improving training quality for new employees at fpt corporation

National economics university Neu busi ness sch ool  Khong thi thuy linh IMPROVING TRAINING QUALITY FOR NEW EMPLOYEES AT FPT CORPORATION IN T ROD UC T ION AN D T H EO R ET ICA L F R A M EWO R K SUPERVISOR: Ms. LE THI BICH NGOC Hanoi – 2013 2 FPT CORPORATION FPTCorporation(FPT) is one of the most successful multinational information technology companies of Vietnam and is considered as leading conglomerate in. It has branches in 14 countries and this number is increasing fast. FPT has 8 subsidiary companies which operates in software outsourcing, telecommunications, property, education and financial services FPT HISTORY AND MILESTONES FPT was founded on September 13, 1988, initially named the Food Processing Technology Company. FPT firstly started up as a state-owned enterprise engaging in import and export business of food and processed food. The company had import and export relations with Eastern Europe and the Soviet Unionwith the products including dried bananas, potatoes, cassava, etc. On October 27, 1990, the company was renamed to The Corporation for Financing and Promoting Technology to focus on IT businesses. The contract to provide computers for the Russian Academy of Sciences and partnership with Olivetti in 1989 was the foundation of the later IT department. Only after 8 years of development, FPT confirmed its No. 1 position in IT industry of Vietnam In 1999, FPT started up Software Outsourcing Center (currently known as FPT Software - FSOFT) to export software to Europe, North America and Japan. December 13, 2006 saw the IPO (Initial public offering) of FPT Corporation. FPT stock was officially listed on the Ho Chi Minh City Stock Trading Center (currently known as Ho Chi Minh City Stock Exchange – HOSE). In 2008, the company was renamed to FPT Corporation, reconfirming its core businesses in telecommunications, content industry and IT services. In 2012, FPT Corporation started investing in researches on new technology trends including Mobility, Cloud, Big Data and IT solutions as infrastructure of infrastructure including E-government, Smart transportation and Smart Health. 2 3 FPT VISION FPT strives to be a company guided by technological innovations, committed to the highest level of customer satisfaction, contributing to national prosperity and providing its employees with the most favorable work environment possible, enabling them to reach their full potential in their professional careers as well as their spiritual lives. I. FPT CORPORATIONSTRATEGY AND MANAGEMENT SYSTEM 1. STRATEGY: FPT aims at being top enterprise in IT infrastructure and services. Information technology and telecommunications will continue to be the foundation technology in the digital convergence trend to meet and deliver the products and services most convenient for e-citizens. This is the most important directions the development strategy of FPT Corporation. With the direction of “Be Smarter” noted in OneFPT strategy and initial achievements, the target of OneFPT strategy until 2024 is explicated as “To become a Global Leader in Smart Services”. The Board of Directors has agreed that in 2013, FPT will continue with strong investments in services segments, in technology development to set a foundation for the years to come. In the long term, FPT will achieve the strategic target by the following three main ways: - Generating new revenue by new services, products and markets which are characterized and differentiated by ‘SMART’ feature, and realized through Instrumentation, Interconnection, and Intelligence steps. - Continuously innovating in traditional core businesses in order to maintain stable growth, leading and outstanding positions in the industry. - Prioritizing in modernizing the administration system and upgrading maturity level of all procedures to improve company’s product & service quality. 2. FPT Management Systemrepresents FPT’s culture, built on the explicitness to guide FPT’s employees on the way to think, work, act and interact. II. ORGANIZATIONAL STRUCTURE AND CULTURE 1. FPT ORGANIZATIONAL STRUCTURE 3 4 Board of Directors Mr. Truong Gia Binh – Chairman Mr. Bui Quang Ngoc – Vice Chairman Mr. Do Cao Bao – Member of Directors Board Mr. Truong Dinh Anh – Member of Directors Board Ms. Le Nu Thuy Duong - Member of Directors Board Mr. Le Song Lai - Member of Directors Board Mr. Jean CherlesBelliol - Member of Directors Board Board of Management Mr. Bui Quang Ngoc - Chief Executive Officer (CEO) Mr. Nguyen The Phuong - Vice General Director Ms. Chu Thị Thanh Ha - Vice General Director Supervisory Board Mr. Nguyen Viet Thang – Head of Supervisory Board Mr. Nguyen KhaiHoan – Member of Supervisory Board Mr. Cao Duy Ha – Member of Supervisory Board 4 5 2. FPT CULTURE FPT has paid special attention to identifying a unique business culture. For the past twenty-three years, valuable characteristics have been formed, making FPT’s culture distinctive and become the pride of each employee, contributing remarkable part to today success of the company. FPT’s culture is the connecting glue to bind each FPT people, encouraging them to work passionately and devote more to the company’s development. FPT’s culture is reflected first and foremost in the treatment among its employees and leaders. FPT people respect individuality, innovation and teamwork while leaders of different levels should be dedicative, exemplary and perspicacious FPT system of core spiritual values includes: • Respect individuals - Be frank - Be honest - Be tolerant • Innovation - Constantly learn - Constantly be creative • Teamwork - Be unanimous - Be sincere • Management - Be exemplary - Be judicious 5 6 CHAPTER 1: INTRODUCTION 1.1. RATIONALE In the historical development of the social and economic patterns, people are always regarded as the most important factor, determining the existence of social development. People always actively create all material, wealth, culture and society. In our history of national construction and defense, the role of human factor is also demonstrated. To promote the industrialization and modernization of the country, starting from the National Congress VI (1986), Government has proposed the renewal of the country. From this event, after 15 years of innovation, many businesses have rightly recognized the importance of the human factor, has proposed a number of effective measurements to address the relationship between personal interests - collective interests - social and obtained encouraging success. FPT Corporation is one of the leading companies in ICT (Information and Communications Technology) field. In competitive market, organizations pay much attention on maintenance and development of workforce quality, quantity in consistent with the requirements of transport, cargo transport, production business, ensuring organization’s development and integration, competition and success in the future. FPT is proud to be home to the largest number of IT engineers in Vietnam. They are the most precious property to whom FPT attributes its every success. It is the reason why I choose the topic “Improving training activities for new employees at FPT Corporation” to be my graduation thesis. 1.2. RESEARCH OBJECTIVES Objectives of research study are formulated as following: • Research some basic theories required for training activities of FPT Corporation’s new employees • Review and analyze current training activities for FPT Corporation’s new employees • Propose some recommendations to improve FPT Corporation training activities for new employees 1.3. RESEARCH QUESTIONS • What are the training activities that FPT Corporation has employed for new employees? 6 7 • What are the effects of new-employee-training activities that FPT Corporation has employed? • What are the elements affecting new-employee-training activities in FPT Corporation. • What does FPT Corporation need to improve new-employee-training activities? • How does FPT Corporation improve new-employee-training activities? 1.4. RESEARCH METHODOLOGY 1.4.1. Research process Source: Author’s design 1.4.2. Data collection 1.4.2.1. Secondary data collection Secondary data were collected under desk study form from newspapers, journals, websites, annual reports, reviews and former research studies related to training activities within three years (2011, 2012, 2013); and from FPT Corporation in 2012 and 2013. 1.4.2.2. Primary data collection Approach Instrument Respondent Information In-depth interview Questionnaire Ms. Ngo Thi Duy Phuong – Training manager of FPT FPT’s current training situation 7 8 Corporation Ms. Nguyen Thi Bich Ngoc – Training staff of FPT Corporation Mr. Bui Minh Tuan – Training staff of FPT Corporation The difficulties and advantages when implementing FPT training activities Training plan of FPT Awareness about FPT training activities Survey Questions and answers guidelines 50 target new employees Evaluate the effects of FPT training activities Which training activity is effective for FPT new employees? Primary data were collected by in-depth interviewing with FPT Corporation’s training manager and staff and by surveying target new employees of FPT’s Corporation. Therefore, there are two instruments for analysis method:  In-depth interview was carried out with 1 manager: Ms. Ngo Thi Duy Phuong – FPT Corporation training manager; and 2 training staff: Ms. Nguyen Thi Bich Ngoc and Mr. Bui Minh Tuan. This in-depth interview was conducted directly by the author. For FPT Corporation manager, questions are set out in order to evaluate FPT current training activities. The questions also aimed at the advantage and disadvantage when implementing training activities for new employees at managers’ view points and the plan for FPT new-employee- training in the future. For FPT training staff, the questions focused on the advantage and disadvantage when implementing training activities for new employees at staff’s view points and the awareness of them on training.  New employee surveys: • Sample size As the purpose of this study, I collected data from new employees which are chosen randomly based on FPT employee database. The total number is 50. I sent survey to employees by email and face-to-face. • Instrument: Survey 8 9 • Information: The survey was design to know how new employees evaluate FPT training program, which kind of training program in FPT is the most effective and how FPT gains more attention to training program. 1.4.2.3. Analyzing data method The author uses Excel software to synthesize the result of the questionnaire. 1.5. SCOPE OF THE RESEARCH The research was conducted in Hanoi only. In which, the target employees were selected randomly from FPT head office and subsidiaries in Hanoi. The secondary data was collected from 2011 to 2013 and the primary data was conducted in December 2013. 1.6. STRUCTURE OF THE THESIS Apart from acknowledgement, abbreviation, executive summary, appendixes and conclusion, the thesis consists of four chapters: Chapter 1: INTRODUCTION Chapter 2: THEORETICAL BACKGROUND ON TRAINING Chapter 3: CURRENT SITUATION ON NEW-EMPLOYEE-TRAINING ACTIVITIES AT FPT CORPORATION Chapter 4: RECOMMENDATIONS ON NEW-EMPLOYEE-TRAINING ACTIVITIES AT FPT CORPORATION CHAPTER 2: THEORETICAL BACKGROUND ON TRAINING 2.1. DEFINITION OF TRAINING Training is a part of Training and development - the field which is concerned with organizational activity aimed at bettering the performance of individuals and groups in organizational settings. It has been known by several names, including human resource development, and learning and development. Training is the acquisition of knowledge, skills, and competencies as a result of the teaching of vocational or practical skills and knowledge that relate to specific useful competencies. The goal of training is to improve people’s capability, capacity, productivity and performance. Different professions and occupations have different sort of training. 9 10 According to author Nguyen Huu Than: "Training includes activities aiming at improving professional skills or personal skills for current job.” Another definition is: "Training and development is a process that allows people to acquire the knowledge, learn new skills and change perspective, improve behavior and ability to the work of individuals.” Training focuses on the present, on the actual work of the individual, on the shortage skills of workers, helping them with the right skills which are necessary to perform the job. Training and human resource development is an activity organized and controlled by the enterprise. It determines to bring a change of perception, qualifications, skills, and awareness of employees for their work. Training and development relate organizations and individuals. The content of the training may include: Training professional expertise: In this workers are equipped with theoretical knowledge and professional skills. Advanced Training: The process of training, improving theoretical knowledge and practical skills so that employees can continue to fulfill their job better and complete assigned tasks more precisely. New training: training people who have not participated or who have participated in the production process but have not had specific job. 2.2. THE IMPORTANCE OF TRAINING Even though training process takes up cost and time, its advantages make the process worthwhile. Firstly, training addresses employees’ weakness. As all employees have some imperfections, training help strengthen the skills that each employee needs to improve their performance. Providing the necessary training creates an overall knowledgeable staff with employees who can take over for one another as needed, work on teams or work independently without constant help and supervision from others. Training also increase employees’ performance as it provides employees necessary skills and knowledge for specific jobs. The training may also build the employee's confidence because she has a stronger understanding of the industry and the responsibilities of her job. This confidence may push her to 10 [...]... of HR management, defines the workforce based on the need and strategy of corporation It is like a house light to guide employees towards the corporation s final goals Good training is the foundation for other steps in HR management, including evaluating and retraining We live in an era where the rhythm changes occur with dizzying speed with the explosion of information technology It affects the production... while they are away However, off-the-job training enables employees to look at a wider variety of approaches and can provide a refreshing change of scene 14 14 TRAINING TYPES Induction training On-the-job training Off-the-job training 2.5 ADVANTAGES • • • • • • • • • • • • • • Higher retention rate Accurate information New employees feel welcomed Clear expectations are established Generally more cost... questions: − “Why” is training needed? − “What” type of training is needed? − “When” is the training needed? − “Where” is the training needed? − “Who” needs the training? and "Who" will conduct the training? − “How” will the training be performed? The needs analysis is the starting point for all training The primary objective of all training is to improve individual and organizational performance Establishing... always be the first step of the training process 15 15 2.5.2 Select Appropriate Methods Training methods are desired means of attaining training objectives Once organization has figured out the need for training, it must choose a method that is best suitable It can either be induction training, on-the-job training or off-the-job training Training method needs to fit organization goals, culture as well... 2.4.3 Off-the-job training This is the training type which employees go away from the place of work to attend a special course The training can be in the form of a seminar, workshop or a college course Off-the-job training is suitable for managerial level employees, or for training soft skills Off-the-job training tends to be more expensive due to 13 13 trainers’ fees and because the employees are unable... On-the-job training This is one of the most common training types at work, where employee gets training by watching a more experienced worker doing the job The worker gets trained while he is performing his regular duties The employee is able to try out new skills in real situations Therefore, on-the-job training is suitable for unskilled or semi-skilled jobs We can breakdown on-the-job training into subcategories,... various training methods, good communication skills, and trainee participation 2.5.4 Evaluate Program This step will determine how effective and profitable your training program has been It consists of an evaluation of various aspects of training in order to know whether the training program was effective In other words, it refers to the training utility in terms of effect of training on employees' performance... employees' performance The evaluation of training programs is without a doubt the most important step in the training process It is this step that will indicate the effectiveness of both the training as well as the trainer Finally, a feedback mechanism is created in order to identify the weak areas in the training program and improve the same in future For this purpose, information relating to class room, food,... There are many ways to classify training types This thesis supports the following 2.4 way of breaking down training into 3 basic types: 2.4.1 Induction training Induction training is also known as “Orientation training Its purpose is to introduce new employees to new working environment Normally, induction training focuses on introducing to colleagues; explaining the organization’s activities, procedures,...11 11 perform even better and think of new ideas that help her excel Continuous training also keeps your employees on the cutting edge of industry developments Besides, continuously training creates consistent experience and background knowledge, which may increase the loyalty of employees towards organization Finally, all leads to the satisfaction of employees, as they have acquired . Corporation s new employees • Propose some recommendations to improve FPT Corporation training activities for new employees 1.3. RESEARCH QUESTIONS • What are the training activities that FPT Corporation. Phuong – Training manager of FPT FPT’s current training situation 7 8 Corporation Ms. Nguyen Thi Bich Ngoc – Training staff of FPT Corporation Mr. Bui Minh Tuan – Training staff of FPT Corporation. employed for new employees? 6 7 • What are the effects of new- employee -training activities that FPT Corporation has employed? • What are the elements affecting new- employee -training activities in FPT