Human resource development of Vietnam Electricity Group

Southern Power Corporation, National Power Transmission Corporation, Hoa Binh Hydropower Company and Power Transmission Company 1.

To analyze and evaluate the impact of the results of human resource development and the role of human resources in electricity production and business in Vietnam in the period 2001-2009, the thesis used the growth accounting method and applied the Cobb-Douglas production function to quantify the impact of human resources on the growth of added value of electricity production and business.

Based on the scientific theory, in order to study the practical activities of developing human resources, to make findings, proposals and recommendations to improve this work at EVN in the coming time, the author has applied the method of researching real situations "case study" at some units such as Hanoi Power Corporation, Power Transmission Corporation and the Parent Company - Vietnam Electricity Group. The time of conducting the survey and research focused on the years 2008, 2009 and early 2010, which was the period of rearrangement of the model of some units in the stages of electricity production and business.

5. Research situation

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Research situation abroad:

In the world, since the 1990s, there have been many studies on human resource development and systematic human resource training, especially in the US, Europe and some developed countries such as the UK, Canada, Australia, etc. The most typical are the following studies and authors:

 Kelly DJ, in a research result on human resource development of the development research working group of the Pacific Economic Cooperation Organization published in 2001 in the Human Resource Development Outlook magazine [79], presented the concepts of human resource development. From the development perspective, the research group believes that human resource development is a category within the overall process of human development.

 Kristine Sydhagen and Peter Cunningham (2007) of Nelson Mandela Metropolitan University published a research work on the concept and content of human resource development in the Journal of Human Resource Development International [80]. Most recently, author Abdullsh Haslinda (2009) also focused on clarifying the concept, purpose and function of human resource development [66]. In these studies, the authors have synthesized the theory and practice of concepts and perspectives on human resource development in different scopes and perspectives from typical published studies in the world.

 Regarding the concept and scope of human resource development in academic terms, Greg G. Wang and Judy Y. Sun (2009) published a study to clarify the boundaries of human resource development in the journal Human Resource Development International . In this article, the authors analyzed the distinction between the concept of human resource development and human capital development and human development in the social aspect, which can be applied to clarify the theoretical aspect of human resource research in an organization [73, pp.93-103].

 Julia Storberg and Walker Claire Gubbins (2007) studied the social relationship between people and human resource development [78] and presented the content of human resource development in different scopes, taking into account the links and intertwined relationships between units in the organization and between the organization and the outside society.

 Many recent studies on the methodology and content of human resource development have been published. The most typical are authors such as Charles Cowell et al. [68] and some other authors such as: W. Clayton Allen and Richard A. Swanson (2006), Timothy Mc Clernon and Paul B. Roberts [69], [70]. These studies all agree that the "systematic training model of analysis, design, development, implementation and evaluation (ADDIE)" used over the past 30 years in the world is the core content of human resource development in each organization.

However, up to now there has not been a systematic and in-depth study on human resource development for a corporation or company operating in the field of electricity production and business.

Domestic research situation:

It can be said that before the 1990s, there were very few published studies on human resource development in general as well as human resource development for an electricity organization. Since 2000, there have been many studies on human resource development in related fields such as education, training and some studies on human resource, organization, and labor at Vietnam Electricity Corporation, the predecessor of EVN. Typical recent studies are summarized below.

Regarding training and development of human resources in general, there are many research works and articles, among which some typical studies are:

- Key research at the ministerial level conducted by the National Economics University in 2003 with the topic "Knowledge economy and human resource training in Vietnam in the first decade of the 21st century", including many articles and discussions by scientists and education managers focusing mainly on the issue of education and training of the country to serve socio-economic development in the new period: integration and towards a knowledge economy;

- Author Nguyen Huu Dung, in the book "Effective use of human resources in Vietnam" [6] has systematized some basic issues on development, distribution and use of human resources in the period of building a market economy in Vietnam;

- Author Doan Van Khai (2005) published a study on the theory and practice of human resources for socio-economic development in Vietnam during the period of industrialization and modernization [17], providing viewpoints, directions and some macro-level solutions in the development and use of human resources in Vietnam in the period 2001-2010;

- Author Nguyen Trung (2007) has an article with main analysis on Vietnam's education system in the current period to propose comprehensive solutions for human resource development in Vietnam [58];

- The Central Institute for Economic Management (2008) published an article on "human development and human resource development", [63], which deeply analyzed the relationship and role of human resource development for human development in economic development, etc.

Regarding human resource development for an organization and enterprise , there have been many studies, including some typical studies as follows:

- Doctoral thesis in economics by Phan Thuy Chi (2008): “Training and developing human resources in economic universities of Vietnam through international training cooperation programs” [5]. This is a fairly systematic study on training and developing human resources in universities but is limited to examining the impacts through international training cooperation programs;

- The article “Training and development of human resources in state-owned enterprises” by Ngo Thi Minh Hang [12] published in 2008 presents a study on the current status of human resource development, mainly training activities in state-owned enterprises, through a survey of a number of enterprises in Hanoi. The author analyzed and gave some general comments on the weaknesses and shortcomings of training activities in these enterprises in recent times.

- Authors Pham Truong Hoang and Ngo Duc Anh, National Economics University: through research on human resource development for Vietnamese industrial enterprises compared with countries at different levels of economic development, it shows the characteristics of human resource development in these enterprises in the stages of building and accumulating technical capacity of each country [14].

Regarding the organizational model, labor, wages and human resources at Vietnam Electricity Corporation, there have been some recent studies such as:

- Master's thesis in economics by Pham Anh Tuan [56] with the topic "Main solutions to ensure labor force for the electricity production and business sector of Vietnam Electricity Corporation" completed in 2003 at the National Economics University;

- "Improving the production and business organization model of Vietnam Electricity Corporation" is a study by author Nguyen Anh Tuan [55], PhD thesis in economics research at the National Economics University published in 2003. The thesis systematizes the theoretical basis of electricity production and business organization and proposes an organizational model suitable for the trend of forming a competitive electricity market for Vietnam Electricity Corporation;

- “Improving salary management in the Vietnam Electricity industry”, PhD thesis in economics by Tran The Hung, researched at the National Economics University, published in 2008 [15];

- “Applying the theory of personal income distribution in a socialist-oriented market economy to Vietnam Electricity Corporation”, Doctoral thesis in economics by Dau Duc Khoi, completed in 2008 [20];

Regarding recent topics and projects related to training and human resource development for the Vietnam Electricity industry, there are:

- The project "Research on human resource development in the Vietnam Electricity industry" was carried out by the consulting group of Tokyo Electric Power Company - Japan (TEPCO) and domestic consultants (Hung Viet Company) [75] from December 2003 to June 2004. This is a short study to support the project "Training teachers/instructors in the Electricity industry" (JICA-EVN Project) sponsored by JICA - Japan to provide short-term training in 5 technical fields for Vietnam Electricity Corporation [51]. However, this study is only within the framework of a technical support project to assess the current status of human resource management and training at Vietnam Electricity Corporation.

- The report “Master plan for training and human resource development of Vietnam Electricity Corporation” was conducted by Ireland International Consulting Company - ESBI in 2003 within the framework of a consulting contract on planning human resource training [48]. This is the first international study on human resources and training to develop human resources for the Vietnam Electricity industry, mainly Vietnam Electricity Corporation.

However, this study aims to propose a plan for training human resources in groups of fields in a 5-year development period.

In short, up to now there have been many studies but only mentioned some related aspects such as labor, income and training, but there has not been any comprehensive and systematic research on human resource development for the Vietnam Electricity industry in general and for the Vietnam Electricity Group in particular.

6. Contributions of the Thesis

In theory:

- Systematizing the basic theoretical basis of human resources, its role and impact on socio-economic development. Using the accounting method and electricity production and business data to estimate the parameters of the Cobb-Douglas production function to evaluate the contribution of human resources to growth, the thesis shows that this application is not only suitable in theory but can be completely applied to consider the impact and contribution trends of human resources as well as capital factors, productivity of total factors within an enterprise.

- The thesis has clarified the nature and content of human resource development in an electricity organization, noting the goal of human resource structure in planning, improving the quality of human resources through the capacity of job positions and considering the completion of management organization as an important content.

- Analyzing the characteristics of human resources and electricity production and business, the thesis clarifies the factors affecting the human resources development activities of an electricity organization in the current period.

In practice:

- The thesis analyzes the contribution level and impact trend of NNL on the results of electricity production and business in Vietnam in the period 2001-2009 as well as labor productivity of EVN and gives important assessments on the quality of growth and development of EVN in recent times in electricity production and business.

- Based on the research on the experience of implementing human resource development in electricity enterprises in ASEAN countries and Japan with similar organizational and operational models to EVN, the thesis has drawn valuable lessons applicable to the Vietnamese Electricity industry and EVN.

- Analysis to clarify the current status and results of human resource development activities at Vietnam Electricity Group, pointing out the limitations and causes of the limitations of this work at the Group in recent times.

- Through analysis of the strategy and plan for developing electricity production and business, the trend of restructuring the electricity industry and factors affecting EVN's human resource development, the thesis has forecasted 3 types of reasonable human resource structures for electricity production and business and requirements for improving the quality of human resources as a basis for orienting EVN's human resource development until 2015.

- Based on the theory and practice of human resource development systematized in Chapter 1, the analysis results in Chapter 2, the Thesis proposes the objectives, development directions and proposes scientifically and practically based solutions for human resource development to meet the electricity production and business goals by 2015 and to complete this work at Vietnam Electricity Group.

7. Structure of the Thesis:

In addition to the introduction, conclusion and recommendations, the appendix including 9 appendices and the list of references, the Thesis is presented in 3 chapters.

Chapter 1: Basic theoretical issues on human resource development in the electricity industry and international experience.

Chapter 2: Current status of human resource development of Vietnam Electricity Group.

Chapter 3: Directions and solutions for human resource development of Vietnam Electricity Group to 2015.

Chapter 1

BASIC THEORETICAL ISSUES ON HUMAN RESOURCE DEVELOPMENT IN THE ELECTRICITY INDUSTRY AND INTERNATIONAL EXPERIENCE

1.1 HUMAN RESOURCES WITH SOCIO-ECONOMIC DEVELOPMENT

1.1.1 Human resources

1.1.1.1 Concept of human resources

Human resources (HR) or also known as “human resources” originates from the English phrase “human resource” which has been widely used since the 60s of the 20th century in many Western countries and some Asian countries, and has now become popular in the world. In the early years of the 20th century, HR was mainly concerned with the use and exploitation of labor. By the 1920s, the concept of labor, a factor in production, was recognized as a factor that needed to be suitable and closely linked to the enterprise.

The concept of human resources is considered in different scopes and approaches. In general, human resources are understood as the sum of human potentials of a country, territory or industry in a certain period [6]. The first and most basic potential of human resources is labor potential, including physical, mental and personality capacity of workers corresponding to a certain structure required by the socio-economic system. According to this understanding, the concept of human resources is abstract. However, as a source of labor for society, human resources include the entire population with the ability to work and are social human resources. In the field of labor, human resources are understood in a narrower sense, including the working-age population with the ability to work. With this understanding, human resources are equivalent to the concept of labor resources [52].

In Vietnam, according to the General Statistics Office, NNL includes people aged 15 and over who have jobs (working workers) and

Human resource development of Vietnam Electricity Group - 3

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