Các nhân tố Ảnh hưởng và một số giải pháp nhằm nâng cao chất lượng nguồn nhân lực của công ty cổ phần hisoft việt nam ( bản tiếng Anh).

CÁC NHÂN TỐ ẢNH HƯỞNG VÀ MỘT SỐ GIẢI PHÁP NHẰM NÂNG CAO CHẤT LƯỢNG NGUỒN NHÂN LỰC CỦA CÔNG TY CỔ PHẦN HISOFT VIỆT NAM ( bản tiếng anh)

GENERAL INTRODUCTION

Research rationale

Human resources are considered a prerequisite for the sustainable growth and success of an organization, industry, and nation High-quality human resources contribute competence, capabilities, and ethical values to the business's core values from every aspect, from company culture to the quality of products and services for customers Well aware of human value, many authors have researched human resources throughout the ages to explore the arising challenges and opportunities in the context of changing socio-economic conditions

The scarcity of IT personnel is always at a high level and has become an enduring problem for the Vietnamese IT market though the salary and benefits of this industry still tend to increase and are somewhat higher than the general level Although nearly 57,000 students enroll in IT majors, the market still suffers from lacking 150,000 to 200,000 programmers annually (TopDev report 2023) Locating high-quality personnel is even the most challenging problem For small and medium- sized businesses, minimizing labor costs is a "survival" goal SME managers tend to favor candidates who are versatile and can handle tasks at an acceptable level rather than excel in a specific field These managers also enhance internal quality through regular training, an effective working environment, or reasonable salary and bonus regimes To stay competitive in the market, improving the quality of human resources is crucial, just like companies investing in personnel and the quality of products to gain customers Therefore, investigate factors that influence this subject

Hisoft Viet Nam JSC is dedicating significant efforts towards raising the caliber of its workforce as the underlying fundament for company affirmation in this competitive industry Working spirit and service quality at work, however, still require development Hisoft directors have grasped the main point of the business and operating situation as well as acknowledged its weaknesses and threats Additionally, they delve into determinants influencing labor quality to take necessary

2 measures while drawing strengths to seize any business opportunities Thus, the key priority is to build on human resource quality

Based on the current scenario, the author has chosen “Factors affecting and solutions to improve the quality of human resources of Hisoft Viet Nam Joint Stock Company” as the topic for the master thesis The research aims to thoroughly determine and evaluate the current factors influencing human resources quality and offer viable solutions for enhancing the overall management of human resources at Hisoft Vietnam in the future.

Research overview on Human resource quality

A multitude of research studies from both within Vietnam and abroad have put forward numerous methodologies for Human Resource and measuring Human Resource Quality a From international studies

Human Resources Quality has received substantial attention from HRM scholars, as evidenced by the contributions of Costigan (1995), Dawson and Webb (1989), Hill (1991), Hill and Wilkinson (1995), Rosenthal et al (1997), and Viney and Tyson (1997) Notably, the influence of quality management pioneers like Crosby, Deming, Ishikawa, and Juran has significantly shaped the field These experts emphasized the inherent motivation of workers to improve their performance and the importance of creating a work environment that facilitates continuous improvement.

"quality of the work" they produce They believed this could be achieved by providing them with the required training, resources, and a supportive workplace fostering innovation

(1) “The analysis of human resource quality in improving employees performance: An analysis of external and internal environment” by Saharuddin (2019) considers the importance of human resource elements in the growth and development of an organization Education, health level, and level of income related directly to human resource quality to improve performance The author indicated competence as one of the major human resource quality issues

(2) “Impact of Human Resource Quality and Bureaucracy Behaviour on Organizational Performance Effectiveness” by Samiruddin (2016) The study underlines the importance of employee quality for government management in autonomy Moreover, the author defined the quality of employees as the level of educational background, skills, experience, knowledge, and competencies required to carry out jobs As a result, in order to measure human resources quality, the aforementioned elements must be assessed

(3) “Factors influencing the formation of human resources” by Hunko N (2013) According to the author, the major factor at the level of the microsystem that affects the formation of labor force is the personnel policy of the company The main components of which are: the mechanism of attracting skilled personnel, availability of training, the development of an effective system of remuneration, creating an organizational culture and maintaining a positive climate in the organization

(4) Mba Okechukwu Agwu & Tonye Ogiriki (2014) with "Human Resource Development and Organizational Performance in the Nigeria Liquefied Natural Gas Company Limited, Bonny" has discussed human resource development (HRD) and organizational effectiveness in Nigerian liquefied natural gas companies Human resource development refers to the collective utilization of career development, organizational development, and training and development to improve the effectiveness of individuals, groups, and organizations The study suggests that via enhancing workers' capabilities, attitudes, and manners, HRD practices either directly or indirectly improve business performance The findings indicate a significant positive relationship between HRD practices (training and development), employee commitment/motivation, and organizational productivity in the working environment of the Nigerian liquefied natural gas company

(5) “Development of an instrument to assess human resource quality (HRQ) and measuring the impact of TQM efforts on HRQ using the instrument” by Diviakaran Nair (2005) According to the study, the success of any organization is predominantly determined by the quality of its products and services To accomplish this, the author advises that quality be considered a composite of three main

The Human Resource Quality Index (HRQI) is a multifaceted indicator comprising the Cultural Change Index (CCI), the Quality of Work Life Index (QWLI), and the Employee Satisfaction Index (ESI) Each index is composed of specific sub-indexes: CCI measures workmanship value, motivation, management attitude, workforce cohesion, and skill attainment; QWLI evaluates orientation, training, communication, motivational programs, and employee responsibility Through product, process, and human resource quality, indirect benefits can improve human resource quality, significantly impacting the HRQI These benefits enhance determinants such as cultural change, work-life quality, and employee satisfaction.

There exists a plethora of literature, research papers, dissertations, and scholarly articles by Vietnamese researchers that focus on enhancing operational efficiency and optimizing human resource quality and management Some notable studies include:

(1) According to Tien Nguyen's (2020) study on “High quality human resource development approach of Vietnamese government,” human resources of the caliber can be defined as a crucial component of the workforce They embody a vital element of social labor, characterized by educational and professional training, advanced technological proficiency, exemplary labor skills, and creative aptitude Furthermore, these individuals exhibit the ability to adapt quickly and meet practical requirements while utilizing their acquired knowledge and expertise to generate productivity, quality, and efficiency

(2) In “Phân tích các nhân tố ảnh hưởng đến sự gắn bó lâu dài của nhân viên trẻ với doanh nghiệp” research by Do Phu Tran Tinh et al (2012), the research reveals employees' long-term commitment to an enterprise is under the influence of 5 determinants namely Relationship with leadership; Reward and welfare policy; Promotion opportunities; Working conditions and fitness level for career goals

According to the findings, promotion opportunities exert a dominating influence on the employee's decision to stay with the company The research provides actionable strategies for effectively managing human resources within different divisions

(3) “Solutions for the development of high quality human resources in Binh Duong Industrial Province of Vietnam” by Nguyen Minh Ngoc and Nguyen Hoang Tien (2022) The theoretical basis of the article has deeply analyzed the concept of human resources and high-quality human resources As for high-quality human resources, the author has proposed criteria to determine how human resources are considered high-quality: personality, physicality (physical strength), and capacity (including knowledge and skills) The authors also mentioned the concept of human resource development Differing from training and coaching, the authors emphasized that human resource development is a necessary process to transform human resources into high-quality human resources

(4) In the research paper "Macro Factors Affecting Human Resource Quality in Dong Nai industrial parks" by Thanh-Lam Nguyen et al (2019) the authors examined the factors that influence the quality of human resources in Dong Nai industrial parks The research focused solely on macro factors, including the central government, local government, and socio-economic environment The findings revealed that the socio-economic environment significantly impacted human resource quality, followed by the central government Additionally, the education and training system under the central government played a crucial role in improving human resource quality by equipping the workforce with practical skills and knowledge

(5) Manh Quynh et al’s (2017) paper “Determinants of Human Resource Quality in Dong Nai Province, Vietnam” has shed light on issues of workforce quality in Dong Nai province, thereby suggesting policymakers can address to upgrading current policies to enhance the quality of human resources According to statistical research, the province's human resource quality was significantly impacted by four main factors: work efficiency, job competence, leadership support, working environment, and human resource training and development Notably, the study

6 found that participant demographics such as gender, job experience, or industrial sectors did not significantly impact the evaluation of human resource quality

(6) In the article titled "The Synthesis Problem: Ensuring Quality Human Resources," Dr Phung Ran (2008) expressed concern about the importance of human resources and addressed the crucial issue of human resource quality, emphasizing that a country's prosperity or an organization's success hinges on the skills and qualifications of its workforce Despite implementing national development strategies to improve human resources, a satisfactory solution to this problem has yet to be found Dr Ran's concerns are not limited to a specific period but must be considered in the overall and long-term development strategy of a country, industry, and each agency, organization, or enterprise The author emphasized the significant role of competitive advantage in human resources in a country's ability to develop and keep pace with modern developed countries Sound decisions and strategies must prioritize this critical factor for success

Research objectives of the topic

Through theoretical basis on human resources, the thesis delves into the factors that influence the quality of human resources at Hisoft This involves a thorough analysis and evaluation of these factors, thereby enabling the development of effective strategies to enhance the quality of human resources The focus is on improving labor managing methods and the work environment within the company

The research offers some recommendations for Hisoft to focus more on efficient human resources management and implement measures to improve employee engagement and loyalty towards the enterprise

Enhance the company's human resource quality based on formalizing the fundamental theoretical concepts related to human resource quality

Conduct a thorough evaluation of Hisoft's current human resource condition, emphasizing the accomplishments, constraints, inadequacies, and underlying reasons

Identify the potential solutions and provide a direction to enhance the quality of Hisoft's human resources.

Research methodology

The following methods were utilized in the thesis to conduct this subject

1.4.1 Data collection methods a Qualitative research

The qualitative research involved a private session with industry specialists and senior executives about evaluating the firm's state and furnished recommendations for the future The discourse revolved around the importance of human resources as a crucial determinant and pinpointed crucial aspects that impact

8 their competency This complements the quantitative research that was previously conducted b Quantitative research

The thesis employs primary data collection through survey research methods This approach is considered the most effective tool for gathering data as it allows us to obtain both the company's perspective and the individual views toward the factors that impact human resources quality The author requested 5 experts and managers from the company to assess the measuring scale, modify it if necessary, and create quantitative questionnaires using the "Likert scale" measurement system, which ranges from 1 to 5 The author distributed 230 questionnaires to 5 IT companies that share similar characteristics, such as size, revenue, workforce scale, and average salary for each level

- Hisoft Viet Nam Joint Stock Company

- FTech Vietnam Technology And Services Joint Stock Company

- OWS Viet Nam Joint Stock Company

- Brontobyte Service And Education Technology Joint Stock Company

- Ora Tech Joint Stock Company

The author employed the descriptive statistics technique to analyze the data collected through tables and charts This allowed for a clearer understanding of crucial data, which forms the basis for assessing the current human resource quality situation at Hisoft

The survey data will be fed into SPSS 29 for regression analysis, which will reveal the factors and levels that impact the quality of human resources Additionally, statistical testing methods were used to compare and determine the degree of variance between groups.

Research scope

The topic is limited to study factors affecting human resources quality at Hisoft

Space scope: at the Hisoft Viet Nam Joint Stock Company

Primary data: research, survey from February 2023 to March 2023.

Research structure

There are five chapters in the thesis:

This chapter offers broad overviews of this topic

This chapter methodizes concepts and studies about Human resources quality, determinants affecting it and the measurement of these factors

- Chapter 3: Research design and methodology

This chapter provides an in-depth overview of the sample used, the analytical framework implemented for exploring relationships between influencing factors and the quality of human resources, and the methods for data collection and analysis

- Chapter 4: Research finding and discussion

This chapter presents the outcomes of the data analysis conducted on the survey figures, and reveals the connection between factors and the quality of the organization's human resources

- Chapter 5: Solutions to improve the quality of human resources at Hisoft

This chapter gives recommendations to better the quality of human resources, enhance employee output standards, and strengthen the company management system

THEORETICAL BASIS ON QUALITY OF HUMAN RESOURCES

Some basic concepts

2.1.1 Theoretical basic of human resources

The term "Human Resources" has been widely adopted in many Western and Asian nations since the 1960s It has become a well-established concept worldwide due to its perceived importance in workforce development In Vietnam, this concept has been widely used since the early 1990s and remains prevalent today

The phrase "Human Resources" has many interpretations nowadays based on the methods and perspectives of individual writers Several concepts can be expressed as follows:

As per the United Nations development program, “Human resource is the skill level, knowledge and capacity of the entire human life, which is either actual or potential for socio-economic development in a given period of time and community" Human resources are the sum of human labor potentials of a country that have been prepared to a certain extent, capable of being mobilized into the country's socio- economic development process This potential includes a combination of a country's physical, mental, and human capacities that are necessary to meet the labor structure of the economy In essence, it is the human potential in terms of quantity, quality, and structure It includes the potential of human fitness expressed through the health status of the community, the level of nutritional response of the society, and the current level of intellectual and technical expertise Moreover, it also includes the ability to acquire knowledge and develop knowledge of human resources Personality capacity is related to the historical and cultural traditions of each country It is crystallized in each person and community, creating the bravery and characteristic character of the working people in the country

According to the International Labor Organization, a country's human resources refers to all individuals who are of working age The term "Human Resources" is generally understood as sources of labor power available for social production and development

Dr Ta Thi Huong's book, "Quản lý nguồn Nhân lực xã hội" (2008), provides a comprehensive analysis of social and organizational Human Resources According to the book, social Human Resources are the working-age population of a society, while organizational Human Resources are the individuals employed in an organization, including both executives and staff It is important to note that Human Resources of an organization are distinct from other types of resources, such as political power, financial power, and material power The book also highlights the concept of reserves, which refers to individuals who are waiting to work in an organization Overall, the book offers valuable insights into the critical role that Human Resources play in organizations and society as a whole

Assoc Prof Dr Nguyen Tiep Giáo trình nguồn Nhân lực, Đại học Lao động

- Xã hội (2005) defines human resources as "Human resources include people from the lower limit of working age and above and have the ability to work." This notion describes human resources as a source of workforce for society From another perspective, "Human resources are understood in a narrower sense, including the population of working age who are able to work" refers to the ability to do society's primary labor

Nicolas Henry (2017) posits in his book Public Administration and Public Affairs that human resources are integral to the success of organizations of varying sizes, types, and functions Capable and possessing the potential to contribute to the overall development of the organization, human resources are resources that encompass both communicative and spiritual elements, ultimately fortifying the organization's capacity and strength for growth within their respective countries, regions, and the world

As per the analysis by Tran Xuan Cau and Mai Quoc Chanh in their book

"Kinh tế Nguồn nhân lực" (2008), Human Resources refer to the workforce that can generate both tangible and intangible assets for the society, quantifiable in terms of quality and quantity at a given point in time Within the enterprise context, human resources are the personnel who constitute the human capital of the organization,

12 encompassing both the existing employees and the potential recruits that the enterprise seeks to acquire through human resource planning

Approaching from the perspective of economic development, human resources refer to the population within a certain age range who are capable of participating in labor These resources can be measured in two ways: firstly, in terms of quantity, which is the total number of working-age individuals who are employed according to state regulations, and the amount of working time that can be mobilized from them; and secondly, in terms of quality, which encompasses the health, professional qualifications, knowledge, and skills of workers Meanwhile, labor sources refer to the total number of people of a specified working age who are either currently employed or actively seeking work It's worth noting that there are certain individuals who can be counted as human resources but not as labor sources, such as those who are unemployed but not actively seeking work, those who are looking for work, and individuals within the prescribed working age who are attending school

Approaching from the perspective of political economy, one can comprehend that human resources refers to the collective physical and mental capabilities possessed by the entire labor force of a given nation This includes the accumulation of tradition and knowledge, as well as the creative output of its people throughout history, all of which have been instrumental in generating both material and immaterial wealth to fulfill the present and future requirements of the country

From the above stated concepts, human resources can be understood assessed in two aspects: quantity and quality

- The quantity of human resources: The calculation of Human Resources for an organization or enterprise is based on the total number of employed, unemployed individuals, and backup laborers However, it's important to note that the concept of Human Resources only refers to those individuals who are at working ages and are currently employed by the organization or agency The growth of Human Resources is determined by two main factors - internal factors, which include the actual demand for the job that requires an increase in the number of employees, and external factors

13 of the organization, such as the increase in population or the workforce due to migration

- The quality of human resources: The quality of human resources is reflected on three elements: mentality, physical strength and mind strength of human resources

2.1.2 Quality of human resources a Quality definition

According to Nair (2005, p.88), the success or failure of organizations and companies is dependent upon the quality and effectiveness of their employees With the advent of the technological revolution, every organization has been affected and the changing trends make it imperative for employees to adapt to the new scenario This impact necessitates (1) continuous skill development and updates for everyone in the organization, including organizational development professionals, (2) the development of technical problem-solving and decision-making abilities throughout the organization, and (3) the speed, directness, and immediacy of information exchange at all levels within the organization (William M Lindsay and Joseph A Petrik TQ and OD 1997)

An excellent mindset and way of life is one that values quality, where

“excellence is a journey, not a destination” (Murthy, D.B.N 2001) Quality can be seen as a reflection of the value that a customer expects in the product or service being offered It's a well-known fact that the success or failure of an organization or company rests on the quality and effectiveness of their employees Successful companies today understand that to compete in the global market, they must have top-notch human resources who actively participate in strategic and operational decisions (Dr Shrif A Mazen and Conceptual design for a strategic human resources quality management system)

Quality is perceived differently in every sector and for each purpose, but there is an internationally recognized definition of quality provided by the International Organization for Standardization According to Article 3.1.1 of the ISO 9000:2005 standard, quality is defined as the "degree to which a set of inherent characteristics fulfills requirements."

In C.Mác VÀ PH Ăng-ghen toàn tập - tập 24 (1993), Karl Marx did not explicitly use the term "high-quality human resources," but he did discuss the importance of qualified individuals who can effectively apply scientific and technological advancements in production These individuals possess a comprehensive skill set and the ability to adapt to the production system in practice quickly

Nguyen Tiep's "Human Resources" (2005) defines the quality of human resources as a multi-dimensional concept that encompasses various aspects of human resource individuals - their health, educational level, technical qualifications, practical knowledge and professional skills, social dynamics such as creativity, adaptability, flexibility, and responsiveness to work and society, willingness to participate in labor, moral qualities, manners, and attitudes towards tasks and working environment, as well as operational efficiency of the human resources and employees' salary, standard of living, and fulfillment with personal requirements (both material and spiritual) It is a dynamic state that reflects the intrinsic attributes and nature of human resources and is always in motion Moreover, it also reflects the degree of economic development of society, as well as the intellectual level and standard of living of the population

Improvement of human resource quality

2.2.1 Improving the Human resources quality

It is important to have a comprehensive understanding of human resources and to ensure that everyone in the organization shares the same view on how to improve their quality Improving the quality of human resources involves various activities such as training, fostering, and development, which are conducted across the entire organization over a certain period of time with the aim of enhancing workers' performance In this sense, there are three different types of operations involved

Employee training enhances job performance by providing a structured framework that develops employees' knowledge, skills, attitudes, and behaviors This comprehensive approach empowers employees to become more productive, efficient, and aligned with the organization's goals Training fosters a culture of continuous improvement, allowing employees to adapt to changing job demands and contribute effectively to the organization's success.

Second, the process of education aims to prepare employees for the future by facilitating learning Through a range of activities, education focuses on developing and training knowledge, skills, beliefs, ethics, behavior, and other qualities of employees The end goal is to enable employees to contribute to the organization more effectively

Third, the aim of development is to open up new job opportunities for individuals through organizational re-orientations This involves pairing missing or outdated knowledge, providing additional training, or consolidating professional skills based on specific topics These activities are intended to provide employees with a strong foundation to reinforce and expand their skills, systematically increasing their experiences to perform their work with greater effectiveness Operations and development within an enterprise involve promoting and upgrading technical workers, as well as cultivating the mental capacities of managers and individuals to meet the human resource requirements of socio-economic development at each stage of a country or enterprise's development This contributes to the quality of human resources, which are the direct labor for socio-economic advancement,

17 reflecting the socio-economic development level of a country, the quality of life of its population, and the level of culture and intelligence within society

Enhancing the quality of human resources is a crucial aspect of human resource development This involves boosting the worth of individuals in terms of their moral character, physical abilities, and intellectual capacities Human resource development policies aim to assist people in attaining enhanced capabilities and qualities to effectively achieve their personal and business objectives

For businesses to thrive, they must prioritize the development of their workforce This means enhancing the quality of the employees within each enterprise through training, support, and opportunities for growth Taking care of both physical and mental well-being is crucial for unlocking human potential Effective recruitment, use of resources, and a positive work culture are essential for maximizing the potential of each employee Additionally, implementing policies and incentives that encourage motivation, ethics, and professionalism can help employees reach their full potential and achieve high levels of efficiency

The following is a brief summary of the ways to enhance the quality of human resources in an organization: Enhancing the quality of human resources within a company refers to the improvement of the physical, mental, and spiritual well-being of employees to meet both workforce necessities and the demands of enterprise growth

2.2.2 The need to improve the quality of human resources in IT company a From the IT industry perspective

* Facilitate sustainable development of the nation's social and economic

Human resources are undoubtedly the backbone of the socioeconomic process However, resources like material and financial resources are closely tied to socioeconomic growth; only human resources of high caliber are a telling gauge of social and economic advancement Both social and economic progress are reflected in the standard of human resources A highly skilled and motivated workforce is not only the driving force behind the success of a business but also implies a country's level of civilization

Vietnam has the potential to lure foreign companies and investors as the world economy becomes more integrated This presents an opportunity for local organizations to adopt the latest and most advanced technologies To successfully operate these new technologies and leverage advancements in operating systems and manufacturing, it is crucial for both experts and workers to enhance the quality of their human resources This, in turn, leads to increased labor productivity, business expansion, employment growth, and overall socio-economic development The phenomenon aids in advancing labor efficiency, expanding the corporation, stimulating employment opportunities, and promoting socio-economic progress

* Develop a workforce scale and structure aligning with the human resource requirements for the growth of IT enterprises and areas in the country

The IT sector continues to struggle with a severe lack of engineers, as indicated by TopDev's "Vietnam IT Market Report - Tech Hiring 2022." According to the latest projections, Vietnam is expected to experience a significant talent shortage of 150,000 to 195,000 skilled programmers and engineers every year from 2022 to 2024 This is despite the fact that salaries and bonuses for these professionals have seen a notable increase in recent times The deficit arises due to the discrepancy between the programmer's technical expertise and the business's specific demands Of the 57,000 students studying computer technology today, just 35 percent have the skills businesses need

The progression in the quality of the workforce underscores the significance of academic institutions and vocational centers in providing comprehensive training to IT graduates, aligning their competencies and knowledge with the input standards of the enterprise This requires enhancing one's proficiency in foreign languages, particularly English, refining one's soft skills, augmenting one's technical knowledge, and fostering a positive mindset towards technology Proficient students seize more job opportunities, which reduces unemployment rates As a result, the IT sector in Vietnam will experience significant growth with a competent workforce b From the IT companies perspective

* Adjust swiftly to the evolving circumstances

In the constantly evolving information technology industry, quickly adapting to unforeseen scenarios is required for any successful business The availability of top-notch human resources enables businesses to respond to changes in the industry with agility and stay ahead of emerging trends

* Reinforce the business's advantages over competitors

In IT businesses, organizational obstacles can be addressed by elevating the caliber of human resources This, in turn, facilitates the younger generation's swift adaptation to societal shifts A workforce with high-quality human resources promotes organizational stability, dynamism, collaboration, and employee satisfaction Ultimately, investing in human resources can provide IT companies with a significant competitive advantage, enabling them to stay ahead of the curve in a rapidly changing industry

* Facilitate the adoption of emerging technologies

The sector of information technology is in a constant state of change, with new technologies emerging rapidly To avoid a competitive disadvantage and capitalize on opportunities to acquire modern technology, organizations must focus on improving the quality of their staff Employees must regularly hone their skills and competence to effectively utilize the latest programs and equipment Without mastering these technical advancements, even organizations with ample financial resources and state-of-the-art machinery or equipment may struggle to thrive

Improving the quality of human resources can lead to an increase in labor productivity, resulting in enhanced output quality, reduced retraining expenses, and greater income retention for reinvestment With access to new technologies, skilled employees can quickly comprehend their operational principles, thereby reducing the need for companies to spend excessively on training or hiring experts to fix any significant errors that may arise from these machines or programs

Research models on the influence of factors affecting the quality of human

2.3.1 Research model of the authors of Dong Nai Technology University and Lac Hong University

Figure 2.1 Framework of Doan Manh Quynh

Factors that affect the quality of human resources in Dong Nai parks are discussed in the article titled "Determinants of Human Resource Quality in Dong Nai Province, Vietnam." The authors evaluated the quality of human resources in Dong Nai parks using four main factors, including Support from leaders, Human resource training and development, Working environment, and Work efficiency and capability

Employee support from leaders fosters employee confidence, skill development, and contributions to the company Well-trained teams enhance knowledge, skills, and working methods, driving improved performance A positive work environment prioritizing safety, communication, and teamwork enhances performance and instills feelings of security, fairness, and pride These factors contribute to improved employee mental and physical health, self-expression, and ultimately, increased job satisfaction and performance.

2.3.2 Research model of the author Tran Manh Truong Foreign Trade University

The evaluation of the quality of Human Resources is based on three primary categories: physical capacity, intelligence, and mental aptitude As a result, studies suggest that the factors influencing the development of human resources in SKYPEC are the work environment, training, recruitment, communication with leaders, relationships with coworkers, compensation and policies, and employee contentment

Figure 2.2 Framework of Tran Manh Truong

According to the research results, labor training has the most significant impact on the quality of human resources This indicates that the courses offered by SKYPEC have been effective in enhancing the skills and knowledge of the employees Additionally, the employees feel motivated to work better when they receive additional bonuses and benefits for their hard work Hiring employees who are deserving of their salaries will also help reduce internal conflicts related to benefits based on performance This will make new employees feel more confident while working with the company

2.3.3 Research model by Nair, School of Management Studies, Cochin University of Science and Technology

The author indicates several factors that impact the human quality in an organization They are: Workmanship Value (WV), Management Attitude (MA), Employee Motivation (EM), Ability and Skill Attainment (ASA), Cohesive Workforce (CWF), Motivational Programme (MP), Orientation and Training (OT), Communication Effectiveness (CE), Employee Responsibility (ER), Employee Involvement (El), Attitude towards Changes, Grievance Rate (GR), Accident Rate (AR) and Defect Rate (DR) These above factors have been identified by a detailed review of the linkage between Total Quality Management and Human Resources Quality These factors can be grouped under three headings: Organization culture, Quality of Work Life and Employee satisfaction

RESEARCH DESIGN AND METHODOLOGY

Overview of Hisoft

Vietnamese name: Công ty cổ phần Hisoft Việt Nam

International transaction name: Hisoft Viet Nam Joint-stock Company

Address: No 10, Block A, Manor Street 1, Dai Kim Ward, Hoang Mai District,

Founded in 2019, Hisoft VietNam Joint Stock Company is a comprehensive provider of information technology solutions and services to customers worldwide Our team upholds the values of ethics, professionalism, and creativity, creating a meaningful and supportive workplace for employees while delivering innovative solutions and exceptional services to our customers We strive to increase value for our customers, shareholders, and the community

Our vision is to bring together like-minded individuals who contribute their knowledge and expertise to lead the field of knowledge business, playing a key role in advancing Vietnam's knowledge economy on a global scale

Our mission is to provide total IT and communication solutions and services with an unwavering commitment to ethical, professional, and creative operations, enhancing value for our employees, shareholders, and community

* Principle of operation of Hisoft:

- Focus on using the potential of IT expertise to help Vietnamese businesses and organizations improve their global competitiveness

- Working together to create success in each project

- Striving to achieve excellence in every task, with the aim of providing IT services of top-notch quality that can effectively compete at a global level

* Hisoft Core Values: “Passion - Agility - Integrity - Excellence - Creativity"

- Passion: Hisoft's main focus is to develop software that brings added value to individuals' lives

- Agility: Adapting to change and responding promptly to market needs and challenges is a quality that Hisoft possesses

- Integrity: Hisoft conducts itself with transparency, honesty, and impartiality

- Excellence: Hisosoft is committed to delivering top-quality products and services, with a focus on excellence in everything they do

- Creativity: Initiative and creativity are highly encouraged and put into practice at Hisoft

Hisoft offers a broad range of products and services:

- Design and develop website,support domain management and hosting services and web-based apps

- Mobile software, web services, design games for operating systems such as IOS , and Android, including widget mobile applications

- Desktop software, which includes desktop applications like Java, WinForm, as well as Window Service, all of which operate on testing equipment and are carried out in accordance with the utility

- Consulting services, mapping solutions (GIS), security services, information management services, and streaming on mobile applications

- Consulting services and the settings of ERP, accounting, e-commerce systems and financial software, and management software tailored to specific business needs

- Manpower rental services in programming platforms like DotNet, FrontEnd, BackEnd, JAVA …

3.1.3 Structure of organization, management and administration of Hisoft

- Chief Executive Officer (CEO): is the highest authority in a company and holds significant responsibility in decision-making, resource management, and overall operations The Hisoft CEO's role encompasses various aspects, including marketing and sales, legal matters, human resources, supervising the management teams, and overseeing the Chief Technology Officer (CTO)

- Chief Technology Officer (CTO): supervises implementing and distributing technology solutions to external clients, vendors, and customers to enhance and grow the business CTO involves managing crucial teams including the User Experience (UX), Backend, DevOps, and QAteams

- User Experience (UX) team: plays a pivotal role in determining the success of a product The UX team ensures a flawless user experience, including excellent usability, exciting design, and customer functionality The team comprises several proficient experts who collaborate to achieve the set goals Typically, a UX team consists of: Leader, UX researcher, UX designer, and Frontend developers

Every team member is responsible for a distinct set of tasks A UX researcher, for instance, is in charge of studying user behavior, compiling a thorough report, and sending it to the UX designer The designer commences designing layouts that cater to all the functional and technical aspects of the project The role of a researcher is crucial in creating a design that will satisfy users and contribute to the project's success While the team leader plans and directs the entire group's activities, designers collaborate with developers to set up the necessary interface

3.1.4 Hisoft’s business situation in recent years

The table below presents the business results of Hisoft Joint Stock Company from 2019 to 2022

Table 3.1 An overview of Hisoft's 2019–2022 profit and loss statement

Source: Financial Report of Hisoft Vietnam Joint Stock Company for the year 2019-2022

Figure 3.2 Revenue and profit chart

Source: Financial Report of Hisoft Vietnam Joint Stock Company for the year 2019-2022

Table 3.1 and Figure 3.2 illustrates the sales performance of Hisoft Joint Stock Company over the years The company's revenue witnessed a rapid surge in the initial three years but experienced a decline in 2022 Notably, there was a 279% increase in revenue in 2020 compared to 2019, followed by a 274% increase until 2021 However, sales gradually slowed down, leading to a 37% decrease by the end of 2022 The profit margin of the company has been unstable and continuously fluctuating over the years, which is consistent with the general economic situation during the COVID-19 pandemic This situation has affected small and medium enterprises in particular

3.1.5 The current situation of Hisoft Human Resources

The number of employees at Hisoft by March 2023 reached 48 individuals:

- Chief Executive Officer is the topmost executive who oversees the entire operation of Hisoft and is legally responsible for the company's performance

- Chief Technology Officer formulate and implement the company's technical strategy, oversees an organization's research and development activities, as

29 well as its technological requirements The CTO directly reports to the CEO regarding the current status of projects being handled by the company

- Technology team: 42 employees, The Technology Team strive to lead and innovate in information technology They design and implement highly efficient technology infrastructure solutions, develop and deploy information systems that are optimized for performance, and provide prompt and responsive support services for all information technology needs This team manages Relay’s technology infrastructure and contacts faculty and students for addressing any questions or concerns, whether it be via email, phone, or face-to-face meetings

- Sales: 2 employees, their job responsibilities include building and sustaining strong connections with important clients, serving as the main liaison for all business-related concerns, analyzing market patterns and consumer demands, and adjusting sales tactics accordingly They discover and negotiate new agreements, as well as supervise the renewal of current ones

- HR team: 2 employees, reviewing recruitment software to ensure it meets the company's specific needs, updating and refining current recruiting procedures, working closely with department managers to forecast future hiring needs, remaining up-to-date on the latest labor legislation, and building and maintaining the company's professional network

The company's size has gradually increased since 2019, but it has slightly decreased in 2022; more information can be found in Table 3.2

Table 3.2 Hisoft employee age statistics from 2019 to 2022

Source: Financial Report of Hisoft Vietnam Joint Stock Company for the year 2019-2022

The company was established in 2019 with a team of four employees By the end of that year, the organization had grown to 13 employees In 2020, the company experienced significant growth, and the number of employees nearly tripled, especially among those under 25 The number of young employees increased to 31 by 2021 However, in 2022, the company's sales decreased, and the board of directors decided to maintain the number of employees and limit further expansion, keeping the scale of the company the same as in 2021

Table 3.3 Hisoft employee year experience data from 2019 to 2022

Source: Financial Report of Hisoft Vietnam Joint Stock Company for the year 2019-2022

Based on Table 3.3, the majority of personnel in the company had less than three years of experience during the initial years of operation However, as Hisoft achieved a period of stability in 2021, the company changed its focus to hiring more experienced personnel with three or more years of experience This was done to keep the ratio at 40% and to implement a long-term business strategy In accordance with the limiting expansion and internal quality improvement plan, the percentage of employees with less than three years of experience decreased to 52% in 2022

Table 3.4 Employee’s qualification statistics of Hisoft from 2019 to 2022

Source: Financial Report of Hisoft Vietnam Joint Stock Company for the year 2019-2022

According to Table 3.4, most employees in the company possess a university degree Over the years, the number of university graduates has increased significantly, while the percentage of non-graduates in the workforce has fluctuated, resulting in a decline in their share of the total personnel from 2019 to 2022.

Research design

3.2.1 Introduction to the research process

Figure 3.3 The research process proposed by author

3.2.2 Research model proposed by the author

The research articles by Doan Manh Quynh (2017) and Tran Manh Truong (2020) both indicate that training and development are the most influential factors on the quality of human resources Additionally, in the IT industry, companies also focus on the working environment and equipment related to work progress storage According to Doan Manh Quynh's theoretical basis, working efficiency and capability refer to an employee's ability to work effectively and efficiently (Cowan

N, 1997) Nonetheless, recruitment determines the quality of candidates in terms of skills, ethics, and potential for development, which indirectly impacts working

Assess results and write report

Analyze the data and observation

Design questionnaire and collect data

32 efficiency and capability Therefore, it is essential to consider work efficiency and capability when recruiting

The factors identified by Doan Manh Quynh (2017) and Tran Manh Truong (2020) are suitable for the topic and research objectives, considering relevant research frameworks and the practicality of theoretical principles

Besides, the results of the designing determinants survey taken by Hisoft employees (see APPENDIX 1) show that the model has 5 main factors including Salary and Bonus, Working Environment, Training and Development, Recruitment, and Support from leader as the following:

Effective recruitment and selection processes are critical for any business organization's human resource management, determining the quality of a firm's workforce These functions involve identifying and selecting suitable candidates for positions In SMEs, hiring the wrong people who need to be more competent or align with the organization's culture can be a significant financial burden that most SMEs cannot bear On the other hand, new hires who are qualified and receive commensurate benefits eliminate feelings of resentment among their peers as colleagues understand new staff deserve their rewards based on merit Thereby, efficient hiring facilitates a positive and collaborative workplace, increased productivity, the labor quality, and overall success for the company The primary goal of screening and selection in SMEs is to acquire the desired number and quality of employees to meet the organization's strategic goals while minimizing costs (Ofori

The enhancement of human resources through Training & Development has been widely recognized as an effective way to improve their quality According to Davis and Davis (1998), training involves skill development, knowledge accumulation, and employee engagement to improve individual and organizational efficiency Training prepares employees with valuable skills and knowledge that enable them to meet job requirements and perform more effectively

Development is defined as gaining information, abilities, or mindsets that equip individuals for new opportunities or duties Development initiatives involve a range of learning and growth activities that are designed to broaden an employee's skill set beyond their current job responsibilities These activities create new employment opportunities that align with the organization's strategic goals

As a result, practical training and development programs benefit employees to apply newly acquired knowledge and skills to their work, and well-designed training programs can raise employee confidence by facilitating them to attain practical skills in their daily jobs (Holton et al., 2000)

Leadership support is critical for leaders to effectively harness the potential of their subordinates through varied leadership styles Leaders can establish close relationships with their employees and better assess their knowledge, skills, and characteristics by considering staff viewpoints, attitudes, and requests This helps managers to assign tasks that optimally align with each employee's proficiencies and capabilities A suitable leadership style can greatly aid in optimizing the performance of employees with respect to their assigned duties Additionally, the backing of leaders instills confidence in employees and facilitates collaborative effectiveness by enabling cooperative resolutions of issues (Zumrah AR et al., 2015)

According to Bateman T.S (2011), effective leadership is critical in boosting companies' performance and resolving all kinds of issues Influential leaders who can inspire their teams have a greater chance of achieving optimal outcomes By adopting leadership practices and policies that foster growth and development, managers and companies can empower their employees to perform at their best and fulfill their responsibilities with excellence

Opperman (2002) defines working environment as a composite of three major sub environments: the technical environment, the human environment and the organizational environment Technical environment refers to tools, equipment, technological infrastructure and other physical or technical elements The human

34 environment refers to peers, others with whom employees relates, team and work groups, interactional issues, leadership and management Organizational environments include systems, procedures, practices, values and philosophies

Workers devote a considerable amount of time in their workplace, and their performance is influenced by their work environment in various ways (Wang X et al., 2022) Workers who find their work environment satisfactory tend to exhibit more favorable work outcomes It has been previously discovered that an employee's performance is influenced by the factors that shape the work environment (Awada M et al., 2022)

Recent research by Li X et al (2022) emphasizes the significance of comparative studies between private and public organizations to understand the influence of workplace environments on employee performance These studies suggest that fostering a positive workplace environment is vital for enhancing efficiency and productivity, leading to improved organizational outcomes.

A recent study suggests a positive correlation between affective commitment and employee performance (Aziz H et al., 2021) In simpler terms, employees who feel treated fairly by their employers through practices such as involving them in decision-making are more likely to develop a strong emotional bond with the organization and perform better This emotional attachment results in them putting in additional effort and employing their skills, capabilities, and expertise to accomplish their goals in a welcoming and encouraging workplace

There are various factors that can motivate employees to achieve their best performance and productivity within a company These factors can be categorized as endogenous or exogenous (Song B et al., 2022) Endogenous motivations are inherent to the task and can help employees tackle challenging assignments, while exogenous motivations come in the form of rewards such as recognition and salary increases

Research conducted by labor economists suggests that specific human resource management techniques, such as collaborative team structures, increased individual discretion and autonomy, and diverse employee incentive programs, can

35 effectively boost worker motivation and ultimately lead to greater labor productivity (Cully et al., 1999; Boselie et al., 2001)

The domain of employee motivation includes HR strategies like performance- based compensation and outcome-focused appraisal systems, which are designed to stimulate more significant levels of work motivation (Huselid, 1995; Wright and McMahan, 1992) Deming (1986) suggested that award programs could be utilized to acknowledge exceptional performance or accomplishments while enhancing the quality of human resources

Figure 3.4 A framework for factors affecting HR quality at Hisoft a Human resource quality assessment model at Hisoft

The impacts above suggest that to evaluate human resources quality at Hisoft, a comprehensive assessment based on five components is required These factors are Recruitment, Training and Development, Support from leaders, Working Environment, and Salary and Bonus Additionally, it is essential to construct a research model that includes all these factors The model can be represented through a linear equation as

The following hypotheses are examined:

Human Resources Quality at Hisoft

H1: Factor X1 “Recruitment” has a positive impact on “Human Resources Quality” H2: Factor X2 “Training and Development” has a positive impact on “Human Resources Quality”

H3: Factor X3 “Support from leaders” has a positive impact on “Human Resources Quality”

H4: Factor X4 “Working Environment” has a positive impact on “Human Resources Quality”

H5: Factor X5 “Salary and Bonus” has a positive impact on “Human Resources Quality” b Measurement

RESEARCH FINDINGS

Descriptive statistics

According to the statistical study of gender, there are 220 participants, with 60 females accounting for 27.3% and 160 males accounting for 72.7% of the total As can be observed, male participants outnumber female participants by 2.6 times

Frequency Percent Valid Percent Cumulative

According to age statistics, the participants ranged from 21 to 36 years With them, the age group 23 accounts for the highest part, 26.8%, with 59 individuals Furthermore, 44 persons aged 25 or older comprise 20% of the total The figure shows that, in general, the organizational structure of human resources by age is relatively young, with the majority of the group under the age of 25

According to qualification statistics, individuals with university degrees or more make up the majority, accounting for 78.6% (173 persons) Furthermore, there are 31 persons with undergraduate qualifications, placing second at 14.1% Finally, the number of participants with college or intermediate degrees is quite small, with

16 persons accounting for 7.3% of the total

Scale reliability testing

4.2.1 Cronbach Alpha of the Recruitment factor scale

To assess the reliability of the recruitment factor, the author used the Cronbach Alpha using four observation variables: RC1, RC2, RC3, and RC4 Cronbach's Alpha confidence coefficient is 0.874, which is more significant than 0.8 Besides, all four

43 observation variables have a total "Corrected Item - Total Correlation" of more than 0.3, with "Cronbach's Alpha if Item Deleted" indicators that are less than 0.874 Consequently, the Recruitment factor is reliable and will be used in the following steps

Table 4.3 Cronbach’s Alpha of Recruitment factor

4.2.2 Cronbach Alpha of the Training and development

For the Cronbach Alpha training and development factor scale analysis, the author used reliability statistics with four observation variables: TD1, TD2, TD3, and TD4 Cronbach's Alpha confidence coefficient is 0.863, which is higher than 0.7

Furthermore, all four observed variables are associated with a “Corrected Item

- Total Correlation” > 0.3 Consequently, the Training and Development factor fulfills the dependability requirements and advances to the following steps

Table 4.4 Cronbach’s Alpha of Training and development factor

4.2.3 Cronbach Alpha of the Support from leaders factor scale

With four observation variables, SL1, SL2, SL3, and SL4, used to analyze factor Support from Leader, the result shows that Conbrach’s Alpha confidence coefficient is 0.87, which is more significant than 0.8 All four observation variables have “Corrected Item - Total Correlation'' indicator greater than 0.3, and “Cronbach’s Alpha if Item Deleted” is smaller than 0.87 Consequently, this Support from leaders factor is dedicated and will be used in the next step

Table 4.5 Cronbach’s Alpha of Support from leaders factor

4.2.4 Cronbach Alpha of the Working environment factor scale

According to survey variables of the Working Environment Factor Scale, there are four observation variables: WE1, WE2, WE3, WE4 This component has a Cronbach's Alpha confidence coefficient of 0.749, which exceeds 0.7 Furthermore, all four variables show "Corrected Item - Total Correlation" greater than 0.3 and

"Conbach's Alpha if Item Deleted" less than 0.749 As a result, the Working Environment Factor Scale met the reliability statistics criteria and will proceed to next steps

Table 4.6 Cronbach’s Alpha of Working environment factor

4.2.5 Cronbach Alpha of the Salary and Bonus factor scale

The test findings reveal that the Cronbach's Alpha scale reliability coefficient for the Salary and Bonus component is 0.722, which is more than 0.7 All observed variables have a higher correlation of variables: (Corrected Item - Total Correlation) > 0.3, and

"Conbach's Alpha if Item Deleted" indications are less than 0.722 As a result, the factor scale "Salary and Bonus" met the dependability criteria and proceeded to the next step

Table 4.7 Cronbach’s Alpha of Salary and bonus factor

4.2.6 Cronbach Alpha of Human Resources Quality factor scale

Cronbach's Alpha for the Human Resources Quality factor with four variables observations is 0.893, which is higher than 0.8 All variable observations have a total correlation of more than 0.3, and the indication of "Cronbach's Alpha if Item Deleted" is less than 0.893 This result indicates that the Human Resources Quality factor fulfills the dependability

Table 4.8 Cronbach’s Alpha of Human Resources Quality factor

Following Cronbach's Alpha testing, the confidence coefficients of 24 variables met the reliable requirement The scale evaluation findings of 6 factors are described as follows:

Table 4.9 Scale assessment results of 6 factors

Scale Number of observed variables

Factor analysis and research model verification

Verify EFA's appropriateness and check the correlation of the variables observed in the representative measure

The study proposes two theories when studying this factor:

Hypothesis H 0 : Variables in the whole are not correlated with each other Hypothesis H 1 : Variables in the whole are correlated

Table 4.10 KMO accreditation and Barlett’s Test

According to the KMO and Bartlett's Test analysis results, the Kaiser-Meyer-Olkin Measure of Sampling Adequacy was 0.858, and the Sig Ratio (Bartlett's Test of Sphericity) is very small and < 0.05 The figures prove that the data allows us to conduct the factor analysis Thereby, we can reject the Hypothesis H0 The KMO claims that the sample size is reasonable and sufficient to perform analysis While analyzing Barlett's Test, the result shows that the variables are correlated with each other in the whole

Table 4.11 Total Variance Explained of independent variables

The "Total Variance Explained" result reveals that 5 components are mentioned based on the eigenvalue index 1.305 > 1, indicating that there are 5 components that best encapsulate the information of the 20 observed variables included in the EFA These factors' total variation accounted for 66.981% of the data variability of the 20 observed variables in the EFA (The stated factors correspond to the columns of the rotation matrix table below.)

Table 4.12 Rotated component matrix of independent variables

In the Rotation matrix, the Loading factor of the observed variables is larger than 0.5, indicating that all of them contribute significantly to the model

Table 4.13 Total variance explained of dependent variable

The rotation matrix findings demonstrate that one factor was extracted from the observed variables and included in the EFA analysis The quoted variance is explained by 76.277% with an eigenvalue of 3.051 > 1

Table 4.14 KMO and Bartlett Test of dependent variable

- Kaiser-Meyer-Olkin Measure of Sampling Adequacy is 0.837 and greater than 0.5 so this factor analysis is appropriate

- The Sig of Bartlett’s Test is < 0.001 and is smaller than 0.05 This shows that the observed variables in an EFA analysis are correlated

Table 4.15 Component matrix of dependent variable

The observed variables have a load factor larger than 0.5, indicating that they all contribute significantly to the model

4.3.3 Results of factor analysis and research model verification a Results of factor analysis

Based on the results of the EFA and Cronbach Alpha analyses, the official research model was refined to incorporate five key factors that impact the quality of human resources As a result, this model now comprises five component variables, consisting of five independent variables and one dependent variable Following the assessment of the discovery factor, the official model for factors affecting the quality of human resources remained consistent with the original measurement factors b Verification of research models

According to the results of the factor analysis, the factors and observation variables listed below have an impact on the Human resource quality, particularly at Hisoft

The factor labeled "Recruitment" (F_RC) is comprised of four observation variables that are highly correlated: recruiting for the right positions, implementing a reasonable recruitment plan, following an effective recruitment process, and creating policies that attract top talent

The "Training and Development" factor (F_TD) encompasses four key variables: clear job documentation, regular training sessions, appropriate job-specific training, and post-training improvements These variables reflect the importance of providing employees with comprehensive training materials, ongoing professional development opportunities, and effective training programs tailored to their specific roles By investing in training and development, organizations can enhance employee knowledge, skills, and productivity.

"Support from Leaders" (F_SL) is another factor that includes four variables: assigning appropriate tasks, motivating employees, modeling good leadership, and regularly providing helpful feedback

The "Working Environment" (F_WE) factor comprises four variables observed in the survey: treating employees fairly, creating a comfortable and productive work environment, providing sufficient facilities, and ensuring employee health and safety

Finally, the "Salary and Bonus" (F_SB) factor includes four variables: paying wages on time, implementing an increased salary policy, creating a good salary ladder, and ensuring fair rewards and punishments

Based on the converging factors, the author utilizes regression analysis to identify specific variables that impact the quality of human resources at Hisoft The study model is reformulated as a multivariate linear regression equation, known as the correlation regression model

𝐹_𝐻𝑅𝑄𝑖 = 𝛽 0 + 𝛽 1 × 𝐹_𝑅𝐶 + 𝛽 2 × 𝐹_𝑇𝐷 + 𝛽 3 × 𝐹_𝑆𝐿 + 𝛽 4 × 𝐹_𝑊𝐸 + 𝛽 5 × 𝐹_𝑆𝐵 + 𝑒𝑖 c Correlation between dependent variables and independent variables

The table 4.16 displaying the correlation matrix indicates that the correlation coefficient of the independent variables, namely RC, TD, SL, WE, and SB with the dependent variable Y is significantly high and shows correlation in the same direction

Based on the analysis of the correlation between independent variables, it is evident from the Results that all Pearson correlation sig values between independent variables and dependent variables are under 0.05 This implies that all independent variables exhibit a linear correlation with the dependent variable This matter will be examined further to determine the role of independent variables in the multivariate linear regression model

Table 4.16 Correlations between dependent variable and independent variables

The independent variables are linearly correlated with the Quality of Human Resources d Linear regression model validation

To determine whether the dependent variable is linearly correlated with all independent variables, we can use Test F to assess the suitability of the overall linear regression model Our Hypothesis H0 is set 𝛽 1 = 𝛽 2 = 𝛽 3 = 𝛽 4 = 𝛽 5 = 0

After conducting the test and analyzing the Sig value, which is very small (< 0.05), we can confidently reject the hypothesis Ho This suggests that the independent variables in the model are linearly correlated with the dependent variable, meaning that the combination of independent variables can effectively explain the changes in the dependent variable

Sig test F < 0.001 b , so the regression model is reasonable

Based on the regression analysis results, it appears that the adjusted R 2 of 0.569 is lower than the R 2 value of 0.569 As a result, it is safer to use R2 to adjust the model's suitability The analysis showed that the model's suitability was 56.9%, meaning that the multivariate regression model used was a variation of "Human Resources Quality at Hisoft" in accordance with the data set

During the human resource quality model regression analysis at Hisoft, the tolerance ranged from 0.639 to 0.876, which is greater than 0.1 Additionally, the VIF variance magnification coefficient of the components in the model ranged from 1.142 to 1.566, which is less than 10 These findings suggest that the independent variables are not closely related to each other, and no multi-linear phenomenon occurs

Figure 4.4 Diagram of regression standardized Residual

The Histogram indicates that the Mean is positioned near 0, while the Standard Deviation (Std Dev) is almost 1, at 0.989 The residual values columns display a bell- shaped distribution, implying that the residual distribution is roughly standard This assumes that the normal distribution of residuals is not violated

Figure 4.5 Diagram of normal P-P Plot

SOLUTIONS TO IMPROVE THE QUALITY OF HUMAN

Objectives and development orientation of Hisoft from now to 2030

As an IT SME, Hisoft Viet Nam JSC prioritizes driving business growth in Hanoi through optimal performance To establish itself as a reliable mid-range IT provider, Hisoft emphasizes cost efficiency and operational streamlining The company fosters partnerships with key clients and business associates By expanding into new markets and refining its services, Hisoft aims to meet evolving customer demands.

Besides, Hisoft plans to optimize advanced technology and data application solutions that will facilitate well in sales administration and customer care, including eKYC, Chatbot/VoiceBot, and improved internal management solutions These solutions will be integrated with core systems such as ERP and M3 to expedite project completion to ensure timely capital turnover

Furthermore, Hisoft plans to expand our reach by establishing a new office in

Ho Chi Minh City The city boasts a wealth of opportunities to explore new business prospects and tap into a talented pool of talent Ho Chi Minh City is a hub for human resources as it concentrates the country's vast human resources, with 53 universities and 49 colleges, accounting for 22.17% of the nation's educational institutions Regarding customers, Ho Chi Minh City also has the largest number of active businesses in the country, estimated to be 268,000, or 31% of all active businesses nationwide, according to The Ministry of Planning and Investment (Business Registration Administration) as of May 2022 This will allow the company to leverage the vast customer base and raise revenue

The expansion of business operations will equip Hisoft with qualities and attributes, fostering innovation and creativity in approaching the job market Thereby, the company will respond to its clients' varied demands more effectively

5.1.2 Human resources improvement orientation a Opinion of human resources at Hisoft

Hisoft's commitment to enhancing the quality of its human resources is a crucial element of its business strategy The company values dynamic, creative, and proactive employees who are capable of adapting to market changes and demonstrating professionalism, coordination, and dedication These qualities align with the company's five core values: Passion, Agility, Integrity, Excellence, and Creativity

Hisoft can enhance the quality of its human resources to improve profitability and reduce costs However, it is crucial to plan the development and training of human resources in a way that balances the costs and benefits to achieve maximum economic efficiency Hisoft managers must assess and approve plans for intensive labor training, considering the training subjects, scale, and duration Moreover, while evaluating the financing support applications for employee credentialing, Hisoft must prioritize the business requirements and objectives b Orientation

In order to achieve the objectives outlined by the company, Hisoft must ensure that its workforce is both qualitatively and quantitatively sufficient to meet the company's needs To that end, Hisoft has established a target that at least 60% of its total staff will have a minimum of three years of experience

Hisoft acknowledges the importance of enhancing staff qualifications and has plans to address this in the near future As of 2022, the average number of training hours per employee at Hisoft is 40 hours per year However, the company aims to increase this to 60 hours per employee per year from 2020 to 2025, using a range of training methods such as online, co-programming, offline, and course registration from outsourced service centers, among others To achieve this, Hisoft has set a goal

60 to obtain 10 personnel certificates across different technology categories and soft skills required for improving work efficiency

Hisoft will carry out recruitment policies alongside training to ensure high- quality new hires with advanced expertise and skills The company will also adjust and supplement the salary and bonus policy to retain key personnel and increase employee commitment towards the company's growth Additionally, Hisoft will emphasize organizing team-building activities, fostering a healthy work environment, promoting creativity, and increasing employee solidarity and cohesion.

Solutions primarily raising Hisoft's workforce quality

The research findings claim that recruitment, Training and development, support from leaders, working environment, salary, and bonus have such enhancing effects on human resources quality ‘Salary and bonus’ is the most effective determinant of personnel quality, which is followed by leadership support, the work environment, and training and development The least favorable influence is from Recruitment As such, to improve Hisoft’s HR quality, the research solutions need nurturing and developing based on these key determinants, current business situations as well as the potential of the IT industry The author has made some recommendations as:

- Improve the salary structure and provide diverse kinds of incentives

- Give additional guidance from leader

- Productive communication and upgrade the physical environment

- Develop an extensive system for training involving utilizing several methods and clear instructional materials

- Frequently upgrade the hiring procedure and ensure recruitment efficiency

5.2.1 Improve the salary structure and provide diverse kinds of incentives

Based on research findings, it has been discovered that factors such as salary and bonus have a significant impact on the overall quality of human resources With a Beta index of 0.327, these factors have a linear effect on the quality of Hisoft's human resources Therefore, it is vital that we take the improvement and management of these factors seriously in order to enhance the quality of our employees At present,

61 the salary and bonus policies at Hisoft are incomplete and not readily available to employees This has resulted in a loss of direction and motivation among the employees who are unable to gauge their career growth or maintain job satisfaction Completing the compensation policy is a crucial step towards motivating employees, increasing their job satisfaction, and enabling them to achieve their desired goals

The performance evaluation system at Hisoft is conducted every six months However, it lacks detail and specificity, according to the APPENDIX 4 To improve the quality of employee performance assessment, we require adequate research, sample forms, instructions for use, and effective communication with employees

Currently, Hisoft's salary floor falls slightly below the industry average for technology companies Additionally, the company's bonus policies do not effectively incentivize employee dedication and performance While there is no specific policy for salary increases, there is a maximum limit of one increase at approximately 20% Given the status of Hisoft as an SME, balancing costs to maximize profits while also retaining talented employees poses a challenge To address these concerns, the author proposes several solutions to improve salary and bonus policies a Solution for Salary policy: Upgrade compensation structures related to individual performance

The latest TopDev’s report about the IT labor market in Vietnam shows that

IT officers under 5 years of experience can have earnings varied from $350 to slightly

$1190 The payment differential for programmers who have over 5 years in the IT field varies primarily by job and business responsibilities The minimum income of a business director and higher titles is estimated to be about $2300 per month while the technical managers can receive a greater payment monthly before taxes The figure for a technical director is not less than $2750 per month

Meanwhile, Hisoft staff receive from $430 to $560 monthly on average In terms of relevant work experience, the mean wage of entry-level developers is approximately $280 per month There is a narrow pay gap between the Junior and Mid-Senior levels, with the junior making roughly $320 and the mid-senior getting

$650 Senior pay at Hisoft is determined by the role and volume of work performed,

62 thus there is no set amount The Senior software developer's earnings reach $1300 but not less than $700 per month The data indicates that Hisoft staff receive lower salaries compared to the other technology officers at every level

It can’t be denied that the corporation swiftly enhanced its operating quality management procedures in the early years of its establishment However, due to the characteristics of SMEs being under financial strain, the level of compensation for employees remains unsatisfactory; certain roles lack definite salary ranges since they adjust depending on the manager's expertise Awareness of the issues, Hisoft should consider the below solutions to improve the salary hierarchy:

First, each job position's specific wage levels must be ascertained following the distinct characteristics of every business scale and, more broadly, with IT companies operating in the same region The purpose of researching the general wage is to provide a multifaceted assessment of the compensation that Hisoft pays to employees, allowing necessary modifications made to better competitiveness, talent acquisition, and staff retention

Second, wage payments must be suitable to the job title, required qualifications, and personal performance contributed by staff from management to employee levels Due to the small-scale nature of SME IT, employees now take on a variety of duties and functions, and the working process is not always readily apparent or consistent As a result, Hisoft must pay workers based on their positions and job performance, while also completing the compensation rise regime

Third, compensation increases must be implemented effectively through competency assessments and contributions Besides, Hisoft must re-evaluate and adjust a wage structure on an annual basis, taking into account revenue and expenses, staff feedback, and market trends When the firm faces financial issues, the rate of compensation withheld will be acceptable and fixed for a specific period to assure benefits for both the employee and the company The wage withholding is optional Above all, salary deductions must be done and paid in accordance with the laws

Cutting expenditures to maximize profits is already a major issue when a small-sized company has unfavorable wage policies and modest sales Then a wage raise may not be the optimal strategy for improving human quality in this case That is why the bonus solution will be the main focus of this study

* Bonuses must be timely, transparent, and significant enough to motivate employees

Job bonuses can boost employee morale, but use them with care Rewards must be well-designed and personalized to foster employee recognition and identification Managers can help achieve this through active listening and sharing, creating a sense of belonging and appreciation among team members

To improve the bonus policy, leaders must establish clear criteria for awarding bonuses based on performance and training promotion Human Resources teams must consider providing different types of bonuses, such as performance-based, profit- sharing, and spot bonuses Fair and objective rewards will instill a learning spirit and increase work productivity

Recommendations

5.3.1 Recommendation to the board of directors at Hisoft

Enhancing the quality of HR is an ongoing endeavor that requires a multifaceted approach To remain competitive in the rapidly evolving technological landscape and attract and retain top talent, we recommend that the board of directors at Hisoft take these suggestions into careful consideration:

First, Hisoft directors must review and enhance their selection and recruitment protocols They must prioritize the continuous upskilling of their HR team to enhance their assessment proficiency, and regularly evaluate the effectiveness of their recruitment process to attract top talent, especially in the scenario of skilled IT professionals Additionally, key roles at Hisoft must be filled by candidates who excel in both interview and Knowledge, Skills and Abilities assessments

Second, Hisoft must develop a well-rounded training program and furnish ample resources to encourage self-improvement and enhance the proficiency and expertise of its employees They must establish partnerships with universities and training centers to attract top talent and invite industry experts to facilitate their staff in mastering new and advanced technical skills and knowledge

Third, Hisoft has to create a positive work environment Leaders must treat all staff members equally, whether they work on-site, remotely, or part-time, in order to emphasize long-term success Effective communication is essential for both keeping up a positive culture that fosters cooperation and teamwork and for effectively reacting to criticism

Fourth, Hisoft consistently updates the performance assessment tools and improves the job management system The directors can understand Hisoft's general performance, make certain improvements to increase efficiency and suggest that their team be oriented to accommodate project modifications prompted by client negotiations

Finally, Hisoft directors can make wage ladders more competitive by consulting recruiting trends and other IT-related organizations Hisoft must control

78 costs, maintain an efficiency reward fund, and offer monetary and non-monetary incentives to inspire staff

5.3.2 Recommendation to Ministry of Information and Communications

Many talented individuals in Vietnam's IT industry have chosen to work abroad or for foreign companies after completing their education, drawn to the attractive perks and advancement prospects To address this issue, the Ministry of Information and Communications needs to work closely with the government to develop policies that entice these skilled IT professionals to return to contribute their expertise to Vietnamese IT corporations

Furthermore, the Ministry must raise awareness of the IT industry's potential and upcoming job opportunities through targeted propaganda aimed at educational institutions and students Educational institutions will be better able to foster students' interest towards IT majors Additionally, the ministry must allocate funds towards scholarship programs to provide financial support to deserving students to motivate them enrolling in this field

5.3.3 Recommendation to information technology vocational, training centers, colleges and university

As previously discussed, TopDev's research shows that just 35% of the 57,000 information technology students are adequately equipped to meet the needs of businesses This skills gap is due to a mismatch between the qualifications of programmers and the industry's requirements To address this challenge, the author suggests the following recommendations:

Firstly, IT training centers and colleges must analyze the IT market's needs With the increasing demand for candidates with skills in software engineering, data management, and platform design, these institutions have to modify and enhance their curricula to raise graduates' employment chances with the necessary skills

Second, IT training centers and colleges must partner with IT companies and hold seminars or job fairs to facilitate connections between students and recruiters They must encourage students to participate in internships to gain valuable hands-on experience in relevant fields, bridge skill gaps, and increase their chances of securing

79 a job post-graduation Additionally, it is essential to standardize the required skills for students to ensure that the school's output standards align with the enterprise's input standards, guaranteeing the availability of skilled human resources that meet the recruitment requirements of the enterprise

Third, it is crucial to train graduates to possess proficiency in foreign language skills, especially in English This not only opens up doors to global opportunities but also enhances their job prospects in the high-tech industry The lack of fluency in foreign languages often acts as a hindrance for IT employees in their pursuit of job opportunities whereas there is a growing need for human resources in various international firms across various domains, which highlights the need for IT workers to upskill themselves in foreign language

Finally, the educational institution must prioritize promoting and enrolling students interested in pursuing a career in the IT sector to guarantee sufficient human resources Providing appropriate facilities and ramping up the recruitment of highly qualified and experienced lecturers are vital since they will directly influence the caliber of education students receive

The acquisition of high-quality human resources is crucial for the progress of any organization, industry, and the economy at large Presently, the demand for skilled personnel in the IT sector is at an all-time high Nevertheless, many IT firms in Vietnam face difficulties in identifying suitable candidates who meet their requirements

Given the significant contribution of human resource quality, the author has conducted the topic of “Factors Affecting and Solutions to Improve the Quality of Human Resources of Hisoft Vietnam Joint Stock Company.” The thesis builds on relevant sources, such as research papers and theses from Masters and Professors, to establish a theoretical basis and evaluation criteria The study has successfully achieved the following research objectives:

- Enhance the company's human resource quality based on formalizing the fundamental theoretical concepts related to human resource quality

- Conduct a thorough evaluation of Hisoft's current human resource condition, emphasizing the accomplishments, constraints, inadequacies, and underlying reasons

- Identify the potential solutions and provide a direction to enhance the quality of Hisoft's human resources