Orientation to Complete the Industrial and Commercial Bank Training Center

VND, accounting for 3.6% of outstanding loans to the economy, down 63% compared to the beginning of the year. Of which, overdue debt by the end of the year was VND 1,342 billion, down VND 502 billion, down 27% compared to the beginning of the year, accounting for 1.96% of total outstanding debt (Plan is 3%) [34, p. 20].

The credit quality of the NHCT has been improved thanks to the contribution of credit officer training, which reflects the quality of training that has been tested in practice and accepted and cared for by the NHCT branches. To achieve the above results, the 2004 credit activity summary report and the main credit solutions in 2005 of the NHCTVN assessed as follows: " Promoting training to improve credit professional qualifications, many branches have focused on the quality of labor recruitment and skills training, credit professional knowledge training, law, foreign languages, information technology for credit officers... " [34, p. 23].

2.3. General assessment

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2.3.1. Successes

After 8 years since its establishment, TTĐT has grown and developed rapidly in many aspects, specifically as follows:

One is : Responding to the desire to improve the qualifications of employees in the NHCTVN system.

The NHCT Training Center is the first training center established in the Vietnamese commercial banking system. The establishment of the training center is in line with the economic development policy of the Party and the State, meeting the aspirations of improving the qualifications of employees in the NHCTVN system, and implementing the monetary-credit business and banking services goals of the NHCTVN.

Second : Practical training content, contributing to improving the quality of operations of member units.

Since its establishment in July 1997 to December 31, 2004, the Training Center has opened 435 courses with nearly 20,000 technical management officers participating in training, retraining and knowledge improvement at the Training Center. The training activities are diverse and at many levels, so that member units in the system have the conditions to send more technical management officers to participate in training. According to comments

Of the directors representing employers and trainees trained at the Training Center, after each course, the awareness and understanding of each person increased significantly, the quality of work was improved, the training and retraining content at the Training Center was practical and useful, contributing significantly to improving the quality of branch operations.

Third : Students can apply the knowledge and skills they have learned into practical work.

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Through post-course testing, the number of students who attended the course achieved good and excellent results.

from 75% or more. Through the evaluation of the trainees by secret ballot, they all had the same assessment: The content, program, subjects, and training time are appropriate. The study is beneficial for themselves and for the branch. According to the assessment of Dr. Hoang Viet Trung - Director of NHCT Ba Dinh Branch - Part-time lecturer of NHCT Training Center: The majority of trainees can apply the knowledge and skills they have learned into practical work. Trained staff have implemented the content of regulations and professional procedures more seriously and correctly. In particular, those who have been trained have not been stereotyped or mechanically followed the regulations and procedures, but have changed from "spontaneous" to "self-conscious", clearly understanding the work they do. Besides, they also have better work awareness with a new working style, gradually forming the NHCT culture [41, p. 17].

Fourth: Rich training forms, expanded training subjects

The training and fostering of managers at the NHCT Training Center in recent years has received great attention from leaders at all levels. The training forms are diverse, the training subjects are expanded, and the training content covers most of the operations of the NHCTVN. Lecturers are mobilized from many sources such as universities, academies, and a team of part-time lecturers of the NHCT (including good professional staff, trained by the Training Center in pedagogy), so they can both train, foster, and update new knowledge, and train to improve skills and experience in handling professional situations in practical work for staff.

It can be affirmed that the business successes of Vietnam Joint Stock Commercial Bank in recent years have contributed significantly to the training, retraining and development of managerial and technical staff in the Joint Stock Commercial Bank system.

2.3.2. Limitations

Besides the above successes and achievements, the training, retraining and knowledge improvement for managers at the NHCT Training Center also has the following limitations:

One: The training program has not met practical needs.

Although starting from determining training needs to develop annual training plans for Headquarters departments and member units for approval by the NHCT Board of Directors, some actual training programs still do not meet the needs.

Second: Limited facilities

Because the physical facilities of the Training Center are too small, there are few classrooms and it is impossible to conduct many training courses at the same time, so the number of training courses for managers and technicians at the Training Center is small each year, on average 25%/year (from July 1997 to December 31, 2004, 435 classes were trained with 18,750 participants). A separate training facility has not been built to serve the training work, there is a lack of classrooms and practice rooms. Currently, if two classes of about 100 students are called together at the same time, both the Training Centers in Hanoi and Ho Chi Minh City have to rent out half of the rooms for the students.

Third : Training quality is still limited.

The training quality has not yet satisfied the practical requirements to ensure the sustainable development of the State Bank. For example, new training activities such as: Bank Marketing, card operations, securities and securities brokerage, bank management, network management... are still theoretical, not many banks in Vietnam have implemented them, practical experience in this field in Vietnam is limited, so the application of the knowledge learned into practice by students is still experimental, so it is very difficult and takes a lot of time and effort: working, studying and gaining experience.

Four : Lack of standard documents

Teaching materials at the Training Center have not been approved by the NHCT Scientific Council. There is no long-term training plan, lack of standard textbooks and documents on modern banking: new training programs are seasonal, training content does not link theory with practice.

The new training content focuses on disseminating and explaining policies, procedures, and basic training.

Five: Lack of teachers to teach theory and practice and a team of experts with good professional expertise.

The team of part-time lecturers are good at their profession and have practical experience. Due to their busy work, they do not participate in teaching regularly, and their lesson preparation is also limited. Training to update knowledge for part-time lecturers is not regular, there is no long-term plan to train a team of part-time lecturers for their profession as well as standardize regulations for part-time lecturers.

Six: Lack of strategy, basic and long-term goals

The training center has not yet developed a long-term training strategy because the training work currently has many focal points, so determining annual training needs, classifying training subjects: by profession, level... to organize training is also limited. There has not been a systematic and scientific basic investigation of the actual level and professional capacity of NHCT management staff, but only based on statistical reports. On the other hand, the training plan for management staff is not specific, so it is difficult to determine training objectives.

2.3.3. Causes of the above situation

* Reasons for the results

One is : Implement well the training plan assigned by the NHCT leadership.

Based on the annual training plan approved by the NHCT leadership, the Board of Directors of the Training Center, together with the Department of Personnel Organization and Training, relevant NHCT professional departments and branch leaders, organized and implemented the training tasks effectively.

Second : With the attention and timely direction of the leadership and coordination with specialized and professional departments of NHCT

- During the implementation of the training plan, the Training Center has received regular and close guidance from the Board of Directors and the Executive Board of NHCT.

NHCT assigns the General Director to be directly in charge of training work. All courses have the approval of content and program from NHCT leaders.

-At the beginning of the fourth quarter of each year, the Training Center proactively coordinates with the Personnel Organization and Training Department to develop a training program and plan to improve professional skills for the management team.

- Based on the evaluation form of the trainees after each training course, the curriculum, lesson plans, and teaching materials are all edited and supplemented to be closer to the actual situation.

Third : Building a team of part-time lecturers

The Board of Directors of the Training Center determines that lecturers play a very important role in the success of the course, deciding the quality of training. To improve the quality of training, it is necessary to have a team of lecturers with good professional expertise, good pedagogical skills, and love for the profession. The Training Center regularly takes care of building a team of part-time lecturers, and recommends that NHCT have preferential policies for part-time lecturers in both material and spiritual terms.

Fourth : Diversify training types and training subjects.

The training center has initially diversified its training types, providing training in many aspects and professional fields; training at the training center and training in branch clusters; basic training and specialized training; not only training for employees but also training for branch leaders and training for loan customers.

Five is : Strive to build a united IT team, encourage employees to excellently complete their tasks.

- All TTĐT staff have constantly strived to complete assigned tasks with a high sense of responsibility, contributing to the successful implementation of training tasks.

- The good combination of the leadership of the Party cell with the management of the Board of Directors and the effective activities of mass organizations such as the Trade Union, Ho Chi Minh Communist Youth Union... is the driving force for TTĐT to complete its professional work.

* Causes of weaknesses and limitations First : There is no real legal basis

Training and retraining activities of the NHCT Training Center follow the model of self-training enterprises, without regulations from the state or the governing ministry (the State Bank of Vietnam has not yet issued general regulations on functions, tasks, processes, and training regulations). The training centers of commercial banks are doing and gaining experience while doing. The operating regulations of the NHCT Training Center are different from the training regulations of other commercial bank training centers, the training methods, documents, and training subjects are also different... not yet standardized by the state, so it limits the application of scientific and educational achievements to the training work of the NHCT Training Center. That is also why the coordination relationship between the Training Center and the departments of the NHCT Headquarters is still overlapping, not clearly defining the scope of functions, tasks, responsibilities, and powers of each department in training work. According to Dr. Nguyen Dinh Nguoc - Director of the Training Center - NHCT: " Training work is quite widespread, not closely linked to the work being done and will be done, staff training is not closely linked to staff planning and use; there is no proactive training plan to serve the development of the Industrial and Commercial Bank in the future " [36].

Second : Facilities do not yet ensure conditions for training and retraining high-quality technical managers in large numbers.

Third : The current regulations on part-time lecturers are not suitable.

The regulations issued since the establishment of the Training Center are outdated and have not been revised in a timely manner. Teaching is not linked to professional work, to emulation voting, and to the appointment of staff. The team of part-time lecturers is not passionate about the training career, there is no mechanism to encourage them to teach, and at the same time there is no mechanism to force them to teach... The remuneration for part-time lecturers is 25,000 VND/period/theory, which does not encourage part-time lecturers to collect documents and prepare lectures with a sense of responsibility and high quality. NHCTVN has not yet set out specific standards for part-time lecturers, and there is no official decision to recognize part-time lecturers at the Training Center. There is also a situation where the Headquarters departments send lecturers who have not been trained in pedagogical skills, so they are still confused and do not know how to convey to students, affecting the quality of training. Lecturers hired by universities and academies

In addition to having pedagogical skills and theoretical knowledge, they do not have a firm grasp of the practical operations of the NHCT, so they are limited in practical application and their theories are far from reality.

Fourth : Complexity and lack of uniformity in training subjects

Trainees coming to study at the Training Center, due to the characteristics of the NHCT, have different professional qualifications, cultural levels, ages, ages, career ages, and professional experiences. Currently, the NHCTVN has over 70 level I branches and over 50 level II branches (affiliated branches). With the current training method, when opening a training class, the training center allocates quotas to the level I branches, the level I branches further allocate quotas to the level II branches under their management. Usually, each class opens about 50 students, each branch can only send 1-2 staff to the training, so very few staff are trained. A few students have poor learning awareness, they still study perfunctorily, and their positivity and initiative in learning are not high. Regarding the quality of resources, the NHCTVN evaluates as follows:

When it was first established (July 1988), there were only 67 officers and specialists of the Central Bank and more than 5,600 officers of provincial and municipal branches nationwide, of which only 20.8% had university degrees, 31.7% had high school degrees, 40.3% had primary education and 7.2% had no training. Up to now, the staff of the Central Bank has increased to 12,000 workers, with an average age of 38 years old, of which: male 31.52%; female 68.48%; In terms of qualifications: 0.37% post-university, 41% university and banking college, 24.63% secondary education, 10.12% primary education, 11.26% untrained; Most of the professional staff know how to use information technology and most of the staff working in foreign affairs, international payments, and computing can use foreign languages in their professional work. However, in terms of staff quality, the State Bank of Vietnam still lacks highly qualified workers .

The number of employees as above is too large compared to the scale of business. In terms of quality, about 80% of university-educated workers were trained from the 1990s or earlier, limiting knowledge about banking business in the market mechanism, not updating new knowledge to operate modern banks with high technology level [31, pp. 3-4].

Fifth : Lack of coordination between the facility and the IT department

On the part of branches (as employers), there is also a phenomenon of registering for staff to attend training, but when the Training Center organizes classes and calls for training, they do not allow staff to attend training for a variety of reasons, and sometimes even send staff to wrong training subjects. The certificate issued by the Training Center to the training managers is not a mandatory condition when arranging work or appointing staff of member units. Many branches also arrange staff who are not in accordance with their trained expertise. The Training Center has a training monitoring book for the purpose of informing the training results of trainees to the branch and asking for comments from the branch so that the Training Center's training work is suitable for the actual operations at the base and the assessment of the effectiveness of the training work for the work of trained staff; However, many branch leaders ignored and did not record comments or made general comments even though the leaders of the Training Center repeatedly sent official dispatches requesting coordination so that the training work of the Training Center would be closer to the business activities of the branch. This reflects the lack of close and regular connection between the Training Center and its member units in assessing the quality after training, and the member units are not really interested in coordinating with the Training Center to improve the quality of training.

Sixth : The initiative in training work of the Training Center is limited by the operating regulations prescribed by the NHCT. Currently, the Training Center is not assigned the task of determining training needs in the NHCT system but only has the right to participate in the training plan prepared by the Personnel Organization - Training Department and submitted to the leaders of the NHCT for approval. The selection of permanent staff and lecturers at the Training Center is decided by the NHCTVN. The organization of the Party, Youth Union, Trade Union, salary and bonus regimes... are implemented as a department of the NHCTVN. The signing of training or scientific research contracts is carried out under the authorization of the General Director of the NHCTVN for each class and each training course. In other words, the Training Center is currently only a place to organize and implement courses approved by the NHCTVN on an annual, quarterly and monthly basis, but is not yet fully proactive in the training activities of the center.

In summary , chapter 2 presents an overview of the Vietnam National Bank for Industry and Trade; the main functions and tasks of the Training Center; the current situation in many aspects and in training and retraining of technical management staff at the Vietnam National Bank for Industry and Trade; provides data to evaluate the quantity and quality of training and retraining of technical management staff at the Training Center; the successes and limitations; thereby identifying subjective and objective causes and problems.

Factors that have limited the training and retraining of technical managers at the NHCT Training Center since its establishment until now.

Chapter 3

Orientation and solutions to complete operations

Training and retraining of economic management staff at the Vietnam Joint Stock Commercial Bank for Industry and Trade Training Center

3.1. Orientation to complete the Industrial and Commercial Bank Training Center

Based on the business orientation of the Vietnam National Bank for Industry and Trade, develop orientations for training and retraining of technical managers at the Vietnam National Bank for Industry and Trade Training Center.

Currently, the Vietnam Joint Stock Commercial Bank for Industry and Trade is implementing the "Project on restructuring the Vietnam Joint Stock Commercial Bank for Industry and Trade" approved by the Prime Minister. With the general goal of: Building the Vietnam Joint Stock Commercial Bank for Industry and Trade into a key and modern commercial bank of the State, with effective business operations, sound finance, high technology, multi-functional business, occupying a large market share in Vietnam, and ranked BB in the international market. With the motto of action:

- Phase 2000 to 2005: " Development - Safety and Efficiency ".

- Post-2005 period: " Integration and Steady Development ".

3.1.1. Business orientation of the Industrial and Commercial Bank

* Diversify equity

To increase the capital source, create conditions to promote business but still reserve the State's decision-making power, initially only sell non-voting shares to employees for about 250 billion VND, after 2005, issue anonymous shares to supplement charter capital, striving for the State capital ratio to account for 60 - 70% of the total charter capital by 2010.

* About the organization of the membrane

- Restructure the organization and network according to the model of a modern commercial bank, a dynamic business apparatus, capable of adapting to the market. The head office and branches are organized according to the structure of a unified body, with blood relations; in which the head office is the nerve center performing both management and direct business functions.

- Branch is the direct authorized representative with customers of Head Office; not through an intermediary management unit.

- The affiliated companies have an ownership structure with NHCT according to the parent company-subsidiary model, with close and inseparable links in terms of products and markets, making the NHCT system a strong financial banking group.

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* Credit

Fundamentally innovate credit business activities according to commercial and market principles.

Provide credit services, commission agents and management services.

Capital management for credit programs, commercial fees for the State and for credit financial institutions and other financial institutions.

* About the field of operation

- Expand investment and business in the domestic currency market, foreign exchange market, gradually penetrate the international currency market through effective management and use of debt and liquid assets.

- Expand and improve the quality and efficiency of traditional products and services, develop new products and services. Gradually increase the proportion of service revenue in total income from business activities. By 2010, the proportion of service revenue in total income will be from 25 - 30%.

* Modernizing banking information technology

Combining sequential development, step-by-step innovation with taking shortcuts in some key areas. By 2010, about 70% of transaction volume and operations will apply modern technology, in line with the e-commerce trend in the knowledge economy.

* About material incentives

Fundamentally innovate the internal accounting mechanism towards accurately assessing the operational efficiency of each branch, the efficiency of each product and operation; fundamentally innovate the salary mechanism according to the principle that business salary must be linked to the quality and efficiency of labor.

* About accounting

Accounting organization is in accordance with the accounting regime ensuring the standards of the international accounting organization IAS.

* Strive to achieve the evaluation parameters of a strong commercial bank by 2010.

- COOK index: is the percentage between equity capital minus joint venture capital contribution and investment capital compared to total risky assets minus debt sale portion reaching 8%;

- ROE index: The rate of return on capital is from 13% to 15%;

- ROA index: The ratio of profit on assets is nearly 1%;

- Overdue debt is below 3%.

The average growth rate of assets and liabilities is 15%/year. The structure of assets includes outstanding loans to the economy and the population, accounting for 75 - 80%; business activities in the money market and capital market account for 20 - 25% of the structure of assets.

* Enhance reputation and competitiveness, prepare necessary conditions for breakthrough reforms and equitization of NHCT

Strive to make the Bank of Vietnam become a bank that meets advanced standards in the region by 2010, increase equity capital, improve competitiveness; diversify capital increase solutions, including attracting capital from the public by equitizing the Bank of Vietnam at the appropriate time; continue to strongly reform the apparatus to improve the efficiency and effectiveness of management and operation; strengthen inspection and control work; attach importance to personnel work and improve the quality of human resources, strengthen training and fostering of staff, ensure that staff have professional ethics and professional capacity [15].

Thus, restructuring NHCTVN according to the approved project, striving to become a BB-rated commercial bank in the international market by 2010 requires the efforts of all employees in the entire system.

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