AveryDennisonRBISVietnamstructure……………………………… ……… ……….1I I Backgroundofthesymptom……….…………………………………… … … …….2I I I Initialcauseeffectmap
InAveryDennisonRBISVietnam,thereare3functions:Commercial,FinanceandPlant. InC o m m e r c i a l Functions,therearesomedepartmentslike:Business PartnersDepar tmentincludesHRa n d IT,SalesDepartmentsa n d CustomerS e r v i c e s Department.T h e F i n a n c e F u n c t i o n i n c l u d e s F i n a n c e a n d A c c o u n t i n g Department.T h e P l a n t F u n c t i o n h a s s o m e departmentss u c h a s : T h e p r o d u c t i o n d e p a r t m e n t , t h e l o g i s t i c s d e p a r t m e n t a n d p u r c h a s i n g department.
Intheopeningceremonythenewfacility,RishiPardal,vicepresident/ generalmanager,NorthA s i a , AveryDennisonRBISexpressed:
“Wewillcontinuet o investi n newinnovationsandtechnologiest o increaseo u r capabilitiesandhelpo u r customersele vatetheirproductsandbrands.Ouraimistodeliverbettervalueforourcustomersbyleveragingo u r rich80yearsofexpe rtise,inadditiontoourexpansive,globalnetwork.Together,wewillgrowandsupportVietnam’sambitiontobecomethewo rld’smanufacturinghub”.
Avery Dennison is committed to implementing its business plan by investing in new innovations, technologies, and workforce development Talent development is a key pillar of success, with employees in Vietnam participating in leadership development and skill enhancement programs Although the company's turnover status remains confidential due to security regulations, General Director Mrs Nguyen Cuu Thanh Chau highlighted its importance during the Annual Management Team Meeting in 2016.
“Thesalesemployees’turnoverratehadnegativeimpactedtothecompanybusinessplanandresults.Eventhesalesavenu eisgood,butthecompanyalwaystakecaresalesemployeesvery carefullytoavoidbadeffectsfromt h e salesemployees’turnover”
Employee turnover is a widely studied phenomenon, recognized as a persistent issue within organizations It refers to the rotation of workers in the labor market and is quantified as the ratio of organizational members who leave during a specific period compared to the average number of employees in that organization during the same timeframe Turnover encompasses any departure from an organization, reflecting the degree of individual movement across its membership boundaries Managers often view turnover as the entire process of filling vacancies, where each time a position is vacated—whether voluntarily or involuntarily—a new employee must be hired and trained, a cycle commonly referred to as turnover.
There are two types of turnover: voluntary and involuntary According to the U.S Bureau of Labor Statistics, voluntary turnover occurs when an employee initiates their termination, while involuntary turnover involves movement not initiated by the employee For companies to remain viable, generating revenue is essential, as it supports further goals such as developing and innovating new products and services Understanding the dynamics of employee turnover can help organizations strategize effectively to enhance revenue generation.
T h e s a l e s d e p a r t m e n t i n t h e c o m p a n y i s p r i m a r i l y responsibleforgeneratingsa lesrevenue.Staffsingeneralandsalesstaffsinspecificarethemostvaluableassetincompan ies.Andrewetal 8 f o u n d that:“Thesalesjobisdeservingofspecialattentionforitsimportance,prevalence,an duniquecharacteristics”.
Employeesinsalesjobsworkunderahighpressure.Theyworkwiththebuyerstogetorders/ c o n t r a c t s tocompany.Iftheyquit,itwillaffectdirectlytotherevenueofthecompanies.The
Customers’d e m a n d s a r e i n c r e a s i n g ; intoday’se c o n o m y D i a n e e t al.10s t a t e d t h a t many companiest e n d t o u p g r a d e s a l e s f o r c e effectivenessw i t h c o n t i n u o u s l y r i s i n g p e r f o r m a n c e targets.A l a n eta l 11indicated thatinm a n y companies,“acceptable”performanceofs alespeopleisinadequateforachievingcompanies’successinthemarketplace.
Mrs.Dao,salesmanageroffactorysalesdivision,sharesthatthesalesdepartmentdividesintot w o di visionsincludingFactorySalesandRetailBrandingOrganization.Thesalesdepartmenth a s 24mem bers,inwhichfactorysalesaccountsfor16members.Mrs.Daoexpressedthatallo f thesalesemploy eeswhoquitAveryDennisonarebelongtofactorysalesemployees.
PlanningDept.PlacePO BuyingDept samples(new)
PrepressdepartmentAvery Dennisonbelievesthatemployees’opinionsareimportant,hence,bytheend0f2016,theyh ireTiroCompanytodothestaffsurveyforinternaluse.Thereare150businessesboth
(= Total leavers in sales dept./ Total sales employees)
Sales force voluntary turnover in Garment, Apparel & Textile Industry 22.19% 23.15% 26.67% 24.20% thesurvey.Thesurveyhelpsmanagementteamtodesigntheconcepttofittoemployees’HRD evel opmentneedsandfurtherthefulfillmentofcompany’sgoal.
Table2:SalesEmployees’TurnoverRateinGarment,Textile&FootwearIndustry
Inthetable2,we cansee thatthe turnoverr ate ofsales forceatA ver y Dennisonis highin comparisonwiththeturnoverrateofthetotalcompany.Usually,theturnoverrateofworkersinGarmenttex tileishighincomparisonwiththeofficeworkers.Butinthiscasewecanseethatt h e turnoverrateofs alesforceishigherthantheworkersinthecompany.Andit’shigherthantheturnoverrateofsalesforcei nGarment,TextileandFootwearIndustry.
(Source:TalentnetandMercerTotalRemunerationSurvey(TRS)2016)Moreover,t hetenurewithAveryDennisoningeneralisfrom7yearsand4monthsto8yearsw h i l e thenumberofye arsstayingwithAveryDennisonofsalesstaffhasbeendecreasing.
(Source:HumanResourceDepartment) Whenl o o k i n g i n t o t h e d a t a o f l e a v e r s , t h e t e n u r e o f l e a v e r s w i t h A v e r y D e n n i s o n R B I S V i e t n a m wasmoreth an 5 years.Ho weve r, t e n u re o f leavings a le s s t a f f h a s de cr easi ng T h e m an a g e m e n t boardshouldhavethesolutionstoretaintheminthecomp anyaswellasrecruittherightpeople.
According to Price et al., various independent variables, including opportunity, promotional opportunity, distributive justice, pay, general training, routinization, integration, participation, instrumental communication, professionalism, and kinship responsibility, significantly impact job satisfaction and the intent to stay or leave an organization The model indicates that an increase in job satisfaction leads to a higher intent to stay, which in turn has a direct negative effect on turnover rates.
InthefieldofworldwideHRM,therearetwomajorreasonswhyturnoverisacentralissue.F i r s t , B a r r y13s t a t e d t h a t t u r n o v e r i s r e la t e d tol o w o r g a n iz a t i o n a l k n o w l e d ge , l o w e m p l o y e e morale,lowcu st ome r s a t i s f a c t i o n , h ig h s e l e c t i o n cos ts, an d h i g h t ra in in gc o sts A ri e eta l.14s h o w e d t h a t h i g h e m p l o y e e t u r n o v e r i s r e l a t e d t o l o w e r o r g a n i z a t i o n p e r f o r m a n c e S e c o n d , P e t e r etal.15indicated thatthedecisiontoturnoverisoftenthe finaloutcomeofanindividual’se x p e r i e n c e s inanorganization.
Turnover is influenced by the interplay of 'push' and 'pull' factors, where 'push' factors compel individuals to seek new job opportunities, while 'pull' factors attract employees to different organizations A 2006 People in Aid study highlighted that various interconnected push and pull factors affect an individual's decision to stay or leave an organization Research by William16 identified three primary causes of turnover, emphasizing the significance of work satisfaction-related factors.
Work-life Balance BetterCa reerOpportu nity Leadersh p ContinuingEducation Relocation JobDisat sfaction
Work-lifeBalance BetterCareerOpportunityL ea dBeerttsehirpCareerOpportu nityContiLeadnueingrshEipdu cationRelWocoratik- olnifeb a l a n ce JobCDonistiatniusfiacng tiEodnucationReloca tion
SALES DEPT - HR INTERVIEWS REPORT YEAR 2015
PERCENTAGE REASON FOR LEAVE (%) Better Career
Work-life balance Continuing Education Relocation
Leadership i Work-life balance Continuing Education Reloc ion i at Job disatisfaction
SALES DEPT - HR INTERVIEWS REPORT YEAR 2016
Work-life balance Continuing Education Relocation
Better Career Opportunity Leadership Work-life balance Continuing Education Relocation Job disatisfaction
Reasonsforleaving Vietnam AveryDennisonViet nam Global
SALARY AND BENEFITS IN COMPARISION WITH THE SAME COMPANIES IN GARMENT AND TEXTILE INDUSTRY
Very low Low Medium High Very high
Accordingt o t h e t a b l e s a n d f i g u r e s a b o v e , t h e r e a s o n r e l a t e d t o salary,c o m p e n s a t i o n a n d benefits,thecommonconcernofmanycompanies,isexcluded.Mrs.Daoexpressedthat:
“Thecompanyhastheawardpoliciesforsalesemployees.Ifthesalesemployeesreachandreachoverthetarget,t h e y wille arntheincentive.Forthesalesemployeeswhoreach100%ofthetargetforsalesvolume,theywille a r n 2monthsalaryb esides13monthsalary.Besidestheabovepolicy,AveryDennisonhasanotherpolicytoencouragethesalespeople.Ifthe salesstaffcanreachoverthetarget5%theywillhave10%of13monthsalary.F o r oversalestarget10%,theywillearn20
%of13monthsalary.Andiftheyreachoverthetarget30%andmoretheywillearn40%of13monthsalary.”
Despite the solutions implemented by Tiro Company's Management Board and HR Department to address the high turnover rate of sales personnel, the issue persists, suggesting that the underlying problem may be more complex To uncover the root causes of this turnover, in-depth interviews were conducted with the HR manager, sales manager, and sales staff to investigate the reasons behind their departure from the company.
Mrs Anh highlighted several reasons for the departure of experienced sales employees, based on feedback and surveys conducted prior to their exit Key factors included low engagement levels, high workloads, poor work-life balance, limited opportunities for career development, and unequal distribution of workload among team members.
Mrs.Daostatedthatthereasonsforexperiencedsalespeopleleavingare:Work- lifeimbalance,b et t e r careerdevelopmentandunequalworkloadallocation.
Asp e r M r s Nhung’so p i n i o n ,t h e r e a s o n s f o r e x p e r i e n c e d s a l e s p e o p l e l e a v i n g a r e : Heavyworkload,bettercareerdevelopment,unequalworkloadallocationandpromotionfavoritism.
Throughtheinterview,Ms.Thanhstatedthatthereasonsforexperiencedsalespeopleleavingar e: Bettercareerdevelopment,work-lifeimbalanceandunequalworkloadallocation.
Fromherownview,Mrs.Huongstatedthatthereasonsforexperiencedsalespeopleleaving ar e: Work-lifeimbalance,bettercareerdevelopmentandunequalworkloadallocation.
AsperMrs.Vi’sinformation,thereasonsforexperiencedsalespeopleleavingare:Work- lifeimbalanceandleadershipstyle.
Afterthefirstin-depthinterviews,thesecondin- depthinterviewswereconducttofindthekeyr e a s o n s thatleadtothehighturnoverofstaff.
Fromprivatediscussions withsalesexperiencedsalesemployeesbe fo re theyquit,Mrs Anhstatedthekeyreasonforexperiencedsalespeopleleavingisunequalworkloadallocation.
AsperMrs.Nhung’sopinion,thekeyreasonforexperiencedsalespeopleleavingisunequal w o r k l o a d allocationandpromotionfavoritism.
Ms.ThanhstatedthatthekeyreasonforherleavingispromotionfavoritismT o Mrs.H uong,thekeyreasonmadeherleavingispromotionfavoritism.
Fromt h e c h a t w i t h s a l e s e m p l o y e e s w h o q u i t , M r s V i e x p r e s s e d t h a t thekeyr e a s o n f o r ex peri en ced salespeopleleavingare:Work-lifeimbalanceandpromotionfavoritism. Thede t a i l i n t e r v i e w s a n d r es u l t s a r e s h o w e d i n theQ u a l i t a t i v e R e s e a r c h I n - d e p t h i n t e r v i e w r e p o r t intable24page89.
Jeffreyetal.18s t a t e d thatwork- lifebalanceisanequaltime,satisfaction,andinvolvementine a c h o f t h e w o r k a n d f a m i l y s p h e r e s i r r e s p e c t i v e o f j o b d e m a n d s , f a m i l y d e m a n d s , f a m i l y structure,financ ialpressures,andsoon.Edy 19stated thatwork- lifebalanceistheacceptablelevelsofconflictbetweenworkandnon-workdemands.
“Heavyworkloadsc a n negativelyaffectthepsychologicalw e l l - beingo f employees,theirbloodpressurea n d hearthealth,thestabilityoftheirfamilyrelationships,andtheirsafetyinthe workplace.Allofthesenegativeeffectscanfluctuateonadailybasisbasedontheemployees'perceptionoftheamountofwor ktheyhavetodo.”T h e conceptofworkloadusedintheresearchisthesalestargetassignedtothesalesemplo yeesinayear.Thisresearchanalysestheworkloadassignedperyear,whichisthesalestargetandn umberofcustomersservedbyasinglesalesemployeeinoneyear.AccordingtoFriedhelm 21 t h e r e i s a r e l a t i o n s h i p b e t w e e n t h e p e r f o r m a n c e a n d t h e w o r k l o a d o f t h e s a l e s employee;performancec a n b e a f f e c t e d byt h e w o r k l o a d b e i n g t o o h i g h o r t o o l o w S u s t a i n e d l o w w o r k l o a d wouldbeboredom,losssituationofawarenessandreduc edalertnessastheresult.
Accordingt o I r i s 22an i n c r e a s i n g o f w o r k l o a d w o u l d h a v e r e s u l t e d w o r k i n g l o n g h o u r s a n d expressingdissatisfactionfortheemployees.“Theworkloadwouldalsobeaffectedbythetypeofthej o b s , thecomplexityofthejobs,workinghours,andanyotherrelatedfactors.”
“NewresearchfromStanfordUniversityshowedthatproductivityperhourdeclinessharply whentheworkweekexceeds50hours,andproductivitydropsoffsomuchafter55hoursthatyoudon’tgetanythingoutofwo rkingmore.” 23
Becauseoflackofpeopleinsalesdepartment,theexistingsalesemployeeshavetoshoulde rt he workloadofleavingemployees.Theymustworkovernightorbringworkloadtoworkat homeorw or ka t weekend Th er ef or e, theydon’thave timefo r theirfamilies,theirperso nalh o b b i e s Aftersomeyearsworkingatthecompany,leavingthecompanyistheirchoices.
Untilnow,onlywhenasalespersonleavesthecompany,therecruitertriestogetcandidatesf o r Salesdepartmentbyinternalandexternalrecruitment.Althoughthesales departmentneedst h e newcomersassoonaspossiblebuttheHRdepartmentandheadhunterco mpaniescannotmeettheirrequirementbecausetherecruitmentprocesswilltakealongtimetoensureth atthey
Time to Fill = Total Number of Days Job Is Available and Unfilled
= Total Number of Days of Open Jobs Total Number of Jobs Open
= Total Candidates Per Opening Who Move Past the Phone Screen Stage Qualified Candidates cangetthequality andrightperson Itmeansthatinthistime,the existingemployees mu stshouldertheworkloadoftheleavingemployees.Itimpactstothecompanyefficiency.
Sales 42days 42.5days 44days 47days
(Source:HumanResourcesDepartment) Toexplainwhytherecruiterstakelongtimetorecruitanewsalesemployee,asurveymadebyTalentnetin associationwithMercerhasclarifiedasbelow:
Figure6:HotJobsin2015:DifficulttorecruitandretainSo ur ce:
Whenthemanagerswanttoincreasetheworkloadoftheirtalentedemployees,theyhadbetterincreas etheiremployees’positions.Thetalentedemployeeswilltakeonabiggerworkload,buttheywillq u i t i f t h e y c a n n o t s t a n d t h e i r j o b a n y more.T h e a c c e p t a b l e wayst o increaset h e wo r k lo ad tothe employeesarepromotionsandtitle-changes.Ifthemanagerincreasesw o r k l o a d toher/ hisemployeesbecausetheyaretalentedones,withoutchanginganything, her/h i s employeeswillseekanotherjobthatgivesthemwhattheywant.
Alan etal 24 stated that“thisperceptionofimbalancebetweenworkandpersonallifemayleadtofrustration andincreaseddesiret o reducetheperceivedcauseo f s u c h c o n f l i c t”.T h i s d e s i r e m a y o f t e n l e a d t o r e s i g n a t i o n s
Moreover,h e a v y workloadalsoleadstoreducedproductivity,burnout.Theemployeescaneasymake mistakes.
Aboutthew or kl oa d situation, Mrs Daosa id tha t: “Ours a l e s membersleavet h e officeverylateatni ghtorgotoofficeveryearlyinthemorning.Infrontoftheoffice,therearemanytaxiesafteroperationhours.T h e driverswai ttodrivesalespeopletotheirhousesbecauseallshuttlebusesworkaspershifts.Ofcourse,thecompanywillpayforthetaxif aresiftheyregisterworkingovertime.Thesecuritywillwriteoutthetaxiplatewhenthesalepersontakesataxitoherhouse.I nourdepartment,Mrs.OanhgotmarriedwithMr.Hung,ataxidriverofMaiLinhCompanybecausesheworksverylateandMr.Hungisthepersonwhousuallydriveshertoh e r house”.
AlmostsalespeoplewholeftorwhoareworkingatAveryDennisonexpressthattheyfeeltiredb e c a u s e o foverworking.Whenasalesstaffleaves,thegoodandexperiencedsalespersonwillb e handoverthec ustomersoftheleftstaffuntilthe newstaffcomes.However,toavoid thebigcompaniesl e a v e b e c a u s e o f i n e x p e r i e n c e n e w s a l e s s t a f f ; t h e managerw i l l a s s i g n t h e s a l e s p e o p l e w h o r e a c h e d o v e r t h e t a r g e t tot a k e t h e b i g c o m p a n i e s A l l s a l e s s t a f f s w h o w e r e interviewedrevealedthat,t h e y alwaysleavecompaniesl a t e an d w or k a t ho me to f i n i s h t h e w o r k l o a d toolate.Forthesinglesalespeople,they candoit.Forthemarriedsalesperson,thismakestheirhusbandortheirfamilyunhappy.Althoughthe yworktofinishtheirworkloadbuttheyfeeldissatisfiedandforlongtime,theywillleavecompany.
Moreover,overworkedemployeessoonerorlaterburnout.Theywillfeelthattheyarebeingp u n i s h e d fortheirgreatperformance.O v e r w o r k e d employeesarealsocounterproductive.
Besides,becauseofworkload,theydon’thavetimetojoininanyactivitiesofthecompany.The yadmittedthattheywouldliketousethefreetimefortheirfamiliesorsalesteammoret h a n j o i n i n t h e e v e n t s o f t h e company.I n t h e p a r t i c i p a n t s ’ l i s t s w h i c h t h e e v e n t o r g a n i z e r s suppliedtoAveryDennisonVietnam,95%membersofSalesDepartmentdidn’t joininan yengagementactivities.Therefore,theyfeelthattheydon’tengagewiththecompany.
Unequalworkloadallocation
MG(Ret.)Mikeetal 26stated that80%oftheworkisaccomplished by20%ofthepeople.Un fortunately,this i s prominenti n mostorganizations b e c a u s e theydono tu s e pr oces ses to leadtheirpersonnelappropriately.Unequalworkloaddistributioncancausedissention inther anks, jealousy,i n c r e a s e d p e r c e p t i o n s o f favoritism,w o r k e r f r u s t r a t i o n , t u r n o v e r a n d u n h a p p i n e s s
100%o f o v e r - a c h i e v e d s a l e s p e o p l e w h o a r e i n t e r v i e w e d r e v e a l t h a t theyf e e l d i s s a t i s f i e d b e c a u s e oftheunequalworkloadallocation.Ifsalespeoplereachoverthetarget,themanager wi l l setthenewtargetforthemwiththeachievedtargettimextargetpercentofnextyear.Withthes t a f f t h a t theyonlyr e a c h t h e t a r g e t , t h e n e w t a r g e t i s onlyx p e r c e n t T h e mores a l e s reve nuestheyget,thehighersalesquotatheyareassigned.Forsomeyears,thesalespeoplewill reducetheefforttogetoverthesalesquota.
Ms.T h a n h s t a t e d t h a t :“Mys a l e s targeta s s i g n e d i s alwaysh i g h e r t h a n mycolleaguesw h o w e r e recruitedinsameyearwithme3or4times.Evenmysalestargetishigherthanmycolleagues2timesw h o wo rklongerthanme2years.”
However,a f t e r c o n d u c t i n g someshorti n t e r v i e w s w i t h somem o r e s a l e s employeesa n d t h e s e c o n d i n - d e p t h i n t e r v i e w s , t h e r e a l r e a s o n f o r h i g h t u r n o v e r r a t e a t s a l e s d e p a r t m e n t i s promotionfavoritism.
Regardingtowork- lifeimbalance,itisnotakeyfactorleadingtohighturnoverrateinSalesDepartment.Intable20, AveryDennisonVietnamhasacompetitivesalaryandcompensationt o t h e i r s a l e s s t a f f
PERCENTAGE OF COMPANIES COMPLYING WITH THE OVERTIME REGULATIONS personallifeandthehighworkloadjob.Moreover,ingarment,textileandfootwearindustry, mostoftheofficeworkersaswellassalesemployeeshavetoworkovertime.
Mrs.Tamstatedthat:“Ihavesomefriendswhoareworkinginmanymultinationalcompanies.Theyareu s u a l l y w o r k i n g o v e r t i m e Becauseo f highworkload,theyworku n t i l 8 t o 9pmandworko n Saturday ofworkathome onSunday.Theirsalariesareevenlower than me.Besides,theyfaceth e competitionbetw eenteam.Therefore,Ireferstayingherethanmovingtoothercompanyforthesamep o s i t i o n ”
Mrs.Q u y e n s t a t e d t h a t“ Iusedt o workfors o m e foreignc o m p a n i e s b e f o r e Iw o r k here T h e workloadswereheavy,theycouldbelessorthesamebutIworkunderhighpressurebecauseImustf i n d newcustomersandtheheavyworkload.However,thesalarieswere lowerthanthiscompany.Iamsatisfiedwiththesalaryandworkingenvironmenthere.Inthiscompany,Idon’tn eedtofindcustomers;Ionlyfinish allmyworkloadassigned”
Sa le sE m p lo ye es
DATA ABOUT AGE OF SALES DEPARTMENT
Figure7:AveryDennisonworkforceage( S o u re : Sa lesDepartment.)
Figure8:Whatwork- lifebalancemeanstoMillennial( So urce: HBR.ORG)
Deloitte) Wecanseethatthe majorityof theworkforceinsalesdepartmentisMillennial.Henrik 27stated thatMillennialsdriveforwork- lifebalance.Myersetal.28s t a t e d thatMillennialconfirmsthatw o r k - l i f e balanceisahighpriorityforthem.DeHauwetal.29s t a t e d that,althoughtheyvaluew o r k - l i f e balance,theywouldputextratimeandefforttoworkwhen neededinordertoensure thecompanysucceeds.Ms.T hanhstatedthat:
“Weallrealizedthatourcustomers’productionlinecaninterruptifwecannotsupplylabelstothemont i m e I no r d e r t o havelabels,w e m u s t completeo u r workloadt h e n o t h e r departmentscanc o m p l e t e t h e i r st eps.Hence,we canworkovertimeto completeourworkload”
Moreover,afterreceivingtheopinionsofsalesstaff,beginning2017,thecompanyisgoingtoa p p l y theworkinghoursandworkplaceflexibleathomeforofficeworkers.Thesalesemployeesa r e i n s t a l l e d t h e s o f t w a r e i n l a p t o p s o t h a t theyc a n worka t h o m e T h e ITdepartmenthassomemethodsto ensure thatthe confidentialinformationcannot berevealed inc a s e thelaptopsare stolen Ho weve r, the firstsix monthsof 2 0 1 7, t he turnoverrate doesn’t d e c r e a s e T h e r e f o r e , thehighworkloadisn’ta centralproblemthatleadstoemployees’ leavingintention.
Forunequalworkloadallocation,afterreceivingcomplaintsfromsalesemployees,thehumanr e s o u r c e s andmanagementteamhadsomemeetingtofindsolutionsforthisissue.Inwhich ,t h e managera n d v i c e managerw i l l r e v i e w t h e t o t a l w o r k l o a d f o r t h e w h o l e t e a m an d h avesomemeetings/discussionswiththem toreallocatetheworkloadtotheirsalesemployees.ThesolutionswillbeappliedfromApril,2017. However,Mrs.Anhstatedthat:“Beforethenewsalestargetofworkloadallocationisassignedtosales person,thereweremutualagreementbetweensalesmanagerandsalesemployees.Wedidhopet h a t salesd epartment’s turnoverrateisreduce.Butitdidn’thappenasour expectation.Theturnoverrateafterth atarestill thesameevenhigherthanthesameperiod.”
Sales targets assigned to employees depend on their individual capabilities Employees with skills such as negotiation, forecasting, and analysis can often meet these targets more easily However, some trained employees may still struggle to reach their goals Mrs T noted that when she receives a new sales volume target from her manager, she evaluates her ability to meet it If she believes the target is unattainable, she presents data to her manager to support her case She also appreciates that her manager, Mrs Dao, is receptive to feedback during their daily interactions.
Mrs.Hoaiaddedthat:“Ofcourse,wearesalespeople;wearenottoogentletoacceptanynewsalesv o l u m e targetfromo u r supervisoro r manager.W e haves o m e s k i l l s t h a t cannegotiatew i t h mymanager.W eallunderstandthatwhenweachievetheassignedtargetevenhigherweearnhighbonusfromthat”
Ms.Thanhstatedthat:“IknewthatifIshowedtherealreasonwhyIquitthecompanywepromotionfavoritis m,t h e H R d e p a r t m e n t couldh a v e s o m e s o l u t i o n s t o s o l v e t h e hight u r n o v e r r a t e s i t u a t i o n However,IworkinGarment,TextileandFootwearindustrysoIwillworkwithMrs.Daoandothersale speopleofAveryDennison.Hence,Iwanttokeepthisgoodrelationshipwiththem.Therefore,Ishowedther easonisunequalworkloadallocation.ThisreasonandactionapplynotonlymebutalsoM r s Huong andotherbestsalespeople.”
Itc a n b e s e e n t h a t p r o m o t i o n f a v o r i t i s m i s c o n s i d e r e d a s mainf a c t o r s t h a t e f f e c t t o s a l e s employees’turnoverrate.Becauseofthefollowingreasons:
Before a sales employee leaves the company, the Human Resources department conducts an official survey to understand the reasons for their departure However, many employees do not disclose their true motivations During in-depth interviews, it becomes clear that favoritism from management regarding promotions is a significant factor contributing to high turnover rates Employees often choose not to reveal this reason to maintain a good relationship with their supervisors Even when transitioning to other companies within the garment, textile, and footwear industries, they prefer to keep connections with their former supervisors, especially since Avery Dennison is a leading label company globally Additionally, other influencing factors are rarely mentioned.
Secondly,j o b p r o m o t i o n c o m e s w i t h e x t r a incomeo f a n e m p l o y e e A s a l e s e m p l o y e e i s promotedtohigherposition,her/hissalarywillincreasefrom15%to25%ofher/ hissalary.Moreover,he/ shewillhavesomebenefitssuchas:insurancefortheirfamilymembers,highertelephonelumpsum,atten dingtrainingonmanagement,andsoon.
Thirdly,promotionfavoritismimpactstothejobsatisfactionofemployees.Thebestandover- a c h i e v e d salesemployeesfeelhurtanddissatisfiedwhentheyworkunderthesupervi sionofsupervisorwhoseperformanceislowerthanthatofthem.
Lastly,gettingpromotioninjobisthemostimportantofeveryover- achievedemployee.Jobpromotions h o w s t h e achievemento f s u c c e s s i n c a r e e r l i f e o f employee.W h e n a n over-a c h i e v e d salesemployeeispromoted,he/ shefeelsproudofherself/himselfandfeelsthatthecomp an yacknowledgeandthankyouforher/ hiscontribution/performance.
Them o n e y r e w a r d s y s t e m i s b a s e d one m p l o y e e s ’ p e r f o r m a n c e r e s u l t b u t j o b p r o m o t i o n i s basedontheevaluationofsalesmanager.Thesalesmanagerwillhaveastaffassessment talkw i t h salesemployeesbutthecriteriaarenotclearandweight.Thesalesmanagercanevaluate ba s e onherfeelings
Becauset h e s a l e s e m p l o y e e s d i d n ’ t e x p r e s s d i r e c t l y theirmainr e a s o n f o r l e a v i n g s o AveryD e n n i s o n d i d n ’ t r e c o g n i z e t h e m a i n r e a s o n A n d a s a b o v e a n a l y s i s a n d c o m b i n e d w i t h M s T h an h andMrs Huongfrom thesecondin- depth interview indicatedthat th e maincause ofh i g h turnoverrateatSalesDepartmentatA veryD e n n i s o n RBISisfavoritismfromthemanageronpromotion.Therefore,thecompanysho uldfocusmoreonhowtoimprovef a v o r i t i s m frommanagerfirsttoenhancetheeffectivenessofperfo rmanceevaluationsprocess. interviewswithSalesemployees
Thefollowing causeand effect treewith themain content and reasonshas createdbycombining the literatureandin-depth
-Promotionfavoritism impactsto lifestyle(family,hobbies, health) attitude of existing employees
C o s t i n g o n c o m p a n y time, m o n e y Salesemployees’turnover - Negativeimpact to Avery
DennisonReputationC o m p e t i t o r s & companies besidesdailywork -Negativeimpact to Avery
Thefollowing causeand effect treewith themain content and reasonshas createdbycombining the literatureandin-depth
-Promotionfavoritism impactstolifestyle(family,hobbies, health) attitudeofexistingemployees
-Costingon companytime, moneySalesemployees’turnover -Negativeimpact to Avery Receivehigherofferfrom -Notengagementwithotherdepts.
DennisonReputationC o m p e t i t o r s & companies besidesdailywork -Negativeimpact to Avery
Melchoretal.30d e f i n e d t h a t promotionfavoritismwithin intheorganization istheprocessthatp r o v i d e s anunfairadvantagetoapersonirrespectiveof skills orperformanceresults.
Caniceeta l 31s t at e d t h a t promotionf a v o r i t i s m i s t h a t e v a l u a t o r s u s e t h e i r p o w e r t o r e w a r d p r e f e r r e d subordinatesbeyondtheirperformancer esu lt s Illoong32s t a t e d thatfavoritis mmeanstotreato n e person orgroupbetterthan toothers anddemonstratethe personalpreferences ofdecision- makers.
Justifyproblemintermofexistence
“AsurveyconductedbyGeorgetownUniversity'sMcDonoughSchoolofBusinessindicatedthat92%ofseniorbusinesse xecutiveshaveseenfavoritisminemployeepromotions,includingattheirowncompanies(84%)” 33 T h e r e f o r e , favoritismisabsolutelyseeninmostcompanies,bigorsmall.Nezireetal 34 stated thatfavoritismis anaturalphenomenonwhichexistsineverycompany.
Accordingt o M rs Da o, t h e f a c t o r y salesd i v i s i o n h a s o n e m a n a g e r an dt w o v i c e m a n a g e r s T h e s e positionsarefixed.Salespeoplecouldbepromotedtosupervisorsbutthesepositionsareal s o l i m i t e d A l l o v e r - a c h i e v e d s a l e s p e o p l e w h o q u i t t e d a n d a l l o v e r - a c h i e v e d s a l e s p e o p l e w h o areworkingatAveryDennisonadmittedthattheyliketobepromot edtohigherposition.Everyonelikeskudos.Somestaffswhoarealwaysintop5ofbestsellersforman yyearshaveb e e n notpromotedtohigherposition,superior,althoughtheirlengthofservic eandthegoodperformance.Whilesomeofsalesstaffswhowerepromotedtosupervisorpositio31 nshavethe performanceresultlowerthanthem.Withthegoodperformanceandthelengthofserviceatthet o p c o m p a n y l i k e A v e r y D e n n i s o n , t h e s a l e s employeest e n d tolookingf o r a j o b a t o t h e r comp anieswithhigherposition.
I have a close working relationship with Mrs Tam and Mrs Dao, but I recognize that some colleagues, such as Ms Than and Mrs Huong, are more deserving of higher positions due to their superior skills They possess strong presentation, forecasting, and negotiation abilities, consistently meeting customer service expectations and collaborating effectively with team members Their leadership potential shines when assigned to lead teams, and they demonstrate a quick ability to learn and apply knowledge from training courses Despite Mrs Tam's recent promotion, I believe she does not match their skills or performance levels I suggested promoting Ms Than or Mrs Huong, but Mrs Dao decided to invest time in further training Mrs Tam.
In our company, I share a close friendship with Mrs Tam, which began when she transferred from her previous job where she worked alongside Mrs Dao I was genuinely happy when she received a promotion; however, I believe that Mrs Huong or Ms Thanh would have been more suitable candidates for the role Mrs Thao has expressed that she never aspired to be promoted, feeling that her colleagues possess skills and performance results that surpass her own She currently experiences high pressure in her position, as she lacks essential skills such as leadership and negotiation, which are crucial for effectively working with both team members and customers.
Justifyproblemintermofimportance
Promotion favoritism is a significant cause of workplace conflict and stress, leading to decreased employee motivation and productivity This bias can influence employees' decisions to leave and result in negative perceptions from colleagues, customers, and friends, ultimately harming the company's operations and image It is often described as a "morale cancer" within organizations, as favoritism undermines the fairness of promotions When managers promote based on favoritism rather than performance, it can deter highly qualified candidates from seeking employment with the company.
Inthein- depth interviews,Ms Thanh andMrs Huongconfirmedthat promotion favoritismf r o m salesmanageristhereasonsfortheirleavingdecision.
Ift h e c o m p a n y hopest o h o l d o n t o moret o p - h a l f performers,managementb o a r d m u s t p a y attentiontopromotionopportunitiesfortheirhighperf ormers.
TheimpactofsalesforceturnoveronAveryDennisonRBISVietnam
Listofcauses
Unweightandunclearindicatorsonstaffassessmentform
A well-designed promotion process is crucial for enhancing the talent level within a workforce, as it ensures that the right employees are elevated to positions where their impact is maximized Conversely, poor promotion decisions can lead to talented employees resigning or losing motivation To foster employee satisfaction and motivation, an effective promotion system must align the right people with the right roles, benefiting both the employees and the organization However, the current staff assessment form used by the NIC Group and HR department lacks clear instructions and does not provide weighted or scored evaluations of skills and competencies, which can result in disagreements between managers and employees during assessments.
Personalfavoritismfrommanager
Thecausesoffavoritism cancomefromsupervisors, managers, humanresources andm an agement board.Kraigeretat.47indicated thatsupervisorscangivehigherratingstotheirsubordinat es.Khan 48found thatemployees’satisfaction andcommitmentareaffectedbytheb i a s a n d f e e l i n g s o f somemanagers,t h i s c a n c a u s e s t o i n c r e a s e employeet u r n o v e r r a t e R i c h a r d e t a l 41s t a t e d t h a t i n d i v i d u a l j o b p e r f o r m a n c e w a s a n o f t e n o v e r l o o k e d f a c t o r i n influencingturnoverdecisions.Furthermore,Donald49f o u n d thatapositiverelationshipb e t w e e n performanceandturnoverandheindicatedthathighperformersaremorelikelytoquitb e c a u s e hi ghperformer’abundantemploymentopportunitiesluredthemawayfromthecompanywhenh eobservedinverseassociations.
Thewayamanagerorsupervisorfeelsabouteachmemberinthedepartmentworkingunderhi m/her-whetherhe/shelikesordislikesthem- asatremendouseffectontheratingoftheirp e r f o r m a n c e s Personalfavoritismcanresultfromvario ussourcessuchasinformationobtainedf r o m colleagues,considerationsoffaithandthinking,socialandfam ilybackgroundandsoon.
“Mymanagerisagoodperson.Shetakescareofsalesemployees.Sherememberallsalesmembers’birthday.W e alllike herbesideswork.Butinpromotionprocess,shegivesherpreferencestothesalesemployeeswhou s e d t o workwithhe rfrompreviouscompany.Twovicemanagersa n d threei n fivesupervisorsareh e r colleaguesfrompreviouscompanyal thoughthethreesupervisors’performancesarenotbetter thanus”.
“AlthoughweleftAveryDennisonbutwhenourbirthdayscome,weallgathertocelebrate.Welikeourformermanager.No w,Ithinkagainandrealizethatthepersonalfavoritismisnature.Myformermanageristhesame.W e onlyoffendwhenwe werenotpromotedalthoughourperformanceresultsarebetterthansomepeople”
Buildtheperformanceappraisalandpromotionsystem
Asmentioned,thep ro mo ti on is base d ont he evaluation o fm ana ge r ontheiremployees.
To a v o i d thepromotionfavoritism,thecompanyshouldbuildthebetterperformanceappraisalandpro motions y s t e m T h e performancea p p r a i s a l a n d promotions y s t e m mustb e c l e a r a n d u s e o b j e c t i v e criteriatomeasurepeople’performance.Thenewsystemmustcontainbothfeedbackt h e employees’manager,HRdepartmentandthemostimportanttheemployees’feedbacksont h e i r manager.Thisimprovementwillmakethepromotionprocessfairandhelpmanagerandemployee s moreresponsibleforwhattheyhavedone.Thisprocessshouldgivepromotionsandd e v e l o p m e n t op portunitiesbasedonanemployee’sstrengthsandperformanceresults.Charlese t al.50suggested thatth egoodsystemofappraisalsandusingappraisalstoimproveperformancecouldlowerlevelsofturnoverino rganizations.
Hockeyetal.51s t a t e d thatthebeststrategytoscopewiththehighturnoverrateistoincrease activeemployeeinvolvementbyinstilling“bottom-up”managementattitudes.
Makeacommunicationapriority
Asmentionedabove,salesemployeesfaceaheavyworkload.Therefore,theydon’thavemoret i m e t o c o m m u n i c a t e w i t h t h e w h o l e team.T h e p e r c e p t i o n o f f a v o r i t i s m c a n e x i s t amongemployeesevenifthemangerorsupervisorisbasingdecisionsonwork- relatedf a c t o r s Thisoccursmoreregularlyifthereisalackofcommunicationbetweenthe managerand t h e r e s t o f t h e t e a m a b o u t h o w a n d whyc e r t a i n d e c i s i o n s w e r e made.O f t e n t i m e s , favoritismoccurswhenamanagerandanemployeeoragrouphavedevelopedafriendship beyondtheworkplace.Perhapstheyworkedtogetherinpreviouscompanyandhaveashared history,ormaybetheyhavesimilarinterests,suchassportsormusicandso on.Itissuggestedt o d e v e l o p a n d c o m m u n i c a t e anapproachw h e r e e m p l o y e e s c a n r e p o r t f a v o r i t i s m o r unfairtreatmentsuchashotlinesorforumsforemployees,managersandmana gementboardtosharea n d listenmutualconcerns.
Improvepersonalfavoritismfromsalesmanager…………………………….…… …….46I I I Actionplan
Messieretal.52s t at e d thatthosewhoareexperienced,familiarandexpertisewithataskarelessb i as ed inde cisionmaking.InAveryD e n n i s o n , somemanagersreviewtheiremployees’performancedepe ndingontheirattitudes,theirfeelingsandtheirrelationshipwitheachemployee.Tosolvethisp r o b l e m , managershouldcommunicatewithallteammembers.Managershouldorganizemeetingswithal lindividualsintheteam
- Knowingwhate mp lo yees have to do, ho wi nd iv id ua ls andt eam performand ho wt osucceedintheirjob.
P r o v i d i n g informationthathelpsmanagersknowaboutwhattheiremployeeshavedone,w h a t isgoodandwhatisnot.Then,managercanhelpthemtoachievetheirobjectivesaswe ll.
1 Meetingsbetweendepartments,HumanResourceDepart menta n d N I C G r o u p tog e t i d e a s a n d c r e a t e assess mentc r i t e r i a f o r e a c h p o s i t i o n , keyperform anceq u e s t i o n , keyr esu lt a r e a , keyperformance,job promotionindicators
To combat favoritism in the workplace, it is essential to provide training sessions for managers and employees These sessions should cover the definition of favoritism, its dangers, and the appropriate actions to take if it is encountered By educating staff on what to look for, they are more likely to report instances of favoritism Research by Atiya et al highlights that training can facilitate positive change, benefiting the entire organization When implemented effectively, training can lead to increased profits, promotions, and job opportunities Conversely, poorly conducted training can result in a loss of credibility, decreased performance, and heightened conflicts within the company.
Replacing the sales manager and vice managers is a potential solution, but it requires careful consideration These leaders have established relationships with their customers, and their departure could result in significant customer loss Additionally, any new manager and vice manager must thoroughly understand the company's structure and customer base while also focusing on building and maintaining a strong, effective, and stable sales team.
TheabovesolutionscanhelpthecompanytoimprovetheturnoverrateinSalesDepartment.A f t e r meetingsamongmanagementboard,humanresourceDepartmentandmangersofSalesDe partment,thecompanytakessomeactions:
+HumanResource,NICGroup, Salesmanager and5salesemployeeshavethemeeting stod e s ig n thenewemployeeassessment Inwhicheachcriteriaisclear andweighted. Thenew assessmentc o n t a i n s t h e a c h i e v e m e n t s , t h e s k i l l s n e e d t o i m p r o v e a n d t h e d e s i r e d t r a i n i n g c o u r s e
+Requestingallmember ofSales Departmenttodonewemployee assessment This as sessmentcanhelpemployees understand theirstrengths,weaknesses,errorsintheevaluationp r o c e s s madebymanager.B a s e o n t h i s a s s e s s m e n t , t h e managerc a n e v a l u a t e e m p l o y e e s e x a c t l y andcanpromoterightperson. +Then, all salesemployeeswill have the bottom-upfeedbackwith theirmanager.Thebottom- u p feedbackcanhelpemployeesevaluatetheirmanageraswellasthemanagercanknowherstren gths,herweaknessinmanagement
Thebelowtableisanactionplanwhich take06monthsfromDecember2017 toJune2018andw il l bereviewedattheendofyear2018.
Designt h e n e w s t a f f a ssessmentf o r s a l e s emp loyeeswiththeo p i n i o n s ofsalesmanagerand5sales employees
HumanResource,salesma nager,5salesemployees andNICGr o u p
RequestallSalesemploye est o doi n i t i a l assessme nt
Toevaluatethesalesmanager NICGroup,salesmanage r,salesemployees Discuss with salesmanagerabouttheresult
Discusswiththesalesdepa rtmenta b o u t t h e i r con cernsandwhattheyshoul ddo
Toenhancequalityoftraining HumanResource,salesdepar tment b.Trainingonsoftskills
Organized the classesto Toequipskillsforsales NICGroup,sales trainthoseskillsforsales employees employees employees
Successmeasurementaftertakingaction
Keepthecustomers’faithfulness
“Twoyearsago,Mrs.Oanhinmydepartmentleftthecompany.Welosttwentypercentofourcustomerswhoms h e worke dwith.Thesecustomersareworkingwithnewcompanywheresheisworkingfor.Wearetryingtoconvincethemtoconti nueworkingwithusbutonlysomeofthemreturn.”
Inaverage,everysalesemployeewillresponsibleforworkingwith400customers.Forthenewemployees, thenumbersofcustomersthattheyworkwithcanbe100customers.Forthelong- service,highlycapableemployees,theycanworkwithabout1,000customers.
“Asp e r myownstatistics,everyover- achievedsalesemployeeleave,wewillloosefrom5t o 1 5 customers,evenmoreforsomecases.Ifwecanretainouremploye es,wecankeepthecustomers’faithfulness.”
“Isetthesalestargetforeachsalesemployeeaspertheircapacity.Fornewcomers,theymustgetfamiliarwitht h e newjoba ndnewcustomersso,thesalestargetforthemislowerthanthelongtenureemployees.Thesalestargetforthemisintheran gefrom500,000USDto700,000USD.Thetopover- achievedemployeescanreacht h e salesavenuethathigherthann e w comersmoret h a n tentimes.T h e y a r e assigne dtohandleourVIPcustomers”.
“Ourcompanyonlyreceivetheorderwiththesalesamountfrom100USD/ orderandthecustomerhavetobringt h e salesamountfrom2,400USD/year”
D e n n i s o n R B I S Vietnamsetthe customersintoVIPones iftheybringthe salesvolumesabove1,00 0,000U SD t o t h e company.T h e V I P customersc o u n t f o r t w e n t y p e r c e n t o f t h e t o t a l customers.F o r r e t a i n i n g t h e threeb e s t e m p l o y e e s , t h e c o m p a n y c a n k e e p a t l e a s t t h e s a l e s a v e n u e s of36,000USD.
Salesavenues 2,400USDx156,000USD#720,000,000VND 720,000,000VND
Thee c o n o m y ofV i e t n a m is d e v e l o p i n g morequickly.E v e r y yeara youngl a b o r f o r c e w i t h h i g h skillsandqualificationentertojobmarket.Thisleadstochangethetraditionalmindsetofcompani esa n d e m p l o y e e s i n l i f e - longl o y a l t y e m p l o y e e s T h e e m p l o y e e s d o n ’ t staym a n y yearswithacompanyifthey arenothappy.Theresearchhasbeeninvestigatedtheproblemint h e companyandfoundoutthemainre asonsleadingtoturnoverintentionofsalesemployeesispromotionfavoritismfrommanager.
Afterresearching,acombinationofactsisdesignedtosolvetheproblem withevaluationfromH R , salesdepartmentsandmanagementboardafterconsideringthebenefit sandcost.TheHRmanagerandsalesmanagerwillrecordtheresults.AveryDennisonRBISVietnam commitstoc a r e t h e i r a l l e m p l o y e e s b e c a u s e o f t h e i r g r o w t h s u s t a i n a b i l i t y an db u s i n e s s visiont o w a r d f u t u r e throughthisresearch.
Avery Dennison Retail Branding and Information Solutions (Avery Dennison RBIS) Vietnam Co., Ltd is a subsidiary of Avery Dennison Corporation, a global leader in manufacturing and distributing pressure-sensitive adhesive materials, apparel branding labels and tags, RFID inlays, and specialty medical products Founded in 1935 as Kum Kleeen Products by Mr and Mrs Ray Stanton Avery in Los Angeles, the company underwent several name changes, becoming Avery Adhesives in 1937 and later Avery Adhesive Label Corp in 1946 It evolved into Avery Adhesive Products Inc in 1958 and Avery Products Corporation in 1964, before rebranding as Avery International Corporation in 1976 The pivotal merger with Dennison Manufacturing Company in 1990 established the company as Avery Dennison.
In1844,AndrewDennisonandhissonAaronLufkinDennisonfoundedtheDennisonManu fa ct ur ing CompanyinBrunswick,specializedinmanufacturingjewelry-andwatch- box.I n 1949,Aaronhandedoverthecompanytohisyoungerbrother,EliphaletWhorfDen nison.H e tookoveranddevelopedthecompanyintoasignificant- sizeindustrialenterprise.In1898,thec o m p a n y movedt o F ra mi ng ha m, M a s s a c h u s e t t s
Th e c o m p a n y ’shea dq uar te r i s i n Glendale,California.The company’stotalsalesis$6.8 billion.Itrankednumber375onthe2 0 1 3 F o r t u n e 5 0 0 l i s t S a l e s f r o m c o n t i n u i n g o p e r a t i o n s w e r e $ 6 0 b i l l i o n I t s m a i n l i n e o f b usin ess iss e l f - a d h e s i v e materialsf o r l a b e l i n g a n d b r a n d i n g , w h i c h w a s r e s p o n s i b l e f o r 7 1 percentof2012salesfromcontinuingoperations.Thecompanyisoperatinginmorethan50 co un tri es and30,000employeesinovertheworld.
This thesis utilized both secondary and primary data for analysis Secondary data included human resource statistics, literature, journals, prior research, and online resources, focusing on sales employees' turnover and the reasons behind their departure, as provided by the Human Resources department Primary data was gathered through qualitative research, specifically through eight in-depth interviews, aimed at gaining deeper insights into the study's phenomenon, which were categorized into four main groups.
Thesecond groups includes those whoaresales employees who alreadyleft AveryDennisonRBISVietnam.
Thequestionnaires should beclear,easytounderstand,opened endquestions sothatre sp on dents canprovidetheopenedsharingtogetthevaluableinformation Foreachgro up,t h e questionnairesshouldbemodifiedandcustomizedalittlebitinordertogettheacc urateinsightsandmeaningfulresponsesfromtherespondents.
Tofindoutthekeyreasonsexperiencedandover- achieved Salesemployeesdecideto leaveandproposethesolutionstosolveitinordertoensurethe businesseffectiveness.
Overbackground Tounderstandthecurrentproblemofexperiencean dov er - ach i ev ed salesemployyesinAveryDennisonVietna m
Explorethe cause ofh i g h t u r n o v e r rateandthemainrea sons
Exploret h e caus eo f h i g h turno verrateandthem ainreasons
Thankyouinadvancefortakingyourtimetocompletethisin- depthinterviewtohelpusbetteru n d e r s t a n d s theremainedproblemsforsalesforceturnover.Y ourresponses,alongwiththosef r o m otherstaffswillhelpthemanagementboardtosolvethepr oblemsthatyoufaceondailyw o r k i n g Youarerandomlyselectedtocompletethissurvey. Thesurveyshouldtakea p p r o x i m a t e l y 30minutestocomplete,andyourparticipationisneces sarytothesuccessofthisr e s e a r c h
Yourr e s p o n s e s w i l l b e combinedw i t h t h e r e s p o n s e s o f o t h e r s t a f f s T h e identifyinginf or mat ion aboutyouwillnotbereleasedtoanyone.Werespectyourprivacy.Iwouldliketoen su r e y outhatyourresponsesareanonymousandconfidential.
Workingstatus:WorkingforAveryDennisonRBISVietnam1 stintervie w:2 ndMar, 201702:00PM
NguyenT h i H o n g H u o n g : F i r s t ,c a n yous a y s o m e t h i n g a b o u t yourselfa n d yourw o r k i n A v e r y DennisonRBISVietnam?
NguyenThiHongHuong:Oh,8yearsisreallyalongtime.Iwouldliketoknowthereasonst h a t keep youhavestayedinAveryDennisonforasuchlongtime.Whatdoyoulikeordislikea b o u t yourcurrentp osition?
LeThiHongAnh:Ah,everyjobhasitsowndifficulties.Tome,thehighturnoverrateistheb i g g e s t difficultyformeandmyteam.Inrecentyear,thehighturnoverrateatSalesdepartmenthasmadeu sworry.
NguyenT h i H o n g H u o n g : C o u l dyoup l e a s e s h a r e w i t h met h e r e a s o n s whym a n y s a l e s employeesleavethecompany?
LeThiHongAnh:Currently,asIcanobservethatwhenIjustjoinedinsomemonths,oure ngagementactivitiesarenotmuchwhichcomesupwithsomeissues.Forexample:Salesteama n d Custo merServicesDepartmentandPlanningDepartmentonlyhavesometeammeetings onhighseasontoavoidlateshipment.Forquarterlymeetings,theyalwaysgetoutandtheyfeelt h a t meetin gsorsomethinglikethatarenottheirresponsibilitiesandtheyfeelthatnoneedtocomeup.Butyo uknowthatinthecompany, departmentscannotworkalone,theyneedthesupportandengag ewithotherteams.That’swhyweprefertohaveengagementactivities,sothatwehavesomeissue sregardingtotheengagement
NguyenThiHongHuong:SothefirstthingthatyoumentionistheEngagement,whatisthesecondt hingthat youreallyfinddifficultwhenyouworkwithordealwithpeople?
LeT h i H o n g A n h : T h ee n g a g e m e n t s u p p o r t s verymuchf o r m a n y i m p o r t a n t p o i n t s l i k e : r e t e n t i o n , becausewealwaysfocusonhowtoretainpeople,howtoretainthepeopl e.Asyousee,A v e r y D e n n i s o n , w e h a v e a l o t e x p e r i e n c e d p e o p l e Theyc a n w o r k i n d e p e n d e n t l y o r corporatetogether.Whentheylovetoworkhere,wecankeepthem.It hinkthattheengagementwillsupportfortheRetentionaswell.
NguyenT h i H o n g H u o n g : W eh a v e t h e E n g a g e m e n t a n d t h e R e t e n t i o n A n d t h e n i f w e increasetheengagement,wecanincreaseourRetentionhereinAveryDennison.Itisag oodidea,isn’tit?
LeThiHongAnh:Yes,itisalsoapart,butnotthetotal.Thataresomepointsthatwecandor i g h t now.
Forotherpoints,firstofall,wehavesomeexitinterviewsandsurveyswithsomep e o p l e and thenwehavesomeanalysistoseehowaboutthetrend,andengagementispartofr e a s o n s , partofr etention,sothatweneedtofindoutmoredetailsforthis
NguyenThiHongHuong:OKsobesidesincreasingtheengagement,couldyousharewi thmeanys o l u t i o n s t h a t t h e c o m p a n y a l r e a d y p r o v i d e d t o k e e p t h e p e o p l e i n t h e company,e s p e c i a l l y intheSalesteam
Le Thi Hong Anh highlights the challenges posed by a high workload due to collaboration with numerous factory clients, particularly processing companies reliant on overseas customers This often necessitates that employees work late nights or early mornings to produce labels quickly, contributing to the workload issue Additionally, there is a need to stretch roles to enhance skill sets and foster relationships with other teams, which benefits associates However, associates may perceive this differently, prompting a need to reassess their current workload and aspirations By exploring various development opportunities tailored to their needs, the organization aims to support their growth effectively.
LeThiHongAnh:Currently,wehaveissuedthemonthlyinternalmagazine:“Cómộtđiề un h ư thế”.Thisisachangeforemployeestosharetheirfeelings,opinionortheycancomposepoe ms,s h o r t s t o r i e s , …
B e s i d e s , w e o r g a n i z e t h e A D g o t T a l e n t byt h e e n d o f t h e yearf o r employees.Atthisparty,departmentswillperformtheirtalence.Especially,weusually cooperatew i t h o t h e r companiest o o r g a n i z e c h a r i t y e v e n t s T h e s e e v e n t s w i l l e n g a g e e mployeestogether.
NguyenThiHongHuong:Thankyouverymuchforjoiningthein- depthinterviewwithmetoday.Maybeinthefuturewewillhavemanymanytalksrelatingthisto pictoseeifwecanhav e somesolutionstothecompany.
NguyenT h i H o n g H u o n g : G o o dmorningM r s A n h T h a n k youf o r j o i n i n g t h e s e c o n d - indepthinterviewwithmetoday.Lasttime,wediscussedabouttheturnoverrate,engagementa n d r e t e n t i o n I n yourp o i n t o f v i e w , c o u l d yous h a r e w i t h met h e mainr e a s o n s whymanye x p e r i e n c e d andover-achievedsalesemployeesleftthecompany?
LeThiHongAnh:Ok.Afteranalyzingtheexitsurveywiththem,Irealizedthatbesidestheenga gement,thesalesemployeesstillfeelthatthecompanydidn’ttakecareofthemenough.T h a t i s b e c a u s e theyw o r k f o r years,theya r e n o t p r o m o t e d a n d u n f a i r t r e a t m e n t fromt h e managerinworkloadallocation.
NguyenThiHongHuong: D oyouhave anytrainingprogrammefor managerssothat th e c o m p a n y cancoachthemanagerhowtotakecaretheemployees,howtoguidethem?
LeThiHongAnh:Yes,wedo.WetakecareofmanagerandtalentpeopleinTalentProgramme.T h e m a n a g e r s w e r e t r a i n e d h o w t o c o n d u c t a n d w i t h yourp e o p l e i n t h e t e a m , department a s w e l l a s a l l o c a t e w o r k l o a d t o t h e i r t e a m members.Managerc a n w o r k a n d u n d e r s t a n d theirassociatesmore.
LeThiHongAnh:Onebiggestreasoniswork- homebalance.Forthepeoplewhogotmarried,theyn e e d moret i m e f o r t h e i r familiesa n d t h e i r l i f e Wea r e r e q u e s t i n g t h e h e a d o f f i c e ’ s a p p r o v a l toinstallthesoftwaretoemploye es’laptopsothattheycanworkathome.Although,ouroperationhoursarefrom7:30to16:30,emplo yeescanstartworkinglaterandstaylonger.I f theyarebusywiththeirfamilyaffairs,theycanworkathom e.
NguyenThiHongHuong:Accordingtoourdiscussion,youmentionedabouthighworkload,c a r e e r developmentandunfairtreatmentfrommanager.Doyouthinkthereisanyreasonelse?
Workingstatus:WorkingforAveryDennisonRBISVietnam1 s t int erview:3:00PM2 ndMar 2017
NguyenT h i H o n g H u o n g : F i r s t ,c a n yous a y s o m e t h i n g a b o u t yourselfa n d yourw o r k i n A v e r y DennisonVietnam?
NguyenThiDao:Yes,IamNguyenThiDao.IhaveworkedforAveryDennisonVietnam9years.I amworkinginpositionofsalesmanageroffactorysalesdivision.
NguyenThiHongHuong:Wow,youworkforAveryDennisonforalongtime.Youmusth a v e anumberofcustomersandhaveacloserelationshipwiththem.
NguyenThiDao:Yes,wehavemanycustomers.Manyofthemhaveworkedwithusfromthetimewees tablishedourofficeinVietnam.Yearbyyear,wehavemoreandmorecustomers.
Aa n d in Vietnaminthegarmentandtextileindustry.Howcanyourdepartmentfindandsign thec o n t r a c t withthem?
B O s a l e s p e o p l e i n V i e t n a m w i l l c o n t a c t w i t h H u b s a n d g e t t h e c o n t a c t a n d t h e l i s t o f p r o c e s s i n g companies Th en theywillsup pl y factorysalespeo pl e w ithth e contractandl is t Factorysalepeoplewillcontactwithbuyeroffactories.
NguyenThiHongHuong:TheprocessseemssimplebutIthinkit’snotsimpleanymore.N g u y e n ThiD ao:Yes,ofcourse.Weknowthatourretailcompaniesalsosigncontractwithanotherl a b e l s c o m p a n i e s a n d theyw i l l g i v e t h e p r o c e s s i n g c o m p a n i e s t h e c o n t a c t ofourc o m p e t i t o r s I n c a s e , w e c a n n o t s e r v e t h e m w e l l , t h e p r o c e s s i n g companiesw i l l c h o o s e o u r competitors.Therefore,wemustkeepthegoodrelationshipwithbuyersoffactoryco mpaniesa n d servethemwell.
NguyenT h i H o n g H u o n g : Wow,i t meanst h a t yourc u s t o m e r s mustb e h a p p y w i t h yo urc o m p a n y andyourservicetothem.
NguyenThi Dao:Although wetrytoserveourcustomer,somecompanies leave our companya n d wereceivemoreandmorecomplaintemailsfromourcustomers.
NguyenThiDao:Ithinkthissituationhappenedbecauseourexperiencedsalespeopler esig ned our company.Thetruthisthatourdepartmentfaceswiththehighsalesstaffturnover.N g u y e n ThiHongHuon g:Inaverage,howmanysalespeopleleftyourcompanyeveryyear?
N g u y e n ThiDao:Everyyear,theturnoverrateisabout50%.Itmeansthat8salespeoplelefto urc ompanyannually.
NguyenThiDao:Thereare16peopleinmydivision.Wedivideinto2divisions:RBOsalesd i v i s i o n andfactorysalesdivision.
NguyenT h i D a o : T h e i rs a l a r i e s i n g e n e r a l a r e t h e s a m e T h e salaryf o r s a l e s e m p l o y e e s depend so n t h e i r e x p e r i e n c e , s k i l l s , t h e i r p e r f o r m a n c e a n d t h e i r n e g o t i a t i o n i n t h e i n t e r v i e w withHR.Accordingtotheinternalsurveymadebyheadhuntingcompany,ourcompanyisinthe topcompaniesthatpay employeewellabovemarketvalueincomparisonwithcompetitorsinthesameindustry.
NguyenThiHongHuong: Toemployees,theyusuallyexpectasalary increasebytheyear e n d Doyouthinkthesalaryincreasecanmeettheirexpectation?
NguyenT h i D a o : A h ,t h e p e r c e n t s a l a r y i n c r e a s e e v e r y yeard e p e n d s o n s a l e s e m p l o y e e s ’ performance.Wehavethepolicyfortheemployeeswhoreachthegoal.AndIthinkoursalaryp o l i c y isaneffectivetooltokeepkeypeopleandmotivatethem.
NguyenThiDao:Weprovidelunchforemployees,shuttlebusestotransportemployeesfromthebus stopandviceversa,laptop,telephonecard,etc.
NguyenT h i H o n g H u o n g : O h ,t h a t ’ s g o o d Witht h e g o o d w o r k i n g c o n d i t i o n s a s a b o v e , I b e l i e v e thatyoursalesstaffwillbehappytoworkwithAveryDennisonandtheretenti onofs a l e s p e o p l e i s h i g h B u t theystill k e e p l e a v i n g yourc o m p a n y Doyout h i n k t h e r e a r e a n y reasonsbehind?
NguyenT h i D a o : Well,Wea r e i n t h e t e a m a n d w o r k t o g e t h e r forsomeyearss o mystaff me mbersusedtotalkwithmeabouttheirconcerns.Somestaffwhogotmarriedsaidthattheirh u s b a n d andmotherin lawareusuallyunhappybecausetheycomehomelate.Theydon’thavet i m e f o r t h e i r c h i l d r e n a n d t h e i r f a m i l i e s A c c o r d i n g tot h e s u r v e y madebyhe ad hu nte r, t h e mainreasonsare:firstl y,heavyworkloadthataffectstoemployee’swork-lifebalance.
Secondly,theys e e k toa n o p p o r t u n i t y t o g r o w t h a n d thel a s t , t h e y c o m p l a i n a b o u t u n e q u a l w o r k l o a d allocation.
NguyenThiDao:Well,becausewehavetoachievethetargetsetbythemanagementboard,so mesalesemployees canmanagement theirworkload wellandtheyhavesome specializ eds k i l l s i n p l a n n i n g a n d c o m m u n i c a t i o n w i t h c l i e n t s T h e r e f o r e , w e w i l l p e r s u a d e themt og e t moretargetthanothersalesemployees.
NguyenThiHongHuong:So,insummary,wehave3reasonsleadingtotheissuethatpeopleleavet h e c ompany,i n c l u d i n g : h e a v y w o r k l o a d , c a r e e r d e v e l o p m e n t a n d u n e q u a l w o r k l o a d allocation.Whichreasonsdoyouthinkthatitisthemostimportantreason?
NguyenThiDao:Thesereasonsarekeyreasonsfrommyopinion.Moreover,Ithinkleadershipis oneoftheimportantfactors.Ourcompanyshouldhavetheemployeerecognitionpolicy.Wecanhaves piritualaward besides m o n e t a r y awardtoshowthatwe thankyouforemployees’contributi ontothecompany.
Sales employee turnover significantly affects a company's revenue and profitability, as sales personnel are crucial for communicating with customers and securing contracts When a sales representative leaves, the company risks losing customers who prefer to work with them rather than the organization itself Additionally, the costs associated with hiring and training new employees can be substantial High turnover also impacts employee morale; remaining staff often face increased workloads, leading to higher stress levels and lower job satisfaction This can result in dissatisfaction as employees compare their benefits and salaries with those offered in the market, questioning why their former colleague found a better opportunity.
Lastly,itleadstodeterioratetheservicequalitybecausetheoldsalesp e r s o n isanexpertinforecastt hequantity,timingthatth ei rcustomers need.Whenthenewstaffj o i n s t he company,theym ustg e t f a m i l i a r wi th c u s t o m e r s , g oo ds s o theymayforecastinexactly.
NguyenThiHongHuong:Iftheydon’tforecastexactly,yourcompanymaymisssomeordersf r o m your customers.Howcanyourcompanyavoidthissituation?
NguyenThiDao:Ah,ourdepartmenthasacloserelationshipwithcustomerservicesdepartm ent,p l a n n i n g departmenta n d p r o d u c t i o n d e p a r t m e n t Wec o n s i d e r w h i c h o r d e r s a r e e m e r g e n c y onesandgiveprioritytotheseorders.Wewillusematerialsfortheseordersfirst.Inthehigh season,wehavedailymeetingbetweenfourdepartmentstolistoutthepriorityorders.N g u y e n ThiHo ngHuong:That’sgreat.Itmeansyourdepartmentsnevermissanyorder?
NguyenThiDa o: Ye s,we do M ana gem en tBo ar d h a d somemeetingstod is c u ss aboutt h e problemsandsuggestedsomesolutions.Weareconsideringthemandwillmutuallyagreethelas tsolutionsbytheendofthisyear.Thesolutionswillbeappliednextyear.
NguyenThiDao:Wewillconductsometrainingsessionsformanagerandemployees,applyf l e x i b l e workinghoursandworkingplace,andreallocateworkloadtoemployees.
Nguyen ThiHongHuong:Yes, Ihopethesesolutions cansolvetheproblem.Thankyouverymuchforjoiningthein- depthinterviewwithmetoday.Maybeinthefuturewewillhavemanytalksrelatedthistopictoseeifwecan havesomesolutionstothedepartment.
Status:CurrentlyworkingforAveryDennisonRBISVietnam1 stintervie w:2 ndMar 20174:00PM
NguyenThiHongHuong:Thankyoufortakingyourtimetojoinintheindepthinterviewwi th me.Pleasekindlyintroduceaboutyourself.
NguyenT h i H o n g H u o n g : A sI h a d t h e i n f o r m a t i o n fromH R D e p a r t m e n t a n d fromy ourmanager,manysalespeopleleftthecompany.Doyouknowthereasonwhytheyleft?
DangHongNhung:Somesalespeoplesharedthattheyworkunderhighpressurebecauseofh e a vy workload.Becauseofworkload,theydon’thavetimefortheirfamily,theirlife.Theymus tworkuntillateatnight andonweekend.Somesalespeople leftbecausetheyfoundanewjob with higher positionandsomesales peoplecomplaintthattheyfeelourmanagertreatthemu n f a i r becauseshesetthesalesrevenuestothemh igherthantheircolleagues.
NguyenThiHong Huong:Ye p,sales peopleare required toworkhard bythecompany ortheyfeelthattheyneedtowork?
DangHong Nhung:Weall feelthat weneedtoworkuntilwefinish it.Because we workwithmanyproductioncompanies,ifwedon’tfinishourworkload,ourcustomers’producti onlinesw i l l beinterrupted.Thisleadstoothersbadconsequences.
DangHongNhung:Oh,no.Becauseourdepartmenthasmanagerandtwovicemanagers,wecanbe promotedtosupervisorpositions.Butthesepositionsarelimitedsoothersalespeoplecould n’tbepromotedtohigherpositionsalthoughtheywerethebestsellersforyears.Ithinkyouachiev ehighpositionincareer,youwillbeproudofit.
DangHongNhung:The3rdr e a s o n istheleadership.Ithinkourmanagershouldconsiderthew o r k l o a d ofourteamandreallocateit.
DangH o n g N h u n g : Frankly,t h e keyr e a s o n t h a t I w a s r e v e a l e d bymyb e s t c o l l e a g u e i s promotionfavoritism.Shesharedwithmebeforesheleft.Shewasnothappybecauses heisalwaysthenumberoneinthetop5bestsellersinVietnamandsomeyearssheisinthetop3b e s t s e l l e r s in
Asiaregionevensomeyearsstandinginnumberone.Withherperformance,shes h o u l d b e p r o m o t e d tos u p e r v i s o r b u t t h a t p o s i t i o n b e l o n g s t o o t h e r s a l e s e m p l o y e e T h e supervisorusedtoworkwithourmanagerinpreviouscompany.
NguyenThiHongHuong:Oh,it’sbad.Doyouhaveanysuggestiontosolvethepromotionfavo ritism?
DangHongNhung:Ithinkthatunclearcriteriainevaluationformareoneofthereasonsthatl e ad t othisunfairtreatment.Isuggestthatthecompanyshouldmaketheassessmentcriteria formmoreclearly.Besi des, itisnecessary tose tahotlineor forumormailboxthatwe cane x p r e s s ouropinion.
NguyenThiHongHuong:Thankyouagainforyoursharingandyoursuggestions.2 nd intervi ew:5 th Mar
NguyenT h i H o n g H u o n g : T h a n kyouf o r j o i n i n g t h e s e c o n d i n - d e p t h i n t e r v i e w w i t h metoday.Ourtopicisrelatingtotheexperiencedandover- achievedsalesemployees’turnoverinA v e r y DennisonVietnam.
NguyenThiHongHuong:InthepreviousinterviewlastThursday,youhavementionedabout3 keyreas ons:work- lifebalance,unequalworkloadallocationandpromotionfavoritism,whichi m p a c t onexperienceando ver- achievedemployeesturnover.Couldyoupleasesharewithmewh i ch factoryouthinkitimpactsmo stonthisproblem?
DangH o n g N h u n g : F r o mmyo p i n i o n , managern e e d s t o r e a l l o c a t e t h e w o r k l o a d t o t e a m membersi n o r d e r t o t h e f a i r n e s s M o r e o v e r , s h e s h o u l d s u g g e s t t h e r i g h t p e r s o n t o h i g h e r p o si t i o n T h e teamm e m b e r s feelt h a t t h e i r managerc a r e s a b o u t t h e m Theyw il l a p p r e c i a t e a b o u t thatandworkbetter.
NguyenThiHongHuong:GoodmorningMs.Thanh.Thanksforjoiningthein- depthinterviewwithmetoday.
NguyenThiDoanThanh:Yes,sure.MynameisNguyenThiDoanThanh,currentlyworkingas Salesm anagerinSales DepartmentatLSPack–KPackinaround1year.BeforejoiningLS
KPack,IworkedforAveryDennisonRBISVietnaminaround6yearsintheroleofS a l e s Ex ecutive
NguyenT hi Ho ng Hu on g: Wow.I t meanst h a t youw o r k e d fo rA ve ry Dennisonsin ce you g r a d u a t e d fromuniversity.SohowisyourjobatLSPack–KPackgoing?
NguyenThiDoanThanh:Yes,Itisrunningwell.E v e n t h a t thejobisquite challenging, butIc a n managewell.Iamhappywithmycurrentroleasasalesmanager.
Nguyen Thi Hong Huong:Wow,congratulations.Itsounds great The targetthatIwouldliket o inviteyoutojointhein- depthinterviewwithmetodayisthatIwouldliketoexploremoreabo ut thereasonswhyanexperien cedsalesemployeeleavesthecompany.
NguyenThiDoanThanh:Yes,Isee.Itshouldbethebigconcern formanycompaniesfor r e c en t years.
Nguyen Thi Doan Thanh worked at Avery Dennison for six years, consistently ranking among the top three best sellers in Vietnam and achieving the number one position in the Asia region for two years Despite her exceptional performance, she remained a sales executive while a colleague with lower performance was promoted Feeling undervalued, she applied for the sales manager position at LS Pack-Kpack, where the sales department lacked leadership After a year of strong performance, she was promoted to sales manager, embracing the challenges of her new role with confidence.
NguyenT h i H o n g H u o n g : D oyout h i n k t h a t t o p r o m o t e t o h i g h e r p o s i t i o n , b e s i d e s t h e performanceresult,themanagercanconsidersomecriteriasuchasleadershipcap ability,ando t h e r skills?
NguyenThi Hong Huong:Besides thatimportant reasonthatyoumentioned above,anyotherreasonsleadingtothedecision?
NguyenThiDoanThanh:Actually,thementionedreasonisthekeyreason.However,someo f th ereasonsthatIandpeopledecidedtoleaveAveryDennisonwere:Work-homeorwork- l i f e balanceandunequalworkloadallocation.
NguyenThiDoanThanh:Yes,tothesalespeoplewhogotmarried,theyspentmuchtimeonw o r k i n g Theyusuallyleavethecompanyafter8p.m.Sometimestheyleavethecompanyat1 0 p m e v e n more.Theirhusbandortheirparentsinlawaren’thappywhentheirwivesortheir daughtersinlaw comehometoolate.Theydecided toleavefor companieswhich werewillingt o paythemthesamewithlowerworkload.Andforthe sellerswhoareinthe5topbestsellers,theyareu s u a l l y assignedm o r e w o r k l o a d t h a n t h e i r c o l l e a g u e s b e c a u s e o f t h e s t r e t c h r a t i o s Withthesignificantperformanceandexperienc edskillsaswellasthetrainingandcoachingt h a t A v e r y Den ni so n g a v e t o s a l e s p e o p l e , o t h e r c o m p a n i e s w o u l d l i k e t o e m p l o y t he g o o d sellerstotheircompanies.
NguyenThiHongHuong:Oh,Isee.Thanksforyoursharing.Doyouthinkanythingelse?
N g u y e n ThiDoanThanh:Ah,IthinktheyarethekeyreasonsbecauseI usuallychatwi tho t h e r salespeoplewhenwehavecoffeeoreating.
NguyenT h i H o n g H u o n g : T h a n kyoua g a i n T h e informationyous h a r e w i l l h e l p s o u r r e s e a r c h t o o much.B e c a u s e youh a d t h e e x p e r i e n c e b e f o r e , c o u l d yo up l e a s e s u g g e s t t h e solutionforthissituationsothatthecompanycanimprove?
NguyenT h i D o a n T h a n h : It h i n k t h e M a n a g e m e n t B o a r d s h o u l d c o n s i d e r t h e p r o m o t i o n policy.Forthesalespeoplewhoreachoverthetargetaswellasthebestsellers,the managementboard shouldusesomemethodssuchas: raisebandto them,makesomeactivitiestorecognizethembythankingyouthemontheinternalmagazine,company’ sFacebook,…
Fort h e workload,Ithinkthesalesmanagercanreconsidertheoverallworkloadfortheteam andr e a l l o c a t e theworkloadtoteammember.
NguyenThiHongHuong:Oh,that’sgoodidea.Thankyouverymuchforyoursuggestion.
NguyenThiHongHuong:Continuewiththepreviousinterview,youmentionedthatpro motionf a v o r i t i s m , w o r k - l i f e i m b a la n c ea n d u neq ua l w o r k l o a d a l l o c a t i o n a r e keyreasons l e a d tothehighturnov errateatSalesDepartment.Couldyoupleasesharewithmewhichistheb ig gest reasonleadtotheissuefro myourownopinion?
NguyenThiDoanThanh:Frommyownopinion,IleftAveryDennisonbecauseofpromotionf avoritism.Butforsomepeople,theyleavebecausetheheavyworkload.Theycouldn o t arrangetheirtimefo rworkingandtheirfamilyatthesametime.
Nguyen Thi Hong Huong and Doan Thanh discussed the need for a more effective feedback system, suggesting a bottom-up approach where employees can evaluate their managers and express their opinions This would enable employees to have a voice and provide constructive feedback, while also allowing managers to better understand their team's needs Additionally, managers should participate in training sessions to learn how to effectively manage workloads and provide coaching to team members, ultimately leading to improved team performance and productivity.
NguyenThiHongHuong:Goodmorning,Mrs.Huong.Thankyouforjoiningthein- depthinterviewwithmetoday.Couldyoupleaseintroducebrieflyabout yourself?
HoangThiThanhHuong:Yes.MynameisHuong.IleftAveryDennisonRBISVietnam1yeara goafter5yearsworkingthere.NowIworkforSMLasasalesteamleader,thispositioncan beconsidere dassalesmanager.SMLisalsoalabelcompany.
NguyenThiHongHuong:Astheinterviewwithyoursalesmanager,Iknewthatyouarethep e r s o n whousuallyinthetop5bestsellerofthecompany.Besides,yourdepartmenthastoom a n y cus tomers.Itmeansthatyouandyourcolleagueswillworkunderhighworkload.Howc a n youand yourcolleaguesworkwell?
HoangThiThanhHuong:Imyselfandalmostmycolleaguesagreedthatwecannottreatallcusto mersfair.Wewillapplythe80/20principleintoourwork.Toreachourtarget,wemustg i v e m o r e timet o t a k e c a r e t h e b i g c u s t o m e r s W h e n w e g e t t h e f o r e c a s t volumefromo u r custom ers,w e w i l l i n s t r u c t t h e m t o c o n t a c t w i t h t h e c u s t o m e r s e r v i c e s d e p a r t m e n t t o p l a c e o r d e r s a n d i f t h e y h a v e a n y c o n c e r n a b o u t t h e i r o r d e r s , theyc a n c o n t a c t c u s t o m e r s e r v i c e s departmentfirstandiftheycannotsolve,wewillinvolve.
Nguyen ThiHongHuong:Doyouthinkthatthis choicemayimpactthecompanybusinessinlong- term?
HoangThiThanhHuong:Yessure,wecanimagethatourcustomerswillfeeloffendan dw i l l leaveourcompany.Butwemustchoosebetweensalestargetandallcustomers’s a t i s f a c t i o n
NguyenT h i H o n g H u o n g : Y e s ,I g o t i t Whatl e d yout o d e c i d e t o l e a v e A v e r y Denniso nRBISVietnam?
Dennisonwasthepromotionfavoritismandwork- lifeimbalance.Iwouldliketofindaj o b whichmeetsmyexpectationaboutthework- lifebalanceandpromotionafterIworkedforA v e r y D e n n i s o n 5 years.I w o r k e d h a r d e v e n a t n i g h t o r w e e k e n d b u t I d i d n ’ t r e c e i v e anypromotiona l t h o u g h I w a s u s u a l l y ont h e t o p 3 b e s t s e l l e r s oft h e company.I f e l t t h a t o u r c o n t r i b u t i o n s arenotrecognized.
After5yearsworkingforAveryDennison, Idecided toleavet o applyforanotherjobthatIcanbalancebetweenworkandlifeaswellasforhigherposition.
NguyenT h i H o n g H u o n g : D i dyouh a v e t h e s t a f f t a l k w i t h yours u p e r v i s o r o r you rl i n e manageraboutyourproblem?
HoangThiThanhHuong:Ididn’texpressdirectlythereasonswhyIleftbecauseIwouldliketo keepthe relationshipwiththiscompanyandmymanager.AveryDennisonisthetoplabelc o m p a n y in
Huong:Yeah,Isee.Thankyouforyoursharing.Couldyoupleasesuggestthesolutionstohandlethepro blemthatyoufaced?
Hoang Thi Thanh Huong emphasizes the importance of addressing staffing challenges by suggesting that the HR team implement a talent program This program could involve collaborating with universities to offer internships to outstanding students, particularly in the sales department, allowing them to develop essential planning and communication skills Successful interns would have the opportunity to join Avery Dennison after graduation, ensuring a steady influx of qualified staff to replace those who leave Additionally, she advocates for a transparent promotion policy with clear criteria, alongside recognition from management of employees' contributions.
NguyenT h i H o n g H u o n g : T h a n kyouf o r j o i n i n g t h e s e c o n d i n - d e p t h i n t e r v i e w w i t h me.Continuewitht h e firstinterview.Youh a v e mentionedthatw o r k - l i f e b a l a n c e a n d u n f a i r promotionarethereasonsimpactonyourdecision.However,wh ichoneisthebiggestreasont h a t impactonyourdecision?
HoangT h i T h a n h H u o n g : A c t u a l l y ,p r o m o t i o n f a v o r i t i s m ist h e importantr e a s o n t h a t I d e c i d e d toleave.IbelievethatwithmyexperienceandmyachievementIcanfindabetter job.N g u y e n ThiHongHuong:Doyouhaveanysolutiontosolvethisproblem?
HoangThiThanhHuong:Yes,Iam.Ithinkthecompanyshouldhavethetrainingsessionso n favoritismandclearcriteriaforpromotion.
NguyenThiHongHuong: Yes,yourideacan beusedforsolvingtheproblem Thankyou verymuchforyoursolutionandyourtime.
Status:SendtheresignationlettertoHRtoinformleaving,butthenstayandcontinuew or kingforAveryDennison.
NguyenThiThanhVi:Yes,ofcourse.IamThanhVi,currentlyworkingasaSalesE x e c u t i v e Iha vebeenworkingforAveryDennisonfor8years.
NguyenT h i H o n g H u o n g : It h i n k t h a t youw o r k e d f o r A v e r y D e n n i s o n r i g h t a f t e r youg r a d u a t e d fromuniversity,isthistrue?
NguyenT h i T h a n h V i : It h i n k A v e r y D e n n i s o n i s a g o o d p l a c e t o w o r k T h e w o r k i n g e n v i r o n m e n t isgood.Mycolleaguesarefriendlyandnice.IbelievethatIams uitableforthep o si t io n SalesExecutive.
NguyenThiHongHuong:Allbosseswillbehappytoheartheiremployeessaythat.But,Ih e a r d t h a t youu s e d tos e n d t h e r e s i g n a t i o n l e t t e r t o yourm a n a g e r 2 yearsa g o C o u l d yo up l e a s e tellmethereason?
During a challenging period in my career, I faced significant pressure due to my workload, which left little time for my personal life and created an imbalance between work and family After graduating from university and getting married, I struggled to conceive because of the stress at work, forcing me to choose between my professional responsibilities and starting a family My dissatisfaction deepened when my manager promoted a colleague to a supervisory role, while I felt my efforts were overlooked Despite not being among the top performers, I was disappointed and kept my feelings to myself Upon submitting my resignation, my manager initiated a meeting to understand my reasons for leaving I shared my concerns and learned that I had two options: continue working with additional support from HR or leave without pay for a year I chose to stay, and I am still with the company today.
NguyenThiThanhVi:Yes,ofcourse.NowIhaveababy.Icanbalancebetweenmyworklife andpersonallife.Istillkeepintouchwithformerbestsellerswhoquitted.
NguyenThiHongHuong:Oh,great.Iamhappytohearso.Fromyourperspective,whatareth efact orsthataffectthedecisiontoleaveorstayoftheemployee?
NguyenThiThanhVi:Frommycase,work- lifebalanceandthepromotionfavoritismfromsalesmanageraffectthedecisiontoleaveorsta yoftheemployee.Iwastakencareofbymymanagersomysupervisorhassomeimprovementin worksoIaccept tostayhere.Andmyperformanceisbetterthanbefore.
NguyenThiHongHuong:Wow,it’sinteresting.Thankyouverymuchforyourtime.Youri n f o r m a t i o n i s h e l p f u l f o r myr es e a r c h I h o p e yourc a s e i s a l e s s o n l e a r n t f o r m a n a g e m e n t b o a r d aswellasothercompanies.
Group1:Manager/SeniorExecutive/EmployeeswhoarecurrentlyworkingforAD(1A)– Mrs.LeThiHongAnh-HRManager
1 Ther e a s o n s whyexperie ncedsalespeople leaveA veryDennisonRBISVietn am
-Work- lifeimbala nce - Careerdevelo pment
-Work- lifeimbala nce - Careerdevelo pment
- Hotline,mailb ox or forumt o rep ortunfairpr omotion
(1) JasonDS,JohnED,G.DouglasJ,NinaG.Anorganisation-levelanalysisofvoluntary andinvoluntaryturnover.AcademyofManagementReview.1998;41(5);511-525.
(2) MichaelA,StephenT.Armstronǵshandbookofhumanresourcemanagementpractice.7 th ed.London:KoganPage;2009.
(3) SamiMA,KennethMH Turnover:Thereal bottom line.Public Personnel M a n a g e m e n t 2 0 0 0 ; 2 9 ( 3 ) ; 333–342.
(5) BarryAM,PhilipHM.Measuringthequalityofworkandorganizationaleffectiveness inb e h a v i o r a l - e c o n o m i c terms.AdministrativeScienceQuarterly.1976;21(2);212-226.
(6) BarryDB,WilliamHM.Employeeturnover:Individualandorganizationalanalysis.R e s e a r c h inPersonnelandHumanResourcesManagement,1983;1(3);269-319.
(8) AndrewJV,JefferySS,FredSSIII,PhilipLR.Ameta- analyticreviewofpredictorsofjobperformanceforsalespeople.JournalofAppliedPsych ology,1998;83(4):586-597.DOI:1 0 1 0 3 7 / / 0 0 2 1 - 9 0 1 0 8 3 4 5 8 6
(9) KenD.Theno.1reasoncustomersstayorleave.BusinessBrief[Internet].2010September
9.Availablefrom:http://www.businessbrief.com/the-no-1-reason-customers-stay-or-leave/
(10) DianneL ,M a r k K ,H e i d i L S T h e n e w s c i e n c e o f s a l e s f o r c e p r o d u c t i v i t y [Internet ] H a r v a r d BusinessReview.2006September.Availablefrom:HarvardBusinessReview.
(11) AlanF , N i c k J , A n n i e P , SallyW O p p o r t u n i t i e s tow o r k a t homei n t h e c o n t e x t o f w o r k – lifeb a l a n c e H u m a n R e s o u r c e M a n a g e m e n t J o u r n a l , 2 0 0 2 ; 1 2 ( 1 ) : 5 4 – 76.D O I : 1 0 1 1 1 1 / j 1 7 4 8 - 8 5 8 3 2 0 0 2 t b 0 0 0 5 7 x
(15) PeterWH,RodgerWG.Employeeturnover.Ohio:SouthWesternCollegePublishing.1 9
(16) WilliamHM.Employeeturnover:Cause,consequencesandcontrol.London:Addision- Wesley;1982:212
(18) JeffreyHG,KarenMC,JasonDS.Therelationbetweenwork- lifebalanceandqualityofl i f e JournalofVocationalBehavior.2003;63(3);510-531.
(19) Edy G Work/life balance: Wisdom or whining Organizational
(20) ScottT h o m p s o n N e g a t i v e e f f e c t s o f a h e a v y w o r k l o a d [ I n t e r n e t ] C h r o n A v a i l a b l e from:http://work.chron.com/negative-effects-heavy-workload-10097.html
(21) FriedhelmN.Standardsforergonomicsprinciplesrelatingtothedesignofworksystemsa n d tomenta lworkload.AppliedErgonomics.1995;26(4);259–263.
(22) IrisV T h e i m p a c t s o f d i f f e r e n t typeso f w o r k l o a d a l l o c a t i o n modelsona c a d e m i c s a t i s f a c t i o n andworkinglife.HigherEducation.2008;57(4);499–508.
(23) TravisB.Howsuccessfulpeoplespendtheirweekends.Forbes[Internet].2015March
24 Available from: https://www.forbes.com/sites/travisbradberry/2015/03/24/how- successful-people-spend-their-weekends/#71965e9219c0
(25) AnnHH,Wendy JC,StephanieCP.Howdoesspousecareersupportrelatetoemployeeturnover? Workinterferingwithfamilyandjobsatisfactionasmediators.JournalofO r g a n i z a t i o n a l Beh avior.2014;35(2):194-212.DOI:10.1002/job.1862
(26) MG( R e t ) M i k e J D , C h r i s t o p h e r R H T h e d i a m o n d p r o c e s s : H o w t o f i x yourorga nizationandeffectivelyleadpeople.Texas:GreenleafBookGroupPress;2017.
(27) HerikB Whatmillennialsw a n t fromw o r k , c h a r t e d a c r o s s t h e w o r l d [ d o c u m e n t o n Internet].H a r v a r d B u s i n e s s R e v i e w ; 2 0 1 5 [ c i t e d 2 0 1 6 July0 1 ] A v a i l a b l e from:https://hbr.org/2015/02/what-millenials-want-from-work-charted-across-the-world.
(28) MyersKK,SadaghianiK.Millienialsintheworkplace:Acommunicationperspecti veonmillenials’organizationalrelationshipsandperformance.JournalofBusinessand Psychology.2010;25(2);225-38
(29) DeH a u w S , D e V o s A M i l e n n i a l s ’ c a r e e r p e r s p e c t i v e a n d p s ychologi calc o n t r a c t ex p ec t a ti o n s: D o e s t h e r e c e s s i o n l e a d t o l o w e r e d e x p e c t a t i o n s
(30) Melchord e G , AiedeoMD,DilipKD.Strategicresponsestoc r i m e : Thinkinglocally,a c t i n g gl obally.1 sted BocaRaton:CRCPress;2011:365.
(33) JacquelynS.Howtodealwithfavoritismintheoffice.Forbes[Internet].2012October
26.Availablefrom:https://www.forbes.com/sites/jacquelynsmith/2012/10/26/how-to- deal- with-favoritism-in-the-office/#6c86bf852a95
(34) NezireDEO,BenAB.Theoveralloutlookoffavoritisminorganizations:Aliteraturere view.InternationalJournalofBusinessandManagementStudies.2011;3(1);275-284.
(35) ChrisY.Employee favoritismandnepotism-employeemoralecancer.The Rain MakerG r o u p
[Internet] 2008 September 6 Available from:https://www.therainmakergroupinc.com/human-capital-strategy-blog/bid/91330/ Employee-
Favoritism-and-Nepotism-Employee-Morale-Cancer
(36) DamianusA F a v o r i t i s m i n t h e w o r k p l a c e a n d i t s E f f e c t O n t h e O r g a n i z a t i o n D a m e a n u s a b u n Blogspot[Internet].2014March11.Availablefrom:http:// dameanusabun.blogspot.com/2014/03/favoritism-in-workplace-and-its-effect.html
(37) AnithaR Dealingwithfavouritism intheworkplace De ccan Herald[Internet] 2 013Octob er 2 4
A v a i l a b l e from:http://www.deccanherald.com/content/173905/dealing- f a v o u r i t i s m - w o r k p l a c e h t m l
(40) JackJP,AdeleOC.Managingemployeeretention:Astrategicaccountabilityapproach.Anste rdam:Butterworth-Heinemann;2003:352.
(42) KemalA R, UsmanQ G l o b a l r e s e a r c h p ro jec t: Pa ki st anc ou nt ry report on so u r c e s of economicgrowth.Islamabad:PakistanInstituteofDevelopmentEconomics;2002.
(43) BeatriceINT.Absenteeism:AnursingserviceproblemintheRepublicofTranskei[MA(CUR)disser tationontheInternet].Pretoria:UniversityofSouthAfrica;1990.
(46) NormaR.Public personnel management:C u r r e n t concerns, future challenges 5the d.N e w York:Routledge;2015:242.
(47) KraigerK,FordJK.Ameta- analysisofrateraceeffectsinperformanceratings.Journalo f AppliedPsychology.1985;70(1):56.
(48) KhanR A E f f e c t o f employees’p e r c e p t i o n o f p e r f o r m a n c ea p p r a i s a l p r o c e s s o n j o b s a t i s f a c t i o n i n P a k i s t a n i b a n k i n g s e c t o r G l o b a l M a n a g e m e n t J o u r n a l f o r Academic& C o r p o r a t e Studies.2013;3(1);111-121.
(49) DonaldPS.Contextual variablesinemployee performance- turnoverrelationships A c a d e m y ofManagementJournal.1991;34(4);966-975.
(50) CharlesEP,LindaSP,Michaeld’A.Performanceappraisals:Usage,criteriaandobserv ations.JournalofManagementDevelopment,2001;20(9);754-771.
(51) HockeyM.Examiningsourcesofwarehouseemployeeturnover.InternationalJournal o f PhysicalDistribution&LogisticsManagement.2007;37(5);375-388.