IMPROVING THE PERSONNEL REMUNERATION POLICY AT HOANG GIA EDUCATION AND TRADING JOINT STOCK COMPANY (ROYAL CHESS)a

MINISTRY OF EDUCATION AND TRAINING HO CHI MINH CITY UNIVERSITY OF TECHNOLOGY AND EDUCATION GRADUATE THESIS INDUSTRIAL MANAGEMENT MAJOR IMPROVING THE PERSONNEL REMUNERATION POLICY AT HOANG GIA EDUCATION AND TRADING JOINT STOCK COMPANY (ROYAL CHESS) INSTRUCTOR: HA NGUYEN MINH QUAN STUDENT: LE NGUYEN THAO NGUYEN STUDENT ID: 16124048 SKL 0 Ho Chi Minh city, August 2020 HO CHI MINH CITY UNIVERSITY OF TECHNOLOGY AND EDUCATION FACULTY OF HIGH QUALITY TRAINING GRADUATE THESIS TOPIC: IMPROVING THE PERSONNEL REMUNERATION POLICY AT HOANG GIA EDUCATION AND TRADING JOINT STOCK COMPANY (ROYAL CHESS) Student’s name : Le Nguyen Thao Nguyen Student ID : 16124048 Course : 2016 Major : Industrial Management Instructor : Msc Ha Nguyen Minh Quan Ho Chi Minh City, August 2020 i NHẬN XÉT CỦA GIÁO VIÊN HƯỚNG DẪN Tp HCM, ngày …tháng…năm…… Giảng viên hướng dẫn ii NHẬN XÉT CỦA GIÁO VIÊN PHẢN BIỆN Tp HCM, ngày …tháng…năm…… Giảng viên phản biện iii ACKNOWLEDGMENT After working at Hoang Gia Education and Trading Joint Stock Company, I have helped her to have a realistic view of the working environment in the business, and also helped me to concretize practical reasoning , contribute to improving their knowledge In order to achieve such great results today, I would like to express my sincere thanks to the teachers and teachers for imparting valuable knowledge over the past four years Especially, Master Nguyen Ha Minh Quan has guided me to complete this Graduation thesis with all the sense of responsibility and enthusiasm, helping me to be more confident when I come to reality I would like to express my sincere thanks to the Board of Directors, the Accounting Department for facilitating me to collect data and Ms Tran Thanh Giang has enthusiastically helped me so that I could learn and exchange working and studying experiences in the past With limited time to work, so this thesis is inevitable I look forward to the comments and further guidance of the teachers, the Board of Directors and the brothers and sisters working at Royal Chess Finally, I would like to wish our teachers, the Board of Directors and all the brothers and sisters in the company good health and success in life Ho Chi Minh City, August 2020 Student Le Nguyen Thao Nguyen iv LIST OF ABBREVIATIONS Acronyms Description Royal Chess Hoang Gia Education and Trading Joint Stock Company HRM Human Resource Management ILO International Labor Organization FIDE International Chess Federation S&M Sale & Marketing Dep’t Department v LIST OF TABLES Table 3.1 The human resource situation of Royal Chess in the period 2017-2019 24 Table 3.2 Personnel’s educational background in 2019 25 Table 3.3 Number of personnel needed to recruit in the first three months of 2020 26 Table 3.3 Salary grade of the training department 30 Table 3.5 Royal Chess year-end bonus table for 2019 33 Table 3.6 Types of allowances at Royal Chess 34 Table 3.7 Insurances pay rate for 2019 36 vi LIST OF FIGURES Figure 1.1: Company Organization chart Figure 1.2: Business performance of Royal Chess in the period 2017 –2019 Figure 2.1 Basic expectancy model (Fred C Lunenburg, 2011) Figure 2.2 Dimensions of Equity (Jeffery, A.M, 2003) 11 Figure 2.1 Components of Employee Remuneration (K Aswathappa, 2013) 13 Figure 2.2 Influencing Factors of Remuneration (K Aswathappa, 2013) 20 vii TABLE OF CONTENTS NHẬN XÉT CỦA GIÁO VIÊN HƯỚNG DẪN ii NHẬN XÉT CỦA GIÁO VIÊN PHẢN BIỆN iii ACKNOWLEDGMENT iv LIST OF ABBREVIATIONS v LIST OF TABLES vi LIST OF FIGURES vii TABLE OF CONTENTS viii INTRODUCTION 1 Rationale Aim of the study: Scope of the study: Method of implementing the topic: Topic layout CHAPTER 1: OVERVIEW OF THE COMPANY 1.1 Introduction about Hoang Gia Education and Trading Joint Stock Company (Royal Chess) 1.1.1 The general information 1.1.2 Vision, mission and core values 1.1.3 Educational system 1.1.4 Organizational structure 1.1.5 The company's perspective on employees 1.1.6 Business performance of Royal Chess CHAPTER 2: THEORETICAL BASIS 2.1 The fundamental theories of motivation 2.1.1 Vroom’s Expectancy theory 2.2.2 Equity theory 10 2.2 Remuneration 11 2.2.1 Definition of remuneration 11 2.2.2 Components of Employee Remuneration 12 2.3 Factors influencing employee remuneration 20 2.3.1 External Factors 21 2.3.2 Internal Factor 23 viii CHAPTER 3: ACTUAL SITUATION OF PERSONNEL REMUNERATION AT THE COMPANY 24 3.1 Human resource at the company 24 3.1.1 Labor situation of the company 24 3.1.2 Human resources planning 26 3.1.3 Recruitment and Selection 26 3.2 The actual situation of financial remuneration at Royal Chess 28 3.2.1 Direct financial remuneration 28 3.2.2 Indirect financial remuneration 35 3.3 The situation of non-financial remuneration at Royal Chess 37 3.3.1 Remuneration arises from the work itself 38 3.3.2 Remuneration related to the working environment 38 3.3.3 Remuneration relates to professional training programs 41 3.4 Overall evaluation of remuneration policy at the company 41 3.4.1 Advantages 42 3.4.2 Limit 42 CHAPTER 4: PROPOSED SOLUTIONS TO IMPROVE PERSONNEL REMUNERATION AT ROYAL CHESS 44 4.1 Solutions group of long-term nature 44 4.1.1 Improve business performance 44 4.1.2 Improve the professional qualifications of employees 44 4.1.3 Building corporate culture 45 4.2 Group of specific solutions 45 4.2.1 Salary and bonus solutions 45 4.2.2 Indirect financial Remuneration 48 4.2.3 Solutions for non-financial remuneration 48 CONCLUSION 50 REFERENCES 51 ix ... TECHNOLOGY AND EDUCATION FACULTY OF HIGH QUALITY TRAINING GRADUATE THESIS TOPIC: IMPROVING THE PERSONNEL REMUNERATION POLICY AT HOANG GIA EDUCATION AND TRADING JOINT STOCK COMPANY (ROYAL CHESS)... the personnel remuneration policy at Hoang Gia Education and Trading Joint Stock Company (Royal Chess)" Aim of the study:  Systematize theoretical and practical basis for personnel remuneration. .. Analyzing the current situation of personnel remuneration policies at Hoang Gia Education and Trading Joint Stock Company  Proposing solutions and recommendations to complete the personnel compensation