BTEC HND Unit 3: HRM Practices and Employee Relations at VNG

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This report provides a comprehensive analysis of human resource management (HRM) practices at VNG Corporation, a leading technology company in Vietnam. The report delves into the core concepts of employee relations, including policy, obligations, trade unions, employee voice, and participation. It examines relevant employment legislation, such as discrimination, equal pay, and health and safety laws, providing practical applications within the VNG context. Furthermore, the report explores VNG's training package for software engineers, covering workforce planning, recruitment, selection, training and development, performance management, and reward systems. The analysis highlights VNG's power-sharing approach to employee relations, emphasizing employee empowerment and its impact on productivity and company performance. The report uses academic sources to support the analysis.
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ASSIGNMENT 2 FRONT SHEET
Qualification
BTEC Level 4 HND Diploma in Business
Unit number and title
Unit 3 Human resource management
Submission date
28/10/2020 Date Received 1st submission
Re-submission Date
Date Received 2nd submission
Student Name
Võ Minh Anh Student ID GBS200287
Class
GBS0812 Assessor name
Student declaration

I certify that the assignment submission is entirely my own work and I fully understand the consequences of plagiarism. I understand
that making a false declaration is a form of malpractice.

Student’s signature

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P6 P7 M4 M5 D3
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Table of Contents
I. Introduction
.......................................................................................................................................................... 4
II. Employee relations and employment legislation
................................................................................................ 5
1. Employee relations
........................................................................................................................................... 5
1.1. What is employee relations
...................................................................................................................... 5
1.2. Employee relations policy
......................................................................................................................... 5
1.3. Main obligation
......................................................................................................................................... 6
1.4. Trade unions
............................................................................................................................................. 6
1.5. Employee voice
......................................................................................................................................... 7
1.6. Employee participation & employee involvement
................................................................................... 7
1.7. Application
................................................................................................................................................ 8
2. Employment legislation .................................................................................................................................. 14

2.1. Discrimination law .................................................................................................................................. 14

2.2. Equal pay law .......................................................................................................................................... 16

2.3. Health and safety law ............................................................................................................................. 16

2.4. Friendly-family law.................................................................................................................................. 17

2.5.
National Minimum wage ........................................................................................................................ 17
2.6.
Application .............................................................................................................................................. 18
III. Training package and the HRM practices in VNG ........................................................................................... 20

1. The current situation and the demand of Software Engineering ................................................................... 20

2. Job profile ....................................................................................................................................................... 22

3. Workforce planning ........................................................................................................................................ 23

4. Recruitment and selection .............................................................................................................................. 24

4.1. VNG Fresher ............................................................................................................................................ 24

4.2. Direct recruitment .................................................................................................................................. 25

5. Training and development .............................................................................................................................. 26

5.1. Training package ..................................................................................................................................... 28

5.2. Benefits after training ............................................................................................................................. 29

5.3. Evaluate .................................................................................................................................................. 30

6. Performance management ............................................................................................................................. 31

7. Reward system................................................................................................................................................ 32

IV. Conclusion....................................................................................................................................................... 33
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V. References .......................................................................................................................................................... 33
I. Introduction

VNG Corp is one of the biggest technology company in Vietnam. VNG Corp founded on
September 9th 2004. Since its establishment , the Company has continuously developed
from the first Vietnamese online gaming company to one of the best technology ,
entertainment, internet service, software production company in Vietnam. The
Organization has provided a wide variety of high quality entertainment items such as Zing
Details and Entertainment Doors, Zing MP3 Online Music Website, ZingTV Entertainment
Website. In recent years, VNG has grown and built a more high-quality mobile platform
product Zalo, ZingTV, Zing MP3, LaBan Browser, ZaloPay, vCS, vCloudcam, Cloud Server, to
name a few that is serving more and more demand for entertainment, education and
payment services through mobile applications in Vietnam and around the world. The
number of employees in VNG is about 2700 (Annual report, 2019). Human is a significant
part in organization success, so training and development the employee skills and abilities is
extremely important. As a member in HR department of VNG Corporation, who take charge
of designing a new training package for Software Engineering in one year and this plan will
be present to the leadership team.
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Source: Vng.com.vn,2020
II. Employee relations and employment legislation

1. Employee relations

1.1. What is employee relations

According to Brewster, Houldsworth, Sparrow and Vernon (2016), employee relations are
involved overarching workplace or collective labour policy questions, in particular where
they include large negotiation questions (the conventional subject of industrial relations),
regulation of the working relationship by the social actor and arrangements for the
distillation and representation of the collective voice of workers.

Besides the definitions above, employee relations has been suggested by Armstrong and
Taylor (2014) that are concerned with controlling and sustaining the work relationship,
taking into account the consequences of the psychological contract concept. This includes
communicating with workers either together by their labor unions or individually; managing
workplace policies, terms and conditions of employment and employment issues; and
supplying workers with a forum and contact with employees.

1.2. Employee relations policy

Employee relations strategies express the organization's philosophy as to what type of
arrangement should be pursued between management and workers and, where possible,
their organizations, and how pay-to-work bargaining should be handled. The goal of a social
partnership strategy is to establish and sustain a healthy, efficient, cooperative and
trustworthy working relationship environment. (Armstrong and Taylor, 2014)
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1.3. Main obligation
Employers to employees

When hire employees, the employer have legal and ethical responsibilities to employees
which include pay, benefits and working desicion. The employers general responsibility of
treatment of workers in the workplace is to ensure the health, protection and wellbeing at
work of all workers and those who come to the workplace. Moreover, they must provide
work pay their workers the wages and benefits they have committed on. Besides, the
employers must not treat staff
in an arbitrary or vindictive manner . And the final
responsibility for employers is
supplying work systems that are designed, coordinated,
carried out, managed an
d updated as necessary, in such a manner that they are, to the
degree fairly possible, secure and without risk to health.

Employees to employers

The employers must responsible for their staff, and vice versa, the employees have many
duties to do for the employers. First of all, the staff ensure to corporate with their boss so
that together reach the goals. Moreover, obeying the lawful instructions is another
employee’s duty and acting in a good faith. Besides, the employer has provide and support
for the staff to enhance, so they must excersice to improve their skills and abilities day to
day.

Employers to employers and vice versa

Belong side the duties between employers and employees, there are also certain
responsibilities between employers which preserve the relationship of mutual trust and
confidence.

Employers to ex-employees

The employers not only responsible for the current employees but also the ex-employees
which are fidelity.

1.4. Trade unions

Based on to Brewster, Houldsworth, Sparrow and Vernon (2016), unions are preferred as a
heart of employee relations, And governance of the work arrangement by actors beyond
the hierarchy of management. Unions are enduring voluntary associations of employees
with a broad goal of ensuring that the rights of employees are protected and encouraged.
Typically, they are rather independent of administration. The trade union is an association
comprising the employees of a corporation whose employees must be mostly workers. One
of the key goals of the trade union is to protect the gains of its workers in the company as
well. Many of the unions are self-governing to every boss. However, the union is seeking to
promote a close working relationship with the employer.
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1.5. Employee voice
Employee voice is often described as allowing individuals the ability to share thoughts,
concerns and viewpoints with honesty and without fear of social or organizational
repercussions. This means that workers have the power to affect decisions at work through
their input. As Boxall and Purcell (2003: 162) said that employee voice is a concept
increasingly used to cover a broad range of processes and mechanisms that allow and often
encourage workers, both directly and indirectly, to make a contribution to decision-making
in a organization. It explains the arrangements for a two-way conversation that would
enable workers to affect work-related activities, including mechanisms of interaction,
involvement, upward resolution of issues and upward contact. It covers the provision of
ways for workers to report their dissatisfaction, communicate complaints or concerns and
to alter the power of management. (Armstrong and Taylor, 2014)

1.6. Employee participation & employee involvement

Employee participation (EP) refers to business ventures in which workers join one another
in order to fulfill a common purpose. Employee participation (EP) allows employers to put
countervailing and growing pressure on management, which does not mean a union of
intent within managers and employees. (Bratton and Gold, 2007, p. 451)

Employee involvement (EI), On the contrary, is viewed as a 'softer' mode of engagement,
suggesting a convergence of concern between workers and management, and emphasizing
that engagement should be aimed at the workforce as a whole rather than limited to trade
union / rep. channels.

Benefits of employee involvement (EI): Increased morale, increased productivity , better
coworker partnerships and strategic innovation are the main advantages of employee
involvement. The EI is correlated with a high degree of worker engagement and superior
efficiency. Employee involvement intends to pursue creativity. Employees who have a
interest in the company's success and development will provide more innovations and
strategies as barriers emerge. Moreover, when workers meet individual obstacles or
develop strategies , processes or goods, they can promote development and more
analytical and creative thinking. Employee involvement in choices and policy shifts that
specifically impact their work, while encouraging workers to be more self-employed,
dramatically increases productivity in general. As workers are viewed as commodities and
their feedback is taken into account, trust improves among each team member and the
organization makes substantial benefits in various aspects, such as productivity and loyalty.
In addition , increased morale will increase the longevity of the employee of the
organization. The more the employee is involved with the business, the more seasoned
they become, making them supervisors to new hires and invaluable to the managerial team.
The last benefit is commitment-performance relation is focused on dubious assumptions;
that allowing employees more control over job priorities, resources and procedures would
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have a positive impact on worker behaviors, behavioral commitment to the objectives of
the enterprise, and that behavioral improvement would improve morale and satisfaction
and result in improved employee and organizational performance. (Bratton and Gold, 2007,
p. 451)

The downside of EI: Alongside benefits, EI also has many disadvantages that the
organization must deal with. First of all, one possible obstacle to encourage employee
involvement is the possibility that the difference between the level of management and the
level of staff would be blurred. While managers may respect staff engagement, a disciplined
process and consistent accountability lines has long been essential to the stability of
organizations. Allowing workers to share thoughts and make choices without letting them
push the envelope to attempt to take on the duties reserved for management is a real
challenge. Moreover, while turning over responsibilities to staff will increase mobility,
efficiency, and speed, there are fears that novice employees could be a matter of decision-
making for the organization. In addition, this may lead to the amount of failures and could
also place the credibility of the organization at a certain risk. Besides, in which employees
are granted control over items in a corporation, the chances are that these decisions will be
biased. As a consequence, it will lead to conflicts with their fellow subordinates and, in turn,
it can lead to reduced productivity. And if there is a lack of a crew of individuals with skills
commensurate with the mission, activities and job needed, decision-making would be
worse. This would be to the detriment of the company, when weak responses contribute to
decreased efficiency and internal strife. Employee involvement may bring a potential risk
that participative groups can unite against management in order to limit production and
prevent reform which create a chaos and reduce organization performance. On the one
hand, employee do not have concept skill to draw a big picture and award the strength or
weaks of the company to set a favorable goals that lead the targets set by workers may be
too low and may not guarantee the survival of the market.

1.7. Application

VNG is clearly aware that giving employees a voice and making their own decisions will
enhance self-esteem and make employees feel that they are a part of the company. This
increases employee productivity and company performance, not only increases employee
responsibility at work and dedication to the growth of the company. There are 4
approaches in employee relations strategy which include tradition, adversarial, partnership
and power sharing. In VNG, The most outstanding thing is the "empowering" style in the
company's core cultural values which is power sharing in employee relations which staff are
allow to decision in both day-to-day and strategy. According to Ms. Doan Thi Thuy Lan,
Administrative Director of VNG Company; working environment at VNG is built on the
culture of "no office; no fences; no suit, no tie, and no rank (Topcv.com, nd). With the
working environment at VNG; The most outstanding thing is the "empowering" style in the
company's core cultural values. Although it has been developed for more than 10 years;
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VNG still strongly encourages its employees to form small start-up groups; promote a
creative and dynamic working spirit among employees. At work, VNG allows middle
managers and employees to make their own decisions. In life, at the small spots like eating
lunch in the cafeteria or going out to eat; employees are also self-determined (even though
the company has a canteen area with large area). Regarding working time, employees are
not constrained by time; as long as they can afford the job.

In order to encourange and get the best out of power sharing, not only give authorities for
employees, VNG also invest on material facilities so that create a best workplace for
employee to promote ability. VNG offices were built with a youthful space; widely; modern
and dynamic in order to maximize the employee's creativity. Teams in the office will be
divided into small work areas with direct interaction with each other; from the work plan
team to the product development team. Office design at VNG is also diverse; no
stereotypes; allowing each team to build their own working environment; to meet the
specific working needs of each department.

Team Zing work area (Source: GameK.vn)
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Team Zing meeting area (Source:GameK.vn)
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Game department work area (Source:GameK.vn)
Currently, VNG has opened new campus in district 7 with the idea is to create an ideal and
efficient working environment, which is transparent and interactive, making it easy for
employees to communicate, collaborate with each other at work, as well as stimulate
research, create employees dynamic.

VNG new campus (Source:Vng.com.vn)
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Atrium hall (Source: Vng.com.vn)
Hot desk (Source: Vng.com.vn)
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