfneedstosetupanownprocessthatisthem ostcomfortable.Afterthat,havingameetingbetweendepartmentstopresentandconsisttheprocess.Th eofficialprocessshouldmakesuretobeverydetailed,includingspecificestimatedtimeforeachphase, suchas:trucking,customsclearance,internationalfreight,…
Additionally,provisionsshouldnormalorganizeworkshopsforsalespeopletoupdatenewinformations uchas:thechangesoflaw,storage,soonandsupplyexpertiseknowledgetoavoidthesituationwhensales personmeetscustomerhavetoconstantlycallforprovisiontoaskproblemsandalsolimittheprovisionbu sinesstravelfrequentlytosupportsalesman.
Thirdly,whilebuildingtheprocess,BODisnecessarytoclearlydefinerightsandresponsibil itiesofeachdepartment,toavoidanyroomabuseofpower.I t isaproblemwhichrespondentscom plainedintheinterview
A d d i t i o n a l l y , t he d i v i s i o n o f p o w e r s a n d r es p o n s i b i l i t i es b e t w e e n roomsun knownisalsoanobstacleforbothstaffandmanagerofSalesandProvisionsDepartment.”
Tosetupanewworkingprocess,thefirmwillfacewithsomeobstacleswhendothechanges,but italsocollectsmorebenefits.Andbelowisthetabletocomparebenefitsandcostsofthissolution.
- Next,thisalsocreatesaprofessionalworke nvironment;thisthingmakesemployeeshap pyworkinInterLog,andattractsmorekeypla yers.
- CosttoorganizeworkshopsbetweenSalesan dProvisionsDepartment,howeverworkshops areregularactivitiesofInterLog,sothiscostdoe snotinclude.
- Timetoemployeesfamiliarwiththenewpro cess,therewillbesomeforcestoresistthechan ge,hence,departmentmanagersneedtofollow overseestafftosupportandexplainpromptly.
Firstly,basedonthestrategicdevelopmentofthecompany,thedepartmentheadsneedtopassitont ostaffmembersthatplan,aswellasthegoalsthatthecompanywilltargetinthenexttime.
Middle managers must provide timely performance feedback, which is crucial for employees to understand how effectively they are performing their job duties Feedback offers direct insights into work performance and can significantly enhance employee productivity by allowing them to adjust their actions and clarify priorities Research indicates a positive correlation between feedback and role clarity, highlighting its importance in informing employees about their expected functions The impact of feedback can vary based on its nature—whether positive or negative, verbal or non-verbal—and the manner in which it is delivered Effective communication from supervisors, including timely assessments, can improve a salesperson's understanding of expectations and their role within the team Additionally, involving salespeople in decision-making processes can further enhance their perceived role clarity.
Developing employee autonomy, particularly for middle managers, empowers individuals by providing them with significant freedom and discretion in their work processes Task autonomy, defined as the degree of independence in scheduling and determining procedures, is crucial for enhancing role clarity and motivation Studies indicate that autonomy positively impacts role clarity, especially in complex jobs where standardization is challenging In structured environments, such as call centers, the effect of autonomy on role clarity is minimal Currently, InterLog is implementing a monthly reporting and evaluation program to encourage managers to focus more on employee engagement and well-being, aiming to reduce turnover by addressing the underlying reasons for resignations.
Finally,settingupaclearpathpromotioninordertoemployeeshavetargettostrive.Aclearpathp romotionmakesemployeescomfortable,notdominated.Researchesbygroups ofresearchers(Zainuddinatel.,2010)andanothergroup(Danish&Usman,2010)andSsesangaandGar rett(2005)foundapositivesignificantrelationshipbetweenopportunitiesforpromotionandjobsatisfacti on.Wanetal.,
(2012)arguethatemployeesthatperceivedpromotiondecisionsasfairaremorelikelytobecommittedt otheorganization,experiencecareersatisfaction,performbetterandsubsequentlyhavealowerintentio ntoleavetheorganization.Today,manylecturerswillconsiderleavingtheinstitutionswheretheywork,if theydonothaveequalpromotionopportunitiesasofferedbyotherorganizations,particularlyyounglect urerswhoarelookingformoreworkexperiencesfromvariousinstitutionsbeforedecidingtoremainwit haparticularinstitution.AsthestudyofKhalidetal.,
Andyearly,theBODshouldcontestamongemployeestogethertofindexcellentstaff,suchas“Iw anttobesectionsdirector”.Thoroughthiscompetition,companywillfindoutt h ekeyplayersandcrea temiddlemanagersreserve.Whenhavinganewproject,BODcanusethisreserveforce,orwhenhavinga middlemanagerleaveout,thecompanywillsavetimetofindalternativepersons.Thecosttoorganizeth iscontestisnotmuch;itjustistheawardsforthewinners.Wecanhavethreeawardsforthefirst,secondan dthirdprizes.
Awardswillbethecoursesaboutmanagementskills.InHCMC,wenowhavequitemanyschoolssupply themanagementskillscoursesformiddlemanagerssuchas:PTI,PACE,SAMandsoon.Costforeachco urseabout6,000,000-7,000,000VNDanditlasts5-
6weeks.So,totalcostforallcoursesabout18,000,000-21,000,000VND.Andthecostfor organizingcontestdosenottake,becausewecangetupitattheofficeonSaturdayeveryweek.
- Empowermentformiddlemanagerswill decreasewokpressureforBOD,andthisal sowillmakethemfeelindependentandsel f- reliantandmoreactivelyintheworkand workwithmoreresponsibility.
- Departmentheadswillhavetocloselym onitorstaffintheroomandpromptlygivec ommentandfeedbackabouttheirwork.Thi swillconsumealittleoftheirtime,howeve ritwillcreategreaterefficiencyinthework, andwillhelpachievethedepartmenttarget swell.
Bothofabovesolutionshavemorebenefitsthancosts.Andeachthathasitsownadvantagesthatar enecessaryforInterLogtoexecutethenextfiveyearsobjectives,hence,In t e rL o g shouldcombinebot hofthem.But,thefirstsolutionisbuildingaconsistentworkingprocessshouldbegivenpriorityoverbe causeitwillpromotedevelopmentacrossthecompany,reducetimetodoworkpackagesandalsowillelim inatetheinternalcontradictionsunnecessary.
Firstalternativesolution
Untilnow,InterLogstillhasnothavetheofficialworkingprocedureforSalesDepartmentandEx pertBureauDepartment,soalotofconflictsarise.Likeasmentionabove,someemployeesofSalesDe partmentleaveduetotheseconflicts.Theoverlapinwo r k fl o w makesemployeesfeeltiredandnotha ppy.Therefore,it’snecessarytobuildtheofficialworkingprocess.
Firstly,ProvisionsDepartmentshouldmakequotationofpopularitemsforsalespeopletogogreet andexpandnewcustomerslikeascommentofarespondent“… lackingofquotesforcustomermakesprocesslasts,socustomersarenothappy”.Andthisthingalsomake ssalespeoplemoreconfidentandquickquotesforcustomers.Thequotationmustbeupdateatleastsixm onthsatime,orwhentohavechanges.
Secondly,eachdepartment(SalesandProvisions)itselfneedstosetupanownprocessthatisthem ostcomfortable.Afterthat,havingameetingbetweendepartmentstopresentandconsisttheprocess.Th eofficialprocessshouldmakesuretobeverydetailed,includingspecificestimatedtimeforeachphase, suchas:trucking,customsclearance,internationalfreight,…
Additionally,provisionsshouldnormalorganizeworkshopsforsalespeopletoupdatenewinformations uchas:thechangesoflaw,storage,soonandsupplyexpertiseknowledgetoavoidthesituationwhensales personmeetscustomerhavetoconstantlycallforprovisiontoaskproblemsandalsolimittheprovisionbu sinesstravelfrequentlytosupportsalesman.
Thirdly,whilebuildingtheprocess,BODisnecessarytoclearlydefinerightsandresponsibil itiesofeachdepartment,toavoidanyroomabuseofpower.I t isaproblemwhichrespondentscom plainedintheinterview
A d d i t i o n a l l y , t he d i v i s i o n o f p o w e r s a n d r es p o n s i b i l i t i es b e t w e e n roomsun knownisalsoanobstacleforbothstaffandmanagerofSalesandProvisionsDepartment.”
Tosetupanewworkingprocess,thefirmwillfacewithsomeobstacleswhendothechanges,but italsocollectsmorebenefits.Andbelowisthetabletocomparebenefitsandcostsofthissolution.
- Next,thisalsocreatesaprofessionalworke nvironment;thisthingmakesemployeeshap pyworkinInterLog,andattractsmorekeypla yers.
- CosttoorganizeworkshopsbetweenSalesan dProvisionsDepartment,howeverworkshops areregularactivitiesofInterLog,sothiscostdoe snotinclude.
- Timetoemployeesfamiliarwiththenewpro cess,therewillbesomeforcestoresistthechan ge,hence,departmentmanagersneedtofollow overseestafftosupportandexplainpromptly.
Secondalternativesolution
Firstly,basedonthestrategicdevelopmentofthecompany,thedepartmentheadsneedtopassitont ostaffmembersthatplan,aswellasthegoalsthatthecompanywilltargetinthenexttime.
Middle managers must provide timely performance feedback to employees, as it offers clear insights into their effectiveness (Hackman & Oldham, 1976) Targeted feedback from superiors can enhance work performance by helping employees adjust their actions and clarify priorities Research indicates a positive correlation between feedback and role clarity (Teaset et al., 1979; Singh, 1993; Evans et al., 2002; Mukherjee & Malhotra, 2006) The impact of feedback varies based on its valence—whether it is positive or negative—and its delivery mode, influencing group cohesion and trust (Rotherham et al., 1982) For instance, timely assessments from supervisors can improve salespeople's understanding of expectations and their roles within the team (Walker, Churchill & Ford, 1975) Additionally, involving salespeople in supervisory decisions can enhance their perceived role clarity.
Developing employee autonomy, particularly among middle managers, is crucial for empowerment Task autonomy refers to the degree of freedom and discretion individuals have in scheduling their work and determining procedures (Hackman & Oldham, 1976) It allows employees to choose what tasks to undertake and how to execute them, enhancing motivation and role clarity Studies indicate that autonomy is a key factor in complex job environments, positively influencing perceived role clarity Conversely, in more structured settings, such as call centers, autonomy has little impact on role clarity (Mukherjee & Malhotra, 2006) To support this, InterLog has implemented a monthly personnel evaluation program to encourage managers to focus on employee engagement and adaptability, ultimately reducing turnover.
Finally,settingupaclearpathpromotioninordertoemployeeshavetargettostrive.Aclearpathp romotionmakesemployeescomfortable,notdominated.Researchesbygroups ofresearchers(Zainuddinatel.,2010)andanothergroup(Danish&Usman,2010)andSsesangaandGar rett(2005)foundapositivesignificantrelationshipbetweenopportunitiesforpromotionandjobsatisfacti on.Wanetal.,
(2012)arguethatemployeesthatperceivedpromotiondecisionsasfairaremorelikelytobecommittedt otheorganization,experiencecareersatisfaction,performbetterandsubsequentlyhavealowerintentio ntoleavetheorganization.Today,manylecturerswillconsiderleavingtheinstitutionswheretheywork,if theydonothaveequalpromotionopportunitiesasofferedbyotherorganizations,particularlyyounglect urerswhoarelookingformoreworkexperiencesfromvariousinstitutionsbeforedecidingtoremainwit haparticularinstitution.AsthestudyofKhalidetal.,
Andyearly,theBODshouldcontestamongemployeestogethertofindexcellentstaff,suchas“Iw anttobesectionsdirector”.Thoroughthiscompetition,companywillfindoutt h ekeyplayersandcrea temiddlemanagersreserve.Whenhavinganewproject,BODcanusethisreserveforce,orwhenhavinga middlemanagerleaveout,thecompanywillsavetimetofindalternativepersons.Thecosttoorganizeth iscontestisnotmuch;itjustistheawardsforthewinners.Wecanhavethreeawardsforthefirst,secondan dthirdprizes.
Awardswillbethecoursesaboutmanagementskills.InHCMC,wenowhavequitemanyschoolssupply themanagementskillscoursesformiddlemanagerssuchas:PTI,PACE,SAMandsoon.Costforeachco urseabout6,000,000-7,000,000VNDanditlasts5-
6weeks.So,totalcostforallcoursesabout18,000,000-21,000,000VND.Andthecostfor organizingcontestdosenottake,becausewecangetupitattheofficeonSaturdayeveryweek.
- Empowermentformiddlemanagerswill decreasewokpressureforBOD,andthisal sowillmakethemfeelindependentandsel f- reliantandmoreactivelyintheworkand workwithmoreresponsibility.
- Departmentheadswillhavetocloselym onitorstaffintheroomandpromptlygivec ommentandfeedbackabouttheirwork.Thi swillconsumealittleoftheirtime,howeve ritwillcreategreaterefficiencyinthework, andwillhelpachievethedepartmenttarget swell.
Bothofabovesolutionshavemorebenefitsthancosts.Andeachthathasitsownadvantagesthatar enecessaryforInterLogtoexecutethenextfiveyearsobjectives,hence,In t e rL o g shouldcombinebot hofthem.But,thefirstsolutionisbuildingaconsistentworkingprocessshouldbegivenpriorityoverbe causeitwillpromotedevelopmentacrossthecompany,reducetimetodoworkpackagesandalsowillelim inatetheinternalcontradictionsunnecessary.
ACTIONPLAN
Communicatecorpo rategoals,mi ssio n a ndvisionforemployee s
CONCLUSION
TherefourmaincausesleadtohighemployeeturnoverrateinInterLogCompany.While,confli ctandambiguityissuesareremarkable.Thoroughthisstudy,Ihaveproposeds o m e alternativesolution sforInterLogbasingoncollecteddatafromthefirm.Althoughitwillexistsomemistakes,BODofInterL ogcanuseitlikeasrecommendationstoadjustcurrentworkingprocessoffirmtobetter.
SUPPORTINGINFORMATION
Iusedqualitativeresearchmethodforthisproject.Thestrengthofqualitativeresearchisitsabilityt oprovidecomplextextualdescriptionsofhowpeopleexperienceagivenresearch issue.Itprovidesi nformationaboutthe“human”sideofanissue–thatis,theoften- contradictorybehaviors,beliefs,opinions,emotions,andrelationshipsofindividuals.Qualitativemetho dsarealsoeffectiveinidentifyingintangiblefactors,suchassocialnorms,socioeconomicstatus,gende rroles,ethnicity,andreligion,whoseroleintheresearchissuemaynotbereadilyapparent.
Who:managersofSalesDepartment,HRandFinanceDepartment,andProvisionDepartme nt.
Primarydate:I collectedfromin- depthinterviewwithemployeesofSalesDepartment,HumanResourcesDepartmentand ProvisionDepartment.Itistheresultoftheinterview.
Secondarydata:Iwastakenfromanumberofsourcessuchas:AnnualHRreports,intwoy ears2013and2014,exitinterviewreportsofInterLogCompany,somereportsofTowersWat sonaboutsalaryincreaseinVietnamfrom2004–
Firstquestion,almostrespondentssaidthatInterLoglacksofaconsistentworkingprocessbetween departments(SalesandProvisionDepartments),althoughtheybuildownprocessforeachdepartment.
Secondquestion,whenwereaskedaboutbiggestchallengesincompany,allrespondentsgavet heanswers,everyonehasevaluateddifferentineveryaspect.Theyappreciatedworkenvironment,corp orateculture,andleadershipstyle(CEO)inInterLog;b e s i d e that,theyalsomentionedsomeproblemst hattheyfaced,suchas:conflictwithProvisionDepartment,betweendepartmentslackofefficiencycomm unication,workpressure,ambiguityaboutroleandresponsibilityofindividualandeachdepartmentand e m p o w e r m e n t formiddlemanagers.Theyalsomentionedworkingprocessisnotconsistent.
Thirdquestion,theygaveahighturnoverrateduetointernalfactorssuchasinternalconflict,recrui tment,andexternalfactorssuchassalespeoplearehot,sothesalespeopleh a v e alotofchoices,leadingto thehighjob- jump.Besides,therearecommentsreferringtotheeffectswhenquittingjobrateincreasecompanywillc ostsomuchforrecruitmentandtr aini ng anewcomer,sotheyshareopinionstoreducethequitjobofsal esperson,theysupportedtheirbestforthesalespersoninworkingtogetgoodresultsaswellashighwag es.Thisthingwillcreatemotivationforsalesperson.
Forthquestion,whenaskedabouttheirdecidekeepornotwhenoneoftheirsubordinatesleftth ecompany,somepeoplesuggestedthattheywoulddecidenottokeephimwhenhedecidedtoleave,cau sethatifkept,itwouldnotlast;andtherestwereforthatcosttorecruitandtrainnewpeopleveryexpensiv e,sotheywillattempttofindwaystoretainthem,butonlyinthepermittedlevel.
Ms.M o n g H i e n : Ih a v e w o r k e d h e r e m o r e t h a n 2 y e a r s , a n d really,w e d o n o t h a v e a consistentworkingprocess be tw een departments(sales and provisionsdepartme nt) E ac hd e p a r t m e n t willdevelopitsownworkingprocedures.
Mr.VanTri:Inmydepartment,wesetupaworkingprocess,allpeoplewillbaseonittodophas eofwork,suchashowtomeetcustomers,howtomakeaquote,soon…
Ms.T h a n h H o a : B ea m a n a g e r , I t a k e t h e i n i t i a t i v e t o b u i l d a c o m m o n w o r k f l o w f o r people,w o r k f l o w b a s e d o n m a n y f a c t o r s , s u c h a s : m y e x p e r i e n c e , c u r r e n t s i t u a t i o n s o f departmentandqualificationsofstaff.Wesetupaprocedureindetail, fromhowtocallforcustomers,meetcustomer,… totakecarecustomer’ ‘Sofar,wedonothaveaconsistentwo r k in g processbetweendepartment.
Mr.ThanhTon:Wehavehad anownworking processforour department.Thisprocedureisregularlyadjustedtomatchthechangeofcompany.Yes,it’sprocedure ofmydepartmentthatmeanswedon’thaveaconsistentworkingprocessbetweendepartments.
Ms.HoangLinh:Wehavehadanownworkingprocessforourdepartment.Thisprocedurei sregularlyadjustedtomatchthechangeofcompany.
Ms.CatDuyen:Yes,wehave builtaworkprocess foreachdepartment Ithasallste psfromt h e f i r s t t o f i n a l s t e p s A n d i t w i l l b e u p d a t e d t o b e s u i t a b l e w i t h c h a n g e s f r o m customers,industryandcompany.
Ms.BichLoan: Asyouknow,I havejustworkedinInterLog foroneyear And Iwer e trainedaboutworkprocessofSalesDepartmentwhenIstared.
Question 2: During thetimeyouworkatInterlog, whatarethebiggestchallengesyou haveconfrontedsofar?
Ms.MongHien:FortwoyearsworkingatInterLog,Ihavereceivedmanythings.Ihavel earnedalotofthingstohelpworkwell,especially,helping andsharingfromMs.Hoa.Sheismyteamleader,alsomymanagerdepartment.Ireallylovethisjobandw orkenvironmentofI n t e r L o g , b u t I o f t e n f e e l t i r e d a n d s t r e s s b e c a u s e o f a r g u m e n t s w i t h E x p e r t B u re a u se Department,Ifeelmadeitdifficult.
Mr.VanTri:InInterLog,BODfocusonbuildinganddevelopingcultureorganizationwell,soworking athere,everybodyisquitecomfortable.However,conflictswithExpertBureausDepartmentareinvisi blepressureonme.Connectingandsharinginformationbetweenthetwodepartmentsaren otgood.Iknow,infacteachroomhasitsownpressure,butIthinkprovisionshastosupportm aximumforustogetmorecontracts.Additionally,thedivisionofpowersandresponsibilitiesbet weenroomsunknownisalsoanobstacleforbothstaffandm an ag e r ofSalesandProvisionsDepartment.
Ms.ThanhHoa:Ihaveworkedheremorethansevenyears.Really,Ilovethisjob,andIalsol oveworkingstyleofBOD.Withme,thisisagoodworkingenvironmentandBOD hasf ocusedonbuildingcorporateculture.Here,everybodyislikeasafamily,butitonly hap penswithineachdepartment,betweendepartmentslackofefficiencycommunication.Inaddition,fail uretoclearlydefinepowersbetweenSalesandProvisionsDepartmentsdifficultforme,some timeswithcustomersorders,followingthecompanylawIcouldmake,butp r o v i s i o n r e f u s e d , s o
I h a v e t o a p o l o g i z e t o c u s t o m e r s , t h a t a f f e c t relationshipw i t h customers.Asasales staff,Ithinkthisthingissoveryserious;itwillaffectthecompany'si m ag e intheeyesofclients,a ndalsomakecustomersfeelthewayt h e companyisunprofessional.
Mr.T h a n h T o n : T w oy e a r s w o r k i n g h e r e i s n o t s h o r t , alson o t long.I h a v e h a d o w n customers.E v e r y t h i n g i s g o o d , e x c e p t f o r t h e w o r k f l o w o f t h e c o m p a n y i n r e c e n t t i m e ch an g e that isgood forthecompanybuttocause difficulties fortheSalesDepartment, suchaslackingofquotesforcustomermakesprocesslasts,socustomersarenothappy.
Ms.Hoang Linh:After5years workingatInterLog, Iappreciatetheworkenviron menthere,butthereare somepoints Ifindinappropriate Firstly, workflow o f com panyis notcleara l t h o u g h t h e c o m p a n y h a s r e v i s e d b u t s t i l l v e r y a m b i g u o u s , n o t s u p p o r t f o r s a l e s Secondly,wehavetroubleswhenproposingstrengtheningpe rsonnel.Next,empowermentisnotclear,leadtolackofpersonsresponsiblefortheprojectwhenin cidentsoccur.Finally,CEOdoesnottrustmiddlemanagers.
Ms.CatDuyen:IadmireandappreciatetheCEO,thatisthereasonwhyIhavestuckwiththefirmi nalongterm(8years),Iadmirehisworkingstyle,managementskills, professionalc a p a c i t i e s , a n d l o n g - t e r m v i s i o n , a n d s o o n , e x c e p t a p o i n t t h a t i s empowerment,inInterLog,BOD lacksofempowermentofmiddlemanagersthatcanonlybeinterpretedasalackofconfidencei nthecapacityofmanagerstowork.Thiscreatestheoverloadf o r B O D , a n d a l s o c r e a t e s a s e n s e o f a p p r e h e n s i o n f o r m a n a g e r s t o expressthemselves i n f r o n t o f t h e c o m p a n y ' s p r o j e c t s , a n d s o m e t i m e s i t a l s o c r e a t e s c o n f l i c t s bet weenthemiddlemanagerswithBOD.
Ms BichLoan:Iama newemployee, I havejustwork here forone year During this time,Imainly trained andfamiliarwith thework,andnotcontactandworkwithcustomersmore,soIdonotencounteranydifficulty.
Question 3:Recently, theturnoverratiointhecompanyhaveincreaseddramatically i n severalpositionsanddepartments,doyouhaveanythoughtsaboutthatissue?
Ms.MongHien:Inmyopinions,highturnoverrateatSalesDepartmenthasalotofreason,buts o m e m y o l d c o l l e a g u e s w h o q u i t j o b , s a i d t h a t : “ T h e y f e e l t i r e d w i t h c o n f l i c t s w i t h Provi sionsDepartment”.
Mr.V a n T r i : Y e s ,i n t w o y e a r s 2 0 1 3 a n d 2 0 1 4 , t h e firmh a s a l o t o f employeesl e f t ; especiallys o m e m i d d l e m a n a g e r s a n d e x p e r i e n c e d e m p l o y e e s q u i t j o b a r e g r e a t l o s s t o I n ter L o g
Ms.ThanhHoa:Iknowitcostssomuchwhenhavinganemployeequitjobbecauseof trainingc o s t i s s o h i g h I n I n t e r L o g , o u r trainingp r o g r a m f o r n e w c o m e r s l a s t s f r o m 6 monthsto1year,somecases,itcanlast2years.So,highturnoverrateissomethingwe donotwish.Toavoidit,wesupportourbestforthesalespersoninworkingtogetgoodresultsandwel lashighwages.However,whenhe/ shehasintentionquitjob,personallyIwouldnottrytoholdhim/herback.
Mr.T h a n h T o n : N o w ,s a l e s i s a h o t c a r e e r , a l m o s t c o m p a n y n e e d s a l e s p e o p l e t o g r o w marketalsoincreaserevenues,sothesalespeoplehavealotofchoices,leadingtotheh ighjob-jump.
Ms.HoangLinh:SalesDepartmenthashighturnoverrate,thecauseofthisisduetothere cruitment,managersdepartmentdonottoinvolveinterviewingandchoosingpersonnel ,butdirectlyCEOparticipateinrecruitment,resultedinsomeconflictshowtoselectsuitablepersonne lfordepartment.
Ms.CatDuyen:Inmyopinion,Ithink,themovementofhumanresourcesofthecompanyinr e c e n t t i m e s , e s p e c i a l l y i n t h e S a l e s d i v i s i o n i t h a s m a n y c a u s e s , b u t p r i m a r i l y c o m e s frominternalcausessuchas:theambiguityinthedivisionofresponsibilitiesandrightsofth e departmentsledtotheconflictandhadtwoexperiencedemployeesofSalesDepartmentwereo f f w o r k b e c a u s e o f t h i s p r o b l e m , c o n f l i c t s b e t w e e n t h e m a r e i r r e c o n c i l a b l e contra dictions.AndpromotionopportunityinInterLogisnotreallyclear,thisalsomakesemp loyeesl a c k m o t i v a t i o n t o s t r i v e a n d e a s i l y g i v e c o m p a n i e s t h e y c a n f i n d a n o t h e r companywithmoreopportunitiesforadvancement.Thatistheinternalcause ofthe company,a n d t h e e x t e r n a l c a u s e i s v e r y c l e a r t h a t i n r e c e n t y e a r s , V i e t n a m ' s l o g i s t i c s industryisbooming,andpersonnelforthissectorisreallydeficient,especiall yintheSalesdepart ment,s o t h e w o r k i n o t h e r c o m p a n i e s w i t h h i g h e r i n c o m e l e v e l s a l w a y s a t t r a c t s Salespeopletodecidejob-hopping.
Ms.BichLoan:Accordingtomyopinion,currently,mostcompaniesfocusondevelopingsal esdepartmenttoexpandandseeknewcustomers,sothedemandforsaleslot,whichisthere asonforthesalesjumpandlookfortheopportunitiesthattheyfeelsuitablewiththem.
Ms.MongHien:Ithink,ifoneofmysubordinateswantstoleavethefirm,Iwillaccept,butI willhaveameetingwithhimorhertofrankdiscussionaboutreasonsmakehim/ herwantq u i t j o b F o l l o w m e , w h e n a p e r s o n h a d i n t e n t i o n t o q u i t j o b t h a t m e a n s h e h a s thoughtsandownestimates,sowecouldn’tkeepthemstay.
Mr.V a n T r i : B ea d e p u t y o f S C M , I k n o w c l e a r l y t h e c o s t w h e n a n e m p l o y e e q u i t LogisticsIndustryuntil nowisstill arelatively newindustry inVietnam, andisgrowing strongly,s o t h a t h u m a n r e s o u r c e s f o r t h i s s e c t o r i s r e m a i n s s c a r c e , especiallyt h e experiencedp e r s o n n e l T h e r e f o r e , I d o n ’ t w a n t a n y o n e o f m y s u b o r d i n a t e s l e a v e t h e company,especiallykeyplayers.So,whenithappens,Iwilltryt okeepthem.
Ms.ThanhHoa:AsImentioned,inworking,Iwillsupportmybestforsubordinates.But,iftheyw anttoleavethefirm,IwilnotkeepthembecauseIhavetriedmybesttohelpandsupportthem,they wanttoleavethatmeanstheyhavehadowntheirplan.
Mr.ThanhTon:Asamanager,whenoneofmysubordinatesleavethecompany,Iwil lkeephimornotdependonhisworkingability,ethic,…
Ms.H o a n g L i n h : Iw o u l d a s k w h y t o r e s i g n , d e p e n d i n g o n t h e r e a s o n s t h a t m a k e t h e variousworkarounds.Suchas:resignedbecauseofincapacitytofulfillthe job,Iwillnotkeepthemstay.
Ms.CatDuyen:Ifmysubordinateshaveturnoverintention,Iwillfindoutreasonwhytheydecidedtha t,ifthereasonstemsfromthewages,pressure,conflict, Iwilltrytosolve, analyzean dreleasethepressureonthem.Whatifafterallthattheystillwanttogo,Iwillnoth o l d t h e m a n y m o r e A n d d e c i s i o n t o r e t a i n t h e m a l s o d e p e n d m y j u d g m e n t o n t h e employee,ifthat'skeyplayerswilltrymybesttokeepthem.
Ms.BichLoan:Whenapersonwantstoleavethecompany,surehewillhavetheirownr easons,andIthink,ifyoukeephim,thiswilljustmaintainforashorttimebecausesoonerorlaterhe willalsoleavewell,soIwillnotkeephim,insteadofthatIwillhaveatalkingwithhimtounde rstandreasonwhyhedecidestoleave,andfromthatlessonstoavoidforthefollowingcases.
Ms.MongHien:AsImentioned,Ithinkinternalconflictisoneof reasons.Besideth at,workloadisalsoacause,forservicesector,competitionissohigh,sopressureisals osohigh.
Mr.VanTri:‘Inmyopinions,somecausescanleadtointention-quitjobofemployees:
Ms.T h a n h H o a : Il o v e t h i s j o b a n d c o o p e r a t e c u l t u r e o f I n t e r L o g , s o I n e v e r h a d t h e intentiontoquitjoborjob- hopping.But,workingheremanyyears,Icouldconcludesomecauses:
- Workisnotclear, overlapbetweendepartment andhave atransfer between departmentssomuch.
Ms.CatDuyen:AftereightyearsworkingforInterLog,Icanaccentuatesomereasonswhyemployeesqui tjob,suchas:
ThecommonthemesofsuggestionsforambiguityproblemofInterLogmanagersmentionedsetup astandardsworkingprocessfortwodepartmentsSalesandProvision,definetheclearrolesandresponsib ilitiesofeachemployee,aswellasthepowersofeachd ep a r t m en t toavoidoverlappingonwork,andal somentionedthatshouldmakeempowermentformiddlemanagerstoreducethepressuretotheCEO.Ina dditiontothegeneralideathat,thentherearesomesuggestionsonbuildingpromotionopportunities,perf ormingcommentsandfeedbacktimelyforemployees’performance.
4 DangNguyenThaoLinh DeputyofHR&Marketing(Rec ruitmentExecutive) 5years
InterLogishighturnover- ratethatIhavecommunicatedtoyou;inyouropinions,youwillproposewhatsolutionstoresolvethis situation?
Ms.ThanhHoa:First,theneedtoacceleratefinishingofworkflowprocessbetweentheSalesandProvis ionDepartments,inwhichhastoparticularanddetailonworkofeachstageaswellastheestimatedtimefor eachstage.Besides,BODneedsforcleardelineationofrolesandresponsibilitiesofeachdepartment,ino rdertoavoidoverlappingrightscauseconflictsatwork.AndtheCEOshouldalsoconsiderdecentralizatio ntomiddlemanagers,ith a s reducedtheworkpressurefortheCEO,andIthinkitwouldalsobemotivatedt oeachmanagertoworkwithmoreresponsibility.Intermsoftherolesandresponsibilitiesofeachemplo yeeisunclear,managerswillbecombinedwithHRmanagerstosolvethisproblem.
Ms.HoangLinh:Basedonthesurveyresultsofthesiblings,itisclearweneedtosolvetheimmediatefut ureistobuildcommonandunifiedworkingprocessforbothSalesandPr ov isio n Departments.Next,BODshouldpayattentiontosolvetheseparationofpowersformiddlemanagersasinthepreviousintervi ewIhavementioned.Theambiguityintheroleofemployeeperhapsgreaterfaultliesinthemanagers,wh ichIthinkwouldbe redressed.Plus,Ithinkthecompanyshouldbuildaclearpathpromotionorpromotionopportunities tomotivateemployeestostriveforthemselvesaswellasforthemanagers.
Mr.PhuLoc:Aboutthesolution,wefirstneedtoaddressthreeissuesraisedinthesurvey.Besides,Ialso proposeanumberofsolutionstohelplimitcurrentsituationofcompanyisthehighemployeeturnoverr ate.Itisnecessarytofocusontherecruitmentprocess,inrecruitmentsegmentIthinktheCEOshouldcha nge,shouldgivemanagerstherighttocheck/ testforpersonnel,insteadCEOwilltestfirstandthenistheheaddepartment,Ithinkthisprocessshouldber eversed.
Ms.ThaoLinh:Intermsofpersonnel,Ihavesomesuggestionsasfollows,continuetoperformthemont hlyreportonthesituationofeachdepartmentpersonnel,inaddition,themanagerneedstopayattentionto makecommentandfeedbacktimelytoencourage,motivateemployees,giveemployeesthefeelingofca reandappreciatetheirability.
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