Strategies of human resource development of MISA JSC

PREAMBLE I would like to start the topic with a question: What is the essence value ​​of an organization? There are many different answers, such as capital, equipment, technology, human resource, etc. However, in a society of integration, capital which can be mobilized and borrowed from banks or other credit agencies; machinery, equipment and technology that are equality between firms around the world (technology handover at home and abroad), the remaining factor which makes a powerful difference of a firm is human resource. Therefore, in order for an organization stably develops, there’s a need to attach special importance to developing human resources in an organization. During the period of probation at MISA Joint Stock Company, I found that company has a great potential for strong development: large capital, modern technology, high-qualified human resource, management board always has innovative and modern ideas. Thus, developing orientation of the company in recent years focused on human resource development. According to developing orientation of the company and study in-depth on how to create a strong development, I research on the topic “Strategies of human resource development of MISA JSC” The topic goes into the details of activities, plans to manage and develop human resources of the company, for example, recruitment, training, strategies of developing human resources and attracting talents. The topic also researches on employee-encouraging policies in their job to make motivation and dedication of them with the company. The topic is studied in the following chapters: Chapter 1. Introduction about MISA Joint Stock Company (MISA JSC) Chapter 2. Activities of human resource management and development of MISA JSC Chapter 3. Recommendation for promoting human resource development of MISA JSC CHAPTER 1. An introduction into MISA JSC An overview about MISA JSC Information technology (IT) plays an important role in development of national economy, MISA Joint Stock Company (MISA JSC) was formed 25th December, 1994 – one of the leading software units in Vietnam that has large contribution in the computerization for administrative units and enterprises in over 16 years. MISA has now 01 head office, 01 software development center where launch software products with high quality, 05 representative offices in Hanoi, Da Nang, Buon Ma Thuot, Can Tho and HCM city. With over 45,000 customers, MISA has become the indispensable companion of the business community as well as the state agency. MISA has 05 representative offices performing the promotion and implementation of MISA's products, after-sales services, consultancy, support, organization of training courses about instructions for use software for customers. The MISA software is introduced popularly to 63 provinces in the whole country. MISA is proud of one of the leading companies in the construction and deployment of application software solutions, contributing to the development of information technology –media of country. MISA is also the familiar product with universities, colleges, training centers of information technology, business administration, and finance accounting in the whole country. More than 250 universities, colleges and vocational schools have introduced MISA software into teaching job. MISA is also the partner of Departments; Ministry, such as Ministry of Science and Technology; Ministry of Education and Training; Ministry of Foreign Office, and some other agencies. History of development The precursor of MISA JSC was MISA GROUP, formed 25th December, 1994. Development history of MISA JSC is divided into 3 stages. Stage 1. Establishing a foothold in the market (1994-1996) From 1994-1996, MISA established and researched on the long-term path to itself, packaged software-building strategy was formed and developed. In fact, MISA packaged software for accounting work is the foundation of products and development orientation of MISA. MISA has found a way to develop in domestic market. Stage 2. Taking advantage of the opportunity, brand development (1996-2001) From 1996-2001, MISA’s target was to dominate the domestic market and build a MISA strong brand. In the last 1990s, with the investment and promotion to develop and apply information technology of the Party and State, software market in Vietnam was gradually built and developed strongly in government agencies. Taking advantage of this opportunity, MISA studied and launched business administration accounting software in 1996. Stage 3. Developing to become the professional (2001- present) With the new Business Law since 2000, the number of enterprises in Vietnam highly increased. Recognizing that the majority of Vietnam enterprises are medium and small with low management skill, low capital and knowledge of IT application is not high, MISA determined to explore this market. Business accounting software for small and medium enterprises was invested and developed in this context. Besides professional products, MISA also focused on after-sales support services. Company has staff to do consultancy work for clients, always on duty ready to answer clients. In order to deploy product-distributing network in the whole country, in this stage, the company has built 04 offices at Hanoi, Da Nang, HCM city and Buon Ma Thuot An overview about products MISA JSC is one of the pioneer units of accounting software and concretizing regulations about accounting policies for enterprises and organizations. It shows a relatively comprehensive solution about administrative work and accounting work by information technology. In all MISA’s products, MISA takes full advantage Microsoft’s strength to develop new useful features for users. For over 16 years of development, MISA’s products have been selected as reliable information technology product and won many prestigious IT wards. In addition, MISA won ICT Cup Awards for enterprise that create software and services best in Vietnam, top 5 of software units in Vietnam, certificate of merit from the Prime Minister, 11 BIT Cup Gold Cup, 06 Sao Khue prizes, 12 Vietnam ICT gold medals, and a lot of certificate of merit from Minister of Finance, Minister of Education and Training, Minister of Information and Communication, Chairman of Accounting and Auditing of Vietnam, etc are clear proofs for exertion of MISA. MISA’s software is used popularly in the whole country with the different products in accordance with the need of every company: For MISA SME.NET 2010 – business accounting software when using this software, managers can monitor all aspects of finance and business situation of subsidiaries and units directly under company. For MISA Mimosa.NET 2012- business administrative accounting software, company’s finance is managed concentrative to helps managers get a good hold of finance situation of their company in anywhere. It takes a comprehensive effect towards accounting and financing job of statistic industry. For MISA CRM.NET 2008 – client relation management software this is to enhance mutual benefits by strengthens and upholds relations with clients; it supports the working process from marketing, sales to after-sales support. All these stages are coordinated closely to create a perfect client- management system. For MISA HRM.NET 2012 – human resource management software which has automation from the stage of human resource planning, recruitment management, personnel records management, training and assessment to the stage of timekeeping, payment of wages, taxes, insurance and reporting, etc. This is completely online software; thus, managers can monitor human resource effectively in anywhere and grasp the company’s human resource situation to make timely and efficient decisions and policies. Organizational structure Organizational structure of MISA JSC
(Source: Administration Department - 2010) The model of organizational structure of MISA JSC is functional style. All those who relate to functional operations are classified as the same department. Management apparatus consist of 6 people; CEO is Mr. Lu Thanh Long who holds the most stocks of the company (3.100.000 stocks, make up 62% the total of stocks of the company). Every department undertakes their professional duty, software development center includes software development office in charge of researching, creating and develop new products and quality supervision office in charge of supervising and assessing new products, offices directly under regions that include Hanoi business office and representative offices in HCM city, Da Nang, Buon Ma Thuoy in charge of business and l market potential exploitation, the office of head of company specializes in PR, consultancy and support for client, accounting finance and organizational administration. Vision and mission With efforts and creativity in science and technology, MISA desires to become the software company that is used most popularly in the country, contributing to Vietnam to become a nation that achieve a high rank about IT in the world. MISA’s mission is to support and provide customers with the best software, the best solution with the most reasonable price in order to contribute global information technology in general, and popularity of the MISA software in particular. MISA always aims at 3 essential values: First, MISA always puts customers in center for all its activities, products, services always aims at customers’ need. Second, employees are the biggest property; therefore, MISA is concerned about creating a good motivation for employees to maximize the ability of each person. Third, knowledge for community – MISA is ready to bring its knowledge to share with community, and bring practical knowledge for students, and strongly participate in the work socializing education. For new-formed enterprises; medium and small enterprises, MISA always has products for free in order to support these enterprises. This is also a social responsibility that MISA desires to share with. For MISA JSC, “Human Resource” is the highest value that MISA is proud of because human resource is key element that leads to success. MISA has built employee staffs with high qualifications and enthusiasm. MISA’s products are crystallization of intelligence and enthusiasm of youth. MISA’s achievement is efforts of group of officials and staff who strive for company’s development. CHAPTER 2. Strategies of human resource management and development of MISA JSC Activities of human resource development of MISA JSC Strategies of human resource development Strategies of human resource development play an important role in long-term strategy of MISA. The company takes advantage maximally of human resource in business production and enhances competitive position in the software market. Strategies of the company consist of the following ways: First, attracting talents with treatment policy and business strategy. Second, recruiting human resource reasonably: internal human resource recruitment, recruitment through the newspaper, recruitment through universities and colleges; or recruitment through the questionnaire. Third, upholding current human resource and encouraging talents by reward policy, promotion, insurance, benefits, etc. Last, organizing training and upgrading human resources continuously according to periodic plan and the needs of human resource development. In short, strategies of human resource developmet of MISA JSC aim at developing powerful human resource and creating competitive advantage for the company. 2. Strategic planning methods Foundation of strategic planning MISA will carry out human resource strategic planning in long term (about 5 years), for example, quality and quantity of human resources of 2008 that will be forecasted; and in 2003-2004 or 2008 that will forecast human resources of 2012. The difference of quality and quantity of HR compared with estimation is quite little, except in case market changes so highly or there is a special policy, for instance, government has launched MISA Bamboo.NET 2008, thus, MISA have to coordinate more a large amount of human resources to deploy this project. Human resource planning is part of the main tasks of the manager, the human resource department; the planning was implemented in details, it based on the following main contents: Based on business strategies of the company: Long-term HR strategy will be based on business strategy: in the next stage, MISA expects to penetrate deeply into the development of optimal software for private enterprises after WTO integration, research on new software versions which are more useful and suitable. The recruitment as well as HR development of the company focused heavily on software development center, because here is place where researches and offers new software based on the fluctuation of market. Product process of MISA software
(Source: Business Department – MISA JSC 2010) Based on market demand: The market demand in the business block is relatively large, more than 70% of enterprises do not use accounting software - a huge potential for the company. According to the strategy of the company, accounting software will become an essential part of all companies, MISA will minimize the cost price of a software unit so that many companies can use software best (they are potential clients of the company when they need to use other software for production or business purposes). In addition, the company also provides many different kinds of software in accordance with the needs for use of every firm, such as HR management software; client relation management software, etc. Therefore, the company’s amount of employees will considerably increase in 5 years later, especially is business Department’s employees. Based on the needs and capabilities of the company: According to business strategy of the company, the needs of the market and the abilities of the company that will clearly identify the needs of the company about the number of employees for each of department, or how to recruit in the near future. Creating equilibrium between supply and demand for labor so that efficiency in human resource is the highest. Steps for strategic planning Before conducting human resource planning, Administrative Organization Department and HR Department that need to recruit more staff has to study plans and strategies in details, and combines with the whole company's plans to put forth a logical human resource policy. Human resource planning of MISA JSC includes 4 steps: Step 1: Propose the needs of human resource Based on business strategy, assess market needs and the ability to meet of the company and some experience to a report about human resource needs at present. First, research on the number of human resources that meet the current needs, the numbers of employees are working, and the numbers of employee missing in the position? Second, the level of quality which human resources need to achieve. Third, plans; quantity and quality of human resources in the future (based on market fluctuation, production plans, and future business). Then, research on ability to meet the needs of the company about finance, departments, etc. Last, concretize the number of human resources for recruitment. Step 2: Propose human resource plans HR plans are proposed in the long term (from 5 to 10 years) and in the short term (quarter, half year or a year). After conducting human resource demand forecasts by the comparison of the market demand (the ability to develop markets in the short term), the demand of the company (there is a campaign of product or not), and the ability is of the company. Management board and human resource Department are responsible for providing a HR plan report in short and long term. Step 3: Implement human resource planning Policies and plans are implemented by the HR Department and direct-relating Department. The HR department in charge of recruitment, training, business and software development Department directly train and receive new employees. Step 4: Assess the performance and the effectiveness of plans.Check the numbers of recruited staff are sufficient or not? Quality meets the demand or not? Human resource strategy is in accordance with the strategy of the company or not? There is a need to adjust if the performance are not in accordance with the target (the target and strategy of the company is to put human resource in center; thus, all issues have to aim at people, put people in essence of value and development).After assessing the finished goals and plans, they have to learn from experience to achieve better results in the next plans and strategies. Recruitment management Base on process of identifying the need of human resources, the company can determine clearly about amount of employees need to recruit. There are 2 ways to recruit employees: Recruiting internal HR: If there has missing position in the company such as leadership positions, manager, or team leader, the company will promote at first those who gain achievements in work. When internal human resources do not meet the need of the company, it will implement external recruitment. Recruiting external HR: Put recruiting information in newspapers, website, magazines, or contact with job-introducing centers; organize to recruit directly at job fairs, recruiting contacts with colleges and universities by collaborating on training and scholarships Process of recruitment – MISA JSC
 (Source: HR Department- MISA JSC 2010) Outline above is to summarize completely steps in process of recruitment of MISA JSC (the company can remove some above steps -- depending on work position). After identifying the need of recruitment and recruiting proposal, the company will put a recruiting notice on newspapers, websites because it is popular and in accordance with different levels of human resources. The next step is to receive employees’ records. The company has not carried out rejecting directly employees’ records to make more opportunities for candidates and to ensure that the company will recruit the most talents. Interview and test candidates’ level are two steps that reject the most candidates. After passing the interview, candidates are considered they pass recruiting course and have to go to have a physical check-up to ensure for the need of work. Last, candidates will experience two-month period of probation, in probation process, candidates will be learned about rules and workplace culture of the company. In this period of probation, the company evaluates candidates that mainly based on sense of responsibility and inquiring mind of them. In this step, the company still can reject candidates who are not in accordance with targets and essence value that the company aims at. Training and developing human resource Training and cultivating plays an important role in the development of human resources in company in general and MISA JSC in particular. For the company, regular training for staff personnel is very important in the development strategy. In the period of international economic integration; the period of information technology and knowledge, technology, new inventions constantly increase, especially in the field that the company are operating. Thus, training to update skills and knowledge, enhance professional qualifications are essential. Designing plans, strategies, training objectives need to be careful, specific, and clear and strategies have to be conducted seriously with diversified training for all officials and employees. From professional-skilled training to personal-skilled training to provide social knowledge; law, and training to enhance a sense of community. The training programs are very useful because it enhances in both professional skills and cohesive team, makes