Experience in Developing Management Staff in Small and Medium Enterprises of Countries Around the World

2.5. Experience in developing management staff in small and medium enterprises of countries around the world

Choosing appropriate content and development forms plays a very important role in developing human resources in general and human resource management in particular of SMEs. However, in addition to the initiative of SMEs, the support of the State for the development of human resources of SMEs is very necessary. International experience shows that the development of human resources, human resource management and development of SMEs always receive special attention from the Governments of countries and is demonstrated through many development support programs and policies. Below are some lessons learned in developing human resources in general and human resource management in particular of some countries in the world that can be referenced for application in Vietnam.

2.5.1. Experience in developing human resources and management staff of Japan

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Traditional Japanese human resource management emphasizes the recruitment and use of lifelong labor, thereby creating a stable mentality for employees and lifelong commitment to the enterprise. Therefore, Japanese people consider the enterprise as their second home. Enterprise leaders always care about members. Because they work for the enterprise for life, employees and managers will be given the opportunity to learn and be trained from the enterprise's capital. Improving productivity, quality and human resource training are considered two basic characteristics of Japanese enterprises.

On evaluating existing human resource and planning for human resource development

For those who have worked for a long time, factors such as quality, quantity of products, reliability and ability to follow through are given special attention and have more achievements than those who have just entered the profession. However, the limitation is that criteria such as education level and seniority are still heavy in their management. In Japan, enterprises evaluate employees twice a year, and the evaluation information will be saved in personal files. In special cases, appropriate adjustments will be made, but usually from 5 to 10 years after joining the enterprise, employees will be promoted to management positions.

For workers, Japan always tries to motivate, encourage, and create the best working environment. In fact, the unusual success of Japanese managers is to create an environment in which all workers agree on their own interests with the interests of the enterprise and are encouraged to strive for those goals.

Enterprises regularly evaluate human resources, management resources and training needs at each position to ensure that each employee is trained and continuously developed according to the plan from the time they are recruited. Therefore, the training and development plan is closely linked to the personal career development plan through the assessment of training needs and the development plan is regularly implemented in each enterprise. The human resource development plan is built very specifically, including a training plan and a rotation plan so that each employee can develop from the time they are newly recruited until they become a leader, manager or expert.

The work of planning for the development of human resources, led by the human resource development department, is carried out regularly in each enterprise for each job position. In particular, in developing plans and training programs, there is coordination between the training center and relevant departments and divisions for each job position. Policies and mechanisms for implementing human resource development have been built and applied for a long time, from which training and development activities are carried out regularly and continuously to improve existing human resources.

On implementation and organization, management of human resource development

- Enterprises always pay attention to and carry out regular training and development to improve human resources capacity, focusing on training with appropriate methods to maintain and develop job skills, update new knowledge. Implement regular training and development in conjunction with personal development plans.

- Salary and bonus increase system based on seniority: In Japan, there is almost no phenomenon of young people with less seniority having higher positions and salaries than those who have worked for a long time in the company.

- Job rotation: In Japan, it is very common for employees to change jobs within the same company. This is achieved thanks to the job arrangement according to

The rotational model simultaneously helps achieve two goals: creating a wide range of skills for workers, while allowing businesses to be proactive and flexible in meeting the ever-changing needs of the workforce's skill composition; helping to form a multi-skilled workforce, able to perform many different stages in the production process at the same time.

- Off-the-job training has a positive relationship with the size of the enterprise. The larger the enterprise, the more off-the-job training is conducted. For training to be effective, enterprises carefully select people with skills suitable for the training objectives, giving priority to managers such as team leaders and department heads to send for training. Those selected for training must study the documents before attending the seminar or course and after finishing must report back to the employer about the content they have learned and discuss the issue. On the other hand, there must be a commitment to work for a certain period of time depending on the training course.

- Human resource development in Japanese enterprises is effective, training and development activities are regularly and systematically implemented due to the effective organization and operating apparatus and the management of human resource development is carried out very well. The organizational structure, human resource management and implementation of human resource development in enterprises are quite compact but have close and systematic connections from enterprises to training units and facilities.

- In management and implementation, enterprises have clear policies and mechanisms on management and implementation of human resource development activities.

Thanks to clear decentralization in management and implementation organization to each base unit, human resource development has been closely linked to practical activities in each production and business stage. Therefore, training and fostering activities are very practical and are closely evaluated through trainees and management staff to gain experience, from which human resource development plans and programs are reviewed, adjusted and supplemented annually.

2.5.2. Experience in developing management staff resources of ASEAN countries

2.5.2.1. Singapore's experience

Regarding the planning of developing human resources, enterprises have had investment strategies for developing human resources very early. Up to now, the training and development of human resources and human resources has reached a level of harmony with the life and working environment that is constantly being improved for each employee. With the goal of creating the best living and working environment, regular training and development activities are harmoniously combined with care for material and spiritual life and career development opportunities. Therefore, employees of enterprises enjoy preferential treatment and life care regimes to strongly promote the motivation to study and research to perfect their operational capacity in each job position.

Regarding the implementation and organization of human resource development, enterprises regularly organize training programs and skill development for human resources.

2.5.2.2. Malaysia's experience

Malaysia has been very successful in mobilizing the participation of the private sector in training and developing managers. In the 1990s, increasing the number of trainees and students was one of the urgent requirements. Therefore, the government has introduced many measures to encourage human resources, thus achieving the target of the number of trainees and developing managers.

Malaysia also focuses on developing professional associations. Professional associations are one of the important tools for training and developing managers in various specialized fields such as: Human Resource Management, Marketing Management, etc. The association acts as a forum, a bridge to provide and share information between researchers, lecturers, business managers, state management agencies on the actual situation as well as developing theories that can be used in practice.

Regarding strategic planning and policy development for human resource management: Malaysian enterprises are committed to ensuring that education, training and development programs are systematically planned and implemented, integrated with individual career development.

2.5.2.3. Thailand's experience

With the rapid formation and development of SMEs, the need for development and training for Thai managers is huge. To meet this need, Thailand has developed the “Business Manager Development” program and has been very successful with this program. The program emphasizes the combination of theory and practice; the combination of domestic teachers with prestigious international lecturers and maintains a class size of about 25 people for manager training programs.

Another lesson learned from Thailand is the diversity of training and development programs for managers. During the 1990s, the demand for training in the business sector was huge. Meanwhile, the inflexible way of organizing training programs did not meet the diverse needs of society. Therefore, a series of training and development programs for managers were built and implemented in very different ways: evening classes, weekend classes, foreign language classes, and abbreviated management programs at the graduate level. These programs even include postgraduate training programs, which often do not focus on academic aspects but rather on the practical application of knowledge learned by students. Because of this flexibility, the programs have contributed greatly to the development of Thailand's human resources for managers.

Enterprises in Thailand often develop strategies to improve work efficiency and effectiveness, pay attention to building a system of evaluation standards and enhancing the capacity of the employee evaluation system including 3 aspects: goals, performance capacity and comprehensive feedback. The results of the capacity assessment together with the assessment of regular training needs are the basis for building a human resource development plan, helping employees form a personal development plan.

2.5.3. Lessons applied to Vietnam

2.5.3.1. Lessons from Japan's experience

Both countries (Vietnam and Japan) have built a human resource management model based on the East Asian cultural foundation. Cultural factors have significantly influenced the formation and development of human personality and behavior towards other people and society, which is expressed in the general philosophy of human resource management and administration... However, there are inevitable differences between the two countries in the general human resource management model and the management of managerial staff in particular. Moreover, Vietnam's market economy has not been synchronized and has not yet promoted its effectiveness. Vietnam can learn a lot from Japan's human resource management model:

+ On the State side:

Firstly, it is necessary to create a mechanism for enterprises in business activities, simple and transparent in the legal environment for human resource management; create the strength of national culture to connect the responsibility of each individual and enterprise in the development process.

Second, it is necessary to develop a long-term investment strategy for human resource development in general and managerial staff in particular, such as investing in managerial staff abroad with high intellectual content, suitable for the country's industrialization and modernization.

Third, continuously expand the business environment, creating conditions for Vietnamese enterprises to reach out to the world. This is the stage where Vietnamese enterprises are currently weak.

+ On the business side:

Firstly, enterprises identify the management of human resources and managerial staff as one of the top tasks that need to be done and prioritize it. When establishing an enterprise, it is necessary to have a strategy to attract and train human resources in general and managerial staff in particular in an appropriate manner.

Second, build a systematic human resource management philosophy associated with the development process of the enterprise, both in prosperous and difficult times. This helps employees understand and absorb, thereby becoming more loyal to the enterprise.

Third, enterprises must have a long-term development strategy because employees will only devote themselves to the enterprise when both parties have common and long-term benefits. Employees must be able to see the enterprise's long-term plans and goals.

Fourth, for state-owned enterprises, there needs to be a breakthrough in the process of human resource management. The shortcomings of the old mechanism and the habits of workers in the old mechanism require change.

Fifth, it is necessary to enhance the role of trade unions in enterprises, avoid formalism, and promote the role of trade unions in protecting workers.

Sixth, improve the physical and moral health of workers by improving the health system and strengthening public health care to improve labor quality.

2.5.3.2. Lessons from Singapore's experience

Create maximum conditions to attract foreign training institutions to operate in Vietnam through creating incentives on tax and land policies for foreign schools to operate in Vietnam. At the same time, encourage foreign institutions to cooperate and associate with domestic institutions in providing high-quality training and management development programs.

2.5.3.3. Lessons from Thailand's experience

It is necessary to build a training and development program for directors for private enterprises, emphasizing on ensuring training quality through tools such as modern methods, small scale, and especially ensuring internationalization in training content.

It is necessary to develop policies to support training institutions in diversifying training programs and developing managers for many economic sectors, many levels and management levels in many different industries and fields.

It is necessary to create a mechanism to establish a close relationship between training institutions and enterprises to enhance the connection between theory and practice of training programs and develop human resources.

2.5.3.4. Lessons from the experience of other countries

* Assessing human resource and planning development

- Planning for the development of management staff along with the development of training and development plans is carried out through regular assessment of the existing management staff. Assessment of management staff needs to be implemented for each job position and based on the required competencies for each position.

- Building and announcing strategies and policies for developing human resources suitable for each stage is meaningful in the management and implementation of human resource development. The strategy for developing human resources is integrated with the business strategy of the enterprise, thereby training and development policies are closely linked to the business situation and aim at career development, harmonizing individuals and units at all levels in the enterprise.

* Implementing the development of human resource management

- Short-term training and development activities play a decisive role, so they need to be carried out regularly to improve the capacity of management staff. This activity needs to be linked to the rotation plan, in line with the individual career development plan.

- Regarding the implementation method, in addition to implementing courses at training facilities, organizing training right at production and business units and on-site tutoring with the direct participation of specialized departments and offices at all levels gives high results and efficiency.

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