(Luận văn) solving the problem of job dissatisfaction at global vietnam aluminium co , ltd

t to ng hi UNIVERSITY OF ECONOMICS HO CHI MINH CITY ep International School of Business w n lo ad ju y th yi pl ua al n DƯƠNG THỊ HỒNG NHUNG n va ll fu m oi SOLVING THE PROBLEM OF JOB DISSATISFACTION AT GLOBAL VIETNAM ALUMINIUM CO., LTD at nh z z k jm ht vb gm om l.c MASTER OF BUSINESS ADMINISTRATION n a Lu n va te re y Ho Chi Minh City – Year 2020 th Page | t to UNIVERSITY OF ECONOMICS HO CHI MINH CITY ng hi International School of Business ep w n lo ad ju y th yi pl al n ua DƯƠNG THỊ HỒNG NHUNG n va ll fu m oi SOLVING THE PROBLEM OF JOB DISSATISFACTION AT GLOBAL VIETNAM ALUMINIUM CO., LTD at nh z z k jm ht vb n a Lu SUPERVISOR: DR NGUYEN PHONG NGUYEN om l.c gm MASTER OF BUSINESS ADMINISTRATION n va y te re th Ho Chi Minh City – Year 2020 Page | List of Contents t to ng Executive summary hi Overview of Global Vietnam Aluminum Co., Ltd The development of Global Vietnam Aluminum Co., Ltd 1.1 w ep Company background n 1.2 lo The main product of Global Vietnam Aluminum Co., Ltd ad 1.3 y th Organizational structure of Global Vietnam Aluminum Co., Ltd 1.5 The strategy of Global Vietnam Aluminum Co., Ltd ju 1.4 yi pl ua al Symptoms n 2.1 The high turnover rate va Turnover rate of engineer 2.3 Turnover rate by reasons 10 2.4 Initial cause-effect map 12 2.5 Updated Cause-effect map 18 n 2.2 ll fu oi m at nh z Problem justification 19 z vb Problem definition 19 3.2 Problem existence 19 3.3 Problem importance 21 k jm ht 3.1 gm 4.1 om l.c Causes validation and solutions 22 Potential causes 22 a Lu Lack of career development 23 4.1.2 Lack of leadership 24 4.1.3 Unprofessional working environment 24 n 4.1.1 n va Alternative Solutions 28 4.4 Solution justifications 33 th 4.3 y Causes existence 25 te re 4.2 Page | Action plan 33 t to Conclusion 38 ng hi Supporting information 39 ep Methodology 39 7.2 Research tool 39 7.1 w n Interviewees demographic 40 ad Interview Transcription 40 ju y th 7.4 lo 7.3 yi References 59 pl n ua al n va ll fu oi m at nh z z k jm ht vb om l.c gm n a Lu n va y te re th Page | LIST OF TABLES t to ng Table 1: Total employee Turnover Rate in Global Vietnam Aluminium Company hi Table 2: Employee Turnover Rate of the engineers in Global Vietnam Aluminium ep Company w Table 3: Resignation reasons for the engineer in GVA (2019) 11 n lo Table 4: Training estimated costs 30 ad Table 5: Motivating estimated costs 32 y th ju Table 6: Planning schedule 35 yi pl ua al LIST OF FIGURES n Figure 1: Company structure va n Figure 2: Human Resources structure fu ll Figure 3: Employee Turnover Rate in Global Vietnam Aluminium Company m oi Figure 4: Engineer turnover rate at Global Vietnam Aluminium Company 10 nh Figure 5: Engineer resignation reasons in GVA 11 at z Figure 6: Initial cause-effect map 12 z ht vb Figure 7: Updated cause-effect map 18 k jm Figure 8: Final cause-effect map 23 om l.c gm n a Lu n va y te re th Page | Executive summary t to ng Nowadays, facing with high turnover rate and low recruitment are more concentrated by hi many corporations over the world, especially in a highly competitive market Key ep positions such as expertise, managers, and directors will bring too many benefits and w values to the company Employees are major assets of any organization and the effective n lo competitive advantage of many enterprises The importance of employees to an ad organization has been acknowledged for a long time because they have a role in creating, y th ju maintaining a competitive advantage and help the organization more development Lots yi of companies in Vietnam not pay more attention to human resources, and it is also pl ua al often left to deal with employee turnover and the difficulties it brings In the market, the competition within the job market is getting fiercer and increased the number of employee n n va turnover rates have become a concern for enterprises as well as the government ll fu Employees can leave a company for lots of reasons, when employees willingly leave a oi m company, usually because they have other choices and they willingly go to work in nh another company This research study was conducted to explore the issue of employee at turnover rate and retention talent employees in the manufacturing company, using Global z z Vietnam Aluminum Co Ltd as the context vb jm ht This research was conducted to assess the impact of employee turnover on organizational k performance in a manufacturing company, investigate the causes of staff turnover and gm finally recommend solutions that can be used to reduce the number of employee turnover om l.c in Global Vietnam Aluminium Co Ltd n a Lu n va y te re th Page | 1 Company background t to Nowadays, the global economy is developing day by day Vietnam's aluminum industry ng hi has continuously developed Policies to encourage foreign countries' investment in ep Vietnam as well as to encourage Vietnamese enterprises to export to foreign countries w have made Vietnam's economy develop in a positive way At this time, in the aluminum n lo market as well as aluminum products in the world is increasingly active while Vietnam is ad one of the countries attracting high foreign investment from big countries like the USA, y th Australia, China, Canada In a fast-moving environment, everything needs to change and ju yi enhance itself to integrate and develop There is always a chance for us to take part in this pl challenging business world if we are well-organized and dedicated to devoting to society al n ua Grasp that situation, the biggest factory in Vietnam and one of the biggest in Southeast va Asia is Global Vietnam Aluminum Co., Ltd (GVA) is 100% Australian capital investment n invested in 2011 The factory is located in My Xuan B1 Conac, industry zone, Ba Ria – fu ll Vung Tau province, which has a strategic advantage of transportation logistics and m oi economic efficiency One of the emerging newcomers to confront this challenge and nh at undertake this responsibility An advanced infrastructure at GVA provides customers with z reliable and sustainable production and distribution New factory with all of the latest z ht vb technology in the aluminum industry that can satisfy every requirement of customers k the aluminum industry, especially aluminum billet jm With modern equipment and machinery, the company is gradually asserting its position in gm Along with understanding the aluminum market and business environment of Asia in l.c om particular and of the world in general, Global Vietnam Aluminium brings suitable a Lu solutions to the business characteristics and environment of each enterprise Global n Vietnam Aluminium team comprises experienced professionals and dedicated workers va with all modern production techniques that enable the company to provide the best quality n Trade Union Law Create jobs for officials and employees, improve the average income is Page | th prescribed by the Labor Law, respecting the right to organize trade unions under the y ensuring the rights and interests of workers, strictly complying with the regimes te re products in less time The company prioritizes the employment of domestic labor, increasing Additionally, Global Vietnam Aluminum Co., Ltd often gives training t to sessions to all workers for the enhancement of productivity ng hi 1.1 Overview of Global Vietnam Aluminum Co., Ltd ep Full name : Global Vietnam Aluminum Co Ltd - Trading name : GVA Address : My Xuan B1 Conac Industrial Zone, My Xuan, Ba Ria – w - n lo - ad Vung Tau province y th General Director : Jacky Cheung - Start date : 08/8/2011 - Charter capital - Company size - Total staff ju - yi pl ua al : 5.000 billion USD : 63 hectares n n va : 963 ll fu 1.2 The development of Global Vietnam Aluminum Co., Ltd m oi Global Vietnam Aluminum Co., Ltd was founded by two major shareholders, namely at nh Jacky Cheung and Wang Tong, with five thousand billion dollars in capital investment z and was established in 2011 In the beginning, company size was 40 hectares with around z vb four hundred employees and expanded to 63 hectares three years later, with numerous jm ht hard working employees reaching up to approximately one thousand Since its establishment, Global Vietnam Aluminum continues to develop and remain as an k gm outstanding organization in the manufacturing of aluminum extrusions in Southeast Asia l.c within the last few years Producing and supplying high-quality aluminum billets with om currently the production capacity has crossed a record of up to 200,000 metric tons a Lu annually and export to countries around the world, for example, Philippines, Malaysia, n Indonesia, Thailand, Canada, USA, Hong Kong, China, etc to name just a few to serve n va and support customers' needs through the best services and products y te re At the very first beginning of our operation, Global Vietnam Aluminium only focuses on the primary aluminum billet 6063 which receives a great deal of recognition among customers across the domestic and international market Realizing that billet is just a Page | th manufacturing and selling aluminum billet 6xxx series, among them, the core product is semi-final product and does not bring us the opportunity to make this world a more t to beautiful and better place, at the end of 2014, Global Vietnam Aluminium decided to ng hi adjust our business strategy and headed to become the top aluminum extruders within the ep region With the extruded capacity of up to 80,000 MT per year sponsored by the 03 most advanced couple presses in the plant, Global Vietnam Aluminium entirely confident to w n supply the best aluminum profiles to serve the needs and demands of the market lo ad 1.3 The main product of Global Vietnam Aluminum Co., Ltd ju y th GVA uses primary aluminum ingots as raw materials with five main products selected yi pl from different countries to ensure the best quality as below: al 05 couples of smelting/furnaces (500 – 600 MT/day) - 05 homogenization furnaces - 03 couples of aluminum extrusion presses (2000; 2750; 3600 MT) - Anodized facilities - Powder coating facilities n ua - n va ll fu oi m nh at 1.4 The organizational structure of Global Vietnam Aluminum Co., Ltd z z GVA has a main factory in Tan Thanh town, Ba Ria - Vung Tau province, and has around vb jm ht 1.000 employees from around the country come to work and 23 ex-pats who are working in departments: Human Resource, Quality Control, IT, Extrusion, Mold, Warehouse, k gm and Painting The Board of Director who is responsible for all activities in the company l.c and drive GVA going on the right track and strategy Each department played an essential om role in supporting the company to expand and develop business in Vietnam n a Lu n va y te re th Page | Figure 1: Company structure t to ng hi ep w n lo ad ju y th yi pl n ua al va The organizational chart shows the internal structure of the Global Vietnam Aluminium n organization Board of directors in the highest-ranking position atop the chart and fu ll followed by the following in descending vertical order: General director - Head of departments at - nh Chairman of the board of directors oi m - z z vb k jm ht Figure 2: Human Resources structure om l.c gm n a Lu n va y te re th Page | t to me But if I can, I will create a the more environment dynamic working working ng environment like more events, hi ep team building  Mr Wei: Uhm, I think everybody w n work here who is thought like me lo ad that they will leave the company ju  Mr y th if they have a better opportunity Ping: Sometimes I feel yi pl unhappy and want to leave the al ua company I want to look for the n place with more challenges It you think Working environment about ll What fu Q6: n va will help me develop myself m oi company policies for employees? - z z help the jm ht can vb need more programs to connect It No connection at salary and bonus are good, but I everybody nh  Mr Thuong: In my opinion, the k employee open their mind and gm easy to share Besides, this will but it will better if n va Everybody here just likes to work no teamwork n everybody works as a team Salary ok but a Lu fine, - om  Mr Kuan: Company policies are l.c make us learn with each other te re individually and not want to y th share anything Should have more event and program for employees to connect with others Page | 48  Mr Senh: I feel unhappy because - Wage is ok, t to ng I not see any programs or create more event events to make employees more for connection hi ep energy and happier I have to spend more than hours a day at w n the company, but we just come lo ad here for money and go back home y th after work I think no one loyal to ju the company if the outside has a yi pl company willing to pay higher In al ua order to keep employee, not only n money but also company have to happy working n a va create ll fu environment for employees Salary ok, Not a good at nh don't think that is enough to - oi m  Mr Patrick: Salary is good, but I working a long time Besides the salary environment z attract and keep my work here for z vb a positive k for jm looking ht and bonus, everyone is still gm environment to work for At that om l.c place, I will have a friendly colleague They can support and Create a friendly environment y te re should create a dynamic working n working va revenue But I think the company n  Mr Than: I am satisfied with my - a Lu grow together th environment for us to work because we don't have a chance to connect, we just see lots of work Page | 49 and report It is easy to meet the t to stressful ng  Mr Lin: I think it's ok hi ep  Mr Wei: I saw that it is just - Don't have activity normal We don't have activities w n for team building and sharing I lo ad not expect that All of the ju y th reasons in the exit interview with employees who leave the yi pl company show that they are not al ua satifed with the company, as well n as the policy in the company va n This makes them easily feel down fu more ll at work and it will be z  Mr Ping: I think policies are fine at nh focus on and improve it oi m difficult if the company not z ht vb Q7: There are lots of employees join - Lack of training - Poor management k How you think about that and why gm it happened? No motivation company if it's still happened improve Most of them quit their job and develop to and n chance va think that is not good for the n Do not have a a Lu staff come and leave until now I - om l.c  Mr Lin: Yes, I have seen lots of - Poor Management jm and leave their work in a few months - te re leave the company because of interest and th not y motivation, commitment to work, and they not have a chance to improve and Page | 50 develop themselves t to  Mr Kuo: I have worked here for - No chance for development ng years until now I saw many hi ep employees come and leave the company event in their probation w n period They leave not because of lo ad the salary, but they leave because y th they not have much chance for ju development due to the working yi pl environment and the opportunity ua al to update their skills  Mr Than: I feel tired because I - n Don't happy with va top management n have to more Turnover rate is fu high because employees not - ll Poor at nh supporting from top management environment oi m feel happy with work and no working z as well as from colleagues z Employees leave vb  Mr Patrick: I have seen this - because of poor anything Many employees told management, no me that they not see the future teamwork, and no career learning but om a Lu them don't happy to work When n va they join until they leave, the grow Just th to sharing, y learning te re and n company has no program for connection, l.c program in the company It makes employee gm motivation k the cannot jm and I ht happened, working and come back home  Mr Wei: I think company will fail - Poor Page | 51 t to ng hi ep in competition Lots of employees management, no leave the company within a year training program We can recruit, but this will take and teamwork a lot of time and cost to train - Cannot them The main reasons for enough because w employees to leave the company recruit n management, lo working environment, have no opportunity environment ad are management style, working y th ju to develop and difficult to work yi pl with other colleagues al - ua Q8: What you like and dislike environment n about GVA? va  Mr Tuan: Uhm, I don't know how n - No support from - fu ll the working feel me self-deprecating th and makes y ashamed This te re others n of va not respect and blame me in front n him, and even sometimes, he does a Lu stress at work when working with om uncomfortable and meet some l.c me gm make k that jm styles ht my boss because of management environment vb leader here, I am not happy with z well as support Second is the - Unhappy working z unwilling to share information as at are working individually and colleagues nh environment because employees - Unsupported from oi is HR Policies m First Management - others to say I don't like lots of things here Working Many employees here quit their job and leave the company Page | 52 because of him But why will I t to stay here? It may be good salary ng That's it hi ep  Mr Ping: I saw that the people - Cooperation - Leadership here unfriendly and they not w together n support even their lo ad colleagues Many people come the working environment ju of y th for a few months and go because yi pl Sometimes I did not understand al ua clearly in my boss's decisions and for says yes, ll he job, fu sometimes the make n suggestions I va When n requirements This makes me z z vb what the right is and the wrong at confused, and then I not know nh again oi yes m sometimes he says no than saying jm ht direction, whether my work k suitable or not, and it makes me then leaving the job - Nothing to say a Lu just come here because of a high n salary That's it te re My n style - Leadership va  Mr Senh: I most dislike the leadership om  Mr Patrick: I have no comment I l.c gm easy to frustrate with them and boss y th sometimes asks me unrelated things to work, but I have to answer his question and Page | 53 requirement If not, he will raise t to his voice with me I feel stress ng and tired when working with him hi ep He does not motivate his employees when work finish well w always n but gives lots of lo ad complaints Moreover, I see that y th he is not fair in some cases For ju example, if he like someone, yi pl everything they is right and ua al vice versa, always wrong  Mr Than: I have nothing to say n - Nothing to say va n about what I like - Nothing to say ll fu  Mr Kuo: I not care and have oi at nh receive many benefits like other m nothing to tell about this I not z company policies works va Everyone working n environment and career a Lu development for om the l.c with the organization because of gm environment k - Working jm not like to stay for a long time development ht staff I think employees here who vb policies It is not good for the - Career z  Mr Wei: I feel unhappy with the n here have less motivation to work te re and will leave if they have y  Mr Thuong: I am looking for a new job If I am happy and more th another chance, - Looking for a new opportunity Page | 54 - Need to improve satisfied with the company, I will t to continue to work here But I skills ng not know how my career path hi ep here is and what I will be in the next five years There are no w and n training development in lo ad GVA I need to learn and update y th new things every day to improve ju my knowledge and skills to yi pl work better, but I not have that ua al opportunity in GVA Management style n Q9: How you think about your va n direct manager? - Management style ll fu  Mr Tuan: As I told above, I am when vb work z at - Management style z stress at some talents nh me feel uncomfortable and meet - Policies to keep oi of management styles that make m not happy with my boss because jm ht working with him, and even k sometimes, he does not respect gm and blame me in front of others om l.c This makes me ashamed and selfdeprecating In my opinion, he a Lu should change his management styles th worked with some managers with management y working here for years I had te re  Mr Senh: As I said, I have been n the company - Difference va employees quit their job and leave n style There is a reason why many - Bad management style Page | 55 different kinds of styles My boss t to sometimes asks me unrelated ng things to work, but I have to hi ep answer his question and requirement If not, he will raise w n his voice with me I feel stress lo y th not always yi He ad and tired when working with him does motivate his ju employees when work finish well gives lots pl but of ua al complaints Moreover, I see that n he is not fair in some cases For va n example, if he like someone, fu ll everything they is right and at z makes me n This va again n yes a Lu sometimes he says no than saying om job, sometimes he says yes, l.c When I make suggestions for the gm boss's decisions and requirements k not understand clearly in my jm uncomfortable Sometimes I did with the manager ht so vb looks - Uncomfortable z  Mr Ping: Sometimes he is happy, he nh my manager now sometimes oi honest I feel uncomfortable with m vice versa, always wrong Be te re confused, and then I not know y th what the right is and the wrong direction, whether my work suitable or not, and it makes me Page | 56 easy to frustrate with them and t to then leaving the job He makes ng employees feel uncomfortable hi ep when working with him  Mr Than: I will not contact him if - High w rate n I not need his support, and I lo - Unhappy with the ad feel unhappy when works with Manager y th him Lots of my colleagues left - No motivation ju the company because of him, and yi - Unhappy pl I also have the same thought like al with management ua them turnover  Mr Kuan: I feel uncomfortable n style va n with the ways he manages He fu ll does not know the way to results and at z deadlines This will make me feel nh working oi about m motivate employees He just cares z vb stress From the first day until jm ht now, I never heard about team k building or any programs like that gm to connect people Just go to work om l.c and must finish daily tasks on time That is the reason why a Lu employees have no chance to n communicate My work now environment unfriendly and no Leadership but th tired because of the working - Interested - y interesting, but sometimes I feel High workload te re Senh: - n  Mr va Q10: How is your works now? tired - Turnover rate is Page | 57 career path If the company have t to more training ng employees, sessions for will be they high hi ep developed and engage with the company w  Mr Tuan: I think it is ok High n - High workload lo ad workload, but I not care much  Mr Than: I am not happy with my y th - Not happy with ju the manager job because of the working yi pl environment and management al ua He always asking me about the n result and not care about va n anything, but how can I have a fu ll better result when I have not oi - Tired at nh  Mr Patrick: How to say about m motivated enough to work - High workload because of employee resignation - Poor z that? This makes me feel tired z vb working environment and tasks as well as to finish on policy n environment I try my best to va working n and a Lu policies om of l.c and after that, they resign because gm into the company in a short time, k high workload Employees come jm time It makes me always in a ht I don't have enough employees to te re keep them stay, but I can y th nothing by myself only Page | 58 References t to (1) Marlon Problems vs Symptoms Jul 13, 2017 [Available at ng https://medium.com/@m_rlons/problems-vs-symptoms-c3e3594c4f83 hi ep (2) Becker B, Gerhart B The impact of human resource management on organizational performance: progress and prospects The Academy of w n Management 1996;39(4):779-801 lo ad (3) Abassi, Hollman Public personal management 2012; 29(3):333-342 y th (4) Thanh V Employee turnover accelerates at alarming rate: vir; 2019 [Available at ju yi https://www.vir.com.vn/employee-turnover-accelerates-at-alarming-rate- pl ua al 71018.html (5) Taylor M, Finley D Acculturation, assimilation, and retention of international n in resorts International Journal of Contemporary Hospitality n va workers ll fu Management 2010;22(5): 681-692 Improve It: Open Sourced Workplace; nh to oi m (6) Vindya How does Employee Engagement Impact Performance and Practical Tips 2019 [Available at at https://www.opensourcedworkplace.com/news/how-does-employee-engagement- z z impact-performance-and-practical-tips-to-improve-it vb jm ht (7) Ellis M Why is employee engagement so important to your business? 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