HUMAN RESOURCE DEVELOPMENT (HRD) PRACTICES IN
BAC THANG LONG AND NAM THANG LONG INDUSTRIAL
PARKS: BASES FOR A COMPREHENSIVE HRD
PROGRAM FOR INDUSTRIAL PARKS IN VIETNAM

___________________________

A DISSERTATION
Presented to the Faculty of the Graduate School
Southern Luzon State University, Lucban, Quezon, Philippines
in Collaboration with
Thai Nguyen University, Socialist Republic of Vietnam

___________________________

In Partial Fulfillment
of the Requirements for the Degree
Doctor of Business Administration

___________________________

By
PHAM HAI HUNG (JO)
December 2013
i


APPROVAL SHEET

ii

CERTIFICATE OF ORIGINALITY

This is to certify that the research work / dissertation entitled :"Human
Resource Development (HRD) Practices in BacThang Long and Nam Thang
Long Industrial Parks: Bases for Comprehensive HRD Program for Industrial
Parks in Vietnam”, orally defended/ presented under the DBA Program jointly
offered by Southern Luzon State University of the Republic of the Philippines
and Thai Nguyen University of the Socialist Republic of Vietnam, embodies
the result of original and scholarly work carried out by the undersigned.
This dissertation does not contain words or ideas taken from published
sources or written works by other persons which have been accepted as basis
for the award of any degree from other higher education institutions, except
where proper referencing and acknowledgment were made.

Researcher/Candidate
Date Orally Defended:October 7th 2013

iii


ACKNOWLEDGMENT

In grateful recognition and sincerest thanks for the encouragement,
guidance and unselfish sharing of their knowledge, time, effort and skills, and
for the untiring motivation that leads to the completion of this study, the
researcher acknowledges the following:
DR. CECILIA N. GASCON, Ph. D., President of the Southern Luzon
State University in the Republic of the Philippines, for her untiring effort and
belief that this collaboration is possible, thus, enabling us to pursue the DBA

degree;
DR. NGUYEN THANH HAI, Vice Director of the International Training
Center, Thai Nguyen University of the Socialist Republic of Vietnam ,who was
always available to help the researcher to complete his study;
DR. CONRADO L.

ABRAHAM,for his selfless guidance and

assistance in helping her to stay on the right track;
ITC staff, for providing the necessary research materials;
Managers and Employees of BacThang Long and Nam Thang
Long Parks,hisrespondents, for their patience and cooperation in answering
the questionnaire and for other data given;
My friends, for the love and support in one way or the other;
And to all who have contributed to make this study a success.

Pham Hai Hung
iv


DEDICATION

I dedicate this dissertation to my parents, who have always supported me
withtheir continual love, and prayers; to my all relatives,
who have given words of encouragement ;
andto my wife, for her love, moral support,
and understanding.

PHH


v


TABLE OF CONTENTS
PAGE
TITLE PAGE ………………………………………………………………..

i

APPROVAL SHEET ……………………………………………………….

ii

CERTIFICATE OF ORIGINALITY ………………………………………..

iii

ACKNOWLEDGEMENT …………………………………………………..

iv

DEDICATION ………………………………………………………………

v

TABLE OF CONTENTS …………………………………………………..

vi

LIST OF TABLES ………………………………………………………….


vii

LIST OF FIGURES ………………………………………………………...

ix

ABSTRACT …………………………………………………………………

x

CHAPTER
I

II

III

IV

INTRODUCTION ……………………………………………

1

Background of the Study …………………………………..

2

Objectives of the Study …………………………………….


3

Significance of the Study …………………………………..

4

Scope and Limitations of the Study ………………………

4

Definition of Terms ………………………………………….

5

REVIEW OF LITERATURE ……………………………….

7

Conceptual Framework ………………………………….…

18

METHODOLOGY
Locale of the Study …………………………………………

20

Research Design ……………………………………………

20


Data Collection Method …………………………………….

20

Population, Sample and Sampling Technique …………..

21

Research Instrument ……………………………………….

21

Data Gathering Procedure …………………………………

22

Statistical Treatment ………………………........…….……

23

RESULTS AND DISCUSSIONS ………………………….

24

vi


V


SUMMARY OF FINDINGS, CONCLUSIONS AND
RECOMMENDATIONS
Summaryof Findings ………………………………………

52

Conclusions …………………………………………………

54

Recommendations …………………………………………

55

REFERENCES ………………………...…………………………………..

57

APPENDICES ……………………………………………………………...

59

Questionnaire ………………………………………………………..

60

CURRICULUM VITAE …………………………………………………….

66


vii


LIST OF TABLES
TABLE

PAGE

4.1

Trainees of Training Program ………………………………...

33

4.2

Training Needs …………………………………………………

36

4.3

Training Methods ………………………………………………

38

4.4

Training Time …………………………………………………..


39

4.5

Training Content for Managers ……………………………….

42

4.6

Training Budget ………………………………………………..

44

4.7

Criteria of Training Evaluation………………………………..

46

4.8

Sample of Job Description ……………………………………

48

4.9

Sample of Evaluation Test ……………………………………


50

4.10

Summary of Comprehensive Training Program for
Industrial Parks in Vietnam …………………………………...

51

viii


LIST OF FIGURES
FIGURE

PAGE

2.1

The Needs Assessment Process ……………………………...

10

2.2

Training Practices in BacThang Long and Nam Thang Long
Industrial Parks: Bases for a Comprehensive Training
Program for Industrial Parks in Vietnam………………………

19


4.1

Gender Structure of Management Group …………………….

24

4.2

Age Range of Management Group ……………………………

25

4.3

Education Levels of Management Group ……………………..

25

4.4

Gender Structures of Employees ……………………………...

26

4.5

Age Structure of Employees ……………………………………

27


4.6

Education Levels of Employees ……………………………….

27

4.7

Purpose of Training Program in Vietnamese Companies …..

29

4.8

Purpose of Training Program in Foreign Companies ………..

29

4.9

Trainees of Training program in Vietnamese Companies …..

31

4.10

Trainees of Training Program in Foreign Companies ……….

31


4.11

Training Needs Assessment in Vietnamese Companies ……

34

4.12

Training Needs Assessment in Foreign Companies ………...

34

4.13

Training Methods in Foreign Companies ……………………..

37

4.14

Training Methods in Vietnamese Companies ………………..

37

4.15

Training Content for Employees in Foreign Companies …….

40


4.16

Training Content for Employees in Vietnam Companies ……

40

4.17

Effectiveness of Training in Vietnam Companies ……………

45

4.18

Effectiveness of Training in Foreign Companies …………….

45

ix


ABSTRACT
Title of Research

: HUMAN RESOURCE DEVELOPMENT (HRD)

PRACTICES IN BAC THANG LONG AND
NAM THANG LONG INDUSTRIAL PARKS:
BASES FOR A COMPREHENSIVE HRD

PROGRAM FOR INDUSTRIAL PARKS IN
VIETNAM
Researcher

: PHAM HAI HUNG (JO)

Degree Conferred

: DOCTOR OF BUSINESS ADMINISTRATION

Name and Address
of Institution

: Southern Luzon State University Lucban, Quezon,
Philippines and Thai Nguyen University, Socialist
Republic of Vietnam

Adviser

: Dr. Conrado L. Abraham

Year Written
: 2013
______________________________________________________________

Training as a theory is an activity for the expansion of human capital
within an organization through the development of both the organization and
the individual to achieve performance improvement.
BacThang Long and Nam Thang Long industrial parksaretwolarge
industrialZonesin


Hanoiwherehundred

ofcompaniesare

operating.The

companies have achievedgreat successes in their business so far.
However,the companies are alsofacingchallengesrelated tohuman resources.
For that reason the study:"Human Resource Development (HRD) Practices
in BacThang Long and Nam Thang Long Industrial Parks: Bases for a
Comprehensive HRD Program for Industrial Parks in Vietnam” was
conducted.
The study aimed to identify aspects of the real situation of training
practices in BacThang Long and Nam Thang Long industrial Parks. The study
x


attempted to answer the following: (1)What is the profile of the respondents at
both industrial Parks in terms of: Age, Gender, Educational level, Position; (2)
What are the human resource development practices of the foreign
companies and Vietnam companies in terms of Training;(3) Which of the
training practices were perceived to be acceptable and common among the
respondents; (4) What

kind of comprehensive training program can be

developed as bases for implementing training practices in industrial parks.
The


researcher

came

up

with

the

following

conclusions:The

respondents belong to the young generation, which are mostly male and have
a high level of education. Some also holds managerial positions based on
their academic qualification. ; When it comes to trainees, there is a big
difference between Vietnamese and foreign companies. In choosing trainees
for training, foreign companies pay much attention to employees who produce
products directly and decide on quality of products and productivity.
Conversely, Vietnamese companies pay much less attention to workers but
pay more attention to managers; Intraining methods, on – the job training and
coaching are the training methods that both Vietnamese and foreign
companies most frequently . Training programs include on the job training,
coaching and self –study. The researcher recommended the following: The
human resource department in each company, where all areas of human
resource management including training can be implemented may build
aprogram based on recruitment and selection, job design, compensation and
performance appraisal; Training budget must be regulated and allocated in by
cooperating with other departments; The organization, especially the HR

department must identify the employees to be trained for competence on their
xi


present job, as contrasted with those who are being educated and developed
for advancement; Most companies in industrial parks applied job-related
training methods, which are inexpensive; Training content for managers is
one of the most widely offered and important forms of training; and Evaluation
of training and development is needed.

xii


1

Chapter I
INTRODUCTION

To developan economy that requirescapital, science and technology,
natural resources andmanpower and togrow rapidly and sustainably, it should
be

basedon

threebasic

elements:

applynew


technologies,

developmoderninfrastructureandimprove the quality ofhuman resources.
The

socio-economicdevelopmentdepends

conditions,butmostremainlargelydependent

onmany

factors,

onhuman

and

factors.

Comparedwithotherresources, the human resource is more dominant.
Therefore, more than any otherresources, human resource always occupies
playthe

leadingroleinthe

especially

socio-economicdevelopment

in


of

the

promotingthe

country,
periodof

industrialization,modernizationandinternational economicintegration.
The

exploitationand

utilizationof

human

resourceeffectivelyisan

extremely importantissue, human resourceshould promote the diversity
andabundance ofEasterncultural traditionssuch ashospitality, talent,intellect,
and

science.

However,important

potentials


have

not

beenexploitedfully,properly andmayhave notbeen used effectively.
Today,when the worldenters theintellectualeconomy, the problem of
talentisa critical issue. Talented peopleare even more importantthan
ever.Tobecome aleader in thedevelopment, it must advanced human
resource,Therefore,

countries

shouldactivelyplan,

create

sources,

trainandretrainhuman resourcestodevelop mosteffectively
Vietnam is in the modernization and industrialization process. Thus,
many industrial zones and export processing zones have been established


2

and attracted millions of employees working inside that promote the country’s
economic growth. However, the industrial zones are facing some difficulties
because enterprises still do not have a qualified comprehensive training
program, so the quality of human resource is low. Therefore, ifthey would

betrainedtheseresourceswill create a strong impacton growth andeconomic
developmentof the country.
In a strong competitive environment, many companies have paid
attention to training and human resource development because it is the basis
for existence and development. Training can provide skilled staff for the
company to accomplish tasks given and also increase productivity. Moreover,
along with advancement in technique, technology requires company to train a
team of highly-skilled and creative staff to handle complex problems. Also, in
market economy, companies compete by using knowledgeable, highly skilled
and creative human resource in their production. That makes human resource
development in companies increased rapidly as of today.

Background of Study

BacThang Long and Nam Thang Long Industrial Parks are located in
Hanoi City. They have gained a lot of successes but also cope with the
challenge of human resource.

Before conducting the research, the researcher had in-depth interviews
with some managers and workers on the training practices in their companies
in Bac Thang Long and Nam Thang Long Industrial Parks. The researcher
realized that companies had paid attention to TRAINING but companies are


3

facing some problems of human resource such as: lack of highly technical
and skilled employees, and unstable workforce.Therefore, an effective training
program is a necessary need as observed.


From

the

above

reasons,

the

researcher

chose

the

topic

"TrainingPractices in Bac Thang Long and Nam Thang Long Industrial
Parks: Bases for a Comprehensive TrainingProgram for Industrial Parks
in Vietnam”.

Objectives of the Study
The research expected to provide better understandings of human
resource development activities, and different problems concerning the
current situation oftraining in Bac Thang Long and Nam Thang Long industrial
Parks where nearly 100 companies are operating.

Specifically, it sought to answer the following questions:
1. What is the profile of respondents in different companies in terms of:

1.1. Age;
1.2. Gender;
1.3. Educational level;
1.4. Position.
2. What are the training practices of the foreign companies and Vietnam
companies in terms oftraining?
3. Which of the training practices were perceived to be acceptable and
common among group of respondents?


4

4. What

training

program

can

be

developed

as

bases

of


implementingtraining practices in an industrial park?

Significance of the Study
The outcome of the study will be significant to the following:
Managers of the Companies operating in Bac Thang Long and
Nam Thang Long industrial Parks.The research is very significant to their
managers

because

it

provides

important

information

to

manage

effectively.Also, through analysis of the real situation of human resource
development, a comprehensive training program can be developed for
industrial parks in Vietnam.
Researcher.This study will help the researcher to understand the
current situation of human resource development in the industrial zones in
general and in Bac Thang Long and Nam Thang Long industrial Parks in
particular. In addition to this, it will help the researcher to improve his skill in
doing scientific study. This is also an opportunity to apply DBA knowledge into

practice.
Future Researchers. This is also a significant reference resource for
future researchers.

Scope and Limitations of the Study
The research was carried out in Bac Thang Long andNam Thang Long
industrial Parks focusing on current situation of training practices of
companies. Survey was limited to companies in Bac Thang Long and Nam
Thang Long Industrial Park in Hanoi with 377 respondents (managers,
workers, and engineers).


5

Definition of Terms
For a clear understanding of the terms used in the study, the following
are operationally and conceptually defined:
Evaluation of Trainingis the process of obtaining information or data on the
effectiveness of training program conducted and assessing the value of
training in the light of that information. Evaluation involves controlling
and correcting the training program.
Human Resources is a term used to describe individuals who make up the
workforce of an organization as a result of theteaching of vocational or
practical skills and knowledge related to specific useful competencies.
Training has specific goals of improving one’s capability, capacity,
productivity and performance.
Human Resource Development is also called “training and development”. It
is a part of HRM that specifically deals with training and development
of employees. Human resource development includes training an
individual after he/she is hired, providing opportunities to learn new

skills, knowledge, and abilities.
Trainingis the acquisition of knowledge, skills and competencies.
Training Needs Assessmentis an ongoing process of gathering data to
determine what training needs exist so training can be developed to
help the organization accomplish its objectives. Conducting needs
assessment is fundamental to the success of a training program
Training Practicesrefer to organizational activities practiced at training
ensuring the fulfillment of organizational goals.


6

Training Program is a series of activities to determine training purpose,
trainees, training content, training time, training method, training budget
and training evaluation.


7

Chapter II
REVIEWOFLITERATURE

This chapter provides sufficient theory of Human resource practice that
has significant effect on the conduct of the study. Finally a conceptual
framework established to aid the conduct of this research work.

Training
Training plays an important role in developing the skills of workers in
organizations


in

order

to

improve

productivity

and

international

competitiveness. It focuses on the improvement of the knowledge, skills and
abilities of employees in the organization (Nadler and Nadler).

Further, training is the systematic process of altering the behavior of
employees in a direction that will achieve organizational goals, or in this study
of Yara, Naddler definedtraining as an activity concerned with a person’s
futurejob. Thus, it is an activity which enable employee to acquire new
knowledge, new skills to perform effectively.

However, they are different from their focus, scope, time frame and
purpose (Nguyen Van Diem, Nguyen Ngoc Quan, 2004). Training typically
focuses on providing employees with specific skills or helping them to correct
deficiencies in their performance. Development is concerned with the future of
the organization and the individual in directions, which are not as clearly
definable. Training is expense; education and development are an
investment.



8

Nowadays, training is moving from a primary focus on teaching
employees specific skills to a broader focus on creating and sharing
knowledge.
Traditionally, training was viewed as a means to teach employees
specific skills and behaviors. This role of training will continue into the future.
This view of training suggests that business conditions are predictable, they
can be controlled by the company, and the company can control and predict
the knowledge and skills that employees will need in the future.
For the time being, as the competitive challenges indicate that
unpredictability in the external environment in which companies operate is
likely to continue. This means that because problems can not be predicted in
advance, training needs to be delivered on an as-needed basis to help
employees dealt with specific business problems as they occur.

Many companies believe that to gain a competitive advantage, the key
is to develop intellectual capital. Intellectual capital includes cognitive
knowledge (know what), advanced skills (know how), system understanding
and creativity (know why) and self-motivated creativity (care why).
Traditionally, training departments have focused their resources on cognitive
and advanced skills. But the real value of training may be in having
employees understand the manufacturing or service process and the
interrelationships between department and divisions as well as motivating
them to be innovative and deliver high quality and services.

Training process consists of three stages: needs assessment, conduct
training and trainingevaluation.



9

Training needs assessment
Training needs assessment refers to activities that determine if training
is necessary or not. Results of training assessment are to find out who need
training, what contents provided and frequency of training.

There are three levels of needs assessment: organizational analysis,
task analysis and individual analysis (Miller and Osinski, 2002).
First, organizational analysis looks at the effectiveness of the
organization and determines where training is needed and under what
conditions it will be conducted. The organizational analysis should identify:
environmental impacts,state of the economy and the impact on operating
costs,changing work force demographics and the need to address cultural or
language barriers, changing technology and automation, political trends such
as sexual harassment and workplace violence, organizational goals (how
effective is the organization in meetings its goals), resources available
(money, facilities; materials on hand and current, available expertise within
the organization),climate and support for training (top management support,
employee willingness to participate, and responsibility for outcomes). The
information needed to conduct an organizational analysis can be obtained
from a variety of sources including: Organizational goals and objectives;
mission statements, strategic plans,staffing inventory, succession planning,
long and short term staffing needs;skills inventory: both currently available
and

short


and

long

term

needs,

organizational

climate

indices:

labor/management relationships, grievances, turnover rates, absenteeism,
suggestions, productivity, accidents, short term sickness, observations of
employee behavior, attitude surveys, and customer complaints; analysis of


10

efficiency indices: costs of labor, costs of materials, quality of products,
equipment utilization, production rates, costs of distribution, waste, down time,
late deliveries, repairs; changes in equipment, technology or automation;
annual report, plans for reorganization or job restructurin;audit exceptions and
reward systems; planning systems; delegation and control systems; and
employee’ attitudes and satisfaction.
Next, task analysis provides data about a job or a group of jobs and the
knowledge, skills, attitudes and abilities needed to achieve optimum
performance. There are a variety of sources for collecting data for a task

analysis: job description;performance standards; observe the job/sample the
work; perform the job; job inventory questionnaire; review literature about the
job;ask questions about the job; and analysis of operating problems.

Figure 2.1: The Needs Assessment Process


11

Finally, individual analysis analyzes how well the individual employee is
doing the job and determines which employees need training.Sources of
information available for an individual analysis include: performance
evaluation; performance problems; observation; work samples;interviews;
questionnaires;and attitude surveys.

Noe (1999) indicated the causes and outcomes resulting from needs
assessment.

ConductingTraining
This is the stage of choosing training methods and implementing
training methods.
The training methods are used and applied to be dependent on
individual training need and organization training need, abilities and
potentialities of trainer, level and number of trainee.There are many different
training and development methods. On-the-job training, off-the job training,
informal training, classroom training, internal training courses, external
training courses, coaching, mentoring, training assignments and tasks, skills
training, product training, technical training, behavioral development training,
role-playing and role-play games and exercises. In Vietnam, some methods
usually used by companies are:

Coaching:

Coachingis

an

activitytakes

place

betweenapersonwithaperson, can be incorporatedin the workor outsidethe
workplace.Itis the waytoapply the knowledgeand skillsjust learnedtosituations,
circumstances,

through

that

processto

getresultsof

the

developmentofindividualcapacity.Fournies defined coaching as a face-to-face


12

discussion between a manager and a subordinate to get the subordinate to

stop performing an undesirable behavior. Similarly, Kinlaw defines coaching
as a “mutual conversation between a manager and an employee that follows
a predictable process and leads to superior performance, commitment to
sustained improvement, and positive relationship. DeSimone and Harris
define coaching as a process used to encourage employee to accept
responsibility for their performance, enable them to achieve and sustain
superior performance, and treat them as partners in working toward
organizational goals.
The benefits of coaching is that the individual will be able to improve
their work performance and skill set by receiving one-on-one training to
develop career prospects.
On the job training (OJT): This is a

trainingfor employees at the

workplace while he or she is doing the actual job. Usually a professional
trainer (or sometimes an experienced employee) serves as the course
instructor usinghands-ontraining often supported by formal classroom training
(business dictionary). OJT can be useful for training newly hired employee
within a department or work unit, orienting transferred or promoted method
employees to their new job.
The advantage of On-the-job training is that it is often cost-effective for
a business because no outside teachers or programs are needed, and the
training is typically conducted as part of the actual work shifts. There is no
need for the new worker to travel for the training, which could require paying
for transportation. No extra equipment is needed either, as the new worker
learns by using the tools that he or she will be using for the job.


13


By training in the workplace, a new employee also has the chance to
get to know the people and the environment earlier. He or she often gets a
chance to interact closely with new co-workers and get practical advice about
doing the job. Many times, the person who will be doing the training and
evaluation is the new worker's supervisor or manager, so this also establishes
job expectations from the very beginning. The feedback during on-the-job
training is also immediate, so the new employee may experience faster
growth in the job than he would in other types of training situations.
Unfortunately, one major drawback of OJT is that it can be time
consuming; at least one experienced employee, coach, or supervisor has to
take time out of his or her regular job to conduct the training. This can be
challenging, especially if there are work deadlines that must be met on top of
the person's training duties. In addition, structured training requires additional
time for both planning and evaluation.
It can also be difficult to find the right person to conduct on-the-job
training. The person doing the training must have the knowledge and skills
with the same equipment the learner will be using, or he or she may not be
able to teach effectively. If the trainer is too experienced, however, he or she
may forget to explain important steps or use technical words that the trainee
doesn't understand. Care must also be given not to pass on sloppy work
habits or unintentionally teach irrelevant or inefficient work methods to the
new worker.
Job rotation: Job rotation is the training method that is usually used for
training managerial and technical employees. Movement from one position to
another with the goal of gathering working experiences in organization and